Auto
1.How much auto insurance coverage do I need?
The more coverage you have, the less it will cost you if you get in an accident. While there's no hard
and fast rule about the amount of auto insurance coverage you should have, most states require that
you carry only a minimum level of auto insurance coverage.
However, be aware that most auto insurance companies advise against carrying only your state's
minimum auto insurance requirements. Why? Because if you're involved in a serious accident, the
costs will significantly exceed your auto insurance coverage- making you liable for thousands of
dollars out of your own pocket! Don't skimp on your auto insurance coverage. You'll need it to protect
you if you're ever involved in an accident.
2.What is property damage coverage?
Property damage coverage is much like it sounds: it helps you pay for damages to another person's
property (such as a fence, car, or home) if you cause an accident. This form of auto insurance
coverage can also help protect you in the event of a related lawsuit. Property damage coverage is thus
one of the most important types of auto insurance coverage in your auto insurance policy.
3. Does my driving record affect my auto insurance rates?
Typically, if you have violations on your record, you can expect your auto insurance rates to go up. It generally lakes 3 years
for auto insurance rates to go back down after a violation. However, this time frame can be longer for more severe incidents.
Whether or not you were found at-fault in an accident will also have a large impact on your insurance rates.
Home
1. How much home insurance do I need?
Asset Protection: More coverage generally means you will have less to payout of your own
pocket if disaster strikes. You must determine the amount you can financially afford to lose.
Depending upon your determination, more insurance may be the answer. You need
enough liability coverage to protect yourself from lawsuits resulting from your possible negligence.
Lender Requirements: Your lender may require you to cover the house for at least the amount of the
mortgage. You are not required to purchase insurance from the insurer recommended by your lender.
Policy Requirements: Insurers may impose some conditions for replacement cost protection,
including insurance of the property to value.
2. What does personal property insurance coverage include?
In general, the contents of your home and other personal belongings owned by you or family
members who live with you are covered under the policy equal to 50 percent of the value carried on
your dwelling. However, high-valued personal property such as jewelry and cameras should be
listed on the policy so that you are adequately protected
3. Does my homeowner insurance policy cover flood damage?
Generally, homeowner insurance policies do not offer protection against flood losses. Flood
insurance is available through the federal government's National Flood Insurance Program. It may be
purchased through any licensed property/casualty insurance agent or through many private
insurance companies that are now writing flood insurance under arrangements with the Federal
Insurance Administrator.
Umbrella
1. What is a personal umbrella liability policy?
The personal umbrella liability policy is designed to increase your liability protection. This single policy acts
as an "umbrella" over all of your other personal liability policies " home, auto, boat, RV, etc. -- so you have a
higher personal liability limit than what would otherwise be available. In certain circumstances, an umbrella
policy may provide personal liability coverage that is otherwise excluded from your other policies. For
example, an umbrella policy provides coverage anywhere in the world, whereas your auto policy usually
provides coverage in the US and Canada only.
2. 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 wealthy individuals
who had sizable amounts of personal assets that would be at risk in a lawsuit. However, in today's society you
are seeing more and more individuals with modest incomes and assets often being the subjects of large
lawsuits. Since they are even less able than a wealthy individual to pay large damage awards, they recognize
the need to have coverage limits greater than what can be obtained from their homeowner or auto policies
3. Isn't my basic homeowners or automobile liability insurance enough?
Usually it is. However, jury awards can often reach millions of dollars in liability lawsuits. Umbrella policies are
designed to help protect your current assets and your future earnings.
Business Owners Policy
1. What does a business owners policy cover?
Policies that combine protection from all major property and liability risks in one package. (They also sell coverages
separately.) One package purchased by small and mid-sized businesses is the business owners policy (BOP). Package
policies are created for businesses that generally face the same kind and degree of risk. Larger companies might
purchase a commercial package policy or customize their policies to meet the special risks they face.
BOPs include:
1. Property insurance for bUildings and contents owned by
the company - there are two different forms, standard
and special, which provides more comprehensive
coverage.
2. Business interruption insurance, which covers the loss
of income resulting from a fire or other catastrophe that
disrupts the operation of the business. It can also
include the extra expense of operating out of a
temporary location.
3. Liability protection, which covers your company's legal
responsibility for the harm it may cause to others. This
harm is a result of things that you and your employees
do or fail to do in your business operations that may
cause bodily injUry or property damage due to defective
products, faulty installations and errors in services
provided.
Workers Compensation
1. I am starting a business and need workers' compensation insurance. What do I do?
You can get insurance through any insurance agent or broker who handles business insurance, through a direct
writer of insurance, or through the Insurance Rating Bureau, (617) 439-9030.
2. I worked as a subcontractor, and had money deducted for workers' compensation coverage by the general
contractor. Can they do that?
Yes, but only if it is provided for in the contract they have with you, or otherwise explicitly provided. General
contractors have legitimate concerns about whether you have we insurance since they can be found liable for claims
against them by a subcontractor or their employees. Therefore, you may find that the general contractor requires you
to provide proof of coverage, or that you agree to come under their workers' camp policy with such costs passed on
to you.
3. I'm self-employed, the sole proprietor of my company which is not incorporated; Do I need to get workers'
compensation insurance for myself?
No, as the sale proprietor of an unincorporated business you would not need to insure yourself. However, as a sole
proprietor, you do have the option to elect coverage for yourself. For more information, call us.
