October 22, 2016



  • History Of Indemnity


    The indemnity agreements were not always addressed by such terms when the inception of this insurance took place. In the 1800s, the agreement was not as well-established and detailed as it is today. To ensure cooperation and delivering promised results, governments, businesses and even individuals made contracts as legal documents in case any party intentionally or unintentionally did not fulfill the contract. According to an article in the New York Times, Haiti had to pay France an – independence debt in 1825, when it got freedom from French rule. These were to compensate the losses that French plantation businesses and individual owners suffered in slaves and land. This is one of the most historic cases known where indemnity was evident.


    Another instance that is recorded as a case of indemnity happened in England, in 1884. Dr. David Bradley was wrongly accused and sentenced to 2 years in prison. In 1885, the Medical Defense Union was formed when other medical practitioners revolved against the decision. It was found that the apparent victim was a woman suffering from erotic delusions during and post-epileptic seizures. The falsely accused doctor was granted pardon and served only eight months in prison. Awareness to defend the doctor’s livelihood and reputation rose among other medical practitioners.


    Indemnity is commonly seen in post-war situations where the country that wins the war demands from the losing country. The indemnity may take years or decades to pay off. A classic example is when Germany paid as indemnity after its role in the World War I. The extent and amount of indemnity were so high that it was finally paid off only by 2010.


    The word ‘indemnity’ comes from the Latin word – indemnis which means ‘unhurt, undamaged, without loss.’ Monetary payments were done in indemnity or replacement and repairs were offered.


    Post World War I, over the next few decades, professional indemnity insurance in Singapore has undergone drastic changes and revisions to better the insurance provisions for traders and governments. Due to globalization and privatization, the growth and development of large-scale industries affect the government directly. Professional indemnity insurance has been able to provide their clients exactly what they expect and what they need for the smooth functioning of their business. When insurance can protect individuals despite unintentional errors in judgment or mishaps, these individuals can take a leap of faith by venturing into a new market as they learn more about the tricks of the trade.

  • WICA – The Recent Changes

    The year 2016 saw a few changes in The Work Injury Compensation Act (WICA) with modifications in the compensation limits in the event of complete and permanent incapacity or death due to a work-related injury.

    What is WICA?

    Through The Work Injury Compensation Act, the Ministry of Manpower (MOM) aims to make it easier for individuals to obtain compensation for injuries at work without the hassle of filing any legal suit, thus eliminating unnecessary legal expenses and frustrating delays. It covers all employees irrespective of salary level, except for those who are self-employed or independent contractors. Domestic workers and uniformed personnel are also not eligible for Work Injury Compensation. Under WICA, an eligible employee can receive wages for medical leaves, medical expenses or in case of death or permanent incapacity, a lump sum compensation.

    The New Limits

    From 1 January 2016, renewed compensation limits have come into existence to keep pace with the current fiscal scenario. The minimum compensation level in the event of the death of an employee due to a work-related injury has been raised from $57,000 to $69,000 and the maximum amount has reached $204,000, a significant rise from the previous $170,000.

    In the case of permanent and complete incapacity, the employee is eligible for a minimum of $88,000 and a maximum of $262,000 as compensation. Before 1 Jan 2016, the minimum and maximum recompense were $73,000 and $218,000 respectively. If the doctor certifies a 100% Permanent Incapacity, extra 25% compensation is paid to offset the expenses related to the care of the injured employee.

    For medical expenses caused by the treatment of an injury sustained at work, an employee is eligible to obtain up to $36,000, which is $6000 more than the previous $30,000. Also, according to the recent changes, the medical expenses will include treatments to facilitate an early return to work.

    The Effects

    The changes in the compensation limits show an average 20% rise in the work injury compensation limits payable to employees in the event of an accident at the work place. Consequently, the insurance premiums also show a comparable rise in the premium to counterbalance the higher payouts.

