5 Important Tips on Homeowners Insurance

Homeowners insurance is very important to have but most people do not properly take the time to go through their policies and understand how everything works until they actually need it.

This can be a big problem because you will be in a big backlog after a disaster, and might not get the help and representation you need unless you have a good grasp on the insurance process.

Keep these five homeowners insurance tips in mind going forward. Don’t wait for something bad to happen. A bit of research and smart decision making can save you a lot of headaches down the road.

Get a Feel for the Claims Process: Different policies are going to have a big impact on how things go after a loss. Get an idea about how the insurance company actually pays out their money to you. Some will ask for receipts before compensation, while others will just give you a fraction of the claim upfront to start.

Get Floaters: There will most likely be a limit the amounts of money you can get for some expensive items, like jewelry and fine collectibles. As a result, buying special floater policies is necessary so you can have your big-ticket items covered. Make sure to get an appraisal of everything and then save copies of all documentation so there is not a dispute about value.

Get an Inventory: All homeowners should inventory everything for insurance purposes. Filing claims will involve you having to prove the worth of items, and this is a lot easier to do beforehand. Go through your house and take photo and video of each item and make sure everything is accounted for.

Click here to read the 5 common mistakes homeowners make!

Follow Inflation: If you have a homeowner’s insurance policy, be sure to keep pace with inflation. A lot of insurance companies will have a guard against inflation, so be sure to chat with your agent once renewal time comes around so you can make sure the amounts of coverage are still adequate.

Buy an Umbrella Policy: One smart decision is to purchase an umbrella policy to make up for any deficiencies with your insurance.These types of policies will add extra liability to coverage to your already-existing policies. They are usually very cheap and can give you a lot of protection in regards to liability, since most lawsuits for injuries are going to start with very high amounts of money that people are going to be looking to recover.

Overall, keep these five tips in mind when it comes to your homeowners insurance. Things can change very quickly and you do not want to realize after the fact that your policy is out of date or not adequate for the situation you are now in.

As a result, it is a good idea to always call your agent after a big life-changing event. Make sure to think about how your policy should change once you get married or decide to have children to ensure that your inventory and homeowners policies are still up to date so you can rest easy.

Do you have a question about homeowners insurance? Click here to contact Davco Insurance today!

Courtesy of  Cuselleration

4 Reasons Why You Need Umbrella Insurance

The top priority for all people is to protect their family in addition to assets. This is the reason why insurance exists and also the reason why we have personal umbrella insurance. Personal Umbrella Insurance is an insurance type that is specially designed for the purposes of adding all liability coverage that is above and over other insurance policies, like homeowner’s or auto insurance.

What does Umbrella Insurance cover?

This insurance type is created to aid and protect a person from getting exposure to devastating and stressful liability judgment or claims. Just when a person gets to the wall with his or her underlying liability, it is then that Personal Umbrella Insurance coverage gets put into the play.

Example of liabilities covered by Personal Umbrella Insurance includes property damage, landlord liability, personal injury and bodily injury. On the other hand, oral or written contracts, personal belongings and anything else that has been covered cannot be typically covered by Personal Umbrella Insurance. Private omissions, intentional or even criminal acts are not covered.

Umbrella Insurance

For a better understanding of how the Personal Umbrella Insurance policy functions, this is a good example: If a person is found to be at fault during a car accident, where the other driver has been injured, the person’s regular automobile insurance is expected to cover for the injured driver until a set limit has been agreed upon. If the set limit being insufficient for the coverage of the wounded driver’s medical bills, it becomes another case.

Severe injuries of the driver will make you responsible for the damages as far as the law is concerned. That is if the hospital bill outdoes the agreed amount that you agreed with your car regular automobile insurance. The injured driver that is suing you can cause your assets to be at stake. The situation will be worse if the injured driver was a person of a prominent profession or highly paid and the accident caused him to miss work for a couple of months for six or eight months. He or she can sue you for the months away from work.

Yes, the automobile policy liability will cover only up to the agreed amount. As for the rest of the money, how will you come up with that given that it is a considerable amount? When standard insurance does not cover the whole cost, the additional amount can be covered by a Personal Umbrella Policy. It will include the extra cost to prevent you from getting stuck while figuring out the payment. Personal Umbrella Insurance will help you in protecting your home, bank account and any other personal property that you may have.

Oftentimes, the Personal Umbrella policies are availed in increments of million dollars, starting from $1 – $5 million. For increased protection and coverage in an unfortunate incident of an accident, the umbrella policy will be your savior.

Liabilities that are not covered by a Personal Umbrella Policy

Personal Umbrella Insurance will not typically be cover any cost if one causes damage to his or her own home. It will slightly help you to cover the expenses when you are held accountable for damaging somebody else’s property.

Do you have a question about umbrella insurance? Click here to contact Davco Insurance today!