Your house is a big investment - probably one of the biggest you're every likely to make. It is also the place that you and your loved ones call home; a shelter and haven from the outside world. That's why it is so important to ensure that your home and family are protected in the event of your death. It's not a topic that any of us like to dwell on, but the sad fact is that should you die and the family are no longer able to afford repayments on the house, they will lose the property and the roof from over their heads.

Having a good life insurance policy in place to protect your property in the event of your death is vital. When you die, your family will have enough to worry about without the added stress of how they are going to hold on to the family home. Your life insurance policy will ensure that this problem is eliminated, with the mortgage balance being paid in full upon your death.

The main types of mortgage life cover

The type of mortgage life insurance cover that you require will depend upon what type of mortgage you have, a repayment or an interest only mortgage. There are two main types of mortgage life insurance cover, which are:

• Decreasing Term Insurance
• Level Term Insurance
  

Decreasing term insurance
This type of mortgage life insurance is designed for those with a repayment mortgage. With a repayment mortgage, the balance of the loan decreases over the term of the mortgage. Therefore, the sum of cover with a decreasing term insurance policy will also go down in line with the mortgage balance. So, the amount for which your life is insured should match the balance outstanding on your mortgage, which means that if you die your policy will hold sufficient funds to pay off the remainder of the mortgage and alleviate any additional worry to your family.

With the decreasing term insurance, the cover is usually taken out over the term of the mortgage, and payment is made should you die during the term of the policy. Once the policy has expired, it becomes null and void, so you will receive nothing at the end of your policy if you are still living. There is no surrender value on this type of cover, but it does provide a cost effective means of protecting your home and family during the life of your mortgage.

Level term insurance
This type of mortgage life insurance cover is for those that have a repayment mortgage, where the principle balance remains the same throughout the term of the mortgage and the repayments made by the property owner cover the interest payments on the mortgage only.
The sum for which the insured is covered remains the same throughout the term of this policy, and this is because the principle balance on the mortgage also remains the same. Therefore the sum assured is a fixed amount, which is paid should the insured party die within the term of the policy. As with decreasing term insurance, there is no surrender value, and should the policy end before the insured dies no payout will be awarded and the policy becomes null and void.

Terminal illness benefit
Both of the above types of cover normally include terminal illness cover, which means that the mortgage is cleared should you be diagnosed with a terminal illness rather than waiting until you actually die. This helps to ensure that you do not have the additional worry of trying to meet repayments when a terminal illness takes away your ability to work and earn money, and at a time when the whole family has enough to worry about without having to stress about meeting mortgage repayments.

Critical illness cover
Critical illness cover is another type of insurance policy that can be added on to either of the above mortgage life insurance polices and provides an extra element of protection and peace of mind. This type of cover can also be taken out as a stand-alone policy, but usually proves much better value if simply added on to a main insurance policy.

With critical illness cover you will be eligible for a payout in the event that you are diagnosed with a critical illness. If you then go on to recover from the critical illness, the payout is yours to keep but the policy becomes null and void following your claim. The illnesses that are covered by this type of policy are defined by the insurer so you should ensure that you check the terms when taking out critical illness cover.

Adding critical illness cover to your policy will only increase your repayments by a small amount, but can provide valuable protection if you are diagnosed as critically ill and are therefore unable to work. With your mortgage repaid from the payout of this policy, you will not have the additional worry of trying to keep a roof over your head at a time when you should be concentrating on trying to make a recovery.

Summary
As indicated by the features of the two main types of mortgage life insurance cover, the policy you go for will depend largely upon the type of mortgage you have. Both types of cover offer value for money, with some really low cost deals available. Of course, the amount that you pay will ultimately depend upon the level of cover you require. For total peace of mind it is always advisable to go for a policy with critical illness cover incorporated into it.
Having some form of mortgage life cover is essential to protect your home and your family. After working hard to buy your own property, the prospect of it being repossessed in the event of your death can be worrying both for you and for your family. A mortgage life cover policy will ensure that this does not happen, and will give your family the security of knowing that whatever happens they will still have a roof over their heads.

Claire Bowes is a successful freelance writer and owner of http://www.a1-life-insurance-quotes.co.uk where you will find further advice and information on life insurance, critical illness cover, income protection and mortgage protection cover.

