Best Insurance Policy is an Inoculation Against Uncertainties

By Addi Vardhaman

Insurance guarantees a stated amount of money at the completion of a specified period. Besides providing for financial security in the case of ones untimely death, it can be used to accumulate a kitty for ones old age, for financing ones or children's education as well. It is also found that people very often take insurance just to save themselves from taxes.

Under section 88 of Income tax Act 1961, the government of India has offered tax incentives to life insurance products in India. The objective of this incentive is to facilitate the flow of funds for productive purposes. Under this offer a nominee of life insurance is entitled to a rebate of 20 percent on the annual premium payable on ones life or ones children. The rebate is deductible from the tax payable by the nominee of the life insurance. The rebate can be availed up to Rs 12000 at the most on payment of yearly premium of Rs 60,000.

The best insurance policy is the one with a proof that no one can take it away from the nominee after his /her death but only the one entitled to. One need not take out a number of insurance policies and take the burden of their management. Rather, take out only one i.e. the best insurance policy from a reputable company with a sound track record. One must ensure that ones life insurance policy pay out 15 to 30 times of ones annual income as capital when one dies.

By purchasing a life insurance, a potential customer purchases peace of mind. As such, a potential customer is all set to counter any financial crises that may come. On the other hand, the insurance companies to help the nominees meet such demand collect the premiums from other customers who face the same risk and pay out for the loss claimed by the customers. Insurance provides assistance even in times of drop in income after ones retirement.

Fortunately, a large number of private players have entered this field. As such, a potential customer has a wide range of products and services to choose from. Moreover, these many private players in the market offer products that specifically suit every type of customer. That is why the potential customers should devote certain time for life insurance comparison in India before actually applying for one. As the Indian insurance market is more diversified now with new products being launched at regular intervals, comparison of different life insurance policies help the potential customers get the best deal; it will help the potential customers reap the fruit of unique aspects of every insurance product and get the maximum profit.

With the introduction of the online facility life insurance comparison in India can be carried on via this mode as well, and perhaps, it is the most hassle free and the cheapest mode for this task. Seating within the comfort of ones home and just with the click of the mouse one can avail information of more or less all the insurance policies that exist. This facility can be utilised to clarify the jargon's and terminologies pertaining to finance as well. One can also avail of the experts opinion on the net. With the availability of various on line communities potential customers are able to join those communities and clarify their doubts pertaining to any insurance policy. Having devoted certain time on the net one can easily find the best insurance policy in India. Before applying for an insurance policy one should be clear in mind regarding the reasons purchasing a policy. Ones reason may be tax benefit or life coverage. Only after firming it up one must apply for one. Different companies have different eligibility criteria though the main coverage areas are similar. Thus, properly going through the policies is a must to find the policy that addresses ones needs properly.

About The Author: For more information about life insurance and general insurance. Please visit our website: paisawaisa.com/

Mortgage Insurance and Protection Choices - Protecting Your Home and Family

By Marilyn Katz

Mortgage insurance or mortgage protection seems like it can mean more than one thing to the average consumer. I want to save people time and money, and also to make sure they find the right products that will help them feel more secure with a large investment like a home.

Many people think of private mortgage insurance (PMI). This product is usually required by lenders if the homeowner still owes more than 80% on their house. The proceeds are paid to the lender in the event that the borrower cannot make payments. It does protect the lender, but was not designed to provide protection to the homeowner. It can usually be avoided by making sure that you, as a homeowner, owe less than 80% of the value of your home. Sometimes this product is also called lender's mortgage insurance.

Another popular product is mortgage life insurance. These are term life policies that have a face value or death benefit that will cover the mortgage balance. The benefit will be paid to the policy beneficiaries upon the death of the insured person. Sometimes these policies also have disability or critical illness riders (options) to make them more flexible.

A popular option is the Return of Premium rider (ROP) which will pay the policy owner back the premiums paid in the event the term expires, and the insurance is not collected. For instance, a mortgage life policy may have a 20 year term and a $50 a month premium. If the insured person survives the policy, they can get back a check for $50 times 12 months times 20 years, or $6,000.

