Tag: home insurance

25
May

Various Factors that May Affect Your Auto and Homeowners Insurance Rates

In the U.S., the average rate of auto and homeowners insurance depends on various factors- some of which are expected while others might be a surprise for you. Understanding these factors with which the insurers calculate your rates will aid you in navigating the different insurance providers and coverage alternatives available to you. Learn more about the various factors affecting your auto and homeowners insurance rates in this infographic presented by Travelers.

Distinctive Factors Which Affect Your Homeowners Insurance Rates

Homeowners Insurance Rate

Unique Factors That Affect Your Auto Insurance Rates

24
Feb

The 411 on Buying Home Insurance

Purchasing home insurance is an important decision. Whether you have just bought your home or are looking for a policy that better suits your needs, there are many pertinent things to consider. Check your policy at least once a year, and you will have a better idea of when you might need to change it.

It’s Common Sense

Having a good homeowners insurance policy is simply common sense. Without insurance, you would be responsible for paying for any damages caused by storms, fire, or other perils out of pocket. With the right coverage, most types of loss or damage will be covered aside from your deductible.

Know What You Need

Before you buy a policy, you will need to know how much insurance your home requires. Make a list of your possessions and know the value of your home. Then, consider what it will take to replace your items or rebuild your home, and purchase sufficient coverage to take care of everything if an unfortunate event occurs.

Take a Good Look at Deductibles

A lower deductible will result in higher monthly premiums. If you want lower monthly premiums, you will want to increase your deductible. Your agent will be able to break things down so you can make a better decision.

Replacement Cost or Cash Value

When it comes to your home, it will normally cost more to replace your home than when you first built it. You can opt to buy coverage that will cover the cash value of your home right now, or you can cover it for what it would cost to replace it. Replacement costs will be more expensive, but it ensures you will have enough to rebuild your home.

Look for Discounts

You may be eligible for discounts. Bundling your home and auto policies will qualify you for a discount, as will installing a home security system or outdoor lighting.

Know Your Coverage

Know what perils your policy covers. If you live in an area prone to flooding, hurricanes, and earthquakes, you may not be sufficiently covered if you don’t have additional coverage for each of those perils.

Before you buy your next homeowners insurance policy, call the agents at Abatelli Insurance Group, Inc. We can help you get the right coverage for your needs.

13
Jan

Homeowners Insurance Coverage for Fire Damage

Homeowners insurance is something every homeowner should have, especially since it helps to provide adequate coverage for your home and belongings in the event of an unfortunate incident such as a fire outbreak.

In order to be more prepared for fire damage to your home or belongings, it is important that you are well-informed about the coverage provided by your insurance policy and how much protection it provides. You should also know that if your policy will help pay for repairs or replacement of your home and its contents in the event of a fire outbreak.

Coverage Limit for Fire Damage

Your coverage limit is simply the maximum amount your insurance policy is liable to pay you after a loss that is qualified for coverage, and it can be based on the worth of your property and its contents. There are a lot of things to consider before choosing a coverage limit offered by your insurance policy, and they are:

  • Personal Property:

    Most times, personal properties are damaged alongside the building during a fire outbreak, so it is important that your policy provides adequate coverage for them by increasing the limits for personal property. For things like pieces of jewelry, expensive arts, etc., you might need to purchase additional coverage for their protection. Also, before making your decision, be sure to inquire if your policy offers actual cash value coverage, which pays for the depreciated value of your damaged items, or replacement cost coverage which pays for the purchase of a new item at the recent price.

  • Dwelling Coverage:

    This is a very important thing to consider when choosing a coverage limit as construction costs and home values are known to vary from time to time, so the cost of rebuilding your home after a fire might not be the same as the price you initially paid for it.

Fire Damage Not Covered by Homeowners Insurance

Although homeowners insurance has coverage for fire damage, there are certain types that it might not provide coverage for. For example, homeowners insurance does not offer coverage for a fire that has been intentionally started in your home for whatsoever reason, which is why you should pay close attention to toddlers if you have any in your home. Also, homeowners insurance will not pay for repairs or replacement of fire-damaged properties in your home if the fire is caused by an act of war.

