We Provide Answers To Your Insurance Questions
Over the years our team of professionals has been asked hundreds of personal insurance questions. We thought it is time that we compile a list of the top questions we have been asked and our responses.
We Are The Insurance Professionals
Securing the proper personal insurance coverage for a family is not as simple as choosing a chair or new stove. You have to determine out what kind of coverage best suits your individual needs. Then, you have to figure out who to buy from to get the right products at the best price. Factor in the large number of insurance companies seeking your business and the countless ways to mix and match different policies, and it can quickly become an overwhelming and stressful situation.
Here are some of the best insurance questions we have had and our answer.
1. How is replacement cost determined on my homeowner’s insurance?
Replacement cost for insurance purposes is based on the cost to repair or rebuild your home with the like kind and quality of materials. It is designed to put your home back to pre-loss condition. Market value is a real-estate term used to determine how much your home might sell for. Important factors are the quality of materials, type of roof, location, plus others.
2. What are some of the extra personal insurance coverage I might need?
It is our hope and desire that you never need to make a claim, but if you do you want the best possible combination of coverage, price, and service. Here are some added coverages you might want to consider.
• Higher limits on jewelry
• Coverage for collections, art, guns, and coins
• Umbrella liability
• Coverage or back-up of sewers caused outside the home
3. I run and own and operate a business out of my home, is that covered?
No, any business that operates out of your home is excluded under your homeowner’s policy. You will still need to purchase a business policy to cover this.
4. I rent a few rooms out on these vacation sites, do I need special coverage?
You will need special coverage if y rent rooms to other parties as a business. Depending on your policy, coverage can be added to your homeowner’s policy, or you may need to buy a separate policy.
5. What are some of the typical or common exclusions found in my homeowner’s insurance policy?
No two policies are alike, so it is hard to answer these questions. But here are some of the “common” exclusions found in many homeowner’s insurance policies.
• Wear and tear
• Intentional damage
• Sewer back-up
• Damage to vehicles
• Nuclear hazard
• Governmental action
• Ordnance and law
6. Are other structures covered under my homeowner’s insurance policy?
Your homeowner’s insurance policy covers your home; in addition, it includes other structures and home-related fixtures in the immediate vicinity, such as a pool, fencing, decks, lighting and similar features that may not be directly attached to the main structure but are still may be part of the home or property. These usually have specific limits, so it pays to review your policy to make sure you have the right kind of coverage.
7. I own a larger boat what kind of insurance might I need?
Converge for yachts can be different than for a ski boat. Here are some of the kinds of watercraft insurance you might need.
• Agreed Value Option
• Property Coverage
• Emergency Towing & Assistance
• Liability Protection
• Longshore and Harbor Workers’ Compensation Act (LHCWA) if you have a crew.
• Hurricane Haul-Out
8. When is a vehicle considered a classic?
For insurance purposes, a classic car is at least 25 years old or older, depending on the make and model.
9. How often should I review my personal insurance program?
We recommend an annual review of all your personal insurance needs. This might be a call or face to face meeting depending on your needs. If you have made some life changes, we always recommend a review ant that time. Some life changes that will impact your personal insurance are.
• Change in marital status
• Birth of a child
• Purchase of a new car or any other major purchase
• Planning international travel
• Children heading off to college
• Job change
10. Should I ever consider increasing my deductibles?
This is a question we get often. Changing your deductibles on your auto or home insurance depends on your risk appetite. It is true that increasing deductible will save you money, there are other factors that you might consider.
• How much increase is desired?
• Do you have a history of losses?
• Do you have the financial resource to handle it?
• Is the cost-benefit worth the risk?