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Why Your Taxi Business Should Consider Going Green

London

The state of the environment is a much-talked-about topic across all industries and markets, including the taxi and transportation industries. Unfortunately, cars and other vehicles are one of the primary villains regarding carbon emissions. However, taxi companies provide a valuable and vital service for so many people on a daily basis, not to mention pumping money into local economies as well.

Adapting the way you run your taxi business now can have a massive impact on your success as rules, regulations, and public awareness err on the side of environmental caution.

Here, we’ll take a look at how your business can go green and the steps you can take to provide a safer environment, both financially and in terms of the world around you.

What Does Going Green Mean for You?

‘Going green’ is a bit of a buzzword at the moment, with all sorts of industries capitalising on their consumers desire to be more ‘woke’ to the issues that are affecting us and the generation coming next. This is no different for taxis. Car companies have put billions into developing both hybrid and electronic vehicles that emit less carbon into the atmosphere, helping reduce the footprint they make.

Unfortunately, due to the nature of the business, taxis are obviously on the road all day and all night. Figures from a report published by the Low Carbon Vehicle Partnership and Energy Saving Trust show that private hire taxi vehicles contribute negatively to air quality and as a result the health of the public and the drivers themselves. In central London in 2013, for example, up to 18% of nitrogen oxide emissions come from taxis. The report also states that air pollution is still the number one environmental cause of preventable illness and death in the UK – a shocking statistic.

So, what does this mean for you? You’ve likely spent years building up a taxi fleet and might be reluctant to scrap all your diesel vehicles for a costly new hybrid or electric cars.

The government’s The Road to Zero strategies is aimed at setting goals for the reduction or diesel and petrol car sales in the UK, starting with at least a 50% reduction by 2030 and an all-out ban by 2040. This, as well as the potential for new emission regulations, means that futureproofing your business today will pay off in the long-term.

How Do You Start Your Path to a Greener Business?

If you are a taxi fleet owner in London, you will already have seen that new regulations came into force on the 1st January 2018. All newly-registered taxis have to be capable of zero-emission with any CO2 emissions emitted being below 50g/km.

Deciding to either adapt your taxi business for new green measures or set up a new taxi business with an eco-friendly fleet is the first step. Once you’ve made that choice, you need to start thinking of all the environmental risks your business presents and how you can mitigate them.

You must start with the vehicles themselves. There are schemes in place to help alleviate the financial costs of going green, such as Transport for London’s £5000 grant for taxi drivers who delicense their current vehicle to buy a new hybrid or electronic one.

There are many acronyms out there pertaining eco-friendly vehicles, so let’s dive in and define them:

  • ULEV: Ultra-Low Emission Vehicle
    This is a car that produces less than 75g of carbon monoxide per kilometre and can drive for ten miles without emitting any carbon monoxide at all
  • EV: Electric Vehicle
    This refers to fully-electric cars that are powered by a battery which is charged using charge points (including all Tesla cars, the Nissan Leaf, and the Kia Soul EV, among others)
  • Hybrids
    These are cars that have smaller batteries than EVs that are charged through coasting and braking, meaning they have far shorter electric ranges
  • PHEV: Plug-In Hybrid
    These are closer to ULEVs than standard hybrids because they have larger batteries and can use electric power for longer due to being charged at chargepoints
  • FCEV: Fuel Cell Electric Vehicle
    These cars use hydrogen and oxygen to create an electric current. They don’t release any emission from the exhaust pipe because they are powered by heat and water. These are much less widely used than the other types of we’ve mentioned because charging points are scarce.

With so much to choose from, all offering very different eco-friendly elements and at varying prices, it can be hard even to know where to start when it comes to upgrading your fleet.

One of the main things you will likely consider as a business owner is the cost. Luckily, because there is so much attention being placed on this category in recent years, the government has set up a multitude of schemes and grants to help taxi business owners conform to the new regulations put in place.

