NLIC.org

Naomi Said:

I would like to buy a Rs. 30 lac property in Vizag. I have 5 lac, the rest is a loan for 20 years. Should I?

We Answered:

I don't know where you live, or what your total expenses are in relation to your income. But I don't think you're going to get the best possible information on any website where you don't know anybody and nobody knows you. You're better off going to an accountant or business consultant.

Kevin Said:

Why use a Broker/Agent to deal with Insurance Company?

We Answered:

You will pay the same premium even if you don't use a broker or agent. It is illegal in most states for companies to rebate to customers. Therefore, you must pay the same premiums if you have an agent or not. Why wouldn't you want a buffer between you and the company to look out for your best interest?

Andre Said:

If I offer a 'get you home safe' service to i.e a football club, is that insurance?

We Answered:

You're not offering insurance, you're offering personal protection or bodyguard service, depending on the state you're located in. Either way, be ready to have to be licensed by the state to do that, and carry a million dollar bond and a VERY expensive liability policy for your company in order to meet the state requirements for the license. There are only 4 companies that insure private investigators and security companies, the average policy (if they'll even cover you) is $5000 a year.

Christine Said:

Help with homeowners insurance. Do these number look right?

We Answered:

Just a word of warning, those online numbers don't stick.

You need to write the house for the cost to rebuild, either 80%, 90%, or 100%, depending on what the policy requires. If you have a kitchen fire, the insurance company doesn't just buy the kitchen at market value. They have to FIX it. If you underinsure, that means, you're sharing part of the loss. If you are WAY underinsured, according to policy terms, you could end up getting $10,000 on a $20,000 kitchen fire, and then being mad at the insurance company, because YOU messed up.

This isn't something you should be doing yourself. I'm sure you're going to skip some VERY important things, because you don't realize they are important. What things? Here's a partial list, an AGENT will be able to explain why you should have them:

Replacement cost on building
GUARANTEED replacement cost on building (if you can find it)
Replacement cost on contents
Backup of sewers & Drains
Building Ordinance & Law coverage
AND, any special personal property floaters that might be applicable.


Homeowners is a PACKAGE policy. Typically, the other structures are 10% of the dwelling, the personal property is 50% to 75% of dwelling, loss of use is typically 20% of dwelling.


Then, you have to consider COVERAGE form. At that price, you've probably got a crappy coverage form, maybe an HO2 or HO8. That can leave you uninsured for LOTS of things.

Don't do "do it yourself" open heart surgery. Or "do it yourself" homeowners insurance.