Understanding Escrow Accounts In Homeowners Insurance
/ By Charlene Echerivel / Home Insurance/ / 0 Comments

What is an escrow account?

Understanding Escrow Accounts In Homeowners Insurance

Escrow accounts are a common component of homeowner's insurance, often integrated into the mortgage process. But what exactly is an escrow account and how does it work? Let's delve into the details to understand its role in homeowner's insurance.

What is an Escrow Account?

An escrow account is a financial arrangement established by a mortgage lender to hold funds for the payment of property-related expenses, including homeowner's insurance premiums and property taxes. When you have a mortgage, your lender may require you to set up an escrow account to ensure these expenses are paid on time.

Here's how an escrow account works:

What is an Escrow Account

Initial Setup

When you close on your mortgage, your lender may collect an initial deposit to fund the escrow account. This deposit is typically based on estimates of your annual homeowner's insurance premiums and property taxes.

Monthly Payments

As part of your monthly mortgage payment, a portion goes toward the principal and interest on the loan, while another portion is deposited into the escrow account to cover property-related expenses. Your lender manages the escrow account and makes payments on your behalf when they come due.

Monthly Payments

Annual Review

Each year, your lender conducts an escrow analysis to ensure that the funds in the account are sufficient to cover upcoming expenses. If there is a shortage or surplus, your monthly escrow payment may be adjusted accordingly.

Payment of Expenses

When your homeowner's insurance premium or property taxes are due, your lender uses funds from the escrow account to make the payments on your behalf. This helps ensure that these essential expenses are paid on time, reducing the risk of penalties or lapsed coverage.

Payment of Expenses

Transparency and Accountability

You have the right to receive an annual escrow account statement from your lender, detailing the activity in the account, including deposits, withdrawals, and any changes to your monthly payment amount.

In summary, an escrow account is a convenient way for homeowners to manage and budget for property-related expenses, including homeowner's insurance premiums. By working in conjunction with your mortgage lender, an escrow account helps ensure that these expenses are paid in a timely and efficient manner, providing peace of mind for homeowners.

Does Homeowners Insurance Cover Pet Damage
/ By Charlene Echerivel / Home Insurance/ • / 0 Comments

Does Homeowners Insurance Cover Pet Damage

Does Homeowners Insurance Cover Pet Damage

Pets are cherished members of our families, but they can sometimes cause accidental damage to our homes. Whether it's a curious puppy chewing on furniture or a cat knocking over a valuable vase, pet-related incidents can result in unexpected repair costs. This leads many homeowners to wonder: does homeowners insurance cover pet damage?

Damages to Your Home

In most cases, homeowners insurance does not cover damage caused by your pets. Standard homeowners insurance policies typically exclude coverage for damage caused by animals you own or care for, including pets like dogs, cats, birds, and exotic animals. This means that if your pet damages your property or belongings, you'll likely be responsible for covering the repair or replacement costs out of pocket.

Damages to Your Home

Damage to Someone Else's Home

However, there are some exceptions to this rule. If your pet causes damage to someone else's property or injures someone, your homeowners insurance liability coverage may provide protection. For example, if your dog escapes from your yard and bites a neighbor or damages their property, your liability coverage may help cover their medical bills or property repair costs, up to the limits of your policy.

Policy Endorsements

Additionally, some homeowners insurance policies offer optional endorsements or add-ons that provide coverage for pet-related damage. These endorsements may cover specific types of damage caused by pets, such as chewed furniture or scratched floors. However, it's essential to review your policy carefully and speak with your insurance agent to understand what types of pet damage are covered and any limitations or exclusions that may apply.

Policy Endorsements

Proactive Measures

To protect yourself from potential financial losses due to pet-related damage, consider taking proactive measures. Invest in training and obedience classes to help prevent destructive behaviors in your pets. Use pet gates, crates, or secure outdoor enclosures to limit your pet's access to areas where they could cause damage. And if you're concerned about potential liability issues, consider purchasing additional liability coverage or an umbrella insurance policy for extra protection.

In conclusion, homeowners insurance typically does not cover damage caused by your pets. While liability coverage may help if your pet injures someone or damages their property, it's essential to review your policy and consider optional endorsements for additional coverage. Taking preventive measures and being prepared can help you avoid unexpected expenses and protect your home and finances from pet-related incidents.

