Insurance facts
Auto insurance (or car insurance, motor insurance) is insurance consumers can purchase for cars, trucks, and other vehicles. Its primary use is to provide protection against losses incurred as a result of car accidents. By buying auto insurance, depending on the type of coverage purchased, the consumer may be protected against: * The cost of repairing the vehicle following an accident * The cost of purchasing a new vehicle if it is stolen or damaged beyond economic repair * Legal liability claims against the driver or owner of the vehicle following the vehicle causing damage or injury to a third party. Liability insurance covers only the last point, while comprehensive insurance covers all three. Even comprehensive insurance, however, doesn't fully cover the risk associated with buying a new car. Due to the sharp decline in value immediately following purchase, there is generally a period in which the remaining car payments exceed the compensation the insurer will pay for a "totaled" (destroyed, or written-off) vehicle. So-called GAP insurance was established in the early 1980's to provide protection to consumers based upon buying and market trends. The escalating price of cars, extended term auto loans, and the increasing popularity of leasing gave birth to GAP protection. GAP waivers provide protection for consumers when a "gap" exists between the actual value of their vehicle and the amount of money owed to the bank or leasing company. In the United States, liability insurance covers claims against the policy holder and generally, any other operator of the insured's vehicle, provided they do not live at the same address as the policy holder and are not specifically excluded on the policy. In the case of those living at the same address, they must specifically be covered on the policy. Thus it is necessary for example, when a family member comes of driving age they must be added on to the policy. Liability insurance generally does not protect the policy holder if they operate any vehicles other than their own. When you drive a vehicle owned by another party, you are covered under that party's policy. Non-owners policies may be offered that would cover an insured on any vehicle they drive. This coverage is available only to those who do not own their own vehicle. Generally, liability coverage does extend when you rent a car. However, in most cases only liability applies. Any additional coverage, such as comprehensive policies, i.e. full coverage may not apply. Full coverage premiums are based on, among other factors, the value of the insured's vehicle. This coverage may not apply to rental cars because the insurance company does not want to assume responsibility for a claim greater than the value of the insured's vehicle, assuming that a rental car may be worth more than the insured's vehicle. Some states, such as Minnesota, may require that it extend to rental cars.[1] Most rental car companies offer insurance to cover damage to the rental vehicle. These policies may be unnecessary for many customers as credit card companies, such as Visa and Mastercard, now provide supplemental collision damage coverage to rental cars if the transaction is processed using one of their cards. These benefits are restrictive in terms of the types of vehicles covered.
Term life insurance is a type of life insurance that is temporary, as it covers only a specific period of time, the relevant term. It can be considered pure insurance because it builds no cash value. This is in contrast to permanent life insurance such as whole life, universal life, and variable universal life. Term insurance is the cheapest way to buy a given amount of insurance death benefit on a coverage per premium dollar basis. Term insurance should be purchased with the Theory of Decreasing responsibility in mind. This theory assumes that the insured realizes all financial responsibilities are temporary and insurance should be purchased to offset those responsibilities.
Term Life Insurance Term life insurance provides for life insurance coverage for a specified term of years for a specified premium. The policy does not accumulate cash value. Term is generally considered "pure" insurance, where the premium buys protection in the event of death and nothing else. Permanent life insurance Permanent life insurance is life insurance that remains in force until the policy matures, unless the owner fails to pay the premium when due. The policy cannot be cancelled by the insurer for any reason except fraud in the application, and that cancellation must occur within a period of time defined by law (usually two years). Permanent insurance builds cash value, providing a type of savings account that the policy owner can access if needed either by borrowing against the policy or surrendering the policy and receiving the surrender value. Whole life insurance Whole life insurance provides for a set face amount, a level premium, and a cash value table included in the policy guaranteed by the company. The primary advantages of whole life are guaranteed death benefits, guaranteed cash values, fixed and known annual premiums, and mortality and expense charges will not reduce the cash value shown in the policy. The primary disadvantages of whole life are premium inflexibility, death benefit inflexibility, cash value accessibility is limited, and the internal rate of return in the policy may not be competitive in with other savings alternatives. Universal life insurance Universal life insurance is a relatively new insurance product intended to provide permanent insurance coverage with greater flexibility in premium payment and the potential for a higher internal rate of return. A universal life policy includes a cash account. Premiums increase the cash account. Interest is paid within the policy (credited) on the account at a rate specified by the company. This rate has a guaranteed minimum but usually is higher than that minimum. Mortality charges and administrative costs are charged against (reduce) the cash account. The surrender value of the policy is the amount remaining in the cash account less applicable surrender charges, if any.
