Dentists' Provident Society - Income Protection Claim Statistics

Dentists' Provident Society - Income Protection Claim Statistics
If you are a dentist, it's likely that you've taken out
income protection insurance (also referred to as permanent
health insurance). In fact, you may have even claimed on
your policy.

During the last few years many of the leading insurers have
been releasing their claim statistics for critical illness
cover and income protection. This information is very
useful to know as it gives you an insight to what
policyholders are claiming for, and also peace of mind in
knowing that the insurance actually pays out!

Let's look at the statistics from DPS.

Established in 1908, Dentists' Provident Society is the
leading provider of income protection insurance to dentists
in the UK and Ireland.

They serve over 13,000 members and as they specialise in
dealing with members of the dental profession they have
been able to compile detailed information to demonstrate
the value of income protection insurance.

Highlights:

- In 2006 DPS paid claims totalling £2.7m

- On average, they paid 121 claims each month

- The largest claim in 2006 amounted to £32,100
(average £1,893)

- On average, 11% (1,456) of their insured members claimed
benefits in 2006

- The average age of claimants was 43

- The average duration of short term claims in 2006 was
just under 4 weeks

Let's look at some examples of claims in 2006:

Male - age 49 - Stroke - 11 years claim duration -
£116,730 paid (to end 2006)

Female - 54 - Spondylosis - 1 year - £33,858

Male - 56 - Torn tendon - 1 month - £2,700

Male - 38 - Depression - 4 years - £162,400

Female - 28 - Back strain - 2 weeks - £1,500

Male - 25 - Renal disease - 1 year - £19,200

As you can see, the reasons for claims are varied, and many
of them would not have been eligible for a claim under a
critical illness policy.

The good news is that as DPS are a mutual organisation,
they do not have any shareholders and are run solely for
the benefit of their members. Their claims philosophy is
based on the principles of fairness, honesty and sympathy.
In fact, out of the 1,456 claims in 2006, only an
additional 4 resulted in claims-related complaints.

DPS New Contract

As you may be aware, Dentists' Provident Society revamped
their income protection plan at the start of 2008. This has
resulted in a myriad of new options to consider. One of the
main changes is that you are now able to set up your cover
with inflation protection.

It is more than likely that if you are an existing DPS
member your current plan will be set up on a level benefit
basis or reducing benefit.

What you can do now is contact DPS and ask them to provide
you with a quote for one of the inflation protected plans.
Do take care with this though, as there are different types
of the inflation protected version!

Just making this one simple change to your cover could make
a huge difference if you need to claim over the long term.

Key Considerations:

Income protection should really be seen as one of the most
important types of insurance that you can hold. After all,
if you are unable to work for a number of years it's more
than likely a lack of income will have a big impact on your
life.

Why take the chance?

ACTION POINT

Take the time to review your existing level of income
protection and ensure you have enough cover in place to at
least provide for your monthly essentials. Either do your
own research or speak to a specialist who can help you
choose the right package.

----------------------------------------------------
Ray Prince is an Independent Financial Planner with
Rutherford Wilkinson plc, and helps UK Resident Doctors and
Dentists get the best deals on mortgages, protection and
investments, as well as helping them achieve their
financial objectives. Just visit
http://www.medicaldentalfs.com to get your free retirement
planning guide. Rutherford Wilkinson plc is authorised and
regulated by the Financial Services Authority.

How the Increase In Foreclosures Hurt Everybody

How the Increase In Foreclosures Hurt Everybody
Think that the increase in foreclosure rates doesn't affect
you? Think again.

Even if you are not in danger of loosing your home to the
foreclosure crisis, you stand to lose a lot more than you
bargained for.

The numbers are staggering. According to RealtyTrac,
Nevada has the highest foreclosure rate, one in 54
households received a foreclosure notice in the first
quarter which is 3.6 times the national average.
California had the second-highest rate, followed by Arizona
the third.

The numbers pretty much speak for themselves, with 243,353
receiving notices in April. This is a vast increase from
April 2007, when "only" 147,708 homes received the same
notice. This was also a 4% increase from March. The numbers
are based on a report from RealtyTrac Inc.

Foreclosures are on the rise due to an increased number of
speculators who bought homes assuming that housing prices
would increase indefinitely and due to shady sub prime
lending practices. Without swift and decisive action,
foreclosures they will continue to rise.

Why should you be concerned with the rise in foreclosure
rates?