    A similar change had been made in the year 2012, when changes were made based on the 2010 median wage of employees. According to MOM, the median wage has since then seen another 20% rise, even as medical bills marked a significant increase as well. The 2012 alterations also included other significant measures like expanding the scope of compensable diseases, disallowing work-related exclusion clauses and clarifying the employer’s insurer’s liability to pay when there are multiple insurance policies etc.

  • Man Made Risks to Cargo That Can Be Covered By Marine Insurance

    The marine industry is one of the major ways of shipping huge cargo. A single ship can carry hundreds of thousands of dollars worth of cargo in one trip. This is a huge financial risk that the shipper takes every time they send a shipment. Investing in marine insurance from a good company can reduce the exposure of this risk. Listed here are a few man made risks to cargo that are very good reasons to get marine cargo insurance.


    1. Cargo theft
      Piracy is one of the biggest risks that shipping companies have to face, especially if they are passing through high risk areas such as The Red Sea. But this is not the only way that goods get stolen, theft through identity theft and fictitious pickups is increasing day by day.


    1. Cargo lost at sea
      There are more cargo containers that are being lost at sea every year. This is mainly due to overloading the ships above the limit. A survey conducted in 2014 stated that there are around 733 containers lost on an average each year in 2011, 2012 and 2013. This is considerably higher than the number of containers from 2008-2010.

    1. Catastrophes
      The World Shipping Council has defined catastrophic loss as a loss of more than 50 or more containers in a single incident. This can be due to various reasons such as fires or explosions.


    1. Cargo damage
      Damage to cargo is even more common than cargo loss and cargo theft. This damage can occur due to a number of reasons including; inadequate ventilation, ineffective sealing arrangements, lack of clear carriage instructions, contamination of the floors or containers, the wrong temperature settings that leads to condensation and spoilage of perishable goods, poor distribution of cargo weight, heavy containers stored on lighter ones, fragile cargo stored in high motion area and the list can go on.


    1. Contractual requirement
      Some shipper contracts make it obligatory for the shipper to purchase marine insurance.


    1. Carrier liability coverage
      In the event that the carrier is liable for damage or loss of the goods, the shipper will recover a very limited amount. This is covered in marine cargo insurance.


    1. By getting insurance themselves, the shippers will have more control over the terms of the insurance.

    Allegiance helps in forming an insurance policy that caters to the needs of the shipper and is tailor-made for them.

  • What Is Indemnity Insurance? What Are the Benefits?

    Indemnity insurance is a form of insurance that is made to protect the financial interests of business owners, entrepreneurs, and professionals if they are found to be liable for a particular act or event such as fraud, misrepresentation or misjudgment.

    Insurance is a contract of indemnity to indemnify or compensate one party, known as the insured, for the loss or damage caused to him or his property. The party compensating the insured for his loss is called the insurer who is usually an insurance company. Compensation is payable for loss or damage suffered by the insured in return for a quarterly, monthly or annual premium payable by the insured party to the insurer.

    Some examples of indemnity insurance are malpractice insurance policies that protect professionals against liabilities they might incur for indulging in malpractice in their jobs. Omissions insurance policies protect professionals against liabilities incurred for acts of omission or non-omission in their professional duties.

    Indemnity insurance is also known as professional liability or indemnity insurance. It is provided exclusively to professionals and service providers who render expertise advice or services, mostly in the field of legal and financial services such as accountants, lawyers, financial advisors, attorneys and insurance agents. Indemnity insurance will provide these professionals protection against liabilities or claims made by clients or other parties for any possible negligence or omission to perform certain acts that resulted in a possible financial loss or legal problems for their clients.

