It’s risky to be in business these days. Business owners face fierce competition, random economic swings and strict government regulations. Besides that, unexpected disasters can hit a potentially successful business. Take these examples: • Fire at a drycleaner. No insurance to pay for customer goods. • A roof collapse at a toy store one month before Christmas. No insurance to re-open. • Insurance on a fire-destroyed building. No insurance to cover pollution cleanup costs. That’s why loss prevention is a crucial part of insurance. Loss prevention means protecting your assets with practical safeguards. That could include: • better door locks • training employees on sexual harassment policies • construction of a fire- and earthquake-proof building. These and similar loss prevention activities can mean reduced insurance premiums for you. Establishing a close partnership with your insurance agent is the best way to ensure that you’re fully protected . Your agent can provide the best and most customized protection for disaster coverage. Know the insurance coverage options for your business. It takes time and premiums, but it’s worth the peace of mind—even if you never file a claim.
Insurance is an integral part of any personal financial plan. The type of insurance and the amount of coverage you obtain all depends on your unique financial and family circumstances, and must be evaluated carefully. When considering purchasing coverage, you should review all the potential risks and the financial impact of these risks on your financial health. This will help you determine what options to look for and what questions to ask. What you need to keep in mind is that you do not want to be underinsured or overinsured, which means you have to do your homework before you buy. And as with any type of financial product, you must read the fine print and consult with a competent advisor.
Insurance is a form is risk management in which the insured transfers the cost of potential loss to another entity in exchange for monetary compensation known as the premium.
Insurance works by pooling risks. Because the number of insured individuals is so large, insurance companies can use statistical analysis to project what their actual losses will be within the given class. This allows the insurance companies to operate profitably and at the same time pay for claims that may arise.
Underwriting is the process of evaluating the risk to be insured. This is done by the insurer when determining how likely it is that the loss will occur, how much the loss could be and then using this information to determine how much you should pay to insure against the risk.
The insurance contract is a legal document that spells out the coverage, features, conditions and limitations of an insurance policy.
Property and casualty insurance is insurance that protects against property losses to your business, home, or car and/or against legal liability that may result from injury or damage to the property of others. This type of insurance can protect a person or a business with an interest in the insured physical property against losses.
An auto insurance policy typically covers you and your spouse, relatives who live in your home and other licensed drivers to whom you give permission to drive your car.
Homeowners insurance typically covers the dwelling (the structure), personal property and contents, and some forms of personal liability. The policy may cover direct and consequential loss resulting from damage to the property itself, loss or damage to personal property, and liability for unintentional acts arising out of the non-business, non-automobile activities of the insured and members of that insured's household.
Umbrella insurance helps you protect your assets if you are sued.If you are worried that the liability insurance coverage you have through your auto or property policies is still not enough, you can consider adding an umbrella policy.
Health insurance is a type of insurance that pays for medical expenses in exchange for premiums. The way it works is that you pay your monthly or annual premium and the insurance policy contracts healthcare providers and hospitals to provide benefits to its members at a discounted rate.
An indemnity plan, sometimes called a fee-for-service plan, is a type of insurance that reimburses you according to a schedule for medical expenses, regardless of who provides the service.
The HMO is the most common type of insurance policy people own and the one most frequently provided by employers. HMOs provide a wide range of comprehensive healthcare services to a group of subscribers in return for a fixed periodic payment.
PPOs are a group of healthcare providers that contract with an insurance company, third-party administrators, or others (like employers) to provide medical care services at a reduced fee.
A point of service plan is a hybrid plan that combines aspects of an HMO, PPO and indemnity plan. This type of plan is more flexible in that it allows you to decide at the time you need services to elect to use the POS plan's physician to arrange in-network care (HMO feature), or to go outside the network or hospital and pay a higher portion of the cost.
Disability insurance can replace a portion of the salary you were making before you became disabled and unable to work after a serious injury or illness.
Disability insurance providers rate their premiums based on your job and the level of risk involved in doing that job.
