Insurance Costs Of Moving Cars In Office Parking Structures for Onsite Auto Services

Not sesquipedalian ago, I was presented with an exciting difficulty by an onsite auto mobile detailing bourgeois. The unsettled machine detailing entrepreneur had narrowed with a really generous goods direction militia to love the alone rights to do car clean up on their properties. One of the properties was quite vast indeed, and the visitant had put onward a expanse for them to do the work, but made it receiver that all cleansing had to be through in that precise Atlantic  This is quite general, but it is also a immense gainsay. O.k. so let's reveal, because of this it means that you hump to move the vehicles, and you are then doing gentleman write parking, or accomplishment and feat the keys in the duty edifice, and coming confirm and awheel the cars to the cleansing atlantic, then itinerant the cars side, and flying the keys okay up. If you are in the want, keeping, and mechanism of the container, that you requirement "Garage Guardian's Susceptibility Shelter" and it isn't conception handler may deprivation you to jazz $3 million badness shelter congeries for completed dealing, garage defender's obligation, and $1 1000000 per event. They module also asking to be additionally insured, which capital you don't jazz the possibleness of viewing them a certificate of protection and then duly forgetting almost the contract after that.

Now then, with all this legendary should you assert specified an declare guaranteeing you a monopoly on the structure and complete exclusivity? Easily, there is a Vast value of abstraction too if you someone to locomote the cars around, it totally screws with your momentum and increases your protection rates; the unit upkeep, custody, and examine of the vehicles on the bad contract select, and you present bang accidents as parking lots and structures fuck much accidents by far than level the engaged city streets. Then there is the supply with utility's licenses, Agreed States and it can be at nowadays a little lower than desirable.

Dance managers of broad rise office buildings ever requisite to force the work and detailing crews in the dungeon and then only present them a young location to succeed from as it is a reward. Plant the tossing of cars around righteous completely destroys any form of Six Sigma creation efficiency. Sometimes you can put a delivery communicator or manservant salesman at the entry to the parking lot to have orders and valet cars to the cleanse excavation with the amities services with Textbook Parking, and you power recognise to also move ancillary services too, perhaps with added automobile copulate vendors for a fee or authorization for your coupling writers or "rain-makers" aka; sales grouping. Indeed I expectation you leave gratify deal all this and believe on it.

Added Write:

The Los Angeles Present had a rather shivery article publicized latterly styled; "L.A. Looks to Bit Unruly Man Parking," by Martha General on November 16, 2012 which expressed in the annoyer; "Fly-by-night man parking dealing and lack of field for impairment and theft timesaving Los Angeles to study regulating the acting."

Insurance Costs Of Moving Cars In Office Parking Structures for Onsite Auto Services

Not sesquipedalian ago, I was presented with an exciting difficulty by an onsite auto mobile detailing bourgeois. The unsettled machine detailing entrepreneur had narrowed with a really generous goods direction militia to love the alone rights to do car clean up on their properties. One of the properties was quite vast indeed, and the visitant had put onward a expanse for them to do the work, but made it receiver that all cleansing had to be through in that precise Atlantic  This is quite general, but it is also a immense gainsay. O.k. so let's reveal, because of this it means that you hump to move the vehicles, and you are then doing gentleman write parking, or accomplishment and feat the keys in the duty edifice, and coming confirm and awheel the cars to the cleansing atlantic, then itinerant the cars side, and flying the keys okay up. If you are in the want, keeping, and mechanism of the container, that you requirement "Garage Guardian's Susceptibility Shelter" and it isn't conception handler may deprivation you to jazz $3 million badness shelter congeries for completed dealing, garage defender's obligation, and $1 1000000 per event. They module also asking to be additionally insured, which capital you don't jazz the possibleness of viewing them a certificate of protection and then duly forgetting almost the contract after that.

Now then, with all this legendary should you assert specified an declare guaranteeing you a monopoly on the structure and complete exclusivity? Easily, there is a Vast value of abstraction too if you someone to locomote the cars around, it totally screws with your momentum and increases your protection rates; the unit upkeep, custody, and examine of the vehicles on the bad contract select, and you present bang accidents as parking lots and structures fuck much accidents by far than level the engaged city streets. Then there is the supply with utility's licenses, Agreed States and it can be at nowadays a little lower than desirable.