How Does My Credit Score Affect My Insurance Premium
/ By Charlene Echerivel / Health Insurance • Home Insurance • Life Insurance • Personal Insurance • Vehicle Insurance/ • • / 0 Comments

How Does My Credit Score Affect My Insurance Premium

How Does My Credit Score Affect My Insurance Premium

Your credit score is a crucial factor that impacts various aspects of your financial life, from obtaining loans to securing favorable interest rates on mortgages. However, what many people may not realize is that it also plays a significant role in determining your insurance premiums. Understanding the relationship between your credit score and insurance rates can help you make informed decisions to potentially lower your premiums and save money.

What Are Credit Scores?

Insurance companies use credit-based insurance scores to assess the risk associated with insuring an individual. These scores are calculated using information from your credit report, such as your payment history, outstanding debt, length of credit history, new credit accounts, and types of credit in use. By analyzing this data, insurers can predict the likelihood of you filing a claim and estimate the potential cost of providing coverage.

Insurance companies use credit-based insurance scores

How Are Credit Scores Used?

A higher credit score typically correlates with lower insurance premiums, while a lower credit score may result in higher premiums. This is because individuals with higher credit scores are seen as more financially responsible and less likely to file claims. Conversely, those with lower credit scores may be viewed as higher-risk individuals who are more likely to file claims, leading to higher premiums to offset the perceived risk.

Variations By State

It's essential to note that the use of credit-based insurance scores varies by state and insurer, and not all states allow insurers to consider credit information when calculating premiums. Additionally, some states have regulations in place to limit the impact of credit scores on insurance rates or require insurers to offer discounts or exceptions to individuals with certain circumstances, such as medical debt or identity theft.

the impact of credit scores on insurance rates

How to Improve Your Credit Score

If you're concerned about how your credit score is affecting your insurance premiums, there are steps you can take to potentially improve your score and lower your rates. Start by reviewing your credit report regularly to check for errors and address any discrepancies. Pay your bills on time, keep your credit card balances low, and avoid opening unnecessary new accounts. Over time, these responsible financial habits can help improve your credit score and lead to lower insurance premiums.

In conclusion, your credit score can have a significant impact on your insurance premiums. By understanding how insurance companies use credit information to assess risk, you can take proactive steps to improve your credit score and potentially lower your insurance rates. Remember to review your credit report regularly, practice responsible financial habits, and explore opportunities to save money on your insurance coverage.

Dog Bite Liability
/ By Charlene Echerivel / Home Insurance/ • / 0 Comments

Dog Bite Liability

Dog Bite Liability

As a local insurance agent, it is important to understand the liability associated with dog bites. According to the Insurance Information Institute (III), there are around 4.5 million dog bites in the United States each year, and the average liability insurance claim for dog bites is $17,5971. This is why it is crucial for dog owners to have the right insurance coverage to manage the expenses.

Restrictions to Coverage

Homeowners insurance policies usually cover dog bite liability, but it is important to understand the coverage restrictions and when dog bites are covered. The Insurance Information Institute (III) recommends that dog owners should be responsible and take measures to prevent dog bites, such as training their dogs and keeping them on a leash.

Dog Owner's Responsibility

What If You Get Bit?

In the event of a dog bite incident, it is important to take immediate action. The victim should seek medical attention, and the dog owner should provide their contact information and insurance details. The dog owner should also report the incident to their insurance company as soon as possible.

Education is Important

As a local insurance agent, it is important to educate dog owners about the risks associated with dog bites and the importance of having the right insurance coverage. It is also important to provide guidance on how to be a responsible dog owner and prevent dog bites from happening in the first place.

 

Risks of Dog Bites

In conclusion, dog bite liability is a serious issue that requires attention from both dog owners and insurance agents. Contact your Intelli Choice agent to take the necessary precautions. By having the right insurance coverage, dog owners can protect themselves and their pets from the financial consequences of a dog bite incident.

The Benefits of Bundling Insurance
/ By Charlene Echerivel / Health Insurance • Home Insurance • Life Insurance • Personal Insurance • Vehicle Insurance/ • • / 0 Comments

The Benefits of Bundling Insurance Policies

The Benefits of Bundling Insurance

In the world of insurance, bundling isn't just for convenience—it's a strategic move that can yield a plethora of benefits. Bundling insurance policies involves purchasing multiple types of coverage from the same insurance provider. This approach is gaining popularity due to its potential to save you money, simplify your insurance management, and provide enhanced coverage. Let's delve into the advantages of bundling your insurance policies.

