We all know it is important to have contents insurance but what does it actually cover? Contents insurance by definition will cover and loss or damage to your possessions while they are in your home; however, they do not cover loss or damage from personal malicious damage.

By possessions insurance companies mean anything that isn’t permanently attached to the structure of your house: for example, fitted units won’t be covered but anything you would take with you when you move is covered, including TVs, beds and wardrobes. Anything that is not covered by contents insurance will come under building insurance which is a different kind of insurance.

The most frequent damage to contents which causes people to claim on their contents insurance include thefts, burst or leaking pipes, fire, floods - in fact, anything outside of your control which causes loss of or damage to your personal belongings is covered by contents insurance.

Whilst insurance companies won’t pay claims where items have been purposefully damaged many do offer the option to add additional cover for accidental damage. The cover this provides varies from company to company so remember to check what the company you go with covers. Another thing to check when buying contents insurance is their replacement cover: does the company offer ‘new for old’ replacement on your possessions, or something else? This will mean no matter the age or condition of the item you will get a new one. Some companies offer ‘replacement value’ which means the age and condition of the item are taken in to account and you could end up receiving less than you would expect for an item.

Some companies provide flexible levels of cover for certain occasions such as Christmas, which means that presents in the home will be covered by your contents insurance if they are damaged or spoilt in any way. Other instances of this flexible cover include wedding presents to allow newly weds to cover their presents before deciding what to do with them.

When it comes to household insurance in South Africa, there are two options that you as a homeowner can choose from. What are these two types? These two types are home owners insurance, and then household contents insurance, which you have the option to choose between. Either type of homeowners insurance is a positive step in protecting yourself from the staggering financial risks that can accrue, in the event that something should happen to your home. For homeowners insurance that is going to be covering any major building or permanent fixturing in the home, this insurance becomes required, if this home is going to be bought under a home loan or under a mortgage bond agreement. But how do you select and determine which form of coverage is right for you? Let’s take a closer look at each one.

When you pick up homeowners insurance, you’re insuring that if there is any damage or loss of property that happens in the event of a natural disaster, like an earthquake, occurs then there will be a claim that is settled for the extent of your homes damage. This insurance policy also covers the event that your home catches on fire, or falls prey to a situation where structural damage takes place and impacts the property. This policy doesn’t only cover structural damage though, but any burst geysers that have the capability to damage your floor ceiling in some way. This is important to consider, as it provides you with great coverage that will protect your home. Once again, it’s also compulsory if you’ve paid for the house with a loan, or in a way that means that it is not yet 100% yours.

The next form of household insurance that you can get an insurance policy for is the household contents insurance policy. This insurance policy plan is usually only meant as a short-term insurance solution that is often offered by banking institutions and insurers in South Africa. This household contents insurance has the ability to cover any electronic objects, any valuable furniture and any valuables that you may discover have been stolen while you were away from home. For other examples of coverage terms, it would also cover you against any electrical incidents, but this can be an extra cost that is added on to the premium rate of this short term insurance.

It is very easy to find the rates and quotes for homeowners insurance, and by doing some research and comparison; you can make sure that you’re getting a fair market value rate that is competitive with other home insurance companies in the area. Home insurance policies can be very selective from insurance company to insurance company, so making sure that you read over documents carefully and make sure that you’re sure in your decision is an excellent idea for you, when purchasing homeowners insurance.

One of the best ways to protect your savings is by purchasing  Permanent health insurance. It covers long term injuries and illnesses which are not covered by other forms of insurance. As a policy holder, you can obtain a monthly sum to compensate for the income lost due to incapacity. In some cases, you can get 65% of the gross income. You can
avail the monthly benefits until you get back to work. This type of policy usually lasts until you retire and hence is a complete package. Permanent health insurance can be availed irrespective of the type of employment. You have to choose the deferred period while taking out this policy. During the deferred period, you cannot avail the benefits of Permanent health insurance. Those who are self employed can set this period to a minimum. However, in such cases, the premiums of the policy can be very expensive. Those who have sick pay benefits can choose a longer deferred period. Permanent health insurance is a good way to maintain a decent living standard even if you are rendered  incapacitated by an illness or injury. In some cases, you may never be able to work again. The long term benefits provided by this type of medical insurance can be a great benefit in such times. Another advantage of permanent health insurance is that the payout money can be used for various purposes. With this policy, you can also
lessen the financial strain on your family and other dependents.

