Hidden Dangers of Cheap Auto Insurance

Everyone wants to keep their bills down! Sometimes, changing insurance companies or coverages is a good way to make that happen. But there can also be pitfalls! Here is a great article from Yahoo! about the dangers of cheap auto insurance:

Hidden Dangers of Cheap Auto Insurance


When it comes to car insurance, cheap isn't always better. Find out why...

By Chris Kyle

Are you looking to cut costs on your car insurance? Here's some advice: Proceed with caution. Cheap auto insurance could actually end up costing you more down the road.

"Nobody should shop for auto insurance by price alone," says Jeanne Salvatore, senior vice president of public affairs for the Insurance Information Institute (III), an organization dedicated to improving public understanding of the insurance industry.

"You want to get a great price that comes with great service," Salvatore says. "It's a balancing act."

To help you make an informed decision, we've outlined five potential pitfalls of cheap auto insurance. Keep reading to learn why the lowest insurance rates can end up costing you big-time in the long run...

# 1 - You're probably not getting the coverage you need

Okay, so after some digging, you found a cheap quote on a car insurance policy. But do you know what's covered in the policy - and more importantly, what's not?

In most states you need some liability insurance, which covers the damage you cause to others or to property in the event of an accident, to legally drive. So, make sure you know your state's minimum coverage requirement.
However, collision and comprehensive coverage - which covers your car in the event of an accident, theft, vandalism, fire, and weather-related disasters like floods - is not required by law in the United States, according to the National Association of Insurance Commissioners' (NAIC) website, which helps regulate insurance requirements.

Do you want protection from these types of accidents? If so, you can expect your rate to rise accordingly.

# 2 - Your low-priced deductible payment could lead to higher costs

One popular way to save on car insurance is to opt for a higher deductible, the amount you pay out-of-pocket before your insurance kicks in, according to "How Can I Save Money on Auto Insurance?" an article on the III's website.

This could help reduce your premium because you are agreeing to pay a set amount (perhaps the first $1,000) on any future claims.
The danger is that if you are unlucky enough to have several accidents, this strategy can quickly become an expensive one.

You should take a look at your finances and make a realistic assessment of what you can afford.

A $1,000 deductible may not make sense if you don't have that kind of money handy in case you need repairs. On the other hand, a higher deductible could make sense for low-risk drivers who rarely get behind the wheel.

The important thing here is to be honest about what kind of protection you need and can afford.

# 3 - Bad customer service is bad news, even if your policy is cheap

You know the old adage about how the customer is always right? We all know that's not true. However, it is reasonable to expect prompt and courteous responses to your questions and concerns.

"You want to find a company with a really good reputation for customer service," Salvatore says.

Salvatore urges consumers to ask friends and family members for recommendations, just like you would do if you wanted a doctor or dentist referral. Ask if they have filed a claim with their company and how it went.

You can also check with your local state insurance department to find out the number of consumer complaints received about a particular company in relation to the number of policies sold, according to the III website.

# 4 - Friends may not be covered on a cheap policy

Hey, you're a nice guy or gal. Sometimes you let a friend borrow your car. But is he or she covered?

"Perhaps," writes the Ohio Department of Insurance in a consumer guide on the Ohio state's website. "Some liability policies cover a licensed driver who drives with your permission, while other policies state specifically that no other person is covered when driving your car."

And in a related hypothetical situation, what if you borrow a friend's car?

Whether you live in Ohio - or elsewhere - you owe it to yourself to find out the answers to these questions now. Don't wait until after you or a friend get into an accident to find out that your cheap policy has some holes in it.

# 5 - You need to watch out for cheap insurance scams

If a cheap car insurance quote sounds too good to be true, it probably is. In fact, it may even be fake. Potential red flags can include dirt cheap rates as well as companies and agents who are difficult to reach.

In 2011, some Detroit-area drivers were scammed into buying low-cost, bogus auto insurance through a company called Ethos, according to Michigan's Department of Licensing and Regulatory Affairs website.

Fortunately, insurance companies and their agents must be licensed in the state that you live, so verification is usually only a quick phone call away to your local insurance department.

And while auto insurance scams can be uncommon, it's better to be safe than sorry.

Questions about your policy? Want to get a quote, or talk to an agent about the exact coverage that you need? Contact Tague Insurance at (760) 729-1143!

Personal Emergency Preparedness Plan

The fires in Colorado have a lot of us thinking about our own personal emergency plan. Check out the article below for tips and details!
Do you pay attention to the headlines after natural disasters or large accidents occur? More specifically, are you aware of what is typically reported in the aftermath? Typically there are reports of persons stumbling around, seeking aid and at a lost for what to do.

Often there is little an individual can do to control a situation. But it is always better to make what plans one may. That is the simple philosophy behind the personal emergency preparedness plan (PEP) aka Family Disaster Plan

PEPs give individuals and families a plan of action when a natural disaster (such as flooding, earthquake, serious windstorms, tornadoes, etc.) is eminent or should a severe accident (home fire, structural collapse, utility line or pipe breakage, etc.) occur.

Generally a PEP should have the following objectives:

• Identify safe areas during an emergency – what are safe areas of the home during storm or earthquake? – What safety rules should be followed in event of a fire or flood?