    The benefits of having indemnity insurance

    These kinds of professionals have high-pressure jobs and are dealing with hundreds of clients every day. Lawyers, financial experts and advisors, mortgage brokers, insurance agents, attorneys and professionals engaged in rendering similar kinds of services must not only protect their clients but also themselves. Here are a few reasons why they must secure themselves with indemnity insurance or professional liability/indemnity insurance:

    1. Indemnity insurance will protect professionals against unintentional loss that they might cause to their clients or third parties while dispensing their services, such as misjudgment or omission or negligence.
    1. It can protect professionals like tax accountants who try to reduce the tax liability of their clients by resorting to tax avoidance methods, which are not illegal but could still have them questioned by the income tax authorities.
    1. Indemnity insurance can protect the interests of professionals and prevent them from getting barred from rendering their professional services. For example, it can help prevent a lawyer from losing his certificate of practice and registered number while rendering professional services.

    Allegiance is a company in Singapore that specializes in rendering professional indemnity insurance services in Singapore.

  • How To Choose The Right Insurance Provider?

    The change

    Gone were the days where if someone has to buy any type of property and insure it, they need to meet an agent from any insurance company. Things have changed enormously in the past decade. The banking sector was allowed to enter the zone of insurance in many states across the nation and many nations across the globe. This time, there is no requirement to meet an agent in person to buy a policy or to insure a property. The reason – everything is now online. There is no contact with a company’s agents or brokers as every detail is placed in a respective company’s website and customer services are being provided through telephone or live chat.

    Options for every individual

    There are many types of platforms where an insurance company can sell their respective products and policies. For instance, if an individual wanted to purchase marine cargo insurance, he/she can directly go the company they want to buy a policy, with a certain amount of premium. In other cases, one can go meet a broker who has ties with one or more companies. These independent brokers can independently advise as per the need and requirement of the customer. In the first case, one can have a direct association with the respective company’s agent for the insurance they opt. In the second case, a certain amount of money is paid as a fee to the advisor for guiding them through the selection.

    Select the right one through ratings

    These days, identifying the right company that can pay your losses or compensate the damage is easy. That can be done through ratings provided by customers. Good, bad and ugly, everything is fair today, thanks to the internet.

    The firms who rate these insurance companies might use various grades. However, the criteria used by all of them is more or less similar and depends on the management stability of a company, performance recorded from recent records and finally, the financial ability to repay the losses.

    Services that can be acquired

    It is important to know who the agent, customer care executive or even the broker you hire is to get an assured and valued service that is most required.

    Always feel free to ask the following questions: Is there counselling provided for the type of insurance taken? Is there an annual review provided for the updates of coverage? Is there someone who can answer the insurance-related queries? Is there any executive to resolve all issues related to billing and claiming? Lastly, it is better to choose a provider who is close to your house or office, so that it is approachable.

  • New Infinium Web Design Launched
    Celebrating the Website Redesign

    Just a quick post to update anyone and everyone about the new website for Infinium Group, LLC. I wanted a cleaner site, but more importantly, a website framework that would allow me to have multiple pages, landing pages, and total control over layout, navigation and all of the elements that matter for marketing.

    On a related note, this website is a case study and example for the Do-It-Yourself Website training course. In my new course, I teach people how to create a website. No experience necessary.

    Thanks for stopping by, make sure to like us on Facebook, Google+ and stay in touch via our email newsletter.


  • 4 Quick Things to Get Perspective On your Website

    Here’s a quick tip that will take you 1 to 5 minutes to give you a little insight into your website. It’s so easy to get our website online and then forget about it.
    4 quick things to get perspective on your website4 quick things to get perspective on your website
    Look at your competitor’s website and make some observations and comparisons.
    Ask someone to tell you the number one thing that stands out to them on your website. It doesn’t matter whether they are an employee, friend or stranger. You might be surprised what they see. Then ask some more people…
    Do a Google search for the keywords or phrase that you want to be shown for. Did you even make it to the first page? See who did and review their website and take a couple notes.
    Check out your website on a smart phone and see how easy it is to contact your company.
    The Internet is changing, make sure your website evolves with it. If you need help redesigning your website, rethinking your website’s goals, or how you can generate new business, then make sure to click or call to contact us. (619) 940-7199