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

Insurance Coverage: Know Your Choices Part 2

This useful Article From : http://homeownersinsuranceguide.flash.org/knowyourchoices.htm

How Much Insurance Is Enough?
Depending on the type of policy, the different dwelling coverage options could be:
1. Replacement Cost Coverage
2. Actual Cash Value
3. Special Payment - loss is paid before dwelling is repaired, rebuilt or replaced.
4. Functional Replacement Cost or Market Value Coverage - repairs are made using common, modern materials and methods without deduction for depreciation unless repairs are not made, and if a total loss, the payment amount will be the market value of the home.
5. Stated Value - a selected value is established by the insured, and this value is the limit of liability.
Depending on the coverage you select at the time of purchase of your policy, if you should incur a loss, the settlement of that loss will vary. A loss can be settled based on a replacement cost, repair cost, or actual cash value basis. Replacement cost is not the market value of your home, nor is it the tax-assessed value. It is the cost to replace the damaged property, with no reduction for depreciation of the damaged property. Actual cash value is the cost to replace the damaged property reduced by an allowance for depreciation. Functional cost or market value (also known as repair cost) is the cost to repair the damaged property with equivalent construction for similar use. An example of functional replacement would be to replace a plaster wall with drywall. If stated value coverage is selected, the maximum amount paid at the time of loss is the value of the policy, even if the loss amount is larger than the value of the policy.

Personal Property Coverage Choices
Depending on type of policy, the different personal property coverage options could be:
1. Replacement Cost Coverage
2. Actual Cash Value

What Does Insurance-to-Value Ratio Mean?
This is the relationship of the amount of insurance purchased to the replacement value of the property. It is important to have an accurate assessment of the replacement cost value of your home. If you do not, and then have a loss, the cost to actually replace your home may be more than your insurance policy will provide. That means you would be responsible for covering the difference. Major catastrophes, such as earthquakes, hurricanes, and wildfires can often create a demand surge for materials and labor, resulting in increased costs to replace damaged property. This must be considered when establishing the appropriate replacement cost for your property.
Most property policies require that the property be insured to at least 80% of the replacement cost, or loss payments will be reduced by a proportion of the insured value to 80% of replacement value. This is referred to as the coinsurance penalty.

It is also important to realize that other limits within your policy are a percentage of the dwelling coverage amount. For example, the limit of coverage for your personal property will usually be at 50% of the dwelling limit. Additional coverage is available via endorsement, and is typically increased if you purchase replacement cost coverage for your contents.

Replacement Cost Coverage
In order to qualify for replacement cost coverage, you will most likely be required to insure your property to at least 80% of the replacement cost. As long as this requirement is met, and if you have a total loss, your insurance policy will cover the total cost of replacing your home. Further, if the property is not insured to at least the 80% value, then the payment for partial losses may be reduced.

Additional Limits in Case of Total LossMany insurance companies offer an endorsement that will provide the full coverage to replace the property in the event of a total loss. Usually, the company requires that the property be insured to at least 100% of the replacement cost of the property in order to qualify for this additional coverage. As long as this requirement is met, if you have a total loss and it costs more to replace than your limit (from a misestimate or demand surge), your insurance policy will be increased. The amount of the increase depends on the endorsement purchased, and can be anywhere from 25% to 100%.

Optional Coverages
Additional coverages may either be included in your policy, or available for a separate price. Coverages like building code upgrades, which provide coverage for upgrades that the community requires for building codes when a home is being repaired or rebuilt as a result of a covered loss, may be available separately. Also, optional coverage for perils, such as earthquakeinsurance, is often purchased to supplement a homeowners policy.

More Property Insurance at Homeowners Insurance Guide

Insurance Coverage: Know Your Choices Part 1

This useful article from : http://homeownersinsuranceguide.flash.org/knowyourchoices.htm

What is a Covered Property?

