Preparing Children Education Fund

In preparing the budget for education, it is good we start early, a financial planner would advise his client to start immediately, right now, yes because if we delay it will result in more funds we have invested. In fact, it would be nice since a baby is born, parents are able to allocate part of the income received to fund education.

Before we discuss how much funding was located for future education costs, it's good that we understand other factors inherent in the education fund. It would be wise if you know how large an increase in these costs.

According to research results that increase the cost of education is to exceed the annual inflation rate of a country, this applies as an example of any country's annual inflation rate in Indonesia in July 2008 was 11.90% in the calculation of the cost of compulsory education in Indonesia, we compute the range of increase of 1, 5 to 2 times the inflation countries, namely for 17.85% to 23.8%.

For example, if a large main funding of education in 2008 is Rp 25.000.000 the range of education funding that was prepared in the year 2009 is to Rp 29,462,500 and Rp 30,950,000 was a big range of additional funds was Rp 2,946,250 to Rp 6190. 000.

The next step is to calculate the future cost of education to be achieved. There are important things that must be considered the child's date of birth, it becomes important that the calculation is accurate, in reality, many financial planners do not see from the date of birth but only from the child's age.

The calculation is accurate if you use that method of birth date of investment per month for 2 years no education fund deficit.

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Advertising Objectives

It is not totally true, if the advertising is intended only to affect sales, because many variables that affect sales, including the ad itself. A more appropriate approach is that if the purpose of advertising is directed at the stages of readiness of buyers to buy a product, which is changing the customer from not knowing to understand, take a stand, and then buy. Therefore, marketers must determine which phase should be worked through advertising.

There are several ways to determine the purpose of advertising, namely:

1. Inventory Approach

In this approach the purpose of advertising is determined or taken from a collection of various corporate purposes views of the entire corporate marketing perspective. With this approach, marketers can realize that there are many different goals that bias emphasized in advertising, and election purposes should consider other marketing purposes. However, the weakness of this approach is that the goal can be selected may not be feasible or even contradictory.

2. Hierarchy Approach

This approach is based on the presumption that before buying the product, the customer through the stages of psychological variables.

Therefore, the purpose of advertising should be moving these stages in a hierarchy. The purpose of advertising such as initial customer attention, perception, and greater attention, and interest in buying. Or it can also affect the understanding of feelings, emotions, motivations, beliefs, interests, decisions, images, associations, memories and customer recognition. Even so, it's hard to connect those goals with marketing objectives. Besides the measurement of psychological variables are also difficult and subjective measurements when compared to the achievement of objectives, such as profit.

3. Attitudinal Approach

This approach suggests that the target goal is to affect the structure of advertising attitudes.
Advertising objectives can be the revelation of the following statements:

• Influencing the most influential force in the selection criteria to evaluate the brand of a particular product class.

• Increase the characteristics of things that are considered outstanding in the product class.
• Change the perception of the company's brand on some specific product characteristics or significant outstanding.

• Change the perception of brands that compete on some characteristics of a particular product or an important outstanding.

This approach is a refinement of the hierarchical approach, in which this approach attempts to relate the purpose of advertising with marketing objectives. This approach not only shows the attitude of the functions to be carried out ads, but also show some results to be achieved. The tasks of the next advertising can be used to determine the destination media.

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Tips On Property Investment

To consider when investing in property in the field offices include:

1. Capital Safety Assurance Everyone who invests will always expect the safety of invested capital. Good means that the value of invested capital is not reduced and even increased.
2. The Revenue Assurance revenue stream will be obtained by investors, the size of the share of income that will be taken Decree investors. The leased property is income derived from rental income
3. Easily Purchased and easy sale to the difficulty of an investment bought or sold in terms of cost, time and procedure. Terms such as details of the purchase agreement, notary services / PPAT, advertising and property taxes need to be considered.
4. Can be broken down into small units typically require capital investment that small, relatively easy to sell.

Here are some characteristics that are in the field of investment property:

1. Investment is more long-term.
2. The cost to buy and sell is relatively high.
3. The time it takes to buy and sell old.
4. Proof of ownership can sometimes make an important problem.
5. The amount of capital needed to buy land and buildings is relatively high and can not buy some of its shares.
6. Maybe there are many problems in the management in terms of ownership.
7. Land is open to influence legislation and policies and politics of the country, where this may have a negative impact on an interest in the land.
8. Ownership of land is a symbol of "social status" someone.
9. Constantly rising land values over time and is a good control of inflation.

