Do I Really Need an Umbrella Insurance Policy? Here Are Some Things to Consider
Standard auto, homeowner’s and boat insurance policies cover liability a person may have for bodily injuries or property damage for which you are negligent.  while limits of $100,000 to $250,000 may cover you for most accidents, there are cases where those limits simply aren’t enough.   And if you have personal assets above those limits you may be jeopardizing those assets.

To cover financially devastating events like these, insurance companies offer personal umbrella policies. These policies provide additional protection when an accident uses up the amounts of insurance provided by the other policies. They may also cover some types of losses these other policies do not cover.

In order to determine whether or not an umbrella policy is right for you, you should answer the following questions:

First, do you have items that put you at a higher risk for a catastrophic loss? For example, do you have multiple cars or inexperience drivers in your household?  Household attractions like swimming pools, trampolines, and swing-sets present an exposure to severe losses. Boats, like cars, can cause serious injuries and damage if the operators are inattentive, intoxicated, or inexperienced.

Next, do you have any exposures that do not involve potential physical injury or illness or property damage or that might require different coverage? For example, do you or any members of your family participate in social media websites or online discussion forums? Does anyone coach a youth sports team, belong to the governing board of a non-profit organization, write computer code as a hobby, or give music lessons? These activities present different exposures to legal liability.

Third, do your underlying policies have high enough limits? How high are the liability limits on your homeowners and auto insurance policies?  Does your homeowners insurance cover any business activities? Does it cover family members accused of slander, libel, or defamation of character in online postings?

Lastly, an umbrella may cover things like volunteer activities, statements made online, and certain business activities that a homeowner’s or auto policy might not cover.

Normally, the insurance company will require you to pay a deductible amount (such as $250 or $500) before it will pay for a loss that one of these other policies does not cover.

If you have any other additional questions on whether or not an umbrella insurance policy is right for you, please contact our office.

Distracted driving is quickly becoming one of the most dangerous hazards on the road, especially among teenage drivers.   With auto insurance rates already high for these young drivers, it’s important that you try and avoid any potential insurance claims.

Chubb Insurance just released an article that highlights some of the available technologies to help your teen drivers avoid distracted driving and stay safe on the road.  Some of the apps actually put a lock on the texting function while driving, while others monitor the driving behavior.

Here are some of the apps listed within the article:

DriveMode: This is a free app for Android and Blackberry users that actually responds to all incoming texts with a short message that the recipient is driving and will respond to them soon.

Canary: Canary is an app for both the iPhone and Android that allows parents to monitor their child’s cell phone usage in real time while driving.  It records the times the cell phone is used and actually notifies parents if the child attempts to disable it.

TextBuster: Is a hardware device you actually install in your car the temporarily disables text messaging, email, and internet access while the driver is in the vehicle.  It does, however, allow the phone to still make and receive phone calls and use the GPS.

iGuardian Teen: This is an Android app that actually shows parents what their child is doing in the car.  It monitors driving speeds, distance traveled, and phone usage.
If you are in the Denver Metro or Arvada area and you are interest in how using these apps will help you qualify for insurance discounts, please give our office a call.

