Keeping Your Car In Good Shape On A Road Trip

A road trip is an American tradition and a great adventure. While you are traveling, your car becomes your home away from home. Many travelers use their cars as a place to eat, a shelter from the elements, and sometimes even a temporary spot to sleep. Even more importantly, you are relying on your vehicle to get you safely from one destination to another.

Before you leave home, give your projected itinerary to someone trustworthy in case something goes wrong with your car. Make sure your auto insurance provides adequate coverage. Our agents will be happy to review your policy with you to ensure you have the coverage you need. In addition, the following tips can help ensure a safe and pleasant road trip.

Tackle This Checklist Before You Leave on Your Trip

Change the air filter, oil filter, and oil.
Change the spark plugs if needed.
Clean your car, inside and out, before you start on your trip.
Keep a small bag for garbage inside the car.
Pack towels for cleaning up spills, a dirty windshield, etc.
Keep your owner’s manual readily accessible.
Cover the front of the car and headlights with a protective sheet to prevent bug clogs and damage.
Get sun protectors for the front windshield and side windows.
Check that you spare tire, tire iron, and jack are where they should be.
Bring a plastic funnel for adding water or other fluids, as well as a bucket in case you need to use river or lake water in an emergency.
Pack a fire extinguisher.
Get a spare car key made and keep it in your purse or wallet in case you lock your keys in the car.
Do not store luggage over the car if you can avoid it. It creates air friction, slows you down, and lowers your gas mileage.
Always fill up when the car is still half full, particularly in rural areas.

Pack a Road Trip Survival Kit with Tools and Items You May Need in a Crisis

Flashlight
Pliers
Screwdrivers and wrenches (different sizes)
Hammer
Jumper cables
Chain or towing rope
Bungee cords
Bottled water
Non-perishable food
Blankets

Check the Tires, Fluids, Etc. Before You Hit the Road

Check your car over carefully (or have a mechanic do it) to ensure there are no mechanical problems before setting out on your trip. Items to check include:

Wipers and wiper fluid
Tire condition and tire pressure (do not over inflate)
Coolant/antifreeze
Fuses
High and low beams
Oil, brake fluid, and power steering fluid
Heater and air conditioner
Any loose cables

Driving Tips

Finally, remember that the driver is the most important factor in trip safety. Know your limits and stop to rest when you need to. If you are too tired to drive safely, pull off the road or stay in a motel overnight. Go for steady driving over speed to reduce your risk of an accident and improve gas mileage. Listen to music to avoid boredom. Never tailgate, and stay away from large commercial trucks. Proper preparation and the right approach to driving can help make your road trip both enjoyable and safe.

How Safe Is Your Parking Lot?

Businesses can be held liable for injuries that occur on their premises, and that includes parking lots. Depending on the type of business you have, the parking lot may be the most dangerous area on your property. If your parking lot is not owned and managed by a third party and is therefore your responsibility, discuss parking lot safety with your business lawyer and business insurance agent. Our knowledgeable agents can help ensure that your business is protected against liability for parking lot injuries.

Parking Lot Problem Areas Business Owners Should Address

The following are common areas to address in a parking lot for the safety of your employees and clientele.

Proper Lighting

Crimes are committed less frequently during the daytime and in well-lit areas, so proper lighting can be an effective form of parking lot security. Better lighting in the parking lot can help protect your customers and employees, not to mention lower your business’s exposure to liability for parking lot injuries. A well-lit parking lot helps prevent not only crime but also pedestrian trip and fall accidents.
As stated by the National Institute of Justice (NIJ), improving lighting to prevent crime is grounded in:

Situational crime prevention. This perspective focuses on reducing opportunities for crime, while at the same time increasing the potential offender’s perceived risk of apprehension.
Informal social controls and community cohesion. These play a key role in crime prevention. Installing or improving lighting in a parking lot or other area is a sign of positive investment and signals that efforts are being made to increase safety. This may result in an increased interest among employees, customers, and visitors in watching over the area.

Visible Security Cameras

Criminals who know they are being recorded are much less likely to strike. Visible security cameras can go a long way toward deterring parking lot crime.

Security

Parking lot security is often overlooked. This is a major oversight, as the Bureau of Justice Statistics (BJS) has reported that more than one in 10 property crimes occur in parking lots or garages. According to the Women-Safe Network, 25% of rapes occur in a parking garage or public area. Posting security guards can significantly upgrade the security of your building, grounds, and parking lot. Although cellphones are common, installing an emergency phone that connects directly to the police can also help improve parking lot security.

