Serving Alcohol at Your Super Bowl Party? Here’s How Homeowners Insurance Can Defend Your Turf

As with any gathering you host at your home, understanding what your homeowners insurance will or will not cover is important so you (and your wallet) are not held liable for guests’ accidents. Below, we address some common questions about homeowners’ liability if your intoxicated guest leaves your Super Bowl party and causes injuries.

Does homeowners and renters insurance cover liability if a drunk guest leaves and causes a car accident injuring his/her passengers and the other driver? Is the other driver's car damages covered by the host's home or renter's insurance?

The auto policy would be the primary source of recovery for the driver. The homeowner/tenant might be brought into it from a liability standpoint. “Host Liquor Liability,” or similar coverage, might apply for the homeowner/tenant if that is an included coverage, sometimes available for situations where no fee is charged for the alcohol. If a fee is charged for alcohol, then actual Liquor Liability would be needed. If the claim is covered for the injuries of others, then it would follow that the property damage caused to the other vehicle also should be covered, subject to availability of liability protection. 

What if the drunk guest left the party, walked home, and damaged a neighbor's property, and bumped into a dog walker injuring them?

While there might be some continuity of circumstances directly related to the alcohol, there could also be a break in same; and the damage to the neighbor’s property would need to be accidental, as the drunk guest’s insurer would most likely deny coverage for an intentional act. Most likely, this situation would probably result in a denial of coverage as the guest had reached his home and that probably constitutes the end of the host’s liability.

Does the host's insurance cover the host if the drunk guest got into a fight and hurt another person after he left the host's party?

While it might be a stretch to get to any covered claim in this scenario, the “fight” is almost assuredly excluded from coverage as that could, or would be, considered “assault” and specifically excluded (intentional injuries), unless it’s considered protecting or preventing physical injury of himself.

Using the scenarios above, does a rider or endorsement or floater to renters or home insurance cover the host? 

Host Liquor Liability, where referenced above.

Insurance excludes intentional and criminal acts. If drunk driving is considered intentional, and obviously it's criminal, does that mean home or renters insurance would never cover a third party injury caused by a drunk guest that left the party and caused the injury?

When the driver gets behind the wheel and is intoxicated, typically the driver is not intentionally looking to injure someone – if he/she is, then most likely the intentional act or similar language would be cause for denial.  For the purpose of this discussion, we’re going to assume that the intoxicated driver is covered while behind the wheel (there are some insurers that won’t insure drinkers, or won’t cover an accident involving alcohol and have that as part of their contract).  “Never” is a little extreme, just ask an insurance company, attorney, judge or juror; too many differing opinions out there to make the “never” statement. So, the answer is, there definitely could be a case made for an owner or renter to be brought into a situation where it’s involving a third party.

Questions about homeowners insurance coverage? Contact Wallace & Turner at (937) 324-8492 in Springfield, (937) 652-8492 in Urbana, or info@wtins.com.

Myles Trempe Discusses Bundling Home and Auto Insurance with MoneyGeek

Myles Trempe - Producer

In an interview with MoneyGeek, Producer Myles Trempe explained whether it’s always worth bundling home and auto insurance policies with the same company, and if there are any downsides to bundling.

“Most companies will offer a discount for bundling; however, it’s possible you could purchase separate policies and pay less money,” Myles said. “It’s worth pricing both options and seeing which is the least amount (now and over time), which an independent insurance agent can help with.

Read the full article here.

Questions about bundling your home and auto insurance? Contact us at 937-324-8492 or online here.

Finding the Best Homeowners Insurance Coverage – P.J. Miller Interviewed by MoneyGeek

P.J. Miller

The “best” homeowners insurance really means finding coverage that fits your particular needs and budget. In an interview with MoneyGeek, Vice President P.J. Miller discussed common mistakes first-time home buyers may make, recommended homeowners insurance endorsements and exclusions that may come as a surprise to buyers.

When asked about exclusions, P.J. said, “Most homeowners are surprised to learn that their standard homeowners' policy does not cover flood insurance. Also, certain dog breeds may be excluded depending on your insurance company and where you live.”

Read the full interview here.

Questions about homeowners insurance coverage in Ohio? Contact us at 937-324-8492 or here.