Alongside the £5000 grant mentioned above, there are several other schemes to consider, including:

  • OLEV funding for taxi charging: funding for local authorities to set up a charging structure for ultra-low emission taxis
  • Plug-in taxi grant: a grant for eligible plug-in vehicles that is deducted from the retail price when taxi companies by new vehicles
  • EV Homecharge Scheme (EVHS): a grant for up to 75% of the cost of installing a chargepoint for the registered primary user of an electric vehicle
  • VED rates/Fuel duty: all taxis that are entitled to the plug-in taxi grant are exempt from vehicle excise duty if the vehicle is over £40,000. Similarly, electric and hydrogen vehicles will not have to pay fuel duty

What About Insurance for Eco-Friendly Taxis?

Insuring your eco-friendly fleet might be a bit more expensive than a petrol or diesel fleet for a number of reasons, including low emission vehicles present a slightly higher risk than other cars.

Taxis are usually more expensive, which means they will cost more to repair in the event of an accident. Most taxi insurance brokers will, however, try their best to find a competitive quote for comprehensive cover. Having said this, as these types of taxi become more prevalent on UK roads, places that can repair them will themselves become more ubiquitous, which will bring prices down considerably.

Taxi insurance brokers can also help offer some advice on how to mitigate these costs with some tips and tricks to reduce the value of your premium. You could employ telematics in your taxis, which is black box technology that tracks the way your drivers use their vehicles. The safer they drive, the less they will pay because the broker sees they present less of a risk on average.

The best option for taxi insurance is to shop around. It might be tempting to get the bare legal minimum of motor insurance, which is third party only (TPO). However, this will not adequately protect you from the costs that can accrue in the event of a claim. Look around and make comparisons where you can; this will help you in the long-term.

Summary

There are many options out there for making your taxi company greener and therefore better for the world around you. Preparation and research are key to making a relatively simple transition. With so much help available from the government and local authorities, not to mention the number of regulations quickly being put in place, you can afford to work out a greener way of running your business, without losing out on valuable revenue.

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Insurance

The Importance of Cargo Insurance for International Shipping

shipping

SMEs (small-medium enterprises) know they need to expand beyond their shores to compete with the big brands in their sector, and this is where international shipping bridges the gap for them. Shipping and using freight forwarders has enabled SMEs to connect with new markets offshore and grow a more extensive customer base.

Partnering with international freight forwarders as made it easier for SMEs to grow their revenue, secure competitive shipping rates, and use the same resources once only afforded to big businesses. With better purchasing power, these smaller enterprises can compete and gain market share offshore.

Therefore the first step to taking your business global is to establish a mutually beneficial working relationship with a reputable international freight forwarder. The provider’s specialized knowledge regarding international customs, shipping costs, and trade routes are at your disposal.

For example, a freight forwarder will calculate shipping costs to specific trade routes across the globe. The cost of shipping to Germany, China, the USA, or any other trade hub can be negotiated with the right shipping partner, and this insight can provide SMEs considerable cost savings.

However, risk of damage or loss is unavoidable, and accidents do occur. Loss and, or damage to cargo during transport can be devastating and costly, so to counterbalance the risks associated with cargo shipping, customers (businesses) are encouraged to take out cargo insurance.

Understanding Cargo Insurance

Cargo insurance is a necessary preventative measure in today’s globalized market. With customers’ expectations at an all-time high, cargo insurance provides SMEs with financial security, if goods are damaged, lost, or stolen during transit.

Insurance coverage varies according to the type of policy. While every shipping carrier provides insurance, the scope of this coverage varies; therefore businesses are advised to buy additional coverage to ensure their goods are secured with a comprehensive insurance plan.

Types of Insurance Coverage

All-Risk

The all-risk policy is one of the broadest types of insurance coverage available. As the name implies, an all-risk policy offers protection from any physical loss or damage incurred during transit, unless the loss is specifically excluded.

