Risk Management for Dentists

Dentists, like physicians and surgeons, have an increased risk for malpractice lawsuits. However, if you run your dental practice with risk management in mind, you can significantly reduce this risk with simple everyday procedures. And as it turns out, these procedures can also keep your practice more organized and enhance your patient care. Sounds like a win-win! Let’s take a look at some of the risk management tips that you can introduce to your practice:

• Keep detailed, accurate and up-to-date records for each of your patients. Include medical and dental histories, diagnostics, patient authorization if copies of records (never the originals) are released from your office and informed consent or refusal for any treatments.
• A satisfied patient is less likely to file a claim against your practice. Improve patient comfort by providing a soothing atmosphere, thoroughly explaining treatments that patients will undergo and ensuring that patients have reasonable expectations regarding treatment outcome before beginning any dental work.
• Examine your patients for signs of oral cancer and TMJ. Record any findings, positive or negative.
• Never conceal information from patients. Inform them of any signs of dental problems or bad outcomes immediately following examination and/or treatment.
• When doctor-patient relationships come to an end, send the patient a letter or email that acknowledges the termination. You may also choose to offer tips for recommended at-home dental care and information about obtaining a copy of his or her dental record.

Prevention is the best medicine, for both patients and doctors. In your case, preventing patients from finding a reason to claim malpractice is the best way to protect your livelihood and reputation. Of course, as a doctor, you’ll never be completely free of risk. Ask your local agent about dental practice insurance, which is designed to cover the unique needs of dentists.
Protect your practice with specialized coverage. Call Alexander & Strunk Inc. at (405) 751-8356 for more information on Oklahoma City dental practice insurance.

Family Protection with Life Insurance

A personal insurance policy is there to cover the cost of the unexpected, but it also provides people with the peace of mind in knowing that financial matters will be taken care of when life’s nasty surprises suddenly rear their ugly head. Of all the different types of personal insurance currently available, it is perhaps life insurance that pulls at the heart strings the most. A sudden death can leave dependent relatives vulnerable, but life insurance can ensure that loved ones are looked after financially when an income is suddenly lost. There are a number of factors to consider before buying the best insurance policy for your needs.

How Much Insurance Coverage Do You Need?
The more coverage you require, the more expensive your premiums will be, so it’s important to gauge your liabilities and purchase only the amount of coverage you need. If you are the main earner in your household, you will want to know that your mortgage is taken care of, your children are looked after until they grow up and any outstanding financial liabilities are paid off. You should consider taking out a policy that will pay beneficiaries at least seven times your annual salary. It is also good practice to assess your life insurance needs once a year. You may not realize it at the time, but growing incomes can lead to higher debts and higher standards of living.

Read more on finding the best life insurance policy for your needs. If you are currently considering Oklahoma city life insurance but are unsure of which type of policy is best for your specific circumstances, call us at 800-375-8356, and we’ll talk you through your options.

Convoluted Dental Practice Liability Insurance Questions

The classic vision of a dentist is someone who hands out toothbrushes and floss to kids during their bi-annual check-up. However, as the sophistication of dentistry increases, so do the expectations and, as a result, the risk of malpractice claims.

Modern dentists face the same type of malpractice claims as doctors. Malpractice claims can result from:

• Medication and anesthesia errors
• Incorrect diagnosis or failure to detect a serious condition
• Failure to fully inform patients of potential costs
• Failure to properly chart client options and choices

A failure to properly chart client options and choices can be particularly hazardous to dentists. For example, a patient in severe pain may choose an extraction instead of suffering through more extensive reconstructive procedures. At the time it may seem like a logical choice. However, weeks or months later, the patient may not like how the extraction looks and blame the dentist.

Documentation is critical. Good charts can save a dentist from an expensive malpractice claim. Professionals recommend keeping track of treatment plans that are rejected by a patient, either through treatment management software of by hand-written notes.

Managing expectations is also key. Adults who want the same bright smile they had in high school are more likely to become disenchanted with a drawn-out, complicated and expensive treatment regime. Laying out costs and realistic expectations in a written treatment plan early on can help avoid complaints when the work is finished.

Even with detailed charting, malpractice claims can occur. It is vital that dentists have malpractice insurance to protect themselves financially against claims. Typical dental malpractice insurance has graduated levels. There are policies for students, first year professionals and full professionals. A dentist who gets insured early in his career and establishes a record of solid record-keeping and claims history, may find his rates remain more stable through his career.