Term life policies are popular and affordable ways to cover mortgages in the event of a homeowner's death, and his or her loss of income to the family. However, many of us realize we are more likely to be unemployed than to die in the course of paying off our mortgage. A new and popular US product is called layoff protection or private unemployment protection.

Layoff protection plans pay a cash benefit to the plan member in the event ot a layoff. This money can be used to keep bills current, and is in addition to any state unemployment benefits they are entitled to. It is extra security that a mortgage or rent bill can be paid, loans can be kept current, and other bills can be paid in the event of temporary unemployment.

A final product that most homeowners seek is homeowner's insurance. This is property insurance, intended to cover the actual building in the event of damage. It may also provide liability coverage in case another person is injured on the property.

Have you heard about income protection that can be collected in addition to state unemployment benefits. This product has been popular in the UK for years, but is unique and new in the US market. We can also help you find the best term life insurance quotes if you are looking for the best mortgage life insurance plan.

Auto Transport Insurance

By Shiji Shijina

One important thing that has to be kept in mind before choosing a car transport company is the amount of insurance coverage that will be provided by them while the car is in their custody. Most auto transport companies do provide an insurance policy to their clients so that if their car faces any damage while shipping they can get a claim.

All the insurance agreements and responsibility for damages between you and your auto transport company should be included within your contract. When a valuable classic, vintage race car has been shipped apart from general insurance, a temporary type of insurance coverage has to be covered. Such coverage may be available through your auto transport company and added to the cost of your vehicle's transport.

Following things have to kept in mind:According to law the auto transport company will be having an insurance certificate which can be collected. You can freely ask them certain questions like what kind of policies they have, if any damage occurs during shipping will it be covered or only certain parts of the car will be covered. Keep in mind that any assurances that the auto transport companies gives should be in writing. Just see that if there are any personal items in the car. If yes, then remove it. The reason being the auto transport company will not cover any objects in the car.

When you drop your car at the shipping company, a transport truck driver will inspect your vehicle before loading it to check is their any damage. Be with the transport truck driver during the examination. Again an inspection takes place during unloading to check if any damage has taken place during shipping. Be there will the inspection process takes place and note down all damages on the condition report before receiving the car. Try to carry a camera with you for documentation. If you are taking possession of the car at night, try to do the inspection under bright lights. If you find any reason to file a claim, do it as soon as you take delivery of your vehicle.

If you do not note down the damages in the condition report it will be impossible to prove that the car transport company was responsible for the damages. If you feel that the auto transport company has not given full claim for your vehicle then you can file a complaint with your local better business bureau. You can also contact the U.S. Department if your vehicle was transported over state lines. But, U.S. department of transportation cant help you if there is already a court judgment against the company.

Shijina is an expert author for Auto transport and vehicle shipping. She written many articles like Vehicle transport, car shipping and car transport. For more information visit our site aaat.com Contact me at shijinaseo@gmail.com

Think You Can Live Without Paying For Insurance? - Think Again!

By Lance Winslow

Many people have a problem and disdain for buying insurance and generally these folks do not buy insurance unless they absolutely have to. In other words, unless they are worried about being arrested for not having insurance, they simply never purchase it.

Of course, we all know that if you borrow money for a car or home, the bank makes you buy insurance to protect their asset; the home you live in or the car that you drive. If you do not purchase that insurance the bank buys it for you and charges you for it. If you do not pay, they repossess or foreclose.

Many Americans do not have health insurance either and many of them by choice, as they simply do not want to pay the monthly premiums. If you are self employed as 10% of all Americans are you might not be forced to buy health insurance and so you don't.

Forty-five million Americans do not have health insurance and some analysts believe that nearly half do not purchase it by choice. That's fine unless something goes wrong; have you seen the price of health care lately?

If you drive a car and get involved in an accident, even if it is not your fault, you could be assigned partial blame and if someone is injured severely you could be sued for your entire life's savings, without insurance you will have to pay if you lose the court battle, pay for the attorneys and they will seize your assets if you cannot pay.