Common exclusions associated with an all-risk policy include:

  • Inherent vice
  • Damage to cargo as a result of negligence
  • Improper stowage by shipowners
  • Customs rejection
  • Cargo abandonment
  • War, strikes, riots, and civil commotions (WSRCC)
  • Loss of use/market
  • Loss over the policy limit
  • Employee dishonesty
  • Failure to pay/collect

Named Perils

Also referred to ask “free of particular average,” the named perils policy only provides coverage for particular perils listed in the policy.

Common types of losses that can be covered by the policy include vessel collision or sinking, bad weather, non-delivery, theft, and burning.

General Average

If a ship or its cargo sustains a loss or is damaged due to a voluntary sacrifice; to safeguard the whole from a common peril, a general average can be invoked, meaning all parties must proportionately share or contribute to the loss according to their cargo’s value.

While general averages claims are rare, SMEs consider getting coverage for this type of risk to avoid any liability if a general average claim is invoked.

Why Get Cargo Insurance?

There are several reasons why SMEs should opt-in for insurance beyond the carrier insurance. Potential hazards exist between your port of origin and the final destination. Ocean freight is particularly fraught with risk. Having a guarantee that goods are covered in the event of any loss or damage can put any business’s mind at ease.

Another considerable benefit is the avoidance of substantial financial losses. Cargo insurance protects from significant, uninsured losses which could compromise a company’s ability to fulfill orders and meet customers’ expectations.

Additional manufacturing costs, expedited freight charges, costs for other sales calls, and incremental criminal investigation costs are just some of the other expenditures a company faces should cargo be lost, damaged, or stolen during transit.

Insurance coverage reimburses you for any potential losses, minimizing its impact on your company’s profitability.

It’s also relatively easy to get insurance coverage. All freight forwarders provide insurance coverage and have carrier liability. What’s more, most insurance coverage policies can be customized according to the policy holder’s desired coverage and risk tolerance.

Get The Right Insurance Coverage

Appropriately insuring goods during transit starts with research. Companies must educate themselves on the type of insurance coverage available.

Different regions operate across different shipping lanes, which will demand specific insurance policies. Working with the right international freight forwarder will ensure SMEs have a strategic risk management policy in place to protect their shipments.

The value of the shipment will also play a critical role in determining the type of coverage required.

Companies must assess their risk tolerance and consider their shipment’s risk profile to estimate the impact of loss on their finances. SMEs should partner with an insurance professional to create a comprehensive coverage plan that covers end-to-end supply chain issues.

The Real Cost Of Cargo Loss

The health of any enterprise is determined by the perceived value of their goods and/or services. Interruptions to any supply chain can severely impact the company’s ability to conduct business and deliver its goods to its customers.

Whether it’s a delay in the arrival of goods or the loss and/or damage of goods, any interruptions during transit can adversely impact revenue and profit. A reduction in inventory can result in lost market share and severely damage the brand’s image.

Cargo shipping is a dynamic process. Multiple exposure points mean it is nearly impossible to predict transportation risk. The unpredictability of risk underscores the importance of purchasing cargo insurance.

By analyzing and understanding the types of risks that can impact their business, the owners’ can successfully develop best practices that mitigate any supply chain risks. In doing so, key risks are managed before they arise, protecting their company’s financial health and securing future growth.

Author Bio

Paul Rehmet is the Chief Product Officer for Shipa Freight. He is responsible for translating the company’s vision into an easy-to-use online freight platform for its customers. In his 25-year career, Paul has held various technology leadership positions with early-stage startups and Fortune 500 companies including Unisys, Destiny Web Solutions, and US Airways.

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Insurance

Dentists Need Income Protection

Dentist

As a dentist, you spend your days taking care of patients and making sure their mouths are as healthy as they can be. During your time, you’ve seen it all, from patients who take really good care of their teeth to others who need a lot of work. You probably offer advice on how people should be taking care of themselves, as well as warn them of the risks if they don’t listen.

You may know a lot about teeth and oral health, but you may not be knowledgeable about dentist income protection. It is fine if you don’t know much about this beneficial insurance. There are professionals who can guide you through obtaining this policy for your practice.

