Posted on Thu, Feb 02, 2012
Whether you live in Grafton, as I do, or in a neighboring town, more than likely you’ve heard or read about the three house fires which occurred within a 3 week period. It certainly caught our attention as owners of two of the homes are clients of ours. The sales person who sold the homeowners insurance policies and who had the relationship with the clients was at their home within 30 minutes of being called. Our agency recognizes that excellent claim service is one of the most important aspects of our job, it’s when our clients need us the most. In the event of a house fire you can be comfortable in knowing we would show up with a copy of your homeowners policy in hand and be able to help in the following ways:
- Confirm coverage - We are able to confirm with each client that they have sufficient coverage to repair or rebuild their home.
- Offer reassurance - We are able to reassure clients that we care about them and that we are going to be with them throughout the entire claims process.
- Educate - We are also able to educate clients about the role of public adjusters and how they operate. If a public adjuster is hired, not only do they take a percentage of their claim money (10-15%) but they also remove our agency from the claims process so we are not able to assist you in dealing with the insurance carrier. I believe there is a time and place for public adjusters but I do not feel the time is at the scene of a fire pushing people to hire them when they are not in a clear state of mind to be making important decisions.
- Secure the property - We are able to help coordinate the initial steps of boarding off or fencing of properties.
Some insurance agencies do not get involved in the claims process. One reason is that if the claim goes poorly then the agency feels they will be able to keep the client by simply moving them to another insurance carrier. Our philosophy is that claims service is the most important role we have and we enjoy helping people when they need it most.
Every claim for a fire loss proceeds differently, whether it’s a partial or a total loss. Most claims are seamless, you get a couple estimates, the insurance company appraises the damage and the check is cut to you (and your mortgage company, if you have one.) Once in a while you hit a snag, for example a contractor’s labor rate may be excessive or it may make sense to tear down what’s left and rebuild, in which case we would advocate on your behalf to resolve these issues.
While other insurance agents may able to provide similar pricing and account service, you’ve got to ask yourself whether they would be on the scene in the event of a tragedy such as a house fire.
Posted on Thu, Feb 02, 2012
Presidents Day Weekend is right around the corner and with it comes a lot of hoopla about car sales. Ever wonder how the holiday became synonymous with automotive selling?
According to the Boston Globe, the tradition, started about a century ago, when car dealer Alvan T. Fuller held a Washington's Birthday "open house" to promote sales of Cadillacs and Packards at his dealership on Commonwealth Avenue. It turned out to be a success.
Thanks to Mr. Fuller, you could score big on a new car during a President's Day sale. But before you drive away from the car dealership with that nice new vehicle, you need to make sure that you get it insured.
If you drive off the lot without notifying your auto insurance company of your new vehicle purchase, you may still be covered. If you traded in your old vehicle or purchased an additional vehicle, many Massachusetts insurance companies will cover your new vehicle for 7 days after you make the purchase.
You definitely need to contact your insurance agent as soon as possible, however, to let him/her know of the transfer. If you are buying a used car you may be required to have it undergo a pre-insurance inspection and your agent will tell you if it needs the inspection and where to take the car. If the inspection is required but not done, your comprehensive and collision coverage will be canceled. If you have a loan on the newly-acquired car the lienholder will insist that you carry comprehensive and collision coverage, coverage which you may not have had on the traded-in car. To be properly covered, you must apply for any additional coverage before you take delivery. Even if you already have comprehensive and collision on your old car, you need to tell your agent about the newly-acquired car because the policy will automatically terminate 30 days after you trade in your old car.
Don’t assume that the insurance coverage you had on your old vehicle will be sufficient for your new vehicle. The limits on your old policy might not be high enough or you might want to add additional coverages such as rental and towing that were not on the old policy. You should always review your car insurance policy when purchasing a new vehicle.
