Homeowners Insurance

“Can I Take My Spouse Off My Insurance?” How Divorce Affects Your Maine Insurance Policies

Posted on by Bob O'Brien

Divorce is a major life-change. It’s a complicated and emotional process that takes time to work through. It’s not surprising that it also can have a great effect on your personal insurance coverage. Here are answers to some commonly asked questions about how divorce affects your auto and home insurance. You should discuss your individual situation with your agent and your attorney.

I Want to Take my Spouse Off My Auto Insurance

Until your divorce is final, your insurance agent should not remove anyone’s name from the policy without their written consent. An insurance policy is a contract. Your agent is responsible to BOTH parties to the contract. Each has the same rights under the policy. A professional agent will not only want to make sure that both parties remain covered; they are obligated to honor each person’s policy rights.

We Own Separate Vehicles. Can’t We Get Separate Insurance?

Maybe, but you should consult your attorney first. Maine “joint property” laws may render the registration immaterial. If the property is considered “joint property”, you both should maintain one policy until the divorce is final, and the property is separately owned. Your attorney can help you with this issue.

The Insurance Bills Go to My Spouse. Will My Policy Cancel if They Aren’t Paid? 

Yes. That’s why it’s important that your agent knows how to reach BOTH of you; you need to keep them updated. If payment of bills is a problem, discuss this with your attorney; they may be able to arrange for timely payment.

My Spouse Isn’t Reimbursing Me for Their Share. Why Should I Pay for Their Insurance?

It’s important to keep your coverage in force. The best way to do that is to pay the premium that you are billed. Otherwise your policy could cancel – and you would both lose coverage. Don’t “cut off your nose to spite your face”. Talk to your attorney about how to settle the financial details.

I’ve Moved Out. Does Our Homeowners Policy Still Cover My Stuff? 

It depends. It is very important that you contact your agent to discuss your individual situation.

My Spouse and I Can’t Agree on Anything.

Sometimes, it is best to let your attorneys deal with these insurance issues. Give your agent permission to talk with them. Have them contact your agent.

If you are looking for a Greater Portland Maine insurance agency that understands how divorce affects your insurance, and can help you protect your assets now and later, contact Noyes Hall & Allen Insurance at 207-799-5541. Our agency represents several insurance companies, so we can offer one-stop insurance shopping.

 

6 Best Practices to Deal With Maine’s Rising Property Insurance Rates

Posted on by admin

Most insurance companies doing business in Maine would like to forget 2011. Maine narrowly escaped many of the disasters that plagued other Northeastern states (one Maine insurance executive tells of nervously, repeatedly “refreshing” the online map of Hurricane Irene’s storm track). Still, virtually every insurer was affected because they do business in those neighboring states.

Remember the terrible flooding in Vermont? Hurricane Irene in southern New England? The tornadoes in Central Massachusetts? Widespread power outages from falling snow-covered tree limbs? Insurance companies do. They paid all those claims.

Many people don’t know that insurance companies also buy insurance – called reinsurance – to protect themselves from financial disaster. Reinsurance spreads the cost of risk throughout the world, leveling loss experience. Reinsurance works: despite the recession and the heavy losses, insurance companies remain financially solvent and able to pay claims.

Unfortunately, 2011 set a world record for disasters . Losses were $105 billion, the highest number ever. About 1/3 of those losses, and 4 of the top 10 events, were in the US. That means that reinsurance companies are now increasing the rates that insurance companies pay for property reinsurance. Of course, that translates to higher homeowners and business property rates for you and me.  So, what can you do?