Generally, covered properties are divided into four separate categories. The definitions of the property, and the extent of coverage vary by state, company and product. So it is important for the consumer to understand the definitions of the covered property. The four separate categories for your home, as defined by insurance companies, are:
1. Dwelling – The structure of the house is considered a covered property.
2. Other Structures – These are structures that are separate from the house, or connected to the house by a fence, wire or other form of connection, but not otherwise attached to the dwelling, such as a tool shed or detached garage.
3. Personal Property – The contents of your home are your personal property. This includes furniture, appliances and clothing. Not all personal property is covered. Items more appropriately covered under different forms of insurance may have limited or no coverage for loss. These items include, but are not limited to, money, jewelry and firearms.
4. Loss of Use – When a loss occurs due to a covered peril and the dwelling becomes uninhabitable, the cost of additional living expenses is covered. Reimbursement of additional living expenses covers the cost to the insured for maintaining a normal standard of living.

“Open Perils” and “Named Perils” Coverage
A peril, as referred to in an insurance policy, is a cause of loss, such as fire or theft. Coverage can be provided on an “all perils” basis, or a “named perils” basis. Named Perils policies list exactly what is covered by the policy, while Open Perils (or All Perils) policies will list what is excluded from coverage. Named Perils policies are generally more restrictive. A dwelling policy usually provides coverage for both the dwelling and contents on a named perils basis, while a homeowners policy usually provides coverage for the dwelling on an all perils basis, and for the contents on a named perils basis.

Package Versus Peril-Specific Coverage
A package policy provides coverage for multiple, but usually not all perils. A homeowners policy, for example, is a package policy typically providing coverage for the perils of fire, lightning, and extended coverage. Extended coverage includes coverage for the perils of windstorm, hail, explosion, riot, civil commotion, aircraft, vehicles, smoke, vandalism, malicious mischief, theft, and breakage of glass. Some policies, such as earthquake or flood policies, provide coverage for specific perils that are often excluded in package policies. Fire and sprinkler leakage damage as a result of an earthquake may be covered by a standard homeowners policy. To purchase the most appropriate insurance, it is important for you to consider what additional perils you may face. And, you should always verify what is covered in your specific policy.

Does My Policy Cover That?
1. Earthquakes – Most property insurance policies exclude coverage for losses resulting from earthquakes (although they often cover losses related to fires following earthquakes). Separate policies are typically required to ensure coverage against losses from earthquakes. Some states with risk of loss from earthquakes have government mandated insurance plans that provide earthquake coverage to property owners who are unable to obtain insurance through the voluntary market. (See page 8 for explanation of voluntary and involuntary markets.)
2. Flood – Most property insurance policies exclude coverage for losses resulting from flood. So unless you purchase a flood policy, you do not have coverage for flood losses. (For a more comprehensive discussion of flood insurance, please see Preparing for a Flood, page 25.)
3. Hail – Most property insurance policies provide coverage for losses resulting from hail. Hail is a named peril, meaning for coverage to apply under a “Named Perils” policy, hail must be defined as a covered peril.
4. Hurricanes – Most property insurance policies provide coverage for losses resulting from hurricanes, except for flood loss associated with the hurricane. (See Preparing for a Flood, page 25, for more information.) However, some policies only provide limited coverage for hurricanes, or require that a higher deductible be purchased specifically for the hurricane peril. Most states with risk of loss from hurricanes have government mandated insurance plans that provide hurricane coverage to property owners who are unable to obtain insurance through the voluntary market. (See page 8 for explanation of voluntary and involuntary markets.)
5. Tornadoes – Most property insurance policies provide coverage for losses resulting from tornadoes (although they do not cover losses resulting from the peril of flood; see Preparing for a Flood, page 25, for insurance availability). While tornadoes may not be specifically mentioned as a covered form of loss, tornado losses are one event covered under the broader term windstorm. Windstorm includes tornadoes, straight-line winds and hurricanes. However, there may be instances where coverages and deductibles may apply specifically to hurricane and not to all windstorms.

6. Wildfires – All property insurance policies provide coverage for losses resulting from fires. Depending on the level of exposure, you may need to consider a higher deductible to obtain coverage, or keep it affordable. Most states have coverage available via the FAIR plan, or a JUA, if the voluntary market is not willing to provide coverage.

Next Part

Insurance: Don't Let Health Care Hijack Your Retirement

by Jeffery Voudrie

One of the greatest financial challenges faced by today's retirees is the rising cost of health care. Prescriptions, insurance premiums, doctor's office visits and hospital stays are all increasing more rapidly than inflation. Whether you're in your golden years or fast approaching them, you must take a serious look at how health care costs will affect your retirement nest egg.

