THURSDAY, OCTOBER 1, 2020 Whose Insurance Do I Use if I Crash Someone Else’s Car? Crashing your own car, while scary, is relatively straight forward when it comes time to filing a claim. You can file a claim with your own insurer and generally receive compensation for damages and injuries you and your passengers may suffer, so long as you have the right insurance. But what happens if you crash someone else’s vehicle? Does your car insurance follow you? The answer is year and no. Initially, you should be covered under the other person’s car insurance policy. However, if their limits are reached, your own car insurance should cover the rest of your expenses. For example, say you cause a wreck in a friend’s car that ends up sending another driver and their passenger to the hospital. Once they have recovered from surgery, they seek compensation from you. Your friend only has minimum liability for their vehicle, which means there are thousands of dollars in medical bills you are still expected to pay. In this case, you should file a claim with your own car insurance policy. Your insurer and your friend’s insurer will generally work together to figure out who will pay what amount. Either way, you should be covered so long as you and your friend have car insurance. What Happens if You Crash Without Car Insurance? Say you crash your friend’s car but discover they do not have insurance on the vehicle. In this case, you will likely need to file a claim with your own insurance policy. If neither of you have insurance and you crash an uninsured vehicle, things can become more complicated and you could face legal repercussions for driving illegally. In an accident involving another person, their uninsured or underinsured motorist policy should cover their damages and injuries you may cause while driving uninsured. Otherwise, you will be expected to pay for your injuries and damages to the vehicle out of pocket. This can get expensive, especially when hospital bills are involved. Before getting behind the wheel of someone else’s vehicle, make sure they have car insurance. It is important that they also have more than minimum liability insurance so that you have protection in case of injuries in an accident. Also never only let those you trust drive your vehicle. They should have their own car insurance policy and a valid driver’s license, otherwise they risk not being covered.

TUESDAY, SEPTEMBER 29, 2020 When Does Life Insurance Payout? Life insurance is designed to compensate your loved ones in case of your passing, so most policies only payout once the policyholder passes away. The insurer must usually be provided with a proof of death, such as a death certificate. Most life insurance policies provide a lump sum payment for the beneficiaries listed on the policy. This is true for both term and whole life insurance policies, although there are some differences between the two. Payment for Whole Life vs Term Life Insurance Policies At their base, term and whole life insurance policies are different because of the length of time they are meant to cover. Term life insurance policies only cover a certain amount of years as chosen by the policyholder (such as 10, 20 or 30 years) while a whole life insurance policy lasts until it is cancelled or the policyholder dies. There is another difference when it comes to payouts, however. With a term life insurance policy, you cannot withdraw money while the policy is active. Benefits from this policy will only be paid if the policyholder dies while the policy is active. If the policy is canceled, or the policyholder dies after the term policy’s limit runs out, compensation will not be paid. Whole life insurance policies operate a little differently. Some whole life insurance policies, also known as permanent life insurance policies, allow the policyholder to withdraw small amounts of cash from their policy while it is active. This is called a cash-value withdrawal and is typically not taxed. For most policies, the insurer may have 30 days after a claim to investigate and approve the claim. At the end of this period, benefits may be paid to the surviving beneficiaries. You should not take money out of your life insurance policy without consideration, however. Withdrawing money can reduce the amount of benefits that can be paid at the end of the policy. As with term life insurance, a whole life insurance that is canceled before the policyholder dies will usually not provide benefits to any beneficiaries listed on the policy. Unless, however, it is a cash-value policy. A cash-value policy may allow you to receive cash value from the money accumulated once you cancel or “surrender” the policy. Take careful consideration before withdrawing money or canceling an insurance policy. A lack of coverage can leave your beneficiaries without compensation after your passing.

