Just a few inches of water from a flood in your home can cause tens of thousands of dollars in damage. If you are ever unfortunate enough to experience a flood in your home state, town, or home, it can be a financially devastating event. Over the past 10 years, the average flood insurance claim has amounted to over $33,000. People without flood insurance would have to go out of pocket to cover these costs or go without much needed repair and restoration of their homes. This is why flood insurance is so important.
Flood insurance is available to homeowners, condo/co-op owners, and renters of homes, apartments or condos/co-ops. Policies provide coverage for buildings and their contents, and are available in a number of different plans with different costs and coverage levels. If your home is in a high-risk flood area and you obtained your mortgage through a federally regulated or insured lender, you’re required to purchase a flood insurance policy.
Most homeowners living in moderate-to-low risk areas for floods are eligible for coverage at a preferred rate. The lowest premiums are called Preferred Risk Policies which bundle home and contents coverage and are available through the National Flood Insurance Program, starting at just $119 per year. This is a small price to pay if you are faced with a flood damage repair bill of $30,000 or more. Even if you don’t qualify for a Preferred Risk Policy, a standard rate policy can still be purchased. You may think that just because you don’t live in a high risk are, you don’t need flood insurance, but statistics show that nearly 25% of all NFIP flood claims occur in moderate-to-low risk areas.
If you do live in a high risk area, you still have options. There are separate policies which will cover damage to your home and for its contents. The Dwelling Form provides insurance for buildings with one to four units, including single-family condominium units and townhouses. The General Property Form provides insurance for other types of residential and commercial buildings. Both forms provide flood insurance on contents, but you must purchase it as optional coverage.
Flood insurance premiums are calculated based on several factors:
Year of building construction
Number of floors
The location of its contents
Flood risk (Is it in a flood zone?)
The location of the lowest floor in relation to the elevation requirement on the flood map
The deductible you choose and the amount of building and contents coverage you choose
Renters can obtain flood insurance as well. Like home or condo/co-op owners, the amount of coverage and deductible you choose will determine your premiums. And like people who own their home most renters in moderate-to-low risk flood areas are eligible for coverage at a preferred rate. Preferred Risk Policy premiums available through the NFIP offer coverage for one low price starting at $39 per year for Contents Only coverage. High risk coverage is also available for those who don’t qualify, just as in homeowner’s coverage. The premiums are influenced by the same factors listed above. Whether you are a renter or an owner, if there’s a possibility that your home may flood, it’s good to know that affordable insurance is available to you. Not only does flood insurance make good financial sense in the long run, it will give you the peace of mind that you are covered in the event that disaster strikes in the form of rising water.
Find out more about protecting your home and contents by calling our office, or visiting our website for a free Louisville Home Insurance quote.
The largest hailstone on record slammed into Aurora, Nebraska on June 22, 2003. At 7 inches in diameter, it beat the previous record of a 5.7 inch diameter hailstone that fell in Coffeyville, Kansas in 1970. Imagine the effect a 6 or 7 inch hailstone (or even one a fraction of that size) would have on the roof of your house or your car’s windshield. People who live in areas which are prone to hail storms know these effects all too well. Take for example, the residents of Colorado’s Front Range, located in the heart of what has become known as “Hail Alley,” because they receive the highest frequency of large hail in North America (and most of the world.)
From mid-April to mid-August, this group of Colorado residents can count on three or four catastrophic hailstorms every year. A catastrophic hailstorm is defined as one which causes at least $25 million in insured damage. Even after this amount of damage is spread across everyone in the region, it can still add up to an expensive individual repair bill for each resident to fix their homes, automobiles and businesses. And the repairs are needed year after year. In fact, over the last 10 years, hailstorms have caused more than $1 billion in insured damage in the state of Colorado. Up to one-half of a homeowner’s insurance premium for residents of that state go toward hail and wind damage costs as a result.
New Mexico is another state which is prone to hail storms and hail damage. For example, tornadoes and hail resulted in $16.5 million dollars in insured damage around Clovis, Roswell and Logan in just one day in March of 2007. The good news for residents of Colorado, New Mexico and other regions, is that hail damage is covered by almost all insurance companies if you carry comprehensive coverage on your auto insurance policy. Practically all home insurance policies cover hail damage as well.
