Hidden In Plain Sight-Term Life Insurance Conversion

Most people do not have a clear understanding of the various options available in term life insurance, and consequently make decisions based solely on price. This document was written to help you determine what additional issues may also have a bearing on the best value for you.
The Problem
As consumers, we generally concern ourselves with price because we are most comfortable when comparing something obvious such as numbers. Prices are easy to compare and understand; especially when it concerns products we generally have little experience in purchasing.
Previous Option
Compounding this problem as it concerns term life insurance in particular, is that many popular internet sites allow the consumer to obtain a quote simply by completing several questions
about build, health and lifestyle. Once quotes are obtained, it’s up to the buyer to choose their best deal. We know this can be a disservice to the client, and in the pages to follow we give a specific example of why, and what to consider.
The LifeNet Solution
We believe life insurance is too important to your beneficiary’s welfare and your own peace of mind to choose coverage based on limited information and undefined objectives.  Certainly there is nothing wrong with checking premium costs to get some idea of the market; however, we believe clients are not well served by a mechanical procedure which does not address issues central to the reason for purchase in the first place, i.e. your beneficiaries’ security.
An Example
Let’s take a case of a 60 year old male, a non-smoker in good health and in need of a $1,000,000 policy to examine how both approaches work, and show why our method is superior and provides more value to you, the applicant.
The competition provides you a number of quotes detailing carrier name, carrier rating, health category, and premium. Should you wish to apply, simply pick your carrier and the application
appears. No fuss, no bother, and no idea if this offer is the best value. In fact, it is rare to find premiums of the lowest cost carriers to vary widely.
The lowest cost provider with an A+ or better rating, which we’ll call Company A has an annual premium of $4755. Two other carriers (Companies B and C) have annual premiums of $4955 and $4980 respectively.
All three have convertibility options, but each company’s conversion rules vary and can result in very different opportunities for the insured. In each case, conversion will be at the same health rating that the insured received at the time of the original purchase. In essence, this guarantees the health rating at conversion without evidence of current insurability. This is
extremely important since health tends to worsen as we grow older, you could even be uninsurable. In addition, most carriers will allow a partial conversion. That is, a $1,000,000 term may be converted into a permanent policy of any size up to the original face amount of $1,000,000. Most permanent policies have a minimum face of $100,000.
Now back to our example. Company A is relatively small compared to others. Its market is low cost term insurance, and they allow conversion to a whole life policy. You may convert to this
policy at anytime your term policy is in force up to your 70th birthday.  Company B’s policy is also convertible up to age 70; however conversion to several policies is available. Among them is a flexible premium universal life policy with a guaranteed premium.  This type of policy is designed to have the lowest possible premiums. It is guaranteed to stay in force for your lifetime as long as premiums are paid on a timely basis. Both the premium and the face amount of the policy never change. These policies are designed without any cash accumulation, and have considerably lower premiums than whole life.
Finally, Company C has identical conversion policy choices as Company B, however the conversion option stays in effect for an additional five years to age 75. This additional 5 years
can mean a great deal because the older we become, the more likely our health rating will change in a negative way. If you find you need lifetime coverage, the extra 5 years of
convertibility can make a big difference in protecting your beneficiaries.
Any financial plan is just that, a plan. It is based on what we consider reasonable in light of what we know now. However, anyone in their 50’s or older knows how plans can change for
many reasons, some under our control, but many not.  To summarize, both company A and B have identical conversion time periods, while company B has better choices than company A. Company C has the same conversion choices as Company B and extends the window of opportunity an additional five years to age 75.  Now comes the interesting part. As the owner of the policy, you may have the potential to sell this policy if your need for coverage has decreased or disappeared. This transaction is called a “Life Settlement”. Life Settlements have become a multi-billion dollar market in the last few years and it’s easy to see why as we now look at all three carriers. Legitimate Life Settlements should not be confused with “Stranger Originated Life Insurance (STOLI)” which is illegal in many states.
                                Company A            Company B             Company C
Annual Premium                   $4,755               $4,955               $4,980
Total Premiums (15 yrs)          $71,325              $74,325              $74,700
Sale of Policy                     0                     0                 $200,000 (est*)
*This estimate is based on a composite of real cases, but will be dependent upon actual conditions at the time of potential sale, and in no way is it to be considered a guarantee of future results. Remember, you should never attempt to sell a policy if you still need coverage or your health has declined. This type of transaction is designed for individuals whose objective has changed due to financial circumstances different from when the policy was purchased.
For a term policy to be considered a good candidate for sale, it must be convertible into a universal policy with little or no cash value and guaranteed level premiums.
Implementation
1. Contact an independent agent with access to the majority of highly rated insurance companies. Once you find someone you feel comfortable with, check their status with your state insurance department. This is quite easy to do. Just go to your state insurance department website.
2. Remember, agents cannot guarantee you a premium cost! They can only use their best efforts based on the health, lifestyle and the family health history you provide. Omitting
information does a disservice to both you and the agent. Life insurers deal with fraud or incomplete information regularly. When you withhold information, you hurt your chances for the agent to advocate on your behalf. Additionally, it may harm your ability to obtain coverage with another carrier.
3. Discuss your objective with the agent. Agents can suggest approaches to coverage you may not have considered.
4. Make sure you ask about conversion options.
5. Be prepared to have a paramedic exam, typically done at your home, your office or at the exam company. Most carriers require blood and urine collection and an EKG to be performed by an independent paramedic company. In some instances, it is possible to purchase coverage without these tests, however be prepared to pay higher premiums for smaller amounts of insurance.
6. Ask questions. Good agents are in the service business and want to do a good job for you. So let them!