Traffic Flow

Controlling the flow of traffic can minimize the risk of accidents by preventing cars from driving in the wrong direction. Installing speed bumps, marking parking spaces with visible lines, and designating separate entrances and exits can help you control traffic flow.

Parking Lot Layout

Your parking lot layout should include parking spaces large enough to accommodate most vehicles, with plenty of room for drivers to easily enter and depart. Well-designed pedestrian walkways placed in busy areas of the parking lot can remind drivers to anticipate stopping, discourage pedestrians from cutting across and conflicting with vehicle traffic, and help prevent pedestrian accidents.

Rental Property Myths Debunked

Although landlord-tenant laws vary from state to state, common myths about rental properties are in circulation nationwide. The following are some widely-held beliefs about renting and why they may not be as true as you think.

The Security Deposit Covers the Last Month’s Rent

Although the security deposit may equal a month’s rent, it is not earmarked for that purpose. The last month’s rent and the security deposit are two separate matters. The security deposit is intended to cover repairs or cleaning resulting from greater than normal wear and tear. It cannot be used by the landlord for make-ready repairs and cleaning costs between vacancies.

The Landlord Is Responsible for All Maintenance and Repairs

Not necessarily true. In general, it is the landlord’s obligation to take care of plumbing issues, pest control, and general maintenance. However, there are some things that are not the landlord’s problem, particularly when caused by the tenant. For damages caused by tenant negligence, the landlord may address the repairs and withhold the cost from the tenant’s security deposit.

Whatever the Lease States Is Legally Binding

This is not true unless the lease conforms to the law. Terms of a rental or lease agreement that violate local, state, or federal laws are not enforceable. For example, when the law requires advance notice of entry, the landlord cannot visit the property at any time without warning simply because it is stated in the lease.

The Landlord Is Liable for Tenant or Visitor Injuries Sustained on the Property

Whether this holds true depends on the circumstances surrounding the injury. Landlords have a duty to properly maintain common areas, warn of any hidden dangers, and make safe furnished dwellings on short-term leases. A landlord is only liable for injuries to tenants and visitors when the landlord’s negligence is the direct cause of the injury.

To hold a landlord liable for injuries, the tenant will have to prove that:

Landlord had a duty to fix a dangerous condition on the property.
Landlord breached that duty by not fixing the problem in a reasonable amount of time.
Landlord had adequate warning of the problem and fixing it would not have been unreasonably difficult or expensive.
Failure to repair the dangerous condition was the cause of the injury.
Damage that resulted was serious and foreseeable.
Landlord’s negligence directly caused the injury.

It Is the Landlord’s Responsibility to Insure the Property

Yes and no. The property owner is responsible for insuring the structure. In case of fire, for example, the landlord’s rental property insurance policy will protect the landlord’s investment and cover the cost of rebuilding. However, the landlord’s insurance does not cover replacement costs for damaged personal property owned by the renters, nor does it cover the cost of moving to another location while repairs are being made to the damaged apartment or home. Only a renters insurance policy can provide this type of protection.

Importance of Insurance for Landlords and Renters

A landlord who invests in a rental property will need rental property insurance that may include building coverage, general liability protection, auxiliary structure coverage, flood insurance, and commercial umbrella liability for additional protection. It is important for renters to have their own rental insurance to protect their personal property in case of a covered disaster in the rented dwelling. Our knowledgeable agents can help both landlords and renters find the best available rates for the coverage they need.

Avoiding Accidents In Construction Zones

Construction zones introduce a number of hazards, making them especially dangerous locations for motorists. The Federal Highway Traffic Safety Administration (FHTSA) reports that during the past five years, 4,400 people have died and 200,000 have been injured in construction zone crashes alone.

How Do Construction Zone Accidents Happen?

Rear-end collisions are the most common type of accident in construction zones, as many drivers will slam on their brakes when they see workers or lane shifts. These crashes occur most frequently in the summer and fall, and many fatal construction zone accidents occur on roads with speed limits higher than 50 mph.

Stopping Distances in Construction Zones

As reported by the FHTSA, stopping distances for an average passenger vehicle at 50 mph are:

300 feet on a dry roadway
400 feet on a wet roadway
1,250 feet on icy pavement

Keep in mind, however, that a fully-loaded 18-wheeler requires almost 50% more distance to stop than a standard car. If you are following directly behind one of these trucks, be sure to plan accordingly.