The reason to buy long term care insurance is to protect your assets in case you need to pay for assisted living, home care or a nursing home stay.
Life insurance provides you with the opportunity to protect yourself and your family from personal risk exposures like repayment of debts after death, providing for a surviving spouse and children, fulfilling other economic goals (such as putting your kids through college), leaving a charitable legacy, paying for funeral expenses, etc.
Whole life insurance provides guaranteed insurance protection for the entire life of the insured, otherwise known as permanent coverage. These policies carry a "cash value" component that grows tax deferred at a contractually guaranteed amount (usually a low interest rate) until the contract is surrendered.
Universal life insurance, also known as flexible premium or adjustable life, is a variation of whole life insurance. Like whole life, it is also a permanent policy providing cash value benefits based on current interest rates.
Variable life insurance is designed to combine the traditional protection and savings features of whole life insurance with the growth potential of investment funds. This type of policy is comprised of two distinct components: the general account and the separate account. The general account is the reserve or liability account of the insurance provider, and is not allocated to the individual policy. The separate account is comprised of various investment funds within the insurance company's portfolio, such as an equity fund, a money market fund, a bond fund, or some combination of these.
There were over 10-million traffic accidents in the U.S. in 2009 (latest available data) and 33,808 people died in motor vehicle crashes in those accidents, according to data released by the Fatality Analysis Reporting System (FARS). The number one cause of death for American's between the ages of 5 and 34 were auto accidents. Over 2.3 million drivers and passengers received treatment in emergency rooms in 2009, and the costs of those accidents including deaths and disabling injuries was around $70 billion.
While all states do not require drivers to have auto insurance, most do have requirements regarding financial responsibility in the event of an accident. Many states do periodic random checks of drivers for proof of insurance. If you do not have coverage, the fines can vary by state and can range from the suspension of your license, to points on your driving record, to fines from $500 to $1,000. If you drive without auto insurance and have an accident, the fines will probably be the least of your financial burden. Your car, like your home is a valuable asset you use every day. If your car is damaged in an accident and you have no auto insurance, you will have no way to replace that vehicle unless you have a large savings account, and you don't really want to tap into that savings when auto insurance could cover the cost.
If you, a passenger or the other driver is injured in the accident, your auto insurance will pay those expenses, and help guard you against any litigation that might result from the accident. Auto insurance also protects your vehicle against theft, vandalism or a natural disaster such as a tornado or other weather related incidents.
Again, as with all insurances, your individual circumstances will determine the price of your auto insurance. The best advice is to seek out several rate quotes, read the coverage provided carefully and check periodically to see if you qualify for lower rates based on age, driving record or the area where you live. Read more: http://www.investopedia.com/financial-edge/0212/4-types-of-insurance-everyone-needs.aspx#ixzz2Gmj8Qhpv
A type of insurance coverage that pays for medical and surgical expenses that are incurred by the insured. Health insurance can either reimburse the insured for expenses incurred from illness or injury or pay the care provider directly. Health insurance is often included in employer benefit packages as a means of enticing quality employees. The cost of health insurance premiums is deductible to the payer, and benefits received are tax-free. Health insurance has many cousins, such as disability insurance, critical (catastophic) illness insurance and long-term care (LTC) insurance.
A recent Harvard study noted that statistically, "your family is just one serious illness away from bankruptcy." They also concluded that, "62% of all personal bankruptcies in the U.S. in 2007 were caused by health problems and 78% of those filers had medical insurance at the start of their illness."
Those numbers alone should urge you to obtain health insurance, or increase your current coverage. The key to finding adequate coverage is shopping around. While the best option and the least expensive is participating in your employer's insurance program, many smaller businesses do not offer this benefit. Finding affordable health insurance is difficult, particularly without an employer-sponsored program or if you have a pre-existing condition. According to the Kaiser/HRET survey, the average premium cost to the employee in an employer sponsored health care program was around $4,100. With rising co-payments, yearly deductibles and dropped coverage's, health insurance has become a luxury less and less can afford, yet even a minimal policy is better than having no coverage. The cost for a day in the hospital can range from $985 to $2,696. Even if you have minimal coverage, it can provide some monetary benefit for your hospital stay.