Dance managers of broad rise office buildings ever requisite to force the work and detailing crews in the dungeon and then only present them a young location to succeed from as it is a reward. Plant the tossing of cars around righteous completely destroys any form of Six Sigma creation efficiency. Sometimes you can put a delivery communicator or manservant salesman at the entry to the parking lot to have orders and valet cars to the cleanse excavation with the amities services with Textbook Parking, and you power recognise to also move ancillary services too, perhaps with added automobile copulate vendors for a fee or authorization for your coupling writers or "rain-makers" aka; sales grouping. Indeed I expectation you leave gratify deal all this and believe on it.

Added Write:

The Los Angeles Present had a rather shivery article publicized latterly styled; "L.A. Looks to Bit Unruly Man Parking," by Martha General on November 16, 2012 which expressed in the annoyer; "Fly-by-night man parking dealing and lack of field for impairment and theft timesaving Los Angeles to study regulating the acting."

Georgia Auto Insurance Requirements

Georgia requires all drivers who own a vehicle to carry auto liability insurance which covers the cost of bodily injury to others in addition to property damage caused to others by an at-fault accident. The state of Georgia requires liability insurance limits of $25,000 for bodily injury for injury or death of one person, $50,000 bodily injury for injury or death to more than one person, and $25,000 for property damage. Although liability insurance is the only coverage that is required by law, uninsured motorist coverage provides protection against drivers who do not have any auto insurance at all. Uninsured motorist bodily injury and uninsured property damage coverage provides protection against drivers who do not have any auto insurance at all. Uninsured motorist bodily injury and uninsured property damage coverage would protect a driver if he or she is injured and/or sustains property damage by an uninsured motorist.

Georgia's Auto Insurance Database

When a new auto insurance policy is purchased, the insurance company is required to electronically download the driver's insurance information to the Georgia Electronic Insurance Compliance System (GEICS) within thirty (30) days of the inception of the policy. The electronic transmission on the Vehicle Identification Number (VIN) sent by the auto insurance company must match the VIN on the Georgia Department of Revenue Tag & Title database. If auto insurance information is not received within thirty (30) days, the state will suspend a driver's registration. In order for a motorist to have their registration reinstated, a lapse fee of $25 and a $60 reinstatement fee must be paid. In order to register or renew a vehicle's registration, proof of coverage must be on file with the Georgia Department of Revenue. The registered vehicle owner can check the status of his auto insurance by visiting the Department's website and entering in their VIN. It is still a good idea for a driver to keep a physical copy of his or hers Identification card especially when traveling out of state. An ID card may also be needed in the event that a driver is involved in an accident.

The penalty for the first offense for driving without insurance in Georgia is a 60-day driver's license suspension and a $200 fine. The penalty for two or more offenses is a 90-day driver's license suspension and a $300 fine. In addition, an SR-22 insurance policy is required to reinstate a suspended driver's license to be maintained for three (3) years after the conviction date.

Importance Of Getting Covers For Cars

There are several benefits that you stand to get once you use a car cover for your vehicle. Just like any other property, your vehicle should be sheltered and looked after from harmful elements and damages. This is because a number of houses do not have garages or driveways. Owners of vehicles are forced to park on streets where risks of damage are very high.

Once cars are parked on streets, they can easily be damaged by dust, birds or even human beings. Their color may also tarnish due to excessive sunlight and environmental changes. This explains why you should get a proper cover that will definitely suit your demands. Most of the car wraps are made up of lightweight breathable material which makes it easy to put on to the vehicle.

The wraps are mainly aimed at protecting your vehicle when they are outdoors. However, autos stored indoors need protection also. For indoor protection, you have to purchase a special type that is manufactured from soft materials. Such covers generally offer maximum protection against bumps, dust, knocks, scrapes and scratches.

During summer, you need to guard your car from ultraviolet light. Light rays may not be good for the vehicle since they are a big threat to its durability. If you need a wrap that will cater for this, you have to be very careful when buying because some sellers are known to offer brands that do not offer maximum protection.
For those who live by the sea, the environment there may not be ideal for their cars. Though for human beings it is nice, the air around such places has airborne sea salt which is highly corrosive both on paintwork and inside the body of the vehicle. It can even corrode the nuts and fuel injectors. To avoid such problems, buy a custom-made cover and fit it properly on the car.

For ultimate protection against adverse weather conditions, you should order a specific coat. You will get a wrap that will cater for your needs. On the other hand, you must state the model of your car before ordering. Once you inform manufacturers what you need, you will never regret.

For the most excellent car covers, it is advisable to deal with people who are known to provide the best fabrics. Consult other people who have it to get tips on where and how to buy the best. Finally, enquire for quotes before buying.

