How To Insure Your Short Term Rentals

/in , /by

With firms like Airbnb and VRBO these days, short-term rentals offer a lot of chances to make extra money. And, like other businesses, there is always some danger. Whether your property is stand-alone, garage, or basement, you need to be aware of how to safeguard your assets.

These five tips will help you understand insuring a short-term rental:

One should not presume that the insurance coverage of your house will cover a temporary rental.

Depending on the percentage of the year a house is rented, some homeowners’ policies might cover a temporary rental. Most won not. To completely know what is and is not covered, go over your policy with insurance representative. Either a stand-alone insurance or a short-term rental endorsement could be fit for your homeowners’ policy.

Know the offerings of the host company.

Certain host businesses, such as VRBO and Airbnb, might have their own insurance or refund policies. For instance, Airbnb offers a host protection program whereby a renter’s property damage is reimbursed up to $1 million to a host. Airbnb notes that this is not insurance; it does not cover cash or stocks, collectibles, artwork, jewelry, pets or personal liability.

Think about raising your liability protection using an umbrella policy.

Obviously, a short-term rental raises your responsibility risk. It could be advised to raise your liability protection with an umbrella insurance or your limit with an existing policy.

Short-term rental claims are not covered by a standard landlord policy the same way.

Typical landlord policies address long-term leases and rents. They also demand that the tenant carry a rental insurance policy that shifts some of the responsibility to them. Under a landlord policy, for instance, your renter is liable for the claim should they slip and fall in the shower. Should someone renting your short-term rental slip fall in your shower, you can be liable.

See your agent to get the best answer for you.

The type of property, length of rental duration, host firm you are dealing with, and other variables define any short-term rental scenario. You run risk even if you are letting friends or relatives stay at your house for $0. Knowing the best choices open to you for safeguarding your asset and reducing your risk depends on you talking about your particular circumstances with your agent.

Three Things To Look For In A Home And Auto Insurer

/in , , /by

Choosing the right insurer for your home and auto coverage is crucial for ensuring that you are adequately protected while also receiving excellent service and value for your money. With so many options available, it can be challenging to know where to start. Here are three essential things to look for when selecting a home and auto insurer:

  1. Financial Stability and Reputation

Financial Strength: One of the most important factors to consider when choosing an insurer is their financial stability. You want to ensure that the company you select has the financial resources to pay out claims, even in the event of widespread disasters. Look for insurers with high ratings from independent rating agencies such as A.M. Best, Standard & Poor’s, or Moody’s. These ratings reflect the company’s ability to meet its financial obligations.

Reputation: The reputation of an insurer can give you insight into their reliability and customer service. Research customer reviews, testimonials, and ratings on platforms like the Better Business Bureau (BBB) and Consumer Reports. A company with a strong reputation for handling claims efficiently and providing excellent customer service is more likely to meet your needs and expectations.

  1. Comprehensive Coverage Options and Discounts

Coverage Options: Ensure that the insurer offers comprehensive coverage options that meet your specific needs for both home and auto insurance. For home insurance, this includes dwelling coverage, personal property coverage, liability protection, and additional living expenses. For auto insurance, look for liability coverage, collision coverage, comprehensive coverage, and optional coverages like uninsured/underinsured motorist protection and roadside assistance.

Customization: A good insurer should offer customizable policies that allow you to tailor your coverage to fit your unique situation. This might include adding endorsements or riders for valuable items, natural disaster coverage, or specific circumstances like a home office or custom auto parts.

Discounts: Many insurers offer discounts that can help lower your premiums. Look for bundling discounts if you purchase both home and auto insurance from the same company. Other common discounts include safe driver discounts, multi-policy discounts, home safety feature discounts (like alarms and smoke detectors), and loyalty discounts. Make sure to ask about all available discounts and how you can qualify for them.

  1. Customer Service and Claims Handling

Customer Service: Excellent customer service is a vital aspect of a good insurer. You want a company that is easy to contact, responsive, and helpful. Test their customer service by calling with questions or using online chat features to see how quickly and effectively they respond. Check if they offer 24/7 customer support, which can be particularly important in emergencies.