Dentistry may not be a high-risk profession like being a police officer or construction worker, but having dentist income protection ensures that you will be taken care of if you get injured and are unable to work. You may not have a high risk of injury at your job, but your position has its share of physical demands.

Whether you are bending or craning to get a better look at your patient’s mouth, over time, this could lead to strain and/or injury. Not only that, but accidents could happen as well.

If you are questioning whether income protection is right for you, there are some reasons why you should consider getting it. Should a situation ever arise where you are unable to work, you’ll be thankful to have this policy in place.

Static Posturing Can Lead To Injury

Throughout your day, you may have to get up and move from one patient to the next, but for the vast majority of your working hours, you are hovering over your patients’ mouths. This static posturing can cause undue stress on your neck, shoulders, arms, and spine. Repeated stress and strain on these parts can lead to a variety of painful problems, including the development of cubital tunnel syndrome.

Should you find yourself in pain, this could have an impact on your ability to do your job. If things progress further, you may not be able to work at all. Make sure you are thinking about your long-term health and financial stability and put dentist income protection in place.

Your Hands Are Incredibly Important

You need your hands to perform a variety of specialized and delicate tasks. Whether you are extracting, polishing, or filling teeth, your hands need to be steady and agile. Like your body, your hands often find themselves in static positions. When that happens, it leads to an increase in potential problems, including carpal tunnel syndrome.

Numbness, tingling, and pain are all associated with this ailment, and if you are unable to feel your fingers or palms, you can’t perform your job. If you can’t work, you won’t have an income. However, if you have income protection in place, you’ll still be able to live comfortably and ensure that you are financially secure.

Finding the Right Protection

Your dental practice is unique, just like you, so you don’t want or need an income protection plan that is a one-size-fits-all. When you work with the right provider, they will be able to find a plan that fits your lifestyle and needs. Talk to a professional today and find the income protection plan that will work for you.

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Insurance

Life Insurance Jargon Buster

meeting

Researching life insurance is fraught with terminology you need to understand before you consider any type of policy.

In this article life insurance providers Reassured have demystified many of the key terms you’ll come across and we encourage you to reference this glossary as often as you need to so you’re fully informed before choosing this type of finance product.

Life insurance

Life insurance is a type of policy that pays out a cash lump sum to loved ones if the policyholder passes away during the term of the policy.

The policyholder will pay the insurer a monthly premium throughout the term to secure cover.

Level term life insurance

This type of life insurance policy will pay a fixed cash lump sum to loved ones if the policyholder passes away during a specified term length.

Decreasing term

This type of life insurance policy will pay a cash lump sum to loved ones when the policyholder passes away during a specified term length, however the value of the sum assured (pay out sum) will decrease during the term.

Whole of life

A whole of life insurance policy provides protection for the whole of your life and guarantees to pay out a cash lump sum to loved ones when the policyholder passes away.

Over 50s life insurance

An over 50 life insurance policy, also known as an over 50s plan, that guarantees acceptance for people aged over 50 (and younger than 85) and offers a guaranteed pay out to your loved ones when you pass away.

This type of policy does not require applicants to disclose any medical information to the insurer.

Family income benefit

This type of policy provides your loved ones with a regular, fixed, tax free income for a set period of time after you pass away.

Joint life insurance

Also known as life insurance for couples, joint life insurance is when a term or whole of life policy is taken out for two people that covers them simultaneously.

The pay out is made upon the first death and the policy ends.

Critical illness cover

Critical illness cover (sometimes referred to as critical illness insurance) provides a tax-free lump sum pay out if you are diagnosed with a specified life-changing (but not terminal) illness, covered by your policy.

At Reassured, this can be taken out as an add on to a life insurance policy or as a standalone product.

Terminal illness cover

This type of cover usually comes as standard with any life insurance policy, at no additional cost.

It allows you to make an early claim on your policy if you’re diagnosed with a terminal illness and predicted to pass away within 12 months.

Impaired life insurance

An impaired risk applicant is identified by an insurer as a high-risk applicant who is more likely to make a claim on their life insurance policy.

