"Engle & Associates saved me $516.00 on my personal insurance package!! Not only that, they did a complete coverage analysis and found that I was underinsured in some areas. So not only did I increase my coverage, but I also saved $516.00!! I got better coverage, for MUCH less money! I would recommend Engle & Associates to anyone I know!" - Marguerite Burns
Insurance for the automotive industry is a specialized field. Your broker might be a nice person, but does he or she really know your industry? If not, you might want to look around a bit. The underlying theme of this post is that the biggest mistake that garage owners make is basing their insurance buying decision on price only: I understand that premium costs are an important factor, but knowing what you’re getting for that price can be a make or break situation in the event of a loss. If you are shopping, it helps to know what you’re buying. There are major coverage differences between garage insurance packages. Having the mindset that insurance is insurance, it will cover me is like saying a car is a car… now view mental picture of the Yugo. Enough said. Below I will outline a major coverage issue between different garagekeepers packages.
Direct Primary, Direct Excess, and Legal Liability – These all have to do with your customers’ vehicles while in your care, custody and control. Before you get bored with these terms, read below to find out why you NEED to know what they mean.
Legal Liability – this is what you will find on most of the cheapest garage packages available. If a customer’s vehicle is damaged, the customer must prove that you are legally liable (negligent) in order to recover damages from your insurance. This can not only create a loss of goodwill if coverage is denied, but it also forces the customer to jump through hoops to prove your negligence. This doesn’t end well for your relationship with the customer.
Direct Excess – this is better than Legal Liability because it doesn’t require your customer to prove your negligence. However, this coverage only applies after the client files a claim with his own personal auto insurance policy. If the client’s personal auto insurance denies the claim or the client’s policy limit doesn’t cover all of the damages, then the garagekeepers insurance would apply. Again, this doesn’t require the customer to prove you are negligent, but it does force the client to file a claim with their own personal auto insurance – another hoop for the client to jump through.
Direct Primary – This is the best coverage available because it takes the burden off of the customer and in the event that a customer’s vehicle is damaged while in your care, custody, and control, you will keep a strong customer relationship. Coverage is provided by the garagekeepers policy without the need to prove negligence and legal liability. In addition, the client doesn’t need to file a claim on his personal insurance. Essentially, you, as the garage owner, are taking responsibility for the customers vehicle while it’s in your care. This is also the assumption that most customers have when they drop their vehicle off for service. Your garagekeepers coverage pays for the loss from the first dollar without regard to or contribution by the vehicle owner.
Of these three coverages, Direct Primary is the most expensive, but don’t let that stop you from asking for it. The difference in price can be less than $100/month to go from basic Legal Liability to Direct Primary coverage. Keeping your customers happy keeps them coming back, and keeps them referring new customers your way.
For more information on Garagekeepers insurance, please call Jayne Engle Allen at Engle & Associates Insurance Brokers – 805-544-8929 or toll free at 877-544-8929. You can also visit our website for more information and a free Automotive Service Insurance Quote.
An annuity is a contract issued by an insurance company. It is a unique financial product that provides tax deferral of interest and capital gains and the option (if funds are annuitized) of a guaranteed monthly income for life. Although annuities can serve various needs, the primary purpose of an annuity is that of a retirement vehicle for the annuitant, the person who will usually receive the annuity benefits. The annuity is an attractive retirement vehicle because the money accumulating in an annuity, grows on a tax deferred basis. There are two parts to an annuity: the accumulation phase and the distribution phase.
After accumulating money in an annuity it is not mandatory that the annuitant exercise the annuitization option and relinquish control of his or her cash value and enter into the annuity distribution phase, the annuitant can simply cash out of his or her annuity.
The Accumulation Phase
Features
During the accumulation phase, the fund grows tax deferred, it does not grow tax free. If the annuity was not purchased as part of a qualified retirement program such as an IRA, 401(k), TSA, or 457 plan, income taxes are paid on the earnings when money is ultimately paid out. If the annuity is part of a qualified plan the entire fund is subject to income taxes as it is withdrawn.
Surrender charges for early withdrawals. Most offer partial withdrawals free of surrender charges.
If you withdraw money from your annuity before age 59 ½ it is called a “premature distribution” and is subject to an additional 10% IRS penalty.