Claims Process: The true test of an insurance company is how they handle claims. A smooth, efficient claims process can make a significant difference during stressful times. Look for insurers that offer multiple ways to file a claim (online, by phone, or through an app) and provide clear guidance on what to expect during the claims process. Reading customer reviews specifically about claims experiences can provide valuable insights.

Technology and Tools: In today’s digital age, having access to user-friendly technology and tools can enhance your experience. Many insurers offer mobile apps and online portals where you can manage your policies, file claims, and access important documents. These tools can make it easier to interact with your insurer and keep track of your coverage.

Selecting the right home and auto insurer involves careful consideration of their financial stability and reputation, comprehensive coverage options and discounts, and the quality of their customer service and claims handling. By prioritizing these three factors, you can find an insurer that not only meets your needs but also provides peace of mind knowing that you are well-protected. Take the time to research and compare different insurers to make an informed decision that will benefit you in the long run.

Does Bundling Home and Auto Insurance Really Pay?

/in , /by

When it comes to insurance, many of us are looking for ways to save a few dollars without sacrificing coverage. One popular strategy is bundling home and auto insurance policies with the same carrier. But does it really pay to bundle? In this article, we’ll explore the pros and cons of bundling and help you decide if it’s the right move for you.

The Pros:

  • Discounts: Bundling typically yields significant discounts, ranging from 10% to 25% off your premiums.
  • Convenience: Managing multiple policies with one carrier can simplify your insurance management.
  • Streamlined Claims: If you need to file a claim, having both policies with one carrier can make the process easier.

The Cons:

  • Limited Flexibility: Bundling may limit your ability to shop around for better rates on individual policies.
  • Potential for Higher Premiums: If one policy has a high premium, bundling may not lead to significant savings.
  • Less Personalized Service: Large carriers may not offer the same level of personalized service as smaller, independent agents.

The Verdict:

While bundling can offer significant discounts, it’s essential to weigh the pros and cons and consider your individual circumstances. If you have a high-value home or a complex auto insurance situation, bundling may not be the best option. However, if you’re looking for convenience and a straightforward insurance experience, bundling could be the way to go.

The Bottom Line:

Before making a decision, shop around, compare rates, and consider your insurance needs. Ask yourself:

  • Are the discounts offered by bundling significant enough to outweigh potential drawbacks?
  • Ask your agent for help and guidance.
  • Will bundling limit my flexibility to find better rates or more personalized service?

By carefully considering your options, you’ll be able to make an informed decision that saves you money and provides the coverage you need.

 

Reasons You Need A Personal Umbrella Policy

/in , /by

 

You have worked hard to earn your lifestyle. One accident or claim can ruin all your financial planning. A Personal Umbrella Liability coverage added to your other policies can protect you, your spouse, and any relatives living in your home.

Umbrella Insurance provides extra protection or limits above the liability insurance you currently have. Just as an umbrella protects you from heavy rain, an umbrella insurance policy protects you from losing the entirety of your wealth and assets in the event of a claim. Umbrella insurance can provide limits above your business insurance, personal auto, and home policies. Umbrella insurance provides broad insurance beyond traditional insurance. It provides additional liability coverage above the limits of your primary insurance policies. It can also provide coverage for claims that may be excluded by the primary policies.

Actual Claim Examples

A babysitter left a 5-month-old infant unattended in a walker. The infant toppled the walker, struck her head on the floor, and suffered brain damage. The parents of the infant sued the teenage babysitter and her parents. The court awarded the infant’s parents $11,000,000.

A teenager, who was destined for greatness as a softball player, filed a $700,000 lawsuit against her former coach, alleging his “incorrect” teaching style ruined her chances for an athletic scholarship.

A 28-year old engineer dove into friends above ground swimming pool struck his head on the bottom and, as a result, became a quadriplegic. He sued both the homeowner and the pool manufacturer. The court found the homeowner to be 60 percent responsible and the pool manufacturer to be 40 percent responsible and awarded $10,000,000.

Oakwood operates as an independent insurance agency, selling an extensive spectrum of insurance to businesses, families, and individuals.  Our competitive advantage comes from the objective and professional service that we provide our access to a wide range of carriers and our extensive knowledge of the insurance marketplace.

