You’ve managed to take care of the fall leaves, survived the neighborhood Halloween experience, and celebrated Thanksgiving, for all the right reasons. Thoughts turn now to the challenges that approaching winter brings. Take some time to handle a few important things that will help insure that you’re prepared for a safe winter.
Clean the gutters – It’s not enough just to make sure the leaves are raked from the lawn. Have your roof gutters cleaned – for most of us, calling in the pros is the safer bet. Ensuring that your gutters are free of leaves will keep water flowing and prevent ice damming when the temperature dips. Frozen gutters can create water back up and inside damage when the thaw begins.
Disconnect the garden hose – When you’re looking around outside, be sure to disconnect the garden hose and turn off the inside water supply to the outside spigots. This simple precaution will prevent water from freezing at the outside spigot and in the water line leading to the outside.
While you’re at it, check the condition of the shutoff valves in the water supply lines inside leading to the outside. Especially in older homes, these valves can develop leaks over time, and may not shut off completely, allowing water to both reach the outside spigot and leak from the valve itself. You want to prevent any slow drip from creating a serious problem or water damage from leaking, cracked or frozen pipes.
Remove overhanging tree limbs – Another job for the pros usually. Tree limbs that overhang your house pose a serious risk of damage during wind or ice storms. Limbs covered in snow and ice can break off, and you don’t want to have anything fall on your home. That’s an insurance claim you can avoid.
Be careful with the candles – The holidays call for festive decorations, both inside and outside. Be cautious where you include candles as part of your decorations. Be conscious of using lit candles in displays and garland arrangements where there is a fire risk. Never leave a room unattended where there are burning candles.
Don’t staple holiday decorations directly on your siding – Small holes in your siding, door and window trim may not seem like much of an issue, but consider that over time, this can cause these materials to deteriorate, causing costly repairs. Check your home supplies store for safe, appropriate solutions to hanging decorations outside.
Test your backup generator – Don’t wait until the evening weather forecast says the bad weather is almost here. Make sure the back up generator that’s been in storage all summer is primed and ready to go.
Clean your chimney – Chimney fires are a leading cause of house fires. Before you open the flue and bring in the logs and kindling, make an inspection and have your chimney cleaned. Wood fires create a buildup of creosote in your chimney that will reduce the draw of the fireplace, lessen its efficiency and may even catch on fire. Trust a local professional to make that inspection and do the cleaning.
And by the way, the majority of fire deaths occur between 2:00 - 4:00 a.m., so it’s critically important that you don't leave fires burning when you go to bed.
These tips will help you prepare for and enjoy the winter months.
Research now indicates that most teenagers actually look to their parents for guidance on how to become a safer driver. Statistics show that teenage drivers between the age of 16 and 20 experience a fatality rate that is four times that of 25 to 70 year old drivers. And data from the Insurance Institute for Highway Safety indicate the chance for an accident by a 16- or 17- year old driver is doubled if there are two or more peers in the vehicle and four times greater with three or more peers in the vehicle.
It’s time to step up, take notice and take action to help teens become safer drivers. The “Safe Teen and Novice Driver Uniform Protection Act of 2009”, also known at the STANDUP Act, H.R. 1875, was introduced in the U.S. House of Representatives in April 2009. The bill is designed to encourage all states to enact comprehensive Graduated Driver Licensing (GDL) laws that would have more on-the-road driving experience to reduce the alarming trend of teen driving accidents and deaths.
Not all states currently have GDL laws, and part of the intent of the STANDUP Act would be to provide incentives for states to have and vigorously enforce GDL laws. The incentive to states is that Federal-aid highway funds could be withheld if they fail to enact and enforce GDL legislation.
Allstate insurance professionals are taking a stand to help teens become safer drivers. Allstate supports the STANDUP Act and offers a Parent-Teen Driving Contract for parents and teens to have conversations about safe driving and agree to specific behaviors, rules and consequences. The contract covers safe driving practices such as avoiding drinking, texting and other distracting behavior. Establishing ground rules and consequences is a good way for parents and teens to talk about the responsibilities that go with the driving privilege.
