Why You Need Liability Coverage From Your Insurance Company

Designed to cover professional practitioners against claims of negligence made by clients or patients, professional liability insurance goes by many names. When used in the medical profession, it is commonly called medical malpractice coverage. Notaries public also require this security, but they refer to it as errors and omissions insurance. Real estate brokers, management consultants, and even website developers are all eligible for protection.

What’s It For?

Insurance is used to protect people in case something unfortunate happens. Auto policies protect them in the event of an accident; medical policies protect them from unexpected illnesses; commercial policies protect them from a number of mishaps. If there is a fire, theft, or an accident on the job, the commercial variety will cover it.

Why You Need It

Few companies are fortunate enough to survive for a protracted period of time without getting sued by a client, customer, or employee. Liability coverage from an insurance company is the only shield most businesses have against litigious attorneys. This goes double when an employer competes in a risky industry like construction. Why?

A construction site is arguably the most dangerous working environment on earth. Not because people are careless, but because making something, anything, is risky. Workers fall down stairs; they trip on cords; they cut themselves. Builders must assume this risk and purchase the right amount of coverage from their insurance company to protect them from financial ruin. But that’s not all.

These policies not only shield the employer, but they also safeguard his workers. If an electrician falls off a ladder or a carpenter cuts himself, a liability policy will pay his medical bills. Commercial coverage will also cover most attorney fees and court costs if someone files a suit against you.

How Much Do You Need?

As you might expect, the size of the policy often depends on the size of the business. Most actuaries recommend at least one million dollars of professional liability coverage for small businesses. Large businesses and corporations obviously need a lot more and often carry huge policies. Because lawsuits are quite common in the medical profession, malpractice insurance is the most common form of liability coverage.

Most doctors have several million dollars of malpractice coverage at all times. When they work in a large practice, that figure might be five or even ten times as high. Lawyers and accountants must also carry liability because of the high rate of litigation in their fields. But what about everybody else?

Numerous Benefits

Any business that can be held financially responsible for failing to complete a project on time may need to purchase a professional liability policy from their insurance company. This includes general contractors, architects, builders, and many, many more. These policies also cover personal injury, breach of warranty, intellectual property, and security. In short, any company that has more than one employee should have liability coverage.

What To Consider Before Taking A Loan

Almost everyone requires a loan at some or the other point in their life. Whether it is to buy a house or vehicle, start a small business, or for education, loans make it easier to get things when cash is short.

However, if you seeking a business loan, then the process won’t be that easy as there is an element of risk involved. So, it is very important that before you apply for a loan you understand how the bank will evaluate your loan application. There are various factors through which the bank will analyse the borrower. Given below are some of the factors that the bank will review and, if you satisfy the criteria, will increase your chances of bagging a loan.

Before You Apply For A Loan…

The first factor that all the banks will look into is the ability of the borrower to repay the loan. So, banks will take into account the sources of repayment. If you are taking a loan for a business then the bank will take into account the cash flow that the enterprise can generate. The banks will also take into account another source such as collateral.

The bank will also go through the borrowers past financial record. If the business has been profitable and it can cover the debt then the bank will approve the loan. In case the business has not enjoyed success in the past as the borrower needs the funds to grow, then the bank will ask for a detailed explanation on how the loan can be repaid.

Good business credit is essential as no bank will bet their resources on defaulters. Sometimes, banks will also analyse the personal credit of the borrower. That is why before applying for a loan make sure that your credit record is good.

Your credit report will carry your credit ratings which you will have to submit to the bank. The bank will evaluate and depending on it you will receive the loan. However, different banks evaluate the credit report differently. If one bank rejects your loan application you may find another bank that would evaluate the report differently.

Your credit ratings will be a combination of a number and letter. The most important is the number; the letter denotes the type of credit. If you are rated ‘1’ then you have the perfect score. This means that you have paid all your bills in time. If you are rated ‘2’ or ‘3’ then it means that you have paid your bills two to three months late. A ‘9’ rating will mean you have defaulted on the bills and it will become very difficult to obtain a loan. It is always better if you take the help of an accountant to interpret your credit report.

The bank will also check if you have a second source of repayment. This is known as collateral, which are basically all those assets that can be sold to pay back the loan. It is the collateral which secures the loan and most loan programs require some sort of collateral. If the borrower doesn’t have any collateral then he/she can use a co-signer who can pledge the collateral or the loan may not be granted.

5 Tips to Help You Prepare for International Business Travel

Travel overseas for business can be a fun adventure, but it also needs to be taken seriously. Before traveling to another country, whether for work or pleasure, it’s important to learn the customs and procedures of your destination, while also preparing yourself for your trip.

As a business traveler, you’re not only representing your country of origin to all of those you meet, but you are also a representative of your company. It’s important to be knowledgeable about the country you are planning on visiting as a way to show respect.

Besides requiring the correct documents like a visa and passport, there are other obligations you will likely need to complete before making your way overseas. Many of these requirements are specific to a particular destination based on the laws and regulations for the countries you are visiting. Make sure you do your homework well in advance so you know each of these requirements.

5 Tips for Overseas Business Travel

International travel for business can be a very exciting opportunity. You not only get to see new and interesting parts of the world, but you even get paid while doing it. In order to have the best experience possible, there are things you can do in advance to prepare. Here are five tips to help execute the perfect international business trip.

