What type of insurance is AFCO?

Asked by: Prof. Orland Conroy  |  Last update: February 11, 2022
Score: 4.8/5 (57 votes)

AFCO Credit Corporation, doing business as AFCO Insurance Premium Finance, provides premium financing services. The Company offers loans for businesses, finance property, and casualty insurance premiums. Afco Insurance Premium Finance serves clients worldwide.

What kind of insurance is AFCO?

AFCO is the pioneering leader in premium finance. We help insurance agents and brokers support their clients while making the most of growth opportunities. In the premium finance arena, nobody matches AFCO's resources, experience and expertise for the financing of commercial Property & Casualty insurance.

What is premium finance insurance?

Insurance premium financing is essentially a loan that a business takes out to purchase an insurance policy, such as life insurance or a retirement policy. The loan is secured against the cash surrender value of the acquired insurance policy.

What is an insurance finance company?

A. An insurance premium finance company is defined to be: 1. ... Any person engaged, in whole or in part, in the business of acquiring insurance premium finance agreements from other insurance premium finance companies.

Can you finance/insurance premiums?

Insurance premium financing is similar to other types of loans. Instead of making payments directly to the insurance carrier, the insured will work with a premium finance company. The premium finance company will take care of the premium payment due to the insurance carrier.

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Is AFCO a corporation?

AFCO Credit Corporation, doing business as AFCO Insurance Premium Finance, provides premium financing services. The Company offers loans for businesses, finance property, and casualty insurance premiums.

How do I record liability insurance?

At the end of any accounting period, the amount of the insurance premiums that remain prepaid should be reported in the current asset account, Prepaid Insurance. The prepaid amount will be reported on the balance sheet after inventory and could part of an item described as prepaid expenses.

Is insurance a liability or asset?

Asset is anything that gives u positive cashflow; Liability is anything that takes money from u. Asset and liability are not fixed and can change its status. So now insurance will be a liability to u. But when a successful payout happens, it becomes an asset.

What category does insurance fall under?

Insurance is a means of protection from financial loss. It is a form of risk management, primarily used to hedge against the risk of a contingent or uncertain loss. An entity which provides insurance is known as an insurer, an insurance company, an insurance carrier or an underwriter.

What type of expense is insurance?

In most cases, business owners and insurance agents classify insurance as operating expense. Though insurance is an indirect factor in operating expenses, it still falls under it because it is associated with the operation and maintenance of the business.

Who owns AFCO Racing?

A-FAB, the parent company of AFCO Racing and Dynatech, as well as US Brakes, has just purchased Pro Shocks as well. “Pro Formance” brand shocks have been around for years and, like AFCO, have a good brand name in the racing industry.

Where is AFCO made?

Company Description: Afco Performance Group, LLC is located in Boonville, IN, United States and is part of the Motor Vehicle Parts Manufacturing Industry.

Where are AFCO radiators made?

MADE IN THE USA

Located in Howell, Michigan, our modern facility is the ultimate location for proto-typing and developing your next project.

How do you read AFCO Shock numbers?

AFCO, Pro and QA1 shocks will always have the shock series first then the stroke of the shock compression numbers first and rebound second. Bilstein will have also list the series of shock first in the number the stroke. However, they will list rebound first on the shock then the compression.

Is insurance expense an expense?

Insurance expense is the amount that a company pays to get an insurance contract and any additional premium payments. The payment made by the company is listed as an expense for the accounting period. ... All policies come with premiums. If they expire, they must be recorded as an expense.

Is insurance a variable expense?

Variable costs may include labor, commissions, and raw materials. ... Fixed costs may include lease and rental payments, insurance, and interest payments.

Is insurance an indirect expense?

Rent, utilities, office supplies, legal fees, and insurance are all indirect expenses because they benefit the entire company.

Which is an example of indirect expenses?

Professional fees, rent, taxes, insurance, utilities, employee salaries, advertising, office rent, depreciation, office supplies, etc. are some examples of indirect costs. Factory expenses, administrative expenses. read more, and selling and distribution expenses are the three types of indirect expenses.

Which is indirect expense?

Indirect expenses are those expenses that are incurred to operate a business as a whole or a segment of a business, and so cannot be directly associated with a cost object, such as a product, service, or customer.

What are considered indirect costs?

Indirect costs include costs which are frequently referred to as overhead expenses (for example, rent and utilities) and general and administrative expenses (for example, officers' salaries, accounting department costs and personnel department costs).

Is car insurance a fixed or variable cost?

What Are Fixed Expenses? Fixed expenses are consistent and expected bills you pay each month, such as a mortgage or rent, a cellphone bill and a student loan payment. Car insurance, home insurance and life insurance are also fixed payments, along with your monthly electric and water bills.

What are considered variable expenses?

Common examples of variable costs include costs of goods sold (COGS), raw materials and inputs to production, packaging, wages, and commissions, and certain utilities (for example, electricity or gas that increases with production capacity).

Is insurance a semi variable cost?

This means semi-variable costs are fixed for a range of activity and may change beyond that for different activity levels. ... Certain costs, such as monthly vehicle loan payments, insurance, depreciation, and licensing are fixed and independent of usage.

Is insurance expense an equity?

The insurance premium is an expense, if there is a pay out, that pay out may be considered as income/revenue and you may have to pay tax on the income/revenue. The accounting for insurance, if the company doing the recording is the insured, is expense in the income statement.

What do shock valving numbers mean?

For example, a valve rating of 275/78 means 2750 Newtons rebound and 780 Newtons compression. Higher numbers have firmer damping forces than lower numbers, thus a shock rated at 255/70 will be stiffer than one rated at 175/60. For valving recommendations please read the Bilstein valving guide.