Dental Practice liability insurance is a cost of doing business for any professional and must be factored into the potential cash flow of a practice. Dental practices also must consider malpractice insurance for hygienists and care managers, as well as dentists. Call us at 800-375-8356 to discuss your Oklahoma dental practice insurance needs.

Personal Liability Umbrella Insurance

The United States has seen 512,000 federal civil lawsuits, according to Statistics Brain. While only two percent of these cases went to trial, the sheer amount of lawsuits filed shows a trend toward a litigious society. Homeowners insurance and automobile insurance cover the majority of cases that would cause an individual to get sued. However, these insurance policies do not have an unlimited payout if the court rules that you're held liable for damages. After the insurance company cuts you off with a lifetime limit, your personal assets are at risk of being taken to fulfill a lawsuit judgement. A personal liability insurance policy covers the gaps that other insurance plans leave open. It's commonly called an umbrella policy, as it is an overarching coverage that fills in the protection gaps.

Personal Liability Insurance Pros
An umbrella insurance policy is available at $1,000,000 and higher in coverage. This additional coverage extends over any other policies that you hold, increasing the total liability by the amount of the umbrella policy. Your future earnings and assets are protected from civil lawsuits with this policy, as you won't have to worry about not having enough insurance coverage for any claims. You'd never want to run into a situation where you didn't have enough coverage, you got sued, and you and your family ended up homeless and without a penny to your name. This type of insurance also covers certain types of lawsuits that other insurances don't protect you against, such as those involving businesses that you run, false arrest, and slander lawsuits.

Should you Get Personal Liability Insurance?
Personal liability insurance is useful to have, but if you're running on a limited budget, you can determine whether you have enough risk factors to require this coverage. You also have to factor in the top premium on your existing insurance policies. Many umbrella insurance companies want you to maximize the amount of coverage you get from your policies before you add on additional protection.

You might not think that you are particularly at risk to be sued. Maybe you don't own a car or a home, and you don't run a business. However, that doesn't prevent you from causing an accident, such as one that makes a doctor unable to work for several years. A severe car accident could cause him to lose full function of his hands, make him unable to stand for long periods of time, or cause other injuries that make it impossible to do his job without extensive physical therapy. If he sues for lost wages, you're going to be hit with significant financial losses. Unexpected situations can happen at any moment, and in a sue-happy legal environment, it's safer to get as much protection as possible.

To learn more about the advantages of getting Oklahoma City personal liability insurance, give us a call at 405-751-8356.

Insurance Tips for Homeowners for the Summertime

Summer is the time for kicking back, soaking up the sun, and having fun with your friends. However, summer can also give rise to some less-desirable effects on your insurance policies. To avoid being stung by an unexpected insurance issue that could leave you out of pocket, take a few moments to familiarize yourself with the top five ways in which the arrival of summer can have an impact on your insurance policies.

Heat Waves During the summer, temperatures rise. Not only will you feel hotter, but your home and your vehicle will also be affected by the heat. One consequence of summer heat is that household air conditioners are forced to work overtime in order to keep the inhabitants cool. This increased use will put a strain on the air conditioner, increasing the likelihood that it will break down. To avoid being faced with a repair bill that you simply cannot afford, you should make sure that your air conditioner is covered by an insurance policy. It would also be a smart move to carry out some routine maintenance on your air conditioner to decrease the likelihood of the unit breaking down and necessitating an insurance claim. Choosing to take preventative action rather than waiting for a breakdown and then claiming on an insurance policy could help to keep your insurance premiums low.

Thunderstorms The other weather condition to watch out for in summer is thunderstorms. Summer storms can lead to flash flooding, which can wreak devastation on homes and other properties. Most home insurance policies do not cover flooding, so you may need to take out a separate flood insurance policy to cover you against this summer weather hazard.

Summer Travel Summer is traditionally the time of year that people take a vacation in another part of the country or even overseas. If you are traveling abroad, you need to organize travel insurance before you leave. Even if you are traveling within your own country, you should check which hospitals you can use in the area where you will be traveling. Many health insurance policies require you to use particular hospitals, so make sure you know which ones are allowed on your policy before you travel.

Road Conditions The hot summer weather can worsen the state of the roads. The road surface can crack in the heat, leading to potholes, which can cause serious damage to a vehicle that drives over them at high speed. Although most insurance policies cover pothole damage, you might find that your premiums rise as a result of your claim. The best way to limit the damage caused by potholes is to reduce your speed when driving.