 

Summer Vacation Home Rentals: What to Watch For

/in , , , /by

As the summer season approaches, we are eager to escape to a beautiful vacation home. Whether you’re heading to the beach, mountains, or countryside, renting a summer vacation home can be a great way to relax and unwind. However, it’s essential to be aware of some potential pitfalls to ensure your dream vacation doesn’t turn into a nightmare.

  1. Accurate Property Listings

When browsing online listings, be cautious of misleading or outdated information. Make sure the property description accurately reflects the home’s condition, amenities, and location.

  1. Thorough Inspections

Before signing a rental agreement, inspect the property thoroughly. Check for any damage, wear, and tear, and ensure all appliances and systems are functioning properly.

  1. Clear Rental Agreements

Carefully review the rental agreement to understand your responsibilities, boundaries, and expectations. Clarify any questions or concerns with the landlord or property manager.

  1. Adequate Insurance Coverage

Verify that the rental property has sufficient insurance coverage. If you’re unsure, consider purchasing additional coverage to protect yourself and your belongings.

  1. Safety First

Ensure the property meets basic safety standards. Check for working smoke detectors, secure locks, and a fire extinguisher. Also, familiarize yourself with emergency evacuation procedures.

  1. Neighborhood Nuances

Research the neighborhood to avoid any potential issues. Look into local noise ordinances, parking restrictions, and nearby construction projects.

  1. Reviews and Referrals

Read reviews from previous renters and ask for referrals from friends or family members who have rented in the area.

  1. Local Support

Find out if the landlord or property manager has a local presence or a reliable support system in case of emergencies or issues.

  1. Clear Communication

Establish open and clear communication with the landlord or property manager. Make sure you have their contact information and can reach them easily.

  1. Reviews and Ratings

Check the landlord’s or property manager’s ratings and reviews on reputable platforms like VRBO, Airbnb, or HomeAway.

By being aware of these potential pitfalls, you can enjoy a stress-free and memorable summer vacation in your rental home. Remember always to prioritize safety, clarity, and open communication.

 

What Is Your Insurance Agent Doing For You?

/in , , /by

Engaging in any business requires the support of professionals who can guide you through the complexities and challenges of your industry. One such professional is an agent. They play a critical role in ensuring your success. However, not all agents are created equal. It’s important to know what your agent should be doing for you to ensure that they are providing the best service possible.

Educating You

Knowledge is power, especially in business. Your agent should be a source of knowledge and education for you. They should be able to explain the different aspects of your business, the market, and the industry as a whole. It’s their responsibility to ensure that you are well-informed and understand the details of your business. This not only helps you make informed decisions but also increases your confidence in your business operations.

Connecting with You

Communication is key in any relationship, and the one between you and your agent is no different. Your agent should be proactive in reaching out to you, keeping you updated, and being responsive to your inquiries. They should be available to answer any questions, concerns, or ideas you may have. The more connected you are with your agent, the better they can serve your needs.

Reviewing Your Risk

Every business comes with its own set of risks, and it’s your agent’s job to help you understand and manage them. They should be able to review your business operations and identify potential risks that could affect your business. They should also offer solutions or strategies to mitigate these risks. By doing so, they can help protect your business and ensure its longevity.

Looking for the Right Combination of Coverage and Price

One of the critical roles of an agent is to help you find the right insurance coverage for your business at the best price. They should be able to navigate the complex insurance market and find a policy that fits your needs and budget. It’s their duty to ensure that your business is adequately protected without overpaying for coverage.

Responding to Questions

Your agent should always be ready and willing to answer your questions. No question is too small or too big for them to handle. Whether you’re asking about policy details, claims, or changes in the market, your agent should provide clear, accurate, and timely answers. This not only helps you understand your business better but also builds trust between you and your agent.

Providing Great Customer Service

Last but not least, your agent should provide exceptional customer service. They should be friendly, approachable, and professional. They should also be proactive in addressing your needs and resolving any issues that may arise. Great customer service not only makes your business interactions more pleasant but also fosters a strong, long-lasting relationship between you and your agent.

An agent plays a crucial role in the success of your business. They should be educating you, connecting with you, reviewing your risk, looking for the right combination of coverage and price, responding to questions, and providing excellent customer service. They should be a partner in your success and not just a service provider. So, make sure to choose your agent carefully and hold them to these standards.