Inflation Could Make Your Homeowner's Insurance Inadequate – P.J. Miller Discusses the Important of a Replacement Cost Guarantee with Consumer Affairs

P.J. Miller

If you haven’t checked your homeowner’s insurance policy in a while, it may be wise to do so. Inflation is rapidly increasing building costs and if your house is damaged or destroyed, having inadequate coverage might result in a significant loss. In an interview with Consumer Affairs, Partner P.J. Miller explained how having a “replacement cost guarantee” provision can cover the cost to repair or replace your home, even if the amount exceeds your coverage.

P.J. said the forerunner of the current day “guaranteed replacement cost” was the “inflation guard endorsement and while it’s not known if all carriers provided this option, most did for various reasons. “An example would be the simple fact that you don’t have to remember to contact your carrier to increase coverage and the peace of mind knowing that it’s done automatically.”

He also noted that it’s important to understand how your policy’s inflation adjustment works. Some policies might increase the coverage only for the policy term and then reset it to the prior term’s coverage amount. 

Read the full article here.

Questions about your homeowner’s insurance coverage? Contact Wallace & Turner at 937-324-8492 or info@wtins.com

Wallace & Turner Hosts Lunch & Learn at Real Estate II

Thank you to Real Estate II for having us on March 10, 2022, for a Lunch & Learn! We tested their insurance knowledge, gave out swag, had a delicious lunch from Mike & Rosy's Deli and there was even a special appearance by Progressive's Flo!

Interested in a Lunch & Learn at your company? Contact us to find out more: 937-324-8492

Umbrella Insurance in Ohio: What It Is, Who Needs It & Why

Insurance is often figuratively compared to an umbrella. If liability and risk are the rain, your insurance policy is the umbrella because it keeps you dry. But within insurance coverage, there is also a policy specifically called Umbrella Insurance. So what does this coverage do that’s different from a standard policy? Umbrella insurance in Ohio is a way to make your umbrella of protection bigger. 

In other words, an umbrella insurance policy extends your coverage for liability. While many insurance policies already have liability coverage, they often don’t have enough. Umbrella insurance is a way to protect against that problem.

Is this type of extended coverage right for you? The team at Wallace & Turner is here to guide you through the decision by identifying which assets an umbrella policy would help cover and to determine how much coverage you should have. Our independent insurance agents are available to answer any questions you have Ohio umbrella insurance. Read on to learn more, or reach out to our team to talk about your policy options.

What is Umbrella Insurance?

Imagine you’re driving around Springfield, Ohio, when you get a distracting text message. You look down to see what it says, and in an instant, you slam into the rear of the car stopped at an intersection in front of you. The driver is hurt and his car is totaled. A few weeks later, you get notice that he’s suing you for $600,000.

Your standard car insurance may carry a liability limit of $300,000. If that’s the case, you would have to pay the remaining $300,000 out of your own pocket — that is, unless you had umbrella insurance.

Umbrella insurance is an additional policy designed to cover the difference between the liability limits on your existing policies and the amount you’re sued for. It’s also designed to cover related costs, such as the cost of a defense lawyer.

Types of Umbrella Insurance

Umbrella insurance isn’t just for car accidents, although this is a common use for the coverage. It’s actually designed to cover you against a wide range of liability. Here are some examples of the types of liability Ohio umbrella insurance can cover:

• Car accident liability

• Boating accident liability

• Homeowner liability (involving slip-and-fall accidents and similar issues)

• Libel and slander

• Commercial liability

Umbrella insurance can cover many types of incidents that standard insurance policies won’t. 

How it Works

Umbrella insurance policies usually won’t kick in until the limits of your other applicable policies are exhausted. For example, if you have a $250,000 liability limit on your homeowners policy and you are sued for $300,000 due to a slip-and-fall accident at your home, your umbrella policy would pay the $50,000 difference.

Umbrella insurance can cover your personal liability or liability related to your business. Keep in mind, however, that these types of policies are usually separated. A commercial umbrella insurance policy likely won’t cover you for an accident in your home, and a personal umbrella insurance policy likely won’t cover you for an accident at your place of business.

Things Umbrella Insurance Won’t Cover

Umbrella insurance is a particularly handy type of coverage if you have valuable assets or face a lot of potential liability, but it isn’t a catch-all. This type of insurance won’t cover everything, which is why it’s important to work with an insurance professional to make sure you’re covered in every way you need to be.

Here are some examples of things umbrella insurance policies typically won’t cover:

• Injuries that happen to you

• Damage to your property

• Liability from contract violations

• Any criminal or intentional acts you commit

• Third-party liability involving your business

Who Needs Umbrella Insurance in Ohio?