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Investment In Property

Investment in property is still a major choice most people, because people think that it is one of the best ways to grow your money. Property investment is generally considered more secure than other types of investments. Why your own control or manage the investment, so you can control almost everything. But it is not the only advantage in property investment, because the most interesting fact of this property investment in allows you to use other people's money to start investing.

Most other investment products is much influenced by external factors. For example prices in the stock market can go up and down rapidly because even significant issues or gossip about politics, government policy, national security, economic conditions, or as bond prices fall when rates of inflation and interest rates go up. Compared property was also affected although external factors, but the changes are not too fast, for example, house prices could not change course just a day but it took years.

Benefits of Property Investment

By investing into the property, you have the opportunity to get a great investment return. If you see Donald Trump an American property entrepreneur or Ir. Ciputra from Indonesia, they became rich from business property. Bank also has a property, if we look at building high-rise headquarters of a magnificent, not to mention dozens of branch offices
There are many ways to invest into the property. You can start by buying a house, shop, build a house rental, other commercial buildings or vacant land. Of all these options, buying and selling a rental home is better for those who choose to start investing in property, then a little savings from the rent to be invested back .. If you look at a lot of people are interested in creating a rented house, because with a landlord lets you have a property that you can control yourself, then sell it later. The good news is you do not need much money to start your investment in property.

It's important to understand why the property is often the primary choice of people to develop the property, why not because the property is not risky. Like any other investment in the property also has constraints such as the tenants are late paying rent, moved without telling, damaged buildings, whatever difficulties may occur. The point is if you are willing to bother with such matters, the investment in the property is for you.

Using Other People's Money

One of the most interesting thing from an investment in property is that the system created in such a way that allows you to use other people's money to finance your investment. This is one of the most important concepts in business property that can make you richer than other investments.

On the other investment types is the large amount of investment is determined by how much you are willing and able to pay with cash. So to buy another investment balls you pay cash with the assumption that using your own money. We take the example of investment in capital markets. To buy shares then you have to pay cash entirely from all the transactions, unless you do the actual trading margin is very risky. So is investing in bonds, mutual funds, deposits and savings in the bank, even gold and collection items that have art value, it requires that all cash payments.

Investment in property is not the case, you can just pay for the house down payment of 10% to 30% of house prices in order to have the goods then the rest can be financed from the loan to the bank. Not only the banks, the developer can give relief payments for an advance payment of the purchase of goods too.

Opportunity to use other people's money materialized in the form of financing is referred to as leverage, or ability to multiply things. For example, the first day you managed to get a home loan with a down payment of Rp 30 million, the Day of the same direct your cash assets increased to $ 100 million. By using the investment home financing can be doubled in two ways. First, the more money invested the more other people's money or financing you can get, for example, with money USD 30 million, then you can only buy shares up to Rp 30 million. But with the same amount of money if you invested in property, then you can buy a house for Rp 100 million. Where you put a deposit on a house for USD 30 million, and banks to finance the remaining amount of Rp 70 million, then you become the owner of a building for Rp 100 million. Does not this amount is more than 3 time 300% or double? Unbelievable.

Why Real Estate Benefits

Using other people's money or use the financing is just one of convenience that can be used to invest into the property. But other than that there are many benefits of investment in property that makes it very attractive investment than others.
1. Cash Flows, "Cash Flow",
Cash flow is the money you receive on a regular basis for the money you invest in an investment. such as interest earned on savings and deposits are cash flow because it provides income to you. In property, the rent can be a revenue or cash flow for you. The more buildings you can rent the greater the cash flow.

2. The value of your ownership of the house increases.
Value your ownership or rights to property investment financed from the concept of using other people's money was going to increase, far exceeds your debt or obligation. Rights of ownership in an investment person is known as equity. For example if you purchase your property investment of Rp 100 million, financed by the bank's USD 70 million, the remainder of USD 30 million using your own money. So your ownership rights to the investment value of Rp 100 million this is Rp 30 million or 30% of them. Ownership will increase in value because of debt repayments reduce liabilities. In addition your property rights are also increasing because of rising property values. Your property value will increase due to inflation, which makes the price of goods and services, including property increased. As a result of this inflation is not just the rising property values, but you also have the opportunity to increase cash flow or your regular income to increase his rent was in line with inflation. The increase in the value of this property can even increase your borrowing power. Banks usually provide additional loans based on rising prices of surety or property conveniently. You can use this money to pay off old debt balance, and the rest of the money from these loans can enter your bag. Then for a new loan installment adjust the rent income.