The trickle down effect of foreclosure can also have a
serious impact on your community. One foreclosure can ring
up as much as $34,000 in local government agency bills.
Trash removal, unpaid utilities, sheriff and police costs,
inspections and potentially even demolition of the property
all contribute to that cost. Property values also decrease
near foreclosed properties. In some housing markets, up to
$220,000 in reduced property value can be expected

Crime is common effect of rising foreclosures. Foreclosed
homes are usually looted hours of being vacant. Aluminum
siding, gutters, doors, windows, molding, appliances and
basically anything else of value is stripped from the home
and sold for profit. These homes are typically wrecked in
the process as well, with looters using sledgehammers to
break through walls to remove valuable copper wiring. With
windows and doors removed, houses are open to the elements.
Many abandoned houses become dumping grounds for people
that don't want to pay for trash removal.

We all have a responsibility to act aggressively to help
families stay in their homes and to stem the tide of
foreclosures that continues to serve as a serious drag on
our overall economy.

If you know somebody - a friend, a family member, a
neighbor - that is facing foreclosure, don't just turn the
other way and ignore their problem. Their problem could
soon become your nightmare. There is help available for
anybody facing foreclosure. Until Congress acts to remedy
the situation, there is legal assistance available, and
some lenders accept some sort of financial forbearance
including skipping a payment, extending the grace payment
for making late payments, or accepting reduced payments.

----------------------------------------------------
Are you facing foreclosure? Our service can help you stop
foreclosure and get you current on your mortgage. Visit
http://stop-home-foreclosures.org to start.

Avoid UK Tax Problems By Knowing What Business Expenses Are Disallowed

Avoid UK Tax Problems By Knowing What Business Expenses Are Disallowed
The costs of goods, materials or services purchased by a
business which are for private use are not allowable for
tax purposes. The disallowed element also applies to goods
and materials bought for business use which are
subsequently used for private use.

Payments made by the business for none business work are
not allowed.

A limited company can claim the wages and salaries of
directors as a valid business expense. If the business is
self employed then the proprietors own wages and drawings
are not allowable as business expenses as such costs are
distributions of the net taxable profit and not deductions
from it. Also included in this category of disallowed
expenses relating to the proprietor wages would be national
insurance contributions, income tax payments and pension
contributions

Pension contributions are an allowable personal expense
which the small business owner would claim as tax
deductible from the overall tax burden but not in the self
employment accounts.

Motoring costs are a specifically defined area of non
business expenses. Private use of the vehicle which may be
used for business purposes is not allowed for tax purposes.
Also disallowed are motoring fines including parking fines,
any legal costs involved. The capital cost of buying
private vehicles is not an allowable expense and also
disallowable are travel costs from home to place of work
and meals not associated with business travel.

The cost of any non business premises or non business part
of the premises is disallowed for tax claims. The capital
purchase price of premises is not allowed as a tax
deduction as such purchases are treated as capital assets
and subject to the tax rules applying to fixed assets.

Repairs of non business parts and equipment are not allowed
as claims against tax liabilities. Costs of improving or
altering premises or equipment are not allowed as tax
deductions as these costs are added to the fixed asset
costs and claimable under the capital allowance rules.

Non business use including private use of telephones, faxes
and computer equipment and other hardware items are
disallowed fore tax purposes.

Entertainment expenses of clients and suppliers are not
allowed for tax purposes. Also disallowed are expenses
incurred for meals of non employees who accompany the
business owner on business trips unless that person has a
valid business reason for being on the trip. Hospitality is
generally not an allowable expense although entertainment
of employees at Christmas or special events is allowed
within restricted financial limits.

The capital element when repaying loans, overdrafts or
other financial arrangements are not allowed as business
expenses as these items are balance sheet items and not
profit and loss items, the profit and loss being the
calculation of the net taxable profit.

Bad debts represent an area where specific rules apply.
Specific identified bad debts are allowed for tax purposes
but general bad debts where a percentage is applied to the
sales value as likely to become bad debts is not allowed as
a tax deduction. Debts which have not been included in
sales turnover are not allowed as such debts have not been
accounted for and also bad debts on fixed assets are not
allowed as the loss is accounted for in the capital
allowances calculations.

Legal costs of buying property or equipment are not allowed
for tax purposes as such costs are treated as capital
expenditure and included in the purchase price of the asset
and subject to capital allowance rules for reclaiming
allowances over the life of the asset. Costs of settling
tax disputes are not allowable and also fines imposed upon
the company bare not allowable tax expenses.