If a premature death should occur, the accumulated funds within the annuity are transferred to the named beneficiary, avoiding probate costs.
Annuities can vary by payment mode and are available as “single premium” (purchased with one-time payment) or “flexible premium” (purchased with recurring periodic payments). They also vary by timing of the annuity income and may be available as a “deferred annuity” (which means that annuity income payments are deferred until later) or as an “immediate annuity” (which means that annuity income starts immediately).
For fixed and equity indexed annuities there is safety of principal and earnings.
Variable products are subject to mortality and expense charges and administrative fees not typically found with other investments.
Types
Fixed annuities
Variable annuities
Equity Indexed annuities
Fixed Annuities
In a fixed annuity, the insurance carrier:
Declares a current rate of interest for a specified time period. Once the time expires the company will set a new rate which may be higher or lower than the original rate.
Guarantees a minimum interest rate of return which is specified in the contract, and at no time may the current or renewal interest rate fall below it.
Guarantees the principal.
Variable Annuities
A variable annuity has two types of accounts:
Fixed Accounts
In a fixed account, principal and interest are guaranteed by the insurance company. Interest rates are usually guaranteed for one year but can be longer.
Variable Accounts
In a variable account, the annuity owner bears the investment risk. Policy values vary directly with market performance and may result in a loss of principal and prior earnings. Earnings are tied directly to the performance of various underlying investment vehicles which are available within the variable annuity and are selected by the owner.
Variable annuities offer a guarantee that in the event of death the beneficiary will receive at least all the premiums paid less any withdrawals made no matter what the value of the account.
This means if the account fund is valued less than the original investment, the beneficiary will receive the original investment.
* Equity Indexed Annuities
An Equity-Indexed Annuity (EIA) has interest rates that are linked to growth in the equity market as measured by an index such as the S&P 500. The EIA owner enjoys the upside potential of equities but is not exposed to downside risk. Subject to fixed minimum guarantees, the value of an EIA can only increase due to market growth – it will never decline due to market movement. There are many variations in product design. No two of the EIAs are exactly alike, and some are very different from each other. However, all the various types fall into three general categories: annual high-water mark with look-back. The following is a simple definition of each. Please call us if you would like to know more.
Annual Reset – Also known as the annual ratchet design, the annual reset design resets the starting index point annually. It also credits index increases (interest) annually and compounds annually.
Point-to-Point – The point-to-point design measures the change in the index from the start of the term to the end of the term.
Annual High-Water Mark with Look-Back – The annual high-water mark with look-back can be viewed as a variation on the point-to-point design, except that it measures the index from the start of the term to the highest anniversary value over the term.
* Some annuities allow the insurance company to change participation rates, cap rates or spead/asset/margin fees either annual or at the start of the next contract term. If an insurance company subsequently lowers the participation rate or cap rate or increases the fees, this could adversely affect an investor’s return. Therefore, a prospective investor must carefully review his or her contract in order to examine these issues.
Withdrawal
Withdrawals may be made at any time. However, the withdrawal may be subject surrender charges and if done before age 59 ½ there will be a 10% IRS penalty. Some contracts allow an annual 10% withdrawal free of surrender charges.
The owner may pre-authorize a systematic periodic withdrawal plan. The owner of the contract instructs the company to withdraw a percentage or a level dollar amount from the contract on a monthly, quarterly, semiannual, or annual basis.
The Distribution Phase
As part of the distribution phase, the owner has two options, he or she can withdraw money (either in a lump sum or elect a systematic withdrawal plan) or annuitize (purchase an annuity pay out plan).
Annuitization
When the owner annuitizes the funds he or she purchases an annuity pay out plan. In a Fixed and in an Equity Indexed Annuity the owner purchases a monthly income that will be paid to him or her until death. It is a guaranteed income that will not change. In a variable annuity, the owner has an option to do the same or transfer all or part of the contract to one or more of the sub-accounts that are available, and annuitize those funds. The funds that are annuitized in the separate accounts produce an income that will change from month to month based on the performance of the sub-account that the funds are placed in.
Annuity Pay Out Plans
Life Only - Periodic monthly payments to an annuitant for the duration of his or her lifetime and then ceases. It is for a lifetime, the annuitant cannot outlive the payments. The payments are determined at the time of purchase and are based on age and sex.