* Life Insurance Election * 50-126 1102 * Form 712 (Rev. May 2000) . * Part I Section 809.–Reduction in Certain Deductions of Mutual Life Insurance Companies Rev. Rul. 99-3 ISSUE * VETERANS MORTGAGE LIFE INSURANCE 29-8636 * Dependent Group Life Insurance Plan booklet * November 5, 2002 American Health and Life Insurance American Health and Life Insurance d.b.a. American Life and Health Insuranc * Group Life Insurance Beneficiary Designation(s) * SECTION B BASIC LIFE INSURANCE AND ACCIDENTAL DEATH & DISMEMBERMENT INSURANCE * Summary of Life and Accidental Death & Dismemberment Plan Benefits Group Policy No. 641996 * GROUP LIFE INSURANCE * SUPPLEMENTAL LIFE INSURANCE ENROLLMENT FORM * Minnesota Life Insurance Company 400 Robert Street North St. Paul, MN 55101 March 25, 2005 * Life Insurance Election * WEST VIRGINIA DOMESTIC LIFE INSURANCE COMPANIES THP Insurance Company Phillip D. Wright, President 52160 National Road, East * Department of Insurance * SECURITIES PLEDGED AS OF DECEMBER 31, 2003 * Active and Satellite Enrollment Form for July 2005 - June 2006 * INSURANCE OPTIONS FOR BUSINESS CONTINUATION * Retiree Enrollment Form July 2005 to June 2006 * MEDICARE PREFERRED PROVIDER ORGANIZATION (PPO) DEMONSTRATION FACT SHEET * What is Additional Retirement Service Credit * Fortune 500 Participant List EPA ENERGY STAR Buildings & Green Lights * STARMOUNT LIFE INSURANCE The following products are approved for payroll deduction for state employees in accordance with the * top 50 corpno cash2004.xls * PROTECTION FOR YOU AND YOUR INSURANCE POLICY THE WASHINGTON LIFE AND DISABILITY INSURANCE GUARANTY ASSOCIATION * Declaration Of Appointee * Summary of Coverage * M E M O R A N D U M * USAID * January 12, 2004 Via Electronic Mail Jennifer J. Johnson Secretary of the Board * Paper No. 20 RFC THIS DISPOSITION IS NOT CITABLE AS PRECEDENT OF THE TTAB SEPT 11, 98 * BENEFITS * January 13, 2005 Steven D. Eimert, Esq. Sherin and Lodgen LLP 101 Federal Street Boston, MA 02110 * November 24, 2004 Mr. Alec Berkman Executive Compensation Solutions 510 S. Grand Avenue, Suite 302 Glendora, CA 91741 * Getting Married * State of Missouri OFFICE OF ADMINISTRATION Post Office Box 809 Jefferson City, Missouri 65102 (573) 751-2971 * Continuation of Life Insurance Coverage as an Annuitant or Compensationer * April 5, 2004 * Certified Utilization Review Agencies (as of June 2005) * PURSUANT TO INTERNAL REVENUE CODE SECTION 7463(b),THIS OPINION MAY NOT BE TREATED AS PRECEDENT FOR ANY OTHER CASE. * Mailing: April 20, 2005 This Opinion is Not Citable as Precedent of the TTAB UNITED STATES PATENT AND TRADEMARK OFFICE * Health Care Financing Administration * Continuation of Benefits Coverage - C:BHRhrformsper108a.vft * 1947 Conference on Fire Prevention: Program * FI-6311 1997 ECONOMIC CENSUS FI * U.S. Attorney’s Office Atlanta, Georgia * Benefits of Belong Booklet * Print 160.01-217 Beneficiary #188.qxd * Summary of Benefits * C:wp8dataLCC Outline for Web - H * Self-Insurance Information Sys. * untitled - life insurance * How HRM Programs Affect OWCP Claimants * TELEPHONE SERVICES OF THE DIVISION OF PENSIONS AND BENEFITS BENEFIT INFORMATION LIBRARY (BIL) AND FAX ON DEMAND CATALOG * What You Need To Complete The Application For Help With Medicare Prescription Drug Plan Costs * RECRUITING INFORMATION * “AN AMERICAN MODEL FOR SOCIAL SECURITY REFORM” * Federal Register /Vol. 70, No. 99/Tuesday, May 24, 2005/Proposed Rules * Bridging the Gap Between Life Insurer and Consumer in the Genetic Testing