Create an Organized Itinerary: Make sure that your days are packed with opportunities to help your company. Scheduling time for appointments, meetings, and personal time is very important to executing a beneficial international business trip. An itinerary should be a good guide for your trip’s goals and achievements. Because you do not want to waste any time on this trip, it’s better to plan in advance to take full advantage of the opportunity.

Learn about the Culture and Customs: Before landing in said country, it’s important to understand the environment, culture and practices of this region. Knowing up-to-date news and information about your international travel destinations will help you avoid inappropriate comments or disrespectful behavior. Not only is it important to understand the culture, but it is also beneficial to know protocols, customs and etiquette as well. This includes things like: common greetings, religious practices, business manners, dietary practices, and acceptable humor.

Learn the Native Tongue: While not every business trip requires learning a whole new language, it’s always advisable to seek out some basic vocabulary for the region you are visiting. The use of a translator might be beneficial as well. Communication is a huge part of business and breaking down those barriers will only help you with your business endeavors.

Protect Yourself: Traveling internationally can be exciting, but also very stressful and sometimes dangerous. A new environment can mean new hazards and threats. Don’t avoid protecting yourself to save money. Sometimes travel insurance is a valuable way to reduce the risk of health crises and other types of risks.

Stay Connected: Plan to use your communication devices while staying overseas. Make sure that your plan is available in other countries, or rent a cellphone from the airport. Communicating back and forth between your headquarters, while in a different country, is often an important part of international business. Communicating with your coworkers back at the office is an important part of international business travel.

Traveling internationally for business can be a new adventure. It’s becoming increasingly common as more and more U.S. companies also have offices overseas in places like Ireland, Costa Rica, the United Kingdom, and Hong Kong. In 2014, Forbes rated Denmark as the #1 country for business.

Regardless of where you are traveling, planning ahead helps to make the experience as positive as possible. Know the culture of the places you are visiting, and when possible, make ongoing communication a vital part of your trip. Try to maximize your time spent overseas by preparing in advance for productivity. The more organized you are, the more time you’ll likely have to enjoy some sightseeing and leisure. Always remain respectful, while keeping your goal in sight.

Car Leasing – A Quick Guide

Without having a huge amount of cash lying around waiting to be spent on a car, it would be easy to think that there is no way for you to drive the latest cars around, and be stuck driving older models. Typically if you want a car, you buy it, then after 5 years you want a newer model car, but you’re stuck with a car you may struggle to sell for anywhere close to what you paid. This is without considering the amount you’ve spent on repairs & maintenance of the car.

Many people dismiss leasing a car as something best used for short term purposes, as a way to show off your car without spending thousands on a regular basis. Maybe once this was true, but over the last few years leasing a car on a long term basis has become more viable an option than ever before.

Rather than buying a car and then selling it 2-3 years later with a loss in value, known as the depreciation, car leasing is based on the principle that you rent the car from the lease operator and your payments cover the loss in value between leasing the car and returning the car, plus a small amount of profit to the car leasing
company.

Based on this, ordinarily you might pay £20000 and sell the car for £14000 3 years later, with a loss of £7500 plus maintenance & repair costs. Leasing a car means you would be paying the £8750 over 3 years, or £2916 a year spread out in monthly installments of less than £250.

The loss in value of a car over a period of time is much more important when looking at a 2-3 year time period, typically this value is worked out as; roughly 25% of the cars value is lost in the first year, 13% for the second, 7% in the third, it follows this pattern of half the previous years depreciation. So while over a longer period of time leasing a car may not work out to be cheaper due to the much lower depreciation, leasing a car is usually done over a 2-3 year period. Selling a new car this regularly would lead to huge amounts of money being lost with the higher depreciation, but with leasing a car the depreciation is what you pay for, rather than the cost of the car.

It is in the best interest of the car leasing operator to keep the value of the car as high as possible for the duration of the lease. This is because at the end of the leasing period the car is returned to them, after all it is still their property. Because of this most car leasing operators will offer free maintenance for the car, plus the new car warranty that will likely cover the new car you are leasing. This can potentially save a large amount of money compared to buying a car outright and being responsible for its maintenance, or possibly not being covered by a new car warranty.

In a lot of cases it is true that buying the car outright, over a longer period of time, would have cost the same amount or less than leasing. However this means that to buy the car you need to be able to either have a pile of cash sitting around waiting to be spent, or be willing to stay with the same model car for a much longer period of time than if you were leasing. If you wanted to replace your car every 2-3 years with a new model, leasing a car is undoubtedly a cheaper option.

Leasing a car is not a simple case of paying a fee and doing as you please while the leasing operator foots the bill. Generally there are usually stipulations in the contract that going over an agreed mileage will lead to additional costs, or that maintenance costs beyond the general wear and tear of a car will not be paid for by the car leasing operator. This isn’t as bad as it sounds, details like that are agreed upon before starting the contract. If you were to buy the car up front, you would have a harder time selling a car that has a huge mileage on the clock for as much as without. The same goes for paying repair costs that are down to carelessness. Leasing is no different in this respect, – taking care of the car you are leasing means it will cost you less money overall.

Magic Leasing are one of the UK’s most competitive, friendly, and professional leasing companies in the UK. Based out of Bolton in the North West of England, their website provides easy to find information and detailed pricing as well as contact information to find out more about Car Leasing opportunities in the North West of England.