Posts Tagged ‘j’
Friday, August 7th, 2009
by Amy Nutt
Car insurance companies are very strict on their insurance packages and most times, they look at your details to be able to award you the necessary insurance. Therefore, it is not uncommon to find car insurance buyers looking for ways to falsify their details in the bid to reduce their premium price and get cheaper auto insurance quotes. In fact, research has shown that in the UK alone, over 10% of all drivers have lied at a point in time about their details or records while in the US, it is estimated at a whopping 27%. Details that are mostly lied about include the age and address of the driver. In some cases, drivers have been known to leave out speeding tickets, drunken driving records and bans on driving they may have received.
Sadly, many drivers seem to think this is the norm and therefore lie about all these when they are applying for an insurance policy. And this is further influenced by the thinking that the companies are mandated to pay and reward them. Most informed drivers know that falsifying your records is seen as fraud while the uninformed drivers think it is ok to lie about their records. The truth is insurance companies are beginning to catch up with this trend and are taking steps against the frequent occurrence of such acts. One of these steps is in the installation of software that will function as a lie detector and will compare all the different data for traces of irregularities. Besides this, insurance companies now have penalties that are meted out on culprits of this act. These include:
1. Cancellation of the Insurance Policy. All culprits will lose their rights to any form of insurance with the company of they are caught. This means that all the monies paid prior to that time will not be retrieved or paid back and the driver will forfeit all attendant benefits.
2. All Claims will be lost and denied. All drivers caught in the act of falsification will be denied all claims. During accidents, most drivers and car owners resort to the insurance company to offer some form of relief. Even if the claims are genuine, the insurance company will desist from making the required payment if it detects false information.
3. Blacklisting in all car insurance companies Depending on the severity of the false information, most insurance companies will willingly blacklist the driver thus making it really hard for him to drive his car.
4. May pay Fines If the driver is found guilty of severe falsification or under the insurance act, he would be required to pay the sum of one hundred thousand dollars and another two hundred thousand dollars if there are other offences discovered. 5. Jail Terms.
In Canada, all offenders could face up to ten years in prison and may be forced to pay a sum greater than five thousand dollars if found guilty. So whatever the case may be, it is in your best interest to tell the truth at all times.
About the Author:
Full service insurance brokerage offers corporate and personal solutions. When looking for the best protection and information on Personal Insurance, Car insurance in Ajax, Health Insurance in Ajax, Commercial Insurance, Life Insurance options.
Tags: a, Ajax, b, business, business;finance, c, car, car insurance, f, family, finance, financial, h, health, home, home insurance, i, insurance, j, l, liability, life, n, o, ontario, s, society
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Tuesday, July 7th, 2009
by Amy Nutt
Life insurance provides a benefit in the form of it policy amount to protect against the loss that arises from premature death. It is based on the insurable interest, or the potential that a direct financial hardship will occur due to the death of the insured. The insured is the individual whose life the death benefit is based on and upon whom we rate the risk.
The variables or factors used to determine Life Insurance rates are based on the habits of the individual. A risk is the potential for loss or a reduction in value. The loss of life produces a financial hardship for those left behind and can be assigned a value. Loss is the reduction in value that in life insurance can be loss of future earning potential or expenses incurred for funeral, bereavement, readjustment and moving forward.
The extent to which a reduction in value may occur is the loss exposure. This loss exposure is enhanced by perils that are situations, which cause loss, affected by these hazards:
- Physical hazard, which is some physical characteristic in the environment that presents a peril (i.e. a banana peel on the ground in front of where you are walking); - Moral hazard that is based on an individual characteristic such as dishonesty, theft and fraud; and, - Morale hazard, which is blatant disregard for the law such as driving under the influence of alcohol or driving over the posted speed limit.
The extent to which a person manages risk influences their rates. For example, smoking can be considered a morale hazard because we know that cigarette smoking is a major contributor to lung cancer. Knowing this and still engaging in the habit means that the person understands the risk but does not care. Since we also know that cigarette smokers die sooner than non-smokers, smokers pay higher insurance premiums for life insurance than do non-smokers.