Summer Activities Summer brings many exciting opportunities for having fun in the sun. From swimming to skydiving, summer is the time to try a new activity, but before you dive in, check that you have the necessary insurance coverage in case something goes wrong. Standard travel insurance policies do not cover all activities, so you may need to take out extra sports insurance or upgrade to a more comprehensive travel insurance policy.

For more information about insuring your home and family this summer, call 800-375-8356. You can get a free Oklahoma City home insurance quote for any extra insurance you need to keep you safe this summer.

The difference between Single and Joint Life Insurance

The decision on whether single life insurance is better than joint life insurance is not a straightforward one. Although many people choose between single and joint insurance based on cost, in reality, the savings may end up being negligible when the unexpected happens. There are many different ways to look at the matter. Insurance decisions vary between different circumstances.  These circumstances include:

- a single professional in a committed relationship with another single professional;
- both partners in a marriage work in full-time careers;
- you belong in a more traditional marriage where one spouse is a higher income earner while the other takes responsibility for home and family.

In addition to the nature of your relationship, other factors include whether you have dependents or a joint business or if critical illness is present. Learn more about single vs joint life insurance. 

People are complex and we live complex lives in which things don’t always turn out as expected. When it comes to life insurance, the possible outcomes are many and varied, and there are different insurance policies to help you adapt to these eventualities. Your insurance professional can help you make the life insurance choice that is right for you. Contact us today at 405.751.8356 and to get an Oklahoma City life insurance quote.

Comprehensive Dental Practice Insurance

Dental practice insurance is a necessity.  It is not something a dentist should debate whether or not to have. In fact, the earlier a dental practitioner insures his practice, the better. Those who wait until they need insurance are seldom able to buy it. A typical dental practice faces different risks such as unforeseen disabling illness, malpractice suit and others. Since it is not easy to pinpoint the risks that will befall a dentist, it makes sense to insure against as many risks as possible. A comprehensive dental practice insurance is the best option to go for since it covers everything (nearly) a dentist might need such as malpractice, disability, workers compensation, facility and office overhead insurance. Learn more about the different types of dental practice insurance coverage.

Home Insurance Market Value versus Replacement Cost

When purchasing home insurance, one of the most important decisions you have to make is whether to accept a policy offering market value or replacement cost. No one wants to have to file a claim with his insurance provider. However, there are instances in which you may need to do so. This particular decision revolves around how the claim value will be determined. It can make a big difference in the amount the insurance provider presents to you for your claim. 


What Is Market Value?
Market value is a term describing the value of something now. In short, if you were to sell your home today, how much would you get for it? It takes into consideration many factors including increasing or falling property values.

Benefits to market value include the following:

• It is a practical option for many.
• This is a more affordable option.
• It pays what your home is worth right now, not taking into consideration purchasing very specific types of wood or managing the details of the cost to rebuild the property.

If you have a historic home or you have very specific, valuable components to it, this option may not be right for you. If your home is valued about the same as any other on your block, this makes sense.

What Is Replacement Value?
On the other hand, you may want to select replacement value. If you were to lose your home (or the specific covered item in your policy), this policy would pay whatever the cost is to have it repaired and to rebuild your home after the loss. In a worst-case scenario where there is widespread damage, how much will it cost to replace your home or that item?

Click to read more on the benefits of replacement value.

Are you unsure of which option is right for your home? Give us a call today to find out how we can help you. Contact us at (405) 751-8356 today or get a Oklahoma City home insurance quote online.

Personal Insurance Do's and Don'ts

Many of us don't want to think about what would happen if we suddenly lost our job, became medically disabled, or tragically left loved ones to behind suddenly to fend for themselves. Personal insurance provides a safety net for you and your family in the event of such misfortunes. Knowing what to do and what not to do when deciding on the right policy can save time and money now, and assure a hassle-free experience if the worst should happen.

Let's take a look at what personal insurance is. This type of policy comes in 4 basic categories:

Income Protection
This type of insurance provides payments to you in the event that you become disabled or are otherwise unable to work.

• Do: Be sure the policy you are purchasing will provide enough income to cover any mortgage payments and monthly obligations that are imperative for you and your family's monthly needs. 
• Do Not: Choose your plan just because it is the cheapest. Be sure the benefits are what is needed to live and cover important bills if you become unable to work.

Permanent Disability Insurance
This coverage will pay a lump sum in the event that you suffer an accident or injury that prevents you from being able to work in the future. Don't count on Social Security Disability Insurance to cover your expenses as 65% of initial SSDI claim applications were denied in 2009.