As a homeowner, it can be easy to overlook important home maintenance, but with winter approaching, there’s one task in particular you’ll want to complete. And that’s getting your furnace in tip-top shape.
That bulky metal box in your basement (or crawl space, attic, or even hall closet, depending on where you live) is what produces the warm air that keeps your house cozy, making it possibly the most important piece of winter equipment in your home.
The good news is that furnace maintenance is relatively easy: a combination of simple do-it-yourself tasks and an annual tune-up by a professional. Here’s how to get it done.
Furnace Tasks You Can Do
Inspect the air filters. The Environmental Protection Agency’s Energy Star program suggests doing a monthly check of your furnace’s air filter and replacing it when it looks dirty. Frequent changes prevent the accumulation of dirt and debris, which can reduce efficiency and lead to equipment failure. Changing the filter is especially important if you’re new to the home—who knows what dust and grime others left behind? Tip: To make sure you’re buying the right filter, check your existing one; the size is usually printed on the side.
Maintain a carbon monoxide detector. A failing furnace can leak carbon monoxide, so you’ll want to keep a battery-operated or battery-backup carbon monoxide detector in your basement (and every level of your home), according to the National Fire Protection Organization, placing it at least 15 feet away from the furnace to avoid a false alarm. Tip: Change detector batteries in the spring and fall, on daylight saving day, when you change your clocks.
Keep vents clean and clear. Before you turn on your system for the season, remove all the heating vent covers from the floors and ceilings around your home, and vacuum out the ducts. Dust, pet dander, and all those toy soldier pieces that seemingly go missing can collect there, causing your furnace to work harder. Tip: When cleaning ceiling vents spread a sheet on the floor and wearing goggles to shield your eyes from falling dust.
Tasks Best Left to the Professionals
Annual tune-up. A pre-season checkup by a professional is an absolute must to help prevent costly problems down the road. A heating contractor will make sure that your thermostat is working accurately and that your system is cycling on and off properly, and will typically go through a series of checks and tasks, including:
  •          Tightening loose electrical connections
  •          Oiling all the moving parts
  •          Inspecting all gas connections


 
Given the current economy many of us are looking to save money wherever we can. Did you know your utility bills typically account for 15% of your take-home pay? Knowing those bills can consume such a large part of your paycheck, wouldn’t it be nice to cut 25 -50% off of those bills?
We like to share money-saving tips with anytime we can, even if they’re not insurance related. To that end we have put together a list of our top 20 energy and money-saving tips and tricks. You can find the complete list below.
1. Do your chores at night. Limit the use of heat-generating appliances such as the oven, dishwasher and clothes dryer during the daytime hours when temperatures are hottest. That way you won’t make your air conditioner work harder than it has to during the day.

2. Water in the early morning. If you water your lawn on a regular basis, do so in the early morning hours. By doing so you reduce the amount of water that evaporates.FYI: It’s not recommended to water in the late evening because having damp grass overnight provides a good environment for parasites that can harm your lawn.
3. Change your light bulbs. Compact florescent bulbs use about 25% of the electricity of standard incandescent bulbs and will last for years. In fact, according to the U.S. Department of Energy, replacing a standard 60-watt incandescent bulb with a comparable 15-watt fluorescent light bulb could save you $69 over the life of the new bulb.
4. Seal up the house. Did you know that a properly sealed and insulated home improves energy efficiency by up to 20%? Invest in caulk and weather stripping to plug up any drafts around the edges of you doors and windows.
5. Stop gushing. Turn the valves under the kitchen and bathroom sinks halfway off. When you open a faucet water won’t come gushing out, but there will be plenty to wash dishes or brush teeth.

