Understand Your Insurance Coverage When it Comes to Hi-Tech Gifts
Does Your Insurance Cover Hi-Tech Gifts?
By Tim Dodge
Electronics are some of the most popular holiday gifts either given or received. Yet a recent Trusted Choice@ survey finds seven of eight shoppers do not fully understand key aspects of their insurance coverage when it comes to these expensive toys. Trusted Choice@ is a national consumer brand representing thousands of independent insurance agents and brokers who are committed to quality service while offering a wide range of products.
Respondents of the national study consist of those who are expecting or giving such presents as iPods and iPhones, video gaming systems, computers and plasma televisions. Only one-fifth of those surveyed said they plan to contact their insurance agent to discuss the need for additional coverage.
Although most homeowners or renters policies cover electronic devices, consumers should be aware of important exceptions, such as coverage limitations and exclusions:
- Most homeowners or renters policies do not cover electrical power surges, although 55 percent of those polled in the Trusted Choice@ survey believe otherwise. Also excluded in most cases is the loss of digitally downloaded data. Even if your computer is covered by fire, windstorms and theft, downloads are not. Consider surge protectors or an uninterruptible power supply and securely back up information to multiple locations or a portable storage device as well as insurance policies that cover specialty electronics.
- If your gift list includes technology for someone who works at home, keep in mind that homeowners and renters polices do not offer adequate protection for home-based businesses. A Business Owners Policy provides coverage to in-home business equipment and includes theft, damage and various liability protections.
- Of households who rent, nearly seven in 10 do not have renters insurance. A typical owner’s policy on rental property covers building structures, but not the contents or liability of individual tenants. For as little as $150, renters insurance can provide comprehensive protection similar to that of a basic homeowners policy.
- Other valuables such as wine, fine art, jewelry or antiques need special insurance called floaters. Add this additional coverage to your renters or homeowners policy for a nominal fee.
- Consider buying flood insurance, even though you may not be located in a flood plain. Flood insurance can cover loss of property and contents caused by a broken water main, snowmelt, heavy rains, etc. Homeowners or renters insurance do not cover flood losses caused by rising water.
- Review your insurance policies with a qualified, licensed insurance professional. An insurance policy is a legal document that many consumers may not fully understand.
There is enough activity during the holiday season to last throughout the year. Do not complicate your life with the haze and maze of insurance. For piece of mind, contact a Trusted Choice@ agent in your area by going to www.trustedchoice.com.
Update Your Insurance Coverage Before Winter
Winterize with Insurance Tune-up
By Tim Dodge
With winter nearly upon us, now is the time to prepare for its harsh and unpredictable weather. A visit to the “car doctor” is essential, as well as updating insurance coverage-both home and auto. Recommendations from AAA
Western and Central New York include the following winter driving preparations:
- A thorough inspection of your vehicle may be necessary to determine its winter worthiness. This mechanical check-up should include tires, windshield wiper blades, radiator, belts, and the battery, to name a few.
- Carry a “survival kit” in your car at all times, including a small bag of abrasive material (sand, salt, nonclumping cat litter); flashlight and extra batteries; small snow shovel, snow brush and ice scraper; windshield washer fluid; cloth or roll of paper towels; booster cables; blanket; protective clothing such as heavy gloves, scarf, warm boots; warning devices (triangles); first aid kit; drinking water and a granola or candy bar.
- Plan long trips carefully, and begin your journey by following weather forecasts. Also, conduct as much of your trip as possible in daylight, and reduce the risk of fatigue and unseen road hazards.
- Observe roadway conditions and laws, such as speed limits and icy pavement zones. New York state requires the use of seatbelts and prohibits hand held operation of cell phones while driving.
- Consider buying comprehensive physical damage coverage for your cars. This will cover damage caused by
falling objects such as heavy icicles. In addition to the many hazards that drivers must endure across New York state, winter can be brutal to homes and other properties. Make sure to update your homeowner’s or renters insurance coverage using these recommendations: - Having enough insurance to cover the cost of replacing the home is essential. If you built a home for
$200,000 three years ago and have since added on without changing your insurance, a loss will catch you
short. In addition, by combining auto and homeowners policies, a Trusted Choice® independent insurance
agent may offer a discount on the price you pay. - To cover flood losses, talk to your agent about buying flood insurance through the National Flood Insurance
Program. Be aware that there is a 30-day waiting period from purchase to the start of coverage. - To assist in proving a claim against the insurance company, it is important to keep an inventory of household
possessions, receipts for the purchase of items, and/or a videotape or photographs of your belongings.
A Trusted Choice® independent insurance agent represents a multiple of insurance companies, and can tailor-make a policy based on coverage and budget. Finding a Trusted Choice® agent near you is easy-go to www.trustedchoice.com. Prepare for the unexpected weather ahead-winterize your car, home and insurance coverage.
Tim Dodge is director of research and external communications for the Independent Insurance Agents & Brokers of New York, Inc. Established in 1882, IIABNY has represented the common business interests of independent insurance protessionets for 125 years. For further information, e-mail Dodge at tdodge@iiabnv.org. Many IIABNY member-agencies also embrace Trusted Choice@, a national consumer brand that unites more than 7,000