In the event you are the victim of a hailstorm, stay indoors (obviously) until the storm has subsided before venturing out to check damage. If trees, shrubs and plants around your house are stripped of their foliage, there’s a good possibility that your roof has become damaged. Windows, vents, and awnings could also be damaged, as well as your automobile’s body and windows or windshield. If there is a possibility of additional storms coming through your area, cover broken windows on your home or car and holes in the roof to protect against further damage from rain, wind, or more hail.
You may wish to make a record of the work you do and take photos to show to your insurance agent as well. Keep receipts of any repairs you make to submit along with your insurance claim. An adjuster will be sent to your property to assess the damage done by hail to your car or home and will recommend repairs. If your roof is damaged, you may want to use a company which is an expert in hail damage to assure that the job is done properly and also to have hail resistant roofing materials installed to protect you from damage done by future hail storms. Finally, if your insurance didn’t cover enough of your hail damage to either your home or your car, speak to your agent about adjusting your policy to increase your coverage, lower your deductible, or add more comprehensive coverage.
Find out more about protecting your home and motor vehicles by calling our office, or visiting Your Louisville Insurance for a free quote online today.
With Spring comes Spring Showers and Storms! Are you being proactive to ensure your Home and Motor Vehicles can withstand a storm and heavy rains?
Here are some great ways that will help with preparing your Home and/or Motor Vehicles so they are protected against these events.
1. Make sure your gutters are properly secured. So many times there are weak gutters and many homeowners are unaware of this. Because of this, water can seep in between the gutters and your home, ultimately causing water to leak into the house and cause damage before you may even know it. You may want to have someone to come out and check the gutters on your home, whether or not your roof is new or old. Make sure your gutters are cleaned out of debris, such as limbs and leaves. This can also cause leaking and wear down your gutters- Be Proactive!
2. Is your roof aging? If your roof is 20 years or older, you may want to have your roof inspected. Yes, this can cost some money, but much less money if your roof begins to leak due to your roof being old and weak. Roof claims can cost anywhere between $2,000 and $20,000, these figures of course depend on how much damage is done. No one ever wants to file a claim, so taking these preventative measures can cause you less stress and headache in the long run!
3. Check your windows! Many of us may have cracked, rotted and leaking windows and not even know it. This goes for your Home and Motor Vehicles! Make sure that your windows don’t have cracks in them of any sorts. Also if your windows are older, this could be a great time to replace those windows! Again, being proactive in this area can save you a lot of money in the long run! This same preventative measure goes for your Motor Vehicles. Make sure that you don’t have any cracks in your windows on your car. Another preventative measure you can take is to make sure the rubber sealing around your windows is not aging or cracked in any way.
What happens if we have you have taken these preventative measures and something still happens? No worries! We have one of the top rated Claims Team in the nation. If you have any leaking of any kind, make sure to stop the leaking as best as possible. If there is major or even some minor damage already done and you cannot stop the leaking yourself, you can call a company to come out to help you with this. Most policies have a clause that requires you to prevent any additional damage after any claim. This would mean to secure any property or tarp the roof if it is leaking. All you need to do is call your agent and ask them for a company name and number that will be able to help you with this. If this is the case, make sure to keep all receipts from any work that is done. Your claims adjuster will want to keep this in mind with your claims information. The best thing that you can do is stop the leaking before it causes more damage than necessary.
Find out more about protecting your home and motor vehicles by calling our office, or visiting Your Louisville Insurance for a free quote online today.
Imagine walking out of your home and to your surprise your car is gone. After panic subsides, what do you do? The first reaction, naturally, is this covered by my insurance? If you have comprehensive coverage on your car insurance, the loss is covered. On some declarations pages, comprehensive is also referred to as “other than collision”.
We know how much people are trying to cut costs out of their budgets- but nothing is more important than having adequate coverage in your Auto Insurance. Comprehensive coverage can be added to your policy without having collision on your Auto Insurance. It is important to have an in depth conversation with your insurance agent regarding your policy.
Comprehensive Coverage pays for your vehicle if it is ever stolen or damaged by causes other than collision. That means that if you walk out of your front door to head to work and your car is gone, you will have coverage for your vehicle. For example, with Comprehensive Coverage on your policy you are protected against damages caused by fire, wind, hail, flood, theft vandalism, or hitting a deer are all covered. Comprehensive Coverage will also pay for a substitute vehicle expense of up to $25/day or $750/total, if your car is stolen. Almost all policies have deductibles that will apply to the loss. The most common deductible is $500, but you can have almost any deductible you want, ranging from $0 to $5000.