• Do: Be sure to get enough coverage to not only replace your current income, but also enough to cover future medical costs and pay any outstanding bills. Your insurance agent can recommend the plan that fits your situation the best.
• Do Not: Forget any possible expenses that are necessary for you to live, if you become permanently disabled.

Illness/Injury Insurance
This type of personal insurance provides a lump payment if you suffer a sudden major health issue such as a stroke or heart attack. This would be an option if you are ineligible for income protection insurance due to being presently unemployed.

• Do: Remember that this type of policy is not just for older or at-risk people. According to The Center for Disease Control, nearly 600,000 people die of heart disease in the United States every year. Many die because they lack the money to get adequate treatment due to unemployment.

Life Insurance
Life insurance is essential for those of us who are married, raising children, or have people depending on us financially. The coverage amounts vary from policy to policy but a lump sum payment is made to the beneficiaries you choose if you pass away.

• Do: Be sure to have a policy that pays enough to pay off all existing debts, funeral expenses, and enough left to take care of your family's needs. According to J.D. Powers and Associates, studies of widows and widowers whose husband/wife died young (between the ages of 30 and 55) shows that less than 25 percent thought their spouse had enough life insurance coverage.
• Do: Shop around and compare plans. Ask questions and understand the policy before you finalize any type of insurance coverage.

For more information on which Oklahoma City Personal Insurance policy would best benefit you, give Alexander & Strunk Insurance Professionals a call at 405-751-8356.

Can Having Bad Credit Affect Your Insurance Quote?

Having bad credit not only penalizes you from getting mobile phone contracts, obtaining a mortgage or getting a great interest rate on a car loan, but it also increases your insurance premium.  Bad credit shows lenders and suppliers that you have a habit of defaulting on payments or bad spending habits, which puts them at risk.  Because of this risk you are often penalized by having to pay higher than normal interest rates or you may be denied financing and funding altogether.  This is no different when obtaining insurance quotes.  Home Insurance, health Insurance and car insurance quotes are all affected by credit risky behavior.

How Insurance Companies Calculate Your Premium
According to CNN Money, how insurance companies calculate your premium has been a long kept secret; however,  90% of home and auto insurance carriers use a score based on your credit report as part of that secret.  It is important to note that the credit score used to determine your premium is not just your traditional score given by the three credit bureaus.  Your credit score along with other information is used to calculate what’s called an insurance credit score.  This insurance credit score determines how much you'll pay per month for your car insurance.  Good driving habits, no accidents and a low amount of claims on your policy can help improve your insurance credit score, which will lower your premium for the next term, should you decide to go with the same insurance company again.

Why Your Credit Score is Taken into Consideration
Businesses use your credit score to determine how likely you are to simply pay your bills on time.  Other companies use your credit score to determine your credit risk and how likely you are to repay monies loaned.  If you have small marks on your credit report such as defaulting on a hospital bill or having libraries fines, this may not give you " bad credit," with an insurance company; however, a credit report that contains bankruptcies, loan defaults or unpaid utility bills will negatively impact your insurance credit score.

Another form of credit which is often overlooked by consumers, but not by lenders or insurers is Chexsystems. Chexsystems is a credit bureau used by banks and other financial institutions to report bounced checks, accounts closed with negative balances, and other charges related to FDIC insured institutes. Chexsystems is referred to as a “bank's blacklist”.  If your name is on this list, you may be denied bank accounts, loans and in some cases insurance.  However, insurance companies understand the need to be insures, so they will often extend insurance albeit with the penalty of having to pay a higher than usual premium.

For more information about an Oklahoma City insurance policy, call an Alexander & Strunk agent today at 800-375-8356.

Auto Insurance For Teenage Drivers: How to Minimize It

Teenagers are excited about getting their independence when they pass their road tests. As a parent, however you may be stressed about including your kids on your auto insurance policy. Oklahoma City Insurance companies usually view teenagers as high risk drivers due to their lack of experience and perceived incompetence behind the wheel. Teenagers are often adventurous on the road; they may want to try stunts they have seen in movies or on television. Insurance companies know this, that is why your premiums will increase when your teenager starts driving. Fortunately, there are several factors you can control to minimize the raise in premiums when you add teens to your insurance policy.

Type of Vehicle

Teenagers often like customized, fast and sporty vehicles. These teens enjoy speeding which is exactly what makes them high risk drivers. Insurance companies on the other hand, hate seeing teenagers in fast vehicles. The faster the vehicle, the higher the chances of an accident. Think twice before buying a sports car or other turbo-charged vehicle since your insurance premiums will shoot up. In addition to worrying about premiums, you should ensure that your child drives a car which is even safer than yours because teens are more likely to get into accidents due to their lack of experience and willingness to take risks.

