Protect Your Assets with an Umbrella Policy
Hopefully, you will never be served with legal papers and involved in a costly lawsuit. But in the event you are, it will be imperative that you have the insurance to cover your legal liability. That's where a personal liability umbrella policy can help especially in Fairfax / Loudoun Counties in Virginia.
Umbrella policies supplement the liability coverage you have through home and auto insurance and provide an extra layer of security by protecting your assets that might be at risk in a liability lawsuit.
If you don't have enough liability coverage from your homeowner's and auto policies to adequately resolve a claim, the person suing you can go after your home and your other assets to pay for damages. Umbrella policies cover damage claims that you, your dependents, or even your pets may cause in the South Riding / Chantilly areas.
Umbrella policies kick in after, and pay in addition to, your auto and homeowner's insurance liability limits. The bulk of the risk is assumed under the primary auto or home policy, which enables insurers to offer umbrella policies at very reasonable costs.
However, most insurance companies will not sell an umbrella policy unless both your auto and homeowner's insurance is with them. In addition, your insurer may stipulate that your auto or homeowner's liability limits be at least a certain amount, such as $200,000 to $300,000.
Umbrella policies provide much broader coverage in case you are sued, covering you if you cause bodily injury, property damage, or personal injury. Certain umbrella policies also cover you if you face liability arising from your service on the board of a civic, charitable, or religious organization.
Umbrella policies typically do not cover claims from business endeavors. If you own a business, even a small one, you'll need to purchase business insurance to protect yourself from business-related liability claims.
To determine if you need an umbrella policy, analyze your risk of being sued and the assets you have at risk by contacting Khalid Umerani, NOVA Insurance Group, here in Chantilly / South Riding Va. Do you have a swimming pool or trampoline that may pose a threat to visitors? Of course, you may decide your personal situation makes lawsuits very unlikely.
Before making any decision, compare the umbrella premium with the cost of raising the liability limits on your auto and homeowner's policies. It may work to your advantage to raise these current limits by several hundred thousand dollars, and you may come out spending less than you would on umbrella policy premiums. Please contact Khalid Umerani, NOVA Insurance Group, South Riding, VA.
www.south-riding-insurance.comwww.loudoun-insurance.comLabels: Asset Protection in Fairfax / Loudoun, Fairfax Home Insurance, loudoun auto insurance, Personal Liability Insurance Fairfax / Loudoun Counties, Personal Umbrella Policy in South Riding / Chantilly
Can I Borrow Your Car -- And Your Insurance?
“Bill, can I borrow your truck? I have to pick up a new mattress.” Questions like this are routine here in Virginia (Fairfax & Loudoun Counties). Friends and neighbors borrow and lend their vehicles. College roommates borrow their friends’ cars. Six cars are parked in a driveway at a party and one needs to be moved so another car can pull out. The owner tosses someone the keys and tells him to move it. When situations like these end with an auto accident, whose insurance pays – the owner’s or the borrower’s?
In general, the vehicle owner’s policy is primary and pays first in the event of a loss. If for some reason the owner’s policy does not cover the loss or provide enough insurance to fully cover it, the borrower’s policy will apply. For example, assume that Joe has a policy with an insurance limit of $100,000 for injuries to one person and Bill’s policy has a limit of $250,000. Joe borrows Bill’s car and severely injures a pedestrian, resulting in damages of $300,000. Since Bill owns the car, his policy will pay first. It will pay $250,000 (his limit of insurance,) and Joe’s policy will pay the remaining $50,000. If Bill’s policy does not cover the loss (for example, if he had let the policy lapse,) Joe’s policy would pay all of its $100,000, but Bill and Joe might be individually responsible for paying the balance.
The owner’s insurance will also be primary for damage to the car itself. However, the borrower’s insurance can make up for a difference in deductible. Suppose Joe has a $500 collision deductible on his car and Bill’s collision deductible is $1,000. Joe totals Bill’s $5,000 car in an accident. Bill’s insurance will pay $4,000 for the car ($5,000 minus the $1,000 deductible,) and Joe’s insurance will pay $500 (Bill’s deductible minus Joe’s $500 deductible.) If Bill’s insurance is uncollectible because he didn’t buy collision coverage, Joe’s policy will pay $4,500 ($5,000 minus the $500 deductible.)
