Renting a home can have the same risks to an occupant as owning a home. And while homeowners insurance is definitely a requirement for anyone who owns a home, many people struggle with whether they really need renters’ insurance. And they most often aren’t sure whether they need it due to the cost of coverage.

Those who rent their homes often view the cost of renters insurance as another bill to add to those they already have to pay. For example, when moving into a new home, a tenant may have to pay first and last months’ rent, in addition to a security deposit and perhaps even deposits to initiate the turning on of utilities. And this is in addition to any moving costs the renter may have incurred. So the fact that there are many renters out there without insurance coverage is definitely understandable.

But what many renters don’t realize is how having insurance coverage can benefit them. In fact, the benefits of having coverage can far outweigh the costs that a renter may pay each month in order to be covered.

What Renters Insurance Protects

Many renters believe that the insurance coverage their landlord has will be enough to cover them. Not so. The coverage held by a landlord only covers the rental unit itself and the property the unit sits on. Their insurance will not cover any damage to your personal property. Without renters insurance coverage, any damage incurred to your belongings due to theft, vandalism, or something another tenant does to it will not be covered.

More Than One Option

What is listed as a definite benefit for most renters is that renters insurance is available at several different price levels. Flexible options mean that you as a tenant can choose the level of coverage that’s most affordable for you. With a policy, you can ensure that your property is protected and that you receive either full replacement cost or depreciated cash value, depending on the item or items damaged.

Don’t Be Underinsured

Having an inventory of the items you own is crucial in order not to be underinsured. Your policy’s rate will depend on the type and value of your items. Any inventory should include the price, condition and appraisals of items. Keeping all receipts for items you’ve purchased in a single and safe place will be crucial to getting any claims settled in a timely manner.

Liability protection is another type of coverage that every renter would do well to consider, which will usually cover up to 50% of the policy’s total value. As well, additional coverage can be purchased in order to protect you in the event that something happens to your home that requires you to move out for a temporary period of time. This will allow you to meet daily needs such as doing laundry and paying for temporary accommodations.

Limited Coverage

One disadvantage to many renters’ insurance policies is the amount of coverage you receive. It is true that the onus will be on the landlord where damage occurs to the rental dwelling itself. However, this coverage may not extend to the interior of your dwelling. And so checking your policy is crucial. If your landlord’s insurance only covers the outside of their property, then getting renters insurance will be important.

Another limit on renters insurance is water damage. Questioning your water damage coverage is definitely important. If water damage was caused from below the property where you are renting, then any damage will likely not be covered. But if the damage occurred from above, such as because of a leaky roof, then it’s likely to be covered.

When deciding on whether or not you need renters insurance, it’s important to remember that even a small number of possessions can quickly add up in terms of dollar value. And although you will have to pay a deductible before being reimbursed by an insurance company, having coverage will help you to replace your lost or damaged items more quickly and easily than if you had to do it all on your own.

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Cars mean something to all of us. If you’ve been lucky enough to get your hands on a luxury vehicle or sports car, the feeling you may use to describe them would most likely be along the lines of pure joy and euphoria. However if you’re driving a clunker from 80’s you probably swear at your car more than the participants of a typical episode of the Jerry Springer Show.

If you’re in the market for a new car, some of your time has probably been spent pondering over whether to buy or lease. Here’s some more information on buying versus leasing, including the advantages and disadvantages of each:

Buying:

Some may argue that the best option may be to buy new and look after the vehicle well until the last payment is made. At this point instead of selling, you keep the vehicle. The idea is that because the car is well looked after, maintenance costs are reduced throughout and after the vehicle is paid off.

The benefits of buying:

• Even though the car is registered in your name, the bank technically owns the car until you pay the last instalment. However at the end of the period you will have an extra asset under your belt.
• When you buy a car, insurance companies view you as lower risk and the monthly payments you’ll need to make will be lower.

Disadvantages of buying:

• Monthly payments are typically higher when buying the vehicle.
• When buying, the dealership will require a deposit or down-payment, which means that the initial cost when buying is considerably higher.
• If you buy, payments are amortized over a 48 – 72 month period and take the entire cost of the vehicle into account.
• Cars generally lose some of their value in the first couple of years to depreciation. However if the payment plan is taken over too long of a term then there’s a chance that you could end up owing more than the car is worth.