The causes of rising health care costs are many. Today's population is living longer than ever. That's a good thing, but it does mean that our health care system is being stretched to handle the increasing load. New drugs and other treatments are continually coming on the market to address health care problems in new ways. Preventive drugs are being prescribed than ever before.

Some retirees get blindsided by changes in their company's health plan. Today, only 11% of companies offer health benefits to retirees, and that number is decreasing. Many don't realize that these retiree health benefits aren't a legal obligation of the company and can be changed at any time. To cut costs, many companies are reducing benefits, charging more, or eliminating retiree health plans entirely. For example, one of my clients retired from a large company and due to its financial troubles and rising health care costs, his monthly premiums have increased from $40 a month to $220 in just 4 years.

So what's a person to do? You can't escape the rising cost of health care, but you can certainly plan for it. Pre-retirees need to take a hard look at their savings plan to make sure they're saving enough to cover these costs. Find a financial calculator on the internet to determine how much to save.

If you're still years from retirement and healthy, don't think you'll need to save less. As you age, chances are your health will decline, perhaps suddenly. So don't base your savings on your health situation today.

But saving enough isn't always practical. Pre-retirees and retirees alike need to have a back-up plan in place in case their health care or other expenses take a sudden unexpected increase. You may need to adjust your investment strategy and method of investing. Be prepared to reduce your other expenses, perhaps by lowering your lifestyle or selling your vacation home. You need to be prepared to tap your principal if necessary. Some seniors have found themselves reentering the workplace, either part time or full time to handle these expenses.
Another way to manage your health care costs is to slash the costs of your prescriptions. Medicare recipients are eligible for a Medicare Approved Prescription Discount Card through the end of 2005. You can check out all the details at www.aarp.org.

Many find that ordering drugs through the mail offers them greater savings and convenience, especially when ordering from Canadian pharmacies. In fact, several states, including Illinois, New Hampshire and Wisconsin have taken active steps to make ordering drugs from Canada easier for their constituents. All told, 24 states have considered similar measures. With savings of around 60% in some cases, it's easy to see why.

Sometimes ordering a 90 day supply has a lower cost, plus you save 2 co-pays versus a 30 day supply. Some doctors will prescribe a higher dose drug with the understanding that the patient will cut the pill in half. This 'double dose' method should only be used under your doctor's supervision but can also reduce your costs. Generic drugs can save you a bundle.

Researching prescription plans, prices and ordering options can take a good deal of time and can be somewhat confusing. But the savings can really add up. The good news in all of this is that today's seniors are living longer and better than ever. And this is due in large part to the great strides in medical research. We may hate to pay more each year for our health care, but it's that very care that is greatly increasing our quality of life. With proper planning and savvy consumer action, you can continue to afford what is probably the greatest health care in the world.

If you'd like free, clear, unbiased advice submit your questions to

www.guardingyourwealth.com/askjeff.htm. You'll be glad you did.

SPECIAL REPORT:
Has this 'Investment From Hell' been recommended to you by your advisor? I hope not! This complimentary 47-page Special Report is jam-packed with solid information you need to know to protect yourself. This report could save you and your loved ones tens, even hundreds of thousands of dollars. To get your copy just click here:
http://www.guardingyourwealth.com/SpecialReports/GeneralEIA.htm
Mr. Voudrie is a Certified Financial Planner, nationally syndicated newspaper columnist and President of Legacy Planning Group, Inc., a Private Wealth Management Firm in Johnson City, TN. He can be at jeff@guardingyourwealth.com
About the Author
Nationally-syndicated financial columnist and Certified Financial Planner® Jeffrey Voudrie provides personal, in-depth money management services and advice to select private clients throughout the USA. He'll answer your financial question - FREE at www.guardingyourwealth.com.