Life with 10 years certain – Payments will be made for at least ten years, regardless if the annuitant lives for the entire ten years. If the annuitant dies during the ten-year period the remainder of the ten-year payments will be made to a beneficiary. If the annuitant lives longer than ten years he or she will continue to receive payments for his or her lifetime. The guaranteed monthly payments will be less than “life only.”
Life with 20 years certain – Payments will be made for at least twenty years, regardless if the annuitant lives for the entire twenty years. If the annuitant dies during the twenty-year period the remainder of the twenty-year payments will be made to a beneficiary. If the annuitant lives longer than twenty years he or she will continue to receive payments for his or her lifetime. The guaranteed monthly payments will be less than “life only”, and “Life with 10 years certain.”
Water is essential for many things in life, yet it is one of the most frequent causes of damage in homes. Consider how many rooms in your home are connected to an inside water source or are susceptible to water coming in from outdoors, and you will quickly realize how vital water damage prevention should be.
When water goes where it shouldn’t, even a small leak can become a major problem. Some damage from water is covered by your homeowners policy, some is not. Either way, most damage from water is preventable.
Quick action helps in water emergencies.
It has happened. There is water everywhere — in your walls, under your carpets and soaking into your belongings. Whether caused by a burst pipe, a broken water heater or a flood, there are things you can do immediately to salvage belongings and limit damage or loss.
Stop the water. If the water is coming from inside your home, such as a burst pipe or water heater malfunction, shut off the main water valve immediately. (Make sure everyone in your home knows where the shutoff valve is located.)
Turn off the utilities* – if the situation calls for it. In a serious water event, turning off the power or natural gas might be necessary to ensure your and others personal safety. *In the case of a minor water situation there may not be a need to shut off the utilities, and doing so may leave your home without power until the utilities can be turned back on again.
Prevent electrocution. Do not use any electrical appliances if the carpet or flooring surfaces are wet. Use a wet vacuum to remove water, but check the manufacturer’s instructions before starting.
Use fans to circulate air and encourage drying. This is especially important in the first 24-48 hours after an indoor flood.
Get water out quickly (and safely). Fast action on your part can prevent further damage, help you save more of your belongings and minimize the time and expense of repairs. Clean up as much water as possible by mopping or blotting with towels.
Get property to a dry location. As much as possible, move belongings to a dry area. Put furniture on blocks or slide a square of aluminum foil under furniture legs to prevent the wood stain from bleeding into carpeting.
Remove area rugs from the floor. The dyes in carpets can stain flooring, carpeting or wood floors.
Do not lift tacked down carpet without professional help. It could cause carpet to shrink.
Launder any clothes or other washables that have been soaked as soon as possible.
Wipe excess water from furniture. Open drawers and cabinet doors for faster drying. Spread out books to speed drying and prevent further damage.
Watch for debris and pests. If water is flowing in your house there may be dislodged materials such as nails, or pests such as snakes or vermin.
Report claims as soon as possible. The sooner you report damage, the sooner we can help you get your home and life back to normal.
Keep track of the time spent cleaning and save receipts for the costs of any rental equipment or payments to professional services. Take photos of any damaged items you may have to discard before an insurance adjuster sees them, and make an inventory list of any damaged goods.
Want to make sure you’re covered? Get a Home Insurance Quote Today! CA Home Insurance is very affordable and a great investment for any homeowner that is looking for protection against unforeseen tragedies.
Nothing is more terrifying. The thought of flames racing through your home is probably your worst nightmare. Unfortunately, it is an all-too-frequent occurrence in this country. Every year, 4,000 Americans die in fires. The vast majority of those deaths occur at home – each year, 100,000 homes are destroyed, 40,000 family pets are killed and uncounted irreplaceable family treasures are lost forever.
Tragically, most fires are preventable. The leading cause of fires in the home is faulty heating equipment. A couple of simple measures can ensure that your home heating system is safe. For example, changing your air filter regularly will ensure that your furnace isn’t overtaxed. And don’t leave piles of newspaper or other combustibles within two feet of your furnace.
While home heating systems are the No. 1 cause of fires in the home, cigarettes are the No. 1 factor in home fire fatalities. If you do smoke, be sensible. Don’t smoke in bed. Use a large metal or glass ashtray. Put that cigarette out with water before you drop it in the trash.