A person must have the car owner’s permission to borrow before the owner’s insurance will cover him. The insurance company will consider the person to have permission if he had a reasonable belief that he could use the car. For example, if Bill at one time said to Joe, “Take the car whenever you need to; the keys are on my desk,” and Joe had in fact borrowed it several times with no objection from Bill, it would appear that Joe had a reasonable belief that he could use it. On the other hand, if Bill never said anything to Joe about using the car, and Joe had to search Bill’s home to find the keys, Joe’s belief that he could use it might not appear to be so reasonable. In this case, Bill’s policy might not cover Joe’s liability for injuries or damages. Worse, Joe’s policy might not cover him, either.
Permission must come from the vehicle’s owner, not from a member of the owner’s family. Joe will not have coverage if Bill didn’t give him permission but Bill’s teenage daughter told him to use it. However, the daughter has coverage if she borrows the car, with or without permission. A member of the owner’s family has coverage without having to prove they had permission. To be considered a family member, such a person must be related to the owner by blood, marriage or adoption.
Before borrowing someone else’s car, we advise people to do the following here in Virginia (South Riding & Chantilly areas zips incl. 20151, 20152 and 20105):
-Make certain you have the owner’s permission.
-Make certain the owner has insurance in-force on the car.
-Check your own insurance to see if it will cover damages the owner’s policy doesn’t cover.
Insurance Agent, Khalid Umerani, can assist you with the third item. Ask the questions ahead of time to avoid unpleasant surprises later. For more information on Auto coverage, contact Khalid Umerani at NOVA Insurance Group, here in Chantilly / South Riding, VA 20151
www.south-riding-insurance.comwww.loudoun-insurance.comLabels: Allstate South Riding, Auto Insurance in South Riding / Chantilly, Auto Liability Coverage, Fairfax Auto Insurance, Khalid Umerani, loudoun auto insurance, NOVA Insurance Group
Practice Safe Winter Driving Techniques
Practice Safe Winter Driving Techniques
Winter is finally on its way out of here in Fairfax and Loudoun Counties. Not long ago, winter brought us ice, snow, slippery roads, and poor visibility. Winter driving is necessary and nothing can be done to avoid it.
While the best advice is to not drive at all, that's not an option for most of us here in Virginia (South Riding & Chantilly area zips incl. 20151, 20152 and 20105). If you must drive, here are some simple precautions you can take to minimize the risk of accidents and injuries:
- Decrease your speed and leave yourself plenty of room to stop. You should allow at least three times more space than usual between you and the car in front of you.
- Brake gently to avoid skidding. If your wheels start to lock up, ease off the brake.
- Turn on your lights to increase your visibility to other motorists.
- Keep your lights and windshield clean.
- Use low gears to keep traction, especially on hills.
- Don't use cruise control or overdrive on icy roads.
- Be especially careful on bridges, overpasses and infrequently traveled roads, which will freeze first. Even at temperatures above freezing, if the conditions are wet, you might encounter ice in shady areas or on exposed roadways like bridges.
- Don't pass snow plows and sanding trucks. The drivers have limited visibility, and you're likely to find the road in front of them worse than the road behind.
- Don't assume your vehicle can handle all conditions. Even four-wheel and front-wheel drive vehicles can encounter trouble on winter roads.
If you should lose traction:
- Take your foot off the accelerator.
- Steer in the direction you want the front wheels to go. If your rear wheels are sliding left, steer left. If they're sliding right, steer right.
- If your rear wheels start sliding the other way as you recover, ease the steering wheel toward that side. You might have to steer left and right a few times to get your vehicle completely under control.
- If you have standard brakes, pump them gently.
- If you have anti-lock brakes (ABS), do not pump the brakes. Apply steady pressure to the brakes. You will feel the brakes pulse — this is normal.
If you should get stuck:
- Do not spin your wheels. This will only dig you in deeper.
- Turn your wheels from side to side a few times to push snow out of the way.
- Use a light touch on the gas, to ease your car out.
- Use a shovel to clear snow away from the wheels and the underside of the car.
- Pour sand, kitty litter, gravel or salt in the path of the wheels, to help get traction.
- Try rocking the vehicle by shifting from forward to reverse, and back again. Each time you're in gear, give a light touch on the gas until the vehicle gets going.
