Homeowners Insurance
How much Personal Property Coverage do I need?
This depends on what you have and its value. Typically, the personal property coverage limit for a standard home insurance policy is set at 50%-70% of the amount of dwelling coverage in your policy. In other words, if your dwelling coverage limit is set at $200,000, your personal property coverage limit will be $100,000-$140,000.
That sounds like a lot. However, depending on the value of the personal belongings in your home you might decide to purchase more. The best way to know how much contents coverage you need is to perform a home inventory. A home inventory is a list of all your personal possessions with photos, receipts, and any other proof of ownership you may have.
A home inventory serves two important functions.
- It allows you to calculate the value of your possessions to ensure you are purchasing an adequate amount of contents coverage.
- It will be your greatest asset in the event of a disaster when you need to prove to your home insurance company that you owned that 75” 4K HD TV and $5,000 leather sectional, for example.
What if I need additional coverage for a specific item?
Every policy has limits as to how much it will pay for each type of property. For example, most standard home insurance policies will only pay $1,500 for jewelry lost in theft. Often, a customer will have one specific item that is expensive and needs more coverage than what is included in their policy.
In this case it is recommended that you schedule an endorsement on your policy for that item. For example, a policyholder with a necklace worth $10,000 would schedule an endorsement to the policy to cover it. Overlooking this coverage in your policy could be very costly in the event of a loss. Your NEU agent will discuss your needs for additional coverage to make sure that you have scheduled an endorsement on your policy if needed.
Is every lawsuit covered?
No. While you or covered household members can get protection from lawsuits alleging that you’ve caused injuries to others, lawsuits involving the transmission of a communicable disease typically are excluded by providers. Also excluded are lawsuits with allegations of mental/physical/sexual abuse and anything involving the sale, manufacture, or distribution of a controlled substance.
What is not covered under Medical Payments?
Certain injuries will not receive coverage under standard policies. MedPay coverage typically excludes cases:
- Due to the transmission of a communicable disease.
- Because of physical/mental/sexual abuse.
- That arise from the sale, manufacture, or distribution of a controlled substance.
Renters Insurance
What type of damage does renters insurance cover?
A renter’s insurance policy through Northeast Underwriters provides low-cost coverage for you and your belongings for things like:
- Fire
- Smoke damage
- Vandalism
- Theft
- Windstorm
- Water damage
- Visitor injuries
What items are covered by renters’ insurance?
- Electronics and appliances (television, computer, etc.)
- Furniture and clothing
- Extra expenses if property is uninhabitable due to a covered loss
- Accidental damage to someone else’s property
- Medical expenses and/or legal fees if someone is injured on your property
If your jewelry collection includes items of significant value such as engagement rings, wedding bands, diamond bracelets, etc., special coverage for these items may be advisable.
Life Insurance
What is permanent life insurance?
Permanent life insurance is life insurance that covers you for your entire life rather than a limited period, as with term life insurance. Whole life insurance and universal life insurance are two types of permanent life insurance that not only can cover you indefinitely, but also accumulate a cash value.
What is cash value life insurance?
Cash value life insurance is a permanent life insurance policy that builds a cash value that can be accessed during your lifetime for any reason. Both whole life insurance and universal life insurance are examples of cash value insurance.
What is variable universal life insurance?
Like universal life insurance, variable life is permanent insurance that lets you adjust your premium to account for changes in your income or expenses. The policy’s cash value is invested in underlying subaccounts and may increase or decrease based on the performance of those underlying investments. This flexibility – and variability – means you should routinely review your policy to avoid a policy lapse, especially when market conditions change.
What is group life insurance?
Group life insurance is a life insurance policy you buy at a group rate, usually through your employer. If your employer doesn’t offer life insurance, you can buy your own individual life insurance policy.
Flood Insurance
What is Private Flood Insurance?
While the NFIP is a program funded and backed by the federal government, private flood carriers are independent sectors. These insurers have their own reinsurance programs and do not have to abide by the requirements set by FEMA for policies written through the NFIP. Private insurance companies generate a premium that more accurately reflects the flooding risk unique to each property. This rating structure allows consumers to shop their flood insurance to find the best rate.
Auto Insurance
What's does Comprehensive Insurance cover?