How to Reduce the Risk of a Traffic Crash in a Construction Zone

To minimize your risk of an accident, it is important to exercise extra care while driving through a work zone on the roadways. The FHTSA offers the following tips to drivers.

Be patient–passing through a construction zone will take significantly more time than standard driving.
Keep your headlights on.
Stay alert and don’t drive distracted. Give your full attention to the roadway and to driving your vehicle. Avoid changing the radio, operating a GPS, texting, making phone calls, eating, or any other activity that could take your attention off the road.
Pay attention to the area around you. Watch the brake lights on the vehicle ahead, watch the movement of traffic to your sides, and keep an eye out for any posted signs.
Don’t tailgate. Maintain a safe distance between your vehicle and the vehicle ahead of you in case they must unexpectedly hit their brakes.
Obey the posted speed limit. Driving speeds are significantly reduced in construction zones for a reason. Traffic patterns may change, and workers may be present only feet away from your vehicle. Be prepared to slow down even further if necessary, and keep in mind that fines may be doubled for moving violations in construction zones.
Merge into the proper lane. Traffic patterns can change daily in construction zones, so try to merge into the designated lane early on instead of waiting until the last second.
Change lanes safely. Only change lanes when indicated by the pavement markings and when permitted by traffic flow.
Follow all instructions from flaggers. They are there to keep both traffic and construction moving as smoothly as possible.
Expect the unexpected. When you are traveling through a construction zone, work vehicles and equipment may suddenly enter your lane without warning. Additionally, other drivers may slow down, stop, or change lanes unexpectedly, so keep an extra sharp eye out for traffic changes.

Be Prepared in Case of an Accident

Despite all our best efforts, traffic accidents caused by someone else’s negligence can happen in construction zones and anywhere on the roadways. For example, a driver who stops suddenly without reason can cause a chain reaction that can lead to a rear-end collision or even a multi-vehicle pileup.

Hope for the best but prepare for the worst by purchasing auto insurance with the coverage and policy limits you need. Many factors can affect the price of your policy, including your age, gender, vehicle, driving history, and the state where you live. No matter your situation, our knowledgeable agents can help you find the right car insurance policy to suit your needs at the best available rates.

Do I Need Flood Insurance?

You might think you don’t need flood insurance if you live in an area that is considered “high and dry.” Although some areas are more susceptible to flooding than others, flooding can occur anywhere. With heavy rains, spring thaws, or rapid accumulation of rain after a wildfire, flooding can occur in places that are not generally considered at risk.

How Does Flood Insurance Differ from Homeowners Insurance?

Many homeowners are unaware that traditional homeowners insurance does not cover flood damage. For protection against damage caused by flooding, you will need to purchase a separate flood policy. Depending on the type of policy(s) you purchase, flood insurance purchased through the federally regulated National Flood Insurance Program (NFIP) covers building property damage up to $250,000, personal property up to $100,000, or both. Homeowners who take out a mortgage in a high-risk zone are required to purchase flood insurance.

Benefits of Flood Insurance

It doesn’t take a hurricane for a flood to strike your area. Thankfully, an NFIP building property policy covers the cost of rebuilding your home or the actual value of your home, whichever is less. Specifically, it can cover your:

Home and foundation
Electrical and plumbing
HVAC equipment
Water heater
Major kitchen appliances
Permanently installed carpeting (over unfinished floors), cabinets, bookcases, wallboard, and paneling
Window blinds
Detached garage
Debris removal

When you purchase an NFIP flood insurance policy to protect your personal property, it will provide coverage for items such as:

Clothing
Furniture and electronic equipment
Freezer and frozen food
Washer, dryer, portable microwave, and dishwasher
Curtains and carpets not covered by your building policy
Window AC units
Up to $2,500 for valuables such as art and furs

How Do You Know If You Need Flood Insurance?

Low-risk flood zones are not the same thing as no-risk flood zones. Factors such as changing weather patterns and local dam projects could reduce the risk of flooding in the zone where your property is located, while other factors such as a residential development nearby could increase the risk. To find out the category of flooding risk in your community, go to the FEMA Flood Map Service Center. Our knowledgeable agency can assist you in evaluating your risk and finding flood insurance coverage that is right for you.

How Much Does Flood Insurance Cost?