How to profit from term life insurance

by Oliver Turner

Term life insurance is a type of temporary life insurance. The purpose of term life insurance is to reduce financial risk for a fixed period usually between one to twenty years. One example will make things clear. Sarah buys a life insurance policy to insure her husband John's life. She pays 20$ premium per month to the life insurance company. The period of life insurance is for 20 years. So if John dies within 20 years, Sarah will get 4800 dollars. However if John doesn't die within 20 years Sarah will get some money after 20 years which will be much less compared to 4800 dollars.
However if she buys a term life insurance of 4800 dollars for 20 years, she may have to pay premium of less than 20 $, say 10 $ a month. If John dies within 20 years Sarah will get the death benefit of 4800 dollars, however if John doesn't die within 20 years, Sarah will get no cash value at the end of 20 years. However since she has paid only 2400 $ as premiums, her 2400$ are saved as compared to the permanent life insurance policy which she can invest and make profit. In the US market the 2400$ if invested wisely would have yielded much more than 4800$ to Sarah in 20 years.
The idea behind term life insurance is to buy a life insurance policy for a period usually one year. The premium (the amount you pay to the life insurance company) is much less compared to a permanent life insurance premium. The insurance can be renewed after the expiry of the life insurance term, but the premium keeps increasing as the insured ages. The higher the age of the insured, the higher is the premium.
Term life insurance is the cheapest life insurance available on coverage to premium dollar basis. The death benefit is non-taxable in the United States and the premium is also deductible from the income to save income tax.

About the Author
Find more about Health Insurance on http://www.LeanderNet.com/Health_insurance/Health_insurance.php .

More useful content on LeanderNet - http://www.LeanderNet.com

Free Auto Insurance Quotes Online - Get Cheap Rates in Minutes

By Brian Stevens

More and more people are discovering the benefits of shopping online. Here's how to get free auto insurance quotes online and get cheap rates quickly and easily.

Where can I get free auto insurance quotes online?
There are a ton of websites that will give you free auto insurance quotes online. The bigger sites are operated by the larger companies and only give you their quotes. But because rates can vary by $1,000 or more from one company to the next, you need to go to a site that will give you quotes from a number of auto insurance companies.
Not only can you get multiple rate quotes from these sites, the better sites also have an articles section where you can get auto insurance tips, and a chat section where you can talk with an insurance expert online and get answers to your questions (see link below).

What auto insurance discounts can I get?
When you fill out the online questionnaire for an insurance comparison site you'll be asked what discounts you want. Here's a list of the discounts that will save you the most money:
1. Increase your deductible - Depending on how high you raise it this can save you 30% to 50% on your auto insurance premium.
2. Combine your insurance - Placing your auto and homeowners insurance with the same company will save you up to 15% on your premium.
3. Install security devices - Outfitting your car with a burglar alarm or other theft-prevention device can get you a good-sized discount.
4. Eliminate unneeded coverage - You may want to eliminate your comprehensive and collision coverage if your car is more than five years old, or if the cost of your annual premium is the same as the value of your car.

Bottom Line
It only takes a few minutes to get a free auto insurance quote online and you could save $500 to $1,000 every year you own your car. So why not head over to an insurance comparison site right now and find out how much you can save.
Visit http://www.LowerRateQuotes.com or click on the following link to get free auto insurance quotes online from top-rated companies in your area. You can get more car insurance tips by checking out their "Articles" section.

The author, Brian Stevens, is a former insurance agent and financial consultant who has written extensively on how to get free auto insurance quotes online.
Article Source: http://EzineArticles.com/?expert=Brian_Stevens

The REAL SECRET To Lower Auto Insurance Premiums

By Gary Brown

Have you ever discussed auto insurance with a friend, only to find out you pay substantially higher premiums? Everything being equal, it probably has nothing to do with they type of cars you drive or the zip code in which you live.

About 90% of all insurance companies now use "insurance credit scores".

When you call an insurance agent or insurance company for an auto insurance quote, the first step is to run your score. This determines what "tier" you are placed into. Some companies have up to 40 tiers. Once it has been established which credit tier you qualify for, other factors are then accounted for: your zip code, vehicles, driving record, and discounts.
Two neighbors could call around for an auto insurance quote and have the exact same vehicles, both with clean driving records, and qualify for the exact same discounts. The one with the better insurance score will pay less, some times alot less.

What determines this score varies from insurance company to insurance company. The best advice is to call your agent and find out what tier you are in. Find out what factors their company uses to determine good scores from bad. It is possible your agent does not even know or understand. Ask they to call and find out. Insurance Tempe
Don't be afraid to search for lower auto insurance. Getting lower cost car insurance is easy if you put the effort in. Finding a company that will ding you less for your credit score is the key. Try an independent insurance agency.