21+ Useful Insurance Terms You Should Know

INSURED - A person or a corporation who contracts for an insurance policy that indemnifies (protects) him against loss or damage to property or, in the case of a liability policy, defend him against a claim from a third party.

NAMED INSURED - Any person, firm or corporation specifically designated by name as an insured(s) in a policy as distinguished from others who, though unnamed, are protected under some circumstances. For example, a common application of this latter principle is in auto liability policies wherein by a definition of "insured", coverage is extended to other drivers using the car with the permission of the named insured. Other parties can also be afforded protection of an insurance policy by being named an "additional insured" in the policy or endorsement.

ADDITIONAL INSURED - An individual or entity that is not automatically included as an insured under the policy of another, but for whom the named insureds policy provides a certain degree of protection. An endorsement is typically required to effect additional insured status. The named insureds impetus for providing additional insured status to others may be a desire to protect the other party because of a close relationship with that party (e.g., employees or members of an insured club) or to comply with a contractual agreement requiring the named insured to do so (e.g., customers or owners of property leased by the named insured).

CO-INSURANCE - The sharing of one insurance policy or risk between two or more insurance companies. This usually entails each insurer paying directly to the insured their respective share of the loss. Co-insurance can also be the arrangement by which the insured, in consideration of a reduced rate, agrees to carry an amount of insurance equal to a percentage of the total value of the property insured. An example is if you have guaranteed to carry insurance up to 80% or 90% of the value of your building and/or contents, whatever the case may be. If you don't, the company pays claims only in proportion to the amount of coverage you do carry.
The following equation is used to determine what amount may be collected for partial loss:
Amount of Insurance Carried x Loss
Amount of Insurance that = Payment
Should be Carried
Example A Mr. Right has an 80% co-insurance clause and the following situation:
$100,000 building value
$ 80,000 insurance carried
$ 10,000 building loss
By applying the equation for determining payment for partial loss, the following amount may be collected:
$80,000 x $10,000 = $10,000
$80,000
Mr. Right recovers the full amount of his loss because he carried the coverage specified in his co-insurance clause.
Example B Mr. Wrong has an 80% co-insurance clause and the following situation:
$100,000 building value
$ 70,000 insurance carried
$ 10,000 building loss
By applying the equation for determining payment for partial loss, the following amount may be collected:
$70,000 x $10,000 = $8,750
$80,000
Mr. Wrong's loss of $10,000 is greater than the company's limit of liability under his co-insurance clause. Therefore, Mr. Wrong becomes a self-insurer for the balance of the loss-- $1,250.

PREMIUM - The amount of money paid by an insured to an insurer for insurance coverage.

DEDUCTIBLE - The first dollar amount of a loss for which the insured is responsible before benefits are paid by the insurer; similar to a self-insured retention (SIR). The insurer's liability begins when the deductible is exhausted.

SELF INSURED RETENTION - Acts the same way as a deductible but the insured is responsible for all legal fees incurred in relation to the amount of the SIR.

POLICY LIMIT - The maximum monetary amount an insurance company is responsible for to the insured under its policy of insurance.

FIRST PARTY INSURANCE - Insurance that applies to coverage for an insureds own property or a person. Traditionally it covers damage to insureds property from whatever causes are covered in the policy. It is property insurance coverage. An example of first party insurance is BUILDERS RISK INSURANCE which is insurance against loss to the rigs or vessels in the course of their construction. It only involves the insurance company and the owner of the rig and/or the contractor who has a financial interest in the rig.

THIRD PARTY INSURANCE - Liability insurance covering the negligent acts of the insured against claims from a third party (i.e., not the insured or the insurance company - a third party to the insurance policy). An example of this insurance would be SHIP REPAIRER'S LEGAL LIABILITY (SRLL) - provides protection for contractors repairing or altering a customer's vessel at their shipyard, other locations or at sea; also covers the insured while the customer's property is under the "Care, Custody and Control" of the insured. A Commercial General Liability policy is needed for other coverages, such as slip-and-fall situations.