• Escaping from area that is endangering family members – identify escape routes from every room (at least two)

• Establishing means for all family members to re-unite – Determine a safe meeting place immediately outside the home, or a neighborhood location – make sure to have access to working radio to access emergency information

• Ascertaining everyone’s safety – Check everyone for possible injury – apply first aid or contact emergency personnel as appropriate. Check residence for any dangers created by the emergency event, such as leaking utility lines, structural dangers, fire, etc

• Establish means to contact other family members and loved ones – have access to working phones, post emergency nos., training children on how and when to make emergency calls – make contact list of family members and emergency contacts (work and/or school numbers and e-mails)

Families should also consider issues that support a PEP, such as maintaining proper insurance, having an adequate first aid kit available and acquiring first aid training. Being aware of an area’s emergency plans and procedures as well as information on nearest emergency facilities are also helpful.

The above suggestions are merely a guide to considerations of an actual plan. Please seek out competent sources (such as city, state, hospital and similar websites) for information on creating a detailed PEP for you and your loved ones.

If you'd like to discuss your emergency plan with your insurance agent, call Tague Insurance at (760) 729-1143!

COPYRIGHT: Insurance Publishing Plus, Inc. 2010

Steps Parents Can Take to Help Their Teens Be Safe!

The first years teenagers spend as drivers are very risky. In fact, teen drivers have the highest death rates of any age group, according to the U.S. Department of Transportation.

While getting a drivers license is an exciting rite-of-passage for teens, it can be enough to make a parent frantic. Here are some steps parents can take help their teens be safe:

Pick a safe car.

You and your teenager should choose a car that is easy to drive and would offer protection in the event of a crash. Avoid small cars and those with high performance images that might encourage speed and recklessness. Trucks and sport utility vehicles (SUVs) should also be avoided, since they are more prone to rollovers.

Understand your state's teenage driving laws.

Many states have specific restrictions on teenage driving, often referred to as Graduated Drivers License laws. You should understand your state's restrictions and the quality of those restrictions before your teenage begins driving:
http://www.ghsa.org/html/stateinfo/laws/license_laws.html
http://www.iihs.org/laws/graduatedlicenseintro.aspx

Have your teen take a certified driver's education course.

A teenager who has learned to drive through a recognized driver's education course may be viewed more favorably by insurers. In some states, teens must take a driver's education course if they want to get a license at age 16; otherwise, they have to wait until they are 18. The more driving practice they have, the more confident your teen will be behind the wheel, and the better able to react to challenging situations on the road.

Enroll your teen in additional safe driver programs.

There are many additional "safe driver" programs that can provide additional assistance for teenage drivers. Check in your community, with your child's school or with your insurance company to find such programs—if your teenager completes the program, you may be eligible for additional insurance discounts. In addition, some insurers now offer discounts for parents and teens who install tracking devices in the car. Parents can monitor and provide coaching on their children's driving with a small global positioning system (GPS) device fastened to the dashboard. The GPS is connected to a Web site that lets parents set limits on their children's driving. For example, if the car goes over a certain speed, or ventures too far from home or school, the parents will automatically receive a message.

Talk to your teen about the dangers of combining driving with alcohol, drugs, lack of sleep and distractions.

Teach your children about the dangers of drinking and driving, and other distractions. Accidents occur each year because a teen driver was driving while drinking, using a cellphone, text messaging, playing with the radio or CD controls, or talking to friends in the backseat. Also, teens should be careful not to create distractions and to exhibit safe behavior when they are passengers in their friends' cars.

Be a good role model.

New drivers learn by example, so if you drive recklessly, your teenage driver may imitate you. Always wear your seatbelt and never drink and drive.

Have more questions about keeping your teen safe while driving? Or, if you'd like a quote on various vehicles for your new driver, call Tague Insurance at (760) 729-1143 for help!

Taken from the Travelers Insurance website: www.Travelers.com

Snowmobile Safety

Ok, so we live in an area where the sun shines and beach go-ers are everywhere, even in the winter time. But the nice place about our area is that the snow is just a short car trip away! If you're planning on taking a trip to the snow, enjoy a snowmobile tour!! Here's a quick article about snowmobile safety:

Bounding over trails through woods, over fields and across frozen ponds or lakes with cold blasts of air whipping around are all part of the fun that thousands and thousands of people enjoy during winter in their snowmobiles. Snowmobiling’s fun should not mask the fact that it still involves the use of fast, heavy vehicles that, in collisions, can cause severe injuries and damage to property. Some models of snowmobiles and all-terrain vehicles operate at speeds that rival automobiles. Unlike autos, they are open vehicles, lacking the structural protection of even the smallest auto; therefore the danger to snowmobile users is far higher.

The danger of being injured while operating snowmobiles is compounded by some important factors. Snowmobiles are operated over rough terrain with obstacles that are often hidden by snow. They are operated in areas where the drivers are not familiar with paths or trails. Novices and older operators with poorer reflexes are attracted to recreational snowmobiling and these vehicles are often used very late at night, in remote areas. Another consideration regarding use of snowmobiles is that operators also combine driving with drinking and alcohol intensifies the other dangers.

Naturally there are practices that can help lower the chances of being in a serious accident. Snowmobile operators should:

Avoid solo snowmobiling - having another person around in case of an accident is probably the greatest safety practice.

