It CAN Happen To You
It seems that there are an increased number of house and business fires recently, where the owners do not have insurance.
Is it that with social media, we learn more about everything and everybody?
Could it be because there are more fires than normal?
Or could it be that there aren’t more fires, but more people who do not have insurance?
Reasons for not having insurance
I don’t have the answer to these questions, but I am concerned that this is happening. Some of the news articles that I’ve ready state that some of the reasons for people not having insurance include:
- It was a manufactured house and they couldn’t find an insurer.
- They just moved and hadn’t had time yet to get the insurance policy.
- The elderly homeowners paid off the house and couldn’t afford the insurance.
- “I just didn’t think it would happen to me.”
Others had insurance, but found they were way under-insured. This is more common for businesses than houses, because often businesses grow, add to their asset base, and don’t think to increase their coverage. Then, when a loss occurs, they don’t receive enough funds to replace their assets, thus rebuilding is quite difficult.
Another omission that is common is the failure to have a contents inventory of the home or business. When a disaster hits and your home or business is destroyed by a fire, blown away by a hurricane or tornado, or a large number of items are stolen, there is nothing remaining to help you remember. These disasters can be devastating! Then, when the insurance company requests a list of the items you need to replace, you are at a loss – literally!
You are literally at a loss
You are under stress, and now you have to depend on your member to know what used to be in your home. The big things are quite easy – you’ll remember the sofa, the dining room table, and the family room TV. But when it comes to the number of clothes and pairs of shoes in each closet, the pieces of jewelry, the number of CDs and DVDs, how many pots and pans … the list goes on and on. Your memory will take you just so far down this road, which normally ends in a very bad, under funded settlement.
If you don’t have insurance on your home or business, call local agents and request some quotes. Even if your budget requires that you need to purchase a high deductible policy, it’s better than nothing. Then, create your inventory. Having the inventory will most likely end up producing a much more equitable settlement – which easily make up for the higher deductible.
You don’t need to take my word for it. Here – in their words – is why homeowners and business owners have chosen to have an inventory of their belongings,