The No. 2 cause of fire-related deaths is arson. Intentionally set fires claim the lives of more people each year than all natural disasters – including floods, hurricanes, tornadoes and earthquakes – combined. Most arson fires are fueled with combustible material found nearby. A little diligence around the house, along with a watchful eye for strangers, can make a world of difference.
In fact, a little diligence is the key to home safety in general. It may go without saying, but smoke detectors that work, fire extinguishers that are well-charged and easily accessible, and a ladder for the upper floors can save money and lives.
Want to make sure you’re covered? Get a Home Insurance Quote Today! CA Home Insurance is very affordable and a great investment for any homeowner that is looking for protection against unforeseen tragedies.
Burglars don’t advertise their unique line of work. They don’t wear a uniform or act suspicious. Remember this when you invite new acquaintances into your home or have a large social function. 21% of burglaries are committed by juveniles, frequently those living in the area.
The first step in helping prevent household burglary is simply to lock your doors and windows. This simple step alone greatly reduces the odds of being burglarized.
The burglar is always looking for the easiest job – don’t help him. Make it as difficult as possible for a thief to enter your home. Lock your doors and make your home look occupied when you’re not at home. By doing so, a burglar will most likely look for an easier break-in somewhere else.
Burglary, one of the most costly crimes in terms of actual dollar losses, is also one of the easiest crimes to combat. A moment of carelessness – not bothering to lock windows and doors – is an invitation to the criminal. The burglar is likely to go where there is an inviting open garage door or other easy way to enter. By taking normal precautions, you can save your share of the millions of dollars those open doors and windows cost crime victims every year.
Common Sense Precautions
Lock all doors and windows, especially when leaving the house (even for short periods)
Don’t leave keys under the mats, doorsills or on an outside nail
If you leave your car keys with someone, don’t give them the full key ring containing the house keys
Do not carry an identification tag on your key ring
Never leave notes outside your home advertising your absence
Always lock and close your garage door, even if you plan to be gone only for a few minutes
Lock all outside doors at all times, even when you are on the premises
Keep tool shed and other out-buildings locked
Adjust the volume on your telephone so the ring cannot be heard outside — smart burglars may be listening when you aren’t home
Make your home look occupied when you are away for the evening by leaving on some exterior and interior lights
Keep jewelry in a safe deposit box at your bank
Prune shrubbery around doors and windows so a burglar cannot work undetected
Remove objects from your yard or near the house that might conceal a burglar
Check door moldings for tight fit
Never keep large sums of cash or easy-to-sell valuables in your house
For those few valuables you feel you must keep at home, find hard-to-reach or hard-to-find places to conceal them
A dog is an excellent anti-burglar investment — a barking dog, whether large or small, may persuade a burglar to move on
When You’re at Home
Do not open your home to strangers. Demand identification before you admit anyone you do not recognize. Don’t accept a uniform as identification, and verify identity by phone before you admit a repair or delivery person.
Post guidelines for your baby-sitters and children at home alone. If a non-family member or unexpected visitor knocks at the door, the child or baby-sitter can say through the door that the parents are “busy and cannot come to the door.” If the person persists, the police should be called and told that there “is a person at the door who will not leave.”
If you have an answering machine on your phone, your recorded message should say you are busy, not that you are gone from the premises.
When you admit a repair or delivery person, do not leave them alone, even for a few minutes.
Never volunteer information over the phone. Instruct children and baby-sitters never to admit to being home alone. Have them tell callers that mother or father is asleep or busy, but the call will be returned if they leave a number. It is recommended to answer the phone as a burglar may be calling to determine if the house is occupied.
When attending a funeral of a family member, have a neighbor house-sit. Burglars read the newspapers for advance notices, especially funerals, anniversaries and weddings.
When You’re on Vacation
Discontinue mail deliveries, and have a trusted neighbor pick up newspapers and advertising circulars. In some areas, suspension of deliveries is a tip-off to your absence. Ask your local police for advice.
Store ladders, bicycles, and lawn and garden equipment in a locked garage or out-building. A few large pieces of furniture may be left on the patio or deck so it appears you are at home.
Ask a trusted neighbor or relative to keep an eye on your house.
Notify your local law enforcement agency that you plan to be away as some agencies will schedule periodic checks of your home.
Arrange for someone to mow the lawn or shovel the snow.
