Archive for January, 2009

Your House is Important to You, So Why Not Insure it Properly?

One of the biggest investments the ordinary person will make is the purchase of their family home. But, a house is not just an investment, or an asset. It is where your family grows, where you keep your treasured memories. What would you do in the event that something happened to your home? How would you replace not only the structure itself but all of the things that it kept inside? Can you really afford to not have homeowners insurance?

Yes, times are hard and yet another expense is not going to sound appealing, but it is less appealing to lose everything in a tragedy and have no way of replacing a single thing. Where will you live? What will you wear? How will you survive? If your home is mortgaged, and face it, most homes are, then it will be a requirement to protect not only yourself, but also the banks interests in case something happens to this home. Make sure that the policy adequately covers not only the value of the home itself, but also of the items that are inside. Most policies cover outside structures as well, such as sheds or garages, but it varies how much value is placed on these items. If your home is filled with valuable antiques and one of a kind art work, then lucky you! Now, go and get these items appraised, and have the appraisal added to the insurance policy. If you do not, then the value will more than likely not be given to you in the case of a loss. A detailed inventory given to the agent before a quote is made can be very helpful in assessing an actual insurable amount for your home.

There are other things that you must consider while buying homeowners insurance. Do you have a dog? Certain dogs will increase your premium. So will “attractive nuisances.” These are items that will draw in other people and put them at risk, such as trampolines and swimming pools. Some insurance policies will not cover these if strict guidelines are not met. Talk all of these things over with the agent before buying a policy.

If you live in a cold weather part of the country, are you vigilant about keeping your walks shoveled and salted? If not, are you prepared to fight a lawsuit when Susie Slewfoot goes down on her bottom in front of your home? If your home is properly insured, this accident will be covered, if not, you are all on your own, Jack. Same deal goes for your tree falling over and smashing your neighbor’s brand new car flat as a pancake. Unless you can afford to buy your neighbor a replacement, you need home insurance.

One last thing, do not assume that just because you have home insurance that you are covered for flood damage, as in most cases this is a separate policy. Better safe than sorry.

Dental family insurance RV insurance cheap Getting unemployment insurance

The Cost of Fire: Why You Should Protect your Business

First the raw numbers: In 2006, 1.6 million fires caused $11.3 billion worth of damages to businesses. Consider this: a fire is more than a minor problem for a business, any disruption of goods or services can spell devastation. Will you really be able to financially recover from a loss due to a fire if you are not properly insured?

Most property policies cover loss from fires, but be sure if the amount is enough. Since policies are usually written in broad terms, there are bound to be limits applied, so if your business has higher fire risks, then you might want to consider adding a specific fire policy on top of the more general property policy. Ask your insurance agent to give you a risk assessment.

Your business is not just a building of brick and mortar. It is all the items contained inside, your equipment, your ideas, your raw materials. It is the livelihood for all of your employees.

Not insuring your business against basic risks, including fire is not a smart business move, but neither is underinsuring it to save a few bucks in the present. Insurance is meant to protect for the future, but if you have skimped, then it will not really do much for protection. Make sure that you cover the total worth of your business, including future profit projections. Have the business reappraised each year before renewing your policy, and either add or subtract from your insurance needs as necessary.

Be aware of how the coverage of your policies fire protection pays out in the event of a loss. Most plans pay out with actual cash value (ACV) rather than replacement cost value. Is that going to be enough? ACV pays out minus the amount of depreciation for the lost items. Some items have a long life, usually, but would be hugely expensive to replace in the event of a fire. If your business relies on such expensive equipment for its very existence, then you might want to make sure that your policy will adequately cover the replacement cost.

A fire will of course interrupt your business operation, but will this interruption be a small problem, or will it destroy the business?

Consider an additional policy which would cover the cost of the closure as well as possible relocation costs if that becomes necessary. This policy is called a business interruption policy, and can save your business from ruin.

If you do need to rebuild, you need to consider the expense of being code compliant. If your building is an older one, it is a possibility that you were grandfathered in and did not have to comply with the newer standards. Your new construction will however have to be built to code, and that amount will probably not be covered on your insurance.

This is a separate policy of its own, or one written as a rider to an existing policy.

Each business has its own risks and insurance needs. Keeping up with safety and maintenance is important, just as yearly appraisals and insurance need reviews. Fires and other disasters can spell the end of a business if there is not adequate protection.