THURSDAY, SEPTEMBER 24, 2020 How to Insure Your Roof with Home Insurance Your home’s roof is one of the most important and expensive parts of the home. It keeps everyone inside safe, warm and dry, as well as keeps out anything unwelcome. Unfortunately, home insurance can grow a little complicated and expensive when it comes to insuring your roof. Carefully look at your home insurance policy regarding your roof. Some policies will pay for repairs but have limited to no coverage on replacement. There are also limits on coverage depending on where you live, the cause of damage and the condition of your roof. Insurance providers may not cover a roof that is old or badly damaged until the damage is fixed. They may also not cover damage that is caused by something preventable. For example, say a few shingles are loose on your roof. It’s not too bad, so you ignore it for now to save up money to fix it. The next week, it rains, and a leak breaks out where the shingles are missing, soaking your office. Your insurance provider may not cover this damage because it was preventable if you had fixed the roof before it rained. Homeowner mistakes or negligence are generally not covered under home insurance. Repair and Maintain Your Roof Before purchasing a home insurance policy, have your roof appraised by an expert and fix anything that is broken, missing or askew. Check on it after every storm, especially storms with hail, to evaluate the damage. Maintenance can not only help your home insurance policy, but it can prevent you having to file a claim. Improve the Roof Making improvements to your roof or upgrading to a hail-resistant roof can help protect your home and prevent a claim by lowering the impact of bad storms. This can also prevent denied claims due to certain circumstances that are not covered. For example, some hurricane and storm damage will not be covered in states with frequent hurricanes, such as Florida and other states along the coast. Review the Replacement Cost Value of Your Roof If you do make any changes to your roof, be sure it reflects on your insurance policy. If you make upgrades on your roof but fail to notify your insurance provider, you may not be covered for damages. This is because the value of your roof went up, but your policy was designed only to cover your original roof.

TUESDAY, SEPTEMBER 22, 2020 I Hit My Mailbox, Will My Car Insurance Pay? We’ve all made careless mistakes from time to time, including behind the wheel. If you have ever backed into your mailbox, you might find yourself annoyed, but hopefully unharmed. Your car, however, might sustain damage and so might the mailbox. As a result, you might have to file a claim against your car insurance to make the necessary repairs. You will still have to make sure that your policy covers the cost of the damage, however. Sometimes, limits on coverage might apply. Getting Car Insurance for Mailbox Collisions When driving, you are ultimately responsible for the safe operation of the vehicle. If you have ever hit another object, therefore, then the accident is likely your fault. After all, an inanimate object cannot suddenly appear in the roadway. As a result, you will have to use your own car insurance to pay for the damage costs. Suppose, for example, that when backing out of your driveway one day, you miscalculate your clearance and hit your mailbox. The bumper and sides of the car sustain various dents and damage. You’ll probably want to have the car repaired. However, you’ll have to make sure your car insurance applies. Car Insurance for Object Collisions On its face, car insurance is likely able to help you pay for the damage caused by backing into your mailbox. This accident was obviously something you didn’t plan or intend to happen. Still, you might find your coverage is more limited than you thought. To pay for damage to your car, you will likely have to make sure you have collision insurance on the policy. Collision coverage pays for damage to the vehicle that occurs when you hit something. It goes without saying that hitting your mailbox falls into this category. However, many car insurance policies don’t automatically include collision insurance. If you don’t indicate you want coverage when you buy your policy, then you won’t have it unless you add it later. You cannot add it after an accident and expect it to apply retroactively. Most collision policies will include damage deductibles. You will have to pay the cost of the deductible towards the repair costs on your own. For example, if you have a $500 deductible and sustain $3,000 in damage, then you will pay $500 and your policy will pay the remaining $2,500. If the cost of the damage is less than the deductible, then you cannot receive any help from the policy. To determine how your policy will pay for your vehicle’s damage, talk to your insurer. They can help work out if your collision insurance will apply to your vehicle’s damage. Keep in mind, however, that car insurance won’t pay for damage to the mailbox itself. You will have to pay for the repairs using a separate outlet.

THURSDAY, SEPTEMBER 17, 2020 Making a Possessions Claim on Business Insurance Businesses that have property insurance will likely have coverage for the possessions inside. So, if something damages the contents of the business, then you can likely file a claim for the damage costs. However, you must do so correctly to successfully receive compensation. Some policies will include limitations on how much damage they will cover. Understanding Contents Insurance Contents coverage is business insurance that will help you replace or repair possessions if they get damaged or destroyed by unexpected events. It might pay when hazards like fires, theft, vandalism or severe weather damage belongings. Some of the items it might compensate you for include: Computer equipment Machinery and materials Furnishings Business stock and inventory Equipment Restrictions on Your Contents Coverage When getting your contents policy, you will choose a maximum limit to your coverage. You’ll want to base this limit on the cumulative value of all your belongings in case a total loss occurs. For example, if a fire destroys your business, and you have $100,000 worth of possessions, you’ll need up to $100,000 to replace the items. That will require a $100,000 policy limit. Yet, besides the policy limit, there are other restrictions that might affect how and when you can make a claim. Keep these potential limits in mind: Most contents coverage includes deductibles. You agree to pay this amount towards the cost of repairing or replacing the items. If you have a $1,000 deductible and claim furniture damage worth $5,000, then your policy will only pay you up to $4,000. Policies might exclude or limit coverage on certain items. For example, outdoor furnishings or signage might have limited coverage. To insure these items, you might need to add a specialty endorsement to the policy. The policy might include sub-limits that it imposes on certain items. For example, the policy might only pay up to $500 for damaged computers. To get more coverage, see about scheduling the item on your policy through an endorsement. The policy will not cover contents damaged in certain hazards. For example, weather-related flooding typically does not have coverage. To get such protection, you might need to buy flood insurance. This coverage will still include its own limits and deductibles. If you ever need to file a claim on your contents insurance, then immediately call the insurer. They can tell you what they require to process the claim. You might need to take pictures, receive damage estimates and preserve the scene until the insurer can review the damage. All these steps can aid the insurer in providing you ample compensation.