As the health care debate continues in Washington, approximately 48 million Americans are without insurance coverage. Check with your employer regarding health care benefits, inquire of any occupational organizations that you belong to regarding possible group health coverage. If you are over age 50, AARP has some health insurance offers available. (To learn more, check out Buying Private Health Insurance.) Long-Term Disability Coverage This is the one insurance most us think we will never need, as none of us assumes we will become disabled. Yet, statistics from the Social Security Administration show that three in 10 workers entering the workforce will become disabled, and will be unable to work before they reach the age of retirement. Of the population, 12% are currently disabled in some form, and nearly 50% of those workers are in their working years. Even those workers that have great health insurance, a nice nest egg and a good life insurance policy never prepare for the day when they might not be able to work for weeks, months or may not ever be able to return to the job. While health insurance pays for your hospitalization and medical bills, where is money coming from to pay those daily expenses that your paycheck covers? Here are a few very sobering statistics regarding disability:
Disability Causes Nearly 50% of all Mortgage Foreclosures, 2% are Caused by Death. Close to 90% of Disabling Accidents and Illnesses Are not Work Related. In the Last 10 Minutes, 498 Americans Became Disabled. If you are injured and off work for even three months, would you have enough in savings to cover your living expenses? Consider what you might face financially if you suffer a major medical condition such as cancer and were unable to work for over a year. Many employers offer both short-term and long-term disability coverage as part of their benefits package. This would be the best option for securing affordable disability coverage. If they don't, seek out a private insurer. If you aren't sure how much coverage you need, AARP offers a very good disability insurance calculator to help you. A policy that guarantees income replacement is the optimal policy; more usual terms are replacement of 50 to 60% of your income. The cost of disability insurance is based on many factors including age, lifestyle and health. For group or employer coverage, the average rate in 2009 was about $238 per year or approximately $5 per week. A small price to pay if you are faced with a devastating illness or injury. Disability insurance will guarantee that you will have some income when you can't work.
What is Life Insurance ? Thats every one ask from me!!! A protection against the loss of income that would result if the insured passed away. The named beneficiary receives the proceeds and is thereby safeguarded from the financial impact of the death of the insured. The goal of life insurance is to provide a measure of financial security for your family after you die. So, before purchasing a life insurance policy, you should consider your financial situation and the standard of living you want to maintain for your dependents or survivors. For example, who will be responsible for your funeral costs and final medical bills? Would your family have to relocate? Will there be adequate funds for future or ongoing expenses such as daycare, mortgage payments and college? It is prudent to re-evaluate your life insurance policies annually or when you experience a major life event like marriage, divorce, the birth or adoption of a child, or purchase of a major item such as a house or business.
Remember “claims made” policies? Crime insurance has a similar discovery form. A loss sustained form accompanies this. Why two forms? Because employee-related crimes are silent crimes. Silent crimes are ones that may take place over a long period of time. They’re often difficult to discover. The discovery form covers you for undiscovered employee crimes, even if they occurred before the policy began. The ISO program allows crime coverage to be a separate crime policy. Or it can be a coverage part to join your other property coverage. Seven types of crime coverage are offered. You may take one, several, or all seven. The seven are:
1. Employee Theft 2. Forgery or Alteration 3. Inside the Premises - Theft of Money & Securities 4. Inside the Premises - Robbery or Safe Burglary of Other Property 5. Outside the Premises 6. Computer Fraud 7. Money Orders and Counterfeit Paper Currency Employee Theft covers loss or damage to money, securities and other property. You’re covered whether an employee acted alone or with others. Forgery or Alteration covers checks, drafts, promissory notes and similar items regarding the payment of a sum of money. The insurer pays your defense costs in addition to the dollar limits of your coverage. Inside the Premises - Theft of Money & Securities covers theft, disappearance and destruction. Damage to the premises caused by an actual or attempted theft is covered. So is loss or damage to a locked safe, vault, cash register, cash box or cash drawer. Vandalism, if not related to a theft attempt, is excluded.
