Asia Insurance Blog :: Health & Life Insurance » Insurance Policy

Do I need life insurance?

Admin — Tue, 26 Jul 2011 09:18:55 +0000

Single people often think they don’t need life insurance, and in many cases, they are right. However, there are many factors that determine your need for life insurance; marital status is just one.First of all, do you have any dependents? If you have children, or if you provide support for a parent or grandparent, your death could create a serious financial hardship for these dependents. Life insurance can provide a continued stream of income for your loved ones if you die prematurely. It can also provide peace of mind for you, knowing that they will be taken care of when you’re gone.Do you have a mortgage or other loans that are jointly held with a cosigner? If so, your death would leave the cosigner responsible for the entire debt. You might want to consider purchasing at least enough life insurance to cover these debts in the event of your death. If you have debts for which you alone are responsible, your creditors can make a claim for payment against any assets in your estate.Are you at risk for any serious medical conditions? If, for example, your family medical history includes certain genetic conditions (diabetes, certain types of cancer, etc.) it may make sense to purchase life insurance while you are young and healthy. Purchasing life insurance after you develop such a condition could be difficult, or even impossible. If you choose to buy insurance for this reason, consider adding a guaranteed insurability rider to your policy. This rider guarantees you the right to purchase additional insurance at specified times, without having to provide proof of insurability.If you died tomorrow, would you leave enough to cover your funeral expenses? If not, who would be responsible for paying? For many families, even a relatively simple funeral can create a major financial burden. For this reason alone, you might consider purchasing a small life insurance policy, or even a simple burial policy. As an alternative, you could invest the premiums you would spend on such a policy, and make sure your family knows this investment is earmarked for your final expenses, should the need arise.Even if you determine that you don’t need life insurance, make sure your other insurance needs are covered. You may not realize it, but disability insurance is just as important as life insurance. Statistically speaking, you are much more likely to become disabled than to die prematurely. Disability insurance can replace lost income if you are unable to work due to serious illness or injury.

Travel Insurance for Vacation Rentals

Admin — Tue, 05 Apr 2011 08:09:36 +0000

A family booked a rental cottage last summer, arrived safely and just loved the cottage. However, on the second day of their two week stay, the mom got a call to say her father was seriously ill and not expected to live. The family packed up and returned home, and sadly, her dad died a few days later. After the funeral, the renter called the cottage owner and asked what sort of refund she could expect as they had only used 2 days of their 14 day booking. The owner refused to pay any refund with the explanation that she relied on the cottage rental income to pay the costs of her cottage and it was always fully booked through the season. She was not able to find a replacement rental party at the last minute and as the rental agreement stated; if that was the case no money would be returned. Of course the rental group did not have travel insurance, which would probably have covered trip curtailment due to the illness and/or death of a close relative. The rental cost the family over $4000 and they were not able to recover a penny of that money.

Many people believe that trip insurance is only necessary if there is a flight involved; where delay, lost baggage, and the risk of the airline going bust, is covered; and medical cover is required in a foreign country. It’s not considered important, or not considered at all, to buy insurance to cover a trip taken by road to a self catering property in the same province or the same country. Most cottage bookings are made several months in advance and many things could happen after you have booked to change your circumstances. Illnesses of any member of the traveling party, redundancy or a call to jury service are just a few of the situations that would be covered by a travel insurance policy. A few insurance companies also offer a ‘change of mind’ clause, allowing you to cancel for any reason after a booking has been made and paid in full. This normally pays out an amount sufficient to cover any cancellation fee the rental agency or owner may apply. When you book your vacation rental property, check the property owners or agencies cancellation policies carefully. If it is not clear, ask the question. In general, most private owners and rental agencies will attempt to rebook a property if it is cancelled, and refund your money for the period they have rebooked, less a cancellation fee. The premium paid for trip insurance becomes less significant, the more you are paying, however it is worthwhile at any price, for your peace of mind.

Boat Insurance Policy Limitations

Admin — Sat, 25 Dec 2010 08:27:13 +0000

Boat insurance is an important asset for those who own and operate watercraft on either a regular or seasonal basis. The degree of protection afforded to those who purchase damage policies can remove the worries of an accident and even assist in the overall process of repairing the vehicle. However, there are certain limitations commonly put on the average boat insurance policy, requiring boat owners to recognize what kind of vehicle they are using and what kind of insurance policy applies to that watercraft.

For some insurers, size or value may immediately disqualify a vehicle from receiving coverage. This largely becomes an issue because of the cost of repairs on these vehicles, which can easily become prohibitively expensive for insurers who offer comprehensive damage coverage. Although insurers may determine what they are willing to take a risk when setting these limits, large boats or vehicles worth greater than $250,000 may need specialized insurance policies that handle more valuable or massive vehicles. Similarly, personal watercraft can occasionally be assigned a limit on worth.

The age of the boat may also be a concern for some insurers. Generally speaking, a hazardous collision is more likely in an older vehicle, as there is a greater chance for a malfunction to occur either with old propulsion systems or worn down navigation systems. Particularly, a company may have a policy range between 15 and 20 years, making any boat that is older than that limit ineligible for certain types of coverage or policy options.

Finally, boats must fit legal standards and expectations, as well as insurance definitions of a boat. This immediately disqualifies houseboats, as they generally do not fit the insurance industry’s concept of a vehicular boat. Instead, these boats may be treated differently altogether. On the other hand, boats that violate state or federal regulations for watercraft may be treated likewise, and may not be given an insurance policy.

Knowing about Car Insurance Cover

Admin — Thu, 29 Apr 2010 08:23:41 +0000

While an insurance policy that covers third party liability will suffice to meet regulatory and legal requirements, most people opt for a wider coverage to help protect them in an event that they get into an accident. There are three main types of car insurance coverage being offered in Singapore. These are:

1. Third party coverage – This covers for the legal liability arising from injury to or the death of third parties in an accident. This should also cover for damage to property. This is the minimum coverage that is required by Singapore law, and this excludes losses due to theft or damage to your own car.

2. Third party, fire and theft – On top of third party coverage, this type of policy also covers your vehicle in case it is damaged by far or is stolen.

3. Comprehensive coverage – This type of insurance policy can provide third party, fire and theft protection, while also protecting you and your vehicle.

Most of the cars in Singapore are covered by comprehensive coverage because it also takes care of personal accident and damage to your own vehicle. What is more, due to the high prices of cars in the country, most car owners would want to protect themselves from losses due to damage to their own cars. Moreover, if you sought financing for your car, the financing company will require you to get comprehensive protection.

Take note that there are situation that are not covered by comprehensive insurance unless you opt to pay for additional premiums, including but not limited to: riots, flood, legal liability due to negligence,windstorms,strikes, civil commotions.

Taking time to understand car insurance cover can help you decide if you are currently adequately protected or not. Make sure that you take out insurance that would protect you in case you get into an accident, while also keeping your premiums affordable.