Some things to consider as far as improving your insurance credit score: Do not carry too many credit cards. You may have active cards with a zero balance but it is likely they are dragging your score down. These insurance scores do not like too many open credit accounts. Cancel the ones you do not need/use down to one or only two. Also, do not max out your credit line. If you have a credit card with a $12,000 credit line and have $10,000 charged, the scores will likely ding you. Have fewer cards and pay them down.

The most obvious one of all? Pay your bills on time.

Gary Brown is principal owner of Choice Insurance of Arizona. He has been serving Arizona residents for car insurance and home insurance for nearly 14 years. Find more insurance and financial information at Insurance Tempe
Article Source: http://EzineArticles.com/?expert=Gary_Brown

The Importance Of Purchasing Travel Insurance When Traveling With A Group

By Amy Nutt

When you travel, you want to be sure you are equipped with the right insurance to meet you needs should an emergency arise.

Even when you are traveling with a group, you need to be sure you have the proper coverage, as you just never know what can occur. Before leaving for your trip, research the travel policies available to you and make sure you will be provided with the features and services you need in your policy. Be sure to include all medical conditions and information that will be necessary for your eligibility before signing any forms and accepting a policy.

The benefit of purchasing group insurance is that it is designed to protect groups of people who are traveling on the same itinerary, while helping to meet specific needs. If your group consists of ten or more people all traveling to the same destination, purchasing a group insurance plan may be your best choice and may even prove to be the most economical for you and your travel companions.

There are two types of group programs, voluntary and mandatory. Voluntary plans means that it is not necessary for everyone traveling in a given group to be included on a particular plan. A mandatory plan would require all persons traveling in a given group to be included in the coverage. It is even possible to obtain a customized group travel plan. Check with various companies to obtain quotes and get further information.
It is also a good idea to compare the various plan available to you to be sure your group is getting the best coverage for the money. You will most likely come out better in the long run to purchase a group plan, as it is often cheaper than purchasing separate travel insurance plans for each traveler in the group.
Most comprehensive group travel plans are not age graded so you get the same benefits at the same price no matter the age mix of your group. Another consideration to give to your group insurance plan is whether or not it includes trip cancellation or delay. Another question to ask if what happens if one or more person in your group cancels at the last minute. Be sure to research different companies and plans to find the one that will best fit your needs and the needs of everyone in your group.

Pucher Insurance provides visitor health insurance solutions for non-Canadians who visit Canada.
Article Source: http://EzineArticles.com/?expert=Amy_Nutt

7 Good Reasons For Travel Insurance

By Allen Jesson

For thousands of years, risks have been shared during times of tragedy. The first formal insurance company, Lloyds of London, was formed in 1769 and their principal concept remains today - to gather the premiums of clients as a pool of resources to return to clients who experience unexpected but covered events. So, that is the secret really, plan for the unexpected and make sure you are covered, especially when you are travelling. Whether your trip is a quick one or a round the world cruise, there are many good reasons for travel insurance. Here are just 7:

Medical Emergencies: If you fall sick or are injured during your travel, your travel insurance will give you financial coverage.

Flight Cancellations: If your flight is cancelled or delayed then your travel insurance should help. Depending on the cover available, a room for the night and even alternative travel home can be included.

Existing Medical Conditions: Even if you have an existing medical condition and it flares up while you are on vacation, as long as you have advised your travel insurance company prior, you should be covered.

Damage or Loss Of Personal property - What are you going to do when your luggage gets stolen? Yes, it happens, all the time. There are organised gangs that work in airports doing just that. Guess what? You need travel insurance.

Loss of Cash or Traveller's Cheques - You are in a foreign country far from home. You either lose, or have stolen, your entire holiday fund. You are going to need help and quick. Again, travel insurance is a must.

Emergency Evacuations - What with global warming and economic pressure more and more holiday destinations are being built in potentially dangerous territory. Who would have wanted to be in Thailand on that Boxing Day? Travel insurance will help if you have to get out quick.

Car Crash - It can be very difficult driving on the wrong side of the road in a strange country. Accidents happen.

