Small Business Health Insurance Problem

Small Business Health Insurance Problem:
By: Health Insurance
| Posted: Sep 09, 2010

Through the debate on reforming health insurance for small businesses, an important piece of information was missing: Policymakers had little data on why only some young companies offer their employees health insurance. Common sense and much research indicate that cost plays a big role in business owners' health insurance decisions. Why do some entrepreneurs choose to incur this cost while others do not?

Back in March, Congress passed the Affordable Care Act, which in 2014 will require all Americans to have health insurance or pay a penalty. Although many people would now like to put discussion of employer health insurance behind them, the question of why only some founders of small businesses offer insurance remains an important one. Its answer will influence how much of a role government will play in providing employee health insurance for years to come.

One part of the new law is a set of tax credits and penalties designed to encourage employers to provide insurance.The problem is that for most young small businesses, it won't work.That's the conclusion I reached, based on research I conducted with Alicia Robb of the Ewing Marion Kauffman Foundation.We examined the decisions of founders of young companies on whether or not to offer health insurance, using information from the Kauffman Firm Survey, which tracks a cohort of nearly 5,000 new businesses started in 2004.

The data show that very few new businesses offer employee health insurance. Nearly two-thirds of companies with employees did not offer employee health insurance at any time during their first five years of operation. Moreover, only one in five offered insurance to their workers in all of the years.
insurance: no performance benefits

The few young small businesses that offered health insurance differed dramatically from those that didn't: They tended to be larger and higher-paying, structured as partnerships and corporations, and they offered their employees a wide variety of benefits. Most young businesses don't fit this profile. The majority are sole proprietorships with few, modestly paid employees. Only a handful of young companies grow dramatically. A minority shift from sole proprietorships to other legal structures. Few ever add a lot of benefits. This means that only a small portion of young small businesses are health-insurance-providing types. Most are not.

One argument that's often made to justify giving employees health insurance is that doing so helps companies perform better. Those that offer employee health insurance, the argument goes, get better and harder-working employees. We examined whether the provision of employee health insurance provides any performance benefits to young companies. We found that it does not.

Controlling for a variety of other firm and founder characteristics, we saw no significant effect from providing employee health insurance on firm survival, growth in assets, growth in sales, growth in profits, or growth in employment during the first five years of operation. Stated differently, offering employee health insurance doesn't appear to do anything to improve the performances of young companies, despite what some observers argue. We shouldn't claim that the new law will benefit small business owners by making their companies more successful.
low-paying, sole proprietorships

The data offer three key takeaways for policymakers. First, only a minority of new businesses offer health insurance to employees, even by age five. Fewer still move from not offering insurance to providing it. When thinking about how to manage small business health insurance, policymakers need to keep in mind that offering insurance isn't something that young companies naturally evolve to do as they mature. Consequently, most of the employees at new businesses that don't offer health insurance will need to be covered by government programs and state exchanges.

Second, new companies that don't offer insurance tend to be smaller, lower-paying, sole proprietorships with a large share of part-time workers. These offer employees limited benefits. Policy makers need to recognize that offering employee health insurance is something that fits certain kinds of new companies and not others. Small business owners who don't offer employee health insurance aren't being heartless. They are responding to the economics of the industries they are in and the business models they are pursuing.

Third, offering employee health insurance doesn't improve the financial performance of new companies. Policymakers need to understand that despite the many reasons why they want the founders of all businesses to offer health insurance to employees, requiring that entrepreneurs provide such insurance won't benefit many of the business owners.

Hundreds of thousands of new businesses with employees are founded in the U.S. every year. Few of these companies are large enough, pay enough, or are structured in a way that would lead them to offer employee health insurance. Moreover, few will turn into businesses that provide health care coverage to their workers. As a consequence, most of the several million workers hired by young businesses annually will be getting their insurance from government programs and state exchanges for years to come.

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Life Insurance Universal

Life Insurance Universal:
By: Insurance
| Posted: Nov 19, 2011

Today you are living in the world that does not guarantee you of your life. This is a scary thought yet very provoking because it is true. The view of life insurance universal is to acknowledge the bad times you are living in today; life insurance is a policy that will guarantee protection and financial stability for your family in long term.