In addition, take a moment to visit www.facebook.com/save11 for more information and ways you can contact Congress with your support. Let’s standup and work together to help teens become better drivers.
...'cause not knowing can cost you. Auto insurance policyholders who use their vehicle(s) for business activities often believe they can get comprehensive coverage for their business use through their personal auto insurance policy at a lower cost. You have to be careful on this one, and here are just a few reasons why you should consider a commercial auto policy:
Commercial Auto provides liability protection for other entities your customers may work for requiring Additional Insured coverage. Example: Any contract with the local, state or federal government; general contractors and bid jobs most commonly require to be named as additional insured on the auto policy. This cannot be done on a personal policy.
Higher coverage limits are sometimes a problem in personal lines. Commercial Underwriting will readily accept limits as high as $1,000,000 and can even go to $2,000,000. Excess policies are available for even higher limits, and this can be important depending on the nature and value of your business.
Hired Auto exposure can be a problem under the personal lines policy when the hired vehicle is not a “private passenger or light truck” type. Consider a contractor that hires a dump truck to remove debris from a job site. The liability would not be covered under a personal policy, but would be under a Commercial policy if written with Hired Auto coverage. This coverage may also be offered on your business liability policy as an additional endorsement.
Employers Non-Owned Liability Coverage (ENOC) is not available under personal lines policies. You can only be protected through a commercial auto policy that has ENOC added to it if you're sued by someone who was involved in an accident with one of your business employees while the employee was driving his or her personal vehicle on company business (picking up supplies, getting lunch, going to the bank, etc).
Loading and Unloading is covered by both personal lines & commercial policies. However, the coverage under the commercial policy is much broader. With personal lines, once you unload the items and move away from the vehicle, coverage stops. On commercial policies, coverage stays with you until you deliver the items (tools, stock, equipment, etc.). Coverage remains with you even if you load the items onto a non-motorized tool (like a dolly or hand-trucks) until you deliver them. The same holds true for loading. Personal lines offers coverage while next to the vehicle loading items into the covered auto. Commercial provides coverage from the time you pick up, or start carrying items, until those items are safely in your covered auto.
Some personal lines carriers will write a separate policy for each vehicle and this can cause issues in billing and coverage when several vehicles are involved. With a Commercial Policy you have one policy for all your vehicles and a 12 month billing cycle, which makes it easier to manage your insurance costs.
If you own a condo and there's a fire, water damage or other distressing occurrence that results in your condo unit being declared a total loss, you may be surprised to know that you're not fully covered if your unit has to be completely rebuilt. What will you do?
This is what you need to know:
Condo associations have master insurance policies that generally cover only the common areas of your unit and the so-called "permanent structures." As a condo owner, you're responsible for your clothing, furniture and any appliances that can be unplugged and moved, as well as fixtures, flooring and plumbing.
It pays to read and understand what's covered by your condo's master association policy to determine what are the gaps - what does that policy cover, and what's left out. You need to consider the value of taking out a personal condo insurance policy, that will provide complete coverage for all of your personal property and everything that is not included in the condo association master policy.
A personal condo insurance policy could include these important options:
Personal Property Protection - Covers the loss or damage to your possessions
Real Property Protection - Covers things you own such as fixtures and other installations that are not typically considered "personal property"
Family Liability Protection - Provides legal representation and insurance against judgments
Guest Medical Protection - Covers medical costs for visitors injured at your home
Additional Living Expenses - Provides reimbursement for costs of temporary housing during reconstruction
Find out how you're covered under your condo association's master policy and talk to your insurance agency about how a personal condo policy with options specific to your situation can provide you with the complete protection you want and need.
Take a look at what your child is bringing to school - a laptop or desktop computer, iPod, camera, cell phone and other valuable possessions. Do you any idea if any of those things are covered by insurance?
You have Homeowner's insurance, but Homeowner's insurance policies usually cover children away at college only if they are living in on-campus housing. Even if a student is considered a dependent under your insurance policy, his or her personal property is most likely not going to be covered if he/she is renting off campus.