3. Opportunity to build a bigger building again, after you successfully pay off their debts, you'll have more money to be allocated, for example, to make existing properties become even greater. Many property investment starts from a small building, but because there was income from the rent that could cover monthly loan repayment, then make the property into a larger building became very possible.

Is it hard to Get Loans For Investment Property?

The most difficult part of any business is to get the money to finance the business. People are still very difficult even to borrow from the bank's business loans to start a business. Banks usually only want to give loans only to businesses that have been running 2 years. This does not apply when you want to borrow money to the bank to buy a house. No matter whether you just bought a house for the first time or for the umpteenth time, home loans may be given by the bank for the purchase of any home. Apart from the mortgage bank is also considered a type of credit risk is lowest.

For home loan mortgage amount adjusted to your income, so that the bank assumes that debtors have had a stable income that can be used to pay the monthly installments. Then in terms of its guarantee of the building itself, which we know continue to experience price increases, so do not be surprised if the guarantee is generally able to cover its debt.

Steps To Start Investing In Property

Although there is a chance to use the loan to finance your property investment, does not mean you become complacent. Investment in fixed property requires a commitment of money and time. So do the research and establish a plan before investing in property is very important. Because the initial step and most important once you decide to invest into the property was to learn everything about the property as much as you can.

• Continue to learn, there are many sources of information can you can to learn about such property investment from the book - books, courses, seminars, as well as the Internet and others. To learn more about your property business can also take a part-time job as a property broker. The advantage, besides you can practice what you learned from the various sources of information, you can also get sales commissions from selling your property. Not to mention the opportunity to build a network or networks that would be very useful to help your property business later. Doing research in advance will make you "aware" of the risks or problems that may arise regarding the ownership of such property can be a problem with the tenants, the costs of building maintenance.

• Work with the home seller's agent or property broker, once you equip yourself with adequate information about the property business then look for a home seller's agent or property broker who will help you understand more about the property business. Find a dealer who had experienced at least 2 years, they usually have far more control of business property.

• Research on interest rates, rising property prices, rents, if you want to use financing from the bank interest rates compare bank loans with one another and seek the most competitive. Then also on the assumption that property prices so that you can determine approximately how much the selling price someday. Do not forget if you want to get some money from renting house, before determining rents search for information about the prices reasonable rent for the area adjusted to the condition of the building.

Your Action Plan

Once you have determined to invest in property, then you just set the next goal of your property investments are specific and measurable. Suppose you want to get the money USD 100 million that you invest in property investment or purchase of property E can be USD 1 M in 10 years. Once you set a goal then you can determine what type of property suitable for achieving these goals, whether residential, commercial buildings .. Calculate how much money is needed to invest, property market conditions, then the amount of rent you can expect, as well as how many buildings you can buy. By doing research as suggested above, then you can estimate how much money should you provide and how much investment return could be expected to continue to grow. You can even predict how long the property should you stand before you sell it. By making financial goals will give you the kind of guidelines to start your new business, take actions necessary, to anticipate risks, then make the investment.


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World Gold Prices, Short-Term Prediction and Long Term

World gold prices last week showed declining trend indicated by the U.S. $ Index.
We know the world gold price in U.S. $ is inversely proportional to the power of U.S. $, so when the U.S. $ is stronger - the world gold price in U.S. $ decreased. Can be roughly predicted that if the U.S. $ index reached 83, world gold prices will be below U.S. $ 900/oz. This course if all things being equal - ceteris paribus.

Although the world gold price in U.S. $ in the short run down, does not mean prices in Rupiah (Indonesian currency) will also fall. If the U.S. $ strengthened, Rupiah otherwise would tend to weaken - because the scales / comparison up. So depending on where the greater the decrease in gold prices compared to the weakening Rupiah. When the Rupiah could survive such conditions are present (fixed), then the gold price decline is a new world will be followed by decline of gold prices in Rupiah.

What does it mean when a nation's debt continued to rise far beyond the production growth?, She will experience symptoms bankruptcy. Physically, they may still look strong, but they are technically bankrupt. When a country has a lot of debt and headed for bankruptcy, the money becomes worthless.