Properly maintain the snowmobile to insure safer operation

Dress in appropriate safety gear and clothing, including water-repellant apparel

Operate snowmobile at speeds that are appropriate for conditions and terrain

Do not drink alcohol while operating a snowmobile

Use marked trails and don’t stray off of them

Carry a first aid kit, as well as other emergency equipment, especially tools, flashlights, compass, matches, etc.

Avoid crossing bodies of water as breaking through ice is a major peril (drowning is a chief source of snowmobile accident fatalities).

If you've got your own snowmobile, make sure it's insured! We can provide you with the best snowmobile policy available. And our companies don't require that you have a homeowners or renters policy. Contact your agent at Tague Insurance to get a quote!

COPYRIGHT: Insurance Publishing Plus, Inc. 2010

Be a Common Sense Host!!

Holidays and special events often include celebrations that bring together families and friends in private homes across the country. Food, fun, talk and spirits flow generously and, unfortunately, so do injuries and accidents. It’s not news to hear that increased drinking leads to increases in personal tragedies, but it’s important to get reminders that individuals must be responsible for their actions.

Hosts are very important with regard to any consequences of partying. Hosts are given the credit for the enjoyment that their guests experience at a party. On the dark side, party-givers are also asked to bear partial or full responsibility for guests who cause damage or injury on the way home from a gathering. In other words, they may be sued for contributing to losses caused by alcohol-impaired guests.

Although hosts are often found legally culpable for accidents; the brunt of responsibility has to be faced by the individuals who directly cause a loss. There would have to be strong evidence to support a host being held financially responsible, since any involvement is indirect. For example, Jane provides drinks to Barrie, who then plows into the side of Chris’ car and garage.

While a homeowners policy may offer coverage if a host has substantially contributed to a loss, an insurer may be able to deny a claim for a number of reasons, including:

A gathering involves the host making an income

The involvement of paid bartenders

The party is thrown as a fundraising event

A host’s knowledge that the guest was impaired and continued to serve liquor

The host failed to make arrangements for impaired guests (designated drivers, taxis, lodging, etc.)

Local or state law(s) related to providing alcohol

Hosts who take their responsibility seriously are those who make sure that parties are thrown responsibly, are done as a social (rather than business) event, and that the chances of sending drunken guests on the road are minimized. A good host will make sure that food is available, that a liquor supply under his or her control is cut-off and that impaired friends or relatives are prevented from endangering themselves or others. No celebration should end up with a lawsuit.

Questions about coverage for your special event? Contact your agent at Tague Insurance at 760-729-1143!

COPYRIGHT: Insurance Publishing Plus, Inc. 2001, 2010

Breaking Down Equipment Breakdown Protection

Equipment Breakdown Protection

This is a MUST READ for Tague Insurance Commercial Clients!! Call your agent to make sure you have this coverage on your policy!

Many businesses use commercial property forms to insure their tangible assets. However, they also need Equipment Breakdown Protection Coverage due to some limitations found in those same forms. An Equipment Breakdown Coverage policy handles a substantial loss exposure to items such as unfired vessels - Air, steam or water tanks, refrigeration systems, rollers, steam pressers, ironing equipment, steam cookers, generators, chemical processing tanks, motors, switches and controls, compressors, pumps, gears, etc. because commercial property policies typically exclude losses involving machinery or equipment breakdowns. The breakdown form provides the following coverages:

1. Property Damage - This coverage pays for direct damage to covered property (certain types of office machinery and equipment) that has to be listed (described) in the policy.

2. Expediting Expenses - This coverage applies to extra costs insured experiences in order to make temporary repairs and to speed-up (expedites) the permanent repair or replacement of damaged property.

3. Business Income and Extra Expense – Extra Expense Only - These coverages may, optionally, be purchased together; or to buy extra expense coverage alone. For example, a covered business loses most of its records due to a breakdown of its main server. Most of the costs associated with restoring the information would be covered by the equipment breakdown policy.

4. Spoilage Damage - Spoilage damage to raw materials, property in process or finished products is covered when that property is either in storage or in the course of being manufactured, the insured owns or is legally liable under written contract for the spoiled property and a lack of or excess of power, light, heat, steam or refrigeration caused the spoilage.

5. Utility Interruption - This coverage is available ONLY when a customer also purchases coverage for Business Income and Extra Expense – Extra Expense Only or Spoilage Damage. This coverage responds to loss involving equipment breakdown created by loss of utility service (gas, electric, water or communication). Also, the loss or service must last beyond the time-limit that appears on the policy (a sort of time deductible).

6. Newly Acquired Premises - This feature automatically covers newly acquired premises purchased or leased by the insured and the period of protection depends upon the length of time selected for this coverage (i.e. such as 30 days, 60 days, etc.).

7. Ordinance or Law Coverage - The Ordinance or Law Exclusion eliminates coverage for loss created by the imposition of ordinance or laws affect the rebuilding of the damaged property. This coverage pays such costs, within guidelines in the coverage, provided any increase in the loss amount is necessary due to the enforcement of any laws or ordinances in force at the time of the breakdown which regulate the demolition, construction, repair or use of the building or structure.

8. Errors and Omissions - This coverage pays for loss or damage that would have been covered except for the insured’s error or unintentional omission in describing covered property, a failure to include any premises owned or occupied by an insured when coverage began or, the insured’s error or unintentional omission that results in the company canceling coverage at one of the insured's premises.

