Saving Money on Insurance

Some tips from Independent Insurance Agents and Brokers of America, Inc.

Credit life insurance: Avoid credit life insurance (for new furniture or credit card debt, for example) under most circumstances. These policies, offered by credit card companies and other lenders, extend for the term of the loan and decrease in value over its life. They are designed to protect a third party if for some reason the consumer dies before the loan is paid off. However, they provide no protection to beneficiaries—only to the company that offered the credit or loan.

Deductibles are too low: Owners of expensive homes need to consider whether a low deductible makes sense. If someone steals the TV, it isn’t going to break the bank. Those same consumers need lots of insurance for a total catastrophe, though, or if they get sued. Therefore, they may want to take a $1,000 deductible and use the savings, which can be 10 to 20%, and buy a reasonably priced "umbrella liability" policy to give them $1 million or $2 million of coverage in case they’re sued.

Specific computer insurance policies: Though this coverage may seem like a good idea since so many people now have computers at home, a standard homeowners policy will cover most basic personal computer equipment. Here’s how it works: If you have a home with the structure insured for $100,000, you typically have $50,000 of personal property coverage, including computer equipment not used for business. If used for business, the home insurance policy typically provides $1,500 or $2,500 of coverage for computers. Only people with home-based businesses, laptops used for business outside the home or elaborate high-tech equipment need to consider extra coverage but it’s usually cheaper to buy an endorsement to the home or home-business policy rather than a separate computer policy. (The same concept holds true for cancer insurance or trip-specific life insurance, and other specific policies when in fact broader coverage that is cheaper in the long run might be needed.)

Coal-fired Power Plant in Florence

Today the Small Business Chamber of Commerce asked Governor Sanford to review the state-owned utility's plan to build a coal-fired power plant in Florence County.

South Carolina Chamber Response: The following response may be attributed to Otis B. Rawl Jr., President and CEO of the South Carolina Chamber of Commerce.

It is incredulous that the Small Business Chamber, an entity that claims to represent small businesses, would oppose a project that will provide affordable and reliable electricity for South Carolina. Over the past three years, the Small Business Chamber has often opposed initiatives supported by the South Carolina Chamber of Commerce, like tort reform and workers’ compensation reform that are already proving to improve the state’s business climate.

I understand the need to be environmentally sensitive when making this decision. However, the Department of Health and Environmental Control (DHEC) has had nearly 900 days to review the permit. There’s been ample study and review. Now is the time to issue the permit and move forward.

Affordable and reliable energy are each key to the survival of South Carolina’s businesses. When a small business owner walks into his business every morning, the lights must come on, and the rates must remain affordable. The Pee Dee Energy Campus will be the cleanest and most efficient coal-burning facility in the state of South Carolina and one of the cleanest in the entire nation. As our state grows rapidly, we must be proactive in ensuring that we have adequate capacity.

Would you support a coal-fired power plant in Darlington County? Do you support the one being planned for Florence County?

Don't forget Friday's Book-Signing

On Friday, December 12th we will host an open house from 6pm until 8pm with photographer and author, Dr. Susan Reynolds. Dr. Reynolds will be in the gallery to sign copies of her latest book, Prestwood Lake & Black Creek - A Pictorial Essay. We will also have Dr. Reynold's notecards and photographs. Refreshments will be served.

For More Information, call the gallery at: 332-1410

Dec. 12 — The Full Cold Moon

Sky watchers will be dazzled by an exceptionally high, bright, and large Moon. In fact, this Moon is 14 percent bigger and 30 percent brighter than other full Moons this year. Why? The Moon is both in its full phase and at a point in its orbit that is nearest Earth, called its perigee. When these events occur together, the Moon is closer to Earth than usual. The effect? The Full Cold Moon will appear especially large near the horizon as the Sun sets.

The Moon is also high at this time of year; when it's overhead (near midnight), it will light up the landscape. Take a magical stroll and see your world at night. You won't need a flashlight!

Auto Industry Plan Revealed

The "Auto Industry Financing and Restructuring Act"
It's a 37-page PDF document.

Bailout News Updates

Panel Overseeing Bailout Criticizes Treasury Department - From Washington Post
"We've been lied to. We've been bamboozled. What we have here is one big mess," said Rep. Davis Scott (D-Ga.), who like several others on the House Financial Services Committee focused on the fact that the hundreds of billions of dollars used to shore up the capital position of banks is not being felt in the form of easier credit for homeowners and businesses.

Democrats and White House Close In on Auto Deal - From NYT
The rescue plan would extend $15 billion in emergency loans to General Motors and Chrysler, the two most imperiled automakers, and would subject them to far-reaching government oversight at the direction of a so-called car czar to be named by Mr. Bush.
Ford is not seeking short-term loans because it is not as bad off as the other two big automakers.

UAW seeking GM board seat -union official - From Reuters
The United Auto Workers union is seeking a stake in General Motors Corp and a board seat as it offers concessions intended to allow the automaker to slash costs and clinch federal aid, a union official said.

$73 an Hour: Adding It Up - From NYT
“We’ve heard this garbage about 73 bucks an hour,” Senator Bob Casey, a Pennsylvania Democrat, said last week. “It’s a total lie. I think some people have perpetrated that deliberately, in a calculated way, to mislead the American people about what we’re doing here.”
So what is the reality behind the number? Detroit’s defenders are right that the number is basically wrong. Big Three workers aren’t making anything close to $73 an hour (which would translate to about $150,000 a year).

2008 Proposed State Budget Cuts

Gov. Sanford's propsed budget cuts appear here online. You can leave comments on that page as well.

South Carolina Chamber Response
The following response may be attributed to Otis B. Rawl Jr., President and CEO of the South Carolina Chamber of Commerce.

First, the South Carolina Chamber of Commerce commends Governor Sanford for acknowledging the need to increase South Carolina’s lowest in the nation cigarette tax. But, the South Carolina Chamber believes that any increase in the cigarette tax must be used for healthcare-related purposes only. The Chamber supports increasing the state’s cigarette tax to the Southeastern average to provide premium assistance to individuals and small business tax credits.

The Chamber also applauds Governor Sanford for trying to create a tax reform plan to spur investment and create jobs, but we believe that in order to truly achieve this, comprehensive tax reform must be achieved. Like the Governor has called for, it is imperative that the state examines inequities in the current property tax structure that adversely impact businesses. Examining corporate income tax should be part of this reform.

South Carolina, like the rest of the nation, is experiencing a difficult time in today’s economy, but we are placed at an even larger competitive disadvantage because of past piecemeal approaches to tax reform. These piecemeal approaches have created shortfalls in South Carolina’s budget and ultimately harm the state’s economy, increase job losses and negatively impact everyone’s pocketbook.

Pieces of Governor Sanford’s proposal should be considered as part of an overall comprehensive tax reform plan. The business community thanks Governor Sanford for his continued dedication and work on behalf of all South Carolinians.