Upshot: the price of gold in the short term is likely to be at a low price range in one, two or maximum three months. After that the world gold price in U.S. $ can move along with the decline of wild value of U.S. $, high inflation or even hyperinflation.


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Know Your Gold Investment

Investing in gold could use some variety of media such as gold bars (bullion), gold coins, gold certificates, gold savings, mutual funds with underlying gold mining companies, as well as commodity futures contracts in gold.

Pros & Cons Gold

Gold values tend to be stable and inflation has no effect (zero inflation effect). It is very rare that gold prices fell. Gold can also be used for the collection and jewelry.

Gold is also good to diversify. Suppose you have invested in stocks, bonds, mutual funds, property, or others; buy gold could be a good alternative. Moreover, in some countries reportedly declining gold production. Because of increasing scarcity of gold, surely the price will always rise.

Another advantage, the price of gold was set in USD. If an increase in the value of USD, you get two benefits at once, ie the increase in the dollar and rising gold price itself. However, if the opposite happened, it could be a double-edged sword.

When compared with investing directly in USD currency, gold is more profitable. In Indonesia, money changer currency appreciate cheap long output or folded currency. Not to mention there is a risk of false serial number. As a result, save the CAD currency must always be updated. Unlike the gold that can be bought and taken any action for a while.

The downside, especially in terms of storage and handling. Save a "hard assets" like gold is relatively risky and expensive. In addition, if the storage is less good, though covered with protective cover, allowing the oxidation and discoloration. Special-shaped gold coins, if you fall, dented, or chipped, it is difficult to be repaired again and can reduce the price. If I say, gold is less suitable for those who are careless or reckless.

Other deficiencies, the return is relatively stable and less exciting than stocks or property. Also, it is not advisable to invest in gold only in the short term (1 year or less). So, based on the strengths and weaknesses, in my opinion tend to be more appropriate gold for "hedging" than "investments."

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Investment

Investment is a term associated with the finance and economics. The term is associated with a form of asset accumulation with a hope of future profits. Sometimes referred to as the investment of capital investment. Talking about investments, which generally arise in our minds is invested in the form of money in order to produce excess profits. For example we have the money to buy stocks, buy property, joint venture in an enterprise, and the like.

Investment products
Some investment products known as securities or securities. Where the definition of securities is an instrument of ownership which can be transferable in the form of securities, stocks or bonds, evidence of debt (Promissory Notes), interest or participation in a collective agreement (mutual fund), right to buy a stock (Rights), Warrant to buy shares in the future or instruments that can be traded.

Investment forms
• Investment is expected to increase soil populations and the use of land; land prices will rise in the future.
• Investment education with increased knowledge and skills, job search and the expected higher income.
• Investments in shares are expected to benefit from the company's work or research.

Investment Risk
Investment as well as additional income a person can also carry the financial risk if the investment failed. Investment failure is caused by many things, among them the safety factor (either from natural disasters or due to human factors), the rule of law, and others.

Some Types of Investment
Some people talk about investing. There is an investment company, investing their own there is also investing with friends. What will we talk about here is investing in general.

In financial planning, investment vehicle is an important one. A financial planning can not be achieved without investment strategy.

Several types of investments that are often used or bought the community :
1. PROPERTY
2. GOLD
3. BANK PRODUCTS, savings, deposits and others.
4. FOREIGN CURRENCIES
5. PAPER ASSET ie stocks, mutual funds, bonds and others.
6. INSURANCE

Property
20 or 30 years ago, when development in the cities was intense, there were many people who got rich because of the land suddenly becomes expensive price. So that parents are often advised his son to buy land for investment. Of course, investing in property is good, but today with different times of yore. Sometimes there is a house that eventually will not sell, because right in front of the house was built the overpass. But it can be concluded if a good location drove property prices equal to a particular location.

One relative told me, that when he built his house in 1995, buying land and building cost of 375 million. Current market price of 3.5 M. Rising nearly 10 times as much, but when taken an average increase of 15 times. Unfortunately it has offered 2 years but still there’s no one who wants to buy.

Gold
What we are talking about is pure gold, not gold jewelry. From the past until now the gold price rise is proportional to the inflation

Savings, Deposit.
Usually given a lower interest rate than inflation. Use the savings and deposits to save money as an emergency fund

Foreign Currency
When we use this foreign currency as a long-term investment tool, then the increase is in accordance with inflation, especially the dollar. But when used to benefit a moment, can provide a big advantage when prices are volatile, and may also provide a loss.