Okay, there you have it. 7 good and solid reasons why you need travel insurance the next trip you make. The other alternative of course is to not take out travel insurance, or to stay at home. Now, there is an idea. But seriously, as always when taking out insurance, especially travel insurance, read the fine print. Importantly, find out before you go what is excluded, not just included. So, always read the fine print. For example, accidental coverage is not provided in case of drunken driving, driving under the influence of narcotic substances etc. Exclusions are also provided for accidents during risky sports like bungee jumping, car racing, scuba diving, white water rafting, flying (except as passenger in regular airliners), gliding, skiing, bike racing, diving, mountaineering, windsurfing etc. The list goes on (insert your favourite potentially dangerous sport here). That means in case of accidents in these situations the insurance company is not liable to pay any amount to the insured.

About The Writer

Allen Jesson writes for several sites, making sense of international travel medical insurance in particular. Also, Allen also writes regularly for various sites that focus on finance.

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

How much your Life Insurance Need

How much life insurance do you need? A reasonable goal is to replace your annual income (or the annual economic value of a stay-at-home spouse who runs the house and provides child care). If you expect to earn significantly more in a few years than you do now, or if you want to account for inflation, enter an income amount higher than your current salary.This calculator assumes your survivors will invest your insurance proceeds and then draw down the account gradually, leaving a zero balance at the end of the period you specify. Enter the income you'd need, the number of years you'd need it and how much investment return you think you'd earn.

Calculate Your Life Insurance Now!!!

Choosing Insuranse

By the BabyCenter editorial staff



Thinking about life insurance isn't easy: It forces you to face your own mortality and the thought of leaving loved ones behind. But difficult as it is, it's crucial to make time for a heart-to-heart with your spouse, especially with a new baby in the picture. By planning for the unspeakable, you can ensure that in the case of your death or disability, your family will continue to live in the manner to which they're accustomed — and be able to pay the mortgage, the health bills, other debts and, of course, college tuition.

How much do I need?
The rule of thumb is six to ten times your annual salary, but everyone's situation is different. How much insurance you'll need depends on various factors:
• How much your family spends annually on items like housing, food, and clothing;

• How much your family will need to cover large one-time expenses, such as your children's college educations;

• How much your spouse earns (and hence how much of your family's expenses that can cover);

• How much your investments and other assets are worth (and hence how much they can cover your family's expenses).

What's term insurance?
This simple insurance policy works like car- or home-owners' coverage: If you die while the policy is active, your family gets the money for which you're insured. If you don't, the policy expires, and the insurance company keeps the money (still better than the alternative!). Some term insurance policies give you the right to renew at the same rate for multiple years, while others do not. The former are generally a bit more expensive.

Term life insurance makes sense for most young, middle-income families with children because it covers a set period, with affordable premiums. A typical insurance premium for $250,000 coverage might be $150-$200 a year for a 30-year-old nonsmoker. Rates are fixed when you buy, and increase as you age. Click here for more information.

What's whole life insurance?
This more complicated option, also called cash-value insurance, offers both an insurance policy and an investment account. The premiums are larger than those for term insurance, but a portion of those funds go into a tax-deferred savings account. The rates are fixed: You'll pay the same premium at 30 as you will at 60. Upon your death, your spouse or family will collect the death benefit. But you can also choose to cash out the policy when you're older or retired and net the tax-deferred savings. Click here for more information.

Do I need disability insurance?
If you're between age 35 and 65, you're more likely to become disabled — and unable to work — than you are to die. Disability insurance insures your earning potential, and it makes sense. Standard recommendation: Insure yourself for two-thirds of your income.

What about mortgage insurance?
This policy insures that your entire mortgage will be paid off upon your death, leaving your heirs a paid-for house. But you should probably skip this type of insurance, even though it sounds so attractive. Term life insurance can do the same thing for a much cheaper price, and it allows your heirs the option of keeping the house, paying off the mortgage, or investing the insurance proceeds.

Resouce : http://www.babycenter.com/refcap/baby/babyfinance/487.html

The Essential Guide To Insurance

By Chris James

Insurance can at times be somewhat of a minefield for many people; with so many different products available, choosing the right one and making sure that we are properly covered can be a challenge. Although this may be the case, it is also an essential part of our everyday living.