Safety Measures

Although you might have purchased homeowners insurance coverage for fire damage, there’s no harm in engaging safety measures against a fire outbreak in your home, especially since losing one’s belongings is a sad occurrence. You can also install smoke detectors and place fire extinguishers at strategic places in your home to protect it and its content in the event of a fire. If possible, also educate those who live with you about the proper ways to kill a fire once it starts.

Be sure to contact your insurance agent or company for more knowledge on the risks covered by your insurance policy and those that aren’t. Purchase the right insurance policy with suitable coverage for your situation and needs today. We provide a comprehensive choice of homeowners insurance policies at Abatelli Insurance that will undoubtedly meet your needs. To learn more, please get in touch with us immediately.

25
Nov

Will My Homeowners Insurance Cover Any Fire Damage?

Fire damage makes up a huge portion of homeowners insurance claims every year. Having a fire disaster is bad enough on its own, not to mention not having the right coverage for it. As a homeowner, you may wonder if your homeowners insurance will cover any fire damage. First, you need to understand the different types of coverage available, what they cover, and which one you should buy.

A standard homeowners insurance policy offers five different kinds of coverage, namely:

  • Home structure coverage
  • Personal property coverage
  • Medical expenses, if someone gets injured at your home
  • Liability coverage
  • Additional living expense

Types of Homeowners Insurance Policy & What They Cover

HO-1 policy

The HO-1 policy is the most basic type of homeowners policy, and it offers limited coverage. It covers your home and belongings at actual cash value against named perils, such as

  • lightning
  • fire
  • windstorm
  • hailstorm
  • explosion
  • riot or war
  • aircraft damage
  • vandalism or theft
  • falling objects

HO-2 policy

The HO-2 policy is also known as the broad form policy because of the additional perils covered by it.  It covers the home structure at replacement cost and the personal belongings at actual cash value. A few additional perils covered by it include:

  • weight of snow or ice
  • volcanic eruption
  • freezing
  • accidental damage from electric current

HO-3 policy

The HO-3 policy is also known as the special form policy. It is the most common policy among policyholders. It covers all risks for the home and property and is therefore known as open coverage. It protects against the risks specified in both HO-1 and HO-2 policies unless otherwise stated. Some commonly excluded perils are government actions and intentional damage.

Ho-4 policy

This is a content broad form or a renters insurance policy. It only covers the policyholder’s belongings, additional living expense, and liability.

HO-5 policy

The HO-5 policy is the comprehensive form. It provides coverage for both belongings and home structure at replacement cost. It also provides open risk coverage but at a very high price. It is suitable for expensive structures and belongings.

HO-8 policy

It is a modified policy for homes that do not meet the conventional requirement for insurance. It covers old houses with outdated structures that are almost falling apart. It provides coverage from named perils at actual cash value.

Thus, most homeowners insurance policies will provide coverage from fire damage, but not all fire incidences will be covered. Some policies may cover damage resulting from arson, accidental fire, explosion, and lightning. However, they may not cover fire damage due to war or intentional acts.

As a homeowner, you need the right home insurance policy with adequate coverage to ensure your home is entirely covered in case of an unfortunate event. At Abatelli Insurance, we have a wide range of homeowners policies that will surely cater to your needs. Contact us today to learn more.

7
Oct

What You Need to Know about the Different Types of Home Insurance

The importance of purchasing a homeowners insurance policy becomes obvious when you consider the magnitude of the financial burden you would have to bear if a tragedy occurs. There are different plans available on the market which can offer partial to full coverage for specific situations. A basic understanding of the major types will help you find a perfect

fit for you.

Types of Homeowners Insurance

They are usually designated with the code HO-X, where X is their allocated number as in the list. They include:

  1. Basic Form – HO-1
  2. Broad Form – HO-2
  3. Special Form – HO-3
  4. Contents Broad Form – HO-4
  5. Comprehensive Form – HO-5
  6. Unit-owners form – HO-6
  7. Mobile Home Form – HO-7
  8. Modified Coverage Form – HO-8

What Are the Features of a Standard Homeowners Insurance Policy?

