With the amount of fires we see in central Texas we recommend all our clients do a home inventory. There are two main purposes that home inventories serve:
Home inventories allow you calculate the amount of insurance coverage needed for your contents.
Home inventories make the claim process move much faster and smoother after a devastating loss.
In the past making a home inventory meant making an excel spreadsheet with photos. Now thanks to iii.org, there is an app for that!
To make creating your inventory as easy as possible, the I.I.I. has free Web-based home inventory software, Know Your Stuff®. The program walks you through your home room by room and allows you to enter important data such as purchase price, serial numbers, etc. You can also upload photos and scanned receipts and appraisal forms. The software includes secure online storage so you can access your inventory anywhere, anytime.
If you have an iPhone, you can also download the new Know Your Stuff® – Home Inventory app in the iTunes App Store ( search for “iii inventory”). Information about your belongings can be entered either through the iPhone app or the Web-based software and your data will automatically synchronize between the two.
The insurance industry is notorious for paper, and for also being cautious to adopt new technologies. There are good reasons for that but the future is here for almost all auto insurance companies and some homeowner insurance companies. Paperless policies aren’t for everyone but there are some green advantages and green means money in your pocket and protecting natural resources at the same time.
This is because most auto insurance companies will offer a 2-5% discount for going paperless on the policy and billing when you combine with an auto draft plan. The convenience of accessing your policies and billing in the cloud even comes with extra tools to manage your policies better as well. In the same portal that you use to access your paperless policies documents you can print ID cards 24/7, and see a summary of coverage and policies.
Farmers.com now makes things more convenient, more green, and even save more money with paperless policies and paperless billing. To use the paperless features, print id cards, and web request service you will need a farmers.com account. I wrote an article here for how to and FAQs. If it gives you any problems don’t hesitate to email or call us and we will be happy to help. Once you are setup on farmers.com
Send us an email to request paperless policies
For paperless billing, login to farmers.com, click billing, and select paperless. NOTE: some plans like paid in full will not allow paperless billing just yet.
If you have an iPhone, you can download ifarmers to access your policies from your phone.
Spring is in the air, and now is a great time to do home maintenance. Proactive maintenance of your home can help reduce costly damages from occurring, and it also plays a role in proper insurance coverage. This is because a condition of an insurance policy is that the damage must be sudden and accidental to be covered on the policy. Below is a list of spring maintenance broken down into tips that relate to coverage issues and additional tips that could help prevent a fire or liability loss.
Important Tips That Relate to Insurance Coverage:
Make sure water drains away from house.
- Coverage exclusion: Surface water is no covered on a home policy, and even a flood insurance policy will exclude drainage issues related just to your home.
Check for signs of rodents, roaches and termites.
- Coverage exclusion: Home insurance policies exclude infestations.
Check roof for properly maintained flashing, caulking, and shingles. Look for signs of leaks.
- Coverage exclusion: Improper maintenance or install will result in a claim being denied on a home policy. Even so, most home deductibles are high enough that the damage cost will likely come out of the homeowner’s pocket even if covered.
Additional Tips:
Check fence especially around pools to make sure they are in good condition.
Food trailer business owners have many advantages over traditional brick and mortar restaurant owners. One of those advantages is being able to try new locations or to move the food trailer to an event. However, that same advantage can create gaps in insurance coverage. The Paprocki Insurance Agency understands the business and offers a competitive insurance policy tailored to the food trailer business. We even created a website where you can get a quote.
The food trailer insurance advantages included
Options for standalone General liability coverage, or package coverage to include property coverage.
No liability deductible
General Liability limits up to 2 million
Security of “A” rated carrier or better
Coverage for your trailer up to 25K including theft
Competitive pricing
No charge for adding additional insured’s (commissary kitchen, events, etc.)
Common Mistakes
Having property coverage that is limited to just the business address (standard practice). Meaning if you go to an event away from your main location you lose coverage.
Using a Business owner policy designed for a restaurant, and not for a food vendor operation.
Types of risk Food Trailers are exposed to Bodily Injury:
A customer buys a hot dog from your stand. While eating the hot dog, the customer suddenly chips a tooth on something hard contained inside the hot dog. The customer incurs $700 in medical expenses and $6,000 in corrective dental expenses.
Premise Liability:
Customers are within the premises you occupy choosing the perfect meal. A customer trips over an extension cord lying on the ground and sprains a knee. The customer incurs $1,200 in medical expenses for x-rays and $3,500 in lost wages.
Theft:
The day is over and your trailer is stored for the evening. You awake to find it has been stolen. You will now need to spend $15,000 on a new cart and equipment.
Note: The following outline of coverage is for your information only. Please see your policy for exact terms, conditions, exclusions and limitations.
Bodily Injury Liability
(Occasionally referred to as BI)
Pays when you are legally liable for injury or death caused by your vehicle. Legal fees and court costs are also included outside of limit, but duty to defend ends once limits are reach on a payout. Pays up to the first limit for each person and up to the second limit “Total” for all injury in the accident for which you are legally liable.
