Monday, November 12, 2007

Insurance Premiums

Return of Premium Term Life Insurance

Many people who shop for life insurance prefer the rates of term life as opposed to whole life. However some view the money as a waste if they are young and expect to outlive the coverage. Return of premium life insurance or ROP life insurance allows them an alternative, a return of all their premiums if they outlive the coverage.

Return of Premium Term Life Insurance is a concept where if you outlive your term life policy the insurance carrier returns all of your premiums paid in. Traditional term life is the most cost effective way to purchase life insurance. Cash Value insurance, on the other hand, means paying higher premiums as the contract pays at death. Return of Premium or ROP somewhat splits the two in the middle.

ROP typically costs 25-50% more than a traditional term life insurance policy. The key is to have your agent evaluate the rate of return on the extra premium cost for the ROP policy. For example, a healthy 35 year old male can purchase one million dollars of coverage on a level premium 30 year guarantee for about $830 per year. The ROP premium for the same is $1440. So you are paying an extra $610 per year for Return of all your premiums paid in if you outlive the term. Well, what is your rate of return re paying $610 per year for a return of $1440 x 30 years or $43200. It is 5.08% net.

In any case, this is not a bad solution if it can fit into your budget. Return of all premiums paid in are not taxable as it is a return of your principal. Consider consulting an agent that has the product savvy and software to present the facts to help you make a prudent decision. Get knowledgable quotes and comparisons from the site below.

www.danielagency.com

Alan Daniel has over 20 years experience selling life insurance and saving consumers money.

Article Source: http://EzineArticles.com/?expert=Alan_Daniel

Why It Is Becoming Hard To Decrease Flood Insurance Premiums In The UK?

The last few years have seen the amount of rainfall in the UK increase and in the past few months especially there have been horrific scenes of homes devastated and in some cases entire towns cut off for weeks at a time. It is with all of this in mind we take a look at why it is becoming hard to decrease flood insurance premiums in the UK.

Over the past 5 decades the UK has seen a massive boom in the need for housing as the population of the country has grown from around 36 million people to a massive 58 million people . This has put a massive strain on the need for affordable housing and many new estates with the expansion of towns have been built on flood planes!

A flood plane would have been the land that in times of heavy rain and swelling rivers would have flooded and offered some relief to the rivers during the flooding and the waters would have drained away. Unfortunately due to the fact that there are now properties and roads built on this land the water still floods but doesn't drain away as easy.

This leaves behind it a great deal of devastation as the waters don't only cause damage as they flood the properties but the mud and the disease that the waters can leave behind can make the properties uninhabitable for months to come. This is some of the reason that getting a decrease flood insurance premium is less likely than before.

There is also the gamble of flood insurance, if you get flood insurance included in your policy then you are likely to get an increase on the cost, however you will in the next few years see an increase in the price of home and content insurance as the insurance companies continue to regain the money that it will be costing them (an estimated 3 Billion Pounds) to put right the issues that the current floods have caused.

Can you expect to see a decrease flood insurance premium over the next few years, probably not, as the climate continues to change and the unexpected weather conditions get worse and more unpredictable then the cost will more than likely rise but is it worth not getting the insurance? Personally I think you would be mad not to protect your home and belongings.

Find more valuable information from Home Flood Insurance and make sure that you are not caught by the next major weather event.

Article Source: http://EzineArticles.com/?expert=Elizabeth_Katz

Travel Insurance - Is It Necessary?

So you want to leave the homeland for a while, see the sights, take the pictures, or perhaps, do some business. You've packed the swimming trunks, the extra layers, the hiking boots, the sun screen, but the question remains: is your medical insurance traveling with you? What happens if you get to Brazil like you always wanted to, and then, in a freak spilled mojito accident, you break your ankle? What if the escargot from that charming Parisian restaurant reacts badly with your American digestive system, and you are suddenly in the throes of the worst food poisoning you've experienced in your life? It is no small matter; according to the US Center for Disease Control and Prevention, one half of US travelers heading to another country will experience some sort of health problem while abroad.

Ever since the Michael Moore film, "Sicko," came out, we all know that many other countries (well, specifically France, Canada, and Cuba) provide affordable, sometimes free, healthcare to their citizens, but how does it work for us, Americans, abroad? Well, the truth is, unless you make special preparations, the outlook is not good. According to World Wide Medical.Com website, "most US insurance companies, HMOs, PPOs or Medicare [plans] do not provide adequate medical insurance." There may be exceptions, and you should look into the fine print of your plan, but every major US health insurance providers suggests getting some form of traveler's insurance. Unfortunately, there is no foreign country that provides free health care for travelers.

Travel insurance plans provide three types of coverage: for medical care when abroad, the cost of emergency medical evacuation, and reimbursement for sudden trip cancellations and lost luggage.

Should you require medical attention while abroad, most insurance companies provide support in the form of emergency hotlines. They will advise you on the best hospitals in the area, as well as the ins and outs of the local systems. It is strongly advised that, if possible, you consult your provider before seeking medical attention in a foreign land. Also, insurance providers warn that most third world countries' hospital systems require payment upfront for services rendered. This fee would be reimbursed by the plan.

The most pressing concern is the case of an emergency medical evacuation from a foreign country back to the US. Evacuations are necessary when a very serious medical condition arises, and the traveler/patient must be transported back to the care of his/her primary care physician or a home-based expert. This can cost upwards of $10,000 as it is a coordinated effort between several hospitals and at least one airline. Most travel insurance plans provide the option for specific coverage for this contingency.

Another aspect to consider when travelling abroad, is the cost of sudden cancellations, or changes in travel plans as a result of medical or other emergencies. In an era when airline companies are logging record numbers of lost luggage, this aspect of travelers insurance provides reimbursement for the purchase of clothes and other necessities. In this sense, you could come out a winner: imagine an 'emergency' shopping trip at the fabulous designer stores of Milan.

So, whether you are planning a road trip to Canada, or a fourteen day hike in Machu Pichu, pack some warm socks, swim trunks, and your new friend, Mr. Traveler's Insurance.

Pucher Insurance provides Canadian medical insurance for those travelling abroad or for visitors to Canada. They specialize in providing travelers with solutions for their health and travel medical insurance needs.

http://www.pucherinsurance.com/

1 comment:

Travel said...

I could not agree more that you need Travel Insuranceany time you travel. I know lots of people who had financial catastrophies without it.