When you apply for a life insurance policy your file will be reviewed by an underwriter at the insurance company. All insurers have life insurance underwriting guidelines to follow. Each company has slightly different standards. An independent life insurance agent should be generally aware of how each company treats the main underwriting concerns outlined below. During the first review, the underwriter will evaluate your medical history, family medical history, paramedic exam and lab results. Here are some important factors that can affect your rating: Height and weight Your medical conditions Your medications Parents or siblings who died of cancer, heart disease, or with some carriers diabetes before the age of 60 Your lifestyle- do you participate in extreme sports? How is your driving record? Do you have a history of alcohol or drug abuse?
If the insurance company feels that more information is needed for a decision, they will order records from your physician and/or hospital records. You may have to complete a questionnaire, or an interview. It is very important to be honest on your application and any follow up questioning. If the insured dies during the first two years of a policy, the carrier can deny a death claim for fraud in the application. When the additional information is received, your file will go back to the same underwriter for review. Hopefully the questions are answered fully and underwriting can be completed. Life insurance underwriting can be very complicated. Multiple medical issues can be difficult to underwrite. What happens if the outcome is not favorable? This is where using an independent life insurance agent can be especially beneficial. As they represent many carriers, they can approach other insurance companies for quotes. In addition, some agents have access to an in-house underwriter who can review the file and assist in placing
LifeNet Insurance Solutions 12 the case at the proper insurer. They same exam can be used; all that is required is a new application! Important Point: Every company has different underwriting guidelines and an independent agent can get you to the right carrier for your best value.
When you apply for life insurance most policies require that you have a paramedic exam. Part of that exam is collecting blood and urine samples for testing. Clients often ask if they can go to their doctor to do the test. Sometimes the client has recently visited the doctor and had labs completed. They want to know if those results are acceptable to the insurance company. The short answer is no, you are required to have this independent exam including blood and urine collection and here’s why! What’s different about the Life Insurance Blood Test and Urine Test?
1) Your blood and urine specimens go in a direct line from the examiner to the laboratory and the laboratory to the insurance company. The sample vials are marked in your presence and the numbers match your paperwork. The insurance company can be sure these are your blood and urine samples. 2) The insurance company does several different tests than your doctor will perform at a routine checkup. These tests may include additional liver enzyme levels and/or A1C testing (long term blood sugar measure). Insurers will also check your blood and urine for signs of nicotine and drug use. 3) When the insurance company receives your lab results, they may decide that further testing is indicated to either re-check a result or do a more detailed study. If so, your blood is available at the laboratory for a period of time. If you apply for coverage and complete the life insurance blood test and urine test, rest assured that you will pay less for this policy than for a comparable policy (if one is) available without medical testing. The lower premium is due to the additional information the insurance company will have from your exam and lab results.
Bajaj Allianz Life Insurance
There were over 10-million traffic accidents in the U.S. in 2009 (latest available data) and 33,808 people died in motor vehicle crashes in those accidents, according to data released by the Fatality Analysis Reporting System (FARS). The number one cause of death for American's between the ages of 5 and 34 were auto accidents. Over 2.3 million drivers and passengers received treatment in emergency rooms in 2009, and the costs of those accidents including deaths and disabling injuries was around $70 billion.
A protection against the loss of income that would result if the insured passed away. The named beneficiary receives the proceeds and is thereby safeguarded from the financial impact of the death of the insured.
Remember “claims made” policies? Crime insurance has a similar discovery form. A loss sustained form accompanies this. Why two forms? Because employee-related crimes are silent crimes. Silent crimes are ones that may take place over a long period of time. They’re often difficult to discover. The discovery form covers you for undiscovered employee crimes, even if they occurred before the policy began. The ISO program allows crime coverage to be a separate crime policy. Or it can be a coverage part to join your other property coverage. Seven types of crime coverage are offered. You may take one, several, or all seven. The seven are: 
