Homeowner’s insurance

If you successfully applied for a home loan, your bank will have required that you take out a homeowner’s insurance policy. The questions that you need to ask yourself are did I get sufficient cover and did I shop around for the best deals?

When analyzing your coverage needs, your assessment needs to be based not only on what is required by your bank, but also on the actual value of the property. Banks often pressurize you to take whatever insurance policy they put in front of you. Except for a few conniving banks, taking the bank’s own cover is not mandatory. This means that you have the option of shopping around for better insurance.

Car insurance

If you just bought a house, your marital status may have changed. If this is the case, then congratulations! You may be eligible for a lower premium as marital status affects your risk profile. Married couples are considered a lower insurance risk by insurance companies. You may also want to cover both your and your spouse’s cars under one policy. This should work out much cheaper than having two separate vehicle insurance policies. You may even want to go one step further and combine your vehicle and homeowner’s policy to get even cheaper premiums. Lastly, it is essential that you update your car insurance policy as your change of address will also affect your policy. This is essential because should you need to claim due to theft from your new home and you have not updated your policy, your claim might be turned down.

Disability and life insurance

If you were to become disabled or unable to work due to an accident or disease, your mortgage will still need to be paid. Disability cover will pay you a monthly benefit if this happens which could very well save you from financial ruin until you are able to work again. Similarly, life insurance will help pay off your debts and perhaps even the mortgage on your home should you pass away. If you are the breadwinner in your family, this type of cover is essential.

Purchasing a new home can be a very exciting experience, but it is important that you remember to review all your insurance policies to make sure that you and your loved ones are adequately covered. If you are unsure of where to start contact your insurance broker and without a doubt, shop around for the best insurance deals!

Inventories are one of the most important and troublesome aspects when claiming from your home contents insurance policy. You should try and retain all receipts for items of value in your home. Claims often need to be accompanied by proof of purchase like sales receipts, especially for valuable items. This is not always possible though. For instance, jewelry is often given as a gift and as such, you would not be in possession of the receipt. In cases like these, a sworn affidavit or photographic evidence of the existence and value of the item or items in question would suffice.

Above all, it is of the utmost importance that you remain honest and concise about what happened. Do not try and anticipate what the claims assessor might think. Remember that insurance companies will check the statement you make on your claim form against police statements and records as well as ambulance records and phone logs. These are all very real evidence that may be investigated when you submit a claim.

Ensure that you only claim for what was stolen, lost or damaged at the correct replacement value. Due to people often claiming that items they never owned in the first place were stolen during a robbery or from their vehicles, insurers investigate claims thoroughly and often catch people for submitting fraudulent claims. Insurance companies are taking a very tough stance on these matters and being caught comes with heavy penalties and even time in jail. Furthermore it will be in your own best interest to never inflate the value of a particular item.

Finally, if you were honest and truthful in your claim and your insurance company chooses not to pay out on your claim, there are avenues open to you. Most often these refusals to pay out may be because of a minor discrepancy in the claim or some other error. Normally, these matters can be resolved in amicable terms with the insurance company in question, but if that is not the case, there are legal avenues available to you as well. Contacting the insurance ombudsman is the best recourse as they will deal with the insurance company on your behalf. If the ombudsman decides that the insurance company is in the wrong, they will force them to accept your claim.

Although your current insurance company will most likely cover your boat, you may need to get specialized cover if you have an unusual boat. These will include boats that travel far from shore, have excessive power that allows them to travel at above normal speeds, boats used for business purposes or house boats that are used as main residences. Jet-skis and other personal watercraft will likely also need specialized insurance cover.

The type of cover available for your boat will often differ from company to company, but they generally cover the same incidents as normal vehicle insurance. These include bodily injury, property damage and physical damage to the boat. Optional coverage would include medical expense cover, uninsured or underinsured boater cover, fishing equipment cover, roadside assistance for when you are towing your boat, personal property damage for personal items you may lose while boating and cleanup costs in the event of a fuel spill or accident. Cover for a boat is usually different to that of yachts and ships that travel long distances as these vessels typically require some form of marine insurance and not general short-term insurance.

More detailed explanations of these additional cover options can be requested from and explained in more depth by your insurance broker. Insuring your boat with the insurance company that covers your other short term insurance needs could reduce your monthly insurance premium. Like with car insurance, additional safety measures and devices such as fire suppression systems and lower horsepower diesel engines could also play a factor in reducing your premiums. If you have a seafaring boat, be sure to check that your boat insurance policy covers all risks. Verify that a specialized marine insurance policy is not required.