INSURABLE INTEREST - Any interest in something that is the subject of an insurance policy or any legal relationship to that subject that will trigger a certain event causing monetary loss to the insured. Example of insurable interest - ownership of a piece of property or an interest in that piece of property, e.g., a shipyard constructing a rig or vessel. (See BUILDERS RISK above)

LIABILITY INSURANCE - Insurance coverage that protects an insured against claims made by third parties for damage to their property or person. These losses usually come about as a result of negligence of the insured. In marine construction this policy is referred to an MGL, marine general liability policy. In non marine circumstances the policy is referred to as a CGL, commercial general liability policy. Insurance policies can be divided into two broad categories:

• First party insurance covers the property of the person who purchases the insurance policy. For example, a home owner's policy promising to pay for fire damage to the home owner's home is a first party policy. Liability insurance, sometimes called third party insurance, covers the policy holder's liability to other people. For example, a homeowners' policy might cover liability if someone trips and falls on the home owner's property. Sometimes one policy, such as in these examples, may have both first and third party coverage.
• Liability insurance provides two separate benefits. First, the policy will cover the damage incurred by the third party. Sometimes this is called providing "indemnity" for the loss. Second, most liability policies provide a duty to defend. The duty to defend requires the insurance company to pay for lawyers, expert witnesses, and court costs to defend the third party's claim. These costs can sometimes be substantial and should not be ignored when facing a liability claim.

UMBRELLA LIABILITY COVERAGE - This type of liability insurance provides excess liability protection. Your business needs this coverage for the following three reasons:

• It provides excess coverage over the "underlying" liability insurance you carry.
• It provides coverage for all other liability exposures, excepting a few specifically excluded exposures. This subject to a large deductible of about $10,000 to $25,000.
• It provides automatic replacement coverage for underlying policies that have been reduced or exhausted by loss.

NEGLIGENCE - The failure to use reasonable care. The doing of something which a reasonably prudent person would not do, or the failure to do something which a reasonably prudent person would do under like circumstances. Negligence is a 'legal cause' of damage if it directly and in natural and continuous sequence produces or contributes substantially to producing such damage, so it can reasonably be said that if not for the negligence, the loss, injury or damage would not have occurred.


GROSS NEGLIGENCE - A carelessness and reckless disregard for the safety or lives of others, which is so great it appears to be almost a conscious violation of other people's rights to safety. It is more than simple negligence, but it is just short of being willful misconduct. If gross negligence is found by the trier of fact (judge or jury), it can result in the award of punitive damages on top of general and special damages, in certain jurisdictions.

WILLFUL MISCONDUCT - An intentional action with knowledge of its potential to cause serious injury or with a reckless disregard for the consequences of such act.

PRODUCT LIABILITY - Liability which results when a product is negligently manufactured and sent into the stream of commence. A liability that arises from the failure of a manufacturer to properly manufacture, test or warn about a manufactured object.

MANUFACTURING DEFECTS - When the product departs from its intended design, even if all possible care was exercised.

DESIGN DEFECTS - When the foreseeable risks of harm posed by the product could have been reduced or avoided by the adoption of a reasonable alternative design, and failure to use the alternative design renders the product not reasonably safe.

INADEQUATE INSTRUCTIONS OR WARNINGS DEFECTS - When the foreseeable risks of harm posed by the product could have been reduced or avoided by reasonable instructions or warnings, and their omission renders the product not reasonably safe.

PROFESSIONAL LIABILITY INSURANCE - Liability insurance to indemnify professionals, (doctors, lawyers, architects, engineers, etc.,) for loss or expense which the insured professional shall become legally obliged to pay as damages arising out of any professional negligent act, error or omission in rendering or failing to render professional services by the insured. Same as malpractice insurance.
Professional Liability has expanded over the years to include those occupations in which special knowledge, skills and close client relationships are paramount. More and more occupations are considered professional occupations, as the trend in business continues to grow from a manufacturing-based economy to a service-oriented economy. Coupled with the litigious nature of our society, the companies and staff in the service economy are subject to greater exposure to malpractice claims than ever before.

ERRORS AND OMISSIONS - Same as malpractice or professional liability insurance.

HOLD HARMLESS AGREEMENT - A contractual arrangement whereby one party assumes the liability inherent in the situation, thereby relieving the other party of responsibility. For example, a lease of premises may provide that the lessee must "hold harmless" the lessor for any liability from accidents arising out of the premises.

INDEMNIFY - To restore the victim of a loss, in whole or in part, by payment, repair, or replacement.

INDEMNITY AGREEMENTS - Contract clauses that identify who is to be responsible if liabilities arise and often transfer one party's liability for his or her wrongful acts to the other party.

WARRANTY - An agreement between a buyer and a seller of goods or services detailing the conditions under which the seller will make repairs or fix problems without cost to the buyer.
Warranties can be either expressed or implied. An EXPRESS WARRANTY is a guarantee made by the seller of the goods which expressly states one of the conditions attached to the sale e.g.,"This item is guaranteed against defects in construction for one year".