Life Insurance has become necessity today, without a life insurance policy, it is hard to stabilize your family's future. You want to be sure to give your family the best of future. Life Insurance can help you to protect your family, take care of your estate planning needs, look at retirement savings and even protect your home mortgage.

There are different types of life insurance policies for example: whole life insurance, universal life insurance, children's life insurance, senior life insurance, mortgage protection life insurance and term life insurance. The role of each of these life insurances is different because it entirely depends on each policy. 

Some of the important things you can remember when you are thinking of buying insurance such as, stick to one insurance policy as it will cost you heavy sums if you think of leaving the policy in between months. Think twice before you make a decision on any insurance policy; read your insurance policy thoroughly and underline the important segments in your policy that can help you to take a right decision. Forget not to do your homework thoroughly on the insurance company before you buy a policy from them. Let your agent explain the pro's and con's of every policy. Get a clear understanding about the policy from your agent and do not act hastily on getting the policy quickly. These are some of the important factors that need to be considered when you think of buying a policy from the insurance provider.



Life Insurance Quotes are unlike any other type of insurance. There are multiple factors involved in determining a person's correct rating. Here at the Life Insurance Quote Center we have streamlined the entire process for you. Our quoting engine is designed to ask all necessary questions to obtain a Life Insurance Quote without the hassle of having to leave your computer. We also have experienced life insurance agents available during standard business hours to help in any way necessary in the process of obtaining a Life Insurance Quote and/or processing a life insurance application.

We offer all types of life insurance including hard to place life insurance policies. If a person has been declined elsewhere for things such as Diabetes, Cancer, HIV, etc. we are able to find them an approval. Sometimes people are unaware of the type of life insurances available to them. When running a Life Insurance Quote with us we are sure to explain and describe all options you are eligible for. A quote is the first step in the process of obtaining a Life Insurance policy. We believe that making this service available online to the public expands the common knowledge of what life insurance is.

There are some very important factors that considered when obtaining a Life Insurance Quote. Height, Weight, Gender, current Health Status, and current Medications if any. These are all taken into account by an underwriter during the underwriting process of any Life Insurance application. However taking medication is not always a bad thing. Depending on the age of the person certain maintenance medications are looked at as good. For example a person over 55 years old that is taking cholesterol or blood pressure medications are likely to receive higher ratings than those that are not with higher cholesterol/blood pressure levels.

Our quotes are always instant and free! No waiting. Most insurance shoppers are online because they want to avoid having to wait for a quote. It is our goal to make sure your experience with us is fast, easy and painless. We understand that Life Insurance can be a personal and sometimes invasive process so we do our best to make it a positive one. In the event that you have any questions about your Life Insurance Quote we encourage you to call and speak to one of our experienced agents. We are available Mon – Sat from 8am – 6pm PST.


About the Author

The view of Life Insurance Universal is to acknowledge the bad times you are living in today;http://www.workinglifeinsurance.com/universal-life-insurance.php life insurance is a policy that will guarantee protection and financial stability for your family in long term.

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Learning How to Choose Insurance that Meets your Needs

Learning How to Choose Insurance that Meets your Needs:
By: Insurance Quotes.us
| Posted: May 27, 2011

We will all over time need insurance, when you learn to drive you have to have insurance, when you go to work you are insured under your employers workmen's compensation, when you buy your first home you must have insurance on it. While sometimes you may have no choice about the type of insurance that you need, other times you will have to choose your own insurance, learning to choose the right types of insurance depending on the needs you have, is important and a skill you will use over and over again throughout your life.

Knowing how to choose the right insurance starts with understand what insurance does and how much insurance you really need. This will vary depending on your circumstances and what your budget it. For instance if you have a car that is not worth a lot of money, there is no sense in putting coverage on it, however you will still need liability and medical to cover any damages that may arise if you have an accident.

