Miscellaneous Risk - Insurance Products - Principles of Insurance, B com | Principles of Insurance PDF Download

Miscellaneous Insurance

Motorcycle Insurance

Motorcycle insurance provides financial protection against physical damage and/or bodily injury resulting from traffic collisions and against liability that could also arise from the actions of the motorcycle driver. 

Motorcycle insurance may also offer financial protection against theft of the motorcycle and damage sustained from things other than traffic collisions.

Type of Coverages

There are several different types of motorcycle insurance coverages. Some may be required by law. Others are optional. The main coverages are:

• Accessory Coverage - Covers loss, theft, or damage to motorcycle accessories like saddlebags, custom handlebars, and OEM electronics.
• Comprehensive Physical Damage Coverage - Covers physical damage or loss of the motorcycle that is not the direct result of a moving vehicle collision.
• Collision Coverage - Pays for damage to an insured motorcycle when it hits or is hit by another car or object, or if the motorcycle overturns. 
• Bodily Injury Liability Coverage - Pays damages for bodily injury or death resulting from an accident for which you are at fault and provides you with a legal defense. This includes passengers riding on your motorcycle.
• Property Damage Liability Coverage - Pays damages for physical damage resulting from an accident for which you are at fault and provides you with a legal defense.
• Medical Payments Coverage - Pays medical expenses of the parties riding on the motorcycle involved in a motorcycle accident but not the owner.
• Personal Injury Protection Coverage - This is an extension of motorcycle insurance available in South Carolina that covers medical expenses and, in some cases, lost wages and other damages.  PIP is designed to be paid without regard to legal liability. 
• Uninsured/Under insured Motorist Coverage - Provides for a motorcycle operator to receive damages for any injury he or she receives from an uninsured, negligent driver. The coverage pays the difference between what the uninsured or under insured driver can pay and what the injured operator would be entitled to as if the uninsured motorist had proper insurance

Motorcycle Roadside Assistance Coverage - Roadside assistance and breakdown coverage assist operators whose motorcycle has suffered a mechanical failure that leaves the operator stranded.

RV Insurance

RV Insurance coverage is designed for most recreational vehicles, including motor homes, fifth wheel trailers,travel trailers, mounted truck campers and more. Specialized RV coverage provides the features specific to the needs of an RV owner.  Since we are an insurance broker and can shop for the best deals and coverages you may find it easier and more beneficial to work with us.

Recreational Vehicle Coverages

There are basically six different types of coverages. Some may be required by law. Others are optional.

• Bodily injury liability - for injuries the policyholder causes to someone else.
• Medical payments or Personal Injury Protection (PIP) - for treatment of injuries to the driver and passengers of the policyholder’s car.
• Property damage liability - for damage the policyholder causes to someone else’s property.
• Collision - for damage to the policyholder’s car from a collision.
• Comprehensive - for damage to the policyholder’s car not involving a collision with another car (including damage from fire, explosions, earthquakes, floods, and riots), and theft.
• Uninsured coverage - for costs resulting from an accident involving a hit-and-run driver or a driver who does not have insurance.
• Contents Coverage - Covers damage or loss of the contents of the recreational vehicle. Contents coverage is typically purchased at a set amount.

ATV Insurance

• All-Terrain Vehicle insurance provides financial protection against physical damage and/or bodily injury resulting from collisions and liability that could arise from the use or storage of your ATV. 
  
  Although most people think of 4-wheelers when it comes to ATV insurance, in some cases ATV insurance policies can also cover, Snowmobiles, Segway, Golf Carts, Tracked All-Terrain Vehicles, Amphibious Vehicles, Go Carts, Certain off road dirt bikes. 
• Since we are an insurance broker and can shop for the best deals and coverages you may find it easier and more beneficial to work with us.

Boat Insurance

Boat insurance protects a boat, its owner, and passengers in the event of a loss. 

