Do You Have Enough Insurance?
By: Nancy | June 19, 2008 | Category: Money
Two weeks ago, my neighborhood was torn up by an "unconfirmed" tornado. Roofs ripped off. Trees through homes. I got off easy, only losing power for three days and having to chuck most of the food in my fridge. But my neighbor two houses down also lost her deck, her new fence and the front of her car when a huge oak tree took them out—along with all the power lines. 
Two days ago, the back of my car was torn up in a parking lot by a very contrite lady who got her brake and gas pedal mixed up. My poor old car's bumper is smashed and hanging. The liftgate is dented. And I had to secure the tailpipe with a wire hanger to keep it from dragging. Again, I got off easy; the other car has a crushed hood, fender and headlight and a jammed-shut driver's side door.
The most important thing is that nobody got hurt in either event. People are infinitely more important than "stuff." But times like these are good reminders to review the insurance policies that protect your “stuff” and ask yourself some questions.
Does your homeowner’s policy cover the current cost of rebuilding your home? If your house is a total loss, will your insurance pay for complete rebuilding or only give you a limited amount of money toward it? Find out from a local realtor or builder how much rebuilding your home would cost and make sure your insurance coverage is in line with that estimate.
How about what’s inside? Your premium will be less if you're insured for only the depreciated value of your possessions. But then you'll have to make up the difference yourself when you shop for replacements. Consider getting insured for the full replacement value of what you own and be sure to keep your home inventory up-to-date.
What about flooding? Most homeowner’s policies don’t cover it, as so many people in the Midwest and South are tragically finding out. Consider separate coverage from the National Flood Insurance Program.
How high should your car insurance deductibles be? The higher your deductible on things like collision or comprehensive coverage, the more you save on premiums, but the more you'll have to pay out of pocket for repairs before insurance kicks in. How much coverage you want to get also depends on you car’s age, condition and value.
I’m glad the lady who crashed into my car was covered. Her insurance is paying for everything, including the rental car that will be waiting for me next week at the body shop when I take my baby in for a new bumper.
What have been some of your more memorable insurance claim stories?
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The sad part of all the flooding in the Midwest is that many of the affected people could not get flood insurance because they do not live in a designated flood plain.
When reviewing your car insurance with your insurance agent you need to ask some questions.
How do they determine if a car is a total loss. In the state of Wisconsin state law states that for the first seven year of a car that if the repair cost will exceed 70% of current retail price that the car is a total loss. You need to know then if the insurance company will only pay you to the total loss value. If the total loss value is less then what you owe on your car, you might need to carry gab insurance.
One of the questions you need to know about is their policies on directing you to a repair facility. If the insurance company threatens not to pay for the repair or warranty the repair if you do not take it to one of their direct repair shop you need to know your state rights in this area. In many states this practice is illegal.
Another question you will want to ask about is the use of after market parts. (parts not made by the manufacture of your car) . The major issue with after market parts are quality of fit and workmanship. If your insurance company calls for the use of after market parts, do they require the use of capa certified after market parts.
Also, you need to know about the use of used parts. Does the insurance company require the use of the same year or newer part or does any used part qualifies for the repair.
You will need to know if your insurance company will only do agreed price repairs. The disadvantage of this practice is if there is a need for additional repairs who is going to pay for it. Is it going to be the repair shop or you paying for the additional repairs.
I know that this can seem like a waste of time asking just these questions, but they will seem important if you are in a accident. You need to know your rights.
Thomas
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http://www.ultimateinsurancelinks.com/
i used that site to help me
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I want to say thank you for providing me such a great information. In this above article, You provide enough things that are very great and really helpful.
I want to say that please never give up and continue doing the best work like above.
God Bless You.
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Thanks Nancy
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