Here are a few features that characterize the various kinds of homeowners insurance available.

Coverage

This shows what part(s) of the home is covered in the policy, and the extent of coverage varies with the type. Common kinds of coverages to expect include:

  • Dwelling Coverage protects the home structure, including everything attached to the building; for example, HO-5 protects only single-family homes, and it is one of the most commonly used policies. On the other hand, HO-6 is for those who live in a condo or co-op.
  • Contents Coverage protects the belongings in your home; For example, HO-3 covers personal belongings like furniture and appliances.
  • Personal Liability covers for injuries to self or guests.

Named Peril

This refers to the list of casualties that are covered by the policy. They are specifically named in the agreement, and while some policies cover more than others, there are those that cover all. HO-1 covers ten events, including damage caused by:

  • Theft
  • Smoke
  • Vehicles
  • Fire/Lightning
  • Explosion
  • Volcanic Eruptions
  • Aircraft
  • Riot/Civil commotion
  • Windstorm/Hail
  • Vandalism and Mischief

Any damage caused by a factor that is not on the list will not be covered for this kind of policy. The special form (HO-3) usually lists perils that are not covered, which may include:

  • Neglect
  • Sinkhole
  • Act of War or Government Action
  • Nuclear Accident
  • Flood
  • Earthquake

Applicable Reimbursement

The terms of the policy agreement state the quality of the reimbursement, whether your home or belongings are covered at actual money value or replacement cost. Replacement cost is higher than actual cash value. It covers claims of damages at current prices. For example, while your personal belongings are covered at the actual value under an HO-3 policy, HO-5 policies cover them at replacement value.

Endorsements

The basic policies listed above will only cover specific structures and items as listed in the agreement. However, you may need to extend coverage to an ancillary structure, for example. You will need to add more coverage in the form of riders to cover specific events.

At Abatelli Insurance, we have a wide range of homeowners policies that will surely cater to your needs. Contact us today to learn more.

9
Sep

3 Common Questions Related to Homeowners Insurance

Every homeowner needs homeowners insurance. The reason for this is that it guarantees the financial protection of their home and personal belongings.

In this article, we will discuss the basics of the standard homeowners insurance policy and what it covers.

1. What Is Homeowners Insurance?

Homeowners insurance is a policy that protects your home and belongings from damages or losses caused by covered perils, including theft and fire. It may also cover the costs you incur if a guest sustains an injury at your home or you accidentally cause damage to another person’s property.

2. How Much Does Homeowners Insurance Cost?

A standard homeowners insurance policy does not have a specific cost. Instead, you can determine how much coverage you want to purchase and at what price. The cost of coverage will depend on several factors, including the features of your home and the value of your personal belongings. You also have to consider the type of insurance coverage you want.

3. What Does Homeowners Insurance Cover?

A typical homeowners insurance covers the following:

  • Your home’s structure
  • Your personal belongings
  • Other structures on your property
  • Liabilities arising from injuries to guests or damages to someone else’s property

A typical homeowners insurance covers a wide range of perils such as fire, theft, lightning strikes, hails, windstorm, etc. However, it does not cover floods and earthquakes. Consequently, you need to purchase special insurance policies to protect your home from these disasters.

  • Your home’s structure

This is one of the most important coverages offered by a typical homeowners insurance policy. It covers the repair or replacement of the damages to your housing structure due to some of the aforementioned perils.

  • Your personal belongings

Apart from damages to the structures on your property, the typical homeowners insurance also covers all the personal belongings within your home. These include your clothing, jewelry, and electronics. In short, homeowners insurance offers protection from thefts or damages to your personal items upto a certain limit. You can also buy extended coverage for items such as jewelry, fur, and watches with values above your personal property coverage limits.

  • Other structures on your property

Homeowners insurance also covers damages to other structures on your property not attached to your house. For example, a detached garage, fence, and tool shed.