Depreciation of fixed assets is a management decision and
not allowable for tax purposes. If depreciation is deducted
from the management accounts to report the net profit for
tax purposes the depreciation is then added back as the
allowable tax claim is the capital allowance applicable to
those capital fixed assets. Same with profits and losses on
the sale of fixed assets which are accounted for under
capital allowances.

Specific work uniforms and clothing is allowable whereas
ordinary clothing albeit suitable for the work being
carried out is not allowable.

Small self employed business may not claim donations to
clubs, charities, associations or political parties are not
allowed for tax purposes. Subscriptions to trade
associations which could be connected to the business
objectives would be allowable as being for business
purposes.

----------------------------------------------------
Terry Cartwright, accountant and CEO at DIY Accounting,
designs accounting software
http://www.diyaccounting.co.uk/smallbusinessaccounting.htm
on excel spreadsheets providing complete single and double
entry bookkeeping systems
http://www.diyaccounting.co.uk/bookkeeping.htm

How to Avoid Private Mortgage Insurance

How to Avoid Private Mortgage Insurance
In order to buy a home you must have a 20% down payment,
which is difficult for many potential home buyers. Then
they are forced to pay private mortgage insurance, or PMI,
to be able to buy a home. Private mortgage insurance
solves the down payment problem but creates two new
problems. Your monthly payments will be larger and on top
of that it is not tax deductible. Fortunately, there is
more than one way to get your desired home without having
the 20% down payment and avoid PMI at the same time.

A borrower can buy a home with a down payment of 3-5% with
private mortgage insurance. This is also good to give the
lender insurance if the borrower defaults on the loan. PMI
payments can be large amounts so soon the borrower begins
to want to rid himself of those payments. The Homeowners
Protection Act has rules for suspension and cancellation of
PMI when 22% equity is reached in the borrower's home.
Those rules exclude government-insured FHA or VA mortgages
which may be at high risk to default.

Piggyback loans are a way of taking 80% of the sale price
of a home on a loan or a first mortgage and then taking a
second mortgage of 5%, 10%, or 15%. This is a very popular
way of avoiding private mortgage insurance. Second
mortgages have higher rates, but the borrower may end up
saving money because the loan payments are tax deductible
and PMI payments are not. A combination of 80% first
mortgage, 5% second mortgage and 15% down payment is
referred to as 80/5/15. Accordingly, the other two loan
combinations are 80/10/10 and 80/15/5.

With many borrowers going to piggyback loans to avoid PMI,
a solution by the mortgage industry was introduced that it
claimed lowered monthly mortgage payments to the same or
lower level as a piggyback loan. With this option
homebuyers pay a single premium on their insurance and it
is amortized over the term of loan. One of the pitfalls of
this solution is that few lenders offer this option or work
with the PMI structure.

Which loan you choose is entirely dependent on your
individual case. You use all the tools at your disposal to
make an informed decision. Paying the private mortgage
insurance could possibly be a better solution than choosing
to avoid it with a second mortgage. The disadvantage to
loans with no PMI is that they can have higher interest
rates. After making all the necessary calculations, you
should carefully consider your options and try to make the
best choice for yourself.

----------------------------------------------------
Peter Kenny is a writer for The Thrifty Scot, please visit
us at http://www.thriftyscot.co.uk/Loans/ and
http://www.thriftyscot.co.uk/credit-cards/

Joint Loans Can Be A Wise Alternative

Joint Loans Can Be A Wise Alternative
Joint loans are those that allow two or more parties like
married couples or partners or family members to apply for
a single loan jointly. If one person is refused a loan
because their credit rating or the assets for collateral
are not appropriate for approval, the joint loan may be a
good option.

The application for a joint loan involves the combination
of annual salaries or the amount of monthly incomes and
this increases the possibility of approval of the loan
request. If there are more assets involved in the loan
process, you could qualify for more money and better terms.

As with other types of loans, a joint loan may be used for
almost any purpose. A down payment on a home, the purchase
of a new vehicle or a vacation can be some good reasons to
pursue a joint loan. By consolidating financial resources
such as salaries or income levels can make a joint loan
provide a chance to do what you did not have the finances
for at that time.

When other parties are brought into the picture with their
own financial facts to add to the joint loan application
the lender will consider all information in determining the
loan's probability. With any loan, the lender reviews
everything including personal income, employment status,
credit history, and your residential status.

