Companies seeking to mitigate their risk on foreign receivables sometimes find themselves having difficulty in differentiating trade credit insurance from the services offered by Exim bank.

On the surface, there appears to be little difference in the function of Exim bank compared to private firms offering trade credit insurance. Exim bank was established as the Federal Government’s way of trying to help businesses offset risk and actively encourage exports of American goods. Some services offered by Exim bank parallel those offered by trade credit insurance firms.

However, the major difference in the two is the simple fact that the Exim bank is a part of the US Government, and anything attached to the federal government means regulation. The drawbacks of using the services of Exim bank are many. In addition to the high expense typically associated with an Exim Bank policy, as a part of the US Government, Exim bank has numerous regulatory hurdles that must be overcome, while trade credit insurance is a simple contract between two private companies allowing for the most flexibility. Additionally, Exim bank has on more than one occasion received negative press indicating that it discriminates politically by offering its services to those special interests that powerful political groups favor while leaving those without such connections to fend for themselves.

Any company trying to decide between the services of the Exim bank and acquiring a trade credit insurance policy privately would do well to consider the political ties of the Exim bank. A company wishing to control its risk without being forced through extra regulatory hoops or being required to do business with only those parties favored politically would do well to keep in mind that a private trade credit insurance policy allows a company greater flexibility to do business as they are usually accustomed. Using Exim bank can mean the possibility of navigating a political swamp causing frustration for policyholders.

Checking your credit report on a regular basis is critical to your financial health. Did you know that 4 out of 5 reports contain inaccurate information and could affect your ability to purchase a home, buy a car, rent an apartment, and obtain credit or even your ability to get a job? Your credit score and report can affect you in so many ways, so it is important that you understand what it is and why you should check it on a regular basis.

The Fair Credit Reporting Acts requires that each credit bureau to provide you with a copy of your report on an annual basis. We suggest that you check a different credit bureau every 4 months to monitor your reports year round. Also order copies of your childrens credit report to see there is any activity on their reports. Identity theft occurs in about 5% of children. You may also obtain a FREE copy of your credit report if you are denied credit, insurance or employment.

So what is a credit report?

A credit report contains personal information about your credit history and information obtained from public records. There are three major credit reporting bureaus. You may also request a FREE copy from each of the credit bureaus directly.

Your report contains your personal information, your credit account history, and inquiries to your report, public records, summaries, and personal entries. You will want to review each of the areas to check for any discrepancies.

Your report is separate from your credit score. A credit score is a number between 300 and 850 that reflects your credit worthiness. A higher number reflects to the lender that you are more likely to pay your back your debt.

You do have certain rights about your credit reports.

You may have access to your report. You may obtain a free copy once a year or when you are denied credit, insurance, or employment. You may purchase a copy at any time. You may decide who may access your credit report by giving your permission. Creditors, insurance companies, landlords, employers may ask your permission to look at your report, so you can see why it is important to make sure it is accurate. It is up to you to review and correct any misinformation on your credit report. The credit bureau has 30 days to investigate your dispute. Negative information must be removed after 7 years, if you find old information on your report; you have the right to ask that it be removed. Receive an explanation if you were denied credit. If you are a victim of Identity Theft you have the right to add a Fraud alert, to make it more difficult for someone to apply for new credit. You have the right to have yourself removed from marketing lists for credit card offers. We recommend that you do this to also protect yourself from Identity Theft.
Lastly, be careful where you go to get your FREE credit report as many of the advertising sites offering FREE credit reports are trying to promote other offers or are not complete. Order you credit report and review it soon.

It is important to shop when you are looking for the best deals on car insurance. Some companies can offer you a cheaper rate but others may be a little more expensive but give you better coverage. It can take days to find the best deal, but that will be time well spent if you are ever in a situation where you need to use it. When you are trying to get the best deal you also need to take into account what type of car you have. If you have a new or used one that is paid for you have some say over what type of coverage you want. If you are financing a car and still making payments you have to have full coverage on it and that makes things more expensive. The more options and coverage you want the more expensive the deal will get the same goes for your actual driving record. If you have a clean record with new tickets or incidents you are probably going to save a lot of money.