Driving History

Insurance companies favor drivers with clean driving records. If your teenager causes any type of accident, your insurance premiums will rise. Your premiums will also go up if your child gets speeding tickets because breaking driving laws can increase the risk of accident. Teens who have few to no driving related incidents on their records will be seen as a lower risk, so you'll pay less if your kids keep their driving records clean.

Enrollment in a Teen Driving School

All teenagers should take driver's education in order to lower their risk level. Insurance companies will offer lower premiums to kids who are in these types of programs. The grades your kids get in these classes can also significantly impact the premiums. Insurance companies often award a 25% premium discount to teenagers who score a mean grade of ‘B’ or more in driver's education courses.

Driving Frequency

Your premiums will be higher if your teen drives more frequently because every time an adolescent gets behind the wheel, it's considered a higher risk than if an adult was driving. Thus,  if your child is listed as an occasional driver, your premiums will be low compared to if he or she is listed as a permanent driver. If possible, limit your child's use of the car to occasional drives in order to keep premiums low. If you want your child to be able to drive frequently, take extra safety precautions to minimize the risk to your teen and to your vehicle. You might also want to consider getting separate insurance for your teen driver to save money on your premiums.

There are lots of factors to consider when adding teenagers to auto policies. If you are thinking about getting a vehicle for your teenage driver or adding your child to your policy, call an agent at Strunk Insurance today at 800-375-8356 for a free quote.

Insurance A Brief History

The insurance industry is one that affects nearly every aspect of people’s day-to-day lives. People can have insurance on their vehicles, homes, businesses, properties and even lives. The companies that provide these policies even eliminate risks in some cases, such as is the case when they demand additional safety measures on construction sites or offer incentives for safe drivers. The insurance industry, however, did not just appear overnight. It has had a long and storied past.

Insurance is about distributing risk. Merchants would distribute their supplies, wares and other property across multiple ships when traveling across treacherous rivers. This would reduce the risk of loss if any single vessel happened to capsize.  

Insurance became far more sophisticated in Europe’s post-Renaissance period than it was during its ancient roots.  The current model used by insurance companies throughout the world can be traced to 1680, but it continued to develop in the United States over the years, and at one point before the Civil War, the morally deficient practice of allowing slave owners to insure their slaves became somewhat popular. The 19th century also saw some insurance companies, like New York Life Insurance and Trust Company, expand from insuring just local citizens to the people in the entire region around them. This laid the groundwork for modern national insurance companies.

The Social Security Act of 1935 was the first nationally mandated form of insurance in the United States. The passage of this legislation gave rise to the concept in America that insurance was a valid and even ideal way for people to achieve personal economic security. This paved the way to getting insurance for the millions of people in America who have it. Once the federal government accepted insurance as a positive thing, the rest of the country soon followed.

No one can argue that insurance is a benefit for individuals throughout the world, but people didn’t always have this safety net. We live in a world where it’s just accepted that anyone with financial resources can secure insurance if they wish to, so it’s hard to imagine times when this choice didn’t exist. Thanks to ancient civilizations, however, the constant evolution of insurance continued throughout many millennia to lead to the system that we have in place today.  

People have known for thousands of years that insurance policies are a knowledgeable investment. Take their advice and contact an agent at Strunk Insurance for a free Oklahoma City insurance quote today.

Determining the Importance of Income Protection Insurance

Almost everyone recognizes the importance of protecting homes and cars with quality insurance coverage, but what about protecting the most important asset? Homes are certainly valuable assets, and cars are too, but what income? The ability to earn an income is a valuable asset.

For instance, a 35 year old currently earning around $50,000 a year would easily lose over $2 million in potential earnings if the ability to work suddenly ended. Of course, this figure doesn’t account for regular pay increases or promotions that could easily increase this figure exponentially. For most people, income is the most valuable asset they have.

Every day, workers become disabled or ill and lose their ability earn a living. Major illnesses and accidents can occur without warning, leaving workers without the means to make any money. Of course, major incidents aren’t the only issue workers must worry about; workers can lose out on income for just a few months or a year, which can lead to significant turmoil.

Protecting a Worker’s Most Valuable Asset

It’s important to insure homes and cars, but it’s also important to insure income too. An income protection policy can replace as much as 75% of a worker’s income if disaster or illness strikes. There is usually a waiting period of approximately 30 days before becoming eligible to draw, but it also depends on the type of policy.