Most people could benefit from having extra coverage, but umbrella insurance is only needed if you face certain types of liability. The following are some examples of when you may need this type of coverage:

• You own property.

• You are a landlord. 

• You are a public figure.

• You coach children’s sports. 

• A new driver is part of your household.

• You own a gun, dog, trampoline, pool, hot tub or other items that can lead to injuries.

• You have a lot of guests in your home.

All of the above scenarios can mean you are particularly vulnerable to liability. And an Ohio umbrella insurance policy is an effective way to protect yourself.

Why Get Umbrella Insurance?

The primary benefit of umbrella insurance is relatively straightforward: You are better protected from being sued. But these benefits actually go deeper than that. For example, the coverage amounts for umbrella insurance in Ohio typically start at $1 million, and that will usually cost you between $150 and $300 per year in premiums. And if you need more than $1 million in coverage, you can usually add on another million for around $75 each year.

That’s pretty affordable, especially when you consider that the average car accident settlement is more than $24,000, with settlements on the higher end easily topping hundreds of thousands of dollars.

Additionally, if you’re a world traveler, umbrella insurance may be the only type of liability coverage that travels with you. Typically, your Ohio umbrella policy will cover you for liability that arises anywhere in the world.

Find the Best Ohio Umbrella Insurance Policy for Your Needs

Put simply, umbrella insurance can be a lifesaver. No one wants to be sued, but if you are a member of society, you are always at risk. It’s just like rain — any time you go out, you run the risk of getting wet. That’s why you shouldn’t leave the house without your umbrella.

Umbrella insurance can offer the kind of broad liability protection you need, no matter the circumstances you face or the value of the assets you own. There are plenty of policies to choose from, and figuring out which one is right for you can be a challenge. We’re here to help. 

The Wallace & Turner team can connect you with the perfect Ohio umbrella insurance policy to protect you, your family and your wallet. Ready to make sure you’re fully covered? Then reach out to our team. Give us a call at 937-324-8492 or contact us online today.

What does condo insurance cover? P.J. Miller Explains in Interview with Insure.com

P.J. Miller

Owners of single-family residences obtain traditional homeowners insurance, but condominium owners need to get a special type of policy called condo insurance. In an interview with Insure.com, Partner P.J. Miller discusses differences between what your condo insurance policy includes and what your condo association covers.

Unlike a homeowners insurance policy, an individual condo policy doesn’t typically provide dwelling coverage, which is what protects a home’s physical structure.

“Condo coverage is usually made up of the interior structure and the interior finishings — which include built-in appliances, flooring such as tile or carpet, and heating and cooling equipment,” P.J. commented.

Personal liability coverage

Personal liability coverage helps you if someone gets injured while visiting your condo and you’re at fault. Imagine that a neighbor comes over, trips over a cord lying across your unit’s floor, and breaks her leg. “Personal injury liability coverage protects you in these instances,” P.J. said.

Loss of use coverage

Also known as additional living expense coverage, loss of use coverage pays for temporary shelter, such as lodging costs at a hotel, due to damage to your condo unit by a covered peril that makes your unit temporarily uninhabitable.

“This coverage is designed to put you back in the same or similar housing you had before the claim until the damage is repaired or the amount of loss of use coverage is exhausted,” P.J. explained.

Can condo owners get umbrella insurance?

“Condo owners can increase their liability insurance protection by purchasing personal umbrella liability coverage,” commented P.J. 

Often sold in increments of $1 million, this extra amount of coverage can protect your home and finances in the event of a lawsuit or serious claim. You may want this if you have assets behind the $500,000 liability coverage limit that’s common in condo insurance. 

Learn more about additional protection condo insurance provides and which type is right for you.

Questions about purchasing a condo insurance policy in Springfield or Urbana, Ohio? Contact Wallace & Turner at 937-324-8492 or info@wtins.com

Ohio Mutual clients - Get a FREE SimpliSafe security system!

A special offer for our Ohio Mutual homeowner clients! Ohio Mutual will provide a complimentary SimpliSafe home alarm system and cover the cost of the first two months of service. There's no contract so service can be canceled after two months, or service can be continued for a monthly fee. The promotion ends on December 15, 2021.

Contact us to learn more.

Does Homeowners Insurance Cover Natural Disasters?