Boat insurance can include all motorized water vehicles including, but not limited to, fishing boats, pontoon boats, yachts, and jet skis. Think of boat insurance like car insurance on the water!

• Liability Coverage - pays for injuries and property damage to others as a result of a covered accident in which you are found to be legally liable. This may include pollution liability and wreckage removal depending on your policy.
• Collision Coverage - pays for damages to your boat, motor, trolling motor, trailer along with the permanent and some portable boating equipment as a result of a covered accident with another boat or object.
• Comprehensive Coverage - covers damages to your boat, motor, trolling motor, trailer and some permanent and portable boating equipment that are the result of events other than collision. For example, this can include damage from fire, theft or storms.
• Uninsured or Underinsured Boater Coverage - Covers the insured for damages and bodily injury that you and any passenger of your boat sustain if injured in a covered accident involving an uninsured or underinsured boater and also in some cases a hit-and-run boater.
• Medical Payments - Cover medical expenses for the treatment of injuries that are incurred by you or your boat passengers while operating or occupying your boat.
• On-Water Towing and Labor Coverage - This coverage option pays for towing expenses and other emergency services up to pre-defined limits in the event your boat becomes disabled on the water.
• Fishing Equipment Coverage - Specific coverage to help pay for damage to fishing equipment while on your insured boat or while being carried onto or off of your insured boat.
• Personal Effects Coverage - pays replacement cost for damages or losses of your personal property while on board or while being carried onto or off of your insured boat.

“Remember We Always Have Options” Since we are an insurance broker and can shop for the best deals and coverages you may find it easier and more beneficial to work with us.

Travel Insurance

Travel Insurance is insurance that is intended to cover medical expenses, financial default of travel suppliers, and other losses incurred while traveling, either within one's own country, or internationally.

Temporary travel insurance can usually be arranged at the time of the booking of a trip to cover exactly the duration of that trip, ora "multi-trip" policy can cover an unlimited number of trips within a set time frame. Coverage varies, and can be purchased to include higher risk items such as "winter sports".

The most common risks covered by travel insurance are:

• Medical emergency (accident or sickness)
• Emergency evacuation
• Repatriation of remains
• Return of a minor
• Trip cancellation
• Trip interruption
• Visitor health insurance
• Accidental death, injury or disablement benefit
• Overseas funeral expenses

• Lost, stolen or damaged baggage,personal effects or travel documents
• Delayed baggage (and emergency replacement of essential items)
• Flight connection was missed due to airline schedule
• Travel delays due to weather
• Hi-Jacking

“Remember We Always Have Options” Since we are an insurance broker and can hop for the best deals and coverages you may find it easier and more beneficial to work with us.

Wedding Insurance

Couples purchase wedding insurance to cover unexpected financial losses related to their wedding.With the average wedding in the United States costing over $30,000 it makes sense to protect the financial investment.

Some examples of covered by wedding insurance include:

• Loss or damage to the wedding dress or tuxedo 
• Lost deposits as a result of vendor bankruptcy
• Cancellation due to illness, injury, military service or extreme weather
• Third-party or liquor liability claims (This is a really important coverage)

“Remember We Always Have Options” Since we are an insurance broker and can shop for the best deals and coverages you may find it easier and more beneficial to work with us.

Earthquake Insurance

Earthquake insurance is a form of property insurance that pays the policyholder in the event of an earthquake that causes damage to the property. This form of coverage normally covers earth movement of a named earthquake. It is important to understand what triggers a covered loss. General settling of the structure normally is not covered. Make sure you understand your coverages or get a good agent!

Most ordinary homeowners’ insurance policies do not cover earthquake loss in South Carolina. “Remember We Always Have Options”Since we are an insurance broker and can shop for the best deals and coverages you may find it easier and more beneficial to work with us.