NIG targets SME insurance in Scotland

Commercial insurer NIG has announced plans to invest in and grow its Glasgow-based team as it looks to explore opportunities in the underserved SME market in Scotland.
A team of 12 underwriters in Glasgow currently handles new business, while the majority of Scottish renewals are looked after by NIG’s Manchester operation. However, NIG will be phasing the handling of renewals back to Glasgow and has already begun the recruitment process. The total number of underwriters in Scotland is also targeted to grow by up to 50% over the next 12 to 24 months.
Alan Kirkwood, Area Business Development Manager for NIG in Scotland, will continue to manage the sales team in Glasgow. As well as three Business Development Managers, NIG has also recruited a sales coordinator and is currently recruiting an Area Underwriting Manager who will lead the underwriting team.
Staff in NIG’s Manchester office will not be adversely impacted by the transition to Glasgow as NIG is also looking to grow in the Manchester market. This is supported by the recruitment of a new Area Business Development Manager for the branch to work alongside Steve Williams, NIG’s Manchester Area Underwriting Manager.
The decision to invest in its Scottish operation was catalysed by on-going feedback from brokers operating in the Scottish market who highlighted the need for a dedicated local service for them and their clients.
In a recent survey1 conducted by NIG on a sample of leading brokers in Scotland, 40% said that one of the key requirements they look for from their commercial insurance partners is a ‘strong, regional office’; overall, they rated ‘fast, efficient customer service’ in first place (60%). Asked about opportunities in the Scottish market, the majority (73%) said that commercial landlord and property owner lines are expected to show the most growth, followed by fleet/motor (46%) and tradesman (40%).
Alan Kirkwood, Area Business Development Manager for NIG in Scotland, said: “The team of four business development staff is dedicated to visiting brokers here in Scotland and maintaining a close relationship with them. NIG understands the Scottish market extremely well and the investment being made in the Scottish office underlines how committed we are to the region.”
Dave Parry, Director of Sales and Distribution for NIG, said: “Since 2009, the work we have carried out at NIG has been very focused on our face-to-market capability. We have recruited some great people and continue to invest in the talent we need to grow our business sustainably. We have listened to our broker partners and our continued investment in the Scottish market underlines our belief that there are rewards to be earned from getting closer to the local broking operations that have a strong relationship with their clients.”

A Good Insurance Company

A good Insurance company offers exceptional auto coverage. Those that are insured by a reliable company can rest easy knowing they are covered by a reputable agency. Most people do not realize that they are not covered properly until something happens. Once someone realizes they were not covered properly it is too late.
Imagine being a victim of a storm or a vehicle collision. It should not take an accident to happen before an individual realizes that they need to increase the coverage of their policy. Individuals should be advised of their options concerning premiums, deductibles, rates, and detailed coverage information. They should also receive excellent customer service in the process.
Agents who provide excellent customer service should be prepared to answer any questions insurers might have concerning their insured assets and coverage needs. Consideration of multiple vehicles, good student discounts, air bag, accident free, and good driver discounts should apply to existing policy holders as well as prospective clients.
Coverage can be provided for trucks, motorcycles, motor homes, boats, snow mobiles, and ATV’s these are items that can be insured by insurance companies that offer a variety of services. These items are sometimes the riskiest investments an individual can make. Therefore personal items such as these should be insured by the best insurance with an excellent reputation.
A free quote should provide existing and prospective customers with bundled insurance discounts, auto and home insurance. Knowledgeable agents will provide information with convenience and security to their clients. No information should be omitted when individuals are shopping for coverage.
An agency that has been protecting families for several years is one that has creditability.  Trust and stability is everything and excellent insurance companies that provide its insurers with reliable service and products.
These items are important parts of life and should be covered by the best company which includes auto, health, business, home, life, and retirement. A good Insurance company will cover all the needs of its clients while providing them with peace of mind and satisfaction.