As with other loans payments are divided between capital and interest.

In the first couple of years paying your car back, more of the payment goes toward interest than capital.

*Leasing:

With this option you’re essentially renting the car for a fixed period (usually 36 – 48 months).

The amount you lease a vehicle for is determined by the difference between the purchase price and residual value, which is the pre-determined value of the vehicle at the end of the lease.

Benefits of leasing:

• When leasing, the initial costs that you incur when acquiring and maintaining the car are less.
• Monthly payments are much lower and leases require less of a deposit than purchased vehicles.
• When you buy a car you pay for depreciation based on entire value of the vehicle. However when leasing you only pay for the use and depreciation of the car for a set period.

Disadvantages of leasing:

• Most leases also come with mileage restrictions which means you’re only allowed to do per year (usually around 12 000 miles a year). If you exceed this, you pay more at the end of the lease.
• Insurance providers may also charge higher premiums for leased vehicles.

Pre-owned vehicles are another option worth looking into. For example vehicles that have been returned after expired leases can be bought for substantially less than their brand new counterparts.

This article was written by Daniel Stevens who is a fan of the great outdoors and when he’s not writing up a storm 😉 – that’s where you’ll find him.

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Since 1869, the Suez Canal has served as one of the world’s most important waterways, allowing convoys of large freights to travel easily between Asia and Europe without navigating around the African continent. The 193-mile artificial waterway took a decade to build and has seen multiple enlargements over the years. Today the canal supports 8% of the world’s shipping traffic and is used by the world’s largest shipping companies to transport goods. Of course, such convenience comes at a price, and it’s just been announced that the cost of transit on the Suez Canal will now rise by as much as 5%.

The Suez Canal Authority (SCA) in Egypt has implemented the following increases in tolls:

• 5% for ships carrying oil and petroleum products
• 2% for container ships and vessels transporting cars
• 3% for all other ships

Strengthening the Suez

The increase follows a number of recent studies conducted by the SCA, which took a close look at marine traffic on the Suez Canal as well as the waterway’s toll revenues; findings revealed that in 2012, the canal was used by a total of 17 252 ships and 932.43 million tonnes of cargo – ultimately yielding revenues of $5 129 600 000. With the Suez Canal accounting for a significant part of Egypt’s GDP, and a major source of foreign currency, the Government hopes that the toll increases will help to further boost toll revenues and avert a currency crisis. The worldwide effect on trade and shipping traffic remains to be seen in the coming months, but the increase could see more freight owners choosing alternative routes or weighing the cost of the Panama Canal against the Suez.

Rail and Road Links

The Government has also announced that plans are underway to build three tunnels under the canal; two of these 3km long, 12.2m wide) will be used for road links and one longer tunnel (5km long, 12.2m wide) will be dedicated to a rail transport project. This move is part of a larger regional development plan. Hatem Abdel Latif, Egyptian Minister for Transport, told press that the tunnels will contribute to expansion in North Sinai and complete the extension of the coastal road between Rafah and Nuweiba.

As Egypt’s foreign currency reserves begin to dwindle, it is vital that the Government protect this valuable source of foreign income, and look at innovative projects like the Suez Canal rail and road tunnel construction in order to strengthen the country’s economy and trade connections alike.

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With the economy being stuck in a downturn and the rising cost of living (especially food prices), everybody seems to be cutting costs. Many people need to take out loans just to survive, but they need to be careful about where they go, because there are many places with high interest rates that do more harm than good.

The ideal situation is to stay debt free, but this is not always possible when school fees must be paid and fuel prices keep rising.

Some loans are harder to get then others

Buying a car is more difficult than previous years when, credit checks were not as strict and loans were not so difficult to obtain from financial institutions. These days, many people drive their cars to the end of the vehicle’s lifespan, as new cars are expensive.

Everybody needs money to survive, as well as insurance to protect the assets that they have against crime, damage and disaster. Fortunately, there are many insurers and financial institutions that offer products and loans that have the consumer’s best interests in mind. These companies are linked to a regulatory board that ensures fairness to the consumer or client.

