Subscribe RSS FeedEven renters need insurance to cover their belongings. This video explains exactly how to purchase renters insurance, and what extras you may want to consider.
Tags: friday filmstrips, renters insurance, video
Archive for the ‘insurance facts’ Category
Wednesday Filmstrip: Renters Insurance
November 9th, 2011 by Iris | Comments Off | Filed in friday filmstrips, insurance facts, renters insuranceHomeowners Insurance and Swimming Pools
July 26th, 2011 by Iris | Comments Off | Filed in homeowners insurance, insurance facts
Whether your home already has a pool, or you’re considering having one installed, there are certain things you need to know about how a swimming pool could affect your homeowners insurance.
- Contact your insurance company to discuss the cost of insurance with a pool, and be sure to ask if there are ways to save money by incorporating specific safety features, like fences and ladders into your pool’s design. If your yard is not surrounded by a fence, you’ll probably be required to install a pool fence, but if you have small children, this is a good idea, anyway.
- On most homeowners insurance policies, swimming pools are covered under the “other structures” section. You’ll need to calculate the coverage for all the “other structures” on your property, and increase your coverage if your separate structures and your pool are valued at a higher amount than your existing coverage.
- Having a swimming pool may mean that you have to increase your liability coverage, since pools increase the likelihood of injuries and accidents, and the risk of lawsuits.
- If you have a home warranty, add the pool to your warranty. It will usually only cover the pool itself, and the filter system – not any vacuums or water features (like fountains or misters), but it can save you tons of money if something goes wrong.
- Always take care of your pool, following a professional’s advice for everything from the chemicals that keep the water clean, to filter maintenance, to proper over-wintering procedures (in most places, it’s actually better to leave water in your pool over the winter, but if you live in a place where hard freezes are common, that may not be true). Be aware that damage from winter weather is usually not covered.
- Practice safe pool use to minimize injuries and accidents. No glass near the pool deck, no running on wet surfaces, and no diving in water less than ten feet deep. Also, be aware that if a neighborhood child sneaks a swim while you’re away, you may still be liable, so re-read the parts about fences and liability coverage.
Having a pool increases the value of your home, and makes it easier to beat the heat in summer, but having adequate homeowners insurance to cover the pool is essential.
Life Insurance for Your Mortgage?
June 8th, 2011 by Iris | Comments Off | Filed in insurance facts, life insuranceMany people have heard of private mortgage insurance, which pays your lender if you default on your mortgage, but what can you do to make sure your mortgage is paid off if you die?
One answer is mortgage protection life insurance, and it’s essentially just another kind of life insurance.
Originally, mortgage life insurance policies matched the amount of the mortgage balance, and as the balance decreased the amount of life insurance did as well. For most of us, however, it makes better sense to take out a mortgage life insurance policy equal to the original mortgage amount, but at the least expensive level term, rather than anything that decreases.
Alternatively, you can buy return of premium life insurance policies as a form of mortgage life insurance. These policies have more competitive rates and, if you keep the policy, all the premiums you’ve paid will eventually be paid back to you.
The most inexpensive form of mortgage life insurance, however, is a level premium/level benefit term policy. These policies are purchased for a specified period of time, during which the policy amount is guaranteed not to decrease and the premiums can be guaranteed not to change. Typical terms for these policies are 30, 20, or 15 years – the life of the average mortgage loan.
While mortgage protection life insurance is still sold by some banks and some agents, it’s probably a better idea to choose an insurance policy that will pay off your mortgage in case of your death, without having the insurance amount decrease, and with guaranteed lower rates.
Tags: life insurance, mortgage insurance, mortgage life insurance
Affordable Life Insurance and Chronic Conditions
May 4th, 2011 by Iris | Comments Off | Filed in insurance facts, life insuranceIt’s a common myth that that certain conditions prevent you from getting life insurance. These conditions include:
- heavy smoking
- alcoholism
- asthma
- mental illness (including clinical depression)
- cancer
- a heart condition
The reality is that there are life insurance programs that will sell you coverage with any of these conditions, but you’ll have to do your research before you apply. Of course, you’ll probably pay a higher premium, as well.