The Same is true for your other belongings, if you do not own a house you may not need home insurance but you may wish to insure your belongings especially if you have a lot of expensive electronics. This insurance is called renters insurance and it protects you even if you are not ready to buy a house.

Other insurance you may wish to consider is insurance on your recreational vehicles, life insurance, health insurance and if you work for yourself you may wish to get business insurance as well. All these types of insurance vary depending on your circumstances, such as age, health and the possessions you want to insure and as always your budget. While you may not be able to buy all of them it is important to get the ones that are most applicable to your life, as well as those that may be required such as home insurance if you are buying a home and car insurance.

It is important to take some time to read about the insurances you are getting ready to buy, you should at least know the differences between liability, collision, comprehensive, as well as when you need them for your car. This is true for all insurances, you can make costly devastating mistakes but not understanding insurance terms such as those that tell you the type of insurance you are buying.

Life insurance is a good example of that, since there is a huge range of prices for the different types of insurance, but how they cover you and how much they pay out ranges just as widely. Does your policy stay the same or can your insurance company change it, does it have a cash value? These are all questions that you will need to know the answer for if you are going to buy life insurance.

There are plenty of resources on the Internet that will give you the basic information you will need, to be able to make choices for your insurance needs. In fact many of the free quote sites that offer you quotes for your insurance needs can give you all the basic information you will need to make informed choices about your insurance. You will also find that many of the insurance company sites will explain all of their policies in full at their websites as well.

You can also go to talk to your agent once you have chosen one, they can answer any questions you have and help you to decide the insurance you should have. If you choose to use one of the quote sites you will have agents in your area contact you with your quotes, before you decide on your insurance be sure to take the time to carefully review the quotes and take care of any research you need to do before you make your final decision.

Once you have an agent or two, they will help you to make your final decisions and take care of all the paperwork. You will have the satisfaction of knowing you took your time and made an informed decision no matter what type of insurance you are trying to buy. One of the best places to start your search for information and for the quotes you will need to complete the process is at Insurance Quotes, we offer a wide range of information about all of your insurance needs and have a free quote form that will allow you to compare your insurance quotes before you buy.

About the Author

Be smart, save money and get low insurance rates today with free online insurance quotes. Compare rates for all types of insurance quotes.

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Irish Construction Insurance

Irish Construction Insurance:
By: Keystone Insurance
| Posted: Jun 16, 2007

One of the most interesting facts about the Irish Construction industry is that there is no legal requirement for a construction company to hold any from of construction insurance! In fact, the only insurance an Irish contractor is legally obliged to have is basic motor insurance on his/her motor vehicles!

Although there is no legal requirement under Irish law for a contractor to hold adequate Construction Insurance it is extremely important that adequate cover is in place.

One of the most important reasons is the high injury & mortality rate on Irish Construction sites. One major positive of the recent construction boom is the fatality per thousand ratio has fallen in recent years although it is still at an unacceptable level.
For example, in 2001 28% of workplace fatalities were Construction related and the Irish Construction industry is consistently second only to the Irish Agriculture& Forestry Industry.

As many primary contractors require their subcontractors to hold Construction Insurance the reality is that although Construction Insurance is not a legal requirement it is usually a prerequisite to obtaining work on the majority of the countries construction sites so the need for construction insurance is a necessity in everything but law!

Although Construction Insurance is quite a complex field the four main areas of cover are as follows:
• Public Liability Insurance
• Employers Liability Insurance
• Contractors All Risks
• Personal Accident
Public Liability Insurance
Public liability insurance [PL] provides cover in the event that the policyholder is sued by a third party who feels that they have suffered injury or loss as a result of the policyholders negligence (lack of care).
Consider the following examples where Public Liability Insurance will provide cover:
• You run a plumbing company. One day you are called to an office to sort out a problem in their kitchen. Accidentally, you burst a pipe, and flood the office. Your client then makes a claim against you for the damage to their carpet and computer systems which have been damaged by the water.
• You are a building contractor. While walking along scaffolding one of your men drops a piece of equipment which falls to the street, injuring a passing pedestrian. The pedestrian makes a claim against your firm.
Obviously these are very simplified examples and we haven’t discussed the complexities of Products Liability/Liability Law/Duty of Care etc however it should provide a basic understanding of Public Liability Insurance.