  • Liability coverage

Finally, a homeowners insurance policy covers you when a guest is injured on your property and sues you for their injuries. It covers your legal expenses as well as the related medical bills of the guest if you are found guilty.

In conclusion, homeowners insurance is an effective safety net for the unexpected perils your home and personal belongings may face. Therefore, purchase one today if you don’t already have it. At Abatelli Insurance, we can provide you with customized coverage for your homeowners insurance needs. Contact us today to get started!

22
Jul

Hurricane Insurance Breakdown: What You Need to Know

Hurricane insurance is a safety net for people who reside in an area with a high hurricane risk. Hurricane deductibles (an amount that you need to pay out of pocket before your policy kicks in) are based on a percentage of your home’s value.

Therefore, if in case a hurricane destroys your home, hurricane insurance will ensure that you have adequate protection to alleviate the financial burden of repairing your home.

Hurricane deductibles are calculated based on damage classified by the National Hurricane Center or National Weather Service. Without the appropriate classification, a windstorm deductible is applied to the damages. In addition, your insurance company has a trigger for utilizing the hurricane’s deductible. Generally, the trigger is invoked if the National Weather Service declares a hurricane watch.

Origin of Hurricane Insurance

After analyzing Hurricane Andrew, insurance companies saw that total losses from hurricanes could be higher than originally anticipated. The aftermath of Hurricane Katrina cost insurance companies almost $50 billion. The substantial losses caused reinsurance companies to declare that they would be unable to assume so much risk moving forward.

During the Atlantic hurricane season, every coastal state is at risk. To reduce exposure to huge losses as a result of natural disasters, insurance companies are including hurricane deductibles in home insurance policies. The percentage deductibles are influenced by the level of hurricane or windstorm. Every year, more homes are at risk of severe weather windstorm damage. Once insurance companies develop deductible plans, they are reviewed by the state insurance department to ensure that it adheres to local laws and regulations.

Hurricane Deductibles Explained

Hurricane deductibles are applicable for damages resulting solely from hurricanes. There are also windstorm deductibles that apply based on any type of wind damage. Percentage deductibles are anywhere from 2-5 percent of a home’s insured value. You will be responsible for the amount of deductible before your insurer handles the rest of the claim. In some coastal areas that are prone to severe wind damage, the deductible may be higher. Your deductible will be based on your home’s insured value and your insurer’s trigger that determines when the deductible applies.

New York Deductibles

The New York State Insurance Department outlines that the common deductibles are between 1-5 percent of the insured amount. Some insurers use category 1 hurricanes as the trigger, while others use category 2. The State Insurance Department also requires insurance companies to offer discounts to homeowners who installed hurricane-resistant storm shutters, windows, or doors on their property. The New York Property Insurance Underwriting Association offers windstorm coverage if you are unable to find it elsewhere. The Coastal Market Assistance Plan will help you find coverage if you stay in Queens, Brooklyn, Staten Island, and parts of Long Island.

Be prepared for the hurricane season with the right insurance coverage. Want another great way to protect your home? Secure reliable homeowners insurance that protects you through disasters. Call one of our trusted advisors at Abatelli Group, Inc. We are ready to get you the protection and peace of mind you need.

1
Jun

Tips for Homeowners Safety While on Vacation

You may be all packed for Peru, but is your home ready to be alone for two weeks? Brush up on these homeowners safety tips before heading off on vacation.

The start of summer means people are readying themselves for upcoming vacations. Every year, between June and August, families, couples, and individuals opt to enjoy their summer in a foreign location. While you may be packed and ready to go, do you know to protect your home while away on vacation? A few safety precautions and quality homeowners insurance know-how will help to leave your home safe while you’re out of town.

Put these do’s and don’ts into practice so that you can kick back and relax on your vacation knowing that your home is safe and sound.