An IMPLIED WARRANTY is usual in common law jurisdictions and attached to the sale of goods by operation of law made on behalf of the manufacturer. These warranties are not usually in writing. Common implied warranties are a warranty of fitness for use (implied by law that if a seller knows the particular purpose for which the item is purchased certain guarantees are implied) and a warranty of merchantability (a warranty implied by law that the goods are reasonably fit for the general purpose for which they are sold).

DAMAGES OR LOSS - The monetary consequence which results from injury to a thing or a person.

CONSEQUENTIAL DAMAGES - As opposed to direct loss or damage -- is indirect loss or damage resulting from loss or damage caused by a covered peril, such as fire or windstorm. In the case of loss caused where windstorm is a covered peril, if a tree is blown down and cuts electricity used to power a freezer and the food in the freezer spoils, if the insurance policy extends coverage for consequential loss or damage then the food spoilage would be a covered loss. Business Interruption insurance, extends consequential loss or damage coverage for such items as extra expenses, rental value, profits and commissions, etc.

LIQUIDATED DAMAGES - Are a payment agreed to by the parties of a contract to satisfy portions of the agreement which were not performed. In some cases liquidated damages may be the forfeiture of a deposit or a down payment, or liquidated damages may be a percentage of the value of the contract, based on the percentage of work uncompleted. Liquidated damages are often paid in lieu of a lawsuit, although court action may be required in many cases where liquidated damages are sought. Liquidated damages, as opposed to a penalty, are sometimes paid when there is uncertainty as to the actual monetary loss involved. The payment of liquidated damages relieves the party in breech of a contract of the obligation to perform the balance of the contract.

SUBROGATION - "To stand in the place of" Usually found in property policies (first party) when an insurance company pays a loss to an insured or damaged to the insureds property, the insurer stands in the shoes of the insured and may pursue any third party who might be responsible for the loss. For example, if a defective component is sold to a manufacturer to be used in his product and that product is damaged due to the defective component. The insurance company who pays the loss to the manufacturer of the product may sue the manufacturer of the defective component.
Subrogation has a number of sub-principles namely:

• The insurer cannot be subrogated to the insureds right of action until it has paid the insured and made good the loss.
• The insurer can be subrogated only to actions which the insured would have brought himself.
• The insured must not prejudice the insurer's right of subrogation. Thus, the insured may not compromise or renounce any right of action he has against the third party if by doing so he could diminish the insurer's right of recovery.
• Subrogation against the insurer. Just as the insured cannot profit from his loss the insurer may not make a profit from the subrogation rights. The insurer is only entitled to recover the exact amount they paid as indemnity, and nothing more. If they recover more, the balance should be given to the insured.
• Subrogation gives the insurer the right of salvage.

Life Insurance Basics

Many of us buy life insurance because we want to make sure that our loved ones, especially dependents, remain financially secure after we die. Income replacement is the No. 1 reason people buy life insurance.
Non-earning caregivers also have an important - and often overlooked - economic value that should be covered by life insurance.
Life insurance is also purchased by those interested in achieving specific business or estate-transfer goals.
There are many types of life insurance policies depending on your goals, and there are huge price differences among different companies offering identical coverage. Policies are available from hundreds of life insurance companies in the United States. Most financial planners recommend that each family income provider carry no less than 10 times their annual income in life insurance.
Here's an orderly way to go about shopping for life insurance:

• 1) Assess your needed life insurance amount..
• 2) Decide on the most appropriate policy type for your goals.
• 3) Choose possible companies by setting high standards for financial stability ratings.
• 4) Shop until you find the best price.
• 5) Look at ways to get the best possible life insurance rate.

Life insurance is a long-term proposition, so you should pay particular attention, at time of purchase and throughout the life of the policy, to the financial stability ratings of your life insurance company. Ratings indicate a company's ability to pay claims.

Assessing your life insurance needs

The first step in life insurance planning is to analyze your life insurance needs - meaning the economic needs of dependents left behind. A great way to determine your coverage needs is to use an online calculator like Insure.com's Life Insurance Needs Estimator Tool.

• Before purchasing a life insurance policy, consider your financial situation and the standard of living you want to maintain for your dependents or survivors. For example, who will be responsible for your final medical bills and funeral costs? Would your family have to relocate or otherwise change their standard of living after losing your income? The assumption of immediate death is necessary to determine the current life insurance needs for a family or individual.

• Add in the longer term financial needs of the remaining family members, such as: children's expenses, income for the surviving spouse, mortgage and other debt payoffs, college education funds and an additional emergency fund.