Can you see why you need insurance or you could lose everything? This is why you need to buy insurance. Please consider all this.

"Lance Winslow" - Lance Winslow's Bio. If you have innovative thoughts and unique perspectives, come think with Lance; http://www.WorldThinkTank.net/.

Art Insurance - How to Keep Your Art Investments Safe

By Judith A. Tartt

One of the best ways to keep your art investments safe is to insure them, ie, get art insurance. Following is what you need to do to get the most art insurance at the best price.

The Art of Fine Art Insurance: What You Need to Do to Insure Your Art Investments

Following are some insurance tips for art investors.

Art Insurance: Photograph Your Collection. This is one of the first things you need to do when seeking art insurance. Take multiple sets of photos - at least two. Be sure to take shots from different angles so that you will be able to definitely prove the authenticity and condition of a piece if it is lost, stolen or damaged.

Put one set of photos in a safety security box and keep one at home. You may even want to take a third set of photos to give to your attorney and/or the executor of your will. The key to remember is to take multiple sets of identical photos, not just one.

Art Insurance: Photograph/Store Additional Paperwork. In addition to taking photos of the actual art piece(s), you should also photograph supporting documentation. For example, original sales receipts, paperwork that supports its provenance, appraisals and anything else that supports the value of a piece.

Art Insurance: Create E-Files. As a backup to photographing supporting documentation, where possible, its also a good idea to create e-files. For example, you can scan sales receipts, turn them into pdf files and store them on your computer or on a remote server.

Art Insurers: What You Need to Know

There are insurance agencies that specialize in offering coverage only on art and antiques.

Or, you can take the alternative route and get your art insurance from the same company that provides your homeowners insurance. Many insurance companies offer discounts when a customer carries more than one policy with them (eg, a homeowners and an auto policy).

Depending on what you're having insured, and for how much, it will usually only cost a few more dollars per month if you add coverage for your art to your homeowners insurance policy.

The final thing to remember about art insurance is that it can be negotiated. Don't just accept the first quote. Shop around, ask questions and be sure to know exactly what you're getting. Like all insurance, there are loopholes in policies. You don't want to find out after the fact that a particular instance or situation wasn't covered.

Bottom line on Art Investments: If you make an investment in art, you need art insurance.

About the Author: Have old oil paintings, pastels, prints, photographs, furniture and/or jewelry sitting around? You could be sitting on a fortune and not know it. Art-Care.com is a community of art conservators, art appraisers and other art professionals. Find an expert, industry- certified art appraiser to tell you the value of your items at Art-Care.com. We provide an extensive list of highly regarded professionals in many fields - all for free.

Insurance For the Community

By Sarah Martin

It might be unusual to think about, but insurance is actually a good idea for the entire community. When most people think of insurance, they think about how it can benefit them or their company on an individual basis. However, insurance also helps to benefit the same time, since whatever affects the individual also affects the entire community. Here is a look at how.

Providing for the future

By taking out an insurance policy against fire or flood or other property damage, you are not only taking care of your business in the present, but also safeguarding it for the future. Doing this shows that you have a stable business and company. A company that stays around has an impact on the community. On a personal level, having life insurance helps a man or woman to provide not only for their family while they are alive, but also for a period after they have died. Relieving the community of expenses

Many insurance policies can help remove the burden of caring for an individual from the community. For instance, workman's compensation insurance, disability insurance, maternity coverage, health insurance, and life insurance can all take care of a person, and/or their family, in a different instance where they would normally rely on the community to do so. This can help to prevent poverty and the reliance upon public aid in the event of an injury or disaster. Often, many of the natural disasters that would normally impoverish families would have less of an impact if the families had insurance.

Help maintain the standard of living

Insurance helps to make sure that individuals, families, and businesses aren't left penniless after a disaster. By doing so, they are able to maintain the current standard of living for those people.