Employers Liability Insurance

Employers Liability Insurance [EL] provides cover if any of your employees suffer physical injury or death, and it is proven that as an employer you acted negligently and subsequently could have prevented their loss. If they then decide to pursue you for compensation the insurer will pay the cost of the claim.
Consider the following examples where Employers Liability Insurance will provide cover:
• You run a carpentry company. One of your employees loses a finger while using a chop saw and decides to claim against you for his injury
• You are a scaffolding contractor and are erecting scaffolding around an apartment block. While erecting the scaffolding one of your employees falls and suffers severe bodily injury. He decides to claim against your firm.
Please note that Public & Employers Liability is offered ‘hand in hand’, that is when arranging construction insurance you will need to arrange both Public Liability & Employers Liability Insurance together [Also known as Combined Liability Insurance] as Employers Liability Insurance is not available on a ‘Stand Alone’ basis..
Contractors All Risks Insurance

Contractors All Risks insurance (also known as Contract Works insurance) is an insurance policy specially designed for builders and a number of other trades working at a contract site. Contractors All Risks insurance can include cover for contract works, own plant, hired-in plant and employee's tools. The main part of the contractors all risks insurance is the contract works section which provides cover for the property being worked on (e.g. new house, etc.). However, cover for the existing property is excluded (e.g. the existing structure when building an extension) and must continue to be insured under its own insurance cover.
Consider the following examples where Contractors All Risks Insurance will provide cover:
• You are a building contractor and are building a house for resale. So far you have spent €200,000 on materials and labour. The property catches fire and is destroyed before it has been completed. • You are groundwork’s contractor and are presently digging foundations for a new housing development. Naturally you leave your excavator on site until the contract is completed however one night your excavator is stolen.
Personal Accident Insurance

Personal Accident Insurance [Also known as Income Protection Insurance] is highly recommended for a sole traders, business partners and company directors as a combined liability policy does not cover any injury caused to a sole trader/business partner while it is extremely difficult for a company director to sue his/her own company. A policy can be tailored to your exact needs and policies include a tax free monthly benefit, a lump sum [capital benefit] and hospital cash.
Consider the following examples where Personal Accident Insurance will provide cover:
• You’re a self employed carpenter with no employees. You cut your hand and are unable to work for eight months. As you have Personal Accident cover you receive a tax free benefit of €1,500 after one month and continue to receive this amount until you return to work.
• Although Personal Accident/Income Protection insurance is no substitute for full time earnings it will provide you with an income if you are unable to earn and it will reduce your financial worries at a time when your recovery should be your number one priority.

Machinery & Plant Insurance
Machinery & Plant Insurance is normally arranged on a case by case basis and provides Accidental Damage Fire & Theft Cover on Machinery. This policy is normally taken by contractors who wish to cover a specific number of items.
Health & Safety Executive

In Ireland the HSE [Health & Safety Executive] have the ultimate authority over Construction Sites and have the ability to close a site if they feel it is a safety hazard. Their primary initiative is the ‘Safe Pass’ – a one day site safety training programme.
Who needs to do Safe Pass awareness training?
Safe Pass is a one-day safety awareness programme aimed at general construction workers, craft workers and "on site" security personnel in the construction industry. The aims of the programme are to:
• raise the standard of safety awareness in the construction industry
• ensure that site personnel after completing the one day awareness programme can make a positive contribution to the prevention of accidents and ill health while working on the site
• maintain a register of personnel who have received training
• provide participants with a FAS Safe Pass registration card, indicating that the holder has attended a formal course in health and safety awareness
Under the Safety Health and Welfare at Work (Construction) Regulations 2006 Safe Pass / Safety Awareness Programmes applies to -
(a) craft and general construction workers,
(b) persons undertaking on-site security work, and
(c) persons or classes of persons as may be prescribed by the Minister.
For more information on Irish Site Safety please visit the website of the Health & Safety Authority www.hsa.ie while for more information relating to Irish Construction Insurance please visit the website of Keystone Insurance www.keystone.ie, Ireland’s premier supplier of Construction Insurance