Posted on Tue, Jan 31, 2012
Standard homeowners' insurance policies and renters policies cover personal belongings in your home such as furniture, clothing and electronics. They will also cover jewelry and other precious items such as watches and furs. However, most homeowner policies provide very limited theft coverage for jewelry, generally $1,500 and no coverage if it’s lost. If you only own a modest amount of jewelry (say just a few hundred dollars), perhaps the limited coverage provided by a basic homeowners policy is adequate. However, when high values or even sentimental value are involved, consider buying additional insurance coverage. The sentiment behind your jewelry is priceless, but the rings themselves can be replaced -- if they're insured -- in the event that something happens to them.
There are two ways you can increase coverage for jewelry and other expensive items: 1) By raising the limit of liability or 2) "Scheduling" your individual pieces through the purchase of "floater" policies. Raising the limit of liability is the cheapest option; however, there may be a limit on the amount you can claim for the loss of any individual piece, say $2,000, when the overall limit is $5,000.
Scheduling each piece or item may cost more in premiums, but it offers broader protection because the floater covers losses of any type, including accidental losses-such as dropping an engagement ring down the drain of the kitchen sink or leaving an expensive watch in a hotel room-that your homeowners insurance policy will not cover.
The yearly cost to insure your ring is $12.50 to $16.50 for every $1000 of value it would cost to replace. In plain English, this means that if your ring would cost $9,000 to replace, you might expect to pay between $100 and $150 per year to insure it -- or slightly more in cities where the risk of theft is higher.
Have copies of the sales receipt and appraisal for the insurer to keep on file. Appraisals not more than 3 years old are required on higher valued items. The appraisal should describe the jewelry in detail and give a valuation. The appraisal is a record of the quality of your jewelry and will be used by the insurer to determine both the premium charged and the amount of loss to be paid. Appraisals are often accompanied by a detailed photo of the piece. If this is lacking, take a photo of the jewelry yourself and bring it along.
Posted on Thu, Jan 26, 2012
Whether you're a first-time home buyer or looking to purchase a second home or investment property, here are some useful tips to keep in mind when buying homeowners insurance.
Since your home is often your biggest asset, make sure it's properly covered with the right protection. Keep these tips in mind when purchasing home insurance.
- What standard homeowners insurance policies cover
- Several factors can affect the pricing of your policy
- Insurance companies differ
- Don’t just look at price
- There is a difference where you buy your protection
- Understand the claims process
For more information or questions on homeowners insurance, please feel free to contact us at 800-922-8381.
Posted on Mon, Jan 09, 2012
A new US Department of Transportation (US DOT) rule (49 CFR Part 392.82) prohibiting interstate truck and bus drivers from using hand-held cell phones while operating their vehicles went into effect on January 3, 2012. Businesses and individuals who operate commercial vehicles need to be fully aware of this law and its implications. There are strict penalties for both drivers and businesses found to be in violation of the rule.
Summary of U.S. DOT rule banning use of hand-held phones by commercial vehicle drivers
No driver shall use a hand-held mobile telephone while driving a commercial motor vehicle. (49 CFR Part 392.82) A commercial motor vehicle is defined by the US DOT as a vehicle with a single or combined GVWR, or actual weight of over 10,000# utilized in interstate commerce. (Note: Most states have adopted the Federal Motor Carrier Safety Regulations for intrastate commerce with vehicles at weights ranging from 10,001 to 26,001 #.)
Use of a hand held mobile telephone means: (49 CFR Part 390.5)
- Using at least one hand to hold a mobile telephone to conduct a voice communication;
- Dialing or answering a mobile telephone by pressing more than a single button, or
- Reaching for a mobile telephone in a manner which requires a driver to maneuver so that he or she is no longer in a seated position.
Guidance:
- This rule does not prohibit a driver from using a mounted mobile phone. which can be easily accessed from the driver’s seat and activated with a single button.
- Driving means operating a commercial vehicle while on a public road, and when stopped in traffic on such a road. Driving does not include instances when the driver is safely parked. Emergency use is permitted.