Income protection insurance provides the necessary funds for workers to continue paying for mortgage, rent, groceries, and more. Without insurance or another form of income, staying afloat can be almost impossible.

What About Disability Pensions & Sick Leave?

Sick leave is designed to cover short term absences. Most workers only have a few weeks of sick leave available. In extreme cases, it’s unlikely that a worker would have accrued enough sick leave to cover the rest of their working lives.

Some workers believe that disability pensions will meet their needs, but most pensions won’t cover the needs and expenses of most workers. If a worker has a mortgage to pay and a family to support, the income won’t go very far. Additionally, workers compensation comprises a safety net for people who are injured at work, but it doesn’t cover illnesses or injuries that occur off the job.

Why Income Protection is Vital

Workers who suffer an illness or injury leaving them unable to work for more than a few days can suffer greatly. In fact, misfortunes such as these can devastate a family. Financial problems can lead to other life issues and difficulties. Protecting family from needless suffering is one of the reasons why income protection insurance is necessary for most workers. Workers who have the right income protection insurance in place can ensure that income remains steady and that injury and illness don’t negatively impact families more than it already has. Contact an agent at Strunk Insurance today for all things related to Oklahoma City Insurance.

The Difference between Negligent and Intentional Acts

Liability insurance coverage is designed to protect policyholders from the effect of their negligence but generally offer no protection when a policyholder intentionally causes damage to another. This disparity makes it important that you understand the difference between negligence and intentional harm.

What Is Negligence

When an individual causes harm to another because she did not act with reasonable care, it’s considered negligence. When an individual is negligent, he can be directly responsible for causing harm or damage to another person but it is clear that the damage is not purposeful; it is due to either an oversight, ignorance of a situation, or poor decisions.

What Is an Intentional Act?

Intentional acts that cause harm or damage are those that the perpetrator purposefully creates with the goal of causing damage to another. An intentional act does not have to be a focused attack on a specific individual; in some situations, just knowing about a potential source of danger and deciding to do nothing about it can be perceived as intentional.

Negligence, Intentional Acts and Insurance

Insurance is not generally designed to protect individuals from their preplanned incidents. Instead, insurance is designed to protect against accidental and unexpected damages. Even life insurance, a policy that pays a benefit out after the death of an insured, has some unknowns. Because while every individual knows that eventually he will die, life insurance policies will generally not be issued if you know that your death is imminent due to terminal illness.

Insurance policies do not give policyholders permission to act recklessly with no consequences. It is there to protect the insured from the financial fallout of accidents, unexpected events, and potentially negligent actions. If you have questions about how negligence and intentional activities can affect your insurance policies and payment of benefits, give us a call at Strunk Insurance today. We can discuss the details of your Oklahoma City Insurance policies and help you better understand what may or may not be covered within them.

Is A High Deductible Plan Right For You?

When you have a high deductible health insurance policy, you’re essentially agreeing to take on a significant portion of the initial medical expenses that you’ll encounter each year. While this type of plan is not right for everyone, it can be a good choice for individuals who:

• Are young and healthy. The younger and healthier you are, the less likely it is that you’ll need regular medical care. And while being a healthy doesn't preclude your risk of having an accident that results in injury, the overall savings you'll experience on your monthly premiums can make facing this risk worth it. In fact, you can take the money you save on premiums and put at least part of it into a health savings account (assuming that you meet the qualifications) and then use those funds to pay your deductible should you have an accident. Since those funds rollover from year-to-year they will still be there should you need them to pay for medical expenses later on in life or for retirement.
• Need a tax deduction. When you have a high deductible health insurance policy with a deductible that meets IRS requirements, you can open a health savings account that allows for a large annual contribution which is tax-deductible. The limits for the contributions change from year to year but in 2012 they are $3,100 for a single-person account and $6,250 for a family account. There is an additional $1,000 catch-up contribution allowed for individuals over age 55.
• It's the only way you can afford health insurance. High deductible health insurance plans have an additional benefit that many consumers don't realize. When you have a high deductible plan, let's say with a deductible of $5,000, you’re expected to pay that first $5,000 worth of medical expenses but you are not doing so at the retail rate charged to consumers who don't have insurance. Instead, the insurance company works with your medical service providers to control the overall cost of treatments. In addition, by giving a defined deductible, they control the overall amount you’ll be on the hook for.