So how do you get affordable life insurance when you have a chronic condition?
The trick is in proving that you are managing your situation. For example, if you have a drinking problem but can prove that you are an active participant in AA, that will help reduce the cost of your coverage. If you’re suffering from mental illness and can demonstrate regular therapy appointments, that, too may help reduce what you pay in life insurance premiums. The same goes for asthma – if it’s well managed, it won’t force you to be excluded from coverage.
But what about heart disease? What about cancer? While it’s true that these are “red flag” issues to insurance underwriters, they don’t always mean that you can’t be covered, or can only be covered for a lot of money. If you’re taking the recommended steps to treat your heart disease, you can still be insured for a standard rate. As for cancer, it depends on the type, stage, and treatment method, as well as the size and location of your tumor. While it’s true that some insurers won’t touch you, many will still offer coverage at a reasonable price if your cancer is treatable, and has a high survivor rate.
Bottom line? Never assume that having a chronic condition knocks you out of life insurance eligibility. Instead, use the internet to do research, ask questions, and make sure you stick to whatever medical or mental health treatments are recommended.
Friday Filmstrip: HMO vs. PPO
April 29th, 2011 by Iris | Comments Off | Filed in friday filmstrips, health insurance, insurance factsIf you’ve ever had to select an insurance plan from a new employer, you know that two popular options are HMO and PPO, but what are they?
This video from Stay Smart, Stay Healthy, via YouTube, explains the difference:
Tags: friday filmstrips, Hmo, PPO, video
Texas Says, “We’ll Help You Shop Around”
March 24th, 2011 by Iris | Comments Off | Filed in auto insurance, health insurance, homeowners insurance, insurance factsThe Texas legislature recently filed two separate bills that would require insurance companies to be more forthcoming with customers with regard to rate increase information, and would also expand consumer resources for shopping the insurance market.
In the words of Representative Armando Walle (Houston), House Bills 2723 and 2724 would, “…help consumers fully understand the premium increases imposed by insurance companies and will give consumers information on how they can shop around.”
According to the website for the Texas House of Representatives, HB 2723 addresses accident and health insurance policies. The measure stipulates that insurers must give policyholders sixty days’ notice of rate increases, and the notification has to include the amount of the increase, and how consumers can file complaints. The measure also requires that rate increase information be post to the web, and consumers notified of where it can be found, what the justifications for the increase are, and what alternative coverage options may exist.
HB 2724, according to the same website, includes similar stipulations addressing residential property and personal automobile insurance. At the time of policy renewal, the policyholder’s existing insurer would be required to provide a side-by-side comparison of new and old rates, provide information on any changes in coverage, and offer resources on how consumers can shop around for different coverage. In addition, deductibles must be stated as a dollar amount, and not as a percentage of the policy’s total value.
Tags: auto insurance, health insurance, home insurance, insurance reform, texas
AIG Repays $6.9 Billion More
March 8th, 2011 by Iris | Comments Off | Filed in insurance facts, insurance news, insurance specialistsIt’s been a while since we wrote about AIG, but Reuters is reporting today that American International Group has returned another $6.9 billion of it’s bailout money to the U.S. Treasury, which means that 70% of the original $411 billion under the TARP plan (Troubled Asset Relief Program) has now been recovered.
According to spokespeople for AIG, $6.6 billion of the latest repayment came from selling its shares in the insurance company MetLife – shares that were initially acquired when it sold its international unit Alico to MetLife last year. Another $300 million was leftover from expenses related to the Alico transaction.
After this most recent payment, the U.S. Treasure still retains about $11.3 billion in preferred interests in AIG, as well as roughly 92% of the insurance group’s common stock. If that stock were to be sold at today’s closing price, it would generate almost $14.22 billion.
Spokespeople for the Treasure Department expect that every dollar of AIG’s bailout – which was $182 billion at its highest point – will eventually be recovered.
As of this evening, about 70% of the still-outstanding TARP funds are from AIG, Ally Financial, and General Motors.