9. Brands and Labels - This provision pays part of a company's expense to remove and re-label its own, salvaged merchandise.

10. Contingent Business Income and Extra Expense – Extra Expense Only Coverage -. This Protection applies to loss resulting from a breakdown to equipment at premises upon which the insured is dependent upon in order to run its own operation, such as a key materials supplier.

Be sure to talk to a qualified insurance professional at Tague Insurance in case you need details on how to best protect your critical business equipment.

COPYRIGHT: Insurance Publishing Plus, Inc. 2006

Insuring Your Bling

Most homeowner policies provide very limited coverage for jewelry. The reason for this is that jewelry is high-valued (especially in relation to its size), is easily lost or destroyed and is vulnerable to theft (as well as fraud). If you only own a modest amount of jewelry (say just a few hundred dollars), perhaps the limited coverage provided by a basic policy is adequate. However, when high values are involved, consider buying special insurance coverage (sometimes called a floater). A few options are available such as buying supplemental insurance that is attached to your homeowners or tenant's policy or purchasing a separate jewelry policy.

Discussing what is needed and expected from separate coverage is very important. Does the coverage consider jewelry values that increase over time? Does it cover mysterious disappearance (when you know the property is gone, but can't pinpoint when and how the property was lost) and other causes of loss, or just fire and theft? Discussing the coverage also helps you understand the steps you must take to make sure that you keep the maximum coverage in force and whether the coverage you receive is worth the additional price.

Documenting The Jewelry's Value
If the jewelry has just been purchased, a store receipt or certificate should establish the insured value. However, as time passes or circumstances change, the insured value must be reevaluated, perhaps by seeking an appraisal (expert opinion). Getting an appraisal that affirms your jewelry's current value is an excellent way to assure that your property is properly protected. Of course, make sure that you work with a competent appraiser (check their credentials and number of years of experience). It is also helpful to talk to a potential appraiser. Does she seem to have the necessary expertise? How willing and able is she to explain her work? There are several professional jewelry and appraisal associations that can give you information on appraisers and appraising methods. All of these items are important, especially since you have to pay a fee for an appraiser's services.

Handle With Care
Once you're certain about the value of your jewelry and the adequacy of its insurance coverage, you need to properly handle your jewelry. After all, who wants to actually file a claim? If you own a significant amount of expensive jewelry you may want to look into other precautions such as:

* Get new appraisals every two or three years, sending a copy to your insurer
* Take photos of your jewelry from several angles; again, share copies with your agent or insurance company
* Consider a quality in-home security system, including a hidden vault or storage area
* Take care on where and when your jewelry is worn to try to avoid becoming a theft target
* Keep original receipts and all appraisals, especially if they demonstrate that the jewelry's value is appreciating
* Ask your jeweler whether they have access to "Gemprint," or a similar jewelry identification system that documents a jewel's distinctive markings much in the manner of fingerprinting.
* Consider storing jewelry that is rarely worn in a bank or saving institution’s vault. (Note that such special storage often qualifies for an insurance premium discount)

Again, your first step is to talk to an insurance professional since he or she shares your concern that you have the protection you need at a price you can afford. Your Tague Insurance agent can let you know what your options are for insuring your valuable pieces of jewelry, and can help you get a quote. Contact them at 760-729-1143, or visit them on the web at www.TAGUEINS.com for more info!

COPYRIGHT: Insurance Publishing Plus, Inc. 1999, 2002, 2008

The Business Owner Policy

If you own and/or run a smaller business, your insurance needs may be properly handled by a businessowner policy (BOP). BOPs are similar to a homeowners policy, offering both property and liability protection. Businesses such as retailers, wholesalers, small contractors, artisan contractors, dry cleaners, restaurants, offices and convenience stores (including those with gas pumps) are eligible for BOP coverage. All such operations may be insured by a BOP as long as they are not larger than 25,000 square feet in total floor area or have gross annual sales greater than $3,000,000 (per location). Cooking operations, due to the higher fire and other accident exposures, have significantly more restrictive guidelines, such as being disqualified for a BOP when it square footage exceeds, typically, 7,500 s.f.

PROPERTY COVERAGE
BOPs protect buildings as well as the following:

* building additions (completed or being built)
* indoor and outdoor fixtures
* machinery and equipment
* landlord furnishings,
* mowers, ladder, snowblowers, and similar maintenance property
* outdoor furniture
* floor coverings
* refrigerating appliances
* ventilating appliances
* cooking appliances
* dishwashing/Drying appliances
* clothes washing/drying appliances
* materials, equipment, and supplies
* temporary structures located near the insured premises

LIABILITY COVERAGE
The policy's protection for business personal property (such as office equipment, copiers, desks, etc.) applies whether the property is located inside or immediately outside the covered buildings. The category also includes property you own, lease or control (i.e., borrow or control) as long as the property is used by the business.

Businessowners liability coverage provides comprehensive protection for claims or suits made by other parties. Its liability section covers losses involving injury to other persons or damage to property that belongs to others. It also provides limited protection against personal injury (slander or libel), advertising injury and losses involving an operation's products or services.
Naturally, there are certain situations that are not covered by a BOP. For instance, there is no coverage for losses involving most vehicles, money and securities; illegal property (contraband), land, water, growing crops or lawns; or watercraft.