So what do you do? Your child should consider getting renters insurance and here's why:
Renters Insurance protects your personal property against any loss or damage. Your landlord's insurance will not cover your personal property in the event something is damaged or stolen as a result of a theft, fire or other unfortunate circumstance.
Renters Insurance insures you in case someone is injured while on your off-campus property (i.e. a rented house, apartment or condo). Your renters insurance will not only cover those incidents that result in someone being injured at your place, but will also cover legal fees if you're sued.
Renters Insurance policies only cost between $15 and $30 a month, depending on the size of your rental, your location and your possessions.
As a parent, you should also review your car insurance.
If your child is taking one of your cars away to school, make sure to check with your insurance agent to make sure that your child will be fully insured. If your child owns the car, make sure he or she will be insured within the state of residence.
When you’re talking about hosting a special event – one that’s non-business related - there’s always a risk that someone may be injured. Whether it’s a wedding, birthday party or a family reunion, the chance that an accident might happen resulting in someone getting hurt or injured always lingers about, which could lead to a lawsuit. In these cases, whoever is hosting the event could be held liable.
Event Liability Insurance
Event liability insurance protects you from possible exposure of an injury or property damage occurring due to perceived negligence on your part during an event you’re hosting.
Some people are not aware that their homeowner’s insurance policies will cover them for lawsuits related to accidents that happen away from their home. The liability coverage that is part of your home insurance helps protect you against the potential increased financial risk that could arise from injury or property damage that you or members of your household may cause to other people either on or away from your property.
As an example, if you rent a banquet hall for a special event, under your existing homeowner’s insurance, you could have certain coverage in the event that you are sued for something that happens at that event.
Keep in mind, however, that many catering halls, country clubs or other venues will have you sign a contract with a requirement that you pay for their legal defense and any settlement or damage costs in case a lawsuit is brought about as a result of something that happens at your event. The reality is that most, if not all, home policies specifically exclude such contractual obligations.
The Solution: Take out a Special Event policy that lists the venue as an "additional insured." Make sure your liability coverage is significant. It’s usually recommended that a liability limit of $1 Million be purchased. A Special Event policy provides broad protection for situations in which your special event must defend itself against possible lawsuits or pay damages for personal injury or property damage to any third party. This kind of policy also gives contractual liability protection to the venue or event sponsors by adding them to the policy as an "additional insured."
Personal Umbrella Insurance
A Personal Umbrella Liability Policy is also recommended for many clients to extend protection to higher amounts and additional accidents that would not be covered under a Special Event policy. Personal Umbrella policies, however, will not cover contractual obligations or offer any sort of coverage to cover the legal defense of the event facility in such cases like those mentioned above. It’s important to understand that for an event that requires a signed contract, you must be aware of what insurance coverage you have, and what you don’t.
All types of accidents happen every day, all over the world. When these accidents happen, there could be a lawsuit. Read your policy carefully and ask your insurance agent to help you determine the amount of overall liability coverage necessary to protect your financial well-being and peace of mind if you’re planning a special event.
With vacation season upon us, many people will be renting cars. One question to ask yourself is whether to take the insurance coverage that the rental car company offers. Some people quickly skip it altogether. But perhaps you should purchase a collision damage waiver (CDW) or loss damage waiver (LDW). What about personal liability insurance? Are you already covered? Without looking at your existing coverage and insurance options, you could end up purchasing duplicate coverage or even driving your rental car underinsured.
Most auto insurance companies will cover private passenger rental cars in the United States for both liability and damage to the rental car. Your insurance agent can explain what coverage you have on your own auto insurance policy. If you have enough liability coverage to protect other passengers and their vehicles, you’ll not need your rental company’s personal liability insurance. If you have sufficient collision and comprehensive coverage, you can pass on purchasing a CDW or LDW to protect your rental car from damage. Taking the time to understand the coverage you already have on your current auto policy could save you a few dollars on your rental car insurance.