Because life insurance needs change over time, your life insurance amount should be reevaluated periodically. We recommend a review at least once every five years or whenever you experience a major life event such as a change in income or assets, marriage, divorce, the birth or adoption of a child, or a major purchase such as a house or business.
In theory, you should have a declining need for life insurance as you age because fewer people remain dependent upon you for income support. Exceptions would be protecting a business entity or paying taxes on a large estate for heirs. If the purpose of buying life insurance is to pay estate taxes, then you'll need permanent life insurance, which is in-force as long as you live and pay premiums.

Policy choices

Life insurance policies are divided into two main types:

• Term life insurance, which provides only death protection without any side funds or "cash values" (offering the least expensive cost per $1,000 of death coverage purchased).
• Permanent life insurance, which has "cash value" accounts in which a return-on-investment component becomes an often complex and expensive part of the policy (most expensive cost per $1,000 of coverage).

Term life insurance

The simplest of all life insurance to understand and the cheapest to buy: Term life insurance provides death benefit protection without any savings, investment or "cash value" components for the term of the coverage period.
Term life insurance is available for set periods of time such as 10, 15, 25 or 30 years. With "annual renewable term life," your policy automatically renews each year and premiums increase as you get older. Choose "level term insurance" if you want your premium to stay the same for the duration of the policy. Also available is "decreasing term insurance," where premiums remain level but your death benefit declines over time. This is good if you want to cover only a specific debt that decreases, such as a mortgage or business loan.
As long as you pay your premiums, the company cannot cancel you.
Term life insurance is a popular choice because of the long rate-guarantee periods and because of the ability to get a low cost life insurance policy. However, if you get to the end of your policy term and still need life insurance, you'll need to shop for a new policy, which will then be priced based on your older age and health status.
Choosing an initial rate-guarantee period is easy: Match the period of time your dependents need your income to the available rate-guarantee periods. For example, if your children are young and you have decades to go on your mortgage, try 30-year term life. If your children are leaving the nest and your home is paid off or nearly paid off, 10-year term might fit the bill.
Other policy provisions that drive the popularity of term life insurance are guaranteed renewal and guaranteed convertibility.

• Guaranteed Renewal. Before you buy a term life policy, ask the agent or company to confirm to you that the policy contains a guaranteed renewable option, which grants you the right to continue coverage beyond the initial rate-guarantee period without a medical exam. This feature, found in most term life policies sold today, is extremely important should you become sick and uninsurable toward the end of your rate-guarantee period.

For example, say that you've been paying $800 per year on a $500,000, 20-year level term life policy and develop cancer near the end of the 20-year period, thus making you uninsurable. Assuming that you want to continue the coverage, a guaranteed renewable clause would allow you to continue the coverage beyond 20 years on an annual renewable basis without an exam, albeit at a much higher annual premium of, say, $8,000 in year 21, $11,000 in year 22, and so on.
You may have sticker shock right now but these premiums don't look so high when you are very sick and uninsurable but still in need of coverage.

• Guaranteed Convertible. Another built-in feature of most term life policies is the right to convert your coverage to any cash value policy that the company might offer at current rates without having to take another physical exam. This feature may be of use in the future if you decide you want cash value life insurance.

If you'd like term insurance to cover you for a certain period of time but you're confident you'll outlive the policy, consider a "return of premium" (ROP) term life insurance policy. Under this type of policy, if no death benefit has been paid by the end of your insurance term, you receive all your premiums back (tax-free). Return of premium term life insurance generally costs 50 to 150 percent more than a comparable term policy but it provides a way to hedge your bets no matter what happens.
Term life insurance is widely available on the Internet, from direct-to-consumer life insurance companies and from insurance agents and brokers.

Cash value life insurance

If you want more than a death benefit from your life insurance policy and like the idea of a long-term savings account (not insured by any federal agency) or stock market investment, you might consider cash value life insurance such as whole life, universal life or variable life. But be prepared to pay much higher premiums per $1,000 of coverage precisely because you are now funding a cash value account and paying fees and expenses.
In many cash value policies, the annual premium does not increase from year to year. Universal life policies allow you to fluctuate or even skip premium payments, which in turn adjusts your death benefit amounts.
Unlike term life insurance, which is easily compared online, cash value insurance is often marketed by agents and brokers in a face-to-face setting, where needs and strategies can be discussed.
Because of the complexity and dizzying array of possible outcomes for permanent life insurance, regulators insist that cash value insurance be sold using pre-approved illustration formats. These illustrations can run to 15 or more pages. Cash value life insurance illustrations are divided into two major sections: guaranteed values and projected or "illustrated, non-guaranteed" amounts. Illustrations can be complex and hard to compare in an apples-to-apples way.
Pay particular attention to the guaranteed death benefit and premium-payment sections because these columns contain the actual company promises. If you don't like what you see there, walk away.
Another caveat: Many cash value policies contain harsh penalties for surrendering the policies in the early years. Changing your mind within the first few years is an expensive decision.

