8 Homeowner Renewal Tips

 

  1. Study the renewal offer made by your insurance company. Does it look accurate?   Review the address, the Dwelling Value (this is the cost the insurance company thinks it would take to re-build your home if there was a catastrophic loss- it doesn’t include, land, driveway or basement).  Maybe better yet, ask us to review it for you!  Call and schedule a personal insurance review.
  2. Is there adequate coverage for Personal Property, also known as your “stuff”- clothes, furniture, electronics, art… in the past year have you purchased valuable jewelry, artwork or musical instruments? If so they can either be scheduled on your home policy or written on a standalone jewelry policy (usually a less expensive option too).
  3. Your Personal Property, is it insured with Replacement Cost Value or Actual Cash Value? It’s important if you ever have a loss- replacement cost would cover a new, like kind and quality rug, desk or couch while actual cast value would only cover the depreciated value.  There can be a huge difference in these values.
  4. Have you made any interior or exterior updates to your home? Added a pool, shed or cabana or expanded with a three-season porch?  If yes, you should discuss with us to make sure you have them covered.
  5. Have you added any smart home devices in the past year? Security systems for water, fire and theft can create discounts for your policy.
  6. Did you get a new pet in the past year? Most dog breeds are not a challenge for a homeowner policy, but some are.  Dog bites represent the single largest cause of homeowner liability claims- and different insurance companies have different lists of ineligible breeds.
  7. Most policies include an inflation adjustment automatically. It’s used to try to keep your home’s value current, taking inflation into account.  Sometimes though these automatic increases can outstrip actual inflation and homes become over-insured.  Look at the percentage your company uses, they can vary from 0% to 12%, or call us to discuss.
  8. Most homeowners use a typical deductible of $1000.  But depending on your circumstances, you may want to look at higher deductible options. $2500, $5000, $10,000 or $25,000 options with their lower annual premiums are more common than your may realize.

Do I Have Hurricane Coverage?

Do I have hurricane coverage?

 

 

 

 

The Atlantic hurricane season is from June 1st – November 30th with the peak occurring between mid-August and mid-October.

Our office receives phone calls and emails asking: Do I Have Hurricane Coverage?

The quick answer is, if you have home insurance, yes you have Hurricane Coverage.

The question then becomes:  What is your deductible?

Some coastal homes have special (not so special) Hurricane or Wind deductibles. Usually between 1% –  5% of the Coverage A, Dwelling, amount.

This deductible can be a huge number. A 5% hurricane deductible on a home with $1,000,000 Coverage A, dwelling, amount would be a $50,000 deductible.

This could be quite a shock to the home owner that has their roof torn off due to a hurricane.

Tips to survive a hurricane:

  • Find a secure, safe shelter. Never stay in a mobile home, trailer, high rise, or your car.
  • Stay away from any windows. Find an interior room in which you have access to emergency supplies.
  • Don’t use electronic devices.
  • Don’t light candles. Ensure you have several flashlights with plenty of extra batteries on hand.
  • Have your portable radio on so you can monitor the weather and follow any instructions of local authorities.
  • Don’t leave your secure area too soon. The storm may appear to have calmed but you may simply be in the eye.
  • Wait for the all-clear signal from local authorities.

Home Insurance Coverage Questions

Home Insurance Coverage Questions

 

 

Life can be messy. To help prevent some of the messiness, consider calling us to review your home insurance coverage. Home insurance coverage questions:

1. Is my home covered if we need to rebuild?

Have us complete an updated Replacement Cost Survey. Upgrades to a kitchen or bathroom, new kitchen appliances, or updates to a basement can all affect the cost to repair or rebuild your home.

2. Do I have enough coverage for my expensive items?

Your homeowner coverage includes “special limits of liability” which, for example, the most the insurance company will pay:  $1,000 for loss by theft of jewelry, watches, furs, precious and semiprecious stones; $2,500 for loss by theft of silverware, silver-plated ware, goldware, etc.; $2,000 for loss by theft of firearms. If you have any special items consider scheduling the item by appraisal.

3. Do I have enough liability coverage to protect my assets?

Home and auto policies carry liability limits that help protect you from judgments against you and legal fees, up to policy limits. Do you know your policy limits? In our litigious society, you may want to have us help you review your limits. If you don’t have one already, consider purchasing additional coverage in the form of a personal liability umbrella policy. Umbrella coverage starts at $1M and “sits-over” your auto and home liability limits.

4. Do I qualify for additional discounts?

An annual insurance review is a great time to ensure you’re receiving all applicable discount. For example, have you installed a security system? If so, additional protective device discounts may be available. Are you getting the proper account discounts? What would be the savings/cost if you were to increase/lower your deductible? Give us a call so we can review.

5. Does my newly finished basement affect my coverage?

Finishing your basement increases the cost to rebuild your home, in addition you may want to make sure you’ve added an additional, optional sump pump failure/ water backup endorsement.

6. Does my policy provide enough coverage for landscaping equipment or outdoor appliances?

When you install a new sprinkler system, larger shed, new pool or hot tub, or if you’ve purchased a fancy, backyard grill or riding mower, you might want to upgrade your insurance coverage. Significant investments require a review of your Dwelling and Personal Property Coverage.
Like home maintenance, an annual insurance review is an important part of protecting your biggest investment.

7. Do I have coverage for an oil leak?

In order to qualify the “Oil Heating System Upgrade and Insurance Law” requires either a non-metallic sleeve around the pipe that feeds the burner or a safety valve to prevent leaks. Companies require “certificate of compliance” signed by oil burner technician.

8. Do I have Ordinance or Law coverage?

Ordinance or Law insurance coverage provides limited protection for costs associated with repairing, rebuilding, or constructing a structure when physical damage to the structure by a covered cause of loss triggers an ordinance or law. Limited coverage can be added by endorsement.

Give us a call, a click or a visit and we will be happy to review your insurance coverage with you.

Homeowner Insurance and Inflation, Spring 2022

Whether you are checking out the news, managing your own business, paying at the pump or just wrapping up a trip to the grocery store, it’s obvious that inflation has risen to a level we haven’t seen in years.  The insurance industry and Homeowner insurance in particular are also impacted.

Your Homeowner policy tries to increase the Dwelling value of your home to keep pace with inflation.  As your agent we strive to to insure properties at 100% of their replacement costs.  In times of steep inflation this can be a challenge.  Some carriers are now increasing their keep-pace-with-inflation increases from 3% or 4%,  up to 8%.   We see cases where even this is not enough.  With a direct correlation between Dwelling value and annual premium- premiums are going up.

Please give us a call so that we can help with your next Homeowner renewal.  We can review your replacement cost and any updates to your home and help to maximize discounts for fire and burglar alarms or loss free discounts.  How would a higher deductible affect the annual premium?  We can let you know.  We’re all in this for the long haul, so please let us put our expertise to work for you and your family today.