Filing the claim:
If you are a victim of a stolen vehicle, call the police immediately to have a theft report filed. The police need to be able to put your vehicle identification number (VIN) in their data base as a stolen vehicle. Next call your insurance company to file the claim. On most policies there is a waiting period for filing your stolen vehicle claim. The standard wait is 48 hours from the time of theft. Many cars have additional damage if recovered. This damage is covered but subject to your comprehensive deductible. If the car is found and the damage is under your deductible the insurance will close the claim. You will have to pay for the damage under your deductible amount. Theft claims are typically not chargeable claims, and have little or no effect on your premium. If your vehicle has caused damage to anyone else’s property, the property damage section of your liability would cover this part of the claim. Property damage rarely has a deductible associated with it. You will need to consult with your agent to verify your policy.
Most cars that are retrieved by the police are found within the first 3 days. Joy riding is the most common reason for car theft. Many cars are found in different states abandoned on the side of the road. The laws change for the assailant if they are caught after crossing state lines.
If you have liability cover now and would like to know what it would cost to add Comprehensive Coverage on to your policy then contact our office, or get a free Louisville Auto Insurance quote online today.
One of the responsibilities with being a parent is making sure your family is taken care of, even when you are gone; life insurance is one way to ensure that your family is taken care of financially if something were to happen to you. Now that we have that established you must be asking yourself how much life insurance is enough? What is the minimum amount your survivors would need for the monetary loss of you or your spouse? It is estimated to raise a child from birth to college can cost anywhere in the neighborhood of $700,000! Here are some quick and simple ways to get an idea of how much your life insurance policy should be:
· Option 1: Determining Expenses (-) Assets: Figure a rough estimate of your annual family budget. This would include your mortgage, child care, insurance, food, basic living expenses, as well as extra expenses including vacations, and future education plans such as private school and college. Next, estimate a figure for your assets such as savings, social security benefits, or any other income that will be there such as the income of a surviving spouse. Remember, stay-at-home spouses contribute a lot to the family income by by-passing child care, travel, cleaning, cooking and associated costs, therefore would need to be insured also.
· Option 2: Salary Estimate: Another quick, but more general way, would be to take your current annual salary and multiply that by 7. For example, if you make 60,000/per year then I would recommend buying a minimum of $420,000($60,000 X 7= $420,000).
If your estimate is high, good, it’s probably right. If you are worried about the premium cost, I would recommend choosing term life insurance. You can get a policy for the time you would need it (the amount of time your kids would depend on you) for a lower premium than other insurance options.
When do I Need Life Insurance?
1. Considering starting a family: If you are considering starting a family you should consider purchasing life insurance. Your rates will be cheaper now than when you get older and your future children will be depending on your income.
3. Established Families: You need life insurance now if you have a family that depends on you.
I am a stay-at-home-mom and I don’t bring any income into our household, so why would we need life insurance on me? The cost of replacing someone to do domestic chores, home budgeting, and childcare should always be considered if you die, it can cause significant financial problems for the surviving family. Funeral expenses can also be very costly if they are not already budgeted.
4. Young Single Adults: The reason a single adult would typically need life insurance would be to pay for their own funeral costs or if they help support an elderly parent or other person they may care for financially.
5. Couples without Children: Both persons in this situation would need to decide if they would want life insurance. If both persons are bringing in an income that they feel comfortable living on alone if their partner should pass away, then life insurance would not be necessary except if they wanted to cover their funeral costs. But, maybe in some instances one working spouse contributes more to the income or would want to leave their significant other in a better financial position, then as long as purchasing a life insurance policy would not be a financial burden, it could be an option.
6. Elderly: As long as you do not have people depending on your income for support, life insurance at this stage in your life would not be necessary, unless again, you do not have any other means to pay for your funeral expenses. But, be aware that purchasing a life insurance policy at this age can be very expensive. Before doing so, first talk to a financial advisor or accountant about looking into other saving options to pay for your funeral costs before considering life insurance.
Find out more about life insurance by calling our office, or get a free Louisville Life Insurance quote online today.
Most home insurance policies do not provide much coverage for expensive jewelry, antiques, collectibles or art. You may have to purchase a “floater” or “endorsement” to achieve adequate protection for your valuable possessions. There may also be a limit on reimbursement for stolen or destroyed computers.