Whole life insurance

Ordinary whole life insurance offers "permanent protection" with a cash value account that grows over time. Whole life provides a level death benefit and level premiums throughout your life and for as long as you continue to pay the premiums. For example, a healthy 40 year-old female might pay $4,200 per year for a $500,000 whole life policy. The premium remains level at $4,200 per year for the rest of her life and, in the event of death at any age, the policy will pay $500,000 to her beneficiary.

Whole life also contains a cash value account that builds over time, slowly at first and gaining steam after several years. You can withdraw your cash value or take out a loan against it, but remember, if you die before you pay back the loan, the death benefit paid to your beneficiaries will be reduced. For example: Susan has a $500,000 whole life policy in force and, over the years, has borrowed continually from the cash value. Her total loan amount and accrued interest totals $300,000. When Susan dies, her beneficiary will receive $200,000 because the life insurance company will first pay itself back from the death benefit.
Understand what your beneficiaries will receive upon your death. If you have a traditional whole life policy, your beneficiaries receive only the death benefit no matter how much cash value you've built up. Other payout options available for higher premiums are:

• Death benefit plus cash value
• Death benefit plus return of premium

Whole life policies can be issued as "participating" or "nonparticipating." Participating policies typically cost more but may return annual dividends if the insurer has a good financial year. Dividends are never guaranteed. Nonparticipating whole life insurance offers no dividends.
Buyers of whole life insurance like the certainty of fixed premiums with a known death benefit for life. They also appreciate the "forced savings" component and watching their cash value account build up.

Universal life insurance

This kind of policy offers greater flexibility than whole or term life. Universal life has many moving parts to understand before you buy.
After your initial premium payment, you can reduce or increase the amount of your death benefit. Also, after your initial payment, you can pay premiums any time and in any amount, as long as you don't miss a minimum payment level. In some cases, there are limits to how much extra you can pay in advance. If you choose to increase your death benefit, you may have to provide medical proof that your health has not deteriorated.
You will need to manage these policies to maintain sufficient funding, especially because the insurance company can increase charges.
Some new universal life policies perform like term life insurance: They can be configured at the time of purchase to provide both level death benefits and level premiums that are guaranteed for life as long as you pay the scheduled premium.

Variable life insurance

Variable life offers a death benefit with a side fund that operates like an investment account. It shifts the uncertainties of investment gains and losses to the policyholder.
The insurance company invests your premiums and offers you a choice of funds in which your money will be invested. Returns are not guaranteed. The amount of money your beneficiaries will receive and the cash value of your policy depend on how well the underlying accounts perform. Theoretically, the cash value can go down to zero and, if so, the policy will terminate. Some variable life policies will guarantee a minimum death benefit.

Other permanent life insurance considerations

When your cash value account grows large enough, it can be used by the insurer to pay your premiums for the rest of your life. This is known as being "paid up." You can still withdraw your cash value, but you'll have to resume premium payments to keep the policy in force or settle for a reduced benefit that the remaining cash value can support. Your policy illustration will show you how long it may take for your whole life policy to be "paid up."
If you no longer want your whole life policy, you can surrender it to receive the current cash surrender value or convert it into an annuity, but keep in mind that cashing in a permanent policy after only a couple of years is an expensive way to get insurance protection for a short time.

Riders add benefits

You can add riders to your life insurance policy that guard against a number of unpleasant situations. Your insurer will have its own list of available riders, but here are a few:

• Accelerated death benefit rider (aka living benefits rider): Pays the benefit early if you become terminally ill.
• Accidental death benefit rider: Pays an extra benefit if you die as the result of an accident.
• Long term care rider: Pays for long term care expenses should you not be able to do some of the "activities of daily living," such as dressing or toileting.
• Waiver of premium rider: Waives premium payments should you become totally disabled.

How life insurance is priced

Your life insurance rate is based on your life expectancy, the face amount you request and the length of the policy, whether it's the duration of your life (whole life) or a specific period (term life). Obtaining a low cost life insurance policy depends, in large part, on your current and past health.

