Tom's Blog
Insurance is very confusing. Policies are full of endorsements, exclusions and limits and most policy holders really don’t know how they are covered until something bad happens. Understandably, we get a lot of “am I covered if..” questions. So, let me answer some of the most common questions we get.
My neighbor’s tree falls on my fence? Your NC homeowners insurance will normally pay for damage to the fence and removal of the tree. However, if the tree or part of the tree was dead and you warned him that it was dead, your neighbor would become liable and their homeowners insurance should pay.
My sewer line backed up into my house and damaged my floors and furniture? Not unless you have an endorsement that covers water and sewage backup. This type of damage can be very costly and it is recommended for any home that has a city sewer line.
My son’s friend is hurt while playing in my back yard? This can be covered in 2 ways. First, your NC homeowners insurance policy provides medical payments coverage and this will pay for the medical bills up to the limit specified regardless of who was at fault. If you are found at fault for the injuries, your personal liability coverage can protect you.
A heavy rain caused my basement to flood? Your homeowners insurance policy will NOT cover damage from flooding. You will need to purchase a flood insurance policy for this.
A rock hits and cracks my windshield? Your auto policy will cover this minus your deductible provided you are carrying Comprehensive coverage on your auto policy for the vehicle.
I cause a car accident and someone in the other car is seriously injured? While speaking to parents at the StreetSafe events, this is one area that I have found most people don’t realize how important carrying higher liability limits is. Nearly all of your assets are at risk if you are sued for injuring someone or worse, causing a death in an accident without adequate liability protection. The best way to protect yourself is to increase your bodily injury limits to at least $250,000 per person and $500,000 per occurrence and add a liability umbrella. Visit our website at here to learn more or give us a call to discuss.
While away on business, I rent a car and cause an accident damaging the rental car? There is NO coverage for rental cars on your NC auto policy if the rental car is used for business purposes. ALWAYS buy the physical damage insurance offered by rental car companies regardless of it’s use. If you damage a rental car, it is much easier to simply turn the car in and walk away if you bought their insurance.
These are just some of the questions we get after bad things happen. However, we want you to know what’s covered and what is not before bad things happen. Please feel free to give us a call anytime you have any concerns about your insurance protection.
For answers to more frequently asked questions, click here.
Note– The above applies to the most common policies. Please refer to your policy for special exclusions and limits or give us a call.