Balance payments

Without insurance, the cost of things would shift dramatically. For instance, should a company have several debtors bankrupt out of loans; they would be forced to raise prices to make up for the difference. Then they would have to wait for money to come in again to be able to drop prices. This could have a huge impact on the market. By having insurance, losses like these are absorbed so that their impact on society is much less.

Reduce losses

Insurance also helps to reduce the actual calamities that it is designed to pay for. For instance, take discount car insurance. Because premiums for car insurance go up when there is an accident, many drivers are more careful while they are driving. By driving more carefully, there are fewer total accidents on the road.

Insurance equals equality

Having insurance allows small businesses to compete with larger businesses because the insurance helps to eliminate some of the risk. This can allow for more competition in the market and make it easier for small business owners to stay in business.

Having insurance is not beneficial just for the individual who carries the policy. Instead, it is beneficial to the entire community as a whole.

Sarah Martin is a freelance marketing writer based out of San Diego, CA. She specializes in insurance, business, and finance. For quotes for maternity coverage or discount car insurance, please visit http://cheap-insurance-rates.com/

Metropolitan's Field Force

By Kyle Y Widner

Those who knew Mr. Knapp of the Metropolitan Life Insurance Company were not surprised when, early in 1879, he packed his bags and sailed for London. He was not the kind of man to be content with armchair studies; characteristically, he headed right for the fountainhead of information on industrial life insurance, Henry Harben, of the Prudential.

Mr. Knapp was given a cordial reception. His studies at firsthand confirmed his previous decision to enter the business. His next step, one without parallel in the annals of insurance history, was executed with typical boldness. He arranged with Brice Collard, a British insurance man, to become his local deputy and to send over a sizable number of Englishmen experienced in conducting industrial insurance, to launch Metropolitans new effort in the United States.

Between 1879 and 1884 Mr. Collard commuted back and forth from London to New York, bringing to our shores several hundred able men, together with their families. Once located in key centers, these men had a heroic task to accomplish-to hire and train local Agents in the new approach, and to organize and establish district offices from the very ground up-all at top speed. They had to teach a technique of selling policies for small amounts, of receiving the premiums weekly in the homes of the insured, and of accounting for this multitude of transactions to the home office.

Many circumstances conspired to make formidable the building of an industrial insurance business in this country. The depression of 1873 and its aftermath of liquidations and bankruptcies had seriously disturbed the economic life of the nation. This was the most disastrous period in American insurance history. Policyholders lost many millions of dollars in company failures, and public faith in the institution of life Insurance dropped to a low point.

Moreover, the American people had little or no knowledge of the advantages of industrial insurance the large majority had never even heard of it. Only the Prudential Insurance Company of America and the John Hancock Mutual Life Insurance Company were already in the field, and their operations were very restricted. There had been few fraternal organizations such as the English Friendly Societies to popularize among working people the practice of saving funds for the expenses of death.

Despite these difficulties, Metropolitan flourished from the very beginning, probably because of the experienced technique of the English Agents. The first industrial policy was issued on November 17, 1879 and before another year had passed more than 200,000 such policies were issued. The insurance in force multiplied by leaps and bounds. At the end of 1880, in a little over a year, the company had on its books more than $9,000,000 of industrial insurance.

This figure was virtually doubled during the next year. At the close of 1882 the industrial business in force exceeded $34,500,000. The company passed the $100,000,000 mark early in 1886, a little more than six years from the inception of the business. As the volume of business increased, so did the Field Force. A few weeks after industrial insurance was launched the company had three district offices, with 130 Field Men. The following year the strength of the Field Force increased to 750.

By 1883 more than 1,600 men were operating from nearly 50 district offices and the expansion of business and personnel continued apace. The insurance world viewed this development with amazement. The company's success had proved the enormous popular demand for this type of protection, previously almost altogether ignored.

This author is a freelance marketing writer based out of San Diego, CA. She specializes in the history of finance, business, and insurance.

What Did the GAO Say About the Availability of Terrorism Insurance?