TUESDAY, SEPTEMBER 15, 2020 Important Questions to Ask Before Buying Health Insurance Health insurance is critical so you and your family can get the care you need. Signing onto a policy shouldn’t be done lightly. Not all health insurance policies are created equal, and there are a few questions you should ask before signing your name on the dotted line. 1. Can You Stay at the Same Doctor? Say you have been going to the same doctor for years and you explicitly trust them with your health. You have no interest in going to a different doctor if you can help it. Unfortunately, not all health insurance is accepted everywhere. Be sure to look at your preferred doctor’s list of accepted health insurance providers before deciding on a policy. 2. What are the Benefits? Most health insurance policies cover basic benefits such as emergency services, hospital stays, office visits, etc. Many often exclude coverage for other benefits, however, such as dental, vision and prescription drugs. If you regularly take prescription drugs or need vision coverage, you will want a health care plan that covers these costs. Dental insurance may have to be purchased separately depending on the health insurance provider. 3. How Much Will It Cost? You don’t need to know only how much your premiums will be, but how much your deductible is, how much you will be paying out of pocket, what your co-payments will be, etc. Compare quotes in your area to find the best deal, and keep in mind what influences these rates. Rates may change depending on the type of plan you have, your age, tobacco use and location. Family plans generally cost more than individual plans. 4. What are the Rules and Limits of this Policy? What About Emergency Services? Some policies have requirements when it comes to using health insurance benefits. For example, you may have a limited window (such as 24 hours) after visiting a hospital to contact your primary care doctor in order for your health insurance to cover the expenses. Deductible and co-pays are different in emergency rooms than in normal doctor’s offices, as well. They are normally more expensive, and your health insurance policy may not cover every fee and procedure. Your health insurance plan may also require you to go to specific hospitals. No matter if you are getting your first health insurance plan or switching to your tenth, be sure to ask about your plan to make sure you have the right coverage.

THURSDAY, AUGUST 13, 2020 What Happens to Businesses Without Insurance? Business insurance is used in order to protect businesses from lawsuits and other losses that could have a large financial impact otherwise. Required Business Insurance and Penalties Business insurance requirements vary by state. Most states require businesses to carry a minimum amount of: Workers Compensation: Workers compensation provides financial assistance for employees that are injured on the job. Commercial Auto Insurance: Commercial auto insurance covers vehicles used or owned by a business for work purposes. Operating a business without workers compensation can result in legal action such as fines or jail time. Even in states that don’t require workers compensation, operating without this insurance can lead to lawsuits from employees due to injuries obtained at work. Legal action can also be taken against businesses that fail to carry the proper commercial auto insurance. Most states require a minimum amount of liability insurance. In Texas, for example, businesses must carry: $30,000 in bodily injury liability per person $60,000 in bodily injury liability per accident $25,000 in property damage liability This is the minimum amount required and not the only insurance available. If a commercial vehicle is covered with personal auto insurance instead of commercial auto insurance, an accident while the vehicle is being used for work will not be covered. In fact, an insurance provider may cancel a policy if they discover a commercial vehicle is insured with personal auto insurance and vice versa. Industry Requirements Business insurance can also be required depending on the industry. In some cases, insurance can be required in order to obtain a license or purchase a location. Without the proper insurance, a business may not be able to open a physical location or receive the necessary license for their practice. Essentially every industry has some insurance requirements. Insurance requirements for industries can also vary depending on the state. Some industries are excluded from workers compensation depending on the state, for example. Business Lawsuit Risks Aside from legal repercussions, lawsuits can be a large repercussion for not carrying insurance. Lawsuits can come from a range of incidents from general liability property damage and injuries to professional negligence, directors and officers lawsuits and employee claims. The majority of businesses that fail within their first 5 years of operation is due to a lack of funds. A single uninsured lawsuit can ruin a business not only in reputation, but with the expensive costs of court fees, defense costs and payouts.