Standard home insurance policies provide coverage for loss or damage due to theft, fire, lightning, hail, and explosions; they do not cover damage from floods or earthquakes, or damage caused by lack of routine maintenance.
Flood insurance is available from the federal government (Visit Federal Emergency Management Agency web site). If you live in a flood zone you should discuss the need for an additional flood insurance policy. Earthquake coverage is available as a separate policy which you will also need to discuss with your agent.
You may have difficulty finding coverage for certain other disasters, such as hurricanes and wildfires.
How do I know if I need federal flood insurance?
If you are located in a flood zone, your lender will most likely require you to carry flood insurance. Both the U.S. Geological Survey and the Federal Emergency Management Agency (FEMA) offer maps showing earthquake and flood risks. To find out how much flood insurance costs in your area, click here to obtain a free flood insurance quote.
How can I reduce my home insurance premium?
There are numerous ways to reduce your home insurance premium:
install smoke detectors
install and give proof of an alarm system
install fire extinguishers
increase your deductible
Keep in mind when you increase your deductible you will pay more of the amount of any claim out of your own pocket. For instance, if you have a $500 deductible, you would have to pay the first $500 of damages. Your insurance coverage would not kick in unless your loss was greater than $500.
If you currently have a low deductible of $100 or $250, and you increase it to, say, $500, $1,000, or $2,500, be sure you can handle the increased risk. In other words, only increase your deductible if you set aside that amount of money so it will be available if you need it. If you want to know how much you’ll have to pay for home insurance, fill out one of our Louisville Home Insurance Quotes online.
The amount of home insurance coverage you need depends on many factors, and it varies from homeowner to homeowner. In order to determine how much coverage you need is to talk to your insurance agent. This can be discussed over the phone or by making an appointment to come in to speak with your agent.
Making sure you have enough home insurance to cover the cost of rebuilding your home at current construction costs is the key. That cost could be more or less than you paid for the home or what you could sell it for today.
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The cost is based on:
local construction costs
building codes
square footage of your home
features and materials of your home
The coverage for personal property is usually a set percentage of the dwelling coverage, say 40%, 50% or 60%. To determine if you have enough coverage, conduct a home inventory. Write down everything you own and figure out how much it would cost to replace it all. Keeping photos or a video of all of your personal property, along with receipts, can serve as an excellent form of evidence of your possessions. Don’t keep these records in your home.
Any time you think you need more coverage, contact your insurance agent. Be sure you have coverage that guarantees the replacement of personal items, and doesn’t just pay their value at the time of loss.
Coverage for living expenses can vary depending upon your insurance company. Many policies provide coverage for about 20% of the insurance on your house. Some companies offer a policy that provides unlimited coverage for a limited length of time. If you rent out part of your house, this coverage reimburses you for loss of rent while your home is not fit to live in. If you think you need more coverage, talk to your agent.
Liability coverage is part of most home insurance, but the standard amount may not be enough to protect your property in case of a lawsuit. You should have enough liability insurance to cover at least two times the value of your assets including your home. If your assets are greater than your liability protection under your homeowner’s policy, you may want to consider purchasing an excess liability—or “umbrella”—policy. Ask your agent what would be best to suit your needs or get a free Louisville Home Insurance Quote online.
Just a few inches of water from a flood in your home can cause tens of thousands of dollars in damage. If you are ever unfortunate enough to experience a flood in your home state, town, or home, it can be a financially devastating event. Over the past 10 years, the average flood insurance claim has amounted to over $33,000. People without flood insurance would have to go out of pocket to cover these costs or go without much needed repair and restoration of their homes. This is why flood insurance is so important.
The largest hailstone on record slammed into Aurora, Nebraska on June 22, 2003. At 7 inches in diameter, it beat the previous record of a 5.7 inch diameter hailstone that fell in Coffeyville, Kansas in 1970. Imagine the effect a 6 or 7 inch hailstone (or even one a fraction of that size) would have on the roof of your house or your car’s windshield. People who live in areas which are prone to hail storms know these effects all too well. Take for example, the residents of Colorado’s Front Range, located in the heart of what has become known as “Hail Alley,” because they receive the highest frequency of large hail in North America (and most of the world.)
What doesn’t my home insurance policy cover?