As seen thus far, the total risk of the insurance portfolio affects the probability of insurer bankruptcy. Insurers may offset an increase in bankruptcy risk by increasing the amount of surplus or equity they hold. To the extent that purchasers of insurance recognize a change in the probability of ruin, at least in the idealized world of competition, this will affect their willingness to pay for the insurance. (more…)

Many insurance companies are facing some regulatory barriers to the development and sale of some long-term care insurance. But the way regulation does not face a major obstacle to insurance growth. Long-term care is usually covered by the insurance departments of the State in accordance with the provisions of other types of insurance such as Medicare covered additional medical, disability insurance and homosexuals. (more…)

Having an insurance is not always synonymous with that for any incident, the insurance company pays for all the damages. There are a number of occurrence specified in the insurance contract where companies can refuse to cover a claim. (more…)

The objective of life insurance is to provide compensation to the beneficiaries or legal heirs in case of death of the insured. For this reason, there are fundamentals that must be taken into consideration before making a purchase of life insurance. (more…)

The auto insurance contract is a lawfully binding agreement between the insurance company and the policyholder. The documents that comprise the contract are the declarations page and the policy jacket (booklet). A declarations page for an auto insurance contract is a detailed summary of the specifics for a particular policy. A policy jacket contains information common to all policies from a particular company. (more…)

The Coming Together Of Wits

A policy of title insurance is an agreement entered into by two contracting parties and which each party to the contract can sue and be sued. Given the condition that each of the contracting parties has come to a consensus and both have fulfilled their various obligations to the agreement, a binding contract in law has come into existence between both parties. If all the essentials of a binding contract are present; (more…)

The many uses of life insurance today extend far beyond the original concept of a death benefit. Certainly death benefits continue to play a major role in life insurance sales presentations and purchase decisions, and that will always be true.

It is worth pointing out that many transactions that may add to family finances and security may be backed up by life insurance. (more…)

When the owner of an annuity enters into an annuity insurance agreement they must always understand all of the terms to the best of their ability. If there are additions, withdrawals, or a complete liquidation to be made, there may be restrictions or penalties.

The contract owner can be an individual, couple, trust, corporation, or partnership. The only requirement is that the owner must be an adult or legal entity. (more…)

Insurance riders are valuable options that you can choose as additional to basic insurance contract you have. By having insurance riders, you as the insurance holder will get more benefits as extra to you basic policy. Some of insurance riders are so common that they are naturally inserted as part of the policy. Additional premium are quoted as component of the whole insurance policy premium. This give the policy holder less total premium compare of buying a separate stand alone insurance policy. Below are some several insurance riders that can be found on most insurance providers to give additional benefits for you: (more…)

Ethical values are involved in the differential treatment received by the insured due to their disabilities. Now, normative arguments are being considered for and against the different treatment of some persons related with other by the insurers. We look at these arguments in the context of insurance efficiency and insurance equity. (more…)