For more information contact Khalid Umerani, NOVA Insurance Group, here in Chantilly / South Riding, Va. 20151 at http://www.south-riding-insurance.com or http://www.loudoun-insurance.com
Labels: Auto Insurance in South Riding / Chantilly, Fairfax Auto Insurance, loudoun auto insurance, Safe Winter Driving in South Riding / Chantilly
Save Premiums by Raising Policy Deductibles
Save Premiums by Raising Policy DeductiblesAs money gets increasingly tight, consumers are trying to save wherever possible, especially here in Fairfax and Loudoun Counties in Virginia. Insurance policies are one place that people typically look to cut costs. But, are there ways you can save when it comes to insurance without jeopardizing your coverage?
Many insureds believe so. One method of cutting back on your insurance premium costs is to reduce the dwelling or liability limits on your homeowner's policy here in Virginia (Fairfax & Loudoun County Zips incl. 20151, 20152 and 20105). Similarly, you could also request a reduction in the liability limits on your auto insurance policy.
However, not only do these methods fail to save you money in the long run, they also make you increasingly vulnerable to risk. Consider how much you could lose if a judge decided against you in a liability suit, or someone was hurt in your home (especially in the South Riding / Chantilly areas!).
A wiser course of action is to increase your policy deductibles. On a homeowner's policy, raising your deductible from $250 to a $500 could realize a premium savings of 10 to 15 percent. You could also consider raising the deductibles on the physical damage section of your auto insurance to save money on the premium. Having a $500 deductible on both comprehensive and collision can save you as much as 30 percent. A $1,000 deductible may result in even more savings. (Contact us at
www.south-riding-insurance.com or
www.loudoun-insurance.com for more details)
Many insureds argue that if they do need to file a claim, they won’t have $500 to cover the newly increased deductible. While $500 may sound like a large amount of money to get together, it is actually only $250 more than you would have needed if you still had the original $250 deductible. Keep in mind that with the savings benefit you will get from a higher deductible, you should be able to save that extra $250 in less than 2 years.
For those larger savings, consider a graduated approach. If you are not financially able to go from paying a $250 deductible to paying $1,000 deductible, raise your deductible to $500 now, and put the money you save into a dedicated savings account for the purpose of accumulating money to increase your deductible again. When you have saved enough in the account, increase the deductible to $1,000.
Raising your deductible will definitely save you money over the long-term. More importantly, it will not put you at an increased financial risk. For more information contact Khalid Umerani, NOVA Insurance Group, here in Chantilly / South Riding, Va. 20151.
Labels: Auto Insurance in South Riding / Chantilly, Fairfax Home Insurance, Home Insurance in South Riding / Chantilly, Insurance Policy Deductibles, Insurance Premium Savings, loudoun auto insurance
Does Your Auto Insurance Policy Cover Your GPS?
Does Your Auto Insurance Policy Cover Your GPS?If you've recently gone somewhere on vacation and your car did not have a Global Positioning System (GPS), you probably wish it did. GPS systems have become increasingly popular as their prices have dropped. Navigationally challenged drivers who used to decipher hard-to-read maps can now rely on these small devices to help them reach their destinations. However, the popularity of GPS devices makes them particularly attractive to thieves. They are also susceptible to damage in car crashes, like any other item in a car. How will an auto insurance policy cover a stolen or damaged GPS?
Unfortunately, standard policies provide little or no coverage for a GPS. Many older policy editions explicitly state that they do not cover losses to any electronic equipment that receives or transmits data signals. A GPS would seem to fall within that description. More recent policy editions may cover electronic equipment, but only if it is permanently installed in the vehicle. These policies provide a small amount of insurance for electronic equipment; $1,000 coverage is typical.