Have you ever wondered how someone who has a bad driving record, a more expensive car than you have, has a better deal than you do? It doesn’t make sense does it? Well the problem with car insurance is that there are a few things they do not tell you that have an impact on your rates and one of those are your actual credit score. Auto insurance companies check your score to determine your rate along with other things and it is a shame they do that. Rather than taking into account how good a driver you are they base your rate on whether or not you have a good history of paying your bills on time. Well you can change that problem and others that are created when you have a low score by using credit repair to fix it. Credit repair can fix your score in weeks and at an affordable price.

Credit protection insurance is a good example of a consumer rip-off that affects millions of people, yet gets little attention in the financial media. Simply stated, you should NEVER buy “credit protection insurance,” or a “payment protection plan” or any other similar type of credit-related insurance. Let’s take a look at how these programs work and why they are a bad deal for the average consumer.

First, let’s dispense with the scam version of this insurance. With identity theft in the news so much lately, con artists have set up telemarketing boiler rooms to call people and try to scare them into buying worthless credit insurance products. Representatives will try to convince you that you’re at risk if someone gets hold of your card and starts making fraudulent purchases in your name. When they call, they may even pretend to be from the “security department” of your bank. In fact, they may actually be part of an identify theft ring, with the goal of getting you to disclose personal information over the phone. Or they may simply be trying to make a fast buck by selling you an insurance policy that you absolutely don’t need.

Under Federal law, you are limited to a maximum of $50 liability for unauthorized use of your credit card. If you didn’t authorize a charge, don’t pay it! Follow your credit card bank’s procedure for disputing bogus charges. You simply don’t need insurance to protect yourself from a situation that is already covered by Federal law!

Now, what about those “payment protection plans” offered directly by the big credit card banks? These are plans that promise to cover your minimum monthly payments for an extended period of time (usually 12-24 months) if you get laid off from your job, become hospitalized due to accident or illness, or become disabled. On the surface, a plan like this sounds like a pretty good idea. After all, how could you keep up with your payments if you suddenly lost your job or became too ill to work?

Of course, you should not be carrying balances on your credit cards anyway. If everyone paid their balances every month in full, then credit protection insurance would not even exist in its current form. You are charged for the insurance based on the amount of debt you’re carrying on the card, so if the balance is zero, then there is no fee. In fact, some bank representatives use this as part of the sales pitch when trying to entice people to sign up for that “free 3-month trial” on their payment protection plan! They attempt to talk you into adding the insurance now, while you don’t need it and when there is no cost, in the hope that one day you will start carrying a balance. By then, you’ll probably have forgotten you signed up, and you’ll wonder what those mysterious charges are on your statement every month.

If you do carry balances on your cards, credit protection insurance is still a very bad deal. To see why, let’s look at the math here. A typical loss protection plan costs $0.85 for every $100 of balance carried on the card. So if you’re carrying a debt of $5,000 on the credit card, it will cost you $42.50 per month to buy the insurance. Over the course of 12 months, you will spend $510 under this scenario. That’s equivalent to paying an extra 10% in annual interest!

A light bulb should be shining over your head right about now. Why not take that same $42.50 per month and use it to pay down the balance faster? Good question. When you consider that most consumers who have credit protection carry it year after year, without ever becoming eligible for a claim against the insurance policy, the amount of wasted money can add up to a truly staggering sum.

Continuing with our $5,000 example, with a typical minimum payment of $125/month, it will take more than 26 years to pay off the balance in full, at a cost of $7,115.42 in interest. By applying that extra $42.50 per month that would otherwise go toward the insurance, for a total monthly payment of $167.50, you’ll have the debt paid off in only 40 months! And you’ll have saved $5,435.22 in interest charges. It simply makes no sense to waste this money , especially when you consider that the credit protection plan is normally only good for 12-24 months anyway.