Know What Coverage You Have
You may not know that your credit card company might offer rental car coverage. You could also receive free benefits if you charge your rental on your credit card. When these benefits are not free, your credit card company may offer you a cheaper deal for renting a car. However, some people mistakenly believe that their credit card company will provide full coverage for rental cars. There are several factors to take into account. Your credit card company may not cover SUVs, pickups, luxury cars, vans, or other vehicles. Rentals for over two weeks and travel outside of the designated geographic area are not likely to be covered as well. Some policies do not offer personal liability coverage for bodily injury or death claims. Other credit card policies may only cover damage to your rental, but not to other cars.
When you know how much coverage you have through your auto insurance policy and your credit card issuer, make sure you inquire about limitations and other situations that may affect your coverage. According to the Insurance Information Institute, if you’re at fault for causing an accident by speeding or driving under the influence, your insurance coverage may be void. Always ask questions to understand what is covered and what is not.
Keep in mind that that there are a few potential traps to be aware of and a few important points to remember when renting a car:
Renting a commercial vehicle like a cargo van or a U-Haul box truck - make sure to check with your insurer because it is likely that your personal auto insurance policy will not provide coverage. A rule of thumb is to check the license plates – if they’re commercial, you probably need to buy the rental car insurance, but check with your insurance agent to confirm.
If your vehicles are all company-owned, you’ll need to check with your insurer as you may not have coverage on rental cars.
Collision coverage - if you have your own coverage and decline the loss damage waiver (LDW), you will still have to pay a deductible if the rental car is damaged, vandalized, or stolen.
For travel outside of the United States (to Canada, Mexico, etc.), check with your insurance agency as you may not have coverage.
If you do not have collision or comprehensive coverage on your auto policy, damage to the rental car will not be covered. In this case, consider purchasing a CDW from the rental car company. If not purchased, you could be held responsible for damage, vandalism, or the theft of your rental car.
When it comes to personal property, you may be covered under your homeowners or renters policy if your personal property is stolen from your rental car.
Bottom line, before renting a car it’s best to research and familiarize yourself with the different insurance options. Review your auto insurance policy and your credit card company’s benefit guide. If you don’t have any other insurance, purchasing coverage from the car rental company is strongly recommended. When buying insurance coverage, find out exactly what’s covered and included to help avoid spending on unnecessary coverage.
Everyone knows fireworks can be fun, especially this time of year, but a lot of people don’t take into account the negative repercussions those pyrotechnic devices can bring.
The first problem: They're illegal in New Jersey along with many other states in the U.S. If you’re caught selling, owning or using fireworks within a state in which they’re illegal, you’ll undergo certain penalties determined by your state.
Besides the legal aspect, you always run the risk of someone getting hurt or property being damaged by using fireworks. A few people setting off fireworks in your backyard for summer fun could result in damage to your home, damage to your neighbor’s home or someone in the vicinity getting seriously injured.
If such instances occur, you could be liable for repairs, medical expenses or even legal attorney fees to defend yourself in a personal injury lawsuit case. That, in effect, means that there are a number of things at stake including:
Your savings
Equity in your home
Equity in your business
Your investments
A portion of your future earnings
Bottom line: Most illegal activities are not covered by insurance and will cost you a lot of money if something goes wrong.
Unfortunately for fireworks lovers living in states in which they're illegal, you cannot get insurance coverage for this unless you have a pyrotechnic operator's license. But even with that license, coverage is likely very expensive.
If fireworks are legal in your state, you should check your home insurance and personal umbrella liability policy exclusions very carefully, as coverage may still not be there for you.
If you are a boat owner, there’s a chance you may have overlooked obtaining a boat or watercraft insurance policy. Perhaps you were under the impression that your homeowner’s policy covered your boat. Some homeowner’s policies may provide for limited boat liability insurance coverage. This is usually based on the power of the boat motor. In all cases it’s best to check your policy carefully and discuss your specific situation with your insurance agent.
With the onset of boating season, now’s a good time to make sure you have appropriate coverage. And if you do have a boat or watercraft policy what exactly is being covered? There are different coverage options for boat owners to insure that their boat and its passengers are protected. These options include physical property damage, watercraft liability, medical payments, fuel/oil liability, uninsured watercraft, boat equipment, and emergency services.