A BOP may be supplemented to provide additional protection. Property coverage options include adding insurance for accounts receivable, valuable papers and records, earthquake, spoilage, etc. Liability coverage can be expanded to handle additional business interests, limited vehicle liability, losses related to personnel situations, liquor liability and injuries to leased employees.
A BOP may be the answer to your company's coverage needs and it may be worthwhile to get more information on the BOP from the Tague Insurance Agency. You can also check out our website for information on obtaining a quote!

COPYRIGHT: Insurance Publishing Plus, Inc. 2004, 2008

How Much Is That Doggie In The Lawsuit?

If you have pets, this is a great article to read! This will help you understand the potential issues with your 4-legged family member and your insurance policy. If you have any questions about how your pet may affect your homeowners insurance, or want to verify that your pet is an acceptable breed for your insurance company, feel free to contact Tague Insurance at 760-729-1143!

While dogs make great companions, playmates, and protectors, they also continue to be a problem for insurers. Nearly two million people are bitten by dogs each year with around 800,000 persons requiring professional medical treatment for their wounds. Each of these incidents is a potential lawsuit.

Have Teeth, Will Bite
Tens of millions of U.S. households own dogs and biting incidents keep climbing. A key factor that contributes to these incidents is the failure of dog owners to supervise and train their pets. Another problem is that many persons, especially children, do not know how to behave around dogs. Bites may occur when:

* a person stares at a dog, which the animal perceives as a threat or challenge
people attempt to handle dogs during sensitive moments (while a dog is trying to eat or while nursing puppies)

* trespassers or house guests invade a dog's territory

* rough-housing" with a dog escalates beyond playing.

An Issue Of Control
Insurance is still designed to handle accidents, and companies are at a severe disadvantage when policies are asked to respond to losses that are easily avoided. Dog bite claims involve the insured having control over areas such as:

* choosing to own a dog

* choosing the particular breed of dog

* raising the dog in a certain manner

* housing the dog in a certain manner

* exposing the animal to various social situations

* being knowledgeable about a dog's temperament and inclination to bite or attack.

All of the above elements can contribute to lawsuits and to action from an insurer.

The "Policy" On Dogs
If you have homeowners insurance and you own a pet, the liability portion of your policy provides protection for losses arising from pet ownership. Not only are you and your household protected, but coverage even extends to persons who have custody of your pet. However, your policy won't cover businesses that may have custody of your pet, such as kennels, obedience schools, groomers and professional sitters or walking services (they should carry their own coverage). Further, coverage could become problematic if dogs in a home are related with unreported, in-home business activity. Losses involving persons who are bitten while in a home for business reasons may not be covered.

Minimizing The Problem
Owners have a responsibility to raise and handle their dogs in a manner that reduces the chance for a loss. Steps to take include becoming knowledgeable about their breed of dog and about general principles of ownership and care. They should make certain that family members, social visitors, neighbors and strangers are protected from the owner's pets. Owners should also take advantage of resources to help them, such as tips from animal shelters, dog ownership clubs, the AKC and a plethora of Internet sources.

It may not be the fairest set of circumstances, but more insurers are choosing not to give dogs the benefit of the doubt. It is becoming more common for companies to refuse to write coverage for persons who own certain breeds of dogs. Therefore, owners must fight this trend by not taking their pet ownership lightly....because insurers aren't.

COPYRIGHT: Insurance Publishing Plus, Inc. 1998, 2004, 2010

What's The Difference?! Vacant & Unoccupied Homes

First, there IS a difference. The difference between the two is a matter of time and intent. While unoccupancy is a temporary condition and an exception to a residence normally having occupants, vacancy generally represents abandonment of property. The point is that either condition may affect your coverage under a typical homeowner policy. It is quite important to understand the consequences of either condition in order to keep your coverage intact.

Peeking At A Homeowner Policy

Generally, a homeowner policy has a couple of areas that may be affected by a home's occupancy status: damage caused by freezing, or certain property and loss due to vandalism. Let's talk about them in detail.

A homeowner policy usually protects a home from any loss that is caused by a frozen:

plumbing system
heating system
air conditioning system or
appliance

Example 1: Fern Guddyson and her family leave their home in Minnesota in January. They'll spend the next 10 weeks in Miami because Fern is teaching a graduate course in Zen awareness at Palm Leaf University. During a bitter cold spell at their home at the end of March, the water line to their refrigerator (for its ice-maker) freezes and breaks. Later, when the line thaws, it overflows and, eventually, soaks all of the home's oak flooring and carpets. Fern makes a claim to her insurer when the family returns home. The insurance company rejects the claim when they find out the home was unoccupied for more than 30 days before the loss.

Unfortunately for the Guddysons, most homeowner policies will not cover freeze-related losses that occur during an extended period in which the home is either vacant OR unoccupied. But this loss of coverage can be avoided if the homeowner takes special steps. Precautions usually involve either draining any systems or appliances of water and shutting off the home's water supply, or keeping the home heated during the absence.

A homeowner policy typically offers protection to a home that is damaged by acts of vandals.