So how to find health insurance cover? This is one of the most frequently asked questions when it comes to buying a health insurance. Although you can get the quotes directly from the company, it may involve minor charges. Hence the internet is the best place to obtain and compare health insurance rates. You can get the rates of multiple  companies with a single click. Additionally, there are various online rate comparison tools that enable you to identify the cheapest rate. These services are usually free and you can use them from the comfort of your home. Nowadays, you can also apply for insurance online.

A private health insurance policy is a kind of insurance policy that can giveyou the coverage you need for hospital room charges, diagnostic tests, medicaltreatments and procedures, and physicians’ and specialists’ fees in the eventthat you get ill or are diagnosed with a medical condition that would requiremedical care and treatment. You need to make sure, however, that you are ableto get several quotes from different health insurance providers before yougetting private health insurance.

By obtaining private health insurance quotes, you would have an easier timecomparing your options, which in turn, would allow you to find the mostaffordable policy that comes with the coverage you need. Through gettingquotes, you would also be able to take out a policy which comes with terms thatbest suit your personal situation.

The best way to get quotes for private health cover in the UKwould be through the internet. This is because most health insurance policiestoday already have websites where they provide quotes as well as additionalinformation that can help those who are interested in getting a private healthinsurance policy in making an informed decision.

After providing health insurance providers with the information that they need,you should be able to receive the quotes for the policies that you areinterested in. Once you have several quotes, you can then start comparing them.To compare private health insurance quotes, it is important for you to have alist of aspects and features that you can compare them on. Some importantaspects that you can use as criteria for comparing quotes for policies includetheir cost, their level of coverage, their deductibles and any other featuresand benefits that they come with.

If you are having a hard time comparing quotes and making a choice on your own,you can always look for websites which offer private health insurancecomparison guides. These websites can provide multiple quotes from differenthealth insurance providers as well details about various private healthinsurance options. Aside from this, you can also ask for the help of areputable health insurance broker.

Credit ratings are one of the most important tools used by banks and other financial institutions to decide upon the loan application of an individual. All individuals should therefore try their level best to maintain a healthy credit score for availing credit at discounted prices.

People with bad credit rating often find very difficult to get credit from any institutions. Their overdue accounts reflect as a negative mark on their credit profile and affect their overall credit rating.

There are certain legal angles involved too with overdue accounts. One of the most important out of them is the Statue of Limitation which sets a limit or a timeframe for the lender to take legal course in case of a default.

If the lender fails to take any legal action against the borrower for an overdue account, within a stipulated time frame then the debt can be termed as Statute barred. The time period may differ from state to state in order to claim statute of limitations. In most states it is six years while in some it is three years.

If the case is declared as statute barred then there can be no enforcement regarding collection of the overdue amount. However the negative mark would stay on their credit profile for a period of five to seven years.

Statute of limitation is not the only legal support available to people with bad credit history. They are plenty of laws which protect the debtor. People can seek advice from legal advisers regarding their rights and deal accordingly.

Insurance for homes sounds to be a relatively straightforward thing but in reality, a little thought up-front may pay dividends later on:

• your cover may be thought of as logically falling into three distinct categories – buildings cover, contents cover and third party liability protection;
• in spite of what you may be inclined to believe, insurance for homes is by no means more or less identical from one policy to another – there may be significant differences between insurers and it typically only makes sense to review the policies in detail before you decide to buy one;
• buildings cover typically concentrates on the bricks and mortar side of your property plus its relatively immovable fittings such as the bathroom suite for example, however, policies may differ in their attitude to things such as permanent adjacent structures (e.g. laundry rooms or conservatories) and garden walls/boundaries etc;
• contents cover, as the name suggests, concentrates on the movable possessions in you property such as furniture and clothes, however, what the policy covers may, as per buildings cover, differ between insurers;
• for example, you may find that some policies may not cover (or have special conditions) relating to cash and jewellery kept around the house – some policies may also restrict the value of the cover available on individual electronic items;
• remember that insurance for homes typically is based around the principle of providing cover for owner-occupiers – should you start to let part of your house out (or the entirety of it) for income generation purposes, then your existing insurance may be invalidated and you may need to seek landlord insurance cover;
• a similar point may apply if you start to use your home for other forms of commercial activity, for example, you may need to seek specific contents insurance quotes if you start storing commercial stock for your business around your home;
• some insurance may be priced around an understanding of the size of your home and its total re-build cost, therefore, if you do anything to significantly increase that (e.g. by building an extension) it may be necessary to advise your insurer and increase the sum insured;
• the same principle may apply to contents – you may be advised to seek new contents insurance quotes if you have done something to significantly increase the value of your possessions;
• insurance for homes may one day prove to be exceptionally and even critically important to you – getting appropriate cover is only sensible.