Most earthquake insurance policies feature a high deductible, which makes this type of insurance useful if the entire home is destroyed, but not useful if the home is merely damaged. Rates depend on location and the probability of an earthquake. South Carolina has several geological faults that run through the state. The earthquake of 1886 is still one of the worst disasters in our history and almost totally destroyed Charleston. Earthquake insurance in South Carolina is expensive due to the heightened risk. Many carriers will not sell earthquake coverage in this state. 

“Remember We Always Have Options”Since we are an insurance broker and can shop for the best deals and coverages you may find it easier and more beneficial to work with us.

Flood Insurance

Flood insurance is the specific insurance coverage against property loss from flooding. To determine risk factors for specific properties, insurers will often refer to topographical maps that denote lowlands, floodplains and flood ways that are susceptible to flooding.

Nationwide,only 20% of American homes at risk for floods are actually covered by flood insurance. Most private insurers do not insure against the peril of flood due to the prevalence of adverse selection, which is the purchase of insurance by persons most affected by the specific peril of flood. 

Flooding is defined by the National Flood Insurance Program as a general and temporary condition of partial or complete inundation of two or more acres of normally dry land area or two or more properties from: Overflow of inland waters, unusual and rapid accumulation or runoff of surface waters from any source, and mud flows

This can be brought on by landslides, a hurricane, earthquakes, or other natural disasters that influence flooding, but while a homeowner may, for example, have earthquake coverage, that coverage may not cover floods as a result of earthquakes.

Flood damage is typically excluded under standard home owners and renters insurance policies. Flood coverage, however, is available in the form of a separate policy from the National Flood Insurance Program (NFIP).When a property is located in a flood plan, designated by federal flood maps,the lien holder of the mortgage will require flood insurance. The pricing is regulated and set by NFIP and administered by the private insurance industry,so pricing will not usually vary from one insurance company to another. If alien is not set on a property then there are no laws to mandate flood insurance.

Landlords Insurance

Landlords' insurance is an insurance policy that covers a property owner from financial losses connected with rental properties. The policy covers the building, with the option of insuring any contents that belong to the landlord that are inside. It is important to distinguish between buy-to-let insurance which generally covers one property that has been purchased with a buy-to-let mortgage, and multi-property insurance, which covers two or more properties. Each of these types of landlords' insurance covers different things.

A landlord policy will normally cover standard perils such as fire, lightning, explosion, storm, escape of water/oil, subsidence, theft and malicious damage. Each insurance policy is different and may or may not include all these items.Optional coverage might include accidental damage, malicious damage by tenant,terrorism, legal protection, alternative accommodation costs, contents insurance, rent guarantee insurance, and liability insurance and loss of use.

Landlords' insurance policies typically do not cover any personal property belonging to tenants, (a renters policy will be needed by the renter to cover their personal property) or otherwise protect the interest of tenants; although a liability policy protecting a landlord or property manager will be of benefit to tenants should they incur a loss for which the landlord is responsible.

Renters Insurance

Renters' insurance is an insurance policy which provides most of the benefits of homeowners' insurance. This includes liability insurance. The tenant's personal property is also covered against named perils such as fire, theft and vandalism. Renters' insurance does not include coverage for the dwelling,or structure, with the exception of small alterations that a tenant makes to the structure. The owner of the building is responsible for insuring it,but bears no responsibility for the tenant's belongings.

The cost of renters insurance and the amount of personal property coverage you need depends on how much your property is worth.

Ask yourself the following questions:

• How much are my belongings worth?
• Could I afford to buy it all back again if it were destroyed in a fire or stolen?
• What would I do in the event of a liability lawsuit against me?

“Remember We Always Have Options” Since we are an insurance broker and cans hop for the best deals and coverages you may find it easier and more beneficial to work with us.

Roadside Assistance

Roadside assistance and breakdown coverage are services that assist motorists, or bicyclists, whose vehicles have suffered a mechanical failure that leaves the operator stranded.

