Posts Tagged ‘insurance’

Is My Stationary Travel Trailer Covered Properly?

Wednesday, September 7th, 2011

Source: http://www.flickr.com/photos/aaronjackhalls/499159754/

I have a stationary travel trailer. It’s parked in an RV park and I use it as a seasonal home.  I told my agent I need insurance for my travel trailer.  I paid the premiums.  I’m covered, right?   Unfortunately, there are many types of coverage available for travel trailers, and if your agent simply added your trailer onto your car insurance policy, you have a HUGE gap in coverage.

To understand this gap, you must first understand what exactly the auto policy covers with regards to travel trailers.  I would encourage you to look at your policy right now.  You will notice the following coverages on the trailer: comprehensive (or other than collision), collisiion, and possibly some sort of roadside assistance or emergency expense.  What you will not see is liability coverage.  Why?  Coverage on the auto policy is designed to cover vehicles on the road.  An auto policy only provides liability protection when using the RV as a vehicle – in other words, while it’s being towed.  Once it is parked, there is no liability coverage afforded under the auto policy.

A stationary trailer owner needs liability protection, just like any homeowner does.  Some claims examples are:  A trip and fall or other injury on your site or in your trailer, Animal bite, and Fire legal liability – your trailer catches fire and burns the trailer next door.  Without this liability protection, you would be paying for these damages out of your own pocket.

In addition to lack of liability coverage, surely you have personal belongings in your trailer – furniture, electronics, kitchen supplies, clothing, and more.  You may also have adjacent structures (like a sun room, or decking), those aren’t covered on the auto policy either.

Don’t worry, there is insurance available for park model trailers and traditional RV travel trailers that are used as a primary or seacondary/seasonal residence.  The coverage is affordable and offers very broad coverage.  If you are reading this and know that your trailer is covered on your car insurance, you really need to give this a second look now, before the unthinkable happens.    – Sarah Cordova

Sarah Cordvoa is the mobile home and stationary trailer specialist at Engle & Associates Insurance Brokers, a local full service brokerage serving the Central Coast for over 30 years.    For more information on stationary trailer coverage, please call Sarah Cordova at 805-544-8929 or email her at Sarah@engleinsurance.com. 

Click here if you want to to know more about RV insurance or get a free California RV Insurance quote.

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Ensuring Peace of Mind when College Beckons

Monday, August 22nd, 2011

Your Baby is heading off to college.  Exciting and stressful all at the same time.  Seems like there are 1001 things to think about and plan for. Make sure insurance is one of them – preferably at or near the top of your list. That’s because there are more than 50,000 thefts and other property crimes on US campuses every year – and countless more routine and emergency medical incidents.

Source: http://www.flickr.com/photos/joebeone/267843349/

In some cases, existing homeowners, health and auto insurance policies provide the coverage you need. In others you may need separate or additional coverage, especially if the student will be away from home. Here are some of the issues to help you decide:

Property Insurance: It’s amazing how the value of a student’s personal belongings quickly add up, often to a five figure number. You should check whether your homeowners insurance covers this – but remember, even that may require expensive items such as computers or valuables to be separately listed in the policy. Otherwise, consider renter’s insurance, which has the added advantage of liability protection.

Health Insurance: Most family policies cover dependents who are full-time students, but definitions of “full time” vary by insurer. Students who marry will likely lose this coverage.  Also, if your policy is through a Health Maintenance Organization (HMO) and the student is outside of their coverage area, although they’ll probably be covered locally for emergencies, they may have to return home for routine medical visits. Separate student health insurance plans are available but benefits are usually limited compared with family policies. Premiums are affected by a range of considerations including deductibles and co-pays. Our health insurance experts can help you review your options and help you figure out what the best choice is for your student.

Auto Insurance: The key issue here is whether the student’s existing auto insurance policy imposes any limitations on coverage for extended out-of-state use.  In addition, you also have to let your agent know when the auto is going to be parked or garaged at a new location, especially, again, if it’s out of state.  Is your student going away sans vehicle?  If so, you may qualify for a discount.

The important point to drive home, is the need to always check the extent of your existing coverage before the student leaves. Of course, we would be happy to work with you on this and provide further information and advice.

For more information, or for a coverage analysis, please call our office at 805-544-8929 or visit us online at Engle and Associates Insurance

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Posted in Auto Insurance, General Insurance Information, Heatlh Insurance | No Comments »

Why Is My Home Insured For More Than It’s Worth?

Wednesday, August 17th, 2011

My home is worth $275,000. Why does my insurance company want me to insure it for $375,000

Comparing market or real estate value of a home and Replacement cost of a home is like comparing apples and oranges. Market value is the price for which you could sell your home. Market value takes into consideration: land value, neighborhood, comparable sales, and more.  Replacement or reconstruction cost is the amount of money it would take to rebuild your home, with like kind and quality, at today’s costs. Replacement cost reflects the cost for building materials, code compliance, demolition, construction labor, and more.

