My Let’s Talk About – Insurance series will examine important insurance facts homeowners and renters should know.
I firmly believe in producing insurance plans based on client needs, not the rantings of insurance commercials featuring well-known celebrities. (See: https://brooklyncovered.com/lets-set-the-record-straight-about-customizing-your-insurance/)
No insurance policy will cover every possibility of loss. A well-designed insurance program, however, provides you with a solid protective foundation against many insured causes of loss.
I design insurance programs that address their property insurance coverage needs based on whether they are essential, supplemental, or optional.
Essential coverages are coverages you must purchase today.
Supplemental coverages, while of high importance, can wait a while.
Optional coverages address losses you may never face based on your lifestyle, possessions, etc. Something to brag about at the neighborhood barbecue.
Just for today, we’ll unearth some important insurance facts about essential coverages.
Important Insurance Facts Homeowners and Renters Should Know:
Replacement Cost Coverage for your home or apartment
Make an appointment with your current insurance agent or broker for a comprehensive insurance review. The primary focus of this review will be your property’s replacement cost calculation. Simply put, this is the amount of money needed today to fully repair your home or apartment in case of a covered cause of loss.
Flood Insurance
Losses caused by flood waters from an outside water source are not covered by your typical one-to-four family, renters, cooperative, or condominium policy. (See https://brooklyncovered.com/dont-add-your-tears-to-water-losses-at-home/)
The only way to guarantee flood coverage is a stand-alone flood insurance policy.
Water Backup and Sump Discharge Or Overflow policy endorsement
If this endorsement is not added to your policy, you’ll lack coverage for damage caused by sewer backups or sump pump failures.
Loss Assessment endorsement
This endorsement protects against uninsured losses to common areas assessed to apartment owners and homeowners in some homeowners associations.
Personal Umbrella Liability Policy
While many companies offer up to $1,000,000 in liability coverage, in today’s litigious society, that may not be enough to protect you from lawsuits. This policy also provides additional protection while operating the family car, boat, Jet Ski, etc.
Valuable Items
Your base policy limits coverage for jewelry, cameras, fine china, artwork, furs, and other unique valuables, which is limited in a basic policy.
Appraise and insure these items separately to guarantee full protection.
Your Home Inventory
Stop taking pictures of your meals. Instead, take pictures of your possessions, down to the last sweat sock.
Next steps:
Finally, call your insurance representative to schedule an annual review. This will ensure that your insurance program always includes at least the Essential Coverages.
You can always send your personal coverage questions by email to [email protected].
Meet the author:
About the author
Eustace L. Greaves, Jr., LUTCF, is an NYS-licensed Independent Insurance Agent and Broker with 42 years of experience, 29 of which as the owner of Bridge Insurance Agency and Greaves Financial Services.
Like to speak with Eustace?
Eustace wants to assist you with your home, life, flood, disability, renters, auto, cooperative, condominium, and wedding insurance needs. You can reach him at his mobile number, 718-489-2218, his office number, 718-783-2722, or by email at [email protected]. You can also visit his website, https://www.greavesinsurance.com, and complete any available “Contact Us” forms.
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