Property Damage Liability
(Occasionally referred to as PD)
Pays when you are legally liable for damage to the property of others caused by your vehicle.
Uninsured Motorist
(Occasionally referred to as UIM)
Pay damages that you, household relatives, and passengers in the insured motor vehicle are legally entitled to recover because of bodily injury and property damage caused by an uninsured or hit-and-run motor vehicle. Pays up to the first limit for any one person and subject to the first limit for any one person up to the second limit for all persons injured or killed in an accident.
Underinsured Motorist
(Occasionally referred to as UIM)
Pays you, household relatives, and passengers in your insured motor vehicle against damages arising out of accidents with motorist who have motor vehicle insurance with lower limits of liability coverage than those damages suffered by you.
Underinsured and Uninsured Motorist Property Damage
Pays you for the damage caused to your car by an underinsured / uninsured motorist, including hit and run. Standard 250 deductible applies in Texas, and rental coverage is included regardless if you carry it on the policy.
Medical Payments
(Each Person Limit)
Pays medical, hospital, and funeral expenses for you, household relatives, and guest passengers injured in a motor vehicle accident regardless of fault. Also protects you and household relatives if struck as pedestrians.
Personal Injury Protection (Each Person Limit)
Just like medical it pays medical, hospital, and funeral expenses for you, household relatives, and guest passengers injured in a motor vehicle accident regardless of fault. Also protects you and household relatives if struck as pedestrians. However in addition it will pay lost wages.
Comprehensive
(Often referred to as “other than Collision”)
Pays for loss or damage to your vehicle caused by fire, theft, vandalism, hail, windstorm, riot, falling objects, flood, etc. The deductible applies to all damage. Does not pay for collision or upset. That is paid under your collision if you carry collision.
Collision
Pays for loss or damage to your vehicle caused by a collision with another object, or by upset of the vehicle. Payments are made on “actual cash value” basis for the amount of each loss. Your deductible applies for this coverage applies first.
Towing and Labor Costs
Pays up to the limit on your policy for each claim for towing your vehicle and any labor costs, such as changing a tire or a “jump start” at the place of disablement. Does not pay for parts or subsequent repair costs.
Rental Reimbursement
Pays towards expenses to rent a vehicle if you have a covered loss (comprehensive or collision) and your vehicle is disabled longer than 24 hours.
Custom Equipment
Coverage for aftermarket equipment is 1K unless the policy has been endorsed to higher limits.
Camper or Travel Trailers
Can be added to your automobile policy for an additional premium for comprehensive and collision. The liability for the camper extends back from the auto towing it.
First thing, is to stop and render aid. Call 911 for emergency medical help if needed. Second, notify the police. Note: police are not likely to come to the scene if the accident occurred in a parking lot, or there are no injuries.
Now its time to gather information.
The top priorities:
Be sure to get the drivers name, dob, and drivers license.
The license plate of their vehicle. (We can pull the registered owner of a vehicle from this)
Getting witnesses’ names and contact numbers can be a huge help especially when other parties change their story after they leave the scene. The police coming out and getting statements and recording the accident at the scene acts as a great “witness” source in addition to any other witnesses. (Be sure to get a copy of the police report at the scene if you can as the form can take 3 or more days to be available again.)
Get insurance information on the other vehicle involved in the accident.
Other helpful information to gather at the scene:
Addresses of other driver.
Names of passengers in your car and their car and their contact numbers.
Color of other car
Pictures of the damages and area.
From here you have several options on filing the claim:
Call our office 512-215-4044
Call the claims department of the other at fault party. Click here for details on this option.
What is consider a flood?:
Flood, as used in this flood insurance policy, means:
1. A general and temporary condition of partial or
complete inundation of two or more acres of normally
dry land area or of two or more properties (at least
one of which is your property) from:
a.Overflow of inland or tidal waters; b.Unusual and rapid accumulation or runoff of
surface waters from any source; c.Mudflow.
In other words a drainage issue on your property is not covered.
Property not covered:
Pools and their equipment.
Detached structures, with the exception that a separate garage not held for rent is covered for 10% of the coverage.
Personal property in a building that is not fully enclosed must be secured to prevent flotation out of the building. If the personal property does float out during a flood, it will be conclusively presumed that it was not reasonably secured.
Pays only up to 30K for you to comply with a State or local floodplain management law or ordinance affecting repair or reconstruction
Personal property and buildings located over water.
Land, land values, lawns, trees, shrubs, plants
Decks and Fences
Special Conditions:
To receive replacement cost the property must be your primary residence and you must carry 80% of the value of the home in coverage, or the max the flood program allows.
Actual Cash value loss settlement applies to
two-, three-, or four-family dwelling.
unit that is not used exclusively for single-family dwelling purposes.
dwelling that is not your principal residence
personal property
detached garages
Property Limits:
$2500 coverage for fine arts, collectibles, jewelry, and furs, business property.
Deductible applies separately for personal property and building.
I often get the scenario of a client who is not at fault, and needs to file a claim after another party hits them. From here if there are no injuries, there are two options. File the claim with the clients policy or have the client file against the at fault party’s insurance. The short of it, is that I recommend filing on the other parties insurance but there are pros and cons to each way. Below list some of the pros and cons.