Map of major disasters in the US in 2011
click to enlarge

6 Ways to Help Offset Rising Property Insurance Costs

  1. Don’t overinsure. Your Maine business property insurance agent  or homeowners insurance agent can help you determine the insurable replacement cost of your property, so you can adjust your protection accordingly.
  2. Compare rates. There are 2 ways to do this: call around yourself; or consult a Trusted Choice independent insurance agent.  This kind of  insurance agent represents several insurance companies, and can compare prices and coverage for you.
  3. Get the discounts you deserve. Don’t pay too much by failing to get the business or  homeowners insurance discounts you’ve earned. Have you recently replaced your roof, electrical, heat or other system? Installed an alarm or a generator? All of these improvements may qualify for discounts. Talk to your agent, and ask if there are other discounts available.
  4. Combine and save. Most insurers give a discount when they insure both your property and vehicles. That goes for business or personal insurance. If you own coastal, seasonal or secondary property, some preferred insurance companies will accept you if they insure your primary home, too. This can rescue you from paying higher non-standard rates with another insurance company.
  5. Choose deductibles wisely. If you’ve owned your property for a long time, you may have more financial ability to repair small losses (it’s not a good idea to file multiple, small claims anyway). If so, ask your agent how much you could save by increasing your property deductible.
  6. Maintain your property. It should go without saying, but deferred maintenance leads to claims, and claims lead to higher premiums. Replace your roof or heating system before it causes a loss. Clear leaves from your gutters every fall to prevent ice dams. Regular paint and upkeep can prevent trouble later.
Maine property insurance rates are expected to rise for some time. In times like this, it makes even more sense to develop a relationship with a local agent. In the area of Portland Maine, insurance agents are plentiful. Find one whose professional advice you trust, and who represents many preferred insurance companies. If you have questions about your personal or business property insurance, contact our experienced agents at 207.799.5541.

Is Your Valentine’s Day Jewelry Insured Properly?

Posted on by admin

Americans spent $4.1 billion on jewelry this Valentine’s Day, the National Retail Federation estimates. If you were one of the lucky recipients, you might be wondering:  does my homeowners or renters insurance cover my jewelry?

The short answer is “somewhat”. If your jewelry burns up, or is blown away in a tornado, it’s covered. But that’s not usually what happens to jewelry. Most commonly, jewelry is stolen or lost, or a stone falls out of its setting.

What Kind of Jewelry Should I Insure Separately?

More expensive jewelry pieces should be separately insured, for several reasons. Because they’re subject to limitations on your homeowners policy, they may be only partially covered – or not at all. Certainly, any jewelry with precious stones, especially valuable ones, should be separately insured.

How Much Does Jewelry Insurance Cost?

Jewelry insurance is surprisingly affordable. Insuring $5,000 of jewelry on your Portland Maine  renters insurance, condo or homeowners insurance usually costs less than $40.00 a year.

Do I Need to Have My Jewelry Appraised?

Jewelry pieces valued greater than $5,000 must be appraised to be added to most insurance companies’ policies. Insurance companies also require appraisals about every 5 years. Gemstone, gold, platinum and silver prices fluctuate based on popularity, supply and demand, and condition. Appraising your jewelry makes sure that your coverage keeps pace, and also provides an opportunity to have the settings, strands and gems checked. This can avoid the heartbreak of lost jewelry.

Should I Take Pictures of My Jewelry for Insurance?

Photographing your jewelry is always a good idea. Even if  your pieces were not separately insured, photographs can help the police recover stolen jewelry, or help a claim adjuster identify exactly what you had prior to a loss.

Our Portland, Maine area insurance agency hosts periodic free jewelry inspection events, where you can have your settings checked, and jewelry cleaned and photographed for insurance purposes. If you would like to be notified of future events, like Noyes Hall & Allen Insurance on Facebook.

For answers to your personal or business insurance questions, contact our experienced Maine insurance agents at Noyes Hall & Allen Insurance: 207-799-5541. We represent many different insurers, so we can offer a solution customized to your needs and situation.

 

 

7 Ways to Trim Insurance Costs This Month

Posted on by admin

Thanks to Maine’s rural nature, mature population, low crime rates and high percentage of insured drivers, buyers of Maine auto insurance and home insurance pay some of the lowest insurance rates in the U.S. Still, there are ways to reduce your insurance costs. Avoiding accidents, tickets and homeowners claims is an obvious one. Here are some others.

Shop Around

Insurance is a very competitive business, as evidenced by the volume of advertising in the media, mail and internet.  Every insurance company sets their own rates, and evaluates people differently. If you bought your policy directly from an insurance company (like Allstate, GEICO, State Farm, etc.), they only offer rates from their company. You’ll have to shop on your own.

Consult a Maine independent insurance agent who represents many companies; they will do the shopping for you. Many of them even have web sites where you can compare Maine  home and auto insurance quotes from multiple companies.

The Best Time to Shop for Insurance

Your home and car insurance rates depend greatly upon your insurance score. That score is based on most of the same information as your credit score. The higher your score, the lower your car and home insurance rates. To get the best price, shop for insurance when your score is good.

In general, your insurance score decreases when you:

  • Make a late payment on any type of loan or bill.
  • Use a higher percentage of your available credit
  • Apply for a loan or credit card (applying for insurance does NOT affect your score).