Those who may be considered impaired may have pre-existing medical conditions, a dangerous job or hobby or have a particular lifestyle choice affecting their health, such as a smoker.

Funeral plan

A prepaid funeral plan allows you to pay for and arrange your own funeral in advance, so your loved ones don’t have to.

You pay either by lump sum or by monthly payments to a funeral plan provider. You are able to secure the cost of a funeral today, avoiding the rising cost of funerals.

Life insurance policy

A policy is a legal contract between a policy holder and an insurance provider in which states the terms, conditions and details of the agreement.

Policy holder

The written name of the person in which the life insurance policy protects.

Sum assured

The guaranteed pay out amount from an insurance policy. The sum assured (or cover amount) is calculated at the beginning of the policy.

Premiums

A sum paid monthly by the policyholder to remain covered by the life insurance policy.

Guaranteed premiums

A guaranteed premium remains fixed throughout the life insurance policy, (or until you pass away in the case of whole of life)

Reviewable premiums

A reviewable premium is reviewed by the insurer at regular intervals and the rate can be increased.

Underwriting

The underwriter of a life insurance provider will calculate the cost of life insurance premiums by using statistical analysis and mathematical equations based on the information the applicant provides.

Non-Disclosure

This means failing to provide the insurance company with all the correct information regarding your personal circumstances upon application.

If you do not make a full disclosure, then you may not be covered and your life insurance policy may not pay out.

Guaranteed acceptance

When an applicant is guaranteed acceptance for a life insurance policy or a funeral plan, then they will not need to provide any medical information to secure this type cover.

Life assurance

Life assurance is a type of policy that pays out a cash lump sum to loved ones when you pass away, (not if). An example being an over 50s plan.

The policyholder will pay the insurer a monthly premium throughout the policy for the cover to be effective.

Guaranteed Insurability Option

Also known as a special events clause or policy increase option, a guaranteed insurability option is when the details of a life insurance policy are changed by the policy holder due to a change in their personal circumstances.

FCA

Reassured, amongst many other life insurance providers, are regulated by the Financial Conduct Authority.

The FCA was created by Parliament to regulate the conduct of financial services in the UK. The FCA ‘aim to make financial markets work well so that consumers get a fair deal’.

Waiting period (qualifying period)

An over 50s plan, or over 50s insurance, have a waiting period or qualifying period (typically 12 or 24 months) from the start date of the policy.

During this period of time, if the policy holder dies of natural causes then a pay out will not be issued. If the policy holder dies as a result of an accident, then their death will be covered by the policy.

Trust

A life insurance policy can be written in trust by the policy holder so that they have more control over how the proceeds are spent.

Upon their death, the trust is handed over to the trustee who takes care of the claim and manages the pay-out (on behalf of the beneficiaries) as per their wishes.

Beneficiaries

The beneficiary (or beneficiaries) of a life insurance policy written in trust is the individual who benefits from the pay out from the policy (and is nominated by the settlor).

Settlor

The policy holder (owner) of the life insurance policy that is written in trust.

Estate

Any financial asset owned by the policy holder that passes away, such as their property.

Trustee

The trusted individual (nominated by the settlor) who manages the policy once the policy holder passes away, including distributing the funds as per their wishes (on behalf of the beneficiaries)

Probate

Probate is the legal process of which confirms that your executors are in the position to administer your estate to your beneficiaries.

Probate does not need to be granted if a life insurance policy is written in trust (as it is not considered as part of the estate).

Inheritance tax

“Inheritance tax is a tax on the estate (the property, money and possessions) of someone who’s died”.

For an individual in the UK after your estate exceeds £325,000 you are taxed at 40%! Although this threshold may seem a lot, it includes you property, savings, possessions and proceeds from your life insurance.

Visit https://www.gov.uk/inheritance-tax for more information.

Will

A will is written by someone before they pass away to determine what should happen to their estate after their death.

Sources:
https://www.reassured.co.uk/
https://www.moneyadviceservice.org.uk
https://www.gov.uk/inheritance-tax

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