Understanding Your Homeowners Insurance Policy

Homeowners insurance is a policy that protects homeowners from financial liability resulting from damage caused to or on their property. There are several types of insurance policies with different options that protect owners from risk.

Insurance policies cover many risks such as: (1) lightning, (2) theft, (3) vandalism, and (4) falling objects in storms. Other potential issues such as: (1) explosions, (2) civil unrest, (3) falling objects, (3) vehicles, (4) smoke damage, (5) weight of ice snow or sleet, (6) freezing, ( 7) heating and air-conditioning (8) fire protection systems, (9) appliances, (10) fences, and (11) other dwellings, may be covered under your insurance policy. Standard insurance policies also cover damage from snow and damage to electrical and plumbing systems. Most insurance policies provide a $ 100,000 per person / $ 300,000 total per incident liability coverage. There are some surprising items covered under a standard homeowners insurance policy which include other household members' property, such as a children (s) property. For instance, if you have a child in college who lives on campus their personal possessions would be covered under their parent (s) 'insurance policy.

There are three different levels of homeowners insurance that can be purchased. The different levels of insurance include: (1) on actual cash value, (2) replacement costs, and (3) guaranteed replacement costs. The actual cash value coverage provides owners with payments to replace homes or covered belongings at their current depreciated value. Whereas, replacement coverage pays for the cost of fixing or replacing possessions, and guaranteed replacement coverage pays for the complete rebuilding of the house (no matter the cost). There is also extended coverage which pays for up to a percentage of the policies covered limit.

The benefits of purchasing homeowners insurance include transferring financial risk from the homeowner to the insurance company. Homeowners insurance will also pay the medical expenses of third parties who are injured on your property. Homeowners insurance can be expensive, but there are ways to reduce the cost. The first and easiest way to reduce your annual expense is to increase your deductible; You can also reduce the annual cost of your insurance by installing a security system. It should also be noted that non-smokers on average pay less for homeowners insurance than smokers.

There are many things that standard insurance policies do not cover; These include damage caused by floods, earthquakes, and hurricanes. Although, these uncovered risks could be covered under a different insurance policy. Also, it is highly suggested for homeowners to add sewer backup as a protection endorsement. This endorsement is relatively inexpensive and would cover sewer backup into a home which would cover damage to floors, walls, furniture, and electrical systems. In addition to homeowners insurance covering your dwelling, it also covers other buildings on the property, landscaping, damage or loss to your personal property, and belongings. Your policy should also cover any temporary living expenses you may have if you or your home is damaged, in addition to covering anyone else injured on your …

Commercial General Liability Insurance Policy

Business owners work extremely hard to operate, and need protection from unexpected accidents or liabilities, which could otherwise put them out of business. Commercial general liability insurance, or CGL, has been designed to keep business assets and resources protected and secured should a claim arise.

Overview

Commercial General Liability (CGL) insurance policies are a very important protection for policyholders, broadly providing defense and indemnity coverage against claims for bodily injury and property damage. CGL policies typically are written on standard policy forms developed by nationwide insurance industry organizations.

Significance of Commercial Liability Insurance

Operating a business in a litigious society like we have, greatly increases the chances of a potential claim or lawsuit. It is important for business owners to know they have protection, so they can focus on running their business.

A CGL policy takes the responsibility of covering the injury costs for you and your employees, as well as covering your legal defense cost and settlement.

The most common coverage items are listed below:

Lawsuits
Investigations
Settlements
Injury damages
Punitive damages
Non-monetary damages
Compensatory damages
Losses on rental property
Claims against misleading advertisement
Claims against copyright infringements

If you are wondering how you will determine your coverage needs, it depends upon the nature of your business, its location, and the perceived risk by the business. For example, you need more coverage if you are a building contractor in contrast with the consultant or a web designer. This is because both the businesses have different natures and level of perceived risks.

The benefits of a CGL Policy

Insurance companies understand about you and your company. They view the in depth details of your business including quality control, safety standards, and risk management.

Bodily injury coverage helps in protecting you or the injured party if caused by your business operations.

Personal injury coverage aids in securing you from libel, slander, false arrest and wrongful entry.

Advertising injury compensation covers your legal liability for a wide range of offenses owing to the advertising of your business' services and goods.

The importance or requirements of a CGL policy for a business owner can't be stressed enough. Without any or adequate protection a business owner may face a crippling claim at any time, and this level of uncertainty will make running a business nearly impossible. With the importance of protection adequately understood, insuring an adequate level of level of coverage is the secondary concern. With the help of a qualified agent / broker, business owners can get the coverage and peace of mind to focus on operating.

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Why You Need An Umbrella Insurance Policy?

You might have heard about Umbrella Insurance, but may be you do not exactly know what it means. It does not guarantee you to stay dry, while walking in the rain, but it provides an umbrella of almost everything that other traditional insurance policies do not. As well as this, fills in gaps in coverage after your limits of standard policy are exhausted.

After realizing the meaning of this insurance policy, you will probably have one question – Why I need an umbrella insurance policy? This article will basically respond to your question.

On a daily basis, there are personal complaints filed compared to ordinary people, with various reasons. Once or if it happens to you, you might be prepared for it. Frequently, individuals are charged and have no further protection to protect the claimant from going in the lawsuit after this. In this case you need to have an umbrella insurance coverage and you will avoid such sticky situations.

Umbrella insurance is often stated as excess liability. It gets going when the basic limits on your car or home insurance are exhausted, or if you are generally charged for something that is not included in your traditional insurance policies.