Do:

  • Make sure that all the doors and windows are locked and fastened. Doors should have deadbolt locks!
  • Examine your house from the street and make sure that no valuables (like expensive electronics or artwork) can be seen from the road. If a passer-by can see your belongings, so can criminals.
  • Secure sliding glass doors by placing a metal rod or piece of plywood in the track to prevent an intruder from forcing the door open.
  • Unplug the power to your automatic garage door to keep thieves from opening it.
  • Make it appear as if you’re at home. Use timers on lights, radios, and televisions.
  • Ask a trusted friend or neighbor to check in on the house, collect the mail, and water your plants.

Don’t:

  • Leave clues that you’re away. No matter how excited you are, don’t post your plans on social media. If people see that you’re away for two weeks, they may be tempted to enter your home.
  • Close your curtains! This is a clear indication that no one is home.
  • Hide a key outdoors for your neighbor or friend. Burglars know the best hiding places better than you do.

These tips can help assure you that your home is ready for you to head out on holiday. Make sure that your home is protected with the right home insurance policy. Contact Abatelli Group, Inc. for a proper policy on your insurance needs in Whitestone, New York.

18
May

Review Your Home Insurance at Renewal

When the situation entails your homeowners insurance policy, ensure that you make no assumptions to avoid misunderstandings. 

Home insurance has very specific and unique vocabulary that can make understanding it fairly difficult. Policies can vary to fit the needs and budget of every policy holder, so coverage can vary widely between policies. If you have never read your policy from cover to cover, it’s recommended you set aside some time and do so. Here are a few tips on what to look for when you review your home insurance at renewal.

  1. Structure – Some people only cover their homes to satisfy the mortgage debt. But what should happen if your entire home is destroyed to a crisp? You should have enough coverage to completely rebuild your home from scratch. You have to remember the cost of clean-up, raw materials, and construction.
  2. Liability – If someone is injured on your property, the medical bills alone can surpass your liability coverage. Your home comes with a certain risk, but it can go up if you have “attractive nuisances.” Things like pools, trampolines, dogs, and other fun things, you may need extra liability to cover your increased risk.
  3. Contents – Your things need to be protected, and a homeowners insurance policy does just that. Contents coverage usually goes for about 50 to 70 percent of the amount of coverage you have. So, for example, if you have $200,000 in coverage you will receive $100,000 to $140,000 for your things.
    You have to review your contents coverage if you made any recent upgrades, home improvements, or recent costly purchases like new kitchen, HVAC systems, et cetera.

When it comes to your homeowners insurance, make sure that you’re protected for everything you need. Make sure that your home is protected with the right home insurance policy. Contact Abatelli Group, Inc. for a proper policy on your insurance needs.

17
Jan

Tips for Fireplace Safety

A fireplace provides warmth while avoiding the costs that come with turning on the heater, but how do you stay safe with a live fire in your home? 

As winter chills the temperature and natural gas prices on the rise, you may be tempted to light your fireplace and warm yourself up the old fashioned way. It can be comfortable and provide a sense of nostalgia watching the fire dance and hearing it crackle under the heat. But the fact remains that it is a live flame and the smallest spark could cause a fire in your home. Here are some fireplace safety tips to keep you and your home safe.

Clean the Chimney

The chimney is directly affected by the burning of wood. As wood burns it releases smoke, soot, and creosote, all of which are toxic to us. Hire a chimney sweep to make sure your chimney is free of any buildup; a clogged chimney can force smoke back down into your home which can cause suffocation.

Cap the Chimney

Make sure that your chimney is well capped in order to allow smoke out but disallow foreign objects in. A well-capped chimney keeps out rain and snow, along with leaves, and small animals like squirrels and birds from coming in and wrecking your home.

Use Dry Hardwood 

Only use dry hardwoods, like oak, to fuel your fires. A byproduct of burning wood is a creosote, a carcinogenic chemical that builds up in your chimney. Hardwoods produce less of this chemical which is why you should only burn the hardwoods. Softer and resinous woods, like pine, are known for producing more of this harmful carbon-based chemical.

Make sure that your home is protected with the right home insurance policy. Contact Abatelli Group, Inc. for a proper policy on your insurance needs.

COVID-19 Update

We are no longer working remotely. You can reach us at (718) 352-6000 Letter to Policyholders