Even though you may not be required to insure your boat, it is definitely something to consider as it may save you a significant amount of money in the event of an accident. Shopping around will give you a range of options to assist you in choosing the best insurance policy to suit your needs and your budget. Boat insurance policies typically fall under general short term insurance so getting quotes from insurance companies can be easy. Some insurance comparison sites also provide comparative quotes for boat insurance.

In addition, the particular bits of anatomy insured by these celebrities also remind their fans why these celebrities are so famous. When the news breaks that a star has insured a body part this provides ample amounts of press coverage and this can be an essential tool to keep them in the spotlight. Also, when a respected insurance company evaluates your rear end at millions of dollars, then negotiating your next film contract or record deal becomes a lot easier.

This kind of insurance will probably not make sense nor will it be required by ordinary people like you and me. We can, however, still insure ourselves against bodily harm in the event of an accident or some such event that would handicap us in a way that prevents us from working, thus destroying our ability to earn a living. Companies are obliged by law in many countries to offer workman’s compensation to cover disabling accidents or injuries in the workplace. In addition, you can take out insurance policies of your own from life insurance companies, who will insure you against dismemberment, disablement and other bodily accidents that leave you unable to work. Although these life insurance policies tend to be affordable, many people do not think to insure themselves with one.

In addition to normal disability policies, you can still insure specific body parts against damage. This will however, prove to be a costly exercise. Taking out a policy against loss of limbs, loss of ability to work, loss of ability such as speech and sight, will be the best way to go. These policies will also cover pain and suffering claims.

Finally, when you need to make a claim, you will not have to pay a deductible. The amount you will receive in the event of a claim differs from life policy to life policy. State funded compensation, such as workman’s compensation, will tend to pay out a much lower figure than a private insurance policy. With that in mind it is advisable to shop around as with any other insurance policy and try to find a policy that is both affordable and has an adequate payout. The stability of life insurance companies should also be kept in mind when purchasing a policy. Diligently paying your premiums for numerous years only to have your insurer go bankrupt is not a pleasant experience. Do your research and invest in your future!

Working on the assumption that you already have taken out insurance on your vehicle, there are a number of things to be considered in the event of your vehicle being stolen. Since you already have insurance, you need to gather all the information you will need to file a police report. This will include information like VIN numbers and chassis numbers. You will also have to notify your insurance company for the claims process to begin. Insurance companies will require a case number for the police report, so that will be where you begin. It is essential to be as truthful as possible about the circumstances around the theft as errors in your statement my result in your insurance claim being turned down.

A common trap that most people fall into when buying insurance is simply opting for the cheapest option quoted. That could potentially leave you with very big problems in the event of your car being stolen. Rental coverage, which provides for a rental until your claim is resolved, is often an extra that many people neglect. The added cost is usually minimal and amounts to less than a day’s vehicle rental per year. Add to this the fact that most insurance companies have a waiting period of weeks before processing a claim in the hope that the vehicle is recovered. If your car gets stolen, that could really hurt your budget if you need to rent something until the claim is resolved.

It is also recommended that you go through your insurance policy at least once a year to ensure that you are adequately covered. When going through your policy, also ensure that you have adequate savings to pay for your excess in the event of a claim. The excess is often very high, especially in the event of theft or car-jacking so having a savings account with sufficient funds to cover these expenses is a really good idea.

Getting married

Getting married can be one of the greatest experiences of your life. Did you know that this auspicious occasion could also lower your monthly insurance rate? Insurance companies view married people as more stable both financially and socially. The merging of assets also allows people to add all of their belongings and vehicles to a single policy thus reducing costs. Depending on your circumstances, you may choose to move your assets to your spouse’s policy, but it is important to get quotes from both of your insurers to ensure you are selecting the company with the best possible rates. After getting married, it may also be a good time to re-evaluate both of your current insurance companies. You may find that after doing a bit of comparative shopping, another insurance company may be offering much better benefits and premiums to married couples.

Divorced or widowed

Getting divorced or losing your spouse is a difficult time. There are so many things you need to consider like funeral arrangements or law proceedings and often insurance is forgotten or left to the very last. This is an unfortunate mistake, but sadly a very common one. Since you may be the only full time driver again, your rate could go up significantly, possibly higher than you can afford. If you are getting divorced, you will likely be moving to a new home. This move will affect both your home and car insurance premiums. This is the time to log on to the Internet and shop around for insurance quotes. You will need to find the best quote for your situation and possibly even consider lowering your cover. This is likely not something you would be keen on doing, but it could save you quite a lot of money every year.