Paper Assets
This is one investment instrument that is very attractive to be adhered. Various kinds of paper assets, such as Mutual Funds, Stocks, Bonds. The results depend on the investment with the economic conditions of micro and macro. For long-term investment objectives Mutual Funds can be an option, so that investment returns can be optimized. Investing in paper assets of many factors to consider:

1. Period of time (time frame)
2. Knowledge of investment
3. Risk profile of investors
4. Market conditions
5. Financial Condition
6. Age

The first thing to do is find as much information as possible through seminars, books, browsing, or ask the people who know better than to jump into one of the investment instruments you are interested. The main key when the time is still long and limited capacity, find an investment instrument that gives results greater than inflation. If inflation is less than the amount of funds should be set aside to be very large.

Insurance
There are some people who likes to invest through insurance, usually people like this do not want to bother to separate the insurance with investments. Usually people who are busy and do not have the time to learn about investing.


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Five Benefits of Life Insurance for You

First, make sure that your family has adequate funds if you die unexpectedly. Or, the family whenever you get the protection you have a total permanent disability due to illness you suffered so that you can not work as usual.

Of course, we never expected this catastrophe. If that happens, when you protect yourself with life insurance products, the family as the beneficiary will receive valuable protection against the risk of something unexpected in the form of sum assured.

Second, ensure that your family can maintain the quality standard of living when you die. Without the protection of life insurance, these incidents resulted in lost family income that your family's standard of living further decline.

Unexpected conditions and the negative impact could be eliminated if you already have a life insurance policy. Insurance policy you have to provide financial compensation in the form of sum assured and other insurance benefits for your family as an heir. Of course, they get compensation in accordance with the program you purchased insurance.

Third, the costs of education your children. Today, education needs from time to time experienced significant improvement. There are many elderly people who mess around with the amount of school fees for their children who want to go into elementary school level, junior high, high school, or university.

When you have to include your children in a loving Education Insurance policy, or your insurance policy covers the cost of planning needs education for children, there is a heavy weight on your shoulders the costs of education are able to overcome them.

When you pay the premiums, your proverbial menyicil little by little for the future needs of your children. By the time they enter school age in accordance with the policy, sum assured will be out or be withdrawn. Funds from this insurance money will really help you when the children enter further education.

Fourth, to meet your needs in old age or the availability of retirement savings. By the time you were signed in the productive age, you can get the maximum income, and that in accordance with the contribution you make.

Over time, your age increased, and to the point you will enter retirement. At that moment, the premium you pay for retirement purposes will be able to help you in a sufficient variety of needs. You still receive sufficient funds for your needs from month to month.

Fifth, ensure that you get the extra income when you are dealing with a serious illness or fatal accident. The reality, no one ever imagined would experience things that are fatal, such as an accident or prolonged illness.

If that happens, and you have to protect life insurance, you can get protection against the risk of unexpected things. In every situation you experience, the insurance policy you hold can yield benefits of protection so that you get adequate funding during the treatment. Death, misfortune, can never predict his arrival.

The anticipation, you and your family need to get protection through life insurance products. The premium you pay may reduce your burden and the people you love when events / unexpected misfortune happen to you and your family in the future.


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Benefits Financial Insurance for Families

Life Insurance
Briefly life insurance is the provision of funds to protect or maintain the continuity of the family life of a loved one. If you are still naked and not married then it might be better if you buy health insurance (if there is no benefit from the company). Or maybe you can buy insurance for serious diseases or so-called critical illness insurance. With this insurance, if you are diagnosed, then you will get the money at once or before Sump, which can be used to fulfill your daily needs.

Determining Insurance
If you need life insurance for certain purposes, for example maintaining the investment in children's education costs, the calculation of the amount required sum assured becomes easier, at least 6 times you prepare from your gross income or 10 times net income. This value may be enough for some families but may also be low for some others.



Deposit insurance
Term life can be taken every year and extended in the next year or you can buy it for a period that you specify for example 5 years, 10 years, even 20 years. When you purchase an annual term insurance, annual premium costs will always rise. Because the insurance premiums to see your mortality probability will further increase with age. Whereas if you buy term insurance 10 year term, then the insurance company will calculate the average premium cost or flat for a period of 10 years.