It is often possible to buy additional coverage for GPS devices. Any car owner with equipment worth more than $1,000 should speak with her insurance agent about buying a special policy form. It increases the coverage to a specific amount shown on the form. Typically, insurance companies will not offer more than $5,000 coverage. Check with your Insurance Agent for details. (
www.loudoun-insurance.com)
If the policyholder has an older edition of the policy, she will need a different form to cover a GPS. This form covers sound reproducing equipment; audio, visual and data electronic equipment; and tapes, records and disks while in a vehicle. A GPS device falls within the data electronic equipment category. Coverage applies if the unit is permanently installed in the vehicle or if it is removable from a permanently installed housing unit, designed to be powered solely by the car's electrical system, and in or upon the car at the time of the loss. The form provides coverage for devices in cars the policyholder owns and those she rents or borrows. As with the other form, she can buy coverage in amounts up to $5,000. Check with your Insurance Agent for details. (
www.south-riding-insurance.com)
The additional premium for this coverage is normally small. A approx. rate of $4 for every $100 of coverage is typical. For example, the cost for $2,500 of coverage might be around $100.
As car buyers ask carmakers to add more and more gadgets to cars, insurance coverage for those gadgets will continue to evolve. It is unwise to assume that an insurance policy automatically provides much coverage for these gadgets. All insurance buyers should carefully review their policies and ask their agents questions if GPS coverage is a concern. With a GPS and the right insurance coverage, a driver can be confident that she's going in the right direction.
Call us here, at NOVA Insurance Group, for details.
Labels: Chantilly Car Insurance, fairfax-car-insurance, loudoun auto insurance, south-riding-car-insurance
Wise Up When It Comes to Auto Theft
Wise Up When It Comes to Auto TheftIn 2006, almost 1.2 million vehicles were reported stolen in the United States, according to the annual Hot Wheels study from the National Insurance Crime Bureau (NICB). The 1995 Honda Civic topped the most-stolen-vehicle list, followed by the 1991 Honda Accord. Car thieves continue to prefer imports to domestic brands, and vehicles that are 10 or more model years old over newer models. That’s because these cars have been consistent top sellers for many years and some of their parts are interchangeable. Thieves steal these cars for their parts.
www.south-riding-insurance.comAnyone can be a potential car theft victim, even here in Fairfax & Loudoun Counties (South Riding, Ashburn, Sterling, Stone Ridge, Leesburg, Brambleton, Aldie, Arcola & Chantilly). Since just 59% of stolen vehicles were recovered, according to the study, all car owners have a strong motivation to do what they can to protect their vehicles. To help consumers lessen their risk of auto theft, the Council of Better Business Bureaus and the Insurance Information Institute have joined forces to create the “Wiser Drivers Wise Up” program. Here are some of the tips from this program:
· Don’t rely solely on manufacturer-installed vehicle theft protection. Experienced thieves can disable these devices, as well as unlock a Club and other such anti-theft deterrents. Aftermarket vehicle anti-theft systems are usually more sophisticated and are worth paying a professional to install.
· Don’t think your old clunker is safer than a new model. It is also a myth that a luxury sedan is more attractive to thieves than a less expensive model. Older vehicles are usually stolen for their parts, which are no longer being manufactured; newer cars are stolen for their popularity.
· If your car is stolen, contact the police immediately, preferably while still at the scene of the crime. Speed is essential to recovering stolen cars, since any delay means your car is more likely to be in a chop shop or driven out of town. In addition to knowing the make, color and model of your car, you should also know the license plate number and vehicle identification number (VIN). Keep a copy of these identifying numbers and your insurance card in your wallet, and keep a photocopy of your registration and insurance card at home, so you can provide information quickly to both law enforcement and insurance claims agents.
· Don’t assume your insurance covers you for all the costs associated with having a vehicle stolen. Review your policy to see if you are covered for a replacement rental car after a theft, and if there’s a waiting period before you’re allowed to rent a car. Many people waive the rental car coverage, even though it costs only a few dollars a month.
· Make sure you have roadside assistance. Your insurance company will likely offer this for a few dollars per term, or you can go through an outside company such as AAA or even your automaker. Be sure you understand the terms of the coverage.
· Don’t overlook simple theft deterrents. Park in well-lit areas. If you park in a lot, resist the temptation to park near the exit, because it makes your vehicle a more likely target for thieves. According to the FBI, more than one-third of all vehicle thefts occur at a home or residence. Always lock your car, even in your own driveway.
Following these simple tips can help you avoid being an auto-theft victim, and minimize your damages and inconvenience in the event that you are one.
www.loudoun-insurance.comLabels: Aldie 20105 Auto Insurance, Aldie Car Insurance, Brambleton 20148 Auto Insurance, Brambleton Car Insurance, loudoun auto insurance, loudoun car insurance