Although there are many different options and services with different insurance companies most roadside assistance plans include many of the same options; most roadside assistance coverage typically provides protection for:

• Mechanical Breakdown 
• Flat Tire Change
• Battery Jump Start
• Emergency Fuel & Fluid Delivery
• Locksmith Service

Event Insurance

Event Insurance covers the legal liability you or your company may have from certain types of claims arising from accidents taking place during an event you host. 

Subject to the specific coverage terms, conditions and exclusions, it offers protection for the host / honoree for damage to the facility caused by a guest or vendor, bodily injury to guests they are deemed liable for, and alcohol-related accidents they are deemed liable for.

The size of your event or how well prepared you are, you never know when the worst-case scenario could become your reality. It's the small things that cause the most problems if you're not properly covered. So even the most basic coverage policy could prove to be a big help in the long run. Since we are an insurance broker and can shop for the best deals and coverages you may find it easier and more beneficial to work with us.

Group Benefits

Group benefits are insurance that covers a group of people who are usually the members of societies, employees of a common employer, or professionals in a common group. 

Group coverage helps reduce premium costs because it reduces the insurance carrier's risk by creating a pool of people to insure who are together for reasons other than obtaining insurance. Group benefits can also be a powerful incentive to keep and attract great employees.

Group Health Insurance 
Group health insurance coverage is a policy that is purchased by an employer and is offered to eligible employees of the company (and often to the employees' family members) as a benefit of working for that company. A group health insurance plan is a major part of many employee benefits packages that employers provide for their employees. 

Group Life Insurance
Group life insurance is term insurance covering a group of people, usually employees of a company, members of a union or association, or members of a pension or superannuation fund. Individual proof of insurability is not normally a consideration in the underwriting. Rather, the underwriter considers the size, turnover, and financial strength of the group.

Group Disability Insurance
Group Disability Insurance is a type of group insurance that provides regular income replacement payments to an insured member of the group in the event of an eligible disability resulting from illness or injury. Coverage is generally offered in two types: short-term disability (STD) or long-term disability(LTD).

Group Accident/Supplemental Insurance
Supplemental insurance is extra or additional insurance that you can purchase to help you pay for services and out-of-pocket expenses that your regular insurance does not cover in the event of an accident or other covered loss.

Group Dental/Vision Insurance
These coverages are usually supplemental coverages that provide low cost coverage for routine dental and vision care. Normally these policies offer a cost effective way to provide your family with essential care. When organizations want to offer the best dental and vision care benefits to attract and retain the best employees they implement these kind of benefits that will keep your group members, employees,and their families healthy.  Since we are an insurance broker and can shop for the best deals and coverages you may find it easier and more beneficial to work with us.

Bonds

An insurance bond ensures contract completion in the event of contractor default and are typically required by project owners when seeking a contractor to fulfill a contract. 

The contractor secures a bond from an insurance company that assumes the risk and is obligated to compensate the project owner for the financial loss incurred if the work is not completed or defaults. 

Although there are many types of insurance bonds, the four most common types needed by business owners are:

• Bid Bond - Ensures the bidder on a contract will enter into the contract and furnish the required payment and performance bonds if awarded the contract.
• Payment Bond - Ensures suppliers and subcontractors are paid for work performed under the contract.
• Performance Bond - Ensures the contract will be completed in accordance with the terms and conditions of the contract.
• Ancillary Bond - Ensures requirements integral to the contract, but not directly performance related, are performed.

Since we are an insurance broker and can shop for the best deals and coverages you may find it easier and more beneficial to work with us.

Workers Compensation

Workers' compensation is a form of insurance providing wage replacement and medical benefits to employees injured in the course of employment in exchange for mandatory relinquishment of the employee's right to sue his or her employer for negligence.

While plans differ among jurisdictions, provision can be made for weekly payments in place of wages (functioning in this case as a form of disability insurance), compensation for economic loss (past and future), reimbursement or payment of medical expenses, and benefits payable to the dependents of workers killed during employment.