The majority of insurance companies won't give you coverage except you have both home and car insurance agreement with them.

It is essential to understand that the excess liability defends you for all kinds of items that have nothing to share with your auto or home. Things like mistaken arrest, false custody, slander, unlawful access or deportation are included in your umbrella.

In addition, some umbrella insurance policies offer coverage for those, who have connection to any charitable organization where they associate.

It is not a requirement that everyone should have an umbrella insurance policy, but you may be amazed at how many citizens necessitate it. You are recommended to obtain this policy if:

1. You hire out your house or join in a holiday exchange program with other holidaymakers.

2. You are a business proprietor and if you possess a multimillion dollar company, in that case make sure you have this policy.

3. You allow people to look after your house while you are away.

4. You have a housekeeper, gardener or other person who works at your house and who are not qualified or joined.

These are the main points that will help you recognize why you need umbrella insurance policy. If you find yourself in one of these categories, you are advised to call insurance companies and get an estimate of an umbrella insurance policy. Prices are low and so it is well worth your money. It does not even make awareness to take additional risks when safety can be acquired at such a low price. Remember that your safety is the foremost.

Enjoy yourself with an umbrella insurance policy. This kind of insurance provides an extra peace of mind by defending your possessions and your well-deserved money.

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PIP: Insurance Coverage That You Want Together With Your Auto Policy

Ever hear of PIP? For those unfamiliar, we'll give you the long form name for this form of coverage. Personal Insurance Protection is an extension of an auto insurance policy that is an optional coverage in some states, a required coverage in others and not available in still other states.

What is it?

PIP or Personal Insurance Protection is a medical insurance that protects you or your passengers if there is an injury from a car accident. If you have acquired it, PIP will cover medical costs and more even if you are responsible for the accident or collision.
Understandably, the coverage is also known as 'no-fault insurance' due to the nature of coverage not being dependent on liability.

Of course in states like New Jersey, New York, Pennsylvania and Florida where the Personal Insurance Protection is mandated, drivers need only get a minimum required amount of coverage.

This is where the insurance professionals put in their advice.

"Don't get the minimum amount of PIP coverage," they say. "Even if you find your overall auto insurance premium on the rise due to our recommendation of at least $ 250,000 in the associated coverage, you'll be thankful if the need arises."

The ensuing example of a policyholder illustrates the truth to the claim.

A man did not like the fact that his car insurance would increase with the acquisition of $ 250,000 in PIP so he decided to stay with the status quo of $ 15,000 in related PIP coverage and no increase in overall auto premium.

But luck was not on his side in this case.

After getting into an accident and remaining in the hospital for two days, the associated bill was over $ 45,000!

This was a hard lesson, spurring him on to requesting additional PIP coverage as recommended by his agency.

"Like me," he said, "most folks do not comprehend how important an adequate amount of health related coverage is in regard to vehicle protection. I learned the hard way that it pays to listen to the professionals who understand the impact of an accident – something that can occur at any given moment anytime. "

Personal Insurance Protection can provide the following coverage after a crash that may result in injury.

• Medical costs, rehab costs, ambulance, medication, durable medical equipment
• Loss of wages if applicable
• Substitute of service by the injured party, if applicable
• Funeral costs if injury leads to death and if applicable in coverage.

For more information about this important coverage, speak to the experienced professionals.

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Homeowners Insurance Policy Quote Guide: What You Need to Know About Standard Coverage and Add-Ons

While you might not necessarily “legally” have to have home insurance, there is really no good reason NOT to have at least some type of coverage. After all, for the average person, their home is the most important asset – even more so than any vehicle. Even if you’ve already paid off your mortgage, it’s still in your best interest to search for the ideal homeowners insurance policy quote.

The basic components include coverage for the home and structures (electrical wiring, heating, plumbing fixtures, external fixtures, and so forth) as well as contents (furniture, electronics, clothes, plants, etc… ) What is it all protected from? This varies from policy to policy. However, it typically protects from common threats such as fire, theft, and water damage. There are certain regional threats that might require coverage, such as hurricanes, earthquakes, heavy snow, or tornadoes.

Since even small streams could potentially become ranging rivers if there is enough rain and melted snow, flood insurance is quite common in most areas as well.

The most effective way of doing research and finding home insurance is by going online and comparing quotes. Find out if you are eligible for any discounts and read reviews on various companies. Before selecting any specific homeowners’ insurance policy quote, make sure it to read everything carefully. You should know exactly what it covers and what it does not cover.

What Should Your Homeowners Insurance Policy Quote Include

Just like any other type of insurance, it’s not a good idea to select a particular quote just because the payments are low. What about the deductibles? How much will it actually cost to make particular repairs to your home? Or replace valuables? What if you lose your entire house and have to have it rebuilt? Even if the chances of your house being utterly destroyed are low, that doesn’t mean it won’t ever happen. Ask anybody who has ever suddenly become homeless overnight due to a flood, fire, or tornado.

Speaking of homelessness, some home insurance policies will cover the costs of staying for somewhere else temporarily, such as a hotel room, in the event that your home is damaged and has to be remodeled.

There are some standard homeowners policies that cover the homeowners whenever they are facing lawsuits related to any damage or bodily injured caused by you, other inhabitants of your property, or your pets.

Weigh in on the both the market value and actual cash value of your home, property, and contents when looking for a homeowners insurance policy quote. Always begin your search with Lemonade Insurance if you live in one of the states in which it is available. Lemonade is known for its transparent policies, affordable insurance, and fast claims processing.

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