The time to get the best insurance rates is BEFORE refinancing or buying a home or car, and when your credit card balances are low.

Package Your Policies

Most insurers offer a significant discount for buying more than one policy from them. If you insure your property and your autos, you can often save $200 or more per year. The same goes for boats, snowmobiles, motorcycles or other types of insurance. Some insurers can even combine your billing, to simplify your bill-paying process, and reduce the clutter in your life.

Don’t Let Your Insurance Lapse

Every month, thousands of people get insurance cancellation notices due to non-payment of premium. This happens for reasons ranging from inattention to bills, to being on vacation, to simply not having the money.

If your insurance lapses, the insurance company may choose not to reinstate your coverage – especially if you’re a frequent slow payer. Few insurance companies will accept you after you have had a lapse in coverage – and they charge higher premiums to account for the additional risk. An easy way to save $250 per year or more: don’t let your policy cancel in the first place.

Communicate with Your Agent – Get the Discounts You Deserve

Your agent knows more about insurance discounts and rules than you do. They know which companies offer auto insurance discounts for driving few miles, owning a hybrid car, or a child being on the honor roll; discounts on home insurance for installing a generator or an alarm system; and which ones have best rates for young drivers. Some companies even offer a discount if you have your policy delivered electronically instead of by mail.

Certain life events affect your insurance, like sending a child off to college, inheriting a vehicle or property, and a child getting their driver’s license. By talking regularly with your agent, you will get advice on the best rate and coverage for your current situation.

Adjust Your Coverage

Pay attention to your deductibles and coverage. When you first bought your home, you may not have had the cash reserves to pay a $1,000 bill for damage. Perhaps now you do. Increasing your deductible from $500 to $1,000 can save hundreds of dollars a year.

Likewise, your auto policy may still have collision coverage on a vehicle with a very low book value. Your agent can help you estimate the savings by removing unneeded coverages or increasing deductibles.

Pay Bills Automatically

Most insurers now allow you to pay your insurance  in monthly installments by Electronic Funds Transfer (EFT). Many charge very little – or nothing – for this option. Compared to the traditional “get a bill, write a check” method, this could save you $60 per year per policy. It also assures that your insurance continues without lapse, and improves your “on time payment” record, which helps your credit and insurance scores.

If you live in Southern Maine, and have questions about your insurance, contact Noyes Hall & Allen Insurance at 207-799-5541.

Space Heaters: How to Stay Warm AND Safe

Posted on by admin

It’s getting colder in Maine. With today’s high fuel prices, many of us try to delay turning on the heat as long as possible. For some people, that means using a space heater to “take the chill off”. As with any appliance, it’s important to know the associated hazards and best practices for avoiding them.

Fires and Burns

The Consumer Product Safety Commission estimates that space heaters are involved more than 25,000 home fires every year, causing more than 300 deaths.The SPSC estimates that another 6000 people, many of them children, visit emergency rooms for burns from touching hot surfaces.

  • Check the wires, fuel lines and tanks often to make sure they’re in good condition.
  • Keep combustibles at least 3 feet away from space heaters.
  • Leave your space heater on the floor, unless it’s designed otherwise.
  • If you smell gas, turn off all controls, open a window, and leave the area.
  • Propane is heavier than air. Avoid electrical switches or appliances if you smell gas. And, of course, no smoking!
  • Do not use electric space heaters in wet areas, such as the bathroom.
  • Keep children and animals away from space heaters.

Carbon Monoxide Poisoning

CO is an odorless, colorless gas produced by incomplete combustion of gasoline, natural gas, propane, kerosene, coal or wood. Symptoms of CO poisoning include:

  • Dizziness
  • Nausea
  • Headache
  • Fatigue
  • Weakness

Prolonged exposure can cause lack of coordination, confusion, loss of consciousness, and even death.

Modern space heaters (made after 1983) have sensors that automatically shut off the appliance if a reduced level of oxygen is detected. In addition, your best protection is a good, working CO detector.

If you have property in Maine, and have questions about home, renters or condominium insurance, our Portland area insurance agency can help. We’re locally owned, and represent many of  Maine’s best insurance companies. That means we can provide you with customized choices.  Contact a Noyes Hall & Allen agent for answers!

Here’s to a mild – and safe – heating season!

Should You List Jewelry on Your Homeowners Policy?