All of this information must be reported in a truthful and
accurate manner. The lender will use their criteria in
making a decision on whether you will be able to pay back
the loan or if there is any risk of default occurring.

If you have a bad credit rating, you may have better
chances to obtain financing through a joint loan account
than on your own. When you apply jointly with a partner
who has good credit you will be in a much better position
to be accepted for a loan. The credit rating is the key
factor in the process of obtaining a loan and in the
determination of the interest rates of any loan

If you apply for a loan and have a low income, the lender
is going to worry about your ability to repay and you will
most likely be turned down. If your loan application
includes a combined income amount, the lender will feel
more secure about the loan being paid off.

It must be remembered by all those involved that the
responsibility of repaying the loan is shared. The
benefits of the joint loan can also be shared. When
someone who has a poor credit rating or a lower income is
involved in a joint loan with someone who is a more
suitable candidate for a loan, the loan will help improve
his or her credit rating. After the loan is paid off, with
no problems, the improved credit rating will make it easier
for the previous non-eligible party to obtain other loans
on their own.

Joint loans may be the best option for married couples when
one has a small income but their spouse has a more
lucrative one. These types of loans can also be of
interest to people who want to form a partnership for
business purposes.

----------------------------------------------------
Gary Milton has written on personal finance topics for many
years and you can find his articles at
http://www.rebuild.org for cheap loans and also
http://www.gitec.org for loans for UK residents.

How To Sell A Timeshare And Go Home With Cash

How To Sell A Timeshare And Go Home With Cash
Don't be surprised if, after some time, you still find it
difficult to sell a timeshare. Selling a timeshare property
is about 180 degrees different than buying one. It's like
night and day: it's easier to buy than it is to sell a
timeshare. It's easier to sell a haunted house too.

Timeshare Vs A Haunted House

We're not going to be shy about it. Between an agent who
sells a timeshare property and a haunted house, who do you
think will close sooner? Of course it's the haunted house
agent. Why? It's because houses are always a necessity.
People will always need a roof over their heads. Haunted
houses, in addition, are hauntingly and eerily attractive.

Timeshare property, on the other hand, is a luxury no
matter how you look at it. Notice the sales pitch: you have
an opportunity to stay at a luxury hotel for the price of a
cheaper hotel. People invest in timeshare property because
of the intangible rewards of an extended vacation.

Why People Want To Sell

People sell their timeshares for a host of reasons. Some
need the money for something. Others feel they're just not
enjoying the full benefit of a timeshare property.
Timeshare salespersons will never tell you about the more
sobering realities of timeshare property. It's easier for
you to buy a timeshare than it is to re-sell it.

But selling your timeshare really doesn't have to be that
bloody.

It all begins in the mind. You should always think that
your timeshare is an easy sell, that it is easy to sell.
Start selling your property at the most realistic price.
Show to your buyers the value of buying a timeshare from
you rather than buying it from the resort.

But of course, nobody is ever going to buy from you unless
you tell people that you're selling a timeshare. Don't let
the lack of sales experience hinder you. There are
certainly other ways that you can exponentially increase
your audience: spread the word to your contacts, advertise
in a classified ads, or get listed with timeshare listing
companies.

The best avenue so far is to list with the timeshare
listing companies. They may charge you a fee, but rest
assured, you will have a ready audience of buyers as soon
as you get listed. The very best listing companies would
have resort directories on their websites, which would have
pictures of the timeshare resorts. (The first thing your
potential buyers would want to do is to see pictures of
your resort and its surroundings.) This is as close as
anyone can get to an ocular inspection.

Be ready to accept offers to buy your timeshare, and don't
forget to close the deal too. If you're not an experienced
closer, there are timeshare closing companies that are
professionals at what they do. They will save you a lot of
time, and they will save you a lot of hassle, from doing
all the paperwork related to the closing of your sale.

----------------------------------------------------
How To Sell A Timeshare: Timeshare Adventures is the
premiere marketplace for selling, buying and renting
timeshares. Find your dream timeshare resort or find a
ready buyer or renter for your timeshare. Timeshare
Adventures features a resort directory, so you can better
choose a resort at
http://www.timeshareadventures.com/sell-timeshares.php

Equipment Leasing Advantages and Benefits: The 6 Biggest Secrets of Equipment Leasing

Equipment Leasing Advantages and Benefits: The 6 Biggest Secrets of Equipment Leasing
An equipment leasing decision can be the best alternative
for small businesses when weighed against paying out a
large sum of cash or going to the bank for a loan to
acquire or upgrade equipment. Having your cash reserves
invested in equipment makes you asset rich and cash poor.
Cash poor companies cannot respond to changing market
conditions or take advantage of new opportunities.