Use automatic timers to turn on lights and radio or television at an appropriate time.
Added Protection
Doors
Install a high-quality peephole viewer with a wide angle 180-degree lens, and do your talking through the closed door.
Install solid wood or metal door exteriors, including the door from the garage into the house. Hollow core doors are easy to smash and enter. The finest lock is worthless if the door around it is flimsy. Even solid doors with thin inset wood panels can be entered easily.
Reinforce or rebuild door jambs.
Equip your doors with deadbolt or double-cylinder locks. “Dead” denotes the bolt is mechanically held in place instead of spring-loaded. Conventional spring-latch locks are easily opened, and can be opened with a credit card inserted between the door and frame. If unfamiliar with locks, confer with a locksmith on selecting the best lock or locks for your particular situation.
Change your door locks if you move into a house or apartment that has been previously occupied. Do the same thing if your keys are lost or stolen.
Don’t rely on the time-honored chain. They are easy to break or tear out of the wall.
If you have Colonial or Dutch doors with small glass panes, a sheet of Plexiglas can be fastened over the inside of the door covering all panes.
Check your outside doors for exposed hinges with removable pins. These allow the burglar to knock out the pins and remove the door.
Block sliding glass doors with a dowel or broomstick in the door track. Even if the lock is jimmied, the door will be hard to open.
If your sliding door can be lifted out of the track from the outside, insert screws along the upper track of the door, leaving room to slide the door, but not to lift it out.
Consider purchasing one of the economical locking devices on the market designed specifically for sliding glass doors.
Windows
Install locks on your windows. Consider the special locks for specific window types, such as sliding, double-hung wood and casement.
Install heavy screens on your windows.
If burglars can’t get in quietly by prying or jimmying a lock, they are reluctant to break glass because of the noise involved. Most burglars prefer to break one small pane, if necessary, to reach a lock, but will avoid breaking large windows. If they do break glass for entry, burglars look for an easy exit through a door, especially if they are stealing large items. If you have double-cylinder deadbolt locks installed on your doors, the locks cannot be opened to exit without a key.
Home Security Systems
If you live in a high-crime area, own a valuable collection or have been previously burglarized, here are additional preventative measures to safeguard your home.
Security systems of all designs, complexity, installation method and cost are available. The easiest installations require no wiring. A battery-operated unit is hung by a strap over the doorknob or by the window, or a pressure-sensitive mat is placed under the rug in front of the door or under a window. Some alarms are merely plugged into an electrical socket. Installations that necessitate wiring should be purchased with your electrical skills in mind. The range includes alarm systems for the average do-it-yourselfer, the skilled do-it-yourselfer, and the professional installer.
The prime function of a home alarm is noise. Usually the burglar leaves the premises as soon as the alarm sounds. The burglar doesn’t know if the alarm will sound for a minute or two, or run indefinitely. Some alarms are connected to the police station, although false alarms due to improper use have lessened their credibility.
For advice on the best alarm for your particular situation, you should consult with a security system firm, hardware store manager, police department or your insurance agent. In general, you should have a burglar alarm system if your house is isolated from view, if your home contains valuable items, if you live in a high-crime area, or if you live alone or fear the danger of forced entry and physical attack.
Costs also vary greatly. Point-of-entry alarm systems (the alarm sounds when the door or window is opened) can be purchased for under $10. Numerous point-of-entry devices are available in the price range of $15 to $60. For $250 and up, you can select a system, wired or wireless, that equips all doors and windows with sensors. Other systems rely on electric eyes, ultrasonic sound waves and radar.
If You Are Robbed or Burglarized
If there is a burglar in the house and you are at home, leave the house and call the police from a neighbor’s phone. If you cannot leave the house, go to a safe room, lock the door and call the police.
Do not seek out the burglar – avoid a confrontation if you can. Don’t take an action that could result in injury to you or in legal complications.
If you come home and think you’re being robbed, don’t go into the house. Go to a neighbor and call the police. Watch the exits of your house to see if anyone leaves, and write down or remember descriptions of the person or persons and car.
If you have been robbed or burglarized, do not touch or rearrange anything inside the house until the police arrive.
If you find checks, a passbook or credit cards missing, notify the necessary authorities immediately.
Collect the complete household inventory you have stored away from the premises; this will aid in reporting your losses to the police and your insurance company.