Most recently, the environmental disaster of the oil spill in the Gulf of Mexico comes to mind, and boat owners have shown concern about coverage for unforeseen circumstances. An oil spill from your boat wouldn’t necessarily cause a commotion like the Gulf spill, but it could have a serious financial impact if you are personally responsible to fund the clean-up. This sort of occurrence is usually covered by the watercraft liability coverage on the boat owner policy. However, some policies have separate limits for fuel oil liability.
It’s important to note that a personal umbrella liability policy, which provides an extra cushion beyond normal liability limits, does not extend to fuel spill liability, so it’s very important to carry $500K or $1MM in fuel spill coverage on the boat policy to make sure you’re protected from the unexpected.
Boat owners may also neglect to take other operators into account when purchasing their policy. If you are borrowing someone else’s boat, make sure your policy covers your liability on that boat, including fuel spills, which would be under non-owned boat liability coverage. While some boat policies will cover any “permissive operators” who drive the boat with permission, some boat insurance policies may restrict coverage only to those operators listed on the policy. Likewise, if someone drives your boat and causes a bad accident, they may be covered as a “permissive driver,” but be careful because your policy may only cover the people who are specifically listed on your boat as operators. This is a case where a personal umbrella policy could come in handy. While this policy would cover your liability exposure in driving someone else’s boat, they have underlying limits that will likely leave you with a gap of $100,000 or more.
We do have some good news for you! There are a number of discounts to help you save on boat insurance. A few of the discounts include new boat and diesel engine policies. You could also be eligible for a multi-policy discount on your boat and auto insurance. In addition, you could earn discounts for having taken certain boat education courses.
Effective May 1st, New Jersey drivers younger than age 21 with probationary licenses with certain restrictions attached must affix a red reflective decal to their license plates to identify their status. Called Kyleigh’s Law, it’s named after 16-year-old Kyleigh D’Alessio who was a passenger killed in a NJ car accident in 2006.
Decals can be purchased for $4 a pair at motor vehicle agencies and must be affixed to the upper left corner of both license plates. Decals can be removed if older drivers are driving the vehicle and can be transferred to a different car if necessary.
The law indicates that the primary purpose is to allow law enforcement to identify motor vehicles being driven by operators on probationary licenses, which are subject to stricter rules under the law. New Jersey drivers under age 21 can be pulled over for driving between the hours of 11 p.m. and 5 a.m. or for carrying too many passengers. These are violations of the Graduated Driver’s License (GDL) provisions. Drivers in this group will face a $100 fine if a red decal is not displayed.
While the law has been met with criticism throughout the state from those who feel the decals unfairly profile this age group, and are a clear indicator to those who might prey on young female drivers in particular, the reality is that until public pressure or other factors influence NJ lawmakers to repeal it, the law is what it is.
Kyleigh’s Law is the first of its kind in the country, and came under a legal challenge for age discrimination. Morristown Superior Court Judge Robert Brennan dismissed a lawsuit in March, saying, "Operating a motor vehicle is not a right, it’s a privilege subject to state regulations. Kyleigh’s Law does not violate the constitutions of the United States or New Jersey."
And as a privilege, driving responsibly ultimately is on the shoulders of the one who is behind the wheel. Drivers of any age need to be in control, understand and obey the motor vehicle laws and demonstrate they take seriously their responsibility to themselves, their passengers and other drivers. The roadways are shared. Here in New Jersey, safe driving is a challenge everyone faces, whatever the driver’s age.
How this law ultimately may lower teen driving accidents and save lives will remain to be seen. Common sense, good driving skills and respect for others on the road are the qualities safe drivers need to have. Ultimately, individual actions are the key factor in accidents that impact our lives and influence auto insurance rates. Laws may help deter unsafe driving, but there’s no substitute for young drivers developing a real appreciation for the responsibilities that come with getting, and keeping, their driving privileges. It may take more than red decals to accomplish that.