- The term mobile telephone does not include two way or Citizens Band Radio services, however the term mobile telephone does include mobile services which are provided for profit, have inter-connected service and is available to a substantial portion of the public.
Penalty: Driver is disqualified from operating a commercial motor vehicle (CMV) for 60 days with the second offense in 3 years. (120 days for each subsequent offense within 3 years) Only applies if violation occurred while driving a CMV.
Although the above is a summary of the ruling, businesses and commercial drivers should read the complete ruling in order to make their own determination as to how this new rule applies to them.
Posted on Tue, Jan 03, 2012
Weather related claims around the world have cost insurance companies billions in 2011. Even in Massachusetts, we’ve experienced our own series of destructive weather phenomena. The beginning of the year brought winter storm upon storm resulting in ice dams on our homes and traffic accidents on our roads. In the middle part of the year, tornadoes ripped through Massachusetts from Springfield to Worcester. Hurricane Irene blew in in late August causing widespread wind damage, flooding and lengthy power outages. Let’s not forget about the Halloween snowstorm dumping over a foot of snow on Central Massachusetts and leaving behind snapped trees and residents without power for days on end. 2011 was a rough year for Massachusetts residents and businesses as well as insurance companies.
Since the insurance carriers have had to pay out billions in claims, they are raising rates. Most property insurance companies, those providing homeowners and other building insurance, will be looking at rates hikes in 2012. Because the damages from 2011 affected such large areas, companies that lost money aren’t limited to a handful: they all got hit. Looking forward, the cost of reinsurance, the insurance that insurance companies buy, is already trending higher as the effect of limited supply and higher demand drive those prices up. Thus, homeowners and other property insurance rates should rise for just about every homeowner across the state. We believe the average increase will be between 5% and 10%.
Tips for keeping home insurance affordable
Where does all of this leave you as a homeowner? In many cases, a higher home insurance premium could be coming your way. This is especially true if your home is located in a coastal area that was hit by Irene. However, there are things that you can do to help keep your insurance rates down:
- Raise your deductible - If you’re willing to take a little more of the risk and share the pain of a loss, the insurance company will charge you less.
- Home/auto credits - Most carriers now offer up to a 30% savings when both auto and homeowners policies are written with one insurance company.
- Ask us to shop for you - Some companies are raising rates more than others, and it pays to have a look at the market every few years anyway.
Since every client’s needs, budget and risk tolerance are different, we’ll work with you to determine the best solution for your situation.
While premium increases aren’t good news, we feel that an educating our clients on both the good and bad news is important. Please contact us with any questions or concerns you may have about your insurance program.
Posted on Thu, Dec 29, 2011
A coalition is pushing for a new seat belt enforcement law after a study showed that seat belt use in Massachusetts is among the lowest in the country.
According to a University of Massachusetts study prepared for the state, seat belt use overall is down slightly from last year to 73 percent. The study also found that the use of seat belts by teenagers dropped 3.6 percent to below 69 percent.
The Belts Ensure a Safer Tomorrow coalition is renewing its call for lawmakers to take action on a primary enforcement bill that would allow police to stop drivers solely because people in their cars are not wearing seat belts.
"This change is expected to increase seat belt use by 13 percent, according to federal research," the coalition said on its Facebook page. "This change would save an estimated 27 lives, 1000 serious injuries and $260 million in health and related expenses per year in Massachusetts."
Currently, police in Massachusetts can only enforce seat belt laws if a person is being stopped for another offense.
From: Masslive.com
Posted on Wed, Dec 28, 2011
Do you have your auto insurance with one agent, homeowners with another and finally, life insurance through someone else? When it comes to insurance, working with multiple insurance agents is not necessarily a good thing. If the “left hand” doesn’t know what the “right hand” is doing, it can cause problems that put your asset protection at risk. There are a number of benefits to having one independent insurance agent write all of your policies: increased protection, improved service and yes, savings.