Whether you’re renting, buying, or building a home, natural disasters are something to consider when it comes to your insurance coverage. Common natural disasters in the U.S. include:

• Hurricanes

• Tornados

• Floods

• Wildfires

• Hail damage

• Earthquakes

• And more

A standard homeowners insurance policy may cover a wide variety of situations, e.g. wildfires, wind, hail, though some natural disasters such as flood and earthquake will need to be added to your policy. To avoid expensive out-of-pocket costs in the face of a natural disaster, you’ll want to add protection for items lost due to fire, flooding and other damages. It’s worth noting that flooding and earthquakes are the most underinsured natural disasters.

Do you live in a high-risk area?

Generally, most natural disasters are not covered by a basic home insurance policy. For those who live in flood-planes, like the southern coast, or in the midwest where tornadoes are common during summer, you’ll want to consider purchasing additional coverage to insure a specific type of natural disaster. Living in a high-risk area for any natural disaster also means that you will most likely be paying more for your general policy to help make up for some of the increased risk.

Storm insurance coverage

Wind damage caused by hurricanes and tornadoes are generally covered by home insurance policies, but flooding damage is not. Flooding is the major cause of costly hurricane damage, making it necessary to add in flood coverage to your policy. Hurricanes are some of the costliest natural disasters in the U.S. and can cause billions of dollars of damage. It’s critical to understand what your policy covers, as there are many claims that are disputed based on how wind and flood damage are defined by individual insurers.

Tornadoes don’t generally cause a large amount of flooding, but talk to your insurance agent to see if they recommend it for your location.

Insuring natural flood disasters

Because flooding can occur due to a handful of situations, flood coverage is not always handled the same way. Various sources of flooding can include:

• Rivers

• Excess rain

• Plumbing issues

• Storms 

Remember that most, if not all, homeowner policies exclude flood-related damage. Flood damage can be so costly and extensive that it’s a smart add-on. Don’t let flooding damage put your finances under and open your house to mold and other health risks. All types of natural disasters can cause costly damages, but flooding is especially nefarious.

Wildfire damage protection

Wildfires are becoming increasingly common in the U.S., making the need for wildfire coverage more critical than ever. Standard policies in high-risk areas typically cover the damage that happens to your home and belongings. Keep in mind that some insurers do not offer wildfire protection in high-risk areas. If you are in a high-risk area, make sure that you understand what if you’re covered, what is covered, and how much is covered.

Know how your home insurance protects you from natural disaster damage

Insurance can be complicated and it’s essential to understand what is protected under your policy and isn’t. When you live in a high-risk area—whether it’s for hurricanes or tornadoes or wildfires—you’ll want to be familiar with your coverage, additional add-ons to protect your home, and speak with your agent to know what will happen in the event of an emergency. Don’t let a natural disaster wreck you financially due to not understanding your policy’s coverage.

Questions about flood insurance or other natural disaster coverage? Contact Wallace & Turner at (937) 324-8492 in Springfield, (937) 652-8492 in Urbana, or info@wtins.com. 

Guest post authored by David Cruz

5 Questions to Ask When Choosing an Insurance Company

Selecting the right insurance company can feel overwhelming – there are so many options and you want to make sure you’re working with someone that will be there for you when the unthinkable happens. While price and coverage are essential considerations, what about customer service? When you have a question or a claim, you want to be able to speak with someone that knows your situation and you’re not “just an account number.” Have you considered financial strength? You also want to be certain your insurance company can pay and settle your claim fairly. 

The following are a few tips to help guide your decision and ensure you have a smooth experience protecting your family and assets.

Financial Strength

Financial ratings of insurance companies describe how financially stable they are, meaning their ability to meet ongoing insurance policy and contract obligations. There are five main ratings companies – A.M. Best, Fitch, Kroll Bond Rating Agency, Moody’s and Standard & Poor’s – and they consider a variety of criteria to determine financial health, including how well the business is doing financially, can it withstand increased claims and vulnerability to natural disasters. Every rating agency has its own methodology, so ratings may vary somewhat among insurers. 

This rating information is important to be aware of when you’re seeking insurance coverage because in the instance of a claim, you want to know the insurance company will be able to pay. Wallace & Turner has worked with top-rated insurance companies such as Westfield Insurance and The Cincinnati Insurance Companies for decades and has a proven track record of financial stability.

Reputation 

Hearing first-hand what customers’ experience with an insurance company has been can be one of the most helpful ways to determine credibility and responsiveness. People often focus on cost when purchasing a policy, but when it comes time to file a claim, they may regret not having considered feedback from current or past customers which provides insight into how the company operates.