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Insurance Savings Guide For All

Insurance Savings Guide For All:
By: California Auto Insurance
| Posted: Jan 10, 2011

Homeowners insurance and automobile insurance are 2 types of insurance that almost all individuals need to have sooner or later. If you have a number of different insurance plans, the price of premiums can easily become a financial difficulty. With regards to insurance, everybody wants to have the cheapest price and also the best coverage. The best method to reduce costs on your insurance premiums is to merge your home and automobile insurance with one insurance carrier.

Merging your home and car insurance policies with one carrier could lower your rates. According to the Insurance Information Institute, combining your property and car insurance can save you up to 25 % on both premiums. To compete for your business, numerous insurance carriers offer discounts to consumers who buy both home and car insurance.

Combining both home and car insurance could significantly lower your payments to insure the belongings in our properties from fire, theft the structure of your house in case of fire, wind, and other types of damage covered under the terms of the policy. In addition, you'll have insurance on your auto in case of an incident, liability, collision, theft, and vandalism. Many insurers that provide combined home and car insurance coverage will bill you for both policies at the same time. Therefore you'll make one monthly payment.

The easiest method to get a cheap home and car insurance rate is to look online. The quickest and easiest method to locate a combined low cost home and car insurance will be to compare quotes using an online insurance comparison tool. There are numerous insurance sites that provide this comparison tool totally free without any obligations. All you need to do is complete a quick quote form and you receive a number of quotes. You could then select the best insurance plan that meets your wants.

Whenever you merge your home and car insurance, you won't just lower your expenses, but you would have the added convenience of one insurance package, one payment to make every month, one renewal date, and a single deductible which would apply in case of a claim.

Just like any type of insurance, it is very important to shop around. You need to learn how an insurance company ranks when it comes to how well they pay their claims and how strong they are financially. Additionally you need to read the insurance plan very carefully so you know exactly what you are protected for and how much the insurer pays for a claim. It's crucial to remember that getting the correct amount of coverage outweighs the cost of inadequate coverage.

Anybody with a home and auto should be covered by insurance. With the present unpredictable financial economy, it's simply smart to save cash by merging both your home and automobile insurance policy.

About the Author

We specialize in personal and commercial insurance types. When you're ready to save on your car insurance or homeowners insurance, we are here to help you. In addition to personal policies, we will guide you through the process of obtaining protection for your business. Insurance for business should not be expensive; we work with numerous highly rated companies, who will cover every type of business with the most affordable prices. General liability or Workers Comp, commercial auto or Surety bonds. We cover every angle.

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http://www.articlesbase.com/insurance-articles/insurance-savings-guide-for-all-4005434.html

Individual Health Insurance Effects

Individual Health Insurance Effects:
By: Health Insurance
| Posted: Oct 25, 2010

The Patient Protection and Affordable Care Act, otherwise known as the health reform bill will impact almost every American. One of the most important ways it will affect individual health insurance is that insurance companies will not be permitted to deny insurance to those with preexisting illnesses. Another important affect is that all Americans will be required to hold insurance. Insurance companies will be prohibited from placing annual and lifetime limits on coverage. Group health exchanges may also help to reduce the cost of insurance plans, giving individuals the buying power of large companies. You will be able to purchase insurance through a state exchange from 2014. The exchanges have yet to be formed, but the intended goal is to provide more affordable and subsidized individual plans. The Obama effects on individual health insurance addresses the biggest weaknesses in the individual health insurance market. Easy To Insure Me

As the reform bill was passed policy rates were climbing. A report revealed that members of the middle class were losing health insurance faster than any other income group. Those who missed the Government provided safety net because of their income were thrown on the mercies of the individual market. Here, insurers have been denied coverage based on preexisting conditions and are vulnerable to charges of high and ever increasing premiums.