As long as you pay the premium every month, your insurance protection will continue to apply. Meanwhile, if you fail to pay the annual premium, your insurance protection will be exhausted by the time limit (grace period) is very short-one months. This insurance has no cash value. That is, if you die at the specified grace period, then your family will receive the full sum assured.

When did Buying Insurance
Some people ask, what about the insurance products that provide cash value? Like the unit-link. Where you can select the types of investments that match what you want. Should I buy this type of insurance or insurance buy term and invest the rest?
When you compare these two things, buy term insurance and invest the rest will give better results if you consciously continue to invest. If you fail or postpone investment because of certain things, the results obtained it is not maybe a little more cash than the value given by the unit-linked products.

If you include the difficult to set aside funds to invest regularly every month, product unit-linked insurance can be an alternative. This product provides the benefits of this type of investment that we can select and protection be with him. By purchasing this product, every year (if you pay premiums every year) you'll be charged the same amount of premiums, in which some will be invested (the longer the greater portion of investment compared with protection) and others-cost protection and other administrative costs.


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Insurance Dictionary, Glossary-term understanding in Insurance

Insurance terms can be confusing for those who are unfamiliar with insurance or who have never bought an insurance policy before. Here, we have compiled a list of insurance terms commonly used to help you to better understand the policies and the benefits we offer.

Actuarial (actuarial).
The function of an insurance company to apply mathematical principles to the insurance, including calculate / calculate the list price of health premiums and ensuring the company financially.


Annuity (annuity).
Annuity provides a fixed annual income for life. Typically, some cash money invested in the future in order to produce the funds to obtain a steady income for life is.

Assignment (transfer of rights).
The transfer of part or all of the right to receive income derived from an insurance policy from a person or entity, to the person or other entity.

Automatic Premium Loan / Non-Forfeiture Loan (automatic premium loan / loan with no redemption).
If premiums are not paid for the time period and a grace period the policy has sufficient cash value, there is a provision specifying that the relevant amount of premium paid in advance automatically. The loan amount is still outstanding premiums may be charged interest.

Cash Value / Surrrender Value (cash value / redemption value).
The amount of money that will be received by the policyholder when he poured his life insurance policy that has the benefits of saving value.

Endowment Plan (aid programs).
This type of insurance program combines both protection and savings benefits. This insurance program pays cash benefits amount of money to the insured when the policy matures. The program also pays the amount on the insured dies, or if applicable, when the insured is a comprehensive disability and permanent, and if it happens at the policy expiration date.

Grace Period (the grace period).
Period of time after the expiration of the premium payment date falls where premium payments can still be done at no interest. During this period, the policy is still considered valid.

Investment-linked Plan (insurance program associated with the investment).
Premiums paid are used either to purchase insurance protection benefits as well as units in an investment portfolio. Unit price will depend on the investment performance of funds.

Maturity Date (due date).
The date agreed upon during which an insurance company paying some cash money.

Non-participating policy (a policy that is not included).
An insurance policy where the policyholder not included in company profits.

Paid-up Value (the value of payments in advance).
This provision gives the right to policyholders to stop paying premiums at a later date after the policyholders receive the cash value. Policies remain in force in accordance with the amount of insurance money that has been reduced in value.

Participating Policy (a policy that includes).
An insurance policy where policyholders participate in company profits.

Policy lapse (policyholders through time).
Termination of insurance as a result of not pay premiums.

Policy Loan (loan policy).
A policyholder who need cash for temporary period can apply to obtain a policy loan against the value of the coverage of the policy. Imposition of interest began to be calculated on the effective date of the policy loans.

Premium (premium).
Amount to be paid to obtain the desired insurance coverage.

Regular Premium Policy (regular premium policies).
A policy that requires regular premium payments, for example, monthly, every four months, every six months or yearly.

Reinstatement (re-enactment).
The process in which an insurer enforcing back a policy that has caused over time because they do not pay renewal premiums.

Rider (additional benefits).
Riders are additional benefits that can be included in a basic insurance programs, such as comprehensive insurance program (whole life plan) or a program of assistance (endowment). These benefits are designed to provide additional financial protection for less money.

Single Premium Policy (policy to pay premiums at all).
A policy that requires only one premium payment made in advance.

Sum Assured (the amount insured).
The amount of money insured security to policyholders.