 
General damages for pain and suffering, and punitive damages for employer negligence, are generally not available in workers' compensation plans, and negligence is generally not an issue in these cases.

Since we are an insurance broker and can shop for the best deals and coverages you may find it easier and more beneficial to work with us.

Life/Financial

LTC

• Why buy long-term care insurance
  
  1. Preserve your assets for your family instead of spending the money on long-term care.
  
  2. The odds are one-in-three that a man over 65 will need long-term care; for a woman over 65, the odds are one in two.
  
  3. New rules make it hard to qualify for Medicaid. You must spend down your assets to qualify for Medicaid.
  
  4. Premiums may be partially or all tax-deductible depending on your income and how much of your income is paid in medical expenses.

• Typical policy features
  
  The best policies pay for care in a nursing home, assisted living facility or at home. Benefits are typically expressed in daily maximum amounts, with a lifetime maximum. Some policies pay half as much per day for at-home care as for nursing home care. Others pay the same amount, or have a "pool of benefits" that can be tapped as needed. A pool of benefits means that you have a specific amount of money allocated as a maximum that the policy will pay out. Once this total is met the policy will no longer pay any benefits.

·      

Eligibility triggers

Understand what triggers benefits with your policy. The policy should state the various conditions that must be met.

1. The inability to perform two or three specific "activities of daily living" without help. These include bathing, dressing, eating, toileting and "transferring" or being able to move from place to place or between bed and chair. 

2. Cognitive impairment. Most policies cover stroke, Alzheimer’s and Parkinson's disease, but other forms of mental incapacity may be excluded. 

3. Medical necessity, or certification by a doctor that long-term care is necessary. 

4. Prior hospitalization. Some older policies require a hospital stay of at least three days before benefits can be paid. This requirement is very restrictive and should be avoided.

Benefits

1.  A benefit period that may range from two years to lifetime. You can keep premiums down by electing coverage for three to four years -- longer than the average nursing home stay -- instead of lifetime. Today most companies are shying away from lifetime benefits.

2.  A waiting or "elimination"period. Premiums will be lower if you pay for an initial period of care yourself instead of electing first-day coverage. 

3. Inflation protection is an important feature, especially if you are under 65 when you buy benefits that you may not use for 20 years or more. The best inflation provision compounds benefits at 5% a year. 

4. Guaranteed renewable policies must be renewed by the insurance company,although premiums can go up if they are increased for an entire class of policyholders. 

5. Waiver of premium, so that no further premiums are due once you start to receive benefits. 

6. Third-party notification, so that a relative, friend or professional adviser will be notified if the policyholder forgets to pay a premium.

Optional Features

1. Restoration of benefits. This feature ensures that maximum benefits are put back in place if you receive benefits for a time, then recover, and go for a specified period (typically six months) without benefits.

2. No forfeiture benefits return a portion of premiums or keep a lesser amount of insurance in force if you let the policy lapse. This provision, required by some states, adds to the cost of the policy.

Since we are an insurance broker and can shop for the best deals and coverages you may ind it easier and more beneficial to work with us.

Annuity

Annuities are contractually-executed, relatively low-risk investment products; the insured (usually, an individual) pays a life insurance company a lump-sum premium at the start of the contract. That money is to be paid back to the insured in fixed, incremental amounts, over some future time period(predetermined by the insured). The insurer invests the premium; the resulting profit/return on investment fund the payments received by the insured, and compensate the insurer. 

Conventional annuity contracts provide a predictable, guaranteed stream of future income (e.g., for retirement) until the death(s) of the beneficiaries(s) named in the contract, or, until a future termination date –whichever occurs first. These financial instruments have been used to accumulate funds and provide significant and sudden increases in personal income (via future, lump-sum withdrawals), all while legally avoiding the taxes (e.g., income-, capital gains-, estate-) that would otherwise be assessed on them.  Since we are an insurance broker and can shop for the best deals and coverages you may find it easier and more beneficial to work with us.