The limits insurers placed on who gets coverage is one of the three major problems that needed to be addressed in the individual market. The other two are the affordability and whether the policy would pay for what is needed when the insured gets sick. A study found that excluded conditions varied by insurer. In a 2001 study by the Georgetown Health Policy Institute, researchers 37 percent of applications were rejected. There were insurers who would turn you down if you had hay fever. The public thus was a victim of a roulette insurance market. How easy is it for individuals to wade their way through the market to insurers who would cover them is a question. Although federal law requires insurers to sell policies to certain people who lose group coverage, including those who lost their jobs due to lay offs; but places no limits on what an insurer can charge. In February 2010, Connecticut announced that health premiums for individual medical plans rose in price by 20 percent over in 2009. In this void have stepped some states in varying degrees. Maine, Massachusetts, New Jersey, New York and Vermont required insurers to sell individual policies to everyone, irrespective of their health. Washington state required insurers to take individuals with some health problems. While, Iowa required insurers to cover preexisting conditions in new applicants, if they had insurance previously for those conditions and did not let the insurance lapse.

Of those who do buy their own insurance the health insurance market works well for some; but, not for others. In the individual market prior to the reform bill, in order to lower their risks insurers preferred the healthiest applicants. In most states, insurers may consider the health history of the applicant in deciding coverage and its cost. Unlike group plans offered by employers which provide coverage to everyone, there is no guarantee in most states individuals can obtain insurance. It has been realized that solving problems in the individual market would improve the health care crisis. In California, Connecticut and several other states regulators have taken actions against insurers who revoked individual coverage after policyholders fell ill. Before the President won the election Senators Ron Wyden, a Democrat from Oregon, and Bob Bennett, a Republican from Utah were supporting a bill that would shift workers getting coverage through employers to purchase their own insurance. The intention of their proposal was to break the link between employment and insurance. The two supporters of the bill believed this would let people keep their coverage even when they lost or switched their job. The proposal would have required everyone to have coverage and insurers to sell insurance to all applicants. The health reform bill has addressed these failings. Both presidential candidates had expressed the desire to improve options for people who buy their own coverage. Candidate Obama wanted to allow individuals and small firms to have the bargaining leverage and purchasing power of latge firms by creating ways for individuals to buy insurance in groups. Advisors to candidate McCain had acknowledged the current system was broken. Douglas Holtz Eakin, who was a senior policy adviser noted that he did not want to give the impression the individual or small group market is a good place to be, as it was not

The public hospitals have been at the vanguard of the victims of inadequate and absent coverage. They have provided for the uninsured and those under insured by Medicaid, that reimburses them at below cost. They are also unable to compete with private and nonprofit hospitals for patents with private health insurance coverage. Yet, the cost of providing care to the uninsured and under insured has climbed and taxpayer support remained static.

Currently employers are looking to shift more burdens to their employees due to rise in the cost of health insurance. A Reuters research team in analyzing claim data has discovered that smaller employers saw costs rise the most. According to a report released in March 2010, the cost for an employer to offer individual plans to workers increased by 43 percent over a eight-year period. The amount employees paid for the single plans increased over 64 percent.

Large corporate employees have enjoyed the most secure and highest quality coverage in the nation during their employment. They have not been victimized during their employment with revocation or denial due to preexisting conditions. Nevertheless, a recently released annual survey by the National Business Group on Health has indicated that the impact of rising costs means this island of safety is about to be buffeted. This surveyed large employers indicated they were considering shifting more of the cost on their employees.

Harvard researchers looking into what portion of bankruptcy filers filed for medical reasons found some enlightening information. They found that illness caused the majority of filings. The study looked at a year that preceded the housing bust; but reveals what is the general scenario absenting this reason. The larger segment of filers were covered by insurance they lost or proved to be inadequate. Majority of these were middle class homeowners who had college degrees. The study revealed the vulnerability of Americans who were literally one major illness from bankruptcy. There are big Obama effects on individual health insurance coverage. Certainly there are due to be major Obama effects on individual health insurance.

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How to shop around for general insurance?