Term Plan (limited-term program).
Types of such insurance program offers protection / life insurance protection for a limited period of time. The amount of money insured can only be paid if the insured dies, or where applicable, disability comprehensive and permanent expiration program ..

Underwriting (insurance).
The process of assessment / evaluation and classification of degree of risk associated with the insured candidates, and making decisions to accept or reject the risk.

Whole Life Plan (comprehensive insurance program).
Types of life insurance program offers protection / life protection against death or, if applicable, comprehensive disability and permanent, to the insured.


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What is Advertisement ?

Of course we all frequently see ads that are distributed by various media, both print media (newspapers, magazines, tabloids, etc.) as well as electronic media such as TV, radio and the Internet.
Then what are advertisement purposes?
And what are the types of advertisement?

Ads are one form of persuasive communications that are part of the marketing activity intended to persuade audiences to take advantage of goods or services. Many ads can be used to persuade to recognize the messages conveyed through advertising. Only persuasive communication in advertising that does not have the audience know exactly the source of the sender, the decisions they make, depending on how much influence or convincing communicator them. It required a planned analysis based on the rule of research, to measure how much the effectiveness of advertising messages through audience can influence decisions.


In the English language known by advertising that comes from the Latin ad-vere a means of passing thoughts and ideas to others, as well as understanding of communication. In France called reclamare which means shouting something repeatedly. While mentioning I'lan Arabs. The term in Arabic is that adopted by the Indonesian language to pronounce the word 'advertising'.

In ad perspective tends to emphasize the creative aspects and delivery of persuasive messages delivered through special media. Marketing perspective and an emphasis on advertising meaning as a marketing tool. Meanwhile, more pressing psychological perspective persuasive message.

Some views about the ads have been written by several experts, among others:
1. Liiweri, 1992:20 fully written that advertising is a communication process which has important strengths as a marketing tool to help sell goods or provide services, as well as ideas and ideas through certain channels in the form of persuasive information.

2. Kotler (1991:237) defines advertising as any form of non personal presentation, promotional ideas, promotional products goods or services by a specific sponsor paid. This means that in conveying the message, the communicator was specifically do so by paying the owner of the media or people who work at paying.

Although there are differences in terms of advertising perspective different but the bulk have the same principles in terms of advertising, where the ads contain six basic principles namely;
1. Any particular message
2. Conducted by the communicator (sponsor)
3. Done by non-personal
4. Delivered to a specific audience
5. In conveying the message is done by way of pay.
6. Delivery of the message, expects a certain impact.

Ad Types
To map the types of ads is not easy, because of one ad view other ads often overlap. Here are the types of ads that put forward by some experts with their point of view;
A. The types of ads based on the benefits (Kotler)
B. The types of ads by classification based on groupings (Richard E. Stanley)
C. Types of ads based on (Liliweri (1992):
1. The general standards of advertising and public service
2. Special ad is based on the division of ad types, such as:
a. Based on the medium used
b. Based on the commercial purposes and public services.
c. Based on field contents of the message.
d. Based on the product being advertised.
e. Based on the ads target

In practice the marketing activities is not only a good product necessary, appropriate pricing and orders (display) in an interesting place but needed better communication with consumers. One form of communication is the communication activities of persuasion, which involves sending communications (source) and receiver interact. Only persuasive communication in advertising that does not have the audience know exactly the source of the sender, the decisions they make, depending on how much influence or convincing communicator them. The effectiveness of persuasive communication is highly dependent on both the sender and recipient factors including the message that the message conveyed in advertising.


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Insurance

Insurance is one form of risk control is done by transfer / transfer risk from one party to the other party in this case is the insurance company.

The other explanation of insurance is a transfer of risk from the first party to another party. Controlled by the delegation of legal rules and the application of the principles and teachings that are universally adhered by the first party or other parties.
In terms of economics, insurance is a collection of funds that can be used to cover or pay compensation to people who suffered losses.

Insurance History

Insurance comes first from 4000-3000 BC Babylonian society known as Hammurabi agreement. Later in the year 1668 AD at the London Coffee House Lloyd's of London stands as a precursor to conventional insurance. Source of insurance law is positive law, natural law and the previous examples as culture.

Insurance brings social and economic missions with the premiums paid to insurance companies to guarantee the transfer of risk, namely the transfer (transfer) the risk of the insured to the insurer. Insurance as a risk transfer mechanism where the individual or business move some uncertainty in exchange for premium payments. The definition here is the uncertainty risk occurs or whether a loss (the uncertainty of loss).