Era: The RF Proposal * 1947 Conference on Fire Prevention: Report of Committee on Organized Public Support * Yankee Screw Products Co., 7-CA-46599, JD-52-04, David Evans, 6/8/04 * Federal Register /Vol. 67, No. 199/Tuesday, October 15, 2002/Notices * (Response is required) MINORITY BUSINESS ENTERPRISE COUNCIL Salary . . . . . . . . . . . . . . . . . . . . . . . $ * 1 In the Matter of ) ) CONSENT AND ORDER RELIASTAR LIFE INSURANCE ) TO LEVY FINE COMPANY, ) ) An Authorized Insurer. ) * February 14, 2003 TO: All Carriers Licensed to Market Credit Life Insurance or Credit * Federal Register /Vol. 67, No. 238/Wednesday, December 11, 2002/Notices * CF03E075US Privacy Notice * ARKANSAS PUBLIC SCHOOL RETIREE LIFE INSURANCE PROGRAM * untitled - life insurance * untitled - life insurance * DESIGNATION OF BENEFICIARY 29-336 F * Joint Committee on Taxation January 29, 2004 JCX-4-04 * 1 Joint Committee on Taxation May 8, 2003 JCX-46-03 DESCRIPTION OF ADDITIONAL CHAIRMAN’S MODIFICATIONS * SALES AND USE TAXES * Interpretive Letter #926 March 2002 12 USC 24(7) * CSTSA Authorized Companies * St ate o f Cali fo rni a - Dep a rt men t o f Co rpo r ation s * NEWS AND NOTES FOR FLORIDA VETERANS * OCC 2004-56 (Attachment) * Prepared Statement of David S. Waldman, Vice President-Chief Operations Counsel * Opening Statement of Rep. Henry A. Waxman Hearing on The Collapse of Executive Life Insurance Company * DESIST AND REFRAIN ORDER * Memorandum Opinion & Order * UNITED STATES BANKRUPTCY COURT NORTHERN DISTRICT OF MISSISSIPPI IN RE: ANN W. BRAME CASE NO. 83-20052 ANN W. BRAME PLAINTIFF * Full and Part-Time Staff - 7.1. Staff Hired in Last Twelve Months - 7.2. 1 * ARKANSAS PUBLIC SCHOOL EMPLOYEES GROUP * AB 294 - California National Guard Refundable Credit (Blakeslee/Devore) * Untitled * IN THE UNITED STATES DISTRICT COURT FOR THE MIDDLE DISTRICT OF PENNSYLVANIA DONALD E. PIPER, SR., : DIANA L. PIPER, : * GLOBAL NEWS LINE * United States Court of Appeals * Memorandum 2001-39 * UNITED STATES BANKRUPTCY COURT MIDDLE DISTRICT OF GEORGIA ATHENS DIVISION In the Matter of: : Chapter 7 : WILLIAM L. WAGGONER, * UNIVERSAL CASEOPINION COVER SHEET United States District Court Central District of Illinois * Disclosure of Pension Information as of June 30, 2004 * Staff Hired in Last 12 Months - 7.2. Full and Part-Time Staff - 7.1 1 * Report Number: 22-03-002-13-001 Date Issued: November 15, 2002 * SC4 June 18, 2002 Genetics Task Force Subcommittee Report Subcommittee Title: * RITS Bulk File Formats For Federal Program Agencies * 1. Federal Rule of Civil Procedure 12(c) permits a party to move * Inside Wallops * UNITED STATES BANKRUPTCY COURT NORTHERN DISTRICT OF MISSISSIPPI IN RE: ROBERT JORDAN and LENA JORDAN CASE NO. 91-12479 * instr pgA 2823.wpd * U S B C D N H * Department of Accounts Payroll Bulletin * STATE OF CALIFORNIA * Federal Register /Vol. 67, No. 237/Tuesday, December 10, 2002/Notices * FILED August 20, 2002 Barbara A. Schermerhorn Clerk PUBLISH UNITED STATES BANKRUPTCY APPELLATE PANEL OF THE TENTH CIRCUIT * Work Life Nav September 2002 * state senator * DRAFT Guidelines for draft Subcommittee Reports * NOT FOR PUBLICATION UNITED STATES BANKRUPTCY APPELLATE PANEL OF THE TENTH CIRCUIT IN RE KOPEXA REALTY VENTURE * US District Court – Oregon Order to Disburse Funds Page 1 of 2 ATTORNEY’S NAME , Oregon State Bar ID Number * Declaration for Federal Employment * 2211-3 707 * Memorandum 2001-37 * OURTHOUSE EWS * STATE OF CALIFORNIA ARNOLD SCHWARZENEGGER, Governor * Agenda Item 3 