Today, more than 80% of all U.S. corporations lease some or
all of their equipment. It is the use of equipment, not
ownership of equipment that generates profits. This simple
precept explains the rise of equipment leasing activity,
especially as equipment life cycles shorten in this
high-tech age. Whether opening a new business, expanding
existing facilities or opening an additional location, the
method you choose to acquire equipment can have a profound
impact on your business, credit and cash flow.

Secret #1:

Nearly any type of business equipment can be obtained
through equipment leasing. With a lease, you can specify
the manufacturer, the model number, even the source. You're
covered by all conventional manufacturers' warranties. And
because lease payments are usually lower than other forms
of financing, your leasing dollar allows you to acquire
more of the equipment your business needs or more advanced
equipment. With an equipment lease, you get 100% financing
so the amount of cash needed up-front is reduced. Most soft
costs can be included: delivery charges, installation,
training, and software to ensure that the equipment is
productive immediately, speeding your return on investment.

Secret #2:

Bank loans can be dramatically more expensive than
anticipated because of the large security deposit that is
required. Typically, a bank will want 20% to 40% as a down
payment for equipment. The result is that the stated APR
and the effective APR are extremely different. A stated 8%
bank rate with a 25% down payment is actually equal to a
21% APR on a five year loan.

Secret #3

Even if you have the cash to purchase your equipment,
purchasing is rarely, if ever, the best choice. With
equipment leasing, cash can be used for other business
requirements such as expanding sales, starting new
marketing programs, offering quantity discounts,
replenishing inventories, opening a new line of business,
or increasing cash reserves. Using cash for necessary
business expenses that cannot be financed is much more
intelligent decision-making than spending it on equipment
that is worth less and less as time goes by. If you decide
not to lease you will have to come up with the entire
amount for a cash purchase or a sizeable down payment, as
well as higher payments for traditional financing.

Secret #4

With the lower, fixed-rate payments of an equipment lease,
you're protected against inflation. Cash outlays are
deferred, as compared to an up-front purchase. Inflation
will then lessen the cost of future lease payments, since
the payments will be made with "cheaper" dollars. You will
be making your monthly payments to the leasing company with
ever-inflating dollars during the term of the lease. This
actually reduces the cost of financing to you in real
dollars, a tremendous advantage that is often overlooked.

Secret #5:

Leasing equipment offers a wide range of benefits, from
consistency with expenses to increased cash flow. But
perhaps the most significant advantage of leasing is the
ability to maintain up-to-date equipment. Leasing allows
you to easily and affordably add equipment or upgrade to a
completely new piece of machinery to meet future needs.
This lets you transfer the risk of being caught with
obsolete equipment to the leasing company.

Secret #6:

With the scheduled updating of your business equipment
offered through equipment leasing, you can maintain a
competitive edge, keeping you ahead of your competition.
With an equipment lease, upgrading to newer technology
during or after the lease is easy. In contrast, when
equipment is purchased with cash or bank financing, there
is an incentive to postpone any upgrade until the original
investment has been recouped through depreciation, which
hinders your flexibility. A planned replacement program
avoids obsolescence and keeps you up to date with the
latest state-of-the-art technology. In addition, ownership
has an often-overlooked disadvantage - equipment
disposition. The costs of removal, environmental fees (in
the case of some types of equipment, such as computers),
and remarketing, which under the terms of outright
ownership can be significant, are avoided with leasing.

In summary, there are many "Secrets of Equipment Leasing"
that require significant research to uncover. These
"Secrets" can be determining factors in the survival and
profitability of any business enterprise. As such, they
warrant in-depth consideration to determine their potential
contributions to every individual equipment acquisition
situation. Nearly 100% of the time, bank loans and cash
purchases are always significantly less beneficial and less
advantageous than equipment leasing.

----------------------------------------------------
Milton Franklin, is a Founder of Nationwide Equipment
Leasing LLC, an equipment leasing company that also offers
Unsecured Business Lines of Credit. His company provides
solutions to the current economic and financial crisis in
the United States He can be reached at 800-395-4908. Go to
http://www.neleasing.com/application-form.cfm and request
Leasing Information to receive a free copy of his eBook,
"Secrets of Equipment Leasing".