Another factor that is considered when rating life insurance is the person’s health. This is a valid risk factor because we know that people who exercise are healthier than those who do not exercise and people who make healthier eating choices live longer than those who eat junk food. These are those morale and physical hazards that are measured by the insurance company and priced, based on the probability of it occurring. The more likely an event occurs, the higher the cost to insure.
Insurance companies are not in the business of paying claims. This statement may seem profound but it is a rational one. It benefits insurers and society as a whole if people live long healthy lives. This helps lowers insurance costs and make it easier to afford. The insurer looks at the rate of death or mortality potential within a classification, such as all 35 year-old males. This is based on the law of large numbers and risk pooling. In order for an insurable risk to be ideal, it must be measurable, produce a financial loss, which is indemnity, be accidental in nature (which is why suicide is excluded), and based on a large group. Lower probabilities occur in larger population groups, such as those ages 25 to 45 and higher probabilities in smaller older populations, age 65 to 85.
About the Author:
Full service insurance brokerage offers corporate and personal solutions. When looking for the best protection and information on Personal Insurance, Car insurance Ajax, Health Insurance Ajax, Commercial Insurance, Life Insurance options.
Tags: a, Ajax, b, business, business;finance, c, car, f, family, finance, financial, h, health, home, home insurance, i, insurance, j, l, liability, life, n, o, s, society
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Wednesday, June 17th, 2009
by A Nutt
Employer’s liability insurance comes in three different types. There is general liability, property insurance and worker’s compensation insurance.
General Liability If you have a policy for general comprehensive liability insurance, it covers you against anyone physically injury themselves or causing damage to property while on your business site.
This type of coverage is often purchased in company with property insurance (see below) for a more complete protection against any type of accident at the place where you usually operate your business or carry out business functions.
Professional Liability For some business such as retail or food services, comprehensive liability coverage is likely enough. However, professional liability coverage is vital for many, including engineers, consultants, medical professionals and accountants.
Professional liability coverage protects a professional against claims of negligence or incompetence.
Sometimes this type of insurances is called ‘errors and omissions’ coverage, since it protects a businessperson in the case of a mistake or incompetence in carrying out his or her professional duties.
This type of coverage is vital for a professional. Claims for negligence or other omissions can be much larger than general liability claims, as evidenced by medial malpractice suits.
Property Insurance Just as a homeowner must have basic property insurance, so too must a business. This kind of coverage is usually very straightforward.
With property insurance, your business is protected against theft or accident or any other loss of your business property. This coverage is in effect even if the equipment is not at your place of business when it is lost, damaged, or stolen.
Again, property insurance is similar to homeowners in that it covers in the case of fire or other disaster. You need to read your policy carefully to determine if it covers any flooding. That type of disaster is often excluded from coverage, as is water damage from sewer backup. Know your policy and add a rider if you think it is important to do so.
Usually property insurance is packaged with general liability insurance in a single package at a basic rate.
Worker’s Compensation Insurance Worker’s compensation insurance is an employer’s liability insurance that provides coverage for medical or disability claims by employees.
If an employee has an accident or a job related illness, they will file a claim under worker’s compensation.
Each state mandates that businesses with even one employee provide this coverage, and most have pools to help small businesses cope with the expense. It can be expensive to own a policy, particularly if a former employee or employee has a claim.
The amount of a company’s premium is based on a formula calculation. The formula takes into account the services offered by your company and the payroll each pay period.
Requirements vary for each state regarding how much you need to pay into the fund. Make the assumption that you will need to pay for each employee in your business, even though there are times that you as the owner and members of your family are exempted from workers comp insurance.
Depending on your state, you may be able to shop around for the best rates and service.
About the Author:
Full service insurance brokerage offers corporate and personal solutions. When looking for the best protection and information on Home Insurance, Car insurance in Ajax, Health insurance, Commercial Insurance, Life Insurance in Ajax options.
Tags: a, Ajax, b, business, business;finance, c, car, car insurance, e, f, family, finance, h, health, health insurance, home, home insurance, i, insurance, j, l, liability, life, Life Insurance, n, o
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