To learn more about the different types of Oklahoma City insurance policies and which might work better for you, give us a call at Alexander & Strunk Insurance today.

Emergency Fund? How About Insurance Policy?

Financial advisors often stress the importance of creating an emergency fund. In this economy, filled with job stress, global uncertainty and fallen business profits often still struggling to reach pre-2008 levels, the wisdom of setting aside six months’ worth of expenses into an emergency savings account is not lost on the average individual. What may be lost on the average person, however, is the actual ability to save that much money when trying to support a family and pay off debts.
An emergency savings account is not the only type of emergency fund that one should consider. Another more affordable way to create an emergency fund is to invest in insurance policies that protect the value of your assets in the event they are lost, stolen, or damaged during an insurable incident.

The Value of Insurance

Imagine how expensive it would be to rebuild your home after a hurricane, tornado or fire. Even with a full emergency savings account it’s doubtful you could afford to pay this expense out-of-pocket. However, for a very small annual premium you can purchase a home insurance policy that does just that. This home insurance policy can even be designed to protect the value of your contents and may pay for loss of use if you are displaced by the insurable incident.
And what about your car? If you were to total your car or if it were to be stolen, could you afford to buy a new one? An auto insurance policy can work as an emergency fund reimbursing you for the value of your car when totaled during a covered peril, paying for a rental car, paying for certain repairs, and even covering your liabilities.
Your family faces an emergency event should you pass away. After your death, how would they replace your income, your contribution to the family, pay for your funeral and reach the future financial goals you set?

 A life insurance policy creates a much-needed emergency fund for your income loss and funeral expenses.

A disability insurance policy creates an emergency fund for income replacement should you become disabled in an event that is not related to work. You can choose short- and long-term disability policies and create a more flexible, accessible benefit than social security provides.
Your Oklahoma City Insurance is a vital component in any emergency plan. Give us a call at Alexander & Strunk and find out all the ways that affordable insurance policies can be designed to provide the protection you need at the time that you need it.

Teaching Kids the Value of Insurance

When teaching kids about finance, parents should remember that insurance is a valuable part of anyone’s financial portfolio and is a concept that children can find difficult to understand. For a few tips to teach your children about the purpose and value of insurance, read on.

• Explain to your children how insurance works. Insurance is meant to make a policyholder whole after they suffer a loss caused by an unexpected peril. Helping your children understand that insurance works to protect the value of their stuff is a great place to start your lessons.
• Give them an example. If your children get allowances or birthday money and they’ve bought a toy or other item with the proceeds, use this situation to create an example of the benefit of insurance. Remind them about how long it took them to get the money to buy the item and ask them how they would replace it if it was damaged in a fire. Then, explain how an insurance policy could provide benefits that would allow them the resources to replace it.
• Discuss the different types of insurance available, the assets each line protects and benefits they provide. From health insurance to life insurance, property insurance to auto insurance, there are many different products that your children should learn about.
• Read the policies with them. If your kids are old enough to understand the nuances of an insurance policy, sit and read your policies with them. Not all at once—that’s a recipe for attention span disaster. But try to make it a fun event to read policies together once a week over a pizza and some music. This will help your children understand what to expect from insurance coverage, help them develop critical thinking skills and can open up the lines of communication for questions.
• Explain the consequences of being uninsured. Don’t be afraid to discuss with your children the consequences of not having insurance coverage. Use your own home and assets as an example. Let them know just how much it would take to rebuild and refurnish your home after a disaster and explain how insurance can make the seemingly impossible, possible.

For more resources and ideas about teaching your children about Oklahoma City Insurance, give us a call at Alexander & Strunk Insurance or stop by today.

Insuring Cash

Most home insurance policies cover the damages associated with theft. If your home is burglarized and your contents taken, you may be able to receive benefits equal to the actual or replacement value of those items. If you have cash or its equivalent in the home, that may be covered by your policy as well.

Cash and Equivalents: What’s Covered

If you have cash, coins, gift cards, and even foreign currencies in your home and they’re stolen or damaged by fire or other covered perils, your insurance company will cover the damages as outlined by your policy. Your policy deductible will still apply but your coverage for cash and its equivalents may have its own limit separate from your general contents limit. It's important to make note of the limits on coverage for cash to ensure that the money you keep on hand does not exceed what you can get reimbursed.

When considering coverage in terms of theft, a typical break-in is not the only situation that could result in stolen cash and its equivalents. There are many individuals who enter your home and have access to cash hidden inside; any of them could take it without your permission. This includes neighbors, party guests, service providers and even friends and non-resident family members.

