CHANGE – It’s Necessary


The world has changed. Has your homeowners kept up?

 Going out to dinner is fun, but failing to review your homeowners and auto insurance can cause more discomfort than a case of indigestion.
Here are just a few questions that deserve attention:


1. When was the replacement cost analysis performed on your home? In the current housing and construction market, it’s important to update it regularly.

2. Are you sure you have water back up coverage? Even if you do, is it sufficient? Recent storms point out the value of this coverage. For example, you may know homeowners who had water in the basement for the first time.

3. What is the scheduled limit on your homeowners policy for personal property? Most homes have expensive electronic equipment and appliances and values keep increasing. If you have jewelry, art, collections above the limit, are they scheduled separately on your policy?

4. Do you have an umbrella policy? Even if you do, are the limits sufficient? Even a few years ago, $1 million seemed sufficient, but not today. The cost for higher limits is reasonable.

5. Is your personal property coverage based on Actual Cash Value or Replacement Cost? ACV is what you would pay to replace it today, minus depreciation, which decreases the value due to wear and tear or age. RC is what you would pay for a similar item at today’s price. However, if you have ACV, most insurance companies will give you RC, if you submit a receipt before paying the remainder. In any event, you will do yourself a favor by keeping an inventory of personal property. We will be glad to help you choose a way that is easiest for you.