There’s another important factor involved here. Credit protection is also a bad deal because the eligibility requirements are so very restrictive. When you read the fine print, you’ll realize that there are all kinds of situations that aren’t covered. Let’s say, for example, that you’ve been fighting a medical condition for some time. So you buy the insurance thinking it’s a good idea. Eventually, you end up in the hospital for treatment and recovery. Can you breathe a little easier knowing your credit card payments are covered? Nope. Most of these policies have exclusions for pre-existing conditions. And there are numerous other loopholes that allow the bank to deny your claim under the policy. In view of the lousy math and the restrictive nature of this type of insurance, these programs should really be named “bank profit protection” instead of “credit protection insurance.” Instead of spending good money on an insurance plan that you will probably never use, you’re far better off applying that same amount toward paying off the debt early.

Britain’s biggest credit card company is behind a new idea to give the holders of its credit card the option to stop making repayments if their income is drastically cut. In practice, it’s a form of payment protection insurance (PPI) which lenders have been barred from selling alongside forms of credit but the bank claims that its debt suspension option is not an insurance policy.

The big question is what kind of coverage is provided on your credit card. Some offer basic assistance benefits, while others will build in a medical evacuation program. Remember–the devil is always in the details!

Here are questions to ask about your travel insurance coverage on your credit card.

1. What are the details? Always read the fine print. Remember: The big print giveth and the small print taketh away!

2. Who do I contact if I get sick or injured and need coverage? The last thing you want when you are in need of medical care and/or evacuation is a voice message. You urgently need to speak to a live person who specializes in your concerns, not someone in the company who only knows how to cancel stolen credit cards.

3. Do I know how much coverage I will need? This is vital since credit card companies are not in the international health insurance business. Using a well-known international health insurance brokerage firm that specializes in overseas health insurance plans will give you much needed peace of mind.

4. Who pays for my health-care bills? Ask your credit card company if they pay your bills upfront, or if they will reimburse you later. Remember, the overseas medical staff is not going to wait until your credit card company pays. The evacuation team and the medical staff overseas want their money when service is rendered!

5. Will my credit card company provide me with the best hospitals and doctors? By going with a reputable short-term travel plan you will be routed to the best hospitals/medical facilities available. One international insurance company we work with bypassed a hospital in China and evacuated a patient to Thailand so they could get superior medical care. They did this despite the extra cost to the insurance company. Would your credit card company do this for you?

6. Will I pay a deductible on my credit card benefits? There are plans that have no deductibles and some with deductibles. Our evacuation plans have no deductible or co-pays.

7. Will my pre-existing medical conditions be covered? With travel insurance, the short answer is yes. That’s good news for older travelers especially.

8. Will my credit card coverage bring my mortal remains back to the USA and pay for the red tape and government paperwork? Our international health plans do this without a penny out of your loved one’s pocket. Most credit card companies, even when they offer it, offer limited medical care and evacuation coverage. Medical evacuation is often capped at $20,000 or less, and medical care is capped at $10,000. Please be aware that medical evacuation costs from Brazil to the Mayo Clinic in Florida are $26,000, and this is not for a major emergency. Another client in 2009 was evacuated from Algeria to Italy for a cost of $82,000. Medical evacuation may not always be this expensive, but we see very few evacuations that are below $20,000.

Peace of mind is what you get when you purchase a travel plan from a brokerage that specializes in overseas health travel insurance. Would you buy a pair of flip-flops to run a 10k marathon? Would you purchase a canoe to get you to the Cayman Islands? Of course not! What you want is the right amount and right type of travel insurance coverage. The last thing you want to worry about is how you are going to pay your medical bills while you are fighting to recover your health.

Most of us are aware that our driving history impacts not only our ability to get auto
insurance but the rates we pay as well. These days there is also another and equally
critical factor insurance companies use, our credit report.

Insurance companies consider your credit report and credit score as a valuable tool to
assess the risk in insuring you. A higher credit score reflects responsibility and
makes it less likely you will make claims against your policy.

A poor credit score may disqualify you from getting insurance with some companies. More
likely it will put you into an upper rate category with higher premiums for the duration
of that policy.

A recent study by the Federal Trade Commission concluded that “Credit based insurance
scores are effective predictors of risk under automobile policies. They are predictive
of the number of claims consumers file and the total cost of those claims. The use of
scores is therefore likely to make the price of insurance better match the risk of loss
posed by the consumer. Thus, on average, higher-risk consumers will pay higher premiums
and lower-risk consumers will pay lower premiums.”