What isn't Covered

If you lose or misplace your cash and it isn't stolen or damaged in an insurable incident, then your insurance company is not likely to pay the claim. Likewise if cash is stolen from you while you are away from home it may not be covered.

Another instance in which the damage to or theft of your cash might not be covered is if the cash was received through an illegal activity or while you operated an unreported business in your home. Your home insurance company must be aware of any business activities you operate in the home or your claim could be denied and your policy rescinded.

Proving the Existence of Cash

It's critical that you keep records showing that you obtained the cash that you report as stolen or damaged. You can use a bank statement or deposit receipt showing a cash withdrawal, ATM receipts, or possibly even a handwritten bill of sale. Your insurance company may, in the event of a theft, ask for a copy of the police report as well.

If you want to know more about how your Oklahoma City home insurance policy protects you, or you want to increase your limits, give us a call at Alexander & Strunk Insurance today.

How Life Insurance Insulates Heirs from Market Risks

Legacy planning is an important topic for most individuals who have children and grandchildren. The ability to leave behind assets that can work to substantially ease the future financial burden faced by heirs is a powerful motivator to many and creates the ultimate reward after a life spent working hard.

While all of your assets can contribute toward your overall legacy, one of the most important assets to have is a life insurance policy. A life insurance policy not only ensures your heirs a certain amount of money upon your death, it also helps to insulate them from the market risk your other assets may bring to the table.

Investment Losses vs. Life Insurance

When you leave an investment portfolio to your heirs, there is nothing that protects them from a swift decline of stock values after your death. This decline can occur no matter how carefully you researched and invested because stock prices are based on much more than just the value of a company. In fact, a global economic crisis that does not directly impact the companies you've invested in could still result in lost value for your heirs at a time when they can least afford to face it.

With a life insurance death benefit, even in a variable policy, the death benefit is predictable and secure as long as there was no misrepresentation on the application for coverage, no outstanding loans against cash value, the death was not caused by one of the excepted situations, and the premium has been paid on time. No matter how the market fluctuates after death, that benefit remains the same.

Assets and Estate Taxes

A decline in the value of the assets you plan to leave behind does not have to occur just after your death, it can even begin occurring while you are alive and there is little you can do to stop it other than sell your assets, take losses, and then find another place to invest your money. On top of the losses, your heirs may also be required to pay estate taxes, especially as the estate tax exemption falls substantially in 2013. With a life insurance policy, as long as there are no instances of ownership, your heirs can likely avoid estate taxes no matter the exemption amount.

If you are ready to strengthen your estate plan with a life insurance policy, give us a call at Alexander & Strunk Insurance today. We can help you create the best, most effective plan for your heirs.

The Truth about Cyber Risks

In 2008, IT security company Panda Security conducted an assessment of the remittances sent from US companies to international banks. They found that 30 percent of the 1,500 computers they monitored that were involved in these transactions had virus software that was outdated. Even more alarming was the fact that 60 percent of these computers were actively infected by a virus that could have been stealing valuable information from them. That means that only 10 percent of the monitored computers were both free of viruses and protected from potential virus and malware attacks.

Cyber Theft and Your Business

Every business, even one with active anti-virus software, is exposed to cyber risks such as:

• Interception of wire transfers
• Credit card fraud
• Identity theft

You owe it to your clients to protect their data and sensitive information as you would any tangible asset that you had in your possession. But with technology changing so rapidly, it’s almost impossible to guarantee complete protection against cyber theft or fraud. That’s why a cyber theft insurance policy means so much to the success of your business—it can protect you when you are unable to protect your clients.

Hidden Risks

And while you might think your business doesn't have anything of value for a cyber thief to steal, you could be incorrect. For example consider how vital your prospect list is to your company. Without that list of would-be clients to tap into, you would have little opportunity for success in the immediate future and instead, would need to spend your time building up another list. Should a thief decide to breach your computer's security system and take this list, it could result in your prospects’ information being distributed which could erode trust between your company and your prospects and severely limit your future success. Meanwhile that prospect list could be sold to another company who could benefit from your work.

Cyber risk insurance can protect you from risks you didn't even know you faced, which is important because you don't have to be able to imagine the value of the digital information you hold in order for someone to try to steal it from you. When you are ready to protect your business and begin shopping for cyber risk insurance give us a call at Alexander & Strunk Insurance. We can help you understand exactly how this important benefit would protect your company and create a policy with an Oklahoma City Insurance premium you can afford.