The cost of flood insurance can vary dramatically depending on a variety of factors. While the main factor affecting premium costs is the level of risk according to government mapping data, other factors may also contribute to cost. As with any insurance, the more coverage you need, the higher your premiums will be. A flood elevation certificate may be required to determine the elevation of your home in relation to the base flood elevation level. Location of major utilities and appliances and renovations on the property may also affect cost. Our knowledgeable agency can help you determine how much flood insurance you need and find a suitable policy at the best available rates.

Are You An Unsafe Driver?

Driving on America’s roadways today is a dangerous undertaking. The National Highway Traffic Safety Administration (NHTSA) reports that the U.S. saw 37,461 traffic fatalities in 2016, many of which were caused by driver error.

Many people who consider themselves to be safe, dependable drivers actually have dangerous driving habits. Whether you’ve been driving for days or decades, avoiding the following common driving behaviors can help you stay safe on the road and lower your risk of an accident.

Distracted Driving

According to NHTSA, distracted driving claimed 3,450 lives in 2016. This dangerous driving behavior can be described as anything that takes the driver’s attention away from operating the vehicle. The three main types of driver distractions are visual (such as taking your eyes off the road to read a billboard), manual (such as taking your hands off the wheel to adjust the radio), and cognitive (such as taking your focus off of driving to talk with a passenger). Texting while driving is particularly alarming, as it involves all three types of distraction.

Drowsy Driving

Driving while fatigued can be just as dangerous as driving under the influence of alcohol. Drowsy drivers have slower reaction times and are more likely to fall asleep at the wheel. Sleeping drivers are likely to swerve off the road or into oncoming traffic, and they can do nothing to avoid a crash in the moments before impact. If you feel yourself beginning to nod off, either get some caffeine or pull off into a rest area that permits taking a nap in your car. You may arrive at your destination later than planned, but at least you will arrive.

Speeding

It may be natural to want to travel faster than posted speed limits, but it doesn’t change the fact that speeding is a leading cause of both traffic fatalities and tickets. According to the laws of physics, the faster you are traveling, the longer it takes to stop and the harder the impact if you crash. The likelihood of a collision increases if you are traveling faster or slower than the average flow of traffic, so make sure you pay attention to the posted speed limit.

Drafting Tractor-Trailers

Following closely behind a tractor-trailer may increase your fuel economy, but it can also increase your risk of an accident. Truckers can’t see what is directly behind them, so it is dangerous to drive any closer than 150 feet behind a big rig. By following too closely, you could be setting yourself up for a truck underride collision if the 18-wheeler must stop suddenly.

Aggressive Driving

Aggressive driving is a combination of multiple bad driving behaviors that are dangerous and likely to cause a crash. This can include excessive speeding, weaving in and out of traffic, tailgating, failing to yield the right-of-way, and disregarding traffic lights and signals. Even when traffic is sparse, aggressive driving is not only risky, but also extremely rude and stressful to your fellow drivers.

Importance of Car Insurance

It is a sad but true reality that many of us regularly risk our lives on today’s roadways. In 2015, NHTSA reported that over six million traffic crashes occurred in the U.S., 1,715,000 of which caused injuries.

Even if you are a safe and diligent driver with none of the undesirable habits mentioned above, you are still at risk anytime you drive. Another less responsible driver may involve you in a crash, which is why it is so important to have the right auto insurance coverage. Don’t leave your driving future up to chance. Our knowledgeable agency can help you find a policy that suits all your needs at the best available rates.

Understanding Your Auto Policy

Drivers are required to carry minimum liability coverage in most states in the U.S. This coverage provides some protection in case you are involved in an accident that causes injury to another or damage to someone else’s property. Most vehicle owners want additional optional coverage for damage to their own vehicles. Our experienced agency can work with you to tailor the coverage amounts you need in a policy that fits your budget.

Mandatory Automobile Insurance

Nearly every state in the U.S. requires vehicle owners to carry the following automobile liability coverage:

Bodily injury liability: This covers costs associated with injury or death caused by you or someone else driving your car.
Property damage liability: This coverage is designed to reimburse others for property damage caused by you or someone driving your vehicle.

Coverage Required in Many States

Depending on where you live, you may be required to carry the following coverage. Even if it is not required, consider adding it to your policy:

Medical or Personal Injury Protection (PIP): This coverage reimburses you or your passengers for medical expenses, lost wages, and other related expenses.
Uninsured/Underinsured Motorist Coverage: If you are involved in an accident caused by an uninsured or underinsured driver, this coverage will reimburse your costs. It also applies in the case of a hit-and-run accident.