Retirement

Ah, the golden years! You have worked all your life and it is now your turn to really enjoy the fruits of your labor. It is time to travel, see the world and enjoy your life’s work with your loved ones. Since you no longer travel to and from work anymore, your annual mileage will drop and you can save significantly on your insurance. Consider switching to a “pay per mile” plan and shop around for the best rates. Getting rid of multiple cars could also be a good idea since you probably won’t need more than one anymore, thus saving even more.

These are the major life events that will affect your insurance needs and premiums, but there are many others that also change your risk profile. The best way to avoid overpaying on your insurance is to regularly reassess your insurance policies and shop around every year to check whether there are better deals available.

Finding an insurance company to insure your pets is often as simple as logging onto the internet, using a search engine and comparing company reviews. Unless you have a truly unusual pet, you should not have a problem getting their health insured. Most domestic animals from lizards and snakes to guinea pigs and rabbits to cats and dogs can be covered for anything from routine veterinary visits to lab tests to major surgeries. Some insurance companies even offer breed specific cover for specialized or rare breeds of dogs and cats. Even exotic birds can be covered.

It is a good idea to cover your pet as soon as you possibly can. Most companies will insure pets from the age of six weeks. Insuring them from a young age before pre-existing or genetic ailments develop could save you a lot of money. Insurance companies will also renew your policy even if your pet has fallen ill or was involved in an accident. Most insurers will not cover pets that are older than ten due to the increased risk.

Basic policies will cover illness, accidents, surgery and any lab tests, medications and treatment of cancer. Some companies offer routine care cover as an optional extra which might not be a bad idea. Pet insurance is much cheaper than human health insurance so the additional cover will often be affordable. Make a note of your insurance company’s cover of breed-specific problems as some companies are quite specific on that point. If possible do not buy animals that are known to have genetic weaknesses

Pet insurance usually works as a reimbursement plan. Since veterinary care is much cheaper than human health care, you can usually find the cash to pay upfront and then claim from your insurance company afterwards. In extreme cases, you can sometimes make arrangements with your veterinarian to accept partial payment until your insurance has paid out. It is important to note on your insurance schedule whether there are payment limits per claim as this could prove to be a difficulty in the event of a major surgery or other expensive treatment.

Remember to shop around and view potential company’s reviews on independent reviewer websites. Make use of price comparison websites to find good deals. Also check with your current health insurance company to see if they do not have an add-on pet insurance option. Ensure that the prospective company has a sound financial history so they do not leave you stranded in the event of a claim.

Most people are either underinsured or over insured. There can be many different reasons for this, but at the end of the day the onus is on us to make sure we have adequate cover. So how do we ensure that we have adequate cover without being over insured? The first thing any person needs to do when taking out household content insurance is to make sure that when creating an inventory, you value all your movable possessions at replacement value. If you do not have the time or expertise to do this little chore, you can hire a valuator to do it for you. They are relatively inexpensive and are experienced in these matters, so you can rest assured that you are covered for the correct amount.

In addition to making sure that you have adequate household cover, you should reassess the value of your household contents at least once a year. Inflation changes the replacement value rather rapidly and in the event of a break-in, you obviously want to make sure that your claim will cover you sufficiently to pay for the replacement value of everything that was stolen.

One thing that will often lead to you being underinsured is items that should be specified in an insurance policy. Collectibles, antiques, art and jewellery are prime examples. If you own works of art, let’s say paintings for this example, you may be very knowledgeable about their value. After all, you paid for them in the first place! Keep in mind that many items such as works of art or other collectibles can increase significantly in value over time. For this reason, it is of the utmost importance to have these item valued at reasonably regular intervals.

If you are underinsured, the result in the event of a claim would be that the 'average clause' in your policy will be invoked. These are standard in any insurance policy. Say for instance you insure your household contents for $30 000 and you get burgled. When the assessor comes to your house after you put in the claim, he determines that the value of your household contents are in fact $60 000. If the burglars only took off with half your property, the insurance company will only pay out $15 000 and not $30 000. That is because you only insured half your household contents and as such are only covered for the 50%. That would be a major disaster to anyone and it is easily avoidable by simply making sure your coverage is adequate.

If you are unsure about how to go about taking out a home contents insurance policy, then consult an independent insurance broker for assistance. If you believe you are capable of assessing your own needs, then try to use a direct insurer or find a cheap policy via an insurance comparison site. This will usually work out faster and cheaper than an insurance broker. If you own works of art that are very expensive it would be wise to find specialised art insurance instead.