THURSDAY, SEPTEMBER 10, 2020 How Fire Stations Can Affect Your Home Insurance Premiums Home insurance premiums seem elusive until you discover what, exactly, makes them raise or lower year by year. There are many factors which an insurer may use to calculate your home insurance premiums. One of these is your location and, specifically, how close you are to a fire station. Why? Home insurance prices, and insurance prices in general, are calculated based on the amount of risk the insurance provider is at for paying out a claim. If you are more likely to file a claim that the insurer will have to pay, you may be charged more for insurance to compensate. This means that having certain safety measures within the home, such as fire alarms and a burglary alarm system, can change your home insurance premiums, as these measures lower the risk of you or your family filing a claim. How? Living near a fire station can lower your home insurance rates drastically. A nearby fire station means that any home fires are likely to be put out quickly, and the damage they cause minimal. On the other hand, homes that live far away from fire stations or even fire hydrants can have trouble finding cheap home insurance. The further away you are from a fire station, the longer you would have to wait for emergency services. And the longer a fire burns, the more damage it can cost—which means the insurer will have to pay more in compensation for a claim. Where? Urban areas and suburbs are more populated with fire hydrants and fire stations than rural areas. If you live in a rural town that is miles from the nearest fire station, you could have trouble purchasing cheap home insurance. How Much Can a Fire Station Affect Your Home Insurance? A nearby fire station saves an average of about 4% for homeowners on home insurance. While this isn’t a lot, it can save you a substantial amount in the long run, especially paired with other discounts. Carefully consider your location when searching for a home. You will want to be near a fire station or a fire hydrant, both for better home insurance prices and for a better sense of safety. Also invest in other safety measures that can save you money on home insurance, such as an indoor fire extinguisher, upgraded locks and doors, anti-burglary systems, etc.

TUESDAY, SEPTEMBER 8, 2020 Choosing the Correct Term Life Insurance Policy Length When you buy life insurance, you probably have an idea in mind about where you want your policy to go. You might want to use it as a vessel to provide money to loved ones for specific purposes. As a result, you might only want your coverage to last for a certain number of years. If that is the case, then a term life insurance policy might be your best bet. The challenge, however, is how to choose the right term that works for you. Here’s how to do so. What is Term Life Insurance? Many people buy life insurance with a specific idea in mind. For example, parents with young children might want the plan to pay for the child’s college tuition if the parent pre-deceases the child. As a result, they might only want their policy to last for a certain number of years. Term life insurance is the way to get this coverage. Term policies offer full death benefits to beneficiaries. However, they include a start date and an expiration date. If the insured person dies while the policy is active, then the beneficiary can file a claim for the death benefit. But, once the expiration date passes, the policy simply goes away. The question you might ask yourself, however, is for how long you want a term policy to last. The answer usually has a lot to do with your objectives for the policy. Choosing the Correct Policy Term Most term life policies come with standardized term options. For example, these might be 5, 10, 20 or 25-year terms. The one you choose will determine the term length. You can often change the policy term later or convert the term policy into a permanent policy. Depending on how you want to use the policy, you might need a shorter or longer term. For example, most people enroll in life insurance upon having a child. They might feel like they need this policy only for as long as the child is a minor. As a result, they might choose a 20-year term. If the policy begins while the child is still a baby, then it will remain in effect until they are at least 20 years old. As a result, if you die in this time, the child’s inheritance, lifestyle and care needs can have coverage. The policy can then terminate once the child is on their own. When buying your term life policy, tell your agent where you want the money to go. They can then help you arrange the policy’s term to make sure it goes directly to that purpose.

THURSDAY, SEPTEMBER 3, 2020 Can You Cancel Auto Insurance on a Financed Car? When you purchase a new car, you are generally issued a requirement by the lender to carry a certain amount of car insurance. This requirement is issued to protect the lender’s investment in case an accident damages the car. You must carry this insurance for as long as you are financing the vehicle. If you cancel your coverage, you will be notified of a breach of contract, after which the lender may add the cost of full coverage car insurance to your loan. This forceful adding of insurance by a lender is called force-placed coverage. How Much Insurance Do Lenders Require? Usually this is full coverage, which is higher than the state required minimums. Full coverage car insurance required by lenders typically includes: Comprehensive Coverage: Comprehensive coverage provides compensation for damages to the vehicle caused by fire, wind, hail, lightning, smoke, theft, vandalism and other incident not involving collision. Collision Coverage: Collision coverage provides compensation for damages to the vehicle due to collision with another vehicle or object. Liability: Liability insurance covers expenses related to bodily injury and property damage the driver may cause while operating the vehicle. Medical Payments Coverage: Medical payments coverage provides compensation for medical bills the driver and their passengers may face after an accident, no matter who is at fault. Uninsured/Underinsured Motorist: This coverage provides compensation for accidents involving a driver not carrying insurance at the time of the accident. When Can You Drop to Basic Liability Insurance? Once your car is paid off, you may not longer be required to carry full coverage by your dealership. You should take careful consideration before dropping your insurance. With just minimum liability, you will not have coverage for damages to your car or injuries to you and your passengers. This means that after an accident, you could be looking to pay expensive repairs and medical bills out of pocket. It is generally recommended that drivers don’t consider dropping their full coverage insurance until the value of the car is less than it would cost to insure the vehicle. Older vehicles depreciate in value, so some insurers will not insure a vehicle that is worth less than the cost of insurance. If it would cost less to repair or replace your vehicle out of pocket than it would to insure it, you may want to have only minimum liability insurance.