3/23/05 Meeting Managed Risk Medical Insurance Board March 2, 2005 Board Members Present: * M:USERSESTARIELWEBPAGEJPMLSiteAssetsSource DocumentsHearing OrdersHearingOrder11-29-01.wpd * FEDERAL INVESTMENT PROGRAM CUSTOMERS 7/31/2005 EXECUTIVE BRANCH/ DEPARTMENT / AGENCY FUND AFS * OHIO BOARD OF TAX APPEALS * L:Proposed OrdersBONUCHI.wpd * U:USERSESTARIELWEBPAGEJPMLSiteAssetsSource DocumentsHearingOrder10-4-01.wpd * UNITED STATES BANKRUPTCY COURT * annual report cover design 1 * [PUBLISH] IN THE UNITED STATES COURT OF APPEALS FOR THE ELEVENTH CIRCUIT ________________________ No. 04-11401 * FILED * The Servicemembers Civil Relief Act of 2003 * Acrobat PDFMaker 5.0 * Imtek Corp-Summary Order * Missouri State Highway Patrol Employee Benefits Information * UNITED STATES DISTRICT COURT DISTRICT OF CONNECTICUT INDEPENDENCE INSURANCE : SERVICE CORPORATION, : Plaintiff, : : * Veterans Benefits Initiative Booklet * U.S. Patent and Trademark Office * Alpha Capital Group LLC-Summary Order * Deceased Account Contact Checklist * Federal Securities Held As Investments Of Government Accounts * APPLICATION FOR SETTLEMENT OF INDEBTEDNESS * Federal Government Employment * ORIGINAL * UNITED STATES BANKRUPTCY COURT NORTHERN DISTRICT OF ILLINOIS EASTERN DIVISION IN RE: ) Chapter 7 ) Bankruptcy Case No. 01-25244 * Declaration for Federal Employment * HHS Transmittal 96.12 Personnel Manual Issue Date: 5/24/96 Material Transmitted: * STATE OF CALIFORNIA OFFICE OF THE CONTROLLER * ANNUAL OPERATING STATEMENT & WORKING BUDGET Page INTRODUCTION * United States Court of Appeals * Superior Court of California County of Sacramento SENIOR INFORMATION TECHNOLOGY ANALYST * Revised, TM No * Untitled * BEFORE THE STATE BOARD OF MEDIATION STATE OF MISSOURI AMERICAN FEDERATION OF TEACHERS, ) * ERS Updates U.S. Foodborne Disease Costs for Seven Pathogens * UNITED STATES DISTRICT COURT EASTERN DISTRICT OF NEW YORK COURT NOTICE CASES REASSIGNED TO JUDGE SANDRA J. FEUERSTEIN * State of California * IN THE UNITED STATES DISTRICT COURT FOR THE DISTRICT OF MARYLAND : VALLEY FORGE LIFE INSURANCE COMPANY : v. * DESIGNATION OF BENEFICIARY * CHIEF3SB BULLETIN CEA EXAMINATION * Prudential Insurance * Treasury and IRS Shut Down Abusive Life Insurance Policies in Retirement Plans * Federal Register /Vol. 67, No. 170/Tuesday, September 3, 2002/Notices * W:Temporary3-11-04 Servicemembers.wpd * Superior Court of California County of Sacramento * FoodReview, Winter 2002, Volume 25, Issue 3 * S618 FAQ OFFICIAL 06-09-05.indd * Past Grantees * 1-2-3 - S-WORKSHEETS.123 * COMBINED STATEMENT OF FINANCIAL CONDITION And INCOME AND EXPENSE DECLARATION * Managing Appraiser Bulletin.indd * PDF File John S. Clark v. Melvin J. Tieszen and Nancy H. Tieszen August 24, 1999 * County Commissioners: Agenda * En Banc - August 2004 * SUPERIOR COURT OF CALIFORNIA COUNTY OF MONTEREY COURT MANAGER - FINANCE * SUPERIOR COURT OF CALIFORNIA COUNTY OF MONTEREY * car-insurance * auto-insurance * term-life-insurance * life-insurance * insurance-quote * insurance-rates * long-term-care-insurance * home-owners-insurance * medical-insurance * health-insurance * travel-medical-insurance * flight-insurance * renter-insurance * disability-insurance * liability-insurance * earthquake-insurance * flood-insurance * fire-insurance * business-insurance * self-employment-insurance * credit-insurance * property-insurance * workers-compensation-insurance * annuities * permanent-life-insurance * mortgage-insurance * travel-insurance * group-health-insurance