Starting an Insurance Business?

Starting an Insurance Business?

I’ve been running my own business for twelve years and if has taught be anything it is that it is important to have the proper insurances in place. If you think finding the right insurance products can be tricky, imagine the hoops you must jump through in order to set an insurance business up. I know a few people in the field and they agree, if there’s one tricky industry to start a business in, it’s insurance.

Founding your own insurance company is tough work, especially when you’re not all too familiar with the ropes. You have to work out lots of things and you have to play your cards safely – that is, if you don’t want to lose a fortune! You put a lot on the line when you start an insurance business. And I tell you, it’s not money you can earn back in a year or two.

There are a couple of things required in order to legally set up an insurance company. Remember, the licenses and permits involved in operating an insurance business are far stricter than other types of agencies. To give you a brief overview, here’re some things you absolutely MUST have if you are to start something in the insurance industry:

  1. Bulk Capital – When you’re planning to go into insurance, you need to be prepared financially. Technically, your business won’t be approved to launch if your working capital is minimal by insurance company standards. You need big money to be involved in a business such as insurance. And, it is quite understandable why the business sector strictly requires a large sum to be endorsed as bulk capital. You, after all, will be dealing with other people’s money. You’ll be promising them their futures, their financial security.

    If the capital you’re starting with won’t even last you 30 years down the road, how can you expect to earn the government’s trust? You may be operating in the private sector but that doesn’t mean the government, who grants you permission to operate, comes out completely clean when matters turn for the worse. With that said, if you want to make a name in the insurance industry, you really need to have the money for it. Check out this helpful article from The Simple Dollar: https://www.thesimpledollar.com/how-to-start-your-own-insurance-business/.   

  2. Good Authority – Next, before you even think about starting an insurance business, you first need to ask yourself: Who’s going to buy a policy from me? Is your public record okay? Do people even know who you are or how you’ve accumulated your wealth? Have you established yourself in the business sector or somehow became a public figure? People tend to trust people with authority, or power as some would term it. It makes them feel safe, especially when money is involved. If you’ve still got nothing to your name – no shiny job title or highly influential surname – then you’ve got to work on improving your image first. Get people to know you; establish your place in society. If you do this first, you’ll find it easier to build trust with licensing agencies and potential clients.

  3. License to Operate – As I mentioned it earlier on, you need the government’s approval to operate. Without proper licenses and permits, you cannot launch a business legally. And in a business like insurance, clients will definitely want to look at your eligibility as a company. They will ask proof of your authenticity as a business and if you can’t provide it, your company, as well as your name, are sure to suffer bad publicity. History will show you how hard it is for a business to regain its former glory the moment its name has been tarnished already. Starting on legal grounds is the wisest move you can take.

  4. Selling Products – Lastly, you need to have a good product (or plan/policy). I know it’s not news to you that there are many insurance companies out there, all looking to sell the same thing as you. So, ask yourself: What does my company have that others don’t? How can I win? Starting with this question will help you plan in the right direction. Speaking of planning, several online agencies and websites like cloud insurance software offer advisory services that can very well help you create a game plan for your business.

And that’s it, really. These four things are major must-haves for any budding insurance business. You are founding a company that heavily relies on trust and commitment to deliver. It is necessary for you to have all these things. Start building authority, look for a way to amass a bigger capital, accomplish all the paperwork, and think of a product that will matter to people. If you have all these, you’re well on your way to success!  

 

How to Make your Home Safer for Children

I have two little mischievous boys. From an early age they could both spot the tiniest bit of debris on a carpet and get it into their mouths as quick as a flash, both are capable of hitting warp speed nine with very little notice and sadly neither of them seems to have any concern for their own safety when busy balancing “like a superhero” or similar. They are young boys though and that is what they do. It is our job as their parents to make our home safer so that they may enjoy the freedom to play and live without the risk of serious injury.

The majority of accidents in the home could be avoided through vigilance; being aware of risks and keeping your eyes open. With more than a third of injuries to children under the age of fourteen occurring in the home, it is wise to back up those “eyes in the back of the head” with some child-proofing and safety precautions, a few of which are listed here.

  • Secure dangerous substances
    These could be cleaning materials, household items used for maintenance, medications or indeed any number of toxic and potentially dangerous substances. Keep everything out of reach when possible and use cupboard locks and locked boxes in addition to this.
  • Use smoke detectors
    Not only should you have smoke detectors in your home, you should have detectors that are tested regularly and which work. Mains operated detectors with battery back-up are great, but any working smoke detector will give you warning in the event of a fire and buy you precious time to evacuate your family safely.
  • Have a carbon monoxide detector in place
    Carbon monoxide is called the silent killer because unlike other gases it is colourless, odourless and tasteless, making detection difficult. Long-term concerns for those who are exposed for any length of time include neurological damage and even death.
  • Cover your plugs
    It takes just seconds for a child to pick something up and shove it into the hole on a wall socket. The potential for injury or worse here is great if steps are not taken to eliminate the threat. Plug covers are widely available online, and are a very effective way to prevent children from accidental electric shocks.
  • Reduce the risk of trips and falls
    Many injuries are caused by trips and falls, and often many of them could be avoided if the environment were better arranged. Clear clutter, secure rugs and runners, install baby gates where appropriate and keep your eyes open for hazards. Protective corners for sharp coffee tables and other pieces of furniture could reduce the damage when trips do occur.
  • Be wary of water
    It takes only a couple of inches of water to drown an infant. Never leave a young one in the bath unattended, be aware of ponds and water features and remember that as fun as water is, it can kill.

These are just a few top tips for safeguarding your children when at home. It only takes a minute for something awful to happen, so regularly have a safety walk-around, checking that everything is in place, that batteries for the smoke alarm don’t need replacing and generally assessing your environment as your children grow (and are able to reach more or climb higher!).

I am freelance writerand blogger writing on behalf of MORE TH>N. These are my own thoughts and do not represent the views of MORE TH>N. Visit their website for more information on home insurance from MORE TH>N.

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