An insurance company’s website can give you a good sense of their professionalism, but go beyond this in your research – look at Google reviews, Facebook reviews, LinkedIn testimonials and other online resources such as the Better Business Bureau. Also, your state insurance department can tell you if the company has had consumer complaints about its service.

However, keep in mind that people are often more likely to head online to rant about a one-time bad experience rather than spend time to post about a positive experience. 

Customer Service

Insurance can be complex so it’s critical to work with a company that will spend time from the outset explaining your options and tailoring a policy that best fits your needs.  

This is especially true if you ever have a claim and need timely assistance. Find out if the company has a designated customer care center or in-house claims department. Many companies offer 24-hour claims reporting and will even text with customers to ensure they are being helped in a timely manner. You don’t want to have an accident or loss and end up sitting on hold for hours or not receiving a call back for several days.

Digital Capabilities

Rather than going in to your insurance company’s physical office, many would prefer to pay their bill or file a claim digitally. Also, in rare circumstances like the COVID pandemic, you want to know that your insurer can quickly pivot to continue serving you remotely.  

Talk with the prospective insurance company about their options for paying bills online, managing your policy via an app, or even creating a digital home or business inventory. These are all benefits that can make your insurance experience seamless. Moreover, if you’re not as comfortable with technology, it’s equally important that your insurance company isn’t strictly online/digital and you have the opportunity to sit down face-to-face and ask questions or update your policy.

Expertise

Yes, cheap insurance is great for your wallet, but it doesn’t mean you have the right coverage for your needs – which becomes problematic come claims time. Unfortunately, many people look for a policy with a lower premium and they don’t realize this doesn’t cover them for a major accident. Rather than focusing on price alone, choose an insurance company that will take the time to help you understand coverage options and create a tailored policy.  

Look at the company’s website and social profiles to see what their professional designations are and if they are providing educational resources to clients. This demonstrates their credibility and willingness to share their expertise.  

To speak with a Wallace & Turner insurance agent in Springfield, Ohio or Urbana, Ohio, click here.

Homeowners Insurance vs. Renters Insurance — Which Coverage is Needed

Myles Trempe - Producer

Homeowners insurance and rental insurance have a similar responsibility of covering the physical structure and other structures on the property. A homeowner’s policy will provide coverage for personal property (contents) and personal liability for the household members. Typically, rental insurance will not provide personal property coverage as that would be the responsibility of the tenant. Additionally, liability coverage on a rental policy would only provide protection for that specific location. For example, if a tenant gets hurt and the landlord is found legally responsible, the liability coverage would protect the landlord against medical expenses and legal costs. An insurance agent can help explain what types of scenarios may and may not be covered by homeowners insurance while you're renting your home to tenants and why you may need to purchase rental insurance. 

Producer Myles Trempe addresses common questions about homeowners insurance and renters insurance below.

Which type of coverage is needed if you simply plan to rent out a spare room in your home?

If a homeowner rents out a portion of their home or even a spare room, they should contact their local insurance agent to better understand how their homeowner’s policy will respond. Some insurance companies may allow for a short-term rental situation assuming they have been made aware by the agent or insured. Most likely, the company is going to require the insured to move the risk to a commercial policy or rental dwelling policy as it would constitute as a business. Standard homeowners’ policies do not provide any coverage for business activities conducted in the home.

Do you ever need both homeowners insurance and landlord insurance?

Yes, this is a very common scenario if you own a home and additionally own rental dwellings. Your primary residence that is not rented should have a homeowner’s policy in place that will provide personal liability, personal property coverage and building coverage. If you have a portfolio of properties that are rented, those should be insured on a rental property policy or what is called a DP3 policy. A landlord should have a DP3 policy for all rentals as it will provide coverages specific to his investment, specifically “loss of rents” which will allow the landlord to recover loss rent while the house is being restored due to a covered peril of loss.

What is the typical cost for landlord insurance versus homeowners insurance? 

A standard homeowner’s policy is more comprehensive than a DP3 policy but in turn actually costs less than a DP3 rental policy. A homeowner’s policy as mentioned will not provide coverage for the person purchasing a home to rent to others. The transaction of you renting out the home is an increased risk exposure in the eyes of an underwriter with an insurance company. As we examine our book of business and compare homeowner and rental polices with similar rebuild costs, the premiums are anywhere between 20-30% higher for rentals. 

What factors can influence how much you pay in premiums for either type of insurance?

Many factors can impact the cost of homeowners and/or rental insurance. Underwriters examine prior losses, conditional factors of the risk, location, cost to rebuild, credit score and deductible limits, just to name a few. 

