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This Is What You Need to Know About Commercial Insurance

Having personal insurance, especially when it comes to your vehicle, is important because it helps keep you and your family safe. It is also required by law in many states.

However, the details of commercial insurance can get a bit tricky because there are a variety of policies that might not be covered under a commercial auto insurance policy.

Some vehicle types might not be covered under a standard insurance policy, and having the wrong insurance can be a big issue when it comes to maintaining compliance with the law, or if you get in some sort of accident. It is always important to take the proper insurance precautions for your vehicles in the same manner that you take for your home or other property.

One of the biggest things to look at when it comes to commercial insurance for your car is to see who is on the registration. If a vehicle is registered through a business, commercial car insurance is needed. But if it is registered in your name, you might not always need to get insurance, especially if you own a business by yourself. You will need commercial insurance if the car is mainly being used for business purposes.

Commercial car insurance policies must be taken out if other employees at your business are driving a company car. These types of policies let you add multiple people to them so the risk of the vehicle can be properly accounted for by an insurance company. Commercial insurance is also needed for vehicles that are getting regular use. Usually, more than three times in a month-long period is a good benchmark for cars that should be covered under a commercial insurance policy.

However, there can be a few nuances when it comes to business use. Just driving to and from work is considered commuting and does not fall under needing a commercial policy. This action can be covered under a normal car insurance policy. But if the car is used to ferry other people to a job site, you should think about commercial insurance. Cars that are used to carry equipment, for towing, for newspaper delivery, or other delivery purposes should most likely be covered under a commercial policy.

Some forms of business, like a Mary Kay or Tupperware business, can be covered through a personal car insurance policy. You should let our agent know if you have a business like this so they can specifically tailor the policy for your benefit.

Click here to learn the 7 common insurance myths!

Keep in mind that the above concepts are just for you to get a better idea about what to expect when it comes to a commercial car insurance policy. You should understand that situations can be very different from person to person, an activity that might seem similar on the surface could be very different in the eyes of an insurance agent.

Our experienced agents will be able to speak with you about additional policy add-ons that might be required based on the type of car or business you carry out. If you need liability coverage for equipment that is transported, this can be added on to your commercial insurance.

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

Courtesy of  Cuselleration

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

Buying Life Insurance for the First Time? Read these 5 Tips

Making the step to buy life insurance can be a daunting affair. There are a lot of options and companies out there who are all pitching their services to you. Many people who are in the market for life insurance wonder about the types of policies available and how much coverage they should actually buy.

Ultimately, life insurance is designed to provide loved ones with financial security after your death. Policies can be used to pay off mortgages, help fund retirements, or be put toward estate planning.

Life insurance will always be cheaper for the younger, so consider buying a smaller “starter” policy if you do not think any of the above situations apply to you just yet.

In order to make the process a bit smoother, and help you get more comfortable with the idea of buying life insurance, keep these five tips in mind as you shop.

1) Figure Out The Coverage You Need: The death benefit is the amount of money a family or heirs will accrue after your death. There are a variety of online calculators you can use to figure out how much life insurance is appropriate.

To come up with a good ballpark figure for coverage, you could also just take your yearly salary and multiply the number by 8. For a more comprehensive understanding, take the time to calculate the monthly expenses your family will take on after your death.

No matter what, be advised that calculators are only good for theoretical scenarios, and their determinations should not be taken as gospel. However, they can be good ways for you to get an idea about how much coverage to get as you rely on other tools and experts.

 

Click here to learn why millennials need life insurance!

2) Study Up On The Industry: Before buying life insurance, take the time to understand important definitions, like “premium” and “dividend.” Taking the time to get educated about the industry can make your conversations with financial professionals more productive, and ultimately make your life insurance search more fruitful.

3) Check Out Provider Quality: Another important element behind life insurance is the expertise and reputation of the provider behind it. Be sure to pick a company that has an established presence in the industry, along with one that had a prudent investment strategy for premiums. This ensures they will be able to pay policyholder’s claims.

4) Search For The Best Type Of Policy: After making a decision about the type of coverage you will need, it’s time to sit down and mull over the different types of policies. Generally, a term life policy will give you a more affordable premium, but permanent life policies will afford you
better coverage that could also offer cash value.

5) Speak With An Experienced Financial Professional: No matter what, it is always smart to sit down with an experienced financial professional before buying life insurance for the first time. They will be able to review your situation and advise you about the best options.