By Kimberley Ward

What did the recent GAO report on Terrorism insurance say and what does it mean to the insurance industry? This article presents the official conclusions and points out some other interesting facts found in the details of the report. Also, I provide my perspective on the terrorism insurance availability and call on the insurance industry to come to some consensus on the matter.

On Monday, September 15, the Government Accountability Office (GAO) released a study called "Terrorism Insurance: Status of Efforts by Policyholders to Obtain Coverage". (GAO-08-1057) As a member of the American Academy of Actuaries Terrorism Risk Insurance Subcommittee, I was involved in meetings in Washington DC as the GAO was pulling together expert opinions and background on the issues involved.

Background

The terrorist attacks of 9/11 are estimated to have caused insured losses of about 32.5 billion (as of 2006). Just after the attacks, the availability of coverage was severely impaired, causing problems in the real estate sector and other negative economic consequences.

To help mitigate these consequences, Congress enacted the Terrorism Risk Insurance Act of 2002, more commonly known as TRIA. Under TRIA, insured must offer terrorism insurance to their commercial policyholders on the same terms they offer for other coverages on the policy. In the event of a terrorist attack, the insurance industry is responsible for a deductible of 20% of their direct earned premium and 15% of losses after that. The US government would cover 85% up to a maximum of $100 billion annually. (NOTE: This seems very small compared to the financial services bailout being considered!)

The act has been reauthorized in 2005 and 2007, with changing amounts of deductible for the industry and changes in the lines of business covered. The current act doesn't expire until 2014.

The GAO was tasked with the objective to determine if specific markets in the US are having any trouble getting the amounts of coverage they wish to obtain. Specifically:

1. Availability of terrorism insurance in certain geographical areas


2. Factors limiting insurers' willingness to offer coverage


3. Advantages and disadvantages of some options for changes to TRIA or the funding mechanism.

The GAO study looked at take up rates, data on insurance companies, and interviews with more than 100 experts on various parts of the insurance process.

GAO Conclusions

The official GAO conclusions include:

• That some high-value properties in major cities may face initial challenges in obtaining enough coverage, but eventually manage to by using several insurance companies in more complex insurance structures, buying separate terrorism coverage, or self-insuring


• The current 'soft' market has helped the availability of terrorism insurance overall


• Many insurance company CEOs worry about their overall exposure (aggregation limits) in some geographical areas and seek to control their concentration there.


• There is a lack of consensus on what future TRIA options would be the most useful for improving the availability of terrorism insurance coverage.

I have garnered some other interesting information from the meat of the report. Other interesting facts from the GAO report:

• The 'take-up rate', or the percentage of commercial insurance policyholders opting to buy terrorism coverage has been between 60% and 65% since 2004.


• The cost has generally amounted to about 4% of annual premium for these customers. Note that coverage is not usually priced on a percentage basis, but as a loss cost that varies by territory. I'm assuming that the 4% refers to high risk areas since those were targeted in the scope of the study.


• The policyholders that don't purchase coverage do so because they don't feel at risk or their lender doesn't require it.


• Reinsurers and Rating Agencies may influence the purchase of terrorism insurance.

The GAO asked industry personnel about what options should be enacted to aid with the availability problems. They went on to say that no consensus of industry opinion was found. The options for modifying TRIA include:

• Lowering TRIA industry deductible following large terrorist attacks


• Permitting tax-deductible reserves for terrorism losses


• Forming insurance pools for sharing assets and losses


• Catastrophe bonds


• Limiting state regulation and requirements

What does it mean for you

As an actuary, I have several take-aways from this report. In my opinion, the fact that the GAO didn't find any serious availability issues means that TRIA will remain in place, unchanged for some time to come, unless a big terrorist attack occurs. In that case, availability will 'harden' in the short term while losses are assessed.

From a risk management and actuarial point of view, controlling concentration (or your aggregation limits) is key to sleeping easy at night, even if it makes potential insurers (or their brokers) work harder to find coverage. That effort makes the system work better because spreading the loss is an important function of insurance.