What are some coverage additions worth evaluating when it comes to landlord insurance?

A landlord will want to work with a local insurance agent to better understand which coverages will best protect them and their investments. Depending on the cost of each investment and the requirements, they may have their bank (if a loan is applicable) decide to insure the property for replacement cost, actual cash value, agreed value or functional replacement cost. A rental property should have liability coverage which will protect from the legal and medical costs associated with someone being injured on the rental property. An agent should also provide an umbrella quote if the limits of coverage may not be sufficient to cover potential liabilities. Rental properties should be covered for loss of rents which will provide protection for lost rent payments due to the property being uninhabitable due to a covered peril of loss. A local insurance agent will have a better understanding of the risk exposures due to the geographic location of the risk. An agent may recommend flood or earthquake coverage as those are excluded from a standard home or renal dwelling policy. 

To what extent an umbrella policy is needed or recommended when you have landlord insurance?

Umbrella insurance covers you and members of your household against lawsuits involving personal injury to others, damage to other people’s property and a variety of claims such as defamation, landlord liability and false imprisonment, depending on your policy. A local agent will help navigate your underlying liability limits to better recommend if an umbrella is necessary. Being a landlord or property owner comes with serious risk exposures. I always recommend an umbrella policy as the underlying limits of a policy may not be sufficient.

What are the steps involved in transitioning from homeowners insurance to landlord insurance?

This transition must occur if the home becomes rented permanently and is a source of income. If you purchase a property to be rented to others, you will need to notify your insurance agent to secure a rental policy. 

Is it worth it to get landlord insurance?

Absolutely. Whether you own a home or a rental property, it is essential to have liability coverage. As for insuring the building for physical loss, that is a decision the investor would need to make. If a property has a loan, the bank will require property insurance.

Which types of carriers offer the best renters insurance coverage?

A local, independent agent will help you navigate home and rental insurance. Their expertise of the marketplace will allow the property owner to make a sound decision for the best coverage options provided by the best carriers. The independent agent works very closely with their insurance companies to best understand their products and how those offerings best support their clients.  

Questions about homeowners insurance or renters insurance? Contact Wallace & Turner at (937) 324-8492 in Springfield, (937) 652-8492 in Urbana, or info@wtins.com.

Factors That Impact Your Home Insurance Rate – P.J. Miller Interviewed by Bankrate

P.J. Miller - Partner

Homeowners insurance premiums vary from state to state in the U.S., so what impacts the rates? Partner P.J. Miller spoke with Bankrate to examine the various factors that determine home insurance premiums.

Credit history

Like bank lenders, many insurers check homeowners’ credit in assessing the level of risk they are taking on.

“Most insurance carriers use credit as a portion of the rate-setting process in states where it is permitted,” said P.J. “While it is supposed to be a ‘portion’ of the rate calculation, most believe it plays a significant role in determining the price for homeowners insurance.”

Claims history

Insurance companies often base decisions on patterns of behavior. When a homeowner files a claim, the homeowners insurance company assumes that he or she is more likely to file additional claims in the future.

P.J. went on to explain how the type and number of claims you make could influence rates. “Even if claims were made in a previous home, this history will follow you,” he said.

Age of home

If you live in an older home or one that would likely need a lot of improvements if rebuilt, you will likely pay a higher home insurance premium.

P.J. explained that age and location are important factors in determining the cost to rebuild a home. “Insurers will assess the difficulty to replace or repair your home to determine rates,” Miller said. He added that home improvements such as roof replacement, upgrades to your electrical, heating or plumbing system and the installation of a security system “can all positively impact your rate as the likelihood of a loss declines.”

P.J. noted that your insurance agent should be notified of any upgrades to your home.

Deductible

A homeowners insurance deductible sets the amount that you will pay out of pocket. Agreeing to a higher deductible will decrease your premium, but it could also cost you more in the event of a claim.

“Many insurers also offer disappearing deductibles, which means they reduce your deductible if you don’t have any claims over a certain time period,” P.J. said.

The above are just a few of the factors that may be considered in your homeowners insurance. Click here to read the full article and learn more.  

Questions about homeowners insurance coverage? Contact Wallace & Turner at (937) 324-8492 in Springfield, (937) 652-8492 in Urbana, or info@wtins.com.

Working From Home? Check Your Insurance Policy

It’s often said that purchasing a home is the biggest investment that one will make in their lives. Many homeowners (smartly) choose to protect that investment with home insurance. And now that COVID-19 has swept the globe, you may be using your home as an office space, as well.