Cost Savings

One of the most enticing benefits of bundling insurance policies is the potential for significant cost savings. Insurance companies often offer discounts to customers who consolidate their policies. This can result in lower premiums across the board, making your insurance costs more manageable without compromising on coverage.

Insurance Cost Savings

Simplified Management

Managing multiple insurance policies from various providers can be a logistical challenge. Bundling simplifies the process by centralizing your policies under a single insurance company. This means one point of contact, one renewal date, and streamlined paperwork. The convenience of managing all your insurance needs in one place can save you time and reduce the risk of overlooking important details.

Enhanced Coverage

Bundling isn't just about convenience and cost savings; it can also lead to enhanced coverage. When you bundle, insurance providers often extend broader coverage options that might not be available if you were purchasing individual policies. This can include additional benefits or higher coverage limits, giving you more comprehensive protection.

Enhanced Coverage

Qualify for Special Discounts

Some insurance companies offer unique discounts or perks exclusively to policyholders who bundle their coverage. These could include benefits like accident forgiveness, disappearing deductibles, or even specialized coverage options that cater to your specific needs.

Building a Stronger Relationship with Your Insurer

Bundling insurance policies can foster a stronger relationship between you and your insurance provider. As you become a multi-policy customer, insurers may be more inclined to offer personalized advice, better customer service, and increased responsiveness to your needs.

Enhanced Coverage

Flexibility to Choose Policies That Fit

Bundling doesn't mean sacrificing flexibility. You can still choose policies that fit your unique requirements. For instance, you might bundle auto and home insurance, but you could customize your coverage levels based on your vehicle type, home location, and personal preferences.

The benefits of bundling insurance policies extend beyond mere convenience. It's a strategic move that can lead to substantial cost savings, streamlined management, broader coverage, and even exclusive discounts. If you're looking for a way to optimize your insurance portfolio while simplifying your life, bundling policies with a Intelli Choice Insurance could be the smart choice for you.

Coastal Property Insurance
/ By Charlene Echerivel / Home Insurance/ • • / 0 Comments

About Coastal Property Insurance

Coastal Property Insurance

Coastal property insurance is a type of insurance that provides protection to homeowners and businesses located in coastal areas against losses that may result from natural disasters and weather-related events such as hurricanes, floods, and storms. Property owners living near the coast need to consider purchasing coastal property insurance to protect their property.

The cost of coastal property insurance varies depending on several factors, such as the location of the property, the age of the property, the type of construction, and the insurance coverage limit. In some areas, such as hurricane-prone regions, the cost of coastal property insurance can be higher than in other regions.

How location of the property effects insurance

It is essential to understand what types of events are covered by coastal property insurance policies. For instance, many coastal property insurance policies do not cover losses resulting from flooding, which is a significant risk for properties located near the coast. Property owners may need to purchase separate insurance for other events, such as a flood insurance policy.

It is also important to note that coastal property insurance policies often have deductibles that can be significantly higher than deductibles for other types of insurance policies. This means that property owners may need to pay a higher out-of-pocket expense before the insurance coverage kicks in. Property owners should carefully review their insurance policies and understand their deductibles to avoid any surprises when filing a claim.

Coastal Property Deductibles

In conclusion, coastal property insurance is highly valuable for homeowners and businesses located in coastal areas. It provides protection against losses resulting from natural disasters and weather-related events. Contact Intelli Choice today to ensure you have the appropriate insurance coverage to protect your investments. We have the expertise and knowledge to offer customized insurance policies that meet the unique needs of coastal property owners.

Insurance Claims A Guide to Filing
/ By Charlene Echerivel / Commercial Insurance • Disaster Coverage • Home Insurance • Personal Insurance • Vehicle Insurance/ / 0 Comments

Navigating the Path to Successful Insurance Claims: A Guide to Filing with Confidence

Insurance Claims A Guide to Filing

As a Dave Ramsey trusted provider, Intelli Choice Insurance is committed to providing valuable, expert advice to our customers. Today, we'll walk you through the process of filing an insurance claim, whether you're dealing with homeowners or auto insurance, and events such as floods or auto accidents. We'll cover everything from gathering the necessary information to receiving your payout.