Buildings Insurance

Your home is likely to be your most valuable possession so it is important to ensure that adequate buildings insurance cover is set in place.

Buildings insurance covers the structure of the building plus anything you would normally leave behind when you move. This will include things like patios, drives, fences, walls and permanent fixtures like kitchens and bathrooms. Accidental damage caused by fire, storms, or burst pipes, for example will also be covered.

Having buildings insurance cover in place is not if fact a legal requirement although nearly every mortgage lender will insist that cover is taken out as they look to protect what is their asset too, albeit temporarily.

Many lenders will offer a block building insurance policy arrangement. The cover provided and premium rate are agreed between the lender and insurer, but instead of issuing each borrower with an individual policy number a master policy is set up, with both the lender and insurer having copies.

These premiums are not always the most competitive in price so it is advisable to shop around for quotes also.

The amount that each property will need to be insured for will of course vary. The valuer will provide a figure for the re-instatement value of the property, ie the cost of rebuilding in the event of total destruction. There is no specific link between this figure and that for the valuation for mortgage purposes, or the price that the purchaser has agreed to pay.

Contents Insurance

Contents insurance offers cover on the household goods and possessions inside your property and will often include the garden too if applicable. In other words, contents can be defined as everything that you would normally take with you when you move.

The lender will not insist that you take out a contents insurance policy however in many cases it is advisable. Not doing so could see you unable to replace your belongings in the event of disasters such as fire, flooding or burglary.

Many policies offer cover on a ‘new for old’ basis which means should anything happen to your possessions such as the TV or washing machine; you should be able to replace the damaged goods for a new model.

Mortgage Payment Protection Insurance (MPPI)

Mortgage Payment Protection insurance (MPPI) is also known as accident, sickness and unemployment (ASU) insurance and, as the name suggests, it covers your mortgage repayments if you have an accident, fall ill or lose your job.

Most policies will provide cover for a period of 12 months. Your policy should cover the full amount of your mortgage and linked expenses such as other insurance policies and pension plans.

Many providers of payment protection insurance will offer modular coverage. For example, you can choose unemployment only option if job loss is your main concern or an accident & sickness only module depending on what you feel is more important to you.

You won’t be able to claim money against your policy immediately after you make a claim. Typically, you have to wait three or four months - what is known as the deferral period – before you begin to receive insurance payouts.

Often however, for an additional charge, some insurers will provide back-to-day-one cover that covers you from the first day you make a claim.

Payment is made 30 days after you made your claim and you need to have been off work for at least a month. In addition most policies have an excess period – usually 30,60 or more days – that is excluded from the payout should you make a claim.

Life Insurance

Life cover pays out a lump sum when you die, or earlier if you are diagnosed with a terminal illness. This lump sum payment may be used to pay off an outstanding mortgage or simply passed on as part of an inheritance.

There are two types of life insurance: Level term and decreasing term.

Level term insurance will often run alongside an interest only mortgage. It lasts for a set period and pays out the set amount you chose at the outset in case of death during the term.

Decreasing term insurance often run alongside a capital repayment mortgage. It offers a smaller payout year on year as the outstanding mortgage debt falls.

With both types of insurance there are many factors that the provider will take into account when calculating the premium. These factors will include; your age, weight, whether you a smoker or non a smoker and your medical history amongst other things.

A Five Point Plan When Taking Out Insurance

1. By speaking to a specialist adviser before you buy insurance could pay off. Ensure that you adviser is able to offer a range of policies from a variety of different providers.

2. Shop around for mortgage payment protection insurance (MPPI). Don’t just agree to take out the policy offered by your lender without doing some research of your own. Policies offered by the lenders are not always the most competitive in the marketplace.

3. Don’t forget to budget for your monthly insurance payments. For MPPI & Life insurance, the younger & healthier you are, the lower your costs, however payments can still easily add up to over £50 per month.

4. Never forget to find out what your excess is, or how much you need to pay before your insurance will pay out. Many policies have exclusions so don’t forget to find out what these are too.

5. Many people fail to adjust their insurance policies accordingly when their circumstances change. If you insurance policies are not reflecting your current commitments then you could find that you and your dependents are underinsured.

James Copper enjoys writing on all areas of personal and commercial finance. He works for Any Loans who source Loans for people with credit problems.

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