UGL Limited (UGL) ended the day unchanged at $13.85 after announcing it has secured more than $280m in new works and project extensions with a range of blue chip customers in the resources sector. UGL also reaffirmed its previous profit guidance. 

Leighton Holdings Limited (LEI) gained 2.2% to close at $33.01 after securing a $1.1bn, 6-year contract extension for the expansion of the mining services at the MSJ coal mine in Indonesia. 

Major stock rises:

• Asciano Group (AIO)                          $1.66   +2.46%
• Leighton Holdings Limited (LEI)         $33.01 +2.17%
• Nufarm Limited (NUF)                                    $6.00   +1.69%
• Newcrest Mining Limited (NCM)         $34.64 +1.41%
• Lihir Gold Limited (LGL)                    $4.26   +1.19%

 Major stock falls:

• AWE Limited (AWE)                           $2.07   -2.82%
• Aristocrat Leisure Limited (ALL)         $3.97   -2.70%
• WorleyParsons Limited (WOR)                       $23.11 -2.49%
• Billabong International Limited (BBG)            $9.45   -2.48%
• Lend Lease Group (LLC)                     $7.67   -2.42%

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 If you do have any questions about this or would like to know more about us, please email me at paul@bronsonfs.com.au or visit us at www.bronsonfs.com.au

Please Note:

This publication has been prepared to provide you with general information only. It is not intended to take the place of professional advice and you should not take action on specific issues in reliance on this information. In preparing this information, we did not take into account the investment objectives, financial situation or particular needs of any particular person. Before making an investment decision, you need to consider (with or without the assistance of an adviser) whether this information is appropriate to your needs, objectives and circumstances. This information is provided for persons in Australia only and is not provided for the use of any person who is in any other country.

 Given that it is far easier to predict the past than the future, it is interesting to note that this time last year, the Australian Financial Review ran a headline in their weekend edition (I think it was the last weekend in February) that basically stated that the love affair Australians had with stocks was finally over.

 At the time, we did not know it, but I guess we can now say that that was as close as you would get to having a bell being rung to signal the bottom of the share market.

 Fast forward one year and after the savaging we saw in 2008 and early 2009, many investors are now sitting on returns for the last 12  months that are some of the highest we have ever seen.

 I just hope that not too many people took the advice of the nay Sayers and bandwagon jumpers to sell out at the bottom only watch the markets take off again.  I hope that the sensible investors stuck to their long term plans and didn’t realize major losses – realized losses can be hard to make up.

 Of course we are still not out of the woods and just as in the depression years, there is always the chance that markets may turn down again, and I have no idea what the possibility is of that happening, but even so as it is beyond my control, I wont stress too much about something I cannot control, what will you do?

 Please Note:

This publication has been prepared to provide you with general information only. It is not intended to take the place of professional advice and you should not take action on specific issues in reliance on this information. In preparing this information, we did not take into account the investment objectives, financial situation or particular needs of any particular person. Before making an investment decision, you need to consider (with or without the assistance of an adviser) whether this information is appropriate to your needs, objectives and circumstances. This information is provided for persons in Australia only and is not provided for the use of any person who is in any other country.

Recent research by ING(1) revealed many people are reluctant to take out life insurance cover because of a belief that insurance companies will not pay out a life policy upon the policy holder’s death. 

Unfortunately it is a common perception by many that life insurance companies are in the business of avoiding payment of claims.  The reality in fact is very different but before I explain, remember that at the end of the day insurance companies are also a business.   Like all good businesses they must minimise risks, manage their expenditure and aim to maximise profitability in order to provide returns to their shareholders.   

Managing these factors ensures the company is a viable business able to pay out on genuine claims as they arise.  Judging by the number of calls our office received during the recent AIG hiccup, we believe clients want to insure their lives and their quality of life with a company that is reliable, viable and credible.  For more information see our article What happens when your insurance company goes broke.

Getting back to the matter of insurance companies and payment of life insurance claims, last year the insurance industry paid out more than $2 billion in claims.  That’s an average of $8.39 million every working day handed over to support Australians.  $1.6 billion alone was paid out on life insurance policies. 

In the unfortunate event that your family or estate needs to make a claim, your financial planner should be your first point of contact.  They will notify the life insurance company, collect the necessary paperwork on your behalf and assist you to complete the paperwork.   

The expected timelines for processing of the claim may depend on the sum insured.  Most claims however will be processed as soon as proof of death is received by the insurance company.  Many insurance companies give an advance emergency payment to cover immediate expenses such as funeral expenses – hardly the kind of behavior you would expect from an organisation avoiding payment at any cost.  If there is a hold up of the death certificate, other forms of proof such as a cremation certificate may be acceptable to the insurance company.    

In our experience in dealing with life insurance claims in Australia, we have not been involved with any claims that have been rejected.  In the event that a claim is rejected, usually it is because dishonesty has played a role such as the non disclosure of information when the policy was taken out, or outright fraud such as faking one’s own death.

Remember, life insurance isn’t about you it’s about those you leave behind.  There’s a policy to suit every life style and every budget, so if you need to have a second look at your insurance situation, pick up the phone and contact your financial planner to discuss a plan that suits. 

You don’t have a financial planner?  We can help and everything can be done online, offline, over the telephone or through the mail, so call us on 1300 766 323.

Investor Daily,  Life cover myths pervading the country,[online] http://www.investordaily.com.au/cps/rde/xchg/id/style/5428.htm?utm_source=newsletter&utm_medium=email&rdeCOQ=SID-3F579BCE-B4B14B3B

Please Note:

This publication has been prepared to provide you with general information only. It is not intended to take the place of professional advice and you should not take action on specific issues in reliance on this information. In preparing this information, we did not take into account the investment objectives, financial situation or particular needs of any particular person. Before making an investment decision, you need to consider (with or without the assistance of an adviser) whether this information is appropriate to your needs, objectives and circumstances. This information is provided for persons in Australia only and is not provided for the use of any person who is in any other country.