The industry's lack of consensus when it comes to alternative options really hurts the industry's credibility and their ability to influence the options eventually selected. I think a industry-wide conference with interested stakeholders in the terrorism insurance arena would be a valuable first step to a more permanent terrorism insurance solution. In my mind, the government HAS to have a stake in the final arrangement, since the government's actions have a great influence on terrorism activity in the US.

You can read the GAO report GAO-08-1057 at gao.gov.

Kimberley A. Ward, FCAS, MAAA, FCA - Kimberley serves as Partner at Windsor Strategy Partners and is located at their satellite office in Newark, IL. Prior to joining Windsor Strategy Partners, Kimberley served as Chief Actuary at AAIS. Kimberley is a Fellow of Casualty Actuarial Society. She is hold memberships in the American Academy of Actuaries, Conference of Consulting Actuaries, Project Management Institute and Association of Insurance Compliance Professionals. Kimberley's core expertise includes property-casualty actuarial pricing, reserving, product development, project management, mentoring, strategic planning, education, training and employee development. See Kimberley's blog at http://viewivorytower.blogspot.com and her company's website at http://wspactuaries.com

Galveston Needs Help to Rebuild From Hurricane Ike

By Bruce Westbrook

Almost two weeks after Hurricane Ike slammed into the Texas Gulf Coast, thousands of people remain displaced from their homes on Galveston Island, where many residences were severely damaged or even destroyed. The long cleanup process is underway, but that process cannot proceed fully without full help and cooperation from the insurance companies who accepted policies designed to cover such events.

Getting an insurance company to make good on its policy can take weeks. According to the Texas Insurance Code, insurance companies have 15 days to begin investigation of a claim after a policy owner has notified them of it. (Written notification is advised.) But since the hurricane qualified as a natural disaster, the state insurance commissioner had the discretion to allow a 30-day period, which was granted.

One problem for homeowners is that, as soon as the investigation begins, the deadlines stop. Insurance companies can take as long as they need to send out insurance adjusters and others to investiate a claim. Meanwhile, the policy holder may remain homeless, or lacking a proper home in which to live.

After the insurance company has completed its investigation, it has 30 days (increased from 15 days after a natural disaster) to decide whether or not to accept and pay the claim. Upon making a decision to pay, it has five days to make payment.

These regulations mean it can take many weeks for an insurance company to make payment on a policy -- if payment is made at all. Homeowners, meanwhile, must be ever vigilant in ensuring that their claim is being processed in a timely manner. If it's not, then they may need to seek additional help.

Galveston homeowners who believe they're being subjected to insurance fraud by their homeowners insurance companies can seek legal remedies by contacting a Galveston hurricane insurance fraud lawyer with Jim S. Adler & Associates.

Getting the Lowest Insurance Rates

By Natasha Wilson

Insurance is extremely important but it can be very expensive. When you find the lowest rates you benefit in many ways. The ways you benefit include having more money in your pocket, getting the lowest price, and more.

Insurance is expensive. There are many types of insurance you should maintain in life which include term life insurance auto insurance and medical insurance If your job doesn't offer life insurance and health insurance you must shop around for the best rates possible. Many people opt not to pay for these benefits at work because their company charges too much money.

You don't have to pay for insurance through your work. You can find super low prices for health insurance This will allow you to get free insurance quotes to find the lowest rates that are affordable. You can pay for your own insurance when you look elsewhere if your business is too expensive.

When you pay for three different types of insurance it can be more than a car payment each month. You also might save a ton of money if you can find a provider who can give you all three policies. You will have more money in your pocket each month for important expenses. You can beat the high prices that your company might offer to the employees also.

Getting the lowest insurance rates is very important. When you can find the lowest rates you can actually get the coverage that you really need. Don't find ways to save money by cutting the cost of insurance out entirely. Get quotes so you can compare and save the most money possible on life insurance auto insurance and medical insurance You will save more money in the long run, especially if you should get sick, in a car accident, or die.

Natasha Wilson has been assisting consumers in saving on their Free Insurance Quotes since 2004. She is standing by to assist you in all your Health Insurance Quotes needs.