Insurance in Indonesia started in the Dutch colonial period, associated with the success of the country's companies in the plantation sector and trade in Indonesia. To meet the insurance needs of business sustainability, of insurance required. The development of insurance industry in Indonesia had a vacuum during the Japanese colonial period.

What are the benefits of insurance?

Besides as a form of risk control (financially), insurance also has a variety of benefits that are classified into: the main function, secondary functions and additional functions. The main function is as a transfer of insurance risk, premium collection and fund balance. The secondary insurance function is to stimulate business growth, prevent loss, damage control, social benefits and the savings. While insurance is an additional function as an investment fund and invisible earnings.

Are all risks can be insured?

Not all risks can be insured. Risks that can be insured are: the risk that can be measured by money, the risk of homogeneous (the same risks and guaranteed by insurance), a pure risk (this risk is not profitable), particular risk (the risk of individual sources), the risk that occur suddenly (Accidental), insurable interest (the insured has an interest in the object insured) and the risks that are not contrary to law.

As we know one way of handling risk is to insure a risk to the insurance company. This method is considered as the most important methods in effort to cope with risk. Therefore many people who argue that the same risk management with insurance. Though the actual state is not the case.

Insurance coverage means the transaction, which involves two parties, the insured and the insurer. Where the insurer guarantees the insured party that he would get a replacement for a loss which may be suffered, as a result of an event which initially is not necessarily going to happen or who previously could not be determined when they occurred. The consideration of the transaction is that the insured is required to pay some money to the insurer, the amount of several percent of the insured value, usually called "premium".

The insurance has a goal and solution techniques vary, they are:

Risk Management

In human life, risk factor is something that would happen. Starting from the risk of loss of assets or property, the risk of illness, total disability until the risk of loss of life or death. The cause could be natural (due to illness) or due to accidents and ironically we never know when the risk will happen. However, people still can manage the risk by transferring risk to other parties (in this case the insurance company).

If we speak the risk of death we will immediately imagine life insurance. Yes every man must be experiencing, for those who have a family would want to give an assurance of protection that is relevant when called by his Maker so the family still run a decent life with food and clothing among other things continue to be fulfilled, the children still can go to school until they reach the highest level.

Life Insurance

Life Insurance is one instrument that can be used to transfer risk, where if there is a risk of death to a person then their heirs will get some funding so-called Sum Insured. In the life insurance industry in Indonesia today, the traditional type of insurance known as term life (term life); whole life (life insurance), endowment (traditional insurance with a combination of savings), as well as a life insurance policy or investment-linked unit-linked . Type of unit-linked insurance is very popular and almost all major insurance companies have these products and even some foreign insurance companies in Indonesia only sell unit-linked type products without traditional selling other insurance products. Unit-linked life insurance benefits in addition to providing life insurance protection, while also providing an opportunity to participate directly in investment, especially in mutual funds.

Unit Linked Life Insurance

These types of policies are favored by insurance companies and their policyholders (current), visible from the life insurance industry growth in the homeland of unit-linked premiums which are the largest contributor to many life insurance companies. This is a situation conducive to the insurance company because the product over the long term this will further accelerate the growth of RBC ratio (risk capital base) which is the ratio of capital to risk versus the minimum number required by the government through the Directorate General of insurance is 125%. Many insurance companies selling unit linked products will inevitably have a high RBC because insurance companies do not WARRANTIES cash value or investment value invested by the customer, the risk performance of investment funds into the customer's own responsibility.

This product is very practical because it allows customers and prospective customers. In these types of products customers need not have bothered to visit the company's two insurance companies and mutual funds investment management company that is an investment manager, because with this product and investment protection packed into a single unit. Customers are also relatively thin pockets can easily get the protection and investing as it can be done with the amount of the value of a relatively small investment. Many who accept the unit-linked investment value is only IDR 100 thousand per month and even less than that!. This product also has an investment of liquidity as adequate as far as can be taken by the customer at any time even after a certain period of investment value can be used to pay the basic premium, so the customer can leave the premium.

With the variety of the above facilities, a wise reader needs to know more in whether it was the best option? When compared with buying separate products (the insurance on one side with mutual fund investments on the other side), which can provide maximum benefit for us? Let us both further study.


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