How to get pet insurance Purchase theft insurance Insure for disaster

Insurance Needs for New Homeowners

Congratulations! You have bought a new home! You have made a wise and sound investment, but have you fully covered your home and all that it contains? A home is not the brick or wood that it is built from, it is not just a place to keep all of your stuff. This is where you live, raise a family, and it is your shelter from the storms of life, so you need to protect it. And you need to protect all of your stuff in it too.

If you have a mortgage, and most people do, it will more than likely be required that you carry at least a minimum amount of insurance on the home. They really do not care about your stuff that is inside, only the part that will cost them money if something happens to the house. Do not allow yourself to believe that this small amount of insurance is going to be enough simply because it satisfies the mortgage holder. As long as their investment amount is covered, they do not ask for more, but what about all of your clothing, your personal items, your collection of Flintstone glasses?

Make a list of your belongings, and get appraisals on things that may have a high value. Take your list to an insurance agent and get a review of property worth and a rate quote. Now, go and do the same with another agent- do not buy until you have compared rates from at least two companies. Yes, your house is worth all the work, but if you can save some money on a good premium, then by all means, do so.

Some mortgages are written so that the insurance and property taxes are part of the actual principal payment each month. That is fine, but again, does not fully cover the replacement of your personal items. Familiarize yourself with insurance terms before your actual closing, and make sure that you ask for explanations on anything you do not understand. Most closings are done with the benefit of lawyers, but they can often forget that not everybody can speak their jargon, so always ask if you are unsure.

There are ways to save money when buying your insurance policy, but the best is to find an insurance agent that you feel you can work with and that you can trust. The best agent can show you further ways to save some money on premiums and still protect this investment for all concerned. Also, keep in mind that there are limits to most policies, so find out up front what is and what is not covered. For example, in most cases, flood insurance must be purchased separately from your regular homeowner’s insurance policy.

Always know exactly what you are getting before signing your insurance policy, again, if you do not understand, ask questions until you do.

Your house is a major investment in time and money, so why wouldn’t you invest a little extra time to make sure you are getting the very best insurance coverage for it and all the little things that it holds inside?

Travel insurance scams Get nationwide insurance Unemployment insurance plans

Companies that Insure Jewelry

Most insurance companies will cover your fine jewelry for you. While you do have some protection under your homeowners policy, there are limitations, especially in the case of very old or very expensive jewelry. It is always wise to consider insuring priceless heirlooms on their own policy. Of course, the most basic rules of insurance shopping applies: know how much coverage you actually need, know exactly how much coverage you need, and know which company will offer you the best price for this coverage.

Companies that insure jewelry all basically agree on a few other points as well.

You should start with an appraisal of your jewelry, and photograph it. They also recommend having a safety deposit box, and frequent reassessments to account for market fluctuations. Also be sure that your jewelry is being insured for the proper amount. Though no amount of money will completely compensate you for your grandmother’s wedding ring, the sting of the loss will be far worse if you feel like you got “shorted” on the loss pay out.

Find out exactly how much your homeowners policy covers for personal belongings and consider whether you do need the additional, separate policy, or if a rider to your original policy will be okay. If, for instance it is only a few pieces of mid priced jewelry, then your homeowners policy will cover it. However, if there is decidedly more, or higher end items, then it will probably not be adequate to replace the value of this jewelry in case of a loss.

Companies that specialize in jewelry insurance will cover your items for a wider range of claims than your standard insurance agent will. Homeowner’s policies will cover you, but will limit such things as damage and loss. If you are wearing your jewelry on a daily basis, then the change of breakage does go up. If there is breakage, you need to know if a repair is covered and how to get that accomplished if it is. Some companies will make you take your item to several places, (of their choosing) for estimates. With the better, more specialized jewelry insurance agents, you can pick your own repair person, someone that you are comfortable and familiar with. Jewelers Mutual insurance agency is one that offers this amenity.

These companies, like any other insurance company offers discounts for certain things such as an alarm system, fire proof safe or any other item that will protect the insured item from damage or loss.

They will also recommend or even require timely inspections on an ongoing basis to make sure that items are in good repair. Having your things inspected during professional cleanings, for instance is just a good idea. It also protects you in case there is damage caused during the cleaning process itself.

In the end, you know that nothing will fully replace your special jewelry, no matter how good the insurance is. Your items usually have special meaning for you, which is priceless and not covered by any company, no matter how caring and how good they are.

Getting disability insurance Get nationwide insurance Purchase marine insurance