When you are shopping for a health insurance quote one of the things you might consider is a group health insurance policy. But you should know that there are many drawbacks to group health insurance policies that can adversely affect you and your family.

The Difference between Individual and Group Policies

Before you look for health insurance quotes you should understand the difference between group and individual health insurance policies. Group health insurance policies are those issued to employer, fraternal or trade groups. They have advantageous rates because there is a distribution of policies to both sick and healthy people. In addition, group insurance policies are not individually underwritten so your individual health problems are not taken into consideration when you buy into a group health insurance plan.

Individual insurance policies are issued to individuals and families. The rates are based on the health history and potential health future of the individuals the policy is issued to. The policy issuance is not dependent on being a member of any particular group. You can be denied coverage if you have certain illnesses unless you live in a state with guaranteed issue policies.

The Drawbacks to Group Health Insurance Policies

You can only keep a group health insurance policy for as long as you are a member of the group. Once you leave the group you may have access to COBRA, which allows you to carry the group insurance coverage up to 36 months after you leave the group. If you get a group policy while you are healthy and then you become chronically ill while you have the policy, you may no longer be able to get your own individual policy.

Additionally, while you may be able to choose between plans in your group’s benefit profile, there is no guarantee that the group will offer the type of policy or coverage options that you and your family really need. You may be subject to a restrictive set of doctors and treatment centers, may not be able to see doctors that you are used to seeing and may not have certain care options that you are used to getting.

In short, if group health is the only kind of policy you can get due to poor health or financial issues, then it is a good choice. Otherwise, an individual policy may be a better bet.

There once was a time when flipping a house was no big deal. You simply bought the second property, took a few months to redo the cosmetic damage and create the home of someone’s dreams, put it on the market for way more than you paid for it and more than you paid to fix it up, and then it sold. No muss, no fuss and, for some property flippers, no need for homeowners insurance.

But times have changed and real estate in the U.S. is not selling as it once did. While the home buying credits were in full force in early 2010, the real estate market picked up a bit, but now we are back to our normal lows. Not only that, but property values have fallen as well so you can no longer sell properties for as much money as you once could.

That means that many flippers have turned into the owners of multiple homes that they are forced to turn into rental properties so that they have some income to cover carrying costs. But now that they will own the secondary properties they purchased for years and years, they definitely need to consider some insurance.

It is not up to these new landlords to invest in home insurance that covers contents of the property. That would be the responsibility of their renters. So when you get home insurance quotes, there is no need to concern yourself with contents-but dwelling and other structures are definitely coverages you should consider. But because of the liabilities involved in renting a home out to other individuals, you need to be clear when you get your home insurance quote that the coverage is for a rental property and not for a primary residence. That way your insurance company can ensure that you get all the coverage you need for accidents, damages and insurable incidents that could be caused by your renters.

Whenever you work with a real estate agent to by a new home, townhouse or condo, there is one real estate truism that consistently bursts out their lips: Location, location, location! From the real estate agent’s point of view, the location of your home is the most important aspect to consider when buying because everything else about your home can be changed. Floors, walls, ceiling, even landscaping of your new home can be altered beyond recognition, but the neighborhood, the view and the area your home or condo is in is something that cannot be edited, influenced or changed in any way.

When it comes to underwriting your home insurance policy, your underwriters also consider your location an extremely important consideration-but not for the same reason as your real estate agent. Your underwriter doesn’t care about how your view, location or neighborhood influence your life-they care about the innate risks that these factors carry.

Certain locations could be high crime areas. While you might think that the location is bound for a renaissance and is a good investment, your home insurance underwriter is going to look at the practicality of living in a crime-filled area and is going to consider how this will affect your experience. Since it means that you are a higher risk for theft, they will likely add extra premium dollars to help hedge that risk.

If you live in a home with a wonderful view of the water it might make waking up every morning a glorious experience, but it also means that you could be more likely to suffer storm damage during a hurricane. The insurance underwriters don’t care about your glorious morning routine, they care about the fact that you are delivering increased risk based on your home’s location, and they are going to charge extra for that.

So remember, it is one thing to fall in love with the view, the neighborhood or the architecture of your home before you buy it, but it is a whole different story to think about how these considerations will affect your home insurance underwriting. Before buying a home, condo or townhouse, try to find a balance between a location that makes you happy and that makes your underwriters feel safe about issuing your policy. Then you’ll end up with insurance that you can afford and a home that you love-and what could be better than that?

There’s one sneaking, creeping, crawling, biting, whimpering consideration you have probably not made when looking into your home insurance quote, and that is the impact that your pet might have on your home insurance quotes. You see, depending on the type of pet you have, you may find that the price of your home insurance rates are affected by the furry little beast you call family.

Generally, most breeds of cats and dogs will not cause your home insurance rates to go up. But if you have a breed that is associated with aggression and dog bites, like a Pit Bull or Rottweiler, then you will likely experience an increase in premiums. The reason for this is because if your dog bites someone, then they can place a claim against your home insurance policy for the medical expenses caused by the treatment of the bite. They may even get some additional funds for stress and damages. By walking your dog on a leash and having a securely fenced area for the dog to play in you will reduce your likelihood of risk and may even reduce your premiums. Likewise, some exotic pets like monkeys, dingoes and sloths might carry increased premium risks. You’ll need appropriate pens and play areas to help keep your premiums down.

Another pet that may increase your home insurance premiums is a lizard or other cold-blooded creature. This may seem strange, but because you must have special warming lights and devices to keep your clod-blooded pet alive, it can increase your risk of having a fire which can increase your insurance premiums. Make sure to buy the right kind of equipment and keep it in good repair to help reduce your risk of a claim.

It is important that you disclose your pets to your home insurance company. You might think that by keeping your dangerous or risky pets a secret that you can get away without paying an increased premium. In reality, If you have a claim that is caused by these pets it will not be covered by your policy and you may even lose the policy because of your misrepresentation. It isn’t worth losing the investment you make in a home insurance policy to avoid the increased premium that certain pets can cause.

One of the most basic and popular types of life insurance policies available is the whole life insurance policy. Whole life insurance policies pay out a death benefit over your entire life, unlike term policies which only pay for a certain period of time. In addition, they accrue cash values.

Life Coverage in A Whole Life Policy

Whole life (or permanent life) insurance policies generally require medical underwriting and offers a death benefit for you entire life, as long as you pay your premiums in full and on time. If your health changes and you become uninsurable, it won’t matter as long as you keep your policy in-force. That is one of the benefits of a whole life insurance policy over a term life insurance policy, which will stop paying a life insurance policy after a pre-determined number of years.

Cash Value Growth and Accumulation

When you have a whole life insurance policy you pay more than just the cost of insurance. The additional premiums that you pay are put toward the accumulation of cash values. These cash values give your policy an added benefit that just a death benefit. Cash values can offer tax-free loans to the policy owner, a cash value given when the owner surrenders the policy and a source of funds for applied premium loans if the policy owner neglects to pay their premium.

Fixed Growth of Cash Values

One of the best aspects of a whole life insurance policy is that the policy’s cash values grow at a fixed rate. That means that instead of dealing with the ups and downs and general volatility in the stock market, you get fixed, guaranteed growth that is honored by the insurance company. In order to ensure that you choose an insurer that can both pay claims and keep your cash values growing according to the illustration, take the time to check the insurance company’s rating on AM Best. AM Best is a company that assesses the financial strength of insurers and assigns a letter rating representing their financial strength. When you choose a financially strong company then you can rest assured with the knowledge that your claims and cash value requests will be honored.