Bulletins

These are actually two different types of coverages so there’s really no area where they should be compared.

Coverage

For one, mortgage insurance will protect the interests of the mortgage company. This is one way that the mortgage company can protect their “investment”, that is, the money they lent to you. Mortgage insurance is required if you want to buy a house through a mortgage. The insurance will pay in case the borrower is unable to pay off their loan.

New York homeowners insurance is also required by the mortgage company. But this kind of insurance will primarily cover any damage or loss caused by a covered event. When the house or its contents are damaged or lost, the insurance will pay to cover these losses. If your homeowners insurance also has liability coverage, it will also cover against lawsuits due to injuries suffered while a visitor is in your home.

Recipient

The mortgage company receives the proceeds of the mortgage insurance. Meanwhile, the homeowners insurance is paid to the homeowner.

Who Pays

For someone who has a mortgage, he is expected to pay the premiums of both the mortgage insurance and the homeowners insurance.

Duration of the Policy

The mortgage insurance is set to cover the period where the loan is in existence, or at the least, if the borrower is able to gain at least 20% equity. The mortgage insurance company will require that you maintain your homeowners insurance for the life of the loan. But homeowners insurance is usually renewable on a yearly basis.

Benefits of the Coverage

Although the borrower will not receive the proceeds of the mortgage insurance, he can still benefit from getting this coverage. Mortgage insurance allows you to buy the home for a low down payment. Even if you can provide only as little as 5% in down payment, you can already buy and occupy the house.

As for New York homeowners insurance, the benefit is that your house and its contents are protected in case something happens to these.

Earthquakes can happen in any part of the country. Many people move out of areas that are prone to earthquakes after experiencing one to escape the possibility of a repeat experience. No place is completely safe from earthquakes. They are a very real threat that everyone must consider and plan for. One of the most vital aspects of proper preparedness is having ample insurance coverage.

Earthquake damage isn’t covered in the majority of New York home insurance policies. This is also true for business policies. Both types of policies specify that damage from earth movement is not covered. While actual damage from a quake may not be covered, property insurance may provide coverage for fires and other incidents that occur as a result of it. Policyholders should scour their policies to understand the specific exclusions. If the policy seems difficult to read, it’s important to contact your independent insurance agent with any questions.

Many people think they won’t experience a major earthquake during their lifetime. This is especially true for those who live in areas where earthquakes happen every 100 years or less. Although many people may not experience a strong earthquake like the recent Virginia incident, there are over 5,000 incidents recorded each year by the USGS. Damage from earthquakes has been recorded in all 50 states in history. There have been reports of damage in 39 states alone since 1900. This proves that while some people may not live in areas that commonly experience earthquakes; they’re still not immune to the threat.

Earthquake insurance is available as a rider, which is added to a business or personal property policy.

Earthquake insurance costs vary by location, building type and the age of the building. It’s much more expensive to insure older buildings.

Every earthquake policy also has a deductible which means that homeowners must pay upfront for a portion of the damages before the insurer pays the remaining amount. The deductible may be up to 20% of the structure’s replacement value. The percentage depends on the insurer and the location of the structure. There are also options for renters. There are coverage policies that protect personal property. In addition to this, they usually cover living expenses if the building becomes uninhabitable after an earthquake. It’s important for renters to keep a list of belongings and their values. Major appliances, furniture, electronics and other expensive items must all be documented properly. A new way of creating a record of belongings is making a narrated video tour of the home and focusing on belongings.

It is best to contact your independent insurance agent at C.H. Edwards, Inc. to secure the earthquake coverage that is right for your individual needs.

The scenes of the Italian cruise ship Costa Concordia running aground
and capsizing off the Tuscan coast were hard to believe. Thankfully
there were not more fatalities and with a passenger load of 4,600 that
is a no small miracle. Many of the survivors were left without personal
belongings, identification, money, etc. Getting back home much less
recouping the cost of their vacation and travel will be difficult for
most unless they have a good travel insurance policy.

Here are some frequently asked questions about Travel Insurance:

What is trip cancellation insurance? Trip cancellation insurance is
financial reimbursement of a prepaid, non-refundable travel costs when
an unforeseen event, which is a covered reason under the policy, causes a
trip cancellation.

What is trip interruption insurance? Trip interruption insurance is
financial reimbursement for unused prepaid travel expenses and/or the
additional airfare to return home, when an unforeseen event, from which
the traveler is protected under the policy, causes trip to be cut short
and a return home ahead of schedule. When is protection from an act of
terrorism an included coverage? When a politically-motivated terrorist
attack occurs in a city listed on a travel itinerary. The event must
occur after the policy takes effect and within 30 days of departure.

