One of the top insurance mistakes is having a bunch of insurance policies bought from multiple agents, one for you primary residence, another for a vacation home, and another for your cars. That can leave you with policies that aren’t coordinated, so you have coverage gaps. Here’s a summary of some of the biggest issues.
Be sure to review your homes replacement cost with your agent every three year or so to make sure it’s in-line with what the cost should be to replace the same like and kind home. Look for expanded replacement cost coverage where the insurer agrees to replace the dwelling even if the replacement cost exceeds the policy limit. And check that the home insurance policy would replace any special architectural and historical features if that’s important to you.
Consider increasing your auto insurance deductible to $1,000 or more, and use the premium savings to increase your liability limits, or adding accident forgiveness if you do not already have the coverage in place on your policy. Check how your insurer would value your car if you own a collector or antique vehicle – is it insured at market value or at an agreed value (you want the latter).
Often collectibles are very much under-insured, or not insured at all. If you have art, wine, or other valuable collectibles, you need a collectibles rider to your homeowner’s policy or a separate collectibles policy. The best policies will pay market value up to 50% higher than the scheduled amount of coverage in case of loss. Having an inventory system to keep track of your collection, and its fluctuating value, is key.
Boats, ATVs and more.
If you have ATVs, boats, or snowmobiles not covered by your homeowner’s policies, make sure they are covered by your personal umbrella liability policy.
For more information on personal lines insurance policies, contact Lallis & Higgins Insurance.