According to a recent industry survey over 90% of the top auto insurance companies use
credit data to evaluate new and renewing clients. Almost all insurance applications
now require you give permission to check your credit report. The insurance company
will request a report from one or more of the credit reporting bureaus; Equifax, Experian
or TransUnion.

The score used is created by a company named Fair Isaac and Company and is referred to
by different names at the different credit bureaus ; InScore at Equifax, the
Experian/Fair Isaac Insurance Score at Experian, and the Fair Isaac Insurance Risk
Score at TransUnion.

Credit scores range from 300 to 850 with the higher score being best. If your score is
below 620 to 650, you may have trouble getting insurance or may have to pay a higher
premium.

You can take steps to improve your score;

Payment history: One of the largest factors is your account payment history. Delinquent payments and collections have a very negative effect on your score. While a steady record of on-time payments, the longer the better, shows responsibility. Amounts owed: You will be judged on the number, type and balances of accounts you already have. Try to keep balances low on credit cards and other revolving type accounts. Do not close unused credit card accounts and do not open too many new ones. Length of credit history: Nothing you can do to improve this other than wait, the longer your credit history, the better.
There are also consumer benefits to insurance scoring;

Lower premiums: A good insurance score can show you are responsible and therefore qualify you for lower rates. Get insured faster: Insurance scoring can be obtained almost instantly allowing policies to be approved quickly. This also helps promote internet access to insurance for the ultimate in shopping around. Impartial decision making: Insurance scoring is intended to take gender, race, nationality, religion and other factors out of the consideration process and focus on the facts related to your insurance risk. More insurance products available: Using insurance scoring has allowed more companies to offer more products to a wider audience. This has lead to more competition which lowers rates overall and gives greater choices to us all. The practice of using your credit report and insurance scoring looks like it is here to
stay and will likely be used by all companies in the near future. Some industry studies
even claim that credit based insurance scores are a better predictor of future claims
than driving records.

Everyone should have some type of insurance no matter no matter what your salary. Insurance is used to reimburse for a loss that occurs or protects against loss or harm to something or someone. There are several types of insurance available: life, health, dental, home, auto, fire, flood, credit card insurance, disability (short term and long term), and many more. The basic types of life insurance everyone should have are: health, life and disability. All three actually work together. Health insurance is needed if you ever develop a health condition or need to go to the emergency room. Disability insurance is used if you have a short-term or long-term medical condition that prevents you from working and ensures that you still continue to receive a paycheck (usually at least 60% of your salary). Life insurance is used in the event a family member dies. Having at least these three may affect your pocketbook now, but will cause you less headache and expenses in the future.

According to the National Health Care Coalition, nearly 46 million Americans are uninsured. A study by Harvard University researchers found that 50 percent of all bankruptcy filings were partially the result of medical expenses. Since 2000, employment health insurance premiums have increased 73 percent.

I had surgery in May 2006. I stayed in the hospital overnight. I was checked into my room at 7:00 pm and was released at 12:00 noon the following day. I received some basic medication and had staff assist me. The total bill for less than 24 hours was $12,000. This did not include the cost of surgery. The total bill was $20,000, luckily I had health insurance and only had to pay $5.

Many people go into debt and have bad credit due to medical bills from lack of having some type of insurance. When buying insurance it is best to comparison shop. You can also go to the Better Business Bureau’s website at http://www.bbb.org to search for companies and view their reliability report. A few good websites you can use to comparison shop for insurance are http://www.bankrate.com and http://www.progressive.com (for auto insurance). If your employer does not provide health insurance , life or disability insurance you can purchase insurance on your own. Go to ushealthcare.port5.com or http://www.healthinsurance.org (for selected states) to find information on affordable insurance. If you need insurance for your children visit http://www.insurekidsnow.gov. They also offer accident and critical illness insurance. For information on affordable disability insurance visit http://www.about-disability-insurance.com or http://www.assurity.com. If you really cannot afford to purchase insurance make sure you get enough rest, eat well and exercise. Try to get a part-time job to pay for the insurance.