Did you know that working from home may affect your insurance policy? You may be:

• Working from home temporarily due to COVID-19

• Running a new business out of your house

• Self-employed

Depending on your situation, you may require a different policy. Here are a few variables that could impact your coverage:

You May Not Be Covered for Damages

Before the pandemic, you may not have had expensive computer equipment in your home. As such, your insurance policy might not offer coverage for these additional electronics. Most policies have a limit for the amount that they’ll cover, and the computer and related accessories that you purchased for work may exceed it.

In some circumstances, your employer may have provided you with a work computer to take home. Their commercial insurance policy should cover any damages to the equipment, so you might not need to worry if any damage occurs. However, it’s best to check with your employer to determine if this is the case.

What About Liability?

Before the pandemic, your house was your personal residence, and that was it. Now, it’s also a place of business.

Although many of us are reducing social contact to prevent the spread of the virus, you may need to receive visitors in your home for a business-related reason. Client meetings may require face-to-face interaction. But if any damages are incurred by the guest during their visit (like a slip on an icy doorstep or bite from a dog), you may be held liable to cover them.

When you registered for home insurance, you may never have anticipated that one day, you’d be working from home. It’s important to review what types of claims your policy actually covers.

No one wants to be held liable for a claim that they believed they had coverage for. Ask your insurance provider about liability insurance for these situations.

Have You Considered Home-Based Business Insurance?

Many people’s employment statuses have changed since the start of the pandemic. You may have decided to start your own business rather than work for a company. This is a bit different than working from home temporarily. For this arrangement, you’ll need a home business insurance policy that covers home-based business assets and expenses.

Think about some of the business equipment that you’ll store in your home, which varies depending on your industry. You may have items like:

• Power tools

• A computer, printer or other office supplies

• Inventory such as clothing and apparel

The costs of replacing these items will add up. If they were to be damaged in any way, not only would it cost you to replace them, but it would impede the daily operations of your company. A standard home insurance policy won’t cover expenses that are related to a business. You may need to extend your coverage to include business assets.

Business Interruption Insurance

This policy is relevant to those working out of their home. If your office is damaged in a fire or other natural disaster, you won’t be able to carry out business as usual. With business interruption insurance, you will be covered for replacing damaged equipment or losses in revenue.

When you’re just starting a business, a setback can be devastating. Talk with your independent insurance agent about business interruption insurance.

Pro Tip: Get a Handle on Rising Electricity Costs

If you’ve been working at home for a year, you may have noticed that your energy bill has steadily increased. Instead of spending 40 hours a week out of the house, you now spend that time using your home office.

We have a few energy saving tips for when you’re at home that will bring down electricity costs:

• Use a drying rack or clothesline instead of your dryer

• Set up power bars and turn off unused electronics

• Replace any incandescent bulbs with LEDs

When you lower your energy bills, you can use those savings to pay for more comprehensive homeowners insurance.

The bottom line is that every homeowners insurance policy is different. In all likelihood, you will need to expand your coverage to properly maintain your home office. When you’re working from home, be sure to inform your insurance agent and ask if any additional coverage is required.

Questions about home business insurance coverage? Contact Wallace & Turner at (937) 324-8492 in Springfield, (937) 652-8492 in Urbana, or info@wtins.com.

How to File a Home Insurance Claim – Ben Galbreath Interviewed by Insurance.com

Ben Galbreath - Producer

Many homeowners have questions about what's involved with the homeowners insurance claims process: How do home insurance claims work? How are homeowners insurance claims paid? And how long do homeowners insurance claims stay on your record? Producer Ben Galbreath addressed home insurance claim topics in an interview with Insurance.com.

Can you keep your home insurance claims money? 

Technically, if you are paid for a claim by your insurance company, you aren't required to spend the money on repairs, remediation or replacement if you own your home outright. But if you pay a mortgage, your lender may require you to use the money to fix or rebuild your home. 

Even if you own your home outright or your lender doesn't obligate you to use the claim payout for repairs, think twice before choosing to pocket the money.

"Say you choose to take the claims money, not repair the damage and instead buy a car, for example. If so, your insurance company has every right to amend your policy, exclude damaged property they've already paid out for or even cancel or non-renew the policy altogether. If you do elect to keep the funds and not make repairs, the replacement cost clause becomes null and void," cautioned Ben. "When you sign the application for a standard homeowners insurance policy, you are agreeing to transfer the risk of financial loss to repair or replace any damage to your home and put it back to its original status before the loss or better."