Example 2: Fern Guddyson and her family leave their home in Minnesota in January. Again, they'll be in Miami for the next 10 weeks while Fern gets her doctorate in surfing from Palm Leaf University. A week before the Guddysons return, a group of kids breaks most of their home’s windows. They then enter the home and use tools to smash doors, floors and walls. Fern makes a claim to her insurer when the family returns home from Miami. Their insurer estimates the damage and gives Fern a check to cover her loss.

Typically, vandalism losses are covered even during periods of extended unoccupancy. However, if the Guddysons had emptied their home of all furnishings and turned off the power for the time they were gone, the vandalism loss would not have been covered.

Why Are Such Exclusions Necessary?

Homeowner policies contain such exclusions in order to avoid special loss situations. A vacated home becomes an attractive nuisance, often attracting vandals. If a home is to be vacated, it may be necessary to purchase dwelling fire coverage to protect the home. In regards to loss caused by freezing, insurers want to encourage homeowners to do a little planning in order to reduce or eliminate the chance that a system or appliance causes a loss. If an insured refuses to act responsibly toward their property, they risk the chance of an uninsured loss.

If you're facing a situation in which your home will be unoccupied or vacant for an extended period of time, call Tague Insurance and make sure you do whatever is necessary to preserve your full insurance protection. You can also check out our Learning Section of our website for more info!

COPYRIGHT: Insurance Publishing Plus, Inc., 1996, 2000, 2007

Umbrella Coverage - Part 2

In part 2, we continue our discussion of how umbrella policies work. Umbrella coverage can be confusing! If you have questions or would like further explanation, don't hesitate to contact the personal lines department at Tague Insurance Agency! Umbrella vs. Excess Coverage A traditional umbrella offers broader protection, covering primary policies as well as a variety of, typically, uncovered exposures. For instance, you may have to go to court after being accused of slandering another person. The liability section of your homeowners policy may not cover this type of loss, called personal injury. An umbrella policy might include coverage for personal injury, so the loss is covered. You may also need a traditional umbrella to handle odd situations such as hobbies or activities that may increase the likelihood of facing liability losses. For example: · you have an in-home hobby of training guard dogs and a neighbor's child is attacked · you publish a newsletter on the Internet covering local or state politicians and one issue wrongly accuses a state senator of committing a crime · You collect rare instruments and, as a part of the hobby, you also repair and restore such property for other people. One day you drop an antique mandolin which shatters when it hits your garage's concrete floor Generally, umbrellas provide coverage for any amount of a loss that exceeds the primary policy's deductible. However, when handling a loss that is not covered by primary insurance, a special kind of deductible called a self-insured retention (SIR) may apply. An SIR is the dollar amount you have to pay before the umbrella coverage is triggered. Of course, umbrellas don't always work as named. Your policy may just provide additional amounts of coverage to supplement existing protection. This is how an excess policy performs. Excess policies respond the same way as a primary policy. In such cases, an umbrella may "follow the underlying coverage." This means that the umbrella covers ONLY the situations handled by its underlying coverage. Only a careful evaluation of the actual policy wording will reveal the extent of the additional protection. The best way to find out if extra coverage is necessary is to discuss your coverage needs with a professional insurance agent. See Part 1 for other basic information about umbrella coverage. COPYRIGHT: Insurance Publishing Plus, Inc. 1998, 2002, 2008

The Scoop on Umbrella Coverage (Part 1)

If you've been wondering about umbrella insurance - what it is, how it protects you, and if you need it, this is a great place to start! The personal lines department at Tague Insurance can answer any questions you have about umbrella insurance and help you decide if it's right for you!

Let’s say you have a policy for your home and the cars driven by your family. You have just the right policy for the apartment you rent out to others as well as special coverage for your boating excursions. Your homeowner's policy even has a special, added coverage to handle the business that your spouse runs out of your home. Yes, it looks like you can be confident that you have all the coverage you need. But let’s take another look. Maybe you need an umbrella. An umbrella is the term for a liability policy that fits over your primary policies. Besides providing an additional (excess) level of coverage, it sometimes provides protection that is not available under your primary coverage.

Umbrellas are designed to be carried over a person's primary (also known as underlying) liability coverage. Primary refers to the fact that in the event of a loss, the liability portion of your auto or homeowner coverage is the first to respond. Umbrellas or excess liability policies respond to an eligible loss only after the primary insurance has paid its limit.

It's quite possible that your primary insurance limits provide more coverage than you'll ever need. However, circumstances could involve a type of loss that is not completely covered by a primary policy. For instance, your newly licensed child is driving the family car and slides on an icy highway. He ends up causing a chain collision damaging several cars and injuring a dozen drivers and their passengers. Or maybe you often volunteer to help transport members of your son's first grade class on field trips and you have an accident because you tried to beat a yellow light. If you don't have enough primary coverage, any shortage may have to come out of your personal assets.

Umbrellas generally provide additional liability coverage for the following underlying policies:

Personal Automobile
Homeowners / Farmowners
Recreational Vehicles
Watercraft
Personal Liability

The additional coverage may often extend to providing for related expenses, also on an excess basis, such as the cost of providing a court defense. Part two if this informative article will be posted in the next week or so. If you just can't wait, call Tague Insurance for your no-obligation Umbrella quote!