Optional Coverage for Damage to Your Vehicle

Legally required auto liability insurance covers the costs of damage you cause to other vehicles, but it does not cover your own car. To have this type of coverage, you need to purchase optional insurance:

Collision: This coverage reimburses you for damage to your vehicle when you are at fault for a collision.
Comprehensive: This provides protection against theft and damage from other causes than a collision, such as falling rocks or trees, hail, fire, flooding, or vandalism.
Glass coverage: Some auto policies include no-deductible coverage for damage to the windshield, side windows, rear window, or glass sunroof. Supplemental glass coverage is also available.

Gap Insurance

Collision and comprehensive cover the market value of your car, which may be considerably less than what you paid for it, factoring in depreciation. If your car is totaled, you could end up owing more for the vehicle than your policy will cover. Gap insurance will cover the difference.

Who Is Covered Under a Personal Auto Insurance Policy?

Your auto insurance policy covers you and any family members on your policy. Coverage is in effect when you are driving your own car or someone else’s car with their permission, or when someone not on your policy is driving your vehicle with your consent.

A personal auto policy only provides coverage when you are driving for personal reasons. It will not cover you when and if you are using your car for commercial purposes. Most personal auto policies will not provide coverage to drivers who are providing transportation to others for commercial reasons (e.g., Uber and Lyft drivers). However, some insurance companies are now offering supplemental insurance to extend coverage for owners of vehicles who are providing ride-sharing services. This supplemental insurance is provided at an additional cost.

Homeowners Insurance: When Do You File A Claim?

Homeowners insurance is designed to cover damage to your property caused by certain covered events. It stands to reason that as you are paying your premiums, you should take advantage of available coverage. However, the reality is that it is not always advisable to file a homeowners insurance claim, as it can lead to higher premiums or even cancellation in some cases.

Underwriters tend to frown on policyholders who make more than the average number of claims. They prefer to continue insuring homeowners who make the fewest number of claims. In deciding whether to file a claim, consider the following:

Don’t claim the smaller stuff: It may not be in your best interests to file a claim for $5,000 or less. A single claim can result in a considerable increase in your premiums.
Take the largest deductible you can afford: Insurance companies offer deductibles ranging from $250 to $25,000. Consider carrying a deductible of at least $5,000. Anything less falls into the category of the smaller stuff that you should not claim anyway. A higher deductible can mean significant savings on your premiums. If your insurance company does not offer deductibles as high as $5,000, take the highest deductible available.

How Does Filing a Claim Affect Your Homeowners Insurance Premiums?

Filing a claim can affect your premiums in two ways. First, your premiums are likely to increase considerably. Second, if your policy is cancelled for filing claims, you will need to find another insurer. This can difficult with a claims history, and you can expect to pay more in premiums and fees. You may have to settle for insurance that protects your home but will not fully cover all the costs of rebuilding.

Why Is It that Consumers Paying for Insurance Cannot Use it without Losing It?

You can use you homeowners insurance without losing it, but only very infrequently and not exceeding the national average for claims. Most insurance companies will not cancel a homeowners policy for only one claim. However, filing a second claim within a certain period of time could have financial repercussions in the form of a higher premiums, possible cancellation, and higher costs with less coverage if you are forced to look for a new carrier. Even a claim that is denied can impact your rates.

How Clean Is Your CLUE Report?

Insurance companies keep track of your claims history in a form that is similar to a credit report. They use the Comprehensive Loss Underwriting Exchange (CLUE), which shows all your personal property and auto claims over the past seven years. Every claim that is paid out is reported, and a file is set up for every claim denied.

The more you use your homeowners insurance, the more it is likely to cost you in the future. Although it can be frustrating not to use the coverage you are paying for, it could cost you more in the long-run if you do. Contact our knowledgeable agency for guidance on when to file a homeowners insurance claim.

Understanding Your BOP

A business owners policy (BOP) combines protection from all major business property and liability risks in one convenient package. Package policies are created for small and mid-sized businesses that face the same type and degree of risk.

A policy that combines property and business liability insurance can cover your business for claims resulting from fire, theft, and other covered disasters, as well as for claims that could arise from business operations involving property damage, bodily injury, or personal and advertising injury.

A BOP can be custom-tailored to meet the unique needs of your business. Our experienced agency can work with you to add additional specialized coverage, such as data breach or business income for off-premises utility services, to your business owners policy.