6. Check your insulation. Having a well-insulated house will save you a significant amount on your heating and cooling bills and is well worth the cost. It is also the kind of project average homeowners can do themselves.7. Use fans. Using a fan is a lot cheaper than running your air-conditioning unit. By doing so you can also turn your thermostat up a few degrees and still be comfortable
8. Don’t vent. Use bathroom and kitchen vent fans sparingly in summer and winter. These fans cost money to run and blow your cooled or heated air outside, forcing your furnace or air conditioner to make up the difference.
9. Hang ’em out to dry. Besides your refrigerator, your electric clothes dryer is the biggest energy-gobbling appliance in your home. So if it’s nice outside, simply hang your clothes out to dry.
10. Change your showerheads. You can switch to a low flow head without having to settle for a wimpy shower. Newer showerheads can generate high pressure while using less water. These heads cost around $20, have multiple settings, and can save a lot of water.
11. Keep it clean. Clean air filters monthly for central air, window and wall units. Dirt and dust hinder airflow, reducing efficiency.
12. Close the blinds. Rooms get hotter without shades or curtains to block the sunlight, especially with south-facing and west-facing windows. Insulated window treatments can help further reduce energy consumption as well.
13. Consider time-of-use plans. A growing number of electric companies are offering time-of-use plans, which offer lower rates for energy consumption during off-peak hours (usually from midevening to early morning). The catch is users often pay more for peak-hours use, so consider your daily schedule before signing up.
14. Have a free energy audit. Many power companies provide energy audits free of charge to help you find inefficiencies you may not be able to find on your own. Contact your power company to see if they offer this service.
15. Unplug. Disconnect your electronic gadgets when they are fully charged or you’re just wasting energy. They draw power when they are plugged in, so don’t let them soak up juice all night. Standby power for appliances not in use typically accounts for 5% to 10% of residential electricity use, according to the Lawrence Berkeley National Laboratory.
16. Keep the dust out. Keeping your refrigerator’s coils dust-free can save about 6 percent on its power consumption. Just make sure to unplug the fridge before you do anything.
17. Power down. If you have an electric water heater, install a switch so it is on only when you need hot water. You can also buy a timer to do the job automatically. Turning down the temperature on an electric or gas water heater will also save you money year-round.
18. Install a programmable thermostat. As simple as this sounds, do you know that a programmable thermostat saves homeowners $300 annually on their heating and cooling bills. =
19. Check it. Hire a certified technician for an annual check on your home’s heating, ventilation, and air-conditioning systems to ensure they are operating at peak efficiency. Leaking ducts, for example, could reduce energy efficiency by up to 20%.
20. Heat health. To conserve energy, turn off radiators or close heating and cooling vents in vacant rooms. Heavy drapes also lower energy bills.

Last week we mentioned how when the temperature drops, the number of claims associated with fires and frozen pipes skyrockets.   We also provided some tips on avoiding fire claims inside of your home.   This week our focus in avoiding the dreaded frozen pipes.
Before the Cold Hits:

  • Check for small holes or cracks in the exterior of your home and ensure they are insulated.
  • Cover around any water pipes that are on the inside of exterior walls.

 
If your House is Occupied During the Winter:

  • Maintain temperature settings at 3-4 degrees higher than normal.
  • Turn on any faucets and allow a constant trickle.
  • Open any cabinet doors under sinks to allow heat to warm the pipes.
  • Insulate your pipes.
  • Shut off exterior faucets used for garden hoses from inside your basement and leave the exterior faucets open outside.

 
If your House is Unoccupied During the Winter:

  • Set the thermostat no lower than 60 degrees and install a low heat alarm.
  • Have a plumber install a low water cutoff switch on a forced hot water boiler.
  • Have the water service shut off all to your house.
  • Drain all waterlines leaving drain valves open.
  • Shut off gas to the home.
  • Have the house checked weekly.

 
If you are interested in any additional tips for your home or you would like a quote on your homeowners insurance, please don’t hesitate to contact our office.

As an Arvada resident, if you have ever been in an auto accident you know it can be a stressful situation.  We hope you will find the following list of of steps to take if you are ever involved in an auto accident useful:

Be Prepared

  • Carry a set of warning triangles or emergency flares in your trunk to help alert traffic.
  • Carry a card in your glove compartment that contains emergency contact information and any necessary medical information.
  • Also, it’s not a bad idea to keep a pen and paper along with a disposable camera in the car.

Immediately After an Accident

  • Check for injuries; call an ambulance when in doubt.
  • If accident is minor, move cars out of traffic.
  • Turn on your vehicle’s hazard lights and use warning triangles or flares for safety.
  • Call the police.
  • Notify your insurance agent immediately.

Other Important Tips

  • Do not sign any document unless it’s for the police.
  • Make immediate notes about the accident, including specific damages to all vehicles involved, witness information.  If possible use a disposable camera or camera in your cell phone to document everything.
  • If the name on an auto registration is different than the driver, jot down the relationship.
  • State only the facts, and limit your discussion of the accident to the police.
  • If possible, don’t leave the accident scene before the police and other drivers do.