COPYRIGHT: Insurance Publishing Plus, Inc. 1998, 2002, 2008

Be Sure to Review Your Homeowners Insurance Policy Annually

Here is a great article on why it's important to review your homeowners insurance on an annual basis!!

Most Homeowners insurance companies will simply send out a reminder for a renewal of your home insurance policy when the end of the year is up for your insurance coverage. Many will also automatically renew your policy unless you call and let them know that you want to change or cancel that policy. This makes it easy for many homeowners to simply begin sending in the next set of payments for another year without reviewing the policy to make sure it adequately reflects their needs for the year.

Whether you have upgraded or remodeled the home, added a deck onto the back, turned the home into a rental property or realized that you may have problems with flooding in your area, there are several reasons to review your home insurance policy every year to assess whether the coverage still meets your needs.

Even if you have just begun a new home insurance coverage policy, it is important to review the policy as soon as you receive it to make sure the policy has the correct coverage amounts and coverage needs you have asked for. Remember that this policy will be in place for an entire year and will most likely cost between $300-$2000 so be sure that you are getting what you want.

If you asked for personal liability of others in the amount of $100,000 and the policy only shows $50,000 don’t be afraid to call the insurance agent back to have this problem corrected. The problem can simply be solved by issuing a new policy or a policy change.

Once the year time period has expired on your current policy and you are getting ready to renew again, it is always a safe bet to call the insurance agent and ask if the replacement cost value has gone up on your home or on anything in your home.

Remember that the financial market continues to increase and with this rates of building and replacement tools will go up, so there is no shame in calling to ask if the figures on your policy need to be changed.

If you have done any renovation of the home in the last year, such as replacing countertops or flooring, or even adding on a deck, it is important to inform the insurance company of these changes. This protects you from being underinsured in case of damage or loss.

If you have acquired any major purchases of personal property, it is also important to contact the insurance company about changing the coverage amount on your interior belongings. This could include major electronics equipment like an LCD television, a personal computer or laptop, an expensive piece of jewelry or fur coat, or even new furniture or a new piece of artwork.

It is also important to review your insurance coverage policy every year to determine if you have adequate peril coverage and liability insurance. Although some basic plans cover certain types of natural disaster and others cover personal liability, you may want to consider adding on specific insurance clauses for flooding, hurricanes, or tornados if you live in a high risk area.

If you started a plan out with little or no hurricane insurance but realized that the previous year brought major hurricanes to your area, then you may want to reconsider the amount of coverage. As well, some policies do not require homeowners to have personal liability insurance but this is a good idea if you are planning on having others in your home quite often.

This could include construction workers who are remodeling a kitchen or bathroom or even a babysitter or housekeeper. You will also want to change your policy if your children are starting to get older and invite over friends to play in the yard or to spend the night. Personal liability insurance will cover any accidents that happen while others are in your home.

One final reason to review your insurance policy each year is to assess discounts or possible price quote deductions that you may be able to receive. When you purchased the home it may not have had a security system installed, fire sprinklers or been equipped with up to date smoke and carbon monoxide detectors.

But if you have installed this equipment over the past year, it is a good idea to call and inform the insurance company to see if you this makes you eligible for a discount. You may also be able to receive a discount if you started receiving car insurance from the same company, turned a certain age, or began a membership to a certain club or organization that the insurance company recognizes and gives discounts to on a regular basis. - http://wagnerstott.com/be-sure-to-review-your-homeowners-insurance-policy-annually/ (Posted by Wagner Stott)


If you don't own a home, now is a great time to get quotes on renters insurance to protect your personal property and liabilty exposures. To review your homeowners or auto insurance policies and to ask questions about your policies, contact Tague Insurance Agency at (760) 729-1143, or you can email us at info@tagueins.com

Change of Plans - Tague Insurance Fan of the Week #23

Our boss told us to close the office early today, so we followed his instructions. Due to our early closing we had to change our plans for picking this week's winner. Watch the video below to see if you are the lucky Tague Insurance Fan of the Week.

Happy New Year's Eve and have a safe and fun time!

Great Christmas Tree Safety Tips!!

Happy Holidays everyone!! Before decking the halls and lighting that tree, be sure to check out this great article on Christmas tree safety tips, and call Tague Insurance Agency if you have any questions about coverage that your homeowners or renters insurance may provide for potential holiday claims.

CHRISTMAS TREE SAFETY TIPS
15 Must Know Christmas Tree Safety Tips

Let's face these days it seems like there danger in everything we do. But don't worry there are plenty of safety tips to ensure there are no mishaps this holiday season. Below is a list of things you can do to make you have a happy, accident free holiday season.

1. Make sure you buy the freshest tree possible (brittle leaves is an indicator that your tree is dry)

2. Cut off a half inch of the trunk of your tree, this will allow the tree to suck in more water

3. When choosing a spot for your tree, make sure there are no heating vents, radiators, fireplaces or used electrical outlets.

4. Make sure your tree is not blocking any exits

5. Make sure you keep candles and other sources of fire away from the tree at all times.

6. Make sure your Christmas tree lights are for indoor use and are the correct voltage. Also only buy UL lights because they are tested for safety.

