Monday, January 21, 2013

Income Protection Or Payment Protection


Income Protection Or Payment Protection
The acronyms IPI and PPI are easily confused. IPI refers to Income Protection Insurance and PPI is Payment Protection Insurance. Although they may sound similar and in some ways offer the policy holder protection against losses caused by a loss of income, they are two very different types of insurance, designed to cover different situations.

IPI policies offer coverage that will compensate the policy holder for loss of income caused by illness or injury that prevents the insured person from working to earn a living. PPI covers the inability to make loan repayments, such as for a mortgage, due the policy holder not being able to work and earn an income due to sickness or injury. In other words, while IPI will protect the policy holder against loss of income, PPI only offers coverage against inability to meet loan repayment commitments. Both types of insurance have their plus points, but determining which one is right for you requires a clear understanding your financial situation.

The income of a salaried person is used for three purposes – the meet living expenses, pay off loans and increase savings. A loss of income affects all three. If you have IPI, during the period when you are unable to earn your regular income you will receive monthly payments equivalent to a significant proportion of your salary. It will not be the full amount of your normal income, but with some cut backs on your living expenses and postponing any additions to you savings, a properly designed Income Protection Insurance policy will enable you to meet your loan repayments obligations and living expenses.

Payment Protection Insurance on the other hand will cover only your loan repayments and will not provide any protection against the other applications that the lost income is used for. This shortfall will have to be made up, if possible, in other ways.

The choice between IPI and PPI or having both types of insurance depends on a person’s financial situation. If there are other financial resources that can be drawn upon to tide over the no income period or if another member of the family is earning enough to meet living expenses, then PPI may be a viable option. However, generally speaking, the greater financial protection that IPI offers makes it a more attractive proposition. To know which type of insurance is best suited to your individual and family’s financial needs, call Allied Brokers. We will work with you to identify the policy the will offer you the best protection and financial security.

Visit our website at www.alliedbrokers.com for information about all the types of insurance we offer. Or call 1-888-505-7988 for a free rate quote.

Thursday, January 17, 2013

Insure Your Business Against Hacking


Insure Your Business Against Hacking
Identity theft is among the fastest growing of crimes in the country today. If the servers of the Department of Defense and companies like Apple, with their super high levels of security, can be broken into, no one is really safe anymore. Stories of people who have had their email accounts hacked and their bank accounts hijacked no longer make news – they are common everyday occurrences. Even if you religiously follow the advice of tech security gurus and create complex passwords which you change frequently and take every other precaution you can, your identity and assets that can be accessed online are never going to be completely safe. But you can’t cut yourself off from the online world – it’s an integral part of modern life. So you try to stay as safe as possible and hope for the best.

While personal identity theft is a serious matter, when it affects your business, it can be disastrous. Both organized crime and petty criminals now have access to the technology that makes breaking through the firewalls that protect online accounts, computers and mobile devices possible. A hacker located anywhere in the world can access your online data and corrupt or delete it. And also commit crimes using your identity that your business will be held responsible for. For example, a hacker can collect a great deal of personal information about one of your clients from websites and social media. The hacker can then contact your company and using the information gathered, establish his bona fides. From there to obtaining confidential information is a small step. The catch 22 here is that you need to be as helpful as possible towards your clients. But the more “helpful” you are, the easier it is to fall into the clutches of a hacker. And you could be held responsible for any loss that the client undergoes because of your actions or any crimes committed in his name using information that you have supplied.

Hacking and data/identity theft is a danger that businesses have to live with. Besides taking all possible precautions to maximize data security, it is essential to be insured against the consequences of any liability that may accrue to your business because you have been hacked. If confidential data in your business’s possession is stolen, the affected party can use you for negligence and even for breach of contract if there are contractual obligations in place. And if your business email accounts are hacked and mails sent in your name result in losses to those who act up them in good faith, the liability may devolve on you.

With technology advancing so rapidly, there is no guaranteed way to protect your business from hacking. But being properly insured and covered against any potential losses that hacking can cause you will protect you from the often ruinous consequences of an online security breach. How do you go about it? What do you need to do? How much will it cost? Call Allied Brokers to find out all you need to know about insuring yourself against liability from hacking and online security breaches.

Visit our website at www.alliedbrokers.com for information about all the types of insurance we offer. Or call 1-888-505-7988 for a free rate quote.