The Almighty Junk Drawer

You just lost your entire home in a devastating fire.  Your new task - wake up tomorrow and remember everything you own.  Most of the time it is near impossible to do without a list of some sort.  Don't want to write everything you own down in catalog format?  Try this:

Use a video camera, camera, cell phone, etc and ...

- Walk through every room in your home and document

• Walls
• Ceiling
• Furniture
• DO NOT FORGET to open each drawer in each room and document its contents, just because things are in the junk drawer doesn't mean you don't deserve to get them back if they are lost

Then simply email it to yourself or find another way to keep the documents off-site. 

As always, email me with any more requests.  If you don't see it immediately I promise I will get to it.  Thanks again for all the response!

Matt Basile
matt@delwareinsurance.net
Delaware's First Choice for Car, Home, Life, & Health Insurance

Must haves #1 ...

...for a 35 year old

1. Own a home(s) or property(s) - build towards your future now
2. Have your own retirement account - don't rely on work to help you retire
3. Own your own life insurance don't rent it
4. Have at least one car that you own outright
5. A bookshelf with at least a couple books you have read entirely

Accidental Death vs Life Insurance

It's difficult to stop my office without us asking you about life insurance. The first question is... "How much coverage do you currently have?" Very few people know the answer, so don't feel bad.  Possibly because no one likes to talk about it.  It could be that nobody thinks they are going to die. That's a good thing - who wants to go through life worrying about death right?

So let's say you do have life insurance and often times people have the correct amount of insurance.  Is it the right type?  Answer these questions...

1. Does your policy have limitations and what are they?
2. Is it an extraordinary amount of coverage but costs next to nothing? (you truly get what you pay for)
3. Are the words "Accidental Death" in the policy?

If you don't want to read it, have the company you purchased it from or your employer answer for you.  Then ask them if there are any exclusions or reasons a claim would be denied.

At the end of the day, would you rather pay for life insurance that pays your loved ones no matter what or pay a little less but have to die specifically?

In most cases the "right" type of life insurance for you is economical enough to look at other options. Don't forget it is always priced based on your age...so do it sooner rather than later.

Many times AD&D Insurance can be added as a rider to a standard life insurance policy which may be an appropriate decision. 


Thanks again for all your emails, as always let me know if there is anything you want to discuss.   

Matt@delwareinsurance.net

Matt Basile Agency

We Must Protect This House (except from floods)

When a weather event causes damage to our home it is a quick call to our homeowners insurance company, pay our deductible, and go about our day.  In most cases that is exactly how it goes.  However, there is always 1 event which is a subject of frustration and normally is not covered...

• Flood - a general and temporary condition where two or more acres of normally dry land or two or more properties are inundated by water or mudflow - www.floodsmart.gov for more info

Odd example of flood that is not covered - a Storm that causes sideways rain which gets into your home through a crack in cement or wood, some companies will cover the damage but most will not

"I have a basement that gets water but has a sump pump." - there is a way to get water due to flood covered in some instances through an endorsement which can be added to your homeowners policy.  It is not automatically added by your insurance company and not all companies offer this endorsement

"So does any water damage constitute a flood and therefore not covered?" - absolutely not, in many cases the damage from water is absolutely covered

Not in a flood zone?  You can still purchase flood insurance. 

• How much? usually $200-$500 annually.

As always please shoot me an email if there is a specific insurance subject you would like to learn about - matt@delwareinsurance.net.

Next month - Hurricane Deductible vs Wind/Hail Deductible

Umbrella Insurance for All?

In the interest of full disclosure here I am an Insurance Agent in Delaware.  When I talk to clients about umbrella policies their first reaction, and probably rightly so, is I am trying to sell them something.  Which is true but the real question is my motive.  A true insurance guy or gal should be doing one thing very well - protecting your stuff.

So my questions for you are...

1.  Do you own anything
2.  Do you drive
3.  Do you work
4.  Do you think we live in a litigious world

So if these answers are all yes, my point is made relatively easily.  I understand those who tell me they only own a home, in which they are underwater anyway, and have no real assets.  What about your salary?  That is a huge asset for most folks and in some homes, if it were to be garnished by 20% each year would have a tremendous effect right?

Let me pose a scenario - you are driving alone, absolutely not texting or talking on your cell phone and that precious device slides to the floor, you reach down to grab for it and a deer runs out in front of the vehicle in front of you who then slams on her brakes and you slam into the rear of the vehicle.  Lets say you have 300,000 worth of liability coverage....which is relatively common or should be at this point.  Imagine this 24 year old woman is now disabled for the foreseeable future.  Any idea how her lawyer will calculate the amount you are going to have to pay...

Her current annual salary + each working year for the next 38 years give or take including inflation.  Lets assume its 30,000  x 38 years = 1.1 Million dollars give or take.

Here's another good one - now take everything you have that is able to be liquidated legally, once exhausted, take that number and take 20% of your salary until the remainder is paid. 

Yes, I know, a little gloom and doom.  This actually happened and does more often then you would imagine.  So, in my opinion, yes - Umbrella's for all.

matt@delwareinsurance.net