How to shop around for general insurance?
By: Insurance Matter UK
| Posted: Aug 14, 2010

Types of general insuranceGeneral insurance only pays out when an insured event occurs. It includes:home insurance (contents and/or buildings)car insurancetravel insuranceprivate medical insurancepet insuranceaccident, sickness or unemployment insurance to protect your income, mortgage or loan payments (also called 'Payment protection insurance')critical illness insurancelong-term care insurance

How to shop around for general insuranceWith so many insurance deals on the market it's worth shopping around. Key points to compare include:suitability for your particular needscostflexibility: what happens if you miss a payment or wish to cancel or switch?terms: when does the policy pay out/are there restrictions?'Keyfacts' documents to help you shop aroundWhen you contact an insurance provider, they will give you details of the service they offer. This can normally be found in the 'about our service document'.Once you've discussed what you need and answered all the questions about yourself and what you want to insure, the intermediary, insurance company or the firm selling you the insurance will give you key policy information. This sets out the essential facts.

1. Buying insurance - learn more on Moneymadeclear from the FSA:
Getting helpYou can buy insurance yourself or with the help of a broker, but either way you'll get key policy information about the insurance and what it covers.Generally, firms selling insurance and those providing insurance cover (underwriting the risk) have to be regulated by the Financial Services Authority (FSA), the UK's financial services regulator, or be the agent of a regulated firm. There are some exceptions, for example the sale of extended warranties on non-motor goods (such as on electrical goods) where the person selling the insurance is also providing the goods.Regulated firms and their agents are put on the FSA Register and have to meet certain standards. Always make sure that the firm you use is on the FSA Register before handing over your money. If they aren't regulated by the FSA, you won't have access to complaints and compensation procedures if things go wrong – see If things go wrong. To find out if a firm is on the FSA Register, see Check the FSA Register.Your friends or family may recommend an insurance broker or insurance company or you can find one along your high street.

Alternatively there are organisations that can help you – see Useful links. But remember, always check that the firm you use is on the FSA Register.If the firm is not on the FSA Register, or if you have been contacted by or dealt with an unauthorised insurance firm or broker, it would help the FSA if you would provide some information on your dealings with that firm or individual. See its list of Unauthorised firms/individuals and report any dealings using its Unauthorised firms reporting form.Buying without adviceYou don't have to get advice before you take out an insurance policy, and UK firms that sell insurance without advice still have to follow the FSA's rules. But it is up to you to decide whether the policy is suitable for you. You may have less grounds for complaint if the product turns out to be unsuitable.Comparison websitesComparison websites will ask you several questions and then provide you with quotes from various brokers and insurers. None of the websites cover the entire market, and some larger insurers are not represented on any of the websites, so you may wish to contact them directly. The comparison website should contain a list of the brokers and insurers they search.Some insurance comparison websites may ask you fewer questions to speed up the process, and instead make a number of assumptions about you. Always check the assumptions made about you and correct them where necessary.Most comparison websites will automatically pass your information on to a broker or insurer.

Although this means you don't have to provide them again, you should check that the correct information has been provided to the broker or insurer. If anything is incorrect you should either change the information on the broker or insurer's website, or contact them and ask them to change it.The Association of British Insurers (ABI) has a voluntary good practice guide for insurers, brokers, software houses and insurance comparison websites when providing online price comparison quotes for insurance.This will mean that you'll get information to help you understand more about the policy you're being offered. It also says that insurers who are unable to provide a quote to a customer (for example due to age or health) should refer them to another provider who may be able to offer them cover.When using a comparison website make sure:adverts about the site don't make misleading claims about their market coverage – none of them covers the whole market, so if they claim to, this is unlikely to be true;you fully understand what savings you can make if the firm is advertising what looks like an attractive rate;the assumptions made about you are accurate and the same as the ones on the insurer's quote; andyou understand what excesses you might have to pay.See our Shopping around guide for more information.What information will you get?When you contact an insurance broker they will give you:details of the service they are offering you – see Step 1; andinformation about the insurance policy being offered to you – see Step 2.Step 1 – Getting the KeyfactsWhen you contact an insurance provider, they will give you details of the service they offer. It may be in a  about our service document, but doesn't have to be.