If you are able to purchase additional types of insurance some as home owner’s insurance, auto or fire insurance, it is best to purchase bundled packages or insurance several types of the same item with the same company (such as insuring multiple cars with the same company). Many companies give you a discount if you purchase multiple products but you have to ask for it. For example, I purchased my home and auto insurance with the same company and saved about 15% of the total cost versus buying home owner’s insurance with one company and auto insurance with another company. Purchasing bundled packages or multi-line policies can result in a savings of 1 to 25% depending on the company.

As my grandmother used to always say, “it is better to be safe, than sorry”. At the very least try to purchase health insurance for yourself and your family.

For more information and resources on insurance visit

http://www.ahrq.gov/consumer/insuranc.htm#head10, http://www.healthinsuranceinfo.net, http://www.prweb.com/releases/2006/9/prweb435162.htm, ask.hrsa.gov/pc, http://www.cms.hhs.gov/home/medicaid.asp (Medicare and Medicaid), https://perfdata.hrsa.gov/mchb/mchreports/Search/search.asp (maternal bureau information), http://www.life-line.org (click on glossary to get common insurance definitions), http://www.travelers.com (auto, home, rental insurance).

Your credit score can influence in a major way the amount you will need to pay on your home insurance, health and life insurance and also your auto insurance. The majority of insurance companies think having a bad credit score and rating means you are a great risk. They are skeptic about people having debts accumulated and bills unpaid. As long as unpaid bills are getting more and more, they will not award you with their trust and low insurance rates.

When deciding whether to issue a policy on your home, auto or life, the main part of insurance agencies is using credit information. Be prepared that they will check on your credit report when giving premiums and when having a poor credit report you will likely get higher premiums and insurance rates. People having bad credit report might pay 25 or even 50 percent more in auto or home insurance policies than someone having good credit scores. In case of auto loans the majority of insurance companies think if you have bad credit you are a bad driver and more; having money management difficulties mean for insurance agencies you are having further problems in proper life management.

Insurances are always based on risk; statistics and researches show that people who are having bad credit by not playing bills on time tend to file more claims, which naturally, are more expensive. Of course, not only credit report influence insurance companies’ decisions. Other factors, like age, location, types of home, and the car you are driving are also decisive factors.

The best thing you can do when having bad credit is to shop around, and although the majority of insurance companies will give you high premiums, find the one less worse and stick to that policy until your credit score is improving. Your insurance policy and premiums might get better as soon as your credit report is cleared, but that depends on the insurer. Those who are having excellent credit scores are lucky, but they are also offered different policies and premiums, so they should also ask and shop around until they find the best offer.

A good credit history can definitely help you in cutting costs of your premium. Many car insurance companies in the United States will gather your credit information before charging the premium for your insurance. The premium will be high if you have a bad credit record in the past. Bankruptcy, foreclosures, and bad payment history will certainly have a negative effect and hence these points are needed to be considered if you looking to insure your car. Along with factors such as age, driving history, geographical location, and type of vehicle, your credit history is also a crucial factor.

There might be several reasons for checking your credit scores. The credit information they gather helps them to understand your behavior and financial status. In addition, it is assumed that people with better credit history are likely to follow the rules and guidelines than people with bad credit score. The companies that rely on your credit history will definitely provide better options or discounts on your premium. Credit history is certainly an important aspect in getting best deals and hence you must be careful in order to maintain your credit history clean right from the start of your career.

Searching for insurance companies that do not rely on credit score is a tough job. Even if you find one you will be charged with high premium rate and hence it is always wise to maintain your credit score. Many insurance companies will directly gather your credit information without your permission. This is a reasonable procedure and the state laws allow them to do so. The only thing you need to provide is your correct information in order to avoid further confusion. Never provide the incorrect information because the credit reports might affect your premium rate.

The insurance industry is growing fast and many insurance companies are offering the best rates even for people with bad credit scores. This does not mean that you will be granted the discounts right away. You will need to work hard and pay your premiums on time in order to increase your credit level. The policy can be discontinued in case of non-payment and hence will have a negative effect on your credit scores. Plan your budget properly and get quick car insurance quotes that are affordable and suit your monthly budget. Never hesitate to seek help of the professionals because your goal is to improve your credit history in the near future.