Immediate Annuities vs. Deferred Annuities

An Immediate Annuity is an insurance policy which, in exchange for a sum of money, guarantees that the issuer will make a series of payments. These payments may be either level or increasing periodic payments for a fixed term of years or until the ending of a life or two lives, or even whichever is longer.

A Deferred Annuity is a contract that is chiefly a vehicle for accumulating savings with a view to eventually distribute them either in the manner of an immediate annuity or as a lump-sum payment.

Disability Insurance

Disability Insurance, often called DI or disability income insurance, or income protection, is a form of insurance that insures the beneficiary's earned income against the risk that a disability creates a barrier for a worker to complete the core functions of their work. 

For example, the worker may suffer from an inability to maintain composure in the case of psychological disorders or an injury, illness or condition that causes physical impairment or incapacity to work. It encompasses paid sick leave, short-term disability benefits (STD), and long-term disability benefits (LTD).

Statistics show that in the US a disabling accident occurs on average once every second. In fact, 1 out of every 4 persons in the US workforce will suffer a disabling injury before retirement.

Types of Disability Insurance

Individual Disability Insurance- Those whose employers do not provide benefits, and self-employed individuals who desire disability coverage, may purchase policies. Premiums and available benefits for individual coverage vary considerably between companies,occupations, states and countries. In general, premiums are higher for policies that provide more monthly benefits, offer benefits for longer periods of time,and start payments of benefits more quickly following a disability claim.Premiums also tend to be higher for policies that define disability in broader terms, meaning the policy would pay benefits in a wider variety of circumstances.

High-limit Disability Insurance - High-limit disability insurance is designed to keep individual disability benefits at 65% of income regardless of income level. Coverage is typically issued supplemental to standard coverage. With high-limit disability insurance, benefits can be anywhere from an additional $2,000 to $100,000 per month. Single policy issue and participation (individual or group long-term disability) coverage has gone up to $30,000 with some companies.

Key-person Disability Insurance - Key Person (Key Man)  Disability Insurance provides benefits to protect a company from financial hardship that may result from the loss of a key employee due to disability. The company can use the benefits to hire a temporary employee should the disabled employee's disability appear to be short-term.In the case of permanent disability, benefits are used to help defray costs related to hiring a replacement, including recruitment, training, startup, loss in revenue and unfunded salary continuation costs.

Business Overhead Expense Disability Insurance- Business Overhead Expense (BOE) coverage reimburses a business for over head expenses should the owner experience a disability. Eligible benefits include: rent or mortgage payments, utilities, leasing costs,laundry/maintenance, accounting/billing and collection service fees, business insurance premiums, employee salaries, employee benefits, property tax, and other regular monthly expenses. Since we are an insurance broker and can shop for the best deals and coverages you may find it easier and more beneficial to work with us.

“Remember We Always Have Options” Since we are an insurance broker and cans hop for the best deals and coverages you may find it easier and more beneficial to work with us.

Financial Planning

A financial planner or personal financial planner is a professional who prepares financial plans for people. These financial plans often cover cash flow management, retirement planning, investment planning, financial risk management, insurance planning, tax planning, estate planning and business succession planning for business owners. Since we are an insurance broker and can shop for the best deals and coverages you may find it easier and more beneficial to work with us.

Umbrella Insurance –Excess Liability Coverage

Umbrella insurance refers to liability insurance that is in excess of specified other policies and also potentially primary insurance for losses not covered by the other policies.

When an insured is liable to someone, the insured's primary insurance policies pay up to their limits and any additional amount is paid by the umbrella policy up to the limit of the umbrella policy. Here are some examples:

• Motor vehicle accidents with excessive physical damage, bodily injuries, or death.
• Slip and fall accidents on your property.
• Boating Accidents.
• Swimming Pool Accidents.
• Physical damage or bodily injury caused by your dog.
• Slander, libel, and defamation lawsuits.

Judgments that exceed the limits of your auto or home policies.