They will tell you:whether they're offering you advice or just information about the product;whose insurance policies they offer – it may be from one company or many; andhow much you'll have to pay for the service.Use this document, or information to shop around to get the service you want at the price you're happy with.Step 2Once you've discussed what you need and answered all the questions about yourself and what you want to insure, the intermediary, insurance company or the firm selling you the insurance will give you key policy information. This sets out the essential facts. Ask questions if you don't understand anything as misunderstandings could lead to the insurance company refusing to pay out when you claim.The policy information will set out:what the insurance policy actually covers;what it doesn't cover;any limits or restrictions; andother important features you need to know before you make up your mind.Make sure you get this and that you read and understand it. Ask the provider or insurance company to explain anything you don't understand.Use this document to shop around and compare like with like. Another policy may be cheaper but does it offer the same cover?
2. How to check if a firm is FSA authorisedYou can check whether a firm or individual is FSA authorised by using the FSA online 'Check our Register' service.Find out how to use the FSA Register and what to consider when looking for a firm or individual.
Firms are put on our Register once we have given them permission to carry out a particular activity. Firms that work as ‘agents' for other firms are also on our Register and are also known as ‘Appointed representatives' or ‘Tied agents'. After that we monitor that they follow our set standards, known as being ‘regulated'.
Always make sure that the firm you use is on our Register before handing over your money. If they aren't regulated by us and things go wrong, you won't have access to complaints procedures and compensation schemes, for example the Financial Ombudsman Service and Financial Services Compensation Scheme (FSCS). Some payment services firms do not have to be on the FSA register until May 2011, but you can still take complaints against them to the Financial Ombudsman Service.
3. The difference between information and adviceYou can buy insurance after getting advice, or based on information after shopping around. Read our related article to understand the difference between buying with or without advice and the relative pros and cons.
The difference between advice and informationWhen you get insurance advice, the broker or adviser looks at your individual circumstances and needs and recommends a policy to meet them. This often involves a face-to-face meeting, but you can get advice in other ways, for example by telephone, email, or through the post. Under FSA rules, if the advice turns out to be unsuitable you have the right to complain and, in some circumstances, may be able to claim compensation.Buying without adviceUK firms that sell insurance without advice still have to follow FSA rules, for example by providing you with certain information about their service and products (see next section). But if you buy this way it's for you to decide whether or not you think the policy is suitable for you. If things go wrong it may be harder to complain.Information the insurance broker must give youFSA authorised firms must follow certain rules and standards when dealing with you, including giving you certain information.Information about a broker's serviceWhen you contact an insurance provider, they will give you details of the service they offer. It may be in an 'about our service document', but doesn't have to be.They will tell you:whether they're offering you advice or just information about the productwhose insurance policies they offer - it may be from one company or manyhow much you'll have to pay for the serviceUse this document, or information, to shop around to get the service you want at the price you're happy with.Information about the insurance policyOnce you've discussed what you need and answered all the questions about yourself and what you want to insure, the intermediary, insurance company or the firm selling you the insurance will give you key policy information. This sets out the essential facts.For investment-type insurance they must give you a more detailed key features document which includes an illustration of how your investment might perform over time.

About the Author

Insurancematter.co.uk is a categorized and easy to use directory of the best online insurance sites available for British Customer. Each insurance site in our directory has been reviewed and placed in a proper category to make it easier for online shoppers to find at home or at the office and buy their desired cheap insurance online. In addition, for your convenience and in order to have more choices when buying online, we have added some great international insurance web sites that are mostly located in the USA & Canada and they deliver insurance service to the UK.

In order to help British Insurance Shoppers to shop at home and buy their favourite products online, we've also added some popular Comparison website that offer best deal like Gocompare.com, confused.com, moneysupermarket.com etc. In fact, you can use this site as an online Insurance mall with a variety of online and high street insurance providers.

We have done our best to make this directory the best online insurance source for British shoppers who want to buy cheap and best affordable deals at home or at work.  you have any suggestions about how to improve our website, please do not hesitate to contact us. We would be happy to hear from our visitors.

Source:
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