Buying a car is never a simple process, and financing can be a nightmare to get if you don’t have the proper documents and forms. There are many types of contracts or loan types for vehicle finance that can confuse the prospective buyer.

Let’s uncomplicated it

The first step is to apply for financial backing from a bank or credit provider. It is recommended that the client gets as many quotes as possible to compare repayment plans and interest options. Apart from the practical considerations, such as the car’s make, model and features, the following financial questions should be asked:

From a finance point-of-view:

• What size deposit can be put down, and how will it affect the monthly payments?
• Does the dealership give discount for upfront deposits?
• What is the interest rate on the payments?
• What are the options regarding the payment period? Can the car be purchased over five or six years and what are the differences in installments?
• Are payments fixed or will the amount vary with the interest rate?
• Are there any hidden costs or increases in the installments?
• Are there ways to pay off the car faster by paying extra during the months when the budget allows? What bank charges and administrative tasks, if any, are associated with these extra payments?

From an insurance point-of-view:

• Is there a preferred insurer or can the buyer use any company to insure the vehicle?
• Are there special deals with certain insurers that are linked to the car dealership?
• Does the insurance company provide a courtesy car if there is a claim or theft?
• How fast are claims settled?
• How labour intensive is it to claim? Is it the vehicle owner’s responsibility to claim or will there be assistance from insurers?
• What is the excess payment on insurance if a claim is made?
• What are the details covered under insurance? Are the car’s contents covered or is it just the external body of the vehicle?

Buying a car is an expensive, life-changing decision. You can increase the value of your car to get your money’s worth, and extend its life by servicing it regularly and keeping it in optimal condition. Keep the tyres at the right pressure, complete regular checks, and keep the car tidy to obtain maximum usage from the car. The more reliable your car is, the better your chances of getting a good selling price when you want to move on.

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Nobody likes to spend more money than they need to on things, and saving money where you can is always a wise move. However, there is a difference between being frugal and being cheap. When you are frugal, you watch your pennies and make wise, thoughtful financial decisions. When you are cheap, you skimp in order to save money, but you may sacrifice quality or even your reputation for the sake of saving money. Frugal people recognize the value in an item and may find a way to save money on it, such as by using coupons or promo codes to buy smartphones or other items. Here are some tips to help you avoid being cheap while still saving money on your purchases.

Plan and Save

Frugal people are those who make thoughtful, informed buying decisions. In order to accomplish this, it is necessary that you think ahead and plan for your purchase. You want to research the different product options well ahead of time and avoid buying impulsively. More than that, you want to save money to make large purchases. When planning for purchases, keep an eye on your budget. Always pay attention to how a purchase will affect your budget and your bottom line. If you are comfortable with the affect that a purchase will have, have saved money for it and have comparison shopped to find the best deal, you can make your purchase with confidence.

Consider Older Models

For many types of products, new models are introduced on a regular basis that have more bells and whistles than predecessors. The older models may have slightly less functionality, but they may be entirely functional for your needs. More than that, once new models are available, the older models are often available at a discounted price. A great example of this is cell phones. New models seem to come out on a yearly basis, if not more often. The new models may have slight benefits, such as a slightly longer battery life or better image quality in the on-board camera. However, in many cases, the older model may be $100 or more less than the new model. Which one is really the better deal? If you decide that you must have the latest model, consider waiting a few weeks to buy a gently used model when someone else who snatched it up initially has become disenchanted with it.

Watch and Wait

Even after you have planned for your purchase, saved money for the purchase and comparison shopped between older and newer models, take one additional step. Almost everything will go on sale at some point. In some cases, discounts are available via holiday sales or end of season sales. In other cases, you can find coupons and promo codes that can help you to save money on your purchase. There is rarely ever a reason to pay full price for an item, and you can save a lot of money over the course of time when you adopt the philosophy of never paying full price for anything.

Learning how to be a smart, frugal shopper can help you to save a considerable amount of money. By following these tips, you can save money on purchases without developing a reputation for being cheap.

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