- Damage from falling objects
- Weather events, such as hail and hurricanes
- Theft and vandalism
- Fire and explosions
- Flood
- Hitting a deer or other animal
What's not covered by Comprehensive?
The following items are typically not covered by your Auto Comprehensive Insurance:
- General wear and tear
- Theft of belongings inside your car
- Collisions with stationary objects and other vehicles
- Hitting a pothole
What is Collision coverage, and how does it work?
Collision coverage on your auto policy helps pay to repair or replace your vehicle if it’s damaged in a covered accident. It doesn’t matter who caused the accident. Whether you rear-end someone or back into a pole, or someone without enough insurance hits your car, your collision coverage may help pay for the damages. Once you pay your deductible, collision coverage can help you get back on the road.
- General wear and tear
- Theft of belongings inside your car
- Collisions with stationary objects and other vehicles
- Hitting a pothole
What does Collision Insurance cover?
The following items are typically covered by your Auto Collision Insurance:
- Hitting a pole, fence, tree, or other object
- Hitting a pothole
- Rollovers
- Collisions with other vehicles
What's not covered by Collision Insurance?
The following items are typically not covered by your Auto Collision Insurance:
- Weather events, such as hail and tornadoes
- Medical bills
- Damage to another person’s vehicle
- Theft, vandalism, and other incidents unrelated to driving
How do deductibles work?
A deductible is the amount you pay before your insurance policy will help pay to repair or replace your vehicle. Most auto insurance policies require separate deductibles for comprehensive and collision coverage. You pay the deductible that applies to the type of claim you have.
You can choose to set your deductibles lower or higher. If you set a lower deductible, you’ll pay a higher premium.
What does Auto Liability Insurance cover?
- The other driver’s medical expenses
- The other driver’s pain and suffering
- The other driver’s lost wages
- Your legal defense if you’re sued after an accident
- The other driver’s vehicle and property repairs
What's not covered by Liability Insurance?
The following items are typically not covered by your Auto Liability Insurance:
- Your medical bills and legal costs
- Your pain and suffering
- Your lost wages
- Your vehicle and property repairs
What's usually covered by my Uninsured and Underinsured Policy?
- Damage and injuries caused by a hit-and-run driver
- Damage and injuries caused by a driver with no liability insurance
- Damage and injuries caused by a driver without enough insurance
What's not covered by my Uninsured and Underinsured Policy?
- Damage and injuries you’re legally responsible for
- Damage caused by vandalism and theft
How can I save on my auto premium?
- Increase your deductible. The more you can pay out of pocket, the lower your premium.
- Consider the type of car you drive. What you drive affects the cost of your coverage. As you shop around, consider a vehicle that won’t be too costly to repair.
- Get an anti-theft device. If you also have comprehensive coverage, having an anti-theft device installed in your car may help lower your car insurance premium.
Umbrella Insurance
What does an Umbrella Insurance policy cover?
A personal umbrella insurance policy can pick up where your homeowners or auto liability insurance leaves off and help you pay for the remainder of a claim that exceeds their limits.
- At Home
- If your dog bites a mail carrier or your child’s friend seriously injures himself in your pool, your homeowner’s insurance may not pay out enough to cover the resulting bills.
- In Your Car
- If you injure someone in a car accident and are held responsible for injuries and medical bills, your auto insurance may not be enough to cover all their expenses.
Gap Health Insurance
What does a Gap Insurance policy cover?
Medical gap insurance follows an employer’s major medical plan. It pays off the underlying major medical plan’s Explanation of Benefits (EOB) directly to the subscriber or provider. A gap plan pays the benefits described in the Schedule of Benefits up to a maximum benefit amount. These plans may have a supplemental deductible or coinsurance (out of pocket) which the subscriber must meet prior to plan reimbursement.
A medical gap plan pays the amount applied to the insured’s major medical deductible and coinsurance. It covers the same expenses as the major medical plan except for charges for professional fees in a doctor’s office or medical clinic, outpatient prescription drugs, vision, dental, and plan copayments.
Employee Benefits
Can employers offer greater benefits or contributions to some employees and not others?
Only if they satisfy certain nondiscrimination requirements under federal law.