Monthly Archives: December 2012

What Should I Look for When Purchasing Umbrella Insurance in Lakewood, CO?

Your homeowner’s insurance and your auto insurance policies cover a variety of liability issues. However, these policies may not be able to protect you in the event of a lawsuit and a subsequent monetary judgment. If you own a small business or have significant wealth in various assets, you’ll want to protect yourself with a good umbrella policy. Having one can protect you and your assets from steep legal expenses.

Purchasing the best umbrella insurance policy can seem like a tough task, but if you know what you’re looking for in a policy, finding one that works best for your needs becomes much easier.

  • Requirements – Since it’s often utilized as a supplementary form of insurance, umbrella policies may have underlying requirements, which can include having a certain amount of coverage on your homeowner’s policy or your automobile insurance. In order to make these requirements, you may wind up paying more on these policies.
  • Coverage Amounts – Ideally, buyers should purchase at least $1 million of coverage. This will help cover most lawsuits, excess medical coverage to injured parties and extenuating damages from accidents.
  • Exclusionary language – Most policies are clear on what they don’t cover. For instance, many umbrella policies exclude high-risk activities, criminal behavior, recreational motor vehicles and damage to your own home and vehicles from their coverage. It is important to read the fine print before settling on an insurance policy.
  • Discounts – If you can find ways to reduce your overall cost, don’t hesitate to take advantage. Various ways of saving on insurance costs include consolidating existing policies with one carrier and comparing plans with different companies.

If you’re still having a hard time finding umbrella insurance in Lakewood, Colorado, you should turn to a local independent agent for expert advice.

The Costs to Rebuild my Home in its Current Location in the Event of a Total Loss in Colorado

A homeowner in Lockwood, Colorado is shopping for homeowner’s insurance, they will need to take a look into the possible future scenario and consider the worst happening in order to structure a homeowner’s policy that will cover every aspect of their home’s total loss.

Unfortunately your home has been destroyed and it was a total loss and the homeowner must rebuild. As a homeowner you will need to call your independent agent right away. If you have not received a call back within 3 days, call the insurance company directly regarding specific costs.

Generally when a home is destroyed, homeowners think that they are going to receive an amount equivalent to the replacement cost of their home for this total loss. This coverage will dictate the shortest time possible to repair or replace the home or decide on a permanent relocation of the home. There is generally a ceiling limit, which is 20 percent to about 50 percent of the house limits. For instance if your home is worth $300,000 the insurance will allow 20 percent of this amount to maybe 50 percent of living expenses. This could cover the homeowner for one to two years.

It is a wise idea for all homeowners in a risky location such as Colorado and a location such as Lakewood, Colorado, to buy an extended replacement policy to cover a total loss should it occur. This policy will replace over 100 percent of the policy limits up to about 125 percent. For example, a home is insured for $300,000 with a 125 percent replacement the additional amount due to the homeowner would be $375,000. The formula for calculations would be, "300,000 x 125%=375,000 which would be the maximum dollar amount allowed."

When the homeowner in Colorado and their independent agent with a Lakewood location are trying to structure a homeowner’s policy to fit the needs of the homeowner regarding a rebuild and the costs of a new or repaired home, the homeowner should ask their independent agent it they need to include an amendment to their policy for removal of debris, an upgrade to building codes and landscaping needs, plus an extension on their policy for replacement costs.

How Combining Home and Auto Insurance Policies Can Save You Money in Lakewood, CO

Living in Lakewood, Colorado does not mean you have to spend a lot of money on your car insurance. If you look at your current insurance policy you will find that there is a section that lists out all of the discounts being applied to the premium. There is the good driver discount, good student discount and even a garaging discount that saves you money. One discount that you should be looking for is the multi-policy discount.

The Multi-policy Discount

There are several key factors that this discount has that are designed to save you money on your car policy.

  1. By combining both the auto and the home policies you will save up to 10 percent to 20 percent off your car insurance policy. Some insurance providers also may take an amount off the home policy. You will have to check with your independent agent to find out where you are saving the most money.
  2. The home part of the discount can either be a condo policy, home policy or even a renter’s policy. A home is simply where you live. Your agent will be able to help you determine which home insurance product is right for you.
  3. If you have not bought a home product because you rent and you think your rate might be too expensive, you should get a quote. Sometimes the discount of the multi-policy discount is enough to pay for the cost of a renter’s insurance policy.
  4. An important key factor to this kind of discount is that both the home and the auto policy should be listed with the same company. An agent will need to have both the home and auto in order to give you this special discount.

Reasons why Your Auto Insurance Rates Change because you Move in Colorado

Navigating the world of insurance is confusing. There are so many different types of insurance to begin with, and then the different options… even those who have a basic knowledge of the industry find it hard to understand everything. Auto insurance is no exception. One of the questions that come up again and again is “Why do insurance rates change when you move?” Learn more about why this is and what you can do to counter it.

One of the main reasons your rates may change is because you are driving more. If you live in a rural area and have a much longer commute, you may find that your rates go up for this reason. Make sure your independent agent has the right information on file with how many miles you drive each year. If you have overestimated, reducing this is a quick way to save money on your car insurance.

Another reason why insurance may cost more or less is based on the lay of the land where you are located. Those who are located in the mountains will pay a higher premium than those in an area such as Lakewood, Colorado. There are more accidents in the mountains, especially in winter, so naturally the premiums run higher.

The most important thing to remember is that you are not simply stuck paying what you are told. Contact a local independent agent and talk to them about the options available to you. Quite often working with someone like this will save you money over being stuck paying what a faceless quote program on the internet tells you. Finding the right agent is important, do your research and find someone who you feel comfortable working with on your insurance needs.