Want to make sure you’re covered? Get a Home Insurance Quote Today! CA Home Insurance is very affordable and a great investment for any homeowner that is looking for protection against unforeseen tragedies.
1. What happens if I fail to make the required payments?
If you miss a premium payment, you typically have a 30- or 31-day grace period during which you can pay the premium. After that, the policy will lapse. You may be able to reinstate with evidence of insurability depending on your policy’s provisions. If your life insurance policy has sufficient cash value, the company can, with your authorization, draw from a permanent policy’s cash surrender value to keep that policy in force. This does not apply to term insurance because there is no cash value to draw from. In some flexible premium policies, premiums may be reduced or skipped as long as sufficient cash values remain in the policy. However, this will result in lower cash values.
2. What if I become disabled?
Provisions or riders that provide additional benefits can often be added to a policy. One such rider is a waiver of premium for disability. With this rider, if you become totally disabled for a specified period of time, you do not have to pay premiums for the duration of the disability.
3. Are other riders available? (* availability and specifics of these riders vary by carrier and state.)
“Accidental death benefit”, provides for an additional benefit in case of death as a result of an accident.
“Accelerated benefits”, also known as “living benefits.” This rider allows you, under certain circumstances, to receive the proceeds of your life insurance policy before you die. Such circumstances include terminal or catastrophic illness, the need for long-term care or confinement to a nursing home.
“Child rider”, provides insurance for all your children, usually from $1,000 to $20,000 of death benefit.
4. When will the policy be in effect?
If you decide to purchase the policy, find out when the insurance becomes effective. This could be different from the date the company issues the policy.
5. How do accelerated death benefits work?
It allows policyholders to receive all or part of the policy’s proceeds prior to death under certain circumstances, including the need for long-term care and confinement to a nursing home. Because payments may affect tax status and Medicare eligibility, and will be deducted from the overall benefits paid later to beneficiaries, policyholders should thoroughly investigate options in advance.
6. By using medical tests are insurers trying to eliminate any applicant likely to develop a serious health condition?
Medical tests can provide accurate and current information about an applicant’s health, thus enabling insurers to charge premiums that reflect the level of risk an applicant represents. Because some health conditions are easily managed through proper medication, therapy or lifestyle changes, medical information sometimes makes it possible for insurers to cover applicants who might not otherwise be insurable. More serious or incurable conditions present an enormous risk that an insurer simply cannot assume.
7. What should I consider in naming life insurance beneficiaries?
Always name a “contingent,” or secondary, beneficiary, just in case you outlive your first beneficiary.
Select a specific beneficiary, rather than having the proceeds of your life insurance paid to your estate. One of the great advantages of life insurance is that it can be paid to your family immediately. If it is payable to your estate, however, it will have to go through probate with the rest of your assets.
Be very clear in wording beneficiary designations. Naming specific children may exclude those born later. If your child dies before you, do you want the proceeds to go to that child’s children? Changing the beneficiary designation is easy, but you have to remember to do it.
8. Does it make sense to replace a life insurance policy? Think twice before you do, because in many situations it may not be to your advantage. Before dropping any in-force policy, make sure your “new” policy is paid for and in effect and first consider:
If your health status has changed over the years, you may no longer be insurable at preferred or standard rates.
Even if both policies pay “dividends,” it may be years before the new policy’s dividends equal those of your present one.
If you replace one cash-value policy with another, the cash value of the new policy may be relatively small for several years and may never be as large as that of the original one. There may also be a period wherein a surrender charge is applicable on the first policy.
You should ask for a detailed listing of cost breakdowns of both policies, including premiums, cash surrender value and death benefits. Compare these as well as the features offered by both policies.
If you decide to surrender or reduce the value of the life insurance policy you now own and replace it with other insurance, be sure your new policy is in force before you cancel the old one.
9. As a single person, do I need insurance?
The answer almost always is yes. You may want to consider these options:
Disability income insurance – especially important for self-supporting singles without sizable assets, this can replace a good part of the income you would lose if you were unable to work because of accident or illness. If you don’t have long-term disability coverage at work, it would be wise to consider an individual policy designed to replace at least 60 percent of your income.
Health insurance – if you don’t have on-the-job coverage, an individual policy is your first line of defense against ever-escalating medical and hospital costs. You can keep premium costs down by electing a large deductible, thereby “self-insuring” as much as you can afford.