Posted on by admin

That was the most common question at Saturday’s Jewelry Checkup Event that we hosted along with Days Jewelers.

Does Homeowners Insurance Cover Jewelry?

In short: yes, but…

  • Theft of jewelry is limited, usually to $1,500 or less.
  • Your property deductible applies, usually at least $500, often more.
  • Personal property is only covered for 16 “named perils” on the average homeowners policy. For example, ‘theft” is covered, but “losing” something is not. The 16 perils are fine for things like TVs and clothing, but not jewelry. Perils, like losing a gemstone aren’t covered.

5 Reasons to List Your Jewelry on Your Homeowners Policy

  • The value is agreed to before a loss. Instead of having to prove the worth of your jewelry after it’s gone, you list each item with a detailed description and set a value on each piece. Items over $5,000 usually require a professional appraisal every 5 years.
  • Broader coverage. Theft is covered; so is loss of a gemstone – even loss of an earring that’s discovered after you return from a night on the town, or an engagement ring lost at the beach.
  • No deductible applies. You can save money on homeowners insurance by increasing deductibles without having to worry about paying for a lost earring or a missing gemstone.
  • Preservation of limits for your other property. Unless it’s listed, your jewelry falls under your “personal property” limit, which is a percentage of your home’s building insurance limit. If you have a lot of expensive jewelry, even if it’s damaged by a covered peril like fire, you may not have enough “personal property insurance” to replace both your jewelry and your other belongings. Listing your jewelry separately saves that other insurance for your belongings.
  • It’s affordable. Separately listing $5,000 of jewelry usually costs less than $40 a year.

Insurance companies call listing items such as jewelry, furs or fine arts separately on your homeowners policy “scheduling”.

Does your policy declarations page say “Scheduled Personal Property”?

If not, you may want to call your Maine insurance agency to add it.

If you are a Noyes Hall & Allen client, and want to add jewelry, you can request it here, or call the office at 207-799-5541.

If you  are not yet a client, live in Southern Maine and have questions about homeowners,  insuring an engagement ring, renters insurance or condo insurance, call Noyes Hall & Allen agent at 207-799-5541. We’re happy to help.

Am I Covered if a Falling Satellite Hits My House or Car?

Posted on by admin

I realize I’m out of the loop, but was I the only one surprised to wake this morning to news that a huge piece of space junk is headed straight for Earth?

As usual, my friend Sabine was way ahead of me. She had already tweeted this insurance question (and blog post idea!):

 

 

The Answer to Every Insurance Question is: “It Depends”.

If you have  Maine homeowners insurance, business property insurance, or anything other than the most basic kind of property policy, you’re covered for damage caused by “aircraft, including self-propelled missiles and spacecraft”.

If you have  Maine car insurance, commercial vehicle insurance, or contractors’ equipment coverage, and have included “other than collision coverage”, you’re covered against hurtling space junk. If you bought “liability only” coverage, you’re taking your chances.

Fortunately, your chances of getting hit are infinitessimally low. Probably.

If you live in Southern Maine, and  have questions about your insurance, our Portland area insurance agency can help. Call Noyes Hall & Allen Insurance at 207-799-5541. Or, post on our wall by finding Noyes Hall & Allen on Facebook or tweet us @NHAIns on Twitter.

 

What is “Dwelling Fire” Insurance?

Posted on by admin

Most Maine home insurance is written on a homeowners policy. But certain types of property do not qualify for homeowners policies, either because of the characteristics of the property or its occupancy. Properties that do not qualify for Maine homeowners insurance are often insured on a Dwelling Fire policy.

Does a Dwelling Fire Policy Only Cover Fire?

The name is misleading. All Dwelling Fire policies cover more than just fire. How much more depends on which policy form you have.

Dwelling Fire policies offer 3 common flavors: DP-1, DP-2 and DP-3. Homeowners policies also have 3 options, HO-1 through 3. The vast majority of Maine homeowners policies are HO-3; likewise, DP-3 is the most common coverage level found on Maine Dwelling Fire policies.

DP-3 Dwelling Fire policies and an HO-3 Homeowners policies have very similar coverage for buildings. Building coverage is considered “open perils”: unless a cause of loss is excluded, it is covered. The lower-numbered policies provide more restrictive “named perils” building coverage; only specifically listed causes of loss are covered. The DP-2/HO-2 building section covers 12 named perils. The DP-1/HO-1 only covers 4: Fire & lightning; windstorm; explosion; and vandalism.

