|
|
|
Are you paying too much for your mortgage insurance?
Most of us, struggling to make our mortgage payments, realize the importance of financially securing our home and our lifestyle by putting in place some life insurance. Your bank or lending institution does too! They will usually require that the...
Are you paying too much for your Mortgage Payment Protection Insurance?
With recent research* revealing that homeowners are paying a staggering £7 billion more than they need to on mortgage payment protection insurance (MPPI), now would be a good time to check whether you are one of 2.2million people in the UK who are...
Home-Based Business Owners, You Need Insurance Coverage
When you start a home-based business, buying insurance may not
be your first priority, but you cannot afford to ignore it
either. When the unexpected happens -- and it will -- having
insurance coverage may mean the difference between the...
Home Equity – Let the Market Eliminate Your Private Mortgage Insurance
In decades past, most people who were interested in obtaining a home loan were required to put down at least 20% of the purchase price. Those days are gone, and as home prices have risen faster than incomes, the average down payment required by...
Insurance Regulators Focus on Abusive Sales Practices
State insurance regulators are focusing their efforts on a short list of five consumer problems areas related to the improper sale of variable annuities and life insurance. The problem areas include: 1) 1035 exchanges, 2) variable annuities inside...
|
|
| |
|
|
|
|
|
|
Insurance: The Common Insurance Points
Most people will be familiar with insurance in some form or
another. We all have taken out home insurance, car insurance or
credit insurance among others. Insurance contracts are long and
complex documents with a lot of small print. Sometimes even a
lawyer would get lost in the complexities involved in them.
However, there are a few features that all insurance contracts
must have in common.
All insurance contracts will cover a chance event that may or
may not occur. This is the risk you are insuring against. The
event may be a fire in your home, a car accident, medical costs
or virtually any other event. The sole exception to this is life
insurance, which covers your death. This is an event that is
bound to occur, however, it is the timing of death that is
uncertain here.
There must be some quantifiable economic loss. Insurers will
take on risks, but they must be able to quantify and predict the
loss involved. The insurance company must be able to know
roughly what kind of loss will be involved should the event
occur. The loss must be quantifiable in monetary terms. For
example, you may be able to insure yourself for medical expenses
or a new car, but not for the sadness you experience as a result
of an accident.
The loss must be definite. Again, insurers must know what kind
of financial risks they are taking one; otherwise they will not
be able to set the price of the premium.
The loss must be significant. The financial cost of the insured
risk must justify the administrative costs of the insurance
contract. Suppose you want to insure a racehorse. Someone will
come from the insurance company, assess the value of the horse,
write up a contract stating what's covered and what conditions
you must meet, calculate the premium and issue the contract.
This will be worth all the effort for a valuable racehorse.
However if you wanted to insure your goldfish, it would be
difficult to justify the effort involved in setting up the
contract.
The loss must not be catastrophic. What is catastrophic will
depend on the size of the insurer and the assets they have
available. But the insurance will not be worth anything if the
loss is more than the insurer could afford. For example,
insuring against an earthquake will often be impossible as the
losses, should the event occur, would be impossible for the
insurance company to ever pay out.
About the author:
Joseph Kenny is the webmaster of the insurance site http://www.insure121.com/
where you will find information, news and links to the leading
providers of insurance in the UK. If you found this article
interesting you may find more articles of the same nature in the
insurance
guide located on site.
|
|
|
|
|
| Insure.com Car Insurance Quotes, Term Life Insurance Quotes, Auto ... |
| Insure.com provides instant online car insurance quotes, term life insurance quotes, auto insurance quotes, health insurance quotes, home insurance quotes, ... |
| www.insure.com |
|
| Insurance Information Institute (III) |
| Attempts to improve public understanding of insurance -- what it does and how it works. The site is subdivided into sections for "Individuals" (consumer ... |
| www.iii.org |
|
| State Farm Insurance Companies |
| Provider of auto, health, home and life insurance. Get quotes and agents listings. National headquarters. |
| www.statefarm.com |
|
| Allstate - Official Site - Auto Insurance, Home Insurance ... |
| Offers insurance for autos, homes, property, life, mortgage protection, and business. Site includes many useful calculators and tools, an agent locator, ... |
| www.allstate.com |
|
| Progressive Auto Insurance - Car Insurance Quotes Plus Boat, RV ... |
| Provides instant online auto insurance quotes, insurance rate comparisons. Offers motorcycle, RV, boat, or car insurance. Purchase insurance online. |
| www.progressive.com |
|
| Insurance - Wikipedia, the free encyclopedia |
| It cannot put the insurance company in financial jeopardy. ... If the insured does not perform then the insurance company does not have to perform. ... |
| en.wikipedia.org |
|
| Cheap annual travel insurance | single trip holiday insurance quotes |
| Cheap quotes for annual travel insurance and single trip holiday insurance online with moneysupermarket.com. Over 450 policies compared in seconds... |
| www.moneysupermarket.com |
|
| California Department of Insurance |
| Works to foster an insurance market that is fair, competitive and accessible to all Californians. Site designed to assist consumers, aid in the licensing of ... |
| www.insurance.ca.gov |
|
| Insurance: Car, Auto, Life, Home, Business and Investment Services ... |
| Nationwide offers insurance and services including: car insurance, auto insurance home owner insurance, business insurance as well as investment services. |
| www.nationwide.com |
|
| GEICO Car Insurance. Get an auto insurance quote and save today ... |
| Offers auto and motorcycle insurance. Request quotes online or by phone. File claims online. |
| www.geico.com |
|
| Insurance Center - Yahoo! Finance - Find the Right Insurance for ... |
| Insurance Center - Protect and insure your assets with comprehensive resources about auto, home, health and life insurance. |
| insurance.yahoo.com |
|
| Compare Auto Insurance Quotes from Top Auto Insurance Companies |
| America's #1 online insurance agency. Compare instant auto insurance quotes, car insurance quotes, life insurance quotes, home insurance quotes, ... |
| www.insurance.com |
|
| Car Insurance, Home Insurance, Travel Insurance, Life Insurance UK |
| Provide travel, home contents and car insurance for professionals, graduates and students. |
| www.endsleigh.co.uk |
|
| Home Insurance Quotes, Car Insurance Quotes - Lloyds TSB Insurance |
| Home Insurance Quote, Car Insurance Quotes, cheap Travel Insurance, Pet Insurance, Business Insurance. Up to 15% discount for buying insurance online. |
| www.insurance.co.uk |
|
| Car insurance, Home insurance, Life insurance & more - Direct Line |
| Direct Line offer car insurance, home insurance, life insurance, travel insurance, mortgages, personal loans,breakdown cover and much more! |
| www.directline.com |
|
| PA Department of Insurance |
| State regulatory authority. Site provides information for consumers, producers, and the insurance companies themselves. |
| www.ins.state.pa.us |
|
| Texas Department of Insurance |
| Regulates the state's insurance industry, encouraging competition to make insurance available and affordable. [some content available in Spanish] |
| www.tdi.state.tx.us |
|
| Life Insurance (U.S. Department of Veterans Affairs) |
| Informationa about all Life Insurance programs administered and supervised by VA. |
| www.insurance.va.gov |
|
| Insurance for Canada and the United States by RBC Insurance |
| Specializes in life, health, travel insurance, and annuities for middle income families in Canada and the United States. Site offers individual, family, ... |
| www.rbcinsurance.com |
|
| Free Auto, Health, Life and Homeowners Insurance Quotes - MSN Money |
| Get free auto, health, life and homeowners insurance quotes from top insurance companies in the country. Find the latest news and information related to ... |
| moneycentral.msn.com |
|
|