Life insurance – even if you have no dependents now, you may later. If you buy now when you are younger and healthier, you can “lock in” lowest-cost coverage, including guaranteed insurability.
Permanent insurance provides lifelong protection and is known by a variety of names. These policies are designed and priced for you to keep over a long period of time. If you don’t intend to keep the policy for the long term, it could be the wrong type of insurance for you.
Most permanent policies including whole, ordinary, universal, adjustable and variable life have a feature known as “cash value” or “cash surrender value.” This feature, which is not found in most term insurance policies, provides you with some options:
You can cancel or “surrender” the policy — in total or in part — and receive the cash surrender value as a lump sum of money. If you surrender your policy in the early years, there may be little or no cash value.
If you need to stop paying premiums, you can often use the cash surrender value to continue your current insurance protection for a specific period of time or to provide a lesser amount of protection to cover you for as long as you live if there is sufficient cash value.
Usually, you may borrow from the policy, using the cash value in your life insurance as collateral. Unlike loans from most financial institutions, the loan is not dependent on credit checks or other restrictions. You ultimately must repay any loan with interest or your beneficiaries will receive a reduced death benefit.
The interest crediting rate and therefore cash values of many life insurance policies may be affected by your carrier’s future experience, including mortality rates, expenses and investment earnings.
Keep in mind that with all types of permanent policies, the cash value of a policy is different from the policy face amount. Cash surrender value is the amount of available cash when you surrender a policy before its maturity or your death. The face amount is the money that will be paid at death or at policy maturity.
If you would like a quote on CA Life Insurance, please fill in one of our online insurance quotes, or call our office at 805-544-8929.
Workplace discrimination claims are at an all time high. In today’s sour economy, small business owners need to control expenses, but Employment Practices Liability Insurance is not the place to cut corners.
• The US Equal Employment Opportunity Commission (EEOC) reported that discrimination claims soared 15% in 2008 and workers were awarded $376 Million.
• 6 out of 10 employers have faced employee lawsuits within the last five years – That’s 60%!
• Businesses are more likely to suffer a financial loss from an employment practices related claim than from a fire.
Employment Practices Liability Insurance (EPLI) coverage provides protection for a company’s liability resulting from sexual harassment, wrongful termination, and discrimination against employees. In addition, EPLI is not just for employees, it provides protection against discrimination and harassment claims made by former employees, potential employees, customers, and guests. These claims scenarios are specifically excluded in a general liability policy, which is why all businesses with employees and/or customers should carry EPLI coverage.
Defense costs – most small businesses do not have the financial resources to retain legal counsel, let alone pay for a costly defense. Average defense cost for an employment practices lawsuit is $45,000. The average settlement is $40,000. Do you have $85,000 cash on hand right now?
Okay, so how much? – EPLI policies can be as low as $100/month for small businesses with decent HR practices. If your HR practices aren’t what they should be, your EPLI insurance company, can make recommendations to help you keep your insurance costs down.
The bottom line: If you’re reading this, I can almost guarantee that you know someone who has had an employment practices related incident with their business. In fact, you may have experienced an employment practices situation first hand – if you have, you’re in the majority. If you haven’t, avoid the mindset of “it will never happen to me.”
Coverages available or included in EPLI policies:
• Sexual harassment
• Wrongful Termination
• Discrimination
• Statute Violation
• Negligent Hiring
• Negligent Supervision • Negligent Promotion
• Negligent Retention
• Disabilities
• Breach of Contract
• Loss of Consortium
• Emotional Distress • Invasion of Privacy
• Wage and Hour Disputes
• Drug Testing
• Mental Anguish
• Libel
• Slander
For more information, please contact Jayne Engle-Allen, CLCS, at Engle & Associates Insurance Brokers 805-544-8929 or jayne@engleinsurance.com or visit our website for a CA Employment Practices Liability Insurance Quote.
If you use your car or truck in the regular operation of your business, you most likely need commercial auto insurance. Many business owners believe that their personal auto insurance is providing coverage for them while they use their vehicles for work. In some cases, such as realtors, and clergy members, this may be true. For most business owners, this is a costly misunderstanding. For example, did you know if you let an employee drive your personal auto, your insurance company may deny a claim?
