Insurance and Credit

Car accidents usually result in an increase in insurance premiums. Even if you are not responsible, your insurance company will have to incur some costs. There is an increase in car premiums and policy quotes because the accident will be rated against your coverage. There are a number of types of insurance coverage that can include collision, personal injury protection, and medical coverage. If you are found at fault’ for an accident, coverage such as personal liability and collision will cover you, your vehicle, and personal injury to the other driver. Often, if you have just one accident, you will see an increase in your car insurance quote.

Car insurance quotes will increase because you will be considered a high risk driver. The premium will reflect the nature of the accident and the costs associated with the accident. Insurance companies will usually charge ‘points’ to your policy. Depending on the insurance company, these points will be charged to your policy for a certain period of time that usually ranges from three to possibly seven years. If you are in an accident that was your fault, the insurance company will consider that you are a high risk of having accidents in the future and increase your rates. You will also receive higher insurance quotes. The length of time between an accident and your quote and premiums decreasing depends on a providers policies. As well, you may have to pay a higher deductible for the insurance.

Another reason why an accident can increase your premiums when you are ‘at-fault’ in an accident is that there are some companies who will not insure you. When there is less competition for your business, then there is less incentive to give you a good deal. As a result, your insurance quote will be higher. When you add the insurance ‘points’ into the mix, it is easy to see how an accident can become very expensive. If you have a faultless driving record, it is unlikely that your premiums will increase after an accident that was determined not to be your fault.

You can normally expect a rate increase of between 20-40%. This increase is based on the Insurance Services Office’s (ISO) criteria of raising a premium after an accident. According to the ISO, for multi-car policies, the surcharge is 20 percent of the base rate, and for single-car policies it is 40 percent. It is important to remember that there are other factors taken into consideration after an accident such as your age, gender, and driving record. These factors will affect how high the percentage increase will be.

The increase in premiums is not done so that the insurance money can get their money back, but is based on the risk that you may be involved in another car accident. Each insurance company has different policies and standards, but they look at your chances of getting into another accident. The number of accidents that you are involved in also increases your insurance premiums.

Some companies will absolve past accidents after a set period of time has expired. This can be two years, or as much as five years, but the period will vary depending on the insurance provider. Basically, you have to show the insurance company that you are no longer a high risk driver.

The best way to avoid high car insurance quotes is to avoid an accident. You can do this by practicing safe driving. One car accident can seriously impact your car insurance quote and the premium that you will pay.

Why Gold?

For many years, since the early days of prospecting certainly, there has been a romantic attachment to the idea of investing in gold. However, it is much more than romance as many who are in the know will recognize the value of gold as an investment. This is particularly true in these uncertain times financially, and it is good to know that gold bullion and the trade in gold is a very efficient way still of making money today.

The Value of Gold.

The fact that so many people have fought over gold shows just how valuable and desired it is as an investment. Wars may not be fought over it now, but the wars still exists on the gold market. As investors turn away from shares in the uncertainty of the credit crunch, more and more are turning to precious metals, and now is an excellent time for those who buy gold and those who sell gold.

One of the reasons for the current rise in the price of gold, which suggests that now is strong time to invest, is this rise in investor demand. This means that now is a good time to buy gold bullion rather than to wait.

The value of gold is likely to outstrip the value of inflation in the U.S. over the next couple of years, and many investors, seeing this potential rise in inflation, are looking to gold as a solid product in order for them make solid and sure money in the market, hence their attraction to gold and gold bullion. This is also true for larger investors, not just for smaller investors, as larger investors and funds look for a guaranteed return on their income, and to buy gold guarantees that return.

Gold has outperformed cash in recent years, and that trend will of course continue, driven in part by the high demand for gold bullion and in its security as an investment.

Investing in Gold.

There are various ways in which to buy and sell gold. The most expensive way, and one which is usually best left to larger investors is to buy gold bullion bars. This is also a more speculative way of trading gold and more appropriate to short-term rather than long term gold holdings.

Buying gold coins is a good way for a small investor to get into the market. Sovereigns or Kruger ands are the usual way of doing this, as they are well respected and relatively easy to get hold of, and a certainly a reputable gold trader will be able to advise you on this. They are also very good for passing on down through the family, as part of their long-term appeal.

Trading in gold is of course best thought of as a long-term investment over ten years or more, in order to maximize your return. Gold of all kinds has shown itself to be a very stable form of investment over long periods of time, and is less prone to the vagaries of the stock market in terms of fluctuating value.

Many financial experts will suggest that part of a financial portfolio should be held in precious metals if possible, and gold bullion or any trade in gold is an ideal way of increasing both the value and stability of your investment portfolio.

Result.

Now is the time to buy gold and sell gold, although we of course are thinking here about buying gold, particularly as an investment strategy for the long term. Get yourself along to a gold seller who can talk to you about your best options for adding or increasing the amount of gold bullion in your investment portfolio.

What is Personal Financial Planning?

Personal financial planning is simply expert guidance on personal financial decisions in order to satisfy life needs and goals. It may also include portfolio decisions and fulfillment of portfolio needs through various products or choices.

Why do I Need Personal Financial Planning?

Financial planning allows you to organize your finances in such a way as to maximize returns on investments, reduce tax liability, achieve appropriate risk management, and ultimately obtain financial peace of mind.

But Can’t I Just Do It Myself?

That?s possible, but will you actually do it? Most have found it to be increasing difficult to adequately plan for their financial growth and security. Their most common roadblocks to personal planning have been:

- No time

- Too many different investment opportunities

- The complexity of ever-changing tax laws

- The entwining of employee compensation and benefits

What is Generally Included in a Financial Plan?

The length of the plan is based on the complexity and specifics of each individual situation. The typical plan can be anywhere from 10 pages to 150 pages and includes:

- Cash Flow and Budgeting Analysis

- Debt Management and Investment Portfolio Assessment

- Estate Planning and Liquidity Analysis

- Income Tax Projections

- Retirement (forecasting benefits, costs and options)

- Insurance Needs Assessment

- Educational Funding

- Employee Benefit and Holdings Analysis

- Closely Held Business Planning

What is My Role in the Planning Process?

Your role in the planning process is to provide as clear and concise information to the planner as you can. They should clearly understand your goals, dreams, attitudes, and positions. Your planner may meet with you annually to update this information.

Are Fees for Financial Plans Tax Deductible?

Yes. Expenses for investment and tax planning are deductible as itemized expenses, subject to limitations – IRS Section 212.

How Can I Measure the Worth of Financial Planning?

Once the planner has assessed your situation and made recommendations, you should be able to compare the projections with the cost of the analysis. Your planner should have presented data that more than paid for the expense of the plan.

Will Personal Financial Planning Make Me Rich?

Lamentably, get-rich-quick schemes just don’t really work. For this reason it is ever more important that you receive proper and accurate financial planning advice. A good plan will help you keep more of the money you earn and help the money you keep work for you. It does this by:

- Productivity of assets are increased

- Providing capital growth and security for your family

- Better risk management

- Providing participation in new investment opportunities

- Increasing disposable income through tax savings

- Investment alternatives are provides closer inspection

- Minimizes the negative effects of disability, early retirement, and death