Having Gaudette Insurance Agency handle all of your insurance needs gives us the opportunity to see the whole picture and design an insurance program that provides complete protection for your needs. By managing multiple policies for one client, we can provide continuity to your entire insurance program by eliminating coverage gaps and overlaps.
Service is simplified by working with a single agent. You only have one call to make, whether it’s to report an accident, a billing question on your homeowners or umbrella policy, to make changes to your business policy or to update your life insurance policy. One dedicated customer service representative coordinates all your needs.
Finally, there are savings. Most carriers now offer up to a 30% savings when both auto and homeowners policies are written with one insurance company.
By having Gaudette Insurance Agency manage your entire program, you’ll get peace of mind knowing that you’re well protected, service is simplified and you’ll maximize your savings.
Posted on Mon, Dec 19, 2011
Employment Practices Liability Insurance (EPLI) covers businesses against claims by workers that their legal rights as employees of the company have been violated.
When do I need EPLI?
As soon as you start to hire employees, you should get employment practices liability insurance. Most investors and directors will require that you carry this coverage as part of your Directors and Officers Liability Insurance since they can also be held liable in suits relating to employment practices.
Why do I need EPLI?
The number of lawsuits filed by employees against their employers has been rising. While most suits are filed against large corporations, no company is immune to such lawsuits. Recognizing that smaller companies now need this kind of protection, some insurers provide this coverage as an endorsement to their Business Owners Policy (BOP). An endorsement changes the terms and conditions of the policy. Other companies offer EPLI as a stand-alone coverage.
What does EPLI cover?
EPLI provides protection against many kinds of employee lawsuits, including claims of:
- Sexual harassment
- Discrimination
- Wrongful termination
- Breach of employment contract
- Negligent evaluation
- Failure to employ or promote
- Wrongful discipline
- Deprivation of career opportunity
- Wrongful infliction of emotional distress
- Mismanagement of employee benefit plans
The cost of EPLI coverage depends on your type of business, the number of employees you have and various risk factors such as whether your company has been sued over employment practices in the past. The policies will reimburse your company against the costs of defending a lawsuit in court and for judgments and settlements. The policy covers legal costs, whether your company wins or loses the suit. Policies also typically do not pay for punitive damages or civil or criminal fines. Liabilities covered by other insurance policies such as workers compensation are excluded from EPLI policies.
To prevent employee lawsuits, educate your managers and employees so that you minimize problems in the first place:
- Create effective hiring and screening programs to avoid discrimination in hiring.
- Post corporate policies throughout the workplace and place them in employee handbooks so policies are clear to everyone.
- Show employees what steps to take if they are the object of sexual harassment or discrimination by a supervisor. Make sure supervisors know where the company stands on what behaviors are not permissible.
- Document everything that occurs and the steps your company is taking to prevent and solve employee disputes.
Posted on Mon, Dec 19, 2011
Cyber security is an ongoing process to deter hackers and protect against viruses and other risks to networked businesses. One of the ways to help lower business cyber risk, as well as personal, is to avoid using easy-to-crack passwords. Recent reports suggest that employees are becoming increasingly lazy with creating their passwords as the demand to maintain numerous passwords has increased.
Passwords are your first line of defense against other people accessing or using your computer and network. Encourage or even require employees to change their passwords frequently and choose passwords that are complex and cryptic enough to prevent others from guessing them or from cracking them.
SplashData, a password management application maker, recently compiled a list of the 25 worst passwords for the year 2011. The research results were based on millions of actually stolen passwords that were made available online. Here is the list of the worst online passwords for 2011.
- password
- 123456
- 12345678
- qwerty
- abc123
- monkey
- 1234567
- letmein
- trustno1
- dragon
- baseball
- 111111
- iloveyou
- master
- sunshine
- ashley
- bailey
- passw0rd
- shadow
- 123123
- 654321
- superman
- qazwsx
- michael
- football
Having cryptic passwords may not necessarily deter sophisticated, determined hackers. But they do make it much more difficult for amateur cyber thieves to breach online accounts.