Do You Need a Business Owners Policy?

Most businesses do need a BOP. Consider a business owners policy if:

Your business has a physical location. This could be out of your home, an office you rent or own, a store, or any other workplace.
Your business has assets that could be damaged or stolen. This applies no matter what type of assets they are – equipment, furniture, cash, inventory, digital assets, or customer data.
A possibility exists of your business being sued. For example, a lawsuit could arise if a customer had a slip and fall accident or was otherwise injured on your premises.

What Is Included in a Business Owners Policy?

A BOP typically includes the following coverage:

Commercial property insurance: This protects property your business owns, leases, or rents, including buildings, furniture, fixtures, equipment, and inventory. It also provides coverage for loss of accounts receivable and valuable records.
General liability insurance: Business liability insurance covers your business in case a lawsuit is filed against the business claiming property damage or personal injury. It helps cover the cost of your defense and damages you may be required to pay if the company is found liable.
Business income insurance: If unexpected events in a covered cause of loss result in suspension of your business operations, business income insurance helps replace the loss of income so you can meet your financial obligations, such as payroll and rent.

Tailoring a BOP to Your Specific Needs

You can add additional coverage to your business owners policy to suit the needs of your company. Our knowledgeable agency can help ensure that your business has the coverage it needs. Popular optional coverage includes:

Data breach coverage: This added protection is advisable for any business that handles or stores private customer, patient, or employee information. If a breach occurs, data breach coverage can help pay for expenses associated with notifying individuals affected by the breach, credit monitoring services, and public relations damage control. It can also replace lost income if operations close or slow down because of the breach and pay any ransom or extortion expense associated with the threat of a breach.
Professional liability coverage (Errors and Omissions): If you provide a professional service, you are open to customer or client claims alleging negligent acts, errors, or omissions. Professional liability insurance helps protect your business from this type of claim.

Understanding Your Homeowners Policy

Most people don’t want to think about their homeowners insurance until they need it. Homeowners policies are lengthy, complicated, and written in legalese. Nevertheless, it could pay off to thoroughly understand your homeowners policy and know how it works. Our agency is happy to assist you with not only finding the right homeowners policy, but also with understanding what is in it.

Basics of Homeowners Insurance

Understanding what is and is not covered by your homeowners policy can make all the difference in whether you can rebuild your home and replace your personal belongings after a disaster. Our agency can help you with an annual checkup to ensure you are keeping up with the costs of building and remodeling and inventories of your personal belongings.

When you insure your home, you are insuring two separate things – the structure of your home, and your personal belongings. Your homeowners insurance also covers your legal liability up to policy limits in case you, your family members, or your pets cause harm to others or their property.

Insuring the Structure of Your Home

Homeowners insurance typically covers damage to your home from fire, hail, water (excluding flooding), windstorms, riots, explosions, and other sudden and unexpected losses. You have the option to insure the structure of your home in one of three different ways:

Replacement cost coverage: In this case, the insurance company will pay you the cost of replacing your damaged property with no deduction for depreciation, up to a maximum dollar amount.
Extended replacement cost: This type of policy covers up to a certain percentage over the maximum dollar limit, typically 20%. It protects variables, such as a sudden increase in the cost of construction.
Actual cash value: In this case, the insurance company will pay out the cost to replace your home minus depreciation for age and use. Depending on the age of your home, replacement costs in the marketplace today could far exceed actual cash value.

It would be wise to insure your home for the total amount it would cost at present to rebuild it if it were destroyed. If you don’t have enough insurance, the company may only pay out a portion of the cost of repairing or replacing damaged items.

Insuring Your Personal Belongings

There are two ways to insure your personal belongings under a homeowners insurance policy:

Replacement cost coverage: This type of coverage pays the dollar amount needed, without deduction for depreciation, to replace damaged personal property with items of like kind and quality.
Actual cash value: The policyholder receives the replacement value of damaged property minus depreciation. Coverage is for real cash value unless the policy specifies that property is covered for replacement value.

When you are insuring your personal belongings, make an inventory of your belongings, including all available information, such as make and model numbers, serial numbers, purchase price, date of purchase, and present value. Check your policy limits on personal items and consider a “floater” or personal property endorsement that allows you to insure valuable items separately if the limits are too low. Our knowledgeable agency can assist you in finding the coverage you need to fully protect your home and belongings at the best available rates.

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