The Difference Between a Dwelling Fire Policy and a Homeowners Policy

There are several key differences between the two policies.

  • Dwelling Fire policies do not automatically include Liability or Medical Payments coverage.
  • Theft of contents is not covered by Dwelling Fire policies (you can sometimes purchase a small amount for an additional premium).
  • Dwelling Fire policies typically don’t permit optional coverage extensions that are common to homeowners policies (e.g. water backup; identity theft; fallen tree removal; food spoilage).

 

Related Post: What’s the Difference Between a Homeowners Policy and a Dwelling Fire Policy? 

Why do I need to Buy a Dwelling Fire policy?

A Dwelling Fire policy may be required for:

  • Property rented to others.
  • Seasonal property.
  • Other properties as determined by an insurer’s Underwriting Department.

A Dwelling Fire policy covers your property for more than fire. Coverage is generally not as broad as a homeowners policy, but it’s not as limited as the name implies. For advice about your particular situation contact your Maine insurance agency or Noyes Hall & Allen at 207-799-5541.

Do I Have to Wait for the Insurance Company Before Repairing Maine Storm Damage?

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Hurricane Irene visited Maine yesterday. Fortunately, the southern Maine wind damage was mostly limited to fallen trees and limbs – at least judging by our clients who contacted us to report an insurance claim.

The most common claim question today is “A tree fell on my house. Can I remove it, or do I have to wait for the insurance company to inspect it”? As this prior post explained, fallen trees aren’t always covered by insurance. But, if a tree lands on your home or other structure, your homeowners or business policy probably covers both the damage it causes and the cost to remove it.

Generally, it’s fine to remove the tree from your home or driveway to assess the damage and to  make temporary repairs to preserve your property. You don’t need to wait for the insurance adjuster to see it; they can usually tell what happened by the scars that the tree or limb left behind.

5 Things to Do if a Tree Falls on Your Property

  • Document the damage with digital photos or video.
  • Take action to preserve your property from further damage. Remove the tree from the structure, make temporary repairs, or move property indoors.
  • Save damaged property for the insurance company to inspect.
  • Schedule – but don’t begin – permanent repairs. Repair contractors are very busy after a natural disaster. The earlier you schedule your job with a reputable, experienced and insured contractor, the better the chance of your property being repaired faster. Do not start repairs until the insurance company has a chance to see your damage.
  • Report your claim. Noyes Hall & Allen clients can contact an agent to start the process.

If you have questions about Maine homeowners insurance, condo insurance, renters insurance or insuring your Maine business property, call Noyes Hall & Allen at 207-799-5541.

Does a Maine Homeowners Insurance Policy Cover Hurricane Damage?

Posted on by admin

That may be the most popular insurance question of this week as Hurricane Irene curves its way toward the East Coast.

The Good News…

Most Maine homeowners insurance policies cover wind damage, wind-driven rain, damage to a home from falling trees, and other common types of hurricane damage.

BUT…

In the past 5 years, many insurers have introduced special deductibles for property located within a quarter-mile of the coast. Sometimes, the deductible applies only in the case of a hurricane, or other “named storm”. Other insurers’ policies have higher deductibles for all wind damage, even from a February nor’easter.

These deductibles are usually expressed as a “percentage deductible”. Common deductible percentages are anywhere from 1 to 3% of your property insurance amount. In other words, on a $250,000 home, a 2% wind deductible would be $5,000, and would apply to any wind damage.

You should check your own policy to find out what kind of deductible is on your homeowners, Maine renters insurance or Maine condo insurance policy, and how large that deductible is.

What About Other Hurricane Claims?

Standard homeowners policies do not cover damage from loss of power, such as food spoilage or basement water backup caused by a sump pump not working. Often, you can buy some power failure coverage.

Likewise, homeowners policies have little or no insurance coverage for fallen trees, unless they strike a structure or block a driveway. Some insurers sell endorsements that offer limited coverage for this.

Finally, flood damage is NOT covered by homeowners policies. You must buy NFIP Maine flood insurance to have flood coverage.

FMI

For more information about Maine hurricane insurance for homes, autos, condos, boats or other property, contact Noyes Hall & Allen Insurance at 207-799-5541. If you are already a client, and need to report a Maine insurance claim, visit our web site, or call the number above for instructions.