Ways to Reduce Home and Auto Insurance Premiums

/in , , , /by

As an insurance agent, I understand that my clients are always looking for ways to save money on their insurance premiums. Fortunately, there are several ways to reduce home and auto insurance costs without sacrificing coverage.

  1. Bundle Your Policies

Save up to 15%: Bundling your home and auto insurance policies with the same insurance company can lead to significant discounts. This is because insurance companies offer multi-policy discounts to loyal customers.

  1. Increase Your Deductible

Save up to 10%: Raising your deductible can lower your insurance premiums. However, make sure you have enough savings to cover the higher deductible in case of a claim.

  1. Improve Your Credit Score

Save up to 10%: Many insurance companies use credit scores to determine premiums. A good credit score can lead to lower insurance premiums, so make sure to monitor and improve your credit score.

  1. Install Safety Features

Save up to 5%: Installing safety features like security systems, smoke detectors, and deadbolt locks can qualify you for discounts on your home insurance.

Save up to 10%: Installing safety features like anti-theft devices, lane departure warning systems, and blind-spot monitoring can qualify you for discounts on your auto insurance.

  1. Have Your Agent Compare Rates

Save up to 20%: Comparing rates from different insurance companies can help you find the best deal. Make sure to compare policies with similar coverage and limits to ensure you’re getting the best rate.

Additional Tips

Drop unnecessary coverage: Reassess your coverage limits and drop unnecessary coverage to lower your premiums.

Take advantage of low-mileage discounts: If you drive less than a certain number of miles per year, you may qualify for low-mileage discounts.

Ask about other discounts: Some insurance companies offer discounts for things like being a non-smoker, having a college degree, or being a member of a certain organization.

By implementing these five tips, you can reduce your home and auto insurance premiums and save money without sacrificing coverage. Remember to always review your policies and adjust your coverage as needed to ensure you’re getting the best rate possible.

I hope this helps! Let me know if you have any questions or need further assistance.

Solving Insurance’s Five Biggest Problems

/in , /by

Solving the Top 5 Home Insurance Problems for Homeowners

As a homeowner, having the right insurance coverage can provide peace of mind and financial protection in the event of unexpected disasters or accidents. However, navigating the complex world of home insurance can be overwhelming, and many homeowners face common problems when trying to secure adequate coverage. In this blog, we’ll explore the top 5 home insurance problems for homeowners and provide solutions to overcome them.

Problem 1: Underinsurance

Many homeowners are underinsured, meaning their policy limits are too low to cover the full cost of rebuilding or repairing their home in the event of a disaster.
Solution: Work with your insurance agent to determine the accurate value of your home and adjust your policy limits accordingly. Consider factors like local building codes, materials, and labor costs to ensure you have sufficient coverage.

Problem 2: High Premiums

Homeowners often struggle with high insurance premiums, which can be a significant burden on their budget.
Solution: Use an agent to shop around for insurance quotes from different providers to find the best rates. Consider raising your deductible, installing safety features like security systems and smoke detectors, and taking advantage of multi-policy discounts to lower your premiums.

Problem 3: Coverage Gaps

Homeowners may unknowingly have gaps in their coverage, leaving them vulnerable to financial loss.
Solution: Review your policy carefully to ensure you have adequate coverage for specific risks like flood, earthquake, or sewer backup damage. Consider adding endorsements or separate policies to fill coverage gaps.

Problem 4: Claims Processing Delays

Homeowners may experience frustrating delays when filing claims, leading to financial strain and stress.
Solution: Work with your insurance agent to ensure you have all necessary documentation and information to support your claim. Consider using online claims filing and tracking tools to streamline the process and stay informed.

Problem 5: Lack of Personalized Coverage

Homeowners may feel like they’re stuck with a one-size-fits-all policy that doesn’t meet their unique needs.
Solution: Work with an independent insurance agent who can help you customize your policy to fit your specific situation. Consider factors like your home’s age, location, and value, as well as your personal financial situation and risk tolerance.
In conclusion, home insurance doesn’t have to be a source of stress and confusion for homeowners. By understanding and addressing these top 5 problems, homeowners can secure the right coverage for their unique needs and enjoy peace of mind knowing they’re protected from life’s unexpected events. Remember to review your policy regularly, shop around for the best rates, and work with a knowledgeable insurance agent to ensure you have the coverage you need.

