Frequently Asked Questions

1. How much insurance do I really need?   In order to determine the amount of coverage needed for your home, you must first determine its replacement cost.  This is the cost to build from the ground up at today's prices for materials and labor.  Accurately determining replacement cost, however, is not an easy task.  Please feel free to contact us for a specific analysis of your home.
2. How do I insure my personal possessions? The contents of your home are usually insured for 50% of the amount for which your home is insured.  However, this 50% limit may not be enough.   To ascertain the amount of coverage you need we suggest you conduct a room-by-room inspection of your home.
3. What about property that increases in value?  You may have items that increase in value as they get older, such as fine arts, antiques and jewelry. We suggest you take photographs of these items and have them appraised at least every three years.   For an additional premium an insurance company will schedule and specifically insure these items at their appraised value on your Homeowners policy.  Money, silverware, jewelry and furs are given limited coverage under your policy.  If you feel you may need more coverage for such items, we will be glad to discuss your requirements in detail.
4. Are there ways I can reduce the cost of my Homeowners insurance policy? Yes, a number of insurance companies offer credits if they meet certain criteria, such as: renewal credits, 3 year loss free credits, safety credits for smoke detectors and alarms and high deductible credit.
5. If I alter or add to my home, will my Homeowners policy provide for this?  Ordinary repairs are covered under your policy.  However, unusual or major construction work and alterations should be reported to the insurance company because you may need additional coverage.
6. Are boats and motors covered under a Homeowners policy?  There is a limited coverage for small boats and motors.  You should carefully check these limits in your policy.   Depending on the size and use of the boat you may need a specific boat owner's policy.
7. Is my personal computer covered under my Homeowners policy?  As long as the computer and software are not used for business purposes, your equipment is covered under your policy.  If you want to protect your computer against loss by perils not covered, you may need a separate policy or endorsement to your policy.  If the computer is used in a home business then coverage is limited unless you notify the insurance company and add an office occupancy endorsement to your policy.
8. How much personal liability insurance should I carry?  The amount of your liability protection you carry should reflect your financial worth.  The basic Homeowners policy comes with only $100,000 of liability protection.  The basic limit can be increased for a very minimal premium.  We suggest that you have at least $500,000 of liability coverage on your home.  For additional coverage a personal umbrella policy is an excellent way to substantially increase your liability coverage for a modest additional premium. 
9. What is a personal umbrella liability policy?  It is an insurance contract designed to increase the liability protection beyond what the policy owner already has on their home and auto insurance policy.  Together with home and auto insurance policies, broad personal liability protection is attained through the purchase of a personal umbrella policy.   Coverage is usually purchased for $1,000,000 or more.
10. How do I know if I need a personal umbrella liability policy?  It used to be that the only people who needed personal umbrella liability policies were the wealthy individuals who had sizable personal assets that would be at risk in a lawsuit.  However, in our "sue-happy" society, many people are realizing that they have a need for more liability insurance than what is provided under their home and auto policies.   The personal umbrella policy is ideally suited to provide this coverage.