Debt consolidation companies help consumers who are having difficulty paying their creditors. Customers consolidate their debts through the companies, and the businesses help them create a debt management plan.

Customers benefit by having only one monthly payment, which is usually less than the total amount they pay for all their individual bills. They also get a lower interest rate and are able to bring past due accounts up to date. While the customers can benefit from credit card debt relief, the industry has some criticisms regarding how the process works.

There have been complaints that some businesses are not clear about the fees customers have to pay. Those who provide debt relief services market themselves as being nonprofit organizations. The nonprofit status can be misleading to customers who expect free or inexpensive services from a business.

The companies actually charge a monthly fee for each debt that they consolidate. For some customers, this can turn out to be thousands of dollars over the course of payments to a company.

Companies who claim to be nonprofits may in fact be generating huge profits. This has caused some businesses to lose their nonprofit status.

Some of the profits debt consolidation companies make come from customers’ creditors. The creditors give the companies a percentage of the money they collect from customers. Because the businesses receive money from customers and the customers’ creditors, they have been criticized as having a conflict of interest.

Companies may instruct customers to stop paying creditors once they set up an account. They then keep the customers’ first payment to them for fees instead of paying creditors. If customers are current with payments, this will cause them to miss one and fall behind with their creditors.

Debt relief services have been criticized because customers’ credit reports are affected by participation in the programs. Customers’ credit scores may not be lowered due to being in a debt management program, but some lenders look at the information unfavorably. The fact that a person needed help to manage debts may cause a lender to deny a loan or credit card application.

Because of the concerns with debt consolidation companies, customers should be careful in selecting one for debt management. Customers should avoid companies that charge upfront fees or try to get them to enroll without providing good debt counseling. They should also avoid companies that ask for payments before creditors have agreed to participate in the program.

UK household debt – The £1,500 a year bombshell

The increase in household debt is set to continue with the prediction that families will be £1,500 a year worse off for the next five years, thanks to the higher taxes and reduced benefits as a result of the Government’s austerity drive. The International Monetary Fund made the warning as part of its comprehensive review of the state of the British economy, saying that between them families would have £35 billion less disposable income due to the Governments plan for deficit reduction. 

The gloomy prediction comes as tensions are beginning to be exposed between senior figures in the Government over its economic strategy. Chancellor George Osborne has come under pressure from Prime Minister David Cameron to develop new ways to stimulate the economy despite the Chancellor insisting there is no alternative to their current policy.

Interest rate threat

 A background of falling wages, job losses and low growth have also led to the increase in household debt, which remains a threat to economic recovery in the UK. The IMF warned that the Bank of England would have to raise interest rates ‘gradually’ because of the ‘potentially large effects of higher interest rates on growth.’ The report added: “With household debt levels still elevated by historical standards, rapid interest rate hikes could also cut directly into households’ disposable income.”

 The troubling rise in household debt was recently brought up by Treasury Select Committee member Chuka Umunna, who noticed a worrying trend in the Office for Budget Responsibility’s projections. Last year they predicted household debt in 2014 to be £1718bn and government debt to be £1294, whereas they now think household debt in 2014 will be £1963 and government debt £1251. This means they predict that while government debt will be reduced by £43bn, household debt will rise by £245bn.

 Private vs public debt

The New York Times Paul Krugman commented on the increase in household debt in his blog, writing: ‘Because the only way the economy can avoid taking a hit from government cuts is if private spending rises to fill the gap and…the only way that can happen is if people take on more debt. So we have the spectacle of a government that inveighs against the evils of debt pinning all its hopes on an assumption that over-indebted households will dig their hole even deeper.’