7. Try to use miniature lights, they produce less heat and are more energy efficient.

8. Make sure your Christmas tree stand is secure and stable

9. Give you thirsty tree a lot of water and re-fill it everyday

10. Check all of your lights for shorts before you put them on your tree

11. Shake your tree free of dry bristles before you take it inside

12. Turn your Christmas trees off at night and when you're leaving the house

13. Keep flammable items like curtains, paper and combustibles away from your tree

14. Have a fire extinguisher nearby for those rare emergencies

15. Discard your tree right after Christmas to avoid having a dry, dead fire hazard in your house!

And remember, most of all, to have a safe, and happy holiday season!

Tague Insurance Holiday Hoodie & Toy Drive!

This holiday season, Tague Insurance is supporting North County Solutions for Change in Vista by collecting hoodies (hooded sweatshirts) and toys for children in our community!

North County Solutions for Change has a driving commitment to ensure that every child has a home. They help homeless families get back on their feet by providing support and permanent solutions to those that need help.

If you would like to support our Holiday cause this year, please bring a new, unwrapped hoodie sweatshirt (any size), or a new unwrapped toy for a child or teen to our office in Carlsbad (2801 Jefferson St). Your donation will help bring a smile to a child's face during this holiday season!

For more info on North County Solutions for Change, please visit their website at http://solutionsforchange.org/index.htm

Fan Pop - Tague Insurance Featured Fan Picks This Week's Winner

Tague Insurance thanks our Featured Fan, Chris Long, for coming to our insurance agency in Carlsbad, CA to help pick our winner. We had some fun and Chris got lunch and a crown from Burger King. Watch the video below to see the winner.

We mention in the video a charity that we are supporting this holiday called North County Solutions for Change. Our staff is collecting small unwrapped toys and sweatshirts for the children that this organization helps. If you are interested in donating you can drop your donations off at our office located at 2801 Jefferson Street in Carlsbad, CA. Or contact NCSC directly by going to their website at www.solutionsforchange.org to find out more information.

Please become a fan of our Facebook page so you can have a shot at being our Fan of the Week winner. Go to www.facebook.com/tagueinsurance

Random - Tague Insurance Fan of the Week #16

Congrats to Kevin Bracker on being this week's winner!

Tague Insurance is having a great time with our fans and we are appreciative that you have chosen to be a Facebook Fan of our page. If you need a quote on insurance or have any general questions about insurance we would love to be a resource for your needs. Tague Insurance has been writing auto insurance and home insurance in Carlsbad, CA and San Diego County for over 40 years. During that time we have served thousands of clients and helped them save money on auto insurance and home insurance, as well as business insurance.

Enjoy the video from this week's drawing and enjoy your weekend:

Tague Insurance - Renter's Insurance Needs

If you are renting an apartment, condo, or home there are some very important things you should consider.

Did you know that you may be able to fully offset the cost of Renter's Insurance by combining your Auto Insurance and Renter's Insurance with the same company?

For example: one of our companies offers a basic Renter's Insurance policy for about $120 per year. The average savings on the combined auto policy usually runs about $90-$150 per year depending on the cost of the auto insurance. Tague Insurance can save you money today.

In addition to saving money you need to understand some of the important protection that a Renter's Insurance policy provides you. Take a look at the article below for some valuable information. Please feel free to contact Tague Insurance with any questions you have.

Renters’ Insurance Needs

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Persons who live in apartments or rent a residence are fortunate. Most insurance companies can protect their assets and belongings by using a policy that is designed especially for tenants. Typical policies cover your possessions for common causes of loss, additional living expenses related to making other living arrangements, medical expenses for treating people injured on your premises and, of course, lawsuits.

Property Coverage

Protection under a standard renters policy is on an actual cash value basis (item’s replacement cost less depreciation).

Example: Stewart’s kitchen catches fire and his five year old refrigerator is destroyed. A new model of the refrigerator costs $750. His insurance company pays him $162, explaining that it’s the effect of five years of deteriorating value. Most companies offer coverage on a replacement cost basis if you purchase a separate endorsement.

Theft Limitations

Certain types of property are quite vulnerable to being stolen, therefore very limited coverage is available for items such as jewelry, furs, gems, gold, silverware, pewterware, money, securities, guns and accessories. Protection can be increased by adding additional coverage to the tenant policy or by purchasing a personal article floater policy.

Additional Living Expenses

A typical tenant policy provides a limit equal to 20% of your contents insurance limit. If your contents limit is $15,000, then your additional living expenses limit will be $3,000.

Liability Coverage

Liability insurance covers you for injury you cause to others and for damage to property that belongs to others. The policy also provides for the cost of a lawyer (if necessary) and most court costs. Examples of liability claims include: slips and falls; beaning a neighbor’s child with a baseball; hitting a golfer with your errant hook shot; or a friend breaking her hip when she trips on a skateboard your child left on the stairs.

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COPYRIGHT: Insurance Publishing Plus, Inc. 1998, 2001, 2009

Best Pumpkin Vote: Tague Insurance Fan of the Week #14

The Tague Team fan captains (Jen, Robin, and Tony) each had a baby pumpkin with which they could do as they chose. The goal was to get the most votes from our Facebook fans. Jen did a spectacular decorative carving on her pumpkin and the majority of voters chose her pumpkin. I guess our fans have an eye for beauty and skill!!!

Since Jen was the winning fan captain she drew this week's winning fan...watch the video below and stay tuned each week for the Tague Insurance Fan of the Week drawing.