la capital insurance

la capital insurance
companies often have one thing in mind - to earn money. The higher the dollar amount of a company, the higher its value is seen. A company's good will as the difference from the revenue, compared to only the result their actual products. People are willing to spend money on their current and future potential earning power secure. And this idea of financial security can also be used with insurance.

Crunching the numbers

Say that you have a machine that is a small part for the automotive industry. If you subtract the amount that IT costs in interest, and supplies the machine is running, it earned a net sum of $ 5,000 per year for you. Well, if you know that the average lifetime of the machine is 20 years, you can expect it to earn 100,000 U.S. dollars in its lifetime. So, if this machine should be destroyed in a fire after only 5 years of operation, you would be around $ 80,000.

You can use the same information that a price tag on the life of a person in the household is that a paycheck. If this does not yield potentials are as important as that of the machine?

Back to the machine, think about what happens when the machine fails. This year, instead of earning $ 5,000, it costs $ 5,000 to bring it over and over again. This equation can be parallel by a family member becoming ill and unable to work. The family is not only not the Home A paycheck for this week, month or year, but he is now the family will cost money in the form of medical costs, meals, lodging, etc. This is where insurance comes in.

The protection of employees corresponds to the protection of the economy

A valuable employee is a company, what the family as the breadwinner of the family. More and more companies begin to realize what an advantage a good employee can be when it comes to earning money. Therefore, more companies that provide insurance for employees, and the higher up someone in a company is, the higher the dollar amount of the policy.

The debt scenario

Just as a machine can either earn or cost-performance ratio of a company, the actual books of a company may also be the same thing. The accounts of the company is expected to in a certain manner, preferably with an increase in earning power. However, bad debts, the amount of net income a company will at the end of the year. The only way to protect against bad debts in the form of insurance. Insurance can protect the buildings and facilities themselves, the economy and the value of the goods. This applies only to the value of the policy, but the better your insurance is, the better the protection.

If you are on your business insurance, goods, and employees who invest in the future. You are protecting your business against future damage, so that when they occur, you do not have to worry about your financial situation.

This author is a freelance marketing writer based in San Diego, CA. It specializes in insurance, finance and business.