Homeowners Checklist

Homeowners Insurance Personal Checklist Review 

 HC 1 The replacement cost of your home is the starting point of your home insurance. We try to answer the question, if the house were destroyed, how big does the check have to be to rebuild it? We recommend Dwelling Replacement Cost coverage when available (generally for homes built since 1945), which provides additional limits as long as you remain insured to estimated replacement value each renewal.
 Please note there are limitations in your policy for theft of jewelry, furs, guns, silverware, etc.  You can buy specific insurance under a Scheduled, or “Valuable Items” endorsement, which gives broader coverage, and increases your amounts as needed.  As a rule of thumb, consider specific coverage for items over $1000 in value.  Up-to-date appraisals may be required for insurance under this kind of schedule.  Call us to discuss this.  This is one of the most painful mistakes people make.  They may think Grandmas’s 4 carat diamond ring is covered only to find out AFTER a loss event that it is not. HC 2
Hc 3 A business from the home is not covered by the homeowner’s policy and usually requires commercial insurance coverage.  If you run any business from your home, let us know.  Coverage can be available as an inexpensive add-on to your home insurance policy or through our commercial insurance group.
Note that any business use of a detached structure, such as a garage or barn nullifies insurance coverage on the structure, requiring you to “buy-back” coverage.  This exclusion may leave you self-insured for out-buildings you‘re using for business.  Coverage is readily available, but we need to know to properly cover you.  Believe me it is hard for us to tell a client those four painful words….   “You’re Not Fully Covered!”   When a very inexpensive endorsement or change in your policy could have taken care of it. HC 4
HC 5 Kentucky requires that you provide Workers’ Compensation if you employ anyone, including domestic help working 16 hours per week (such as a nanny).  We can assist you in taking care of this and avoiding a costly and embarassing mistake.
Boats, RV’s, and ATVs also may need specific coverage.  Please let us know if you own one or more of these, particularly if they are not specifically insured already.  The homeowner’s policy gives very limited coverage for both the equipment and liability, so call us if you’re not sure. HC 6
HC 7 It pays to check the amount of insurance showing on your Personal Property (Coverage “C”).  The amount you have may NOT be enough to to replace your personal belongings today, including clothes, furniture, and so forth.  With our recent weather you know that electrical surges have become common.  An electrical surge can wipe out your new 50inch plasma screen as well as your new surround sound system.  These were probably purchased without thought as to whether they are properly covered on your home owners policy.  A household inventory can determine proper values; a video does a great job identifying what you have. We recommend Replacement Cost on Contents to minimize the effect of depreciation on a claim.
Due to building code changes on all homes, we recommend “Ordinance or Law” coverage.  If new building codes require updates or demolition on undamaged portions of your home, this endorsement will extend coverage to undamaged portions.   Let us know if you want to be sure this is included in your insurance. HC 8
HC 10 The homeowner’s policy does not include loss to your property due to Flood, or any groundwater seepage.   Flood coverage is offered through the National Flood Insurance Program (NFIP); some homeowner’s policies include “sump pump failure coverage” as well.  Let us know if you may have an exposure to damage from groundwater, especially if you have a sump pump in place already.  We can provide options through National Flood also for full flood insurance protection.
Condominium unit owners have special needs.  Additions and alterations that become a permanent part of the building, but for which you are responsible, should be added if the association does not provide “all-in” language.  Also, we recommend maximum loss assessment coverage to protect you if the Association Master Contract limit is inadequate. Condo owners: check with us about coverage for your association, too. HC 11
 HC 12 The high settlements being awarded by the courts today for personal injury suits demand that you consider  buying a Personal Umbrella Liability policy, or increasing your present Auto, Homeowners (RV & Boat, etc.) liability protection.  Ask us about at least a $1,000,000 excess policy if you do not already have one.  These type policies are very reasonably priced.  They are referred to as PELP and Umbrella Policies.
HC 9 The homeowner’s policy does not cover loss due to Earthquake.  Coverage can usually be added by endorsement for an additional cost.   Earthquakes aren’t limited to California! As you know Kentucky rests upon a major natural fault known as the New Madrid Faultline.
I bet you didn’t know that any dwelling left unoccupied for 60 days is considered vacant and fire coverage is cancelled.  This could be a huge surprise if you find out your rental property (that has been vacant over the summer while the students were home),  has burned and you are not covered.  Let us help you make sure these type surprises don’t happen to you!!  We can make arrangements to continue your coverage until that renter comes back. HC 14


 Please call us TODAY regarding your coverage.  

A review costs NOTHING.  But an uncovered loss could be expensive and painful.  


This information is not an offer to sell insurance.  No binder, insurance policy, change, addition, and/or deletion to insurance coverage goes into effect unless and until confirmed directly with a licensed agent. All coverages are subject to the terms, conditions and exclusions of the actual policy issued. Not all policies or coverages are available in every state.

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