Good financial professionals are also able to draw on their years of experience to factor in the needs of you and your family, and help guide you toward a life insurance policy that best reflects what you need. It can be tempting to just do research and make decisions on your own, but the life insurance industry can be a confusing one, and making the step to buy life insurance is a big decision.

 

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

 

Courtesy of  Cuselleration

5 Common Mistakes Homeowners Often Make

Although being a homeowner can bring great pride and joy, it can also be a hassle at times. Owning a home means maintaining it as well. Home maintenance is essential to prevent any bigger and more expensive problems from occurring. Here are five common mistakes that homeowners often make that you should avoid making:

 

1. Neglecting Hard to Reach Areas

It’s easy to forget about areas that you don’t usually see or even think about. It’s not often that you’re crawling into your attic space or looking into your chimney. Neglecting these areas can lead to bigger issues in the future. If left unchecked, a dirty gutter can lead to roof or water damage, chimneys can become blocked with birds’ nests, attics can develop cracks, etc. It’s important to do more frequent inspections of those areas to prevent any unexpected damages.

2. Not Checking on the Small Stuff

Failing to repair small issues before they become big ones is a common mistake homeowners often make. Ignoring that leaky faucet or the small crack in your patio can lead to even bigger problems that you didn’t expect. It’s a lot less expensive to fix a leaky faucet than it is to overpay your water bills each month. Addressing “small” issues around the house are an easy way to keep bigger problems from happening.

3. Appliance Maintenance

Do you ever remember to clean out the dryer exhaust vent? What about all the filters in your kitchen? It’s better to do maintenance before your appliances have more significant issues or even fail. Remember to do regular checks on all your filters and hoses to keep your appliances running smoothly.

4. Not Servicing Smoke Detectors

 It’s important to test your detectors regularly (at least twice a year) to make sure they are still working properly. Some models may alert you when the battery needs to be changed but otherwise, you should be replacing the batteries when you test your detectors. What seems like a small and bothersome task could save your life and prevent damage to your home.

5. Failing to Update or Customize Your Insurance Plan

At the end of the day, no amount of home maintenance can fully prevent accidents or unexpected malfunctions. In order to protect your home, it’s pertinent that you buy the right insurance. Failing to update your plan or customize it to your needs can leave you at a loss if disaster ever struck. Be sure to review your insurance policy to discuss what is and isn’t covered.

 

Your home is a big investment so it’s important to keep it well-maintained to prevent damages. Prevention is the best medicine when it comes to your home so don’t forget these tips! Contact Davco Insurance today to see how to best protect your biggest investment!

Courtesy of Cuselleration

Photo Credit: Shutterstock – Antonio Guillem

What is Commercial Insurance?

Commercial insurance is meant to protect your company’s financial assets, physical and intellectual properties, as well as any covered losses. These losses may occur as a result of property damage, vandalism, theft, lawsuits, loss of income, illnesses, and/or employee injuries.

In most cases, you will find that standard commercial coverage include commercial property, commercial Liability, commercial auto, worker’s compensation, etc. There are many more commercial insurance coverage types that most businesses use to protect themselves from other unique risks that businesses end up facing time and time again.

Types of commercial insurance policies

As a businessman or businesswoman, you will notice that there are a variety of business insurance coverage options that you can use. The type of commercial insurance coverage that you choose depends more on the industry that you are in, location, size, an even the number of employees.

You will also need to note the fact that all commercial business insurance needs change over time. This is true with all businesses that grow. At the minimum, you will always find that most businesses only have property, liability, and worker’s compensation coverage.

1. Property policies

Any business that doesn’t have a proper property coverage may find it difficult in recovering from any significant property damages. That is why it is vital for all businesses with a lot of properties have proper property coverage. So, in the event that there is any property damage within the boundaries of the property policy, the insurance company should pay for the repairs and/or replacement of any damaged property. Property damage can occur as a result of a storm, fire, or any other covered event.

2. Liability insurance

This policy is meant to protect you from any kind of cost-related claims that are filed against your business for bodily injury or property damage. Lawsuits that are filed against businesses without liability coverage can sometimes end up leaving huge financial dents in businesses. These types of lawsuits usually demand large legal fees – even if your business is

innocent. So, if you don’t have the proper liability coverage, you may end up paying for everything. This may include the legal fees, settlement and/or judgment out of your own pocket.

3. Employee insurance policies

The workers’ compensation policy helps to provide employee benefits for any work-related illnesses or injuries. This coverage will also help your business by covering for any legal costs that your business may face in that regard.