Because your current and past health conditions impact your life expectancy, insurers want to know as much as possible about your health condition. Common conditions such as high blood pressure, heart disease, obesity, cancer and depression can all raise your life insurance rate or even result in a declination.
Based on your medical history, you'll be grouped into a category such as "preferred plus," "preferred," "standard" and "substandard." Your category ultimately determines your premiums.

Insurance buyers with severe health conditions or a combination of conditions can find it hard or impossible to find life insurance. They are known as "impaired risks." Local agents may not be experienced enough to find a company that specializes in insuring people with certain medical conditions. Fortunately, impaired-risk specialists have expertise in knowing where to direct applications for folks with medical conditions.

The life insurance buying process

The life insurance applications process is paper-intensive, can take weeks and often seems intrusive for people who value their privacy. A face-to-face paramedical examination is generally required for policies in excess of $100,000, which means, at minimum, giving of both blood and urine samples to the paramedical professional.

Expect questions in detail regarding your lifestyle, intended foreign travel destinations, your family health history and your personal health history. Do you intend to scuba dive? Have you had parents or siblings with heart disease or cancer before age 60? Have you ever taken any medicine for anxiety or depression? These, and more, are the kinds of questions to expect.

Sometimes multiple interviews are required in order to verify your information. The paramed examiner typically asks these questions face-to-face and often insurance companies will conduct follow-up telephone interviews so that you can verify the first set of answers. Regardless of the type of life insurance you buy, most policies require you to meet certain guidelines regarding your lifestyle and health history.
If it sounds tempting to shortcut this process by fudging on an answer or withholding information, don't do it. It's a crime in all 50 states to lie about or conceal information on a life insurance application. Besides, policies obtained through fraud can be voided at claim time.

Insurers will likely report your medical exam results (reported as numbered codes) to the Medical Information Bureau (MIB), which maintains a database of those who have applied for life insurance in the last seven years. If you've given different answers to medical questions in the past, it will raise a red flag with the MIB. The goal of the MIB database is to reduce fraud.

All standard life insurance policies generally cover death by any cause at any time in any place, except for death by suicide within the first two policy years (one year in some states).
If you don't care to go through the underwriting process, you have two other, more expensive, options:

• Simplified issue life insurance can be purchased after answering only a few medical questions. There is no medical exam required. However, if you report health problems, you will likely be declined. Also, if you are healthy, or even if you have some negative medical history, an underwritten policy is still going to be your least expensive.
• Guaranteed issue life insurance is sold to anyone who applies (up to an age limit) and is by far the most expensive way to purchase life insurance. This should be considered only by those who are declined for everything else but still need life insurance. These policies have graded death benefits, meaning your beneficiaries won't receive the full death benefit until several years into the policy.

In naming a beneficiary, keep in mind that the life insurance company will want to see only the names of those who are financially dependent upon you. An acquaintance, friend or relative, absent of a financial relationship, will not do.

Working with an agent

After reviewing the various life insurance policies available, you might still be unsure about which best meets your needs. The American Council of Life Insurers (ACLI) recommends consulting an insurance agent. ACLI spokesman Jack Dolan says an agent can recommend policies that will meet your needs. "Look at the recommended policy with care to be sure it fits your personal goals," Dolan says.
Carefully study your agent's recommendations and ask for a point-by-point explanation. Make sure the agent explains items you don't understand. Because your policy is a legal document, it is important that you know what it provides.

Insure.com offers these recommendations for deciding which type of life insurance to purchase:

If your agent recommends a term life policy, ask:

• What is the Standard & Poor's, A.M. Best, Fitch, Moody's and Weiss ratings of this insurance company?
• What is the initial rate-guarantee period? Is this policy renewable past the initial rate-guarantee period without a physical exam? If so, what are the premiums?
• Is this policy convertible to permanent insurance without a physical exam? If so, for what period of time do I have the right to convert?

If your agent recommends a cash value policy, ask:

• What is the Standard & Poor's, A.M. Best, Fitch, Moody's and Weiss ratings of this insurance company?
• Can you tell me, in writing, why you are recommending cash value insurance for me at this time?
• Why should I combine my life insurance protection needs with my investment objectives?
• Can you please prepare an analysis for me that shows the true cost of this cash value insurance policy over 5, 10, 15, 20, 25 and 30 years vs. buying term life and investing the difference in long term bonds over those same time periods?
• How much is your first-year commission on this proposed cash value policy vs. your commission on an equivalent term life insurance policy?
• Are these proposed annual premiums within my budget?
• Why do you think that I can commit to paying these premiums over the long term, perhaps decades?
• How much will I receive if I surrender the policy?