Be Prepared: Gather and Store Important Information

Before an emergency strikes, it's important to have all the necessary information ready. Here's a checklist of what you should gather and store:

Insurance policy numbers and documents
Insurance company contact information
Emergency contacts (e.g., medical, legal, or financial professionals)
Digital copies of essential documents (e.g., birth certificates, property deeds, or vehicle titles)

Keep both physical and digital copies of these documents in a secure place, such as a fireproof safe or encrypted cloud storage.

Important information for insurance claims

Initiating the Claim Process: Where to Start

When you need to file a claim, your first step should be contacting your insurance agent or carrier. They will guide you through the process and help determine the type of claim you need to file.
If you're dealing with a natural disaster or widespread event, be prepared for higher call volumes and potential wait times. In this case, it might be helpful to review your policy documents and prepare any necessary information in advance.

Timing Matters: When to File a Claim

Most insurance policies require you to file a claim as soon as reasonably possible after an incident. Delaying the claim process could result in the denial of coverage or reduced payouts.
Keep in mind that each state has specific deadlines for filing insurance claims, which may vary depending on the type of coverage and event. Consult with your insurance agent or carrier for guidance on filing deadlines.

When to File a Claim

The Essentials: What Information You'll Need

To ensure a smooth claims process, gather the following information:

Your policy number and insurance information
A detailed description of the incident, including date, time, and location
Photos or videos of the damage, if applicable
Witness statements, if available
Repair estimates, if applicable
Police or incident reports, if applicable

Receiving Your Payout: How Soon Will You Get Paid?

The timeline for receiving your insurance payout varies depending on the type of claim, your insurer, and the complexity of the incident. Most insurance companies aim to resolve claims promptly, often within 30 days of filing.
In some cases, such as natural disasters or widespread events, the claims process may take longer due to the volume of claims being processed. Stay in touch with your insurance agent or carrier for updates on the status of your claim.

How Soon Will You Get Paid from an Insurance Claim

By following these guidelines and partnering with a trusted insurance provider like Intelli Choice Insurance, you can confidently navigate the insurance claim process. No matter what life throws your way, rest assured that we're here to help protect your most valuable assets.
Don't hesitate to contact us today for assistance with the claim process. Our team of knowledgeable experts is ready to support you every step of the way.

Common Holiday Insurance Claims
/ By Charlene Echerivel / General • Home Insurance • Personal Insurance/ / 0 Comments

Common Holiday Insurance Claims

Common Holiday Insurance Claims

As an insurance agent, I have seen many holiday insurance claims over the years. While going on holiday is supposed to be a time of relaxation and enjoyment, accidents and incidents can happen, and it's important to have the right insurance coverage to protect yourself and your belongings. Here are some of the most common holiday insurance claims that I have come across:

Medical Emergencies

This is by far the most common holiday insurance claim. Medical emergencies can happen anytime, anywhere, and can be costly without the right coverage. Travel insurance typically covers medical expenses, including doctor visits, hospital stays, and emergency transportation, so it's important to make sure you have adequate coverage before you travel.

Travel Insurance for Medical Emergencies

Trip Cancellation

Sometimes unforeseen circumstances may arise that can cause you to cancel your holiday plans. This could be due to a family emergency, illness, or other unexpected events. Trip cancellation coverage can help you recoup your expenses if you need to cancel your trip due to a covered reason.

Lost or Stolen Luggage

Another common claim is lost or stolen luggage. This can be a frustrating experience, especially if you lose valuable items. Most travel insurance policies provide coverage for lost or stolen luggage, which can help you replace your belongings.

Travel Insurance for Lost or Stolen Luggage

Flight Delays and Cancellations

Flight delays and cancellations can cause a lot of stress and inconvenience, especially if you have connecting flights or important events to attend. With travel insurance, you can get compensation for additional expenses, such as meals and accommodation, if your flight is delayed or canceled.

Rental Car Accidents

If you plan to rent a car during your holiday, it's important to have insurance coverage. Rental car accidents can be costly, and without insurance, you may be responsible for paying for damages out of pocket.

Rental Car Accidents

In conclusion, holiday insurance is an essential investment for any traveler. While you can't always prevent accidents or incidents from happening, you can protect yourself and your belongings with the right coverage. By understanding the most common holiday insurance claims and ensuring you have adequate coverage, you can enjoy your holiday with peace of mind.