Some examples of when you need commercial auto insurance
You deliver… anything (food, newspapers, materials, finished goods)
You carry passengers as part of your job, even if you don’t charge them (Garage or Automotive service ‘courtesy shuttle,’ preschool, senior care, hotel shuttle, etc.)
Your vehicle has permanently attached equipment used for your job (pest control, construction, farming, etc)
Your vehicle has signs/logos/etc
Your employees drive their own vehicles as part of their job, or to run errands for your business.
You or your employees rent vehicles for work purposes (i.e. business travel)
Sample of businesses we have helped with their commercial auto needs:
Landscapers insurance
Artisan and contractor insurance
Truckers – Local and Long Haul
Courier and delivery insurance
Restaurant and food service insurance
Farming and livestock insurance
Wholesale business insurance
Religious and nonprofit organization insurance
If you would like a quote on CA Commercial Auto Insurance, please fill in one of our online insurance quotes, or call our office at 805-544-8929.
A driver reported backing his Ford pickup into a fire hydrant in a commercial warehouse area with a large paved parking lot. The resulting damage and expenses included:
- Fire hydrant replacement, including cost of installation
- Damage to the parking lot caused by the sinkhole created by water escaping from the damaged hydrant. Did you know that a six inch water main connected to a fire hydrant can flow between 1000 and 1500 gallons of water per minute?!?
- Bill for hundreds of thousands of gallons of water.
Backing accident 2
- Creation of a large lake in the remaining parking lot, requiring special handling, pumping, and resulting in possible additional damage to structures.
- Cost of business interruption due to lack of access to parking lot until repairs are made.
- Extra security to block off damaged area to prevent other accidents.
Backing accident 3
ARE YOUR CURRENT INSURANCE LIMITS ENOUGH?
Accidents can cause a domino effect, resulting in unanticipated damages and expenses. Without adequate liability coverage, you could be putting your assets and future earnings at risk. An Umbrella Policy is an inexpensive option to better protect you from worst-case scenarios like the one above. The average personal umbrella policy costs less than a video rental or latte per week! Call my office for a FREE coverage checkup today! (805)781-6337 or toll free (877) 364-5380.
In all my years in this business, I’d say the one product that drives people nuts (especially guys): is life insurance. When people don’t have it, they squirm when the subject comes up. They know they should have it. Questions swirl around in their head like:
“How Much?”
“What Type?”
“When?”
“What if they find something on the medical exam?”
“…Pass the TV remote, I can’t think about this right now…”
On the other hand, when that policy is finally issued, that same guy who was squirming, suddenly feels relieved. He’s done “the right thing.”
Over-thinking the particulars of life insurance fuels our natural inclination to put off the important purchase. Here’s some advice: YES, do your research. Look into whole life, universal life, term life, etc. (I can help). But while you’re becoming an ‘expert,’ please don’t miss the forest for the trees. The bottom line is: Your family needs this protection. You protect your home in case it burns down, you protect your car in case it’s destroyed. If you are gone, your income is gone. Life insurance is income protection.
So, my two cents: something is always better than nothing. Apply for $250,000 of 20 year level term protection now. For most people, this will fit into the family budget. Even though it’s still not enough to protect most families, it’s certainly better than nothing. Underwriting and issuing this amount of life insurance is painless. And I have yet to read about the widow who gave the life insurance check back to the company: “Not thanks, my family doesn’t need this – give it to someone else more deserving.”
2 other quick points:
Life insurance can’t be taken away once you’ve got it, BUT you may not be able to afford it or even get any protection if you become ill before you apply (diabetes, heart disease, cancer, etc).
The world’s financial ‘flu’ infects the life insurance industry too. Rates and fees are rising. You can lock in your costs now with one of over 30 top-rated companies that we work with.
Want a quick quote NOW? Fill out my fast and easy quote form here, and I’ll have your quote in minutes. Remember, I never hard sell insurance. I’m here to help you make an informed decision.
situation in the event of a loss. If you are shopping, it helps to know what you’re buying. There are major coverage differences between garage insurance packages. Having the mindset that insurance is insurance, it will cover me is like saying a car is a car… now view mental picture of the Yugo. Enough said. Below I will outline a major coverage issue between different garagekeepers packages.
1. What happens if I fail to make the required payments?