How To Avoid Insurance Claims When Buying A Home

/in , /by

Buying a house is an exciting venture, but it comes with its own set of challenges, especially when it comes to insurance claims. To safeguard your investment and ensure a smooth homeownership journey, consider the following tips:

  • Roof Condition: Assess the age and condition of the roof. A well-maintained roof can prevent future claims related to water damage or leaks.
  • Chimney Inspection: Ensure the chimney is inspected for structural integrity to avoid fire hazards.
  • Electrical Panels: Outdated or faulty electrical panels can pose significant risks. Updating them can prevent electrical fires and related claims.
  • Plumbing Issues: Address any plumbing problems early. Leaks and water damage are common sources of insurance claims.
  • Liability Hazards: Identify potential hazards on the property that could lead to liability claims. This includes uneven walkways or loose railings.
  • History of Previous Claims: Understanding the property’s claims history can provide insights into potential issues and help negotiate insurance rates.

By addressing these areas, you can mitigate risks and enjoy a more secure homeownership experience.

Navigating Insurance Discounts Effectively

/in , , /by

In the world of insurance, whether it’s for your car, home, health, or life, everyone seeks to maximize coverage while minimizing costs. One of the most straightforward paths to achieving this goal is through insurance discounts. However, navigating the maze of available discounts can be overwhelming. In this blog, we’ll explore effective strategies for identifying and leveraging insurance discounts to ensure you’re getting the best deal on your policies.

Understanding Insurance Discounts

Insurance companies offer a variety of discounts as incentives for behaviors that reduce their risk or administrative costs. Discounts may vary widely between companies and types of insurance but understanding the common categories and asking the right questions can lead to significant savings.

Common Types of Insurance Discounts

  • Bundling/Multi-Policy Discounts: Combining two or more policies (e.g., auto and home insurance) with the same provider can lead to savings on each policy.
  • Safety Feature Discounts: For auto insurance, features like anti-lock brakes or anti-theft devices can lower premiums. Similarly, home insurance discounts may be available for security systems and smoke detectors.
  • Good Driver/Claim-Free Discounts: A history of safe driving or going years without filing a claim can qualify you for reduced rates.
  • Loyalty Discounts: Long-term customers may be rewarded with lower premiums.
  • Occupational and Membership Discounts: Affiliations with certain organizations or professions (e.g., military, educators) might offer negotiated discounts.
  • Higher Deductibles: Opting for a higher deductible can lower your premium, though it means paying more out-of-pocket in the event of a claim.

Strategies for Navigating Insurance Discounts

Not all discounts are advertised. Call your insurance agent or company’s customer service to inquire about any additional discounts that might apply to your situation. Be specific about your circumstances, as there may be niche discounts you’re unaware of.

Maintain a Good Record

Especially relevant for auto and health insurance, maintaining a good driving record and a healthy lifestyle can qualify you for ongoing discounts. Participate in defensive driving courses or health and wellness programs if your insurer offers discounts for these activities.

Leverage Technology

Many insurers offer discounts for using technology, such as telematics for drivers, which monitor driving habits and can lead to discounts for safe driving. Similarly, smart home technologies that mitigate the risks of theft or damage can result in home insurance discounts.

Ask About Payment-Related Discounts

Paying your premium in full rather than in installments or setting up automatic electronic payments can sometimes lead to discounts.

Keep Your Information Updated

Life changes such as moving, changing jobs, or altering your driving habits can impact your insurance rates. Make sure your insurer has the most current information, as it could affect your discount eligibility.

Navigating insurance discounts requires a proactive approach. By understanding the types of discounts available, regularly reviewing your policies, and maintaining open communication with your insurance provider, you can ensure you’re getting the best possible rates. Remember, the goal is to maximize your coverage while minimizing costs, and leveraging discounts effectively is a key strategy in this endeavor. With the right approach, you can enjoy significant savings across all your insurance policies.