Who is considered a family member under the policy? Any of the
following relatives of the insured or traveling companion is considered a
family member under the policy: a legal or common law spouse; a
domestic partner; a parent or legal guardian; step-parent, grandparent,
parents-in-law, grandchild, natural or adopted child, foster child or
ward, step-child, children-in-law, brother, sister, step-brother,
step-sister, brother-in-law, sister-in-law, aunt, uncle, niece, or
nephew.

Your Trip Cancellation coverage takes over when your taxi driver
heading to your departure airport displays his steering proficiency by
broad siding a police cruiser. A lengthy detour to police HQ forces you
to cancel the trip.

Check out some common travel scenarios that people can insure against. Here is one to pique your curiosity!

Postage rates increase effective 1/22/2012: 1st class stamp 45 cents and 20 cents for each additional ounce.

Now is the Time to Increase the Amount of Your Life Insurance Benefit

When tough economical times come, many households find ways to cut expenses. Salary cuts and job losses are among the many reasons why expenses need cut, but when the question to cut life insurance arises, you may want to think twice before you choose to cancel your life insurance policy.

Tough Times May Equate to a Greater Life Insurance Need

In tough financial times is it quite the opposite when it comes to considering canceling life insurance. Instead, when a financial crisis hits it is most likely the time to add to your life insurance benefit amount or purchase a policy if you do not already have one.

Your Dependents Need Financial Assistance Even More

Think about it. You lose your job and then you lose your group life policy… don’t you wish you would have found another one before the loss? In addition, the economy is in the dumps and you pass away so your dependents need even more financial assistance than you estimated because of the tougher times. There are many scenarios as to why you need your life insurance more than ever.

What to Do About Life Insurance in Tough Times:

Do not Cancel Your Life Insurance: This is the first mistake many make when trying to cut costs. Often with all the bills to pay it is easy to think that you do not need life insurance right now. Nevertheless, if you are having such a tough time now paying for your expenses, then think about how tough it will be for your survivors if you were not there? Life insurance may just be needed more than ever when finances are tight. One thing to consider if you just cannot make your payments is term life insurance. If you do not already have a term policy then consider switching to one since the premiums are much cheaper than a whole life insurance policy.

Add More With Term Life Insurance: Again, term life insurance is very inexpensive when compared to other life insurance choices. Moreover, in tough times many have possibly lost savings or possessions that they had planned on passing on to their survivors in addition to their current life insurance. This is why it is important in tough times to recalculate your life insurance needs and if you find that you indeed need to add to your life insurance benefit amount, the least costly way to do that would be to purchase an additional term life insurance policy.

Look for Individual Life Insurance: Great, you have a job and you have group insurance through your employer. Sounds like you are set! Wait a minute…what would you do if you lost your job? Yes, you will most likely lose your group life insurance coverage. So, if you are concerned that there may be cuts in the future of your company or you just do not want to worry about having a time when you are not covered, then now is the time to search for a term life insurance policy. It is portable and the younger and healthier you are when you get it then the cheaper the premiums will be.

If You Have Poor Health Now is the Time to Buy! If you currently have a job with a group life insurance policy and you are in poor health, then now is the time to up your life insurance benefit amount. If you do lose your job, then you usually can convert your policy to an individual policy without an additional medical exam. It may cost more to waive the medical exam but it is worth the alternative of trying to find an individual life insurance policy either with poor health, which would be impossible or very expensive.

Make Sure You Buy From A Strong Life Insurance Company: Before you add or purchase any life insurance, make sure you find out how financially strong the life insurance company is. If you are in tough financial times because of a tough economy, then most likely many life insurance companies are going through tough financial times too. Do your research… do not just assume since it is a big name it is a good life insurance company.

Homeowners insurance premiums often take a substantial bite out of a
family’s budget. You may, however, be paying too much for this coverage.
The following are some approaches you can use to reduce your homeowners
insurance costs.

•  Try to increase your deductible to the highest
  one you can afford, even if the premium savings do not appear to justify
  it. This will decrease your premium and increase the likelihood that
  your loss history will be excellent, since minor losses will be paid by
  you and not your insurance company. A loss-free record over time saves
  premium dollars. For example, if you currently have a $250 deductible on
  your homeowners policy, consider increasing it to $500 or $1,000.
• Consider purchasing a monitored burglar alarm. Alarms have proven
  successful in reducing burglary rates. In addition, most insurers
  provide premium discounts to consumers with these alarms, some as high
  as 20 percent.
• Maintain your home in optimum condition. If a repair
  is needed, perform it as soon as possible. For example, loose or
  missing roof shingles should be repaired or replaced immediately. A home
  in excellent condition is much less likely to experience a loss.
• Buy your home insurance and your auto insurance from the same company. Discounts normally apply when you do.

If
you still have questions or concerns please feel free to contact our
representatives at C.H. Edwards and we would be more than happy to help.