Risk management

These are the loss control services that are offered for most businesses. They will help to reduce the overall risk exposures in your business and also improve the safety of the operations in the business.

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

Why Millennials Need Life Insurance

When you think about all the financial worries and situations that 20-somethings face every day, you might feel a tad bit sorry for them. But when you look more keenly at their situation, you may think that at least some, if not most of them, have life insurance coverage. But that is not the case.

Life insurance coverage could be a fundamental piece of their financial plan and yet very few of of them actually go for it.

Most millennials are more focused on how they can budget their money and pay off their debts. But in situations where you have other people (such as children)  who are dependent on the income you make, not having life insurance coverage can end up derailing everything. Life insurance coverage basically acts as a safety net. It should be a haven that you go to first, not last.

The reason why you find this kind of situation with almost all millennials is because most of them are yet to accumulate home equity, build up a good 401k, or have enough savings in their accounts that can support and push the family for a long time should something happen that makes them lose their jobs or even death.

The stakes and risks grow along with your family and your children, partner, and mortgages all bolster your need to get life insurance coverage. Ironically, you find that almost all employed millennials are in a position where they are able to pay for the life insurance coverage if they decide that they really need to have one for themselves.

Come to term

One thing you need to know about insurance is that they consist of two types: term insurance and permanent insurance.

Term insurance, as the name suggests, is usually the type of insurance which is in place for only a specific term which can run between five to thirty years maximum. But the premium you pay every year never changes with a level-term policy. It is usually based more on your health from the time you are purchasing the premium, your age, and the amount of payout which you wish to provide. This is the death benefit.

If you die within this term, your beneficiaries are the one who will collect and use the benefits to survive and continue living their lives comfortably. But if you are still alive by the time the term you agreed upon ends, then you will walk away with nothing. But good news at this point is that you are still walking at least. But some people might think that this is a waste of some good money. In such a case, you can put the money in other policies like car or homeowner’s insurance, which can protect you from financial calamities.

Figure out your needs

You can do this by asking yourself whether you will be leaving anyone in a financial lurch should you die now. And if the answer is yes, then it is time that you looked into getting life insurance.

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

5 Reasons Why You Need Home Insurance

In your lifetime, one of the the largest investments you will make is your home. As an investment, it will be vulnerable to a lot of risks such as vandalism and brutal storms. With an insurance in place, you will be able to safeguard not only your home, but your family as well as from financial risk.

Below are some of the reasons why you need home insurance other than for piece of mind. Check them out and see if you might want to get one and be on the safer side.

1. Your mortgage lender requires your homeowner’s insurance

If you are financing your house, you usually are required to have homeowners insurance in order to protect your lender’s investment from damage or loss caused by risks that are covered.

Your mortgage amount will dictate the minimum amount you require for your homeowner’s insurance coverage. Failure to adequately insure your abode will likely lead to your lender purchasing a homeowners policy and adding the payments to your mortgage tab on a monthly basis. This will all be done in your name.

2. Your home is protected from loss

Your home is safeguarded from countless disasters, including damage from natural disasters, fire, and vandalism. No matter the extent of the damage, large or small, your home policy will assist in paying for repairs and replacements.

To ensure that you are getting best financial coverage possible, make sure you purchase or renew a homeowner’s insurance policy that doesn’t pay out damages on actual cash value but on a replacement cost basis.

3. Your personal belongings are covered by home insurance

In case your stuff is destroyed or stolen, but you are covered, you may be reimbursed for the value or your property. This policy covers your property no matter where they are — at home, in your car, at school, or in storage.

4. Your liability is protected by your homeowners insurance

Family liability insurance comes standard with most homeowners insurance policies. In the event of a lawsuit resulting from an injury that has taken place on your property, this insurance is designed to protect you from such an event.

Liability coverage extends to accidents that occur away from home, as well as medical and legal fees. It also covers lost wages if whoever is injured is unable to work.

5. Temporary housing after a disaster is included in your home insurance

If your home becomes uninhabitable after, say, a natural disaster or fire, your temporary living costs will not be a burden. Additional living expenses coverage could help pay the costs while your home gets repaired. These costs may consist of interim housing or expenses from hotels, laundry, and food.

The cost of homeowners insurance depends on different factors such as location and age of the house, the value of personal belongings, and the insurance deductibles you have chosen. Your policy rates could also be affected by the type of breed your dog is if you own one, or if you are an owner of a trampoline or pool.

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

 

Tips for Adding Your Teenager to Your Auto Insurance

An annual analysis done by Insurance Quotes has found that your annual insurance premiums would still increase substantially if you added your teenager to your auto insurance. But studies have also revealed that the magnitude of these premium increases has been falling gradually in the past few years.