In the current economy, many people are under the assumption that construction costs have reduced as much as property values. This is simply not the case. The fact of the matter is, today, you can buy an existing home for much less money than it would cost to build that very same home.  Although you may hear from a friend that they got someone to do some work for “super cheap,” this is the exception to the rule. Contractors’ overhead hasn’t reduced much, and cost for building materials hasn’t decreased dramatically either. Contractors are just like everyone else, they need to put food on the table, and I don’t know many non-profit construction companies out there.

The bottom line is, if you’re not sure, give us a call to conduct a current replacement cost analysis of your home.  The amount of coverage you need, should be based on the true reconstruction costs of your home, regardless of current market value.

Click here if you want to know more about home insurance or get a free California Home Insurance Quote.

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The True Cost Of Insurance

Wednesday, August 17th, 2011

You can’t escape the ads – online, radio, television, mail, billboards, and even on your grocery cart – “Save up to 15% on your car insurance.”  $4.15 billion in advertising dollars from the biggest insurance companies in the country want you to believe that the job of protecting your family and business should go to the lowest bidder.  I don’t know if that’s such a good idea. For that matter, I don’t think I’d want a reptile, a warehouse clerk, or an actor in charge of that job either.  Sure, they’re cute, but so is my Labrador, and I certainly wouldn’t put her in charge of my family’s finances.

That’s why I want to talk to you about the true cost of insurance.  We get calls from clients now and then telling us that our price is too high, and that they got a quote on the internet for less money.  My first question is “what did you get for that price?”  In other words, Do you have the same coverage? In most cases, the internet, doesn’t make a very good insurance professional.  The folks who staff the call centers are generally low paid, entry level workers, whose primary goal is to get you signed up.  They are not industry experts who keep abreast of changes in the marketplace, and thoroughly analyze a client’s risk.  No, they are there to sell policies… these are the Walmarts of the insurance industry – the prices can be low, but in most cases you get what you pay for.

So what’s the true cost of insurance?  Let’s say you have a $500,000 auto liability limit right now.  You go online and get a “good price,” but the liability limit is only $300,000.  It saves you $300/year though, so it’s a good deal, right?  Read on for the answer.  You’re in a car accident, it’s your fault, but it’s not that bad of an accident.  Oh and the other party suffers a hand injury.  $300,000 should be enough to cover it right?  Oh, but the person you hit is a plastic surgeon, and with her hand injury, she’s out of work for 4 months.  Her monthly income is $80,000.  There’s $320,000 for just her lost wages.  Now you’ve got the surgeon’s medical bills ($100,000), not to mention, that she was driving a Mercedes Benz S550 ($70,000).  Total cost for you: $490,000.

If you don’t have the cash on hand, the courts can seize your assets, garnish your wages, and more.  But for $25/month, you could have had adequate coverage in place.  With all that said, there is no reason you should be paying high premiums when all else is equal.  That’s why we can do the shopping for you.  We have direct access to over 60 different insurance companies to ensure that you are getting the best VALUE for your insurance dollar – both coverage AND price.  If you feel like you’re paying an unfair price, call my office and let us completely re-evaluate your coverage package.  If you got a quote elsewhere, send it over and let us evaluate it for you – we will tell you if it’s truly a good deal.   -Jayne Engle Allen

If you want to get a free San Luis Obispo Insurance Quote, click here.

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What Is Term Life Insurance?

Wednesday, October 13th, 2010


 Term insurance provides protection for a specific period of time. It pays a benefit only if you die during the term. Level term products are the most popular plans purchased today. The level term can be from 5 years to 30 years. The premium and death benefit are designed to stay level during the term of the contract. The premiums can be either guaranteed or not guaranteed. When purchasing a level term life insurance policy be sure you are aware of the guaranteed premium period. Once you have been approved and placed the policy in force with the first payment, the insurance company is obligated to keep the policy in force as long as you keep paying the premiums. You are not obligated to pay, but once you stop paying, the policy will lapse after usually a 30 day grace period. Some term insurance policies can be renewed when you reach the end of a specific period which can be from one to 30 years. The premium rates increase at each renewal date. Most policies require that evidence of insurability be furnished at renewal for you to qualify for the lowest available rates.

Advantages and Disadvantages of Term Insurance

Advantages

  • Initially, premiums are generally lower than those for permanent insurance, allowing you to buy higher levels of coverage at a younger age when the need for protection often is greatest.
  • It’s good for covering specific needs that will disappear in time, such as mortgages or car loans.
  • The new 20 and 30 and year products can provide coverage as long as most people might need life insurance.

Disadvantages

  • Premiums increase as you grow older, after the term selected expires, providing it renews past that term.
  • Coverage may terminate at the end of the term or may become too expensive to continue.
  • Generally, the policy doesn’t offer cash value or paid-up insurance.