 

Going on our blog post from last week about the insurance discounts available to Denver and Arvada residents, this week we wanted to share with our Denver and Arvada residents the auto insurance discounts that are available to them:
1. Multi-Policy Discount.  Just like for homeowners, the quickest and easiest policy discount is the multi-policy discount that you can obtain simply by combining your home and auto insurance policies.
2. Multi-Car Discount. By insuring multiple cars with the same insurance company on the same policy, you will be eligible for reductions on your premiums.
3. Passive Restraint.  Purchasing a vehicle with factory-installed safety belts and air bags will qualify for a discount.
4. Antilock Brakes.  Factory-installed antilock brakes on all four wheels will help as well.
5. Anti-Theft Devices.  Active and passive disabling devices like alarms or vehicle recovery devices will add significant premium discounts to your auto policy.
6. Good Student Discount.  If you have teen drivers in your household, you will want to see if you can qualify for a good student premium discount.   Usually maintaining a B or equivalent grade point average.
7. Low Mileage Discount. One of the biggest discounts available is the low mileage discount.   Many insurance companies will reduce your premiums significantly for driving your vehicle less.
If you have any questions on the discounts available to you for your auto insurance, of if you would like to receive quotes on your autos, please feel free to contact our office.

We were recently asked how a homeowners insurance policy protects homes from flying debris and falling trees.  Is there coverage available for those types of claims? If so, is there a limit associated with it?
Most standard homeowners insurance policies do provide coverage for flying debris and falling trees; however, there are some very important conditions to be aware of that are related to this coverage.
For example, if a tree falls and damages an insured home, both the damage to the residence and the cost to remove the tree are both covered with the homeowners insurance policy limits.   Most policies, though, will only provide $500 to pay for the cost of removing the fallen tree.
However, if a tree falls into your yard, but does not damage your home, then the cost to remove the tree would not be covered by your homeowners insurance policy.  Damage to your trees and shrubs resulting from losses due to vandalism, theft, and fire will typically be covered by your policy, though.
If you would like to find out more about how your specific homeowners insurance policy would respond to these types of claims, please don’t hesitate to give our office a call.

As the temperatures are dropping fire and freeze-up claims both steadily rise.   In an effort to decrease both the frequency and severity of these types of claims, we want to spend the next two blog posts providing you tips to avoid both house fires and frozen pipes.   The post this week will focus specifically on preventing fires.
Fire Prevention Tips:
1. Woodstoves and Fireplaces: Inspect and clean chimneys and stove pipes regularly and at least twice a year.  Make sure to keep any combustible materials away from the heat source and dispose of any ashes into a noncombustible container.
2. Furnaces: Ensure your furnace is at least serviced and inspected annually by a licensed technician.
3. Fire Extinguishers: If you have a woodstove or fireplace you should have at least one fire extinguisher handy.
4. Smoke Alarms and Carbon Monoxide Detectors: Check all smoke detectors to ensure they are functioning properly.  If you do not have a carbon monoxide detector, we recommend you install at least one near either the furnace or bedrooms inside the house.
5. Fire Drills: Even though it may sound a little corny, holding practice fire drills with your family may save their lives.  Teach your family what to do and where to meet in an emergency.
6. Wiring: If you have an older home, it is worth the investment to have a licensed electrician check all the wiring in the house.  Older systems have trouble handling the energy requirements of new homes and can present a serious fire hazard.
7. Eletrical Outlets: Don’t overload or overuse extension cords.
8. Space Heaters: Don’t ever leave space heaters unattended and make sure there aren’t any combustible materials nearby.
For more information on preventing fire inside your home or if you would like to find out how The Holste Agency can help you save money on your homeowners insurance premiums, please contact our office today.