What Homeowner’s Insurance Coverage Should I Have
/ By Charlene Echerivel / Disaster Coverage • Home Insurance/ / 0 Comments

What Homeowner’s Insurance Coverage Should I Have

What Homeowner’s Insurance Coverage Should I Have

As a homeowner, it's important to have adequate insurance coverage to protect your investment and personal belongings in the event of an unexpected event such as a fire, theft, or natural disaster. While insurance policies can be complex and vary depending on your specific needs, here are some key areas to consider when choosing your homeowner's insurance coverage:

This coverage is designed to protect the physical structure of your home in case of damage or destruction. It includes repairs or rebuilding of the house, as well as any attached structures such as garages, decks, or porches. The amount of dwelling coverage you need should be based on the estimated cost of rebuilding your home, not the current market value.

Dwelling coverage

This coverage is intended to protect your personal belongings, such as furniture, electronics, clothing, and jewelry, in the event of theft, fire, or other covered events. The amount of personal property coverage you need will depend on the value of your belongings, and it's important to take inventory and document everything you own to ensure adequate coverage.

Liability coverage protects you in case someone is injured on your property, or if you or a family member accidentally cause damage to someone else's property. This coverage can also provide legal representation if you are sued. Liability coverage typically starts at $100,000, but many experts recommend purchasing at least $300,000 in coverage.

Liability coverage

If your home becomes uninhabitable due to a covered loss, additional living expenses coverage can help pay for temporary housing, food, and other living expenses until your home is repaired or rebuilt.

Depending on your location, you may need to purchase separate flood insurance coverage to protect your home and personal belongings from flood damage. Standard homeowner's insurance policies typically do not cover flood damage.

Flood insurance

Similarly, if you live in an area prone to earthquakes, you may need to purchase separate earthquake insurance coverage.

In addition to these key areas of coverage, there may be other options available to you depending on your needs, such as scheduled personal property coverage for high-value items, or identity theft coverage. It's important to work with an experienced insurance agent who can help you assess your specific needs and ensure that you have adequate coverage in place to protect your home and assets.

Surprising Things Insurance Will Not Cover
/ By Charlene Echerivel / Commercial Insurance • Disaster Coverage • Home Insurance • Life Insurance • Personal Insurance • Vehicle Insurance/ • • / 0 Comments

Surprising Things Insurance Will Not Cover

Surprising Things Insurance Will Not Cover

Insurance is a type of contract that provides financial protection to the policyholder against future uncertainties. It is designed to help individuals and businesses manage risks and minimize potential financial losses. However, there are some surprising things that insurance may not cover, which individuals should be aware of to avoid being caught off guard.

Intentional Acts

One of the surprising things that insurance may not cover is intentional acts. Insurance policies typically cover accidental damage or loss, but they do not cover intentional acts. For instance, if you deliberately damage your own property or cause harm to another person or their property, your insurance policy may not provide coverage.

Intentional Acts are not covered by insurance

Natural Disasters

Another thing that insurance may not cover is certain types of natural disasters. While most insurance policies cover natural disasters like hurricanes, earthquakes, and floods, there are some events that may not be covered. For instance, some policies do not cover damage caused by landslides, sinkholes, or volcanic eruptions.

Pests or Insects

Insurance may also not cover damages caused by pests or insects. If your home is infested with termites or rodents, your insurance policy may not cover the damage caused by these pests. This is because insurance policies typically do not cover damages caused by wear and tear or neglect.

pests or insects are not covered by insurance

Cybercrime

Additionally, insurance may not cover damages caused by cybercrime. If your personal or business information is stolen or hacked, your insurance policy may not cover the resulting financial losses. While some insurance companies offer cyber insurance policies, they may not cover all types of cybercrime.

Damage Caused by Recreational Vehicles

Lastly, insurance may not cover damages caused by certain types of vehicles. If you own a recreational vehicle or a high-performance sports car, your insurance policy may not cover damages caused by these vehicles. This is because these vehicles are considered high-risk and may require additional coverage.

In conclusion, insurance is an essential tool to manage risks and protect against financial losses. However, it is important to understand what insurance policies cover and what they do not. Knowing what insurance may not cover can help individuals and businesses make informed decisions about their insurance needs and take appropriate measures to minimize potential financial losses.