Questions to Consider When Considering a Term Policy

  • How long can I keep this policy? If you want the option to renew the policy for a specific number of years or until a certain age, what are the terms of renewal of the contract.
  • When will my premiums increase? Annually? Or after a longer period of time, such as five or 10, 15, 20, 30 or even 40 years?
  • Can I convert to a permanent policy? Some policies allow you to convert the policy to permanent insurance without a medical exam, regardless of your physical condition at the time of the conversion. These policies are known as “convertible term.”

Please visit our website for more information or to get a free California Life Insurance quote today!

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Safety Features To Look For When Purchasing A New Vechicle

Thursday, September 30th, 2010

Car Safety Rating Insurance

When you start thinking about a new car or truck, these safety features should be included among the factors that influence your buying decision. The safety rating of your car could affect how much you pay on your car insurance premium, get free California Car

Insurance quote from us today!

  • Airbags for both driver and front seat passenger
  • Antilock brakes
  • Side impact protection
  • Head restraints
  • Safety belts

Where To Get Additional Information
It’s hard to compare the safety of one specific car with another because so many factors contribute to performance. However, the following sources can help give you a picture of how safe you and your family might be in different makes and models.

Crash Tests – The U.S. Department of Transportation conducts 35mph crash tests on about 30 cars each year. The results appear in many automotive and consumer news publications, available at most libraries and newsstands. These tests indicate how well a car performs in serious frontal crashes but, because each test crash involves two identical cars, comparisons are only valid between cars of similar size and weight.

Death Rates – The Insurance Institute for Highway Safety publishes lists of recent-model cars according to occupant death rates per 10,000 registered vehicles. Such rates are influenced, of course, by driver behavior as well as vehicle design.

Insurance Claims – The Highway Loss Data Institute* publishes information on the likelihood of having an insurance injury claim in various cars, compared with others, and the comparative amounts of vehicle damage losses from collision. As with death rates, these figures are influenced both by vehicle design and driver characteristics. The numbers tend to reflect mostly minor and moderate injuries, which happen with much greater frequency than serious or fatal accidents.

*Insurance Institute for Highway Safety
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Garagekeepers Insurance Tips That Help Keep and Gain Customers

Wednesday, July 14th, 2010

Insurance for the automotive industry is a specialized field.  Your broker might be a nice person, but does he or she really know your industry?  If not, you might want to look around a bit.  The underlying theme of this post is that the biggest mistake that garage owners make is basing their insurance buying decision on price only: I understand that  premium costs are an important factor, but knowing what you’re getting for that price can be a make or break GarageKeepersituation in the event of a loss.  If you are shopping, it helps to know what you’re buying.  There are major coverage differences between garage insurance packages.  Having the mindset that insurance is insurance, it will cover me is like saying a car is a car… now view mental picture of the Yugo.  Enough said.  Below I will outline a major coverage issue between different garagekeepers packages.

Direct Primary, Direct Excess, and Legal Liability – These all have to do with your customers’ vehicles while in your care, custody and control.  Before you get bored with these terms, read below to find out why you NEED to know what they mean.

  1. Legal Liability – this is what you will find on most of the cheapest garage packages available.  If a customer’s vehicle is damaged, the customer must prove that you are legally liable (negligent)  in order to recover damages from your insurance.  This can not only create a loss of goodwill if coverage is denied, but it also forces the customer to jump through hoops to prove your negligence.  This doesn’t end well for your relationship with the customer.
  2. Direct Excess – this is better than Legal Liability because it doesn’t require your customer to prove your negligence.  However, this coverage only applies after the client files a claim with his own personal auto insurance policy.  If the client’s personal auto insurance denies the claim or the client’s policy limit doesn’t cover all of the damages, then the garagekeepers insurance would apply.  Again, this doesn’t require the customer to prove you are negligent, but it does force the client to file a claim with their own personal auto insurance – another hoop for the client to jump through.
  3. Direct Primary – This is the best coverage available because it takes the burden off of the customer and in the event that a customer’s vehicle is damaged while in your care, custody, and control, you will keep a strong customer relationship.  Coverage is provided by the garagekeepers policy without the need to prove negligence and legal liability.  In addition, the client doesn’t need to file a claim on his personal insurance.  Essentially, you, as the garage owner, are taking responsibility for the customers vehicle while it’s in your care.  This is also the assumption that most customers have when they drop their vehicle off for service.  Your garagekeepers coverage pays for the loss from the first dollar without regard to or contribution by the vehicle owner.

Of these three coverages, Direct Primary is the most expensive, but don’t let that stop you from asking for it.  The difference in price can be less than $100/month to go from basic Legal Liability to Direct Primary coverage.   Keeping your customers happy keeps them coming back, and keeps them referring new customers your way.

For more information on Garagekeepers insurance, please call Jayne Engle Allen at Engle & Associates Insurance Brokers – 805-544-8929 or toll free at 877-544-8929. You can also visit our website for more information and a free Automotive Service Insurance Quote.

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