It’s clear that economic pressures are going to fuel this rise in private debt, which makes it all the more crucial for those suffering with debt problems to take action now to stop their debt growing out of control in the coming years. There are many debt solutions available to consumers seeking some kind of debt management arrangements that can reduce people’s monthly payments and remove the risk of bailiffs calling. One government initiative is the Individual Voluntary Agreement or IVA, which has the potential of writing off a large proportion of consumers’ debt, as well as allowing them to avoid bankruptcy and, if they’re homeowners, preventing them from losing their property. The key message is that if you have debt worries don’t ignore the problem – seek help to ensure that your debt does not become unmanageable.

Thre are many sources online that can help you with any personal bankruptcy issues.

It doesn’t matter where you live; eventually you will be affected by a natural disaster. Whether it comes in the form of a thunderstorm, tornado, hurricane or flood, something is eventually going to do damage to your home.

After the storm has impacted your home, first and foremost, gather your family to a safe place and seek out medical attention for any injuries. Stay away from the damaged building until it is declared to be safe and the power has been turned off. It’s tempting to want to re-enter your home to secure personal belongings, but this shouldn’t be done until after it is safe to do so.

Try to get in touch with your other family members as soon as possible to make sure they know that you are all okay. Then, you should call your insurance agent and find out what your home insurance policy coverage will do to help you repair and get back on your feet. Most home insurance companies will send an insurance adjuster to the site to evaluate the damage so that claims can be paid out as soon as possible.

After the insurance company does their evaluation and the property is safe to enter, there are a few do it yourself things you can do to get the cleanup and repair process started. First, clean up debris around the outside of the house. If there will be construction vehicles coming to the property, you will want to have clear space for them with obstacles removed directly from around the house so that workers can safely work in that area as needed. Hire a dumpster or depending on the neighborhood, you may be able to remove debris to the curb for pickup.

After a thorough cleanup outside, go to the inside and remove any salvageable personal belongings to be stored until they can be placed back in the house. You can then proceed with cleaning debris from the inside of the home. If you have already spoken with a contractor about the repairs that will need to be made, you can typically arrange to do some of the demolition work yourself in preparation for the repair work. This is a great way to help lower the total cost for repair.

Natural disasters will affect almost all of us eventually. It’s good to know there are a few ways to help your self during the aftermath.

Flood and water damage can have a devastating effect on a business, not only on the structure of the building and any stock contained therein but too the staff and the finances as well. Following a flood at your business you need to ensure that you receive the best possible payout from your insurance company.

There are numerous factors hat go in to consideration when you initially make your flood insurance claim and all of these will be assessed by the loss adjuster that is appointed to your case.

The loss adjuster will be looking for:

• The damage that was caused to the premises
• The damage that was caused to any stock that you may have
• The damage caused to any equipment that you had in the premises

The loss adjuster will also be looking closely at your insurance details, will be interviewing possible witnesses and staff and many other things. With any flood insurance claim or business interruption claim you will be expected to deal with your side of the claim yourself. All sounds a little unfair, doesn’t it? How can you be expected to get the best possible payout for your company when you are going to be nowhere near as experienced as the loss adjuster?

The secret weapon

Following the flood insurance claim it would be in your best interest to look at the work of some loss assessors and see how they can help in this kind of situation. A loss assessor will essentially carry out the same tasks as the loss adjuster but with your businesses interests at heart. The loss assessor will bring to the table all the knowledge and expertise that you and your business are lacking – thus making the claim a fairer fight.

A loss assessor will:

• Assess all the damage following the flood (including property, stock and loss of earnings)
• They will liaise with the insurance company on your behalf allowing you to deal with getting your business back on track and dealing with customer issues that have arise following the flood.
• They will deal with all the paperwork.
• A good loss assessor can also help with getting contractors in to fix the damage that has been caused by the water.

When the water has cleared and you are left with dealing with the aftermath you need to be sure that you will have the money you need from your insurance company – by employing a loss assessor or getting the help of a claims management company you will ensure that your business is not one of the ones that has to fold from an inadequate payout.