File with other parties auto insurance policy: (assuming you carry collision coverage on your policy)
Pros:
1) Only one claim needs to be filed.
2) Once they complete investigation to determine fault they will pay claim in full. This can be a quick process when the facts of the accident are basic, such as a hit from behind while stopped.
Cons:
1) Some insurance companies don’t have the resources or staff training and can be difficult to work with. (We recommend stopping the process, and filing on your own policy at any time if you feel uncomfortable.)
File on own policy:
Pros:
1) We can take the claim in the agency and help you get the process started.
2) We only represent carriers with great claims records and can help you along the way if needed.
3) You can start repairs immediately if you carry collision insurance; although you are subject to the deductible (see cons).
Cons:
1) Your collision deductible will apply until your carrier collects from the at fault party’s insurance. And if you don’t have rental reimbursement coverage you might be waiting for that expense to reimbursed also.
2) Often this means duplication work for the insured, as all the facts and claims information needs to be given once to each insurance company directly.
When an employer buys a workers’ compensation policy or is certified to self-insure, the insurance company (or a third-party administrator in the case of self-insurance) pays the medical and income benefits due to the employee. No attempt is made to assess blame or determine fault, except under a few circumstances specified by law.
The Texas Property and Casualty Insurance Guaranty Association covers licensed workers’ compensation insurance companies. This means the guaranty association will pay claims if the insurance company becomes financially unable to do so.
Employee Benefits
Injured employees are entitled to all health care reasonably required to treat the work-related injury or illness. These medical benefits continue for the rest of the injured employee’s life.
Employees who are off work for more than seven days because of a work-related injury may also receive temporary income benefits to replace some of their lost income. Temporary income benefits are calculated as a percentage of the employee’s pre-injury salary, up to a maximum set by law. These benefits are paid while the employee is off work and for a period of time based on the severity of the injury. If a doctor certifies that the injured employee has a permanent impairment, the injured employee may be entitled to impairment income benefits.
These medical and income benefits are the injured employee’s exclusive remedy if the employer participates in the system and is covered by the Texas Workers’ Compensation Act. The only exception is when an employee is killed and the death was caused by the employer’s gross negligence or intentional act or omission.
Being a Nonsubscriber
Nonsubscribers lose several key legal defenses and can face high damage awards if an injured employee can prove in court that the employer was negligent in any way. Employers who choose not to purchase workers’ compensation insurance or who choose to self-insure without obtaining approval from TDI forfeit several common-law defenses if sued because of a work-related injury. These employers may not argue that:
the employee’s own negligence or the negligence of another worker contributed to the accident
the employee knew the risk of injury and voluntarily assumed it
In addition to forfeiting these legal defenses, a court could order the employer to pay judgments for pain and suffering and punitive damages.
If a court determines that an employer was negligent in any way – even if the employee’s negligence played a greater role in causing the injury – the employer will likely be held fully financially responsible. The employer also must pay defense-related legal expenses, such as attorney fees.
The following case illustrates the potential cost to a business without workers’ compensation insurance:
An employee of a manufacturer without workers’ compensation insurance slipped and fell at her workstation. The employee sued, alleging that the employer’s negligence had caused her injury. The employer had taken some steps to provide a safe workplace but did not hold safety meetings or give specific safety instructions to its employees. The court ruled that the employer had a duty to provide safety rules and regulations to employees and to ensure that they followed the rules.
Because the employer did not have workers’ compensation insurance, it was barred from using common-law defenses in court. A jury awarded the injured employee damages, and a Texas court of appeals later upheld the verdict.
If the employer had maintained workers’ compensation insurance, the Texas Workers’ Compensation Act would have prohibited the injured employee from suing. The employee’s exclusive remedy would have been the medical and income benefits prescribed by law.
UIM coverage is just as important if not more important than the auto liability limits you carry to protect your assets from a lawsuit.
Here’s why:
1) 1 in 4 drivers in Travis County are uninsured motorist. Source: pilot program to catch uninsured motorists in Travis County. Sadly the pilot program started 3 years ago and the state has not acted on it.
2) A person who is not responsible enough to carry auto insurance, will typically take risks in other areas of their life and cause more severe auto accidents.
3) When an uninsured motorist injures you, your assets are at risk, and most people don’t think about this. If you have medical bills, sure health insurance kicks in, but what about pain, suffering, lost wages, and other additional expense. All of these can drain you financially, especially if paralyzed or death in an auto accident occurs.
4) UIM Protects YOU and your family.
The Solution:
Be sure to carry Uninsured motorist limits that at least meet your liability limits. The max currently available on a auto policy is 500K per person, and 500K per accident. Purchasing an Umbrella policy on top of this for UIM is possible but costly compare to other liability products about 600 a year for 1 million.
The other solution is for the state of Texas to actively use the tools they have to catch UIM. This includes a database of all insured vehicles based on VINs, and a title record of all matching owners and VINs. Using this data could find and enforce everyone to be responsible and carry insurance.
