Every day we read about fires, floods and other tragedies that occur. They seem to be so prevalent, now than ever before. The old notion that “it can’t happen to my family” is not the best approach to being ready if you are faced with a claim. Preparation is the key to readiness in the world of insurance. These five tips can easily be implemented just in case:
1. Check your coverage now – not after a catastrophic event for your family. Know and ask in writing if all your insurance needs are covered and your financial limits are sufficient. A phone call to your agent or broker can start the process, but at the conclusion of the process confirm any advice or adjustments in writing, and save it in your insurance file. Policies and important correspondence can be imaged and saved in the cloud so it’s retrievable if a big loss occurs. Ask your child or grandchild how to do this if you do not understand the cloud storage and retrieval system.
2. Video your belongings and save in the cloud. – Use your smart phone to video your home, contents, boats, etc. Talk about the items in the viewfinder as you go. If there are expensive personal items, note their worth and ask your agent or broker if such items need to be “scheduled”—detailed with agreed upon amounts. You pay a little extra on these items but you can then recover their actual value if lost. Most “personal property” items fall under a general category under most homeowner policies and may not be sufficient.
3. Scheduled items should be updated every 3-5 years with the assistance and input from your agent or broker. This step is easy to forget. Rings, watches, art, etc. can change in value. Again, confirm changes in writing.
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