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Articles -
Money and Finance
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The risk of damage to properties and businesses is the reason why some Pinoy Entrepreneurs secure an insurance coverage. There are unforseen contingencies, while remote from happening, that could seriously cripple the business by the loss of inventory, equipment and, in the final analysis, precious capital.
We've seen a number of insurance claims in the wake of the flooding brought by Typhoons Ondoy and Pepeng, and we'd like to share some observations.
Coverage. Many breathed a sigh of relief, when their cars were submerged in flood water, that they have motor vehicle insurance. Unfortunately, the general coverage does not include damage from flooding, among others. When securing an insurance, make sure to check the risk coverage. Additional premiums must be paid, but the extra amount would make a lot of difference in case of loss.
Get a trusted insurance company. The Insurance Commission, the government agency which supervises and governs insurance companies, has a list of accredited companies. You get an insurance to recover something in case of loss. It's useless when the company which is supposed to pay for the loss is gone.
Pay the premiums. The insurance policy, even if issued, does not take effect until the insured pays the premium. For instance, instructions were made to pay the premium on the last day of the week, Friday. Because of time constraints, payment was actually made on the next working day, a Monday. Typhoon Ondoy released its fury on a Saturday, before payment was made on Monday.
Comply with the conditions. For stock in trade, for instance, the location where these stocks are located is specified in the insurance policy. Should you change the location, make sure that the insurance company has given its conformity. Other conditions include the safekeeping of the insured items.
File the claim ASAP. The insurance policy spricifies the period for filing the insurance claim and the insurance company provides the requirements/forms to make such a claim. Make sure to file the claim within the period and to attach the required documents to prevent outright denial of the claim. There are certain nuances as to the applicable periods, but it's always safer to file as soon as possible.
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