It’s raining lawsuits in Louisiana. Do you have an umbrella?

umbrella insurance

When we meet with a homeowners insurance customer,  we review their auto insurance and current homeowners insurance policies and over 90% of home owners have the minimum Liability insurance limit to protect their assets.

You worked so hard to buy a house,  a few cars, maybe even a boat. 

Why leave your assets at risk to an Orleans or Jefferson parish judge to take away?

Accidents do happen.

 

“Something that could never happen in a million years,  only takes a second”

 

Types of claims that can exceed your basic liability policy limit?

Bump the wrong person in the fast food drive thru lane and you own their existing injuries.

Judges in our area do not care about low impact collisions.

Property damage does not determine severity of injury.

The billboard attorney sends the other driver to the chiropractor for 6 months,  orders an MRI and now they have a herniated disc.

But you only have 15,000 limit on your auto policy and you own a house.

It goes to court and a judge hands down a $75,000 judgement.

Your policy pays the $15,000 and now you owe $60,000 out of your pocket.

 

Myth #1  I don’t have 1,000,000 in assets so why do I need 1,000,000 in coverage?

 

If you are sued and there is a judgment,  its not only what you have now, but it will follow your future earnings, investments, retirement fund and can even garnish your wages to satisfy the judgement.

What if you are involved in a serious accident and you are at fault?

What if someone falls down at your house during a Saints game bbq?

These claims can escalate and your assets are now on the table to make good on the claim if you have low liability limits.

Ok.  What is an Umbrella?

It is an additional liability policy that provides asset protection from 1,000,000-5,000,000 of coverage on top of your existing auto, home, boat and rental properties underlying liability policy.

So if you have 300,000 liability on your house,  you would get an additional 1,000,000 of liability protection in case of a claim, lawsuit or just the cost to defend a frivilous claim against you.

 

Myth #2  The cost of 1,000,000 of extra liability with an Umbrella must be expensive.

 

No.  Annual premiums begin at $200

How do I know if I need an Umbrella policy?

Do some simple math.

Add up your 

  • bank account
  • investment accounts
  • home equity value
  • estimated future earnings
  • car, boat or rental property values

Do these add up to more than your current auto insurance limit?

What about your homeowners insurance liability limit?

More than likely your liability limits are way too low.

Maybe you purchased your auto and home policies when you were at a different financial position in your life.

Have things changed?

 

What’s this all about?

An Umbrella allows you the comfort to rest easy knowing you are protected from billboard attorneys,  claimant friendly jury of your peers or just a judge that is trying to take care of the people who voted him in.

If you feel your assets are exposed and you don’t have enough liability protection

or no insurance agent ever recommended you get more protection

My name is Tim D’Angelo

I am the owner of FM Agency Group

and I would like to review your current insurance policies and make some recommendations.

If you want to learn more about an Umbrella policy click here

Breakin’ down Homeowners Insurance coverage part 1

breakin down insurnace

We often get calls from homeowners asking about getting a more competitive premium on their homeowners insurance with a lower a deductible.

When we are able to review their current coverage,  we sometimes find they don’t even have a homeowners insurance policy.

We discover they have a rental dwelling policy endorsed to owner-occupied.

So what?

When you buy a dwelling policy instead of a homeowners policy,

 

YOU WILL LOSE 3 IMPORTANT COVERAGES

 

1.  No coverage for Theft on your contents

The policy indicates no coverage for theft on your contents.  

Although your agent gave you contents coverage,  if there is a break in or something walks away,  you have no coverage.

 

2.  Actual Cash Value settlement on Contents Coverage

If you have to make a claim for damage to your contents in the house,  you will not receive Replacement Cost.

The company will take depreciation off of your property.

So if you have a 5 year old sofa you purchased for $2500, you are not going to receive $2500 or the cost to replace at today’s price to buy another one.

 

3.  Water Back Up Coverage

Water Back Up covers toilets, drains, discharges and sump pumps or any place where excess water can “backup” into your house.  (this is not rising water from the street…that is a flood claim)

A possible claim is after a hard rain for some unknown reason the water is being pushed out of the toilet onto your bathroom floor.

You make the claim and discover this is not covered under your Dwelling Policy.  

Most homeowners insurance policies don’t cover this either unless the policy is endorsed.

 

What’s this all about?

Take a look at your current homeowners insurance declarations page and see if you can find

HO-3 Special Form  (replacement cost homeowners policy)

DWG-1 or DWG-3 (rental dwelling policy that may be endorsed as owner-occupied)

You don’t want to be caught with a future claim denial because you thought you purchased a homeowners insurance policy

My name it Tim D’Angelo

I am the owner of FM Agency Group

I would love the opportunity to talk to you about homeowners insurance.

Give me a call now 504.348.3131

or complete this form now