Currently, if you add your teenager to your auto insurance policy, then you can expect your premiums to increase up to about 78%, or $671 compared to the 85% increase that was recorded in 2013.

Factors like safer automobile technology, continued effects of driving programs, and the decrease in the number of licensed teenagers has impacted this significant decrease. These restrictions that have been set for new drivers up to the time that they gain adequate experience on the road have been of great help and proven to be very beneficial to both the teenager’s parents and the insurance companies.

But the impact of adding teenagers, especially boys, to your family auto insurance can cause you to give up more money for your annual insurance premiums. When you put your male teenager in your auto insurance, you will increase your insurance policy rates to about 89% compared to female teenagers who rate about 66%.

Premiums on the family insurance policies have increased significantly, especially when teenage boys were added to the family auto insurance. This was as a result of boys having more accidents with cars than more experienced drivers, and they also file more insurance claims.

In 2015, a record by the National Highway Traffic Safety Administration showed that almost 1,900 teenage drivers aged between 15 and 20 died in car crashes. This was a significant increase in these teenage accidents and deaths by 9% from 2014.

A study by the Centers for Disease Control and Prevention also found that the leading cause of death among many teenagers was a result of motor vehicle crashes.You will also notice that the impact of adding your teenager to your auto insurance varies from state to state just like insurance costs.

How to reduce your family auto insurance after adding your teenager to your policy

Some insurers offered significant discounts to the insurance premiums of the students that recorded high grades in schools. This, however, was not entirely an accurate and effective way to go as good grades don’t directly relate to good driving. Discounts were also offered to the teenage drivers who took their driving education classes.

Some cars are safer than others

There are some safe and affordable cars that you can get for your teenager. In most instances, you find that the larger and heavier vehicles are best.

How to reduce distracted driving

New technology is emerging that will help a lot in regards to texting and chatting about social media while driving. This technology will disable all of these features on your mobile which will then give the teenagers more time to concentrate on the road.

Does your teenager need auto insurance coverage? Click here to contact the experts at Davco Insurance today!

 

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!

3 Myths About Renter’s Insurance

For approximately the cost of a pizza delivery each month, renters insurance can protect your personal belongings and save you from legal or medical expenses associated with an accident in your home. However, many renters believe that taking out the insurance is unnecessary or too expensive.

Here are some common misconceptions about renters insurance, along with tips on how to pick the best policy for you:

Myth #1: “I don’t have enough stuff to need insurance coverage.”

Since all rental properties are susceptible to a variety of damages, whether it be fire, theft or even a broken kitchen appliance, many experts say there isn’t a scenario in which a tenant should go without renters insurance. But it is important to weigh the associated costs, both monetary and sentimental.

A common reason individuals avoid renters insurance is they do not think their belongings are worth the coverage. Many renters underestimate the value of their possessions and would be surprised by how much it would cost to replace the items they have accumulated.

If renters think they do not have enough stuff to warrant a renters insurance policy, we suggest they go around their residence, room by room, and take full inventory of their belongings before making a decision.

Along with evaluating how much your belongings cost, it’s important to consider how much you personally value those items. In some situations, how much you care about your belongs may override cost in your decision to take out a renters insurance policy. “For example, if you just got out of college, are renting a furnished apartment, hardly have any stuff and are not a high-risk person in terms of your lifestyle, you might not care, or need to care, about protecting your belongings,” says Robert Hunter, director of insurance for the Consumer Federation of America. “However, if you are renting a penthouse apartment with priceless art on the walls, then you most likely would.”

Myth #2: “Since I am a renter, my landlord will cover property damages.”

Occasionally, a landlord may partner with an insurance company to offer renters insurance to tenants, but more frequently, the insurance policies that landlords hold for their properties only protect the building itself. “After acquiring a rental housing unit, landlords change their insurance policies from a traditional homeowners policy to a rental policy, and when they do that, it only covers just the structure, not the content or any of the tenants belongings,” says James Emory Tungsvik, president of the National Association of Residential Property Managers.

Myth #3: “Renters insurance only covers my personal belongings.”

Accidents, such as a flood in your apartment, may damage other tenants’ property and can be costly. Renters insurance can protect you from these situations and help cover those unexpected costs. For example, if your bathtub overflows and water seeps into the apartment below, damaging your neighbor’s furniture or rug, your renter’s policy will cover the damage up to your liability limits.

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