Demolition Insurance - Planning For The Unexpected

As a demolition contractor, you understand the importance of forward planning that takes into account every possibility and ensures that you are never taken unaware by events – because you understand the possible outcomes, you can make the demolition go the way you want it to. It probably also feels like getting demolition insurance takes the same amount of planning, with you having to assess which risks your business is likely to face and which ones are not so likely.
Obviously, the starting point will be those insurance elements which are required by law, and most clients will require you to have these in place before they’ll even consider awarding you a demolition contract. Combining public, employer and product liability cover into a general liability policy can be a good idea, giving you the security of knowing that you are covered for the work you are doing now and any future impact it may have. The cost will vary according to the type of work you do, how many employees you have and the company turnover, so be sure you are accurate when negotiating with your insurance broker. Generally speaking, you’ll be covered for a minimum of £5 million for your liabilities, and you can probably double that with government or local authority contracts who will stipulate a minimum level of cover.
As for the optional items in the policy, the ones you include will often depend on the type of work you do and, unsurprisingly, the options are as varied as the work itself. There are clauses covering excavations or work done at height, asbestos clearance, pollution or other harmful substances, and just about anything else you can think of. Obviously, those might or not be relevant to your work so make sure you only add those which matter.
There are a couple of other options which can form part of a demolition insurance policy, and should be considered regardless of the type of work your demolition company does. Tools and equipment are the main things to think about here as these are often items that can be expensive to replace, and they can be covered against loss, theft, damage or total loss on or off site as you require.
As a final word, don’t be tempted to save time by buying a standard demolition insurance policy. It is by far better to get something that is tailor made to the work you are likely to be doing – just as every demolition company has a different set of risks, so should every policy. It might save you time to go for a standard package, but it probably won’t save you money and you will almost certainly be over-insured, covered for risks you just don’t face.

Rates And Reasons – What You Need To Know About Insurance

nsurance may even cover your property after an emergency or odd event. Having a good insurance is the best way to prepare yourself for what you cannot foresee.
If the time has come for you to find a new policy provider, check if your current state gives you any kind of facts or data about local providers and their premiums. By doing this, you can get an idea of the price of insurance where you live. They can also provide specific information about insurance agents and insurance companies.
If you want a quick response to your claim, describe clearly what happened. Make sure you snap some photos of your damage. Be honest with your insurance company. Don’t allow yourself to be tempted by the hope of more money by exaggerating or lying, or you may not receive payment.
If you’re running a small company, make sure you’re insurance options have been covered. Most insurance coverage gives you an umbrella over a lot of various risks, but might not cover particular potential issues, meaning that you should seek a policy or additional coverage that will cover you.
Many companies sell different packages that include insurance for a variety of types of property. Not only will someone only have to deal with one company, but they usually will also get a discount.
Cancel the towing part of your policy, especially if you unlikely to need it. A tow usually costs around one hundred dollars, but you pay more than that after just a few years of insurance. You probably won’t use the towing part of the plan, especially since other areas of the policy will cover towing after an accident anyway.
Search out trustworthy companies that have good rates before you purchase insurance. There are a number of websites that provide reviews and information about insurance companies. The JD Power site has customer ratings on many prominent providers. Check the NAIC website to find information about complaints filed against any company you’re considering. Ambest.com is a great way to check the validity of a company.
Always ensure that you have your insurer send a paper copy of any new policies. A written copy allows you to read through the information and make sure your understandings were correct, as well as that the agent fulfilled the order.
Your insurance agent can help you with inquiries that are not answered in your policy. Speak to them over the phone, and let them know what your questions are. Your agent will know what you need and is pleased to assist you.
Subscribing to more than one policy is a good way to get discounts. Once you have an offer, compare it to other companies online to see if you can get a better deal.
With respect to anything that may lead to a claim being filed with your insurance company, stay calm and collected, and be sure to get all the facts and details. All this evidence not only helps your insurance company stand up for you in potential legal proceedings, at the very least it can mean processing basic claims faster.
As stated at the beginning of the article, there are many different types of insurance available. Hopefully you have discovered ways you can insure yourself and/or your property that you hadn’t thought of before. Having insurance gives you piece of mind that in the unfortunate event of a tragedy, illness, or accident, you and your family will be covered, and a bit more prepared.