5 Basic Exclusions in Your Property Insurance Policy

Keeping your personal property safe is important. Property insurance coverage protects your property against many risks. However, have you thought about the exclusions in your property insurance policy?

Every property insurance policy has exclusions. It is important to realize that exclusions can be different depending on your particular property insurance coverage and what type of property is being covered under your property insurance policy. There are a few common exclusions that are usually contained in all property insurance policies; these property insurance exclusions are:

• Losses Not Caused by an Accident: Since it is certain your carpet will get worn out, insurance will not cover worn carpets along with other things that are considered certain to happen and not a risk. Insurance is designed to cover risks and not something, that is bound to happen over time such as wear and tear, rust, and mechanical breakdowns.
• Things that are Controllable: In order for an insurance company to make money, they need responsible people to maintain their property. This exclusion is designed to encourage policyholders to take care of their property. Scratching and breaking objects can be examples of things that are controllable by the insured.
• Extremely Hazardous Events: Some events are very hazardous that the insurance company would have to charge a much larger premium for the property insurance policy. These events, such as earthquakes, floods, and mudslides are usually not covered under a standard property insurance policy but can be added on if an insured would like the extra coverage.
• Major Disaster Losses: Huge losses such as a loss from a war or a nuclear disaster are usually not covered. These types of losses are not covered because catastrophic losses could cause an insurance company to go bankrupt and are generally rare.
• Coverage Exists Elsewhere: If the property already has its own insurance policy then it would be excluded. An example would be a car. Cars are not covered under a homeowners policy since they are required to have their own car insurance policy.

Identity theft occurs when someone uses your personally identifying information, like your name, Social Security number, or credit card number, without your permission, to commit fraud or other crimes.

The FTC estimates that as many as 9 million Americans have their identities stolen each year. In fact, you or someone you know may have experienced some form of identity theft. The crime takes many forms. Identity thieves may rent an apartment, obtain a credit card, or establish a telephone account in your name. You may not find out about the theft until you review your credit report or a credit card statement and notice charges you didn’t make—or until you’re contacted by a debt collector.

Identity theft is serious. While some identity theft victims can resolve their problems quickly, others spend hundreds of dollars and many days repairing damage to their good name and credit record. Some consumers victimized by identity theft may lose out on job opportunities, or be denied loans for education, housing or cars because of negative information on their credit reports. In rare cases, they may even be arrested for crimes they did not commit.

Contact a representative at C.H. Edwards to help you understand why Identity Theft Insurance is an important addition to your current insurance. Please click on our video below.

 Click here to watch our “Identity Theft” Video

Positive Thought for this Week
“It is very important to generate a good attitude,
a good heart, as much as possible.
From this, happiness in both the short term and
the long term for both yourself and others will come.”
Dalai Lama
b. 1935
Spiritual Leader Of Tibet

New Years Eve is a huge night for everyone, which means crowds will be swarming toward all the metropolitan hubs around the world. People feed off each others’ excitement, and sometimes things can get out of hand if safety precautions are not taken. Everyone wants to have an unforgettable night (in a good way!). By simply using some common sense, we can keep it that way. Ring in the New Year safely!

• Designate a Driver: If you are going to be driving New Years Eve, don’t drink and drive. If you have a friend who does not prefer to drink, make sure they take the wheel. You might even be on the water this New Years Eve. The person in charge of navigating the boat needs to be cautious, and this still applies to them! It is important to be safe on the water as well, so drink sensibly.
• Don’t forget about your pets! They are just as much a part of the family as everyone else. If you are using fireworks, anything with loud noises, or fire, be sure that pets are kept at a distance as well as children. None of these are a good mix. Candles are also a potential hazard.
• Be Alert: Be aware of your surroundings and how others are acting. Stay away from those who are out of control and might cause harm. Taking preventive measures is key. If someone is really intoxicated, prevent them from trying to drive or leaving with someone they do not know. It’s important to keep an eye out for each other.
• Don’t Drive: If you don’t have to go behind the wheel, avoid it. More people will be driving under the influence on this particular night, so avoid a potentially dangerous accident by staying off the road. Otherwise, be alert and drive defensively. Most importantly, wear your seatbelt! Also, using public transportation is a wise option. If taking a cab is too expensive, crashing at a friend’s place nearby is a convenient solution.
• Stick Together: This way we can look out for our friends and family. Going out to parties and nightclubs means a fast-paced, crazy night; so be sure to travel in groups. Having a safety net around you in this environment, especially for women, is imperative.
• Monitor your Alcohol Intake: A majority of people will be drinking on New Years Eve, and there is nothing wrong with that. Just be sure to pay attention to how much you and others are consuming. Drinking too much alcohol can have lethal affects. Be responsible.

Follow up your New Years Eve by making some New Years Resolutions and starting fresh!

Have a safe and happy New Year from the Management and Staff of C.H. Edwards, Inc.