How long does a home insurance claim stay on your record?

Typically, an insurance claim related to a recorded loss remains on your record for three to seven years. If you file one or more claims within this period, your premiums may increase or you could be excluded from coverage. 

"Insurance companies tend to look at the frequency and severity of claims. If there is a high frequency - meaning high number of claims - they may increase your deductible, force you to purchase specific coverage elsewhere, change the way losses are evaluated from replacement cost to actual cash value, or cancel your policy entirely," Ben said.

Read the full article here.

Questions about boat or watercraft insurance coverage? Contact Wallace & Turner at (937) 324-8492 in Springfield, (937) 652-8492 in Urbana, or info@wtins.com.

How to Protect Your Home from Spring Flooding

It’s finally springtime, and you’ve just woken up to the sound of chirping songbirds. The sun streams through your window and you can breathe a sigh of relief that winter is over. You couldn’t be happier—until you walk downstairs and notice that your basement has become a swimming pool.

Spring floods can mean bad news for your home. They’re often the cause of mold growth, structural weaknesses and extensive water damage to your belongings. Even if you’ve got the proper home insurance coverage and flood insurance protection, it’s still a huge hassle to remedy.

If your home has flooded in the past, it’s more at risk for a flood in the future. You’ll need to take extra precautions. Make sure that your spring cleaning doesn’t involve a watery mess by protecting your home with these tips:

Inspect the Foundation

Water will find any cracks or gaps in your home and quickly pour inside. It will turn your brand new laminate floors into a soggy mess. For this step, you may want to contact a home inspector. They can survey your property and find any weaknesses in the structure of your house.

Cracks in your home’s foundation can be dangerous. Along with causing floods, they can allow insects and radon gas to seep into your home. If you spot a crack, you can patch it up using grout or concrete, depending on the size of it.

Upgrade Your Sump Pump

When your home floods, it often starts in the basement. That’s why these rooms have sump pumps, a mechanism designed to prevent water overflows.

A sump pump redirects water away from your home, which keeps your basement dry. Prevent water in your home by installing and maintaining a sump pump. It may be worth installing a back-up battery, as well, so that the sump pump will still function during a storm.

Check on the sump pump annually to ensure it’s in working order. If you’re handy, you can inspect it yourself. Even so, you may want to call a plumber to do the job, just to be safe.

A sewage backup is one of the worst issues that can happen to a homeowner. A backflow valve can provide your home with added protection against floods; it ensures that the water doesn’t flow into your home if there’s a backup.

Invest in Flood Insurance

When you’re choosing an insurance policy, talk to your independent insurance agent about what it offers for flood protection. Not all standard plans offer coverage for this type of incident. Flood protection plans can grant you peace of mind that you will be insured if there is a disaster.

Even though home insurance is another monthly expense, it will pay for itself in the event of a flood, fire or theft.

Clean your Gutters

We hardly think about our eavestroughs, but they play an important role in protecting our homes against water damage.

However, they’re not very effective at redirecting water if they’re clogged with leaves, twigs and other debris. Schedule an eavestroughs cleaning so that your gutters can handle the wetness that’s on its way.

You should also check where the downspouts are redirecting water. Make sure that it falls at least several feet away from your home.

Check your Window Wells

If you have windows in your basement, you know they aren’t as strong as a standard wall. To protect them from groundwater, window wells are usually installed. However, these wells can become built up with debris over time, diminishing their effectiveness.

Give any window wells on your home a thorough cleaning. If they’re blocked, water will collect near them and eventually seep into your home.

Inspect Your Roofing System and Plumbing

A small leak in your roof or pipes will result in a torrential downpour the next time it rains. Maintaining a healthy pipe and roof system is one of the most effective ways to prevent an indoor flood.

If you suspect that your roof is leaking, call a contractor who’s experienced with that type of roof. Similarly, contact a trusted local plumber to have a look at your home’s pipes. Detecting these issues early can save you a major headache (and repair bill) down the line.

We know what you’re thinking: the cost of preventative maintenance really adds up! It might be expensive to fix these issues with your home, but once you consider the cost of water damage, the upgrades pay for themselves.

April showers don’t need to come with a flooded basement. Make these preventive measures a part of routine maintenance for your home.

Questions about homeowners and flood insurance coverage? Contact Wallace & Turner at (937) 324-8492 in Springfield, (937) 652-8492 in Urbana, or info@wtins.com.