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Archive for December 2009

Home Insurance – Flood Insurance

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Homeowners Insurance generally doesn’t cover flood damage, or most other “ground water” damage.

The National Flood Insurance Program (NFIP) defines flood as covering two or more acres or two or more contiguous properties.  So it doesn’t have to be the classic picture of the bursting dam.

To get flood coverage, go to an agent representing the NFIP.  If your house or business is not in an active flood zone, flood insurance is not very expensive compared to the value insured.  If it is in a flood zone, it is expensive but your bank will require it.

For homes, insurance for back-up of sewers and drains could be less than $100 and covers just what it says, water coming back into the house through sewers and drains.  That could happen in a situation where there was no flood by the definition of the NFIP.

800-548-2329  www.gbwinsurance.com

Written by gbwinsurance

December 15, 2009 at 8:23 pm

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Homeowners Insurance – deductibles

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Most New Jersey home insurance require wind or hurricane damage deductibles for homes near the shore. A 5% windstorm deductible means that, in the event of wind damage, a $300,000 value house will have a $15,000 deductible.

That’s a problem but there aren’t a lot of alternatives. However, there are a couple of companies imposing hurricane deductibles throughout the state. So, for a house in Morristown that costs $400,000, with a 3% hurricane deductible, when a hurricane touches New Jersey, any wind damage to that house will be the homeowner’s problem until it passes $12,000.

That’s not the market standard. If you see that on your policy, you should look around for another company.

800-548-2329  www.GBWinsurance.com

Written by gbwinsurance

December 10, 2009 at 1:11 am

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How do you value a life?

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Well, you can’t.

The Life and Health Insurance Foundation for Education (LIFE) makes one version of a Human Life Value Calculator available.  http://www.lifehappens.org/life-insurance/human-life-value

That calculator tries to give a rough estimate of the value of your future financial contribution to y0ur family.  Various on-line quote systems have their own versions.

Another approach is to look at the future needs of your family: food and shelter, education, health care, and so on.  This is a little more time consuming but can give you a different approach to the same problem.

It may be easiest to sit down with a counselor and kick around both concepts.  Pricing life insurance is often easy.  Pricing a life,  not so easy.  If life insurance is your kids’ ability to stay in your house, what’s it worth?

http://www.gbwinsurance.com/life.html

800-548-2DAY

Written by gbwinsurance

December 8, 2009 at 4:03 am

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