TUESDAY, SEPTEMBER 1, 2020 Business Insurance Coverage for Computer Equipment Getting the right business insurance for your company property might seem challenging, and one of the most critical items you want to protect is your computer systems. Still, you might not know whether your business insurance will cover these expensive and sensitive machines. The good news is it can, but you must make sure you have the proper coverage. Whether you offer employees laptops only, or have a multi-machine network, we can help you get the right policy. What Business Insurance Covers Nearly all business insurance includes property coverage. It will help you repair or replace items like furniture, tools, supplies and other critical business items in case of unexpected damage. Usually, it can also cover computer equipment, but only for covered losses. It will not cover computers damaged by hazards the policy does not cover, however. Whether your basic property insurance is enough coverage for all computers might depend on the size of your assets. For example, if you only have a few computers in the business, then the limits of your standard property insurance will likely be enough. However, property insurance will likely cap how much aid it will provide for computers. As a result, you might need to buy a policy endorsement that will increase your coverage limits for computer systems. This will ensure that you receive more right coverage. You might also need to buy expanded coverage if you allow your employees to take computer equipment home with them. What Business Property Insurance Does Not Cover Coverage for property damage usually only covers physical property. So, while damaged computers might have coverage, the data within them might not. You might also have no coverage for the cost of recovering this data or compensating customers who experience ramifications of lost data. Therefore, if you ever face a data loss, breach, hack, ransomware attack or related incident, then you might have to look elsewhere to get covered. You might need a type of coverage called cyber liability insurance. The policy can help the business itself in recovering or replacing lost data. It can then help you cover the costs of compensating third parties, like customers, affected by the data loss. You will have to tailor your computer equipment’s insurance to your own business’s needs. Therefore, your agent will need to know the full picture of your computer use to be able to insure you appropriately. While they can provide you with a solid base of property insurance, they will likely need to add special endorsements to the policy. With that, they can make sure you will always have protection.

THURSDAY, AUGUST 27, 2020 What Does Actual Cash Value Mean for Home Insurance? Home insurance has a lot of confusing terminology, especially when it comes to the types of policies and how you can receive compensation. Replacement cost value, for example, refers to two areas: the total replacement cost value of your home, and a replacement cost value policy for personal belongings coverage. To break it down, home insurance covers three main areas when it comes to property: Dwelling covers the physical home and its attached structures in case of damage or loss due to fire, wind, hail, lightning, smoke, theft, vandalism and more. Personal Belongings coverage covers personal items from the same causes of loss and damage that are covered under dwelling insurance. Additional Living Expenses cover costs related to temporarily moving if the home is destroyed after a disaster. Actual cash value related to your home insurance policy’s personal belongings coverage. Actual Cash Value vs Replacement Cost Value There are two ways a homeowner may receive compensation for lost or damaged belongings: actual cash value or replacement cost value. An actual cash value home insurance policy provides compensation while accounting for depreciation. So as the value of your items depreciates, or drops, so does the amount of compensation you can receive. For example, say you purchase a television for $1,000. A few years later, a fire breaks out and destroys most of your belongings, including the TV. Since you purchased it, the value of the TV has dropped to $500. Instead of receiving $1,000 in compensation, you will likely receive closer to $500. A replacement cost value policy provides compensation without depreciation. No matter how the value of your belongings depreciate, this policy will provide compensation to help replace it with one of equal value. Most home insurance policies are actual cash value when it comes to personal property. It is also the cheaper alternative. If you would prefer replacement cost value for your items, you may be able to ask your insurance agent about adjusting your policy. Keep in mind that certain items have limited coverage under home insurance policies and replacement cost value may not be available to cover all of your personal items. Objects such as jewelry, furs, art and electronics often have limited coverage under a basic home insurance policy and may need policy floaters to cover the cost of replacing or repairing them after a covered incident.