Choosing The Right Health Insurance For You

Review your insurance plan annually to see which prescriptions are covered. Reread the list of which drugs are covered every time you re-enroll in your health insurance plan. It’s far better to know in advance than to be embarrassed at the drug store by your sudden inability to pay for your prescriptions.
A history of pregnancy complications or a previous C-section may lead an insurance provider to deny coverage to a woman on account of the expenses incurred; some health care insurers will use this as an excuse to flat-out deny coverage. The sad truth of the matter is that a C-section procedure is often considered optional, not to even mention that it’s expensive. When you’re dealing with money, insurance companies love to skirt responsibility.
Some companies charge extra if your spouse is covered under your health insurance when insurance is available at his or her place of employment. Take a look at the details and determine whether you could actually benefit financially by keeping your policies separated.
It is of the utmost importance that you review all documentation concerning your health insurance plan. The reason for this is that you have to be knowledgeable of what your plan covers and what it does not. If you choose a policy which has contingencies that are counter to your desires, you could end up spending hundreds of dollars out of pocket!
Health insurance companies let you make choices about what they can include in their benefits. Common items that are negotiated are size of co-payment, whether prescription drugs are covered, and whether dental and vision care are covered. As you add benefits to the policy, you also add additional costs to the premium. If you opt for fewer options, you will pay less.
Inquire about reduced health insurance rates when covering all the members of your family. Companies will often offer a reduction in your premium when you’re covering multiple people, much like group insurance. Inquire about this specific possibility before you sign on to any one plan.
Save money by never paying your health insurance premiums with your credit card. Many companies charge fees for using a credit card, and these fees can add up to a lot of money over time.
If you have vision problems now, or if members of your family do and you think you will in the future, vision insurance is something you will want to purchase. Vision insurance can cover a majority of your checkup costs as well as the costs of any frames, lenses or contacts you may need. This type of insurance may not be necessary for some people, as they don’t use vision services enough to make it worth the cost.
Consider the doctors you currently use, and how they fit in with the network of new insurance providers. If your favorite doctor is not within a prospective carrier’s network, it may be wise to seek alternative insurance providers.
It is essential to do some research and compare costs before purchasing a health insurance policy from a provider if you have one or more pre-existing conditions. Often companies will disallow coverage or charge increased prices for coverage, when pre-existing conditions are present. You can get the best coverage at the lowest rate if you take the time to do some research.
One way to keep costs down when paying for prescription medication is to ask your doctor to prescribe twice your usual dose. Often times, the bigger pill is not twice the cost of smaller pills, so you could end up saving money by buying these in the long run. The savings will offset the cost of a pill splitter in a relatively short order.
When shopping around for health insurance, it is important to be knowledgeable about regulations or laws governing health insurance that may affect you. For example, you’ll want to know if your state offers any protection for people with preexisting conditions. Having knowledge of these regulations is imperative so that if the situation arises, you will know if your health insurance provider is attempting to deny you proper coverage.
It is important to review your health insurance policy each year during open enrollment. If your family has grown or someone’s needs have changed, you may have to change your coverage. Open enrollment allows you time to change vision and dental insurance if your employer provides these options.
Several different kinds of insurance plans exist. Each one serves a different purpose or need. You could choose plans that covers the areas you need now and hold off to purchase a full coverage when you possess the money to do so.
Health insurance is necessary to prevent huge financial losses if you get extremely ill or severely injured. Unexpected illness can develop at any time, or you could be the unfortunate victim in an automobile accident. Here are a few tips you can use as somewhat of a check list for getting an insurance policy for your health, so that you can get an affordable, suitable plan for you and your family.

Life Insurance

Life insurance or life assurance is a contract between the policy owner and the insurer, where the insurer agrees to pay a sum of money upon the occurrence of the insured individual’s or individuals’ death or other event, such as terminal illness or critical illness. In return, the policy owner agrees to pay a stipulated amount called a premium at regular intervals or in lump sums. There may be designs in some countries where bills and death expenses plus catering for after funeral expenses should be included in Policy Premium. In the United States, the predominant form simply specifies a lump sum to be paid on the insured’s demise.

As with most insurance policies, life insurance is a contract between the insurer and the policy owner whereby a benefit is paid to the designated beneficiaries if an insured event occurs which is covered by the policy.

The value for the policyholder is derived, not from an actual claim event, rather it is the value derived from the ‘peace of mind’ experienced by the policyholder, due to the negating of adverse financial consequences caused by the death of the Life Assured.

To be a life policy the insured event must be based upon the lives of the people named in the policy.

Insured events that may be covered include:

• Serious illness

Life policies are legal contracts and the terms of the contract describe the limitations of the insured events. Specific exclusions are often written into the contract to limit the liability of the insurer; for example claims relating to suicide, fraud, war, riot and civil commotion.

Life-based contracts tend to fall into two major categories:

• Protection policies – designed to provide a benefit in the event of specified event, typically a lump sum payment. A common form of this design is term insurance.
• Investment policies – where the main objective is to facilitate the growth of capital by regular or single premiums. Common forms (in the US anyway) are whole life, universal life and variable life policies.