Replacement vs Market Value of Your Home
mckeeandrews
Recently we have been receiving a number of calls regarding the value of their homes. With the real estate market down considerably many people think that they should be able to reduce the value of their dwelling coverage on their insurance policy. many homeowners equate the worth of a home to its market value especially if the home was a recent purchase. While the market value is a valid calculation of a homes worth for buying and selling it has little to do with the cost of rebuilding. What your insurance policy is intended to do is to rebuild your home when destroyed by a covered peril. There are several factors that go into the calculation of the replacement cost of a home which I will just name a few. After a disaster such as a tornado the cost of building materials and rise because of increase demand. Repair work to a partially destroyed home is done from the top of the home down. This is more time consuming and labor intensive. Changes to building codes may require costly updating even for undamaged parts to the home. Let’s not forget demolition costs which you would not have if you built a new home. The replacement cost of your home will be higher than the market value or tax value. I hope this will help you understand why we have to insure your home for its replacement value, you will be glad you did in the event of a loss.
McKee & Andrews is proud to announce a new partnership with Safeco Insurance. Safeco is a large national insurance company–you may have seen their ads on TV. The company offers flexible, competitive rates on personal insurance policies for homeowners, auto, renters, RVs and motorcycles and boats. Please call us at 763-231-3340 , contact us or request a quote.
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Wedding season is upon us, and we can offer you an insurance plan to give you piece of mind on your special day. The Wedding Protector Plan is special event insurance coverage, which provides several different types of coverage and coverage enhancements for your special day, your rehearsal & rehearsal dinner. You also have the options to add liability insurance which includes the option to add liquor liability. Some of the things the Wedding Protector Plan can cover are: Cancellation / Postponement Lost Deposits No Dress-You can get repair or replacement cost if the brides dress or grooms tux is lost or damaged Additional Expenses Event Photographs & Video- if your photographer’s film is defective, or negatives are lost or damaged, you can get help covering the cost to re-take new photos Event Gifts Special Attire Special Jewelry Sudden Illness – if the wedding needs to be postponed because a sudden illness prevents the bride, groom or their parents from attending, you can receive reimbursement for non-recoverable expenses. The Wedding Protector Plan starts for as little as $160.00, and with the average cost of a wedding nearing $30,000, it’s a great way to give you piece of mind. If you have any other questions, please stop in or call!
Some people only think about their auto insurance when their bill comes in the mail or if they get in an accident. Would you know what coverage you had if you got in an accident today? Don’t beat yourself up if you say “no”, we see that a lot when talking to new customers, but today is a great day to fix that. The State minimums for auto liability in Minnesota are 30/60/10. What does that even mean? Great question, let me break it down for you; The 30 means: $30,000 for injuries to one person per accident The 60 means: $60,000 for injuries to two or more people per accident The 10 means: $10,000 for physical damage to the other driver’s vehicle or damage to property We see that people take the minimum coverage because they think it will cost less, and what the coverage actually means wasn’t explained to them. In reality, taking the increased limits of 100/300/100 or even 250/500/250 can cost less than the 30/60/10 coverage. What kind of injuries will cost less than $30,000? And if you have four people with you there is a limit of $60,000 for all 4 people. That’s $15,000 per person. As for the physical damage, hitting a light pole can cost up to $16,000 and what if you total out a nice new SUV that costs $60,000? Yup, $50,000 will be coming out of your pocket. Since you have insurance and are paying your hard earned money for it, shouldn’t you know what your insurance coverages are and what they mean? If you would like a free, no obligation insurance check up, call or stop in today and we would be happy to go over your current insurance policy with you.
The warm weather is upon us, and I know how excited a few people are for motorcycle season. Heck, there is even one parked outside the Agency today! This is a good time to make sure that your bike is covered and covered properly. From liability limits to physical damage we can make sure your dome and chrome are covered! And lets not forget about the discounts. One of our companies, Dairyland Insurance offers discounts for motorcycle safety course completion, multiple motorcycles, home ownership & almost 50 riders groups including: Harley Owners Group American Motorcycle Association Blue Knights Gold Wing Road Riders Association Honda Rider’s Club of America Riders of Kawasaki Active/Retired Military Personnel If you have any questions or would like more info, give us a call or ride on in. We would be happy to help & we wouldn’t mind seeing your bike either!
Here are some ways to save money on business insurance: 1. Shop around. Prices vary from company to company, so it pays to use an Independent Agent who can compare more than one company for you. It’s also important to pick a company that is financially stable . Check the financial health of insurers with rating companies such as A.M. Best and Standard & Poor’s and consult consumer magazines. 2. Choose a higher deductible. Deductibles represent the amount of money you pay before your insurance policy kicks in. The higher the deductible, the less you will pay for the policy. 3. Buy a package policy. It can sometimes be cheaper to purchase a package policy, such as a Businessowners Policy (BOP), rather than individual coverages. A package policy provides standard coverages and limits of liability that are appropriate for typical small-to-medium-sized businesses. 4. Work closely with your agent or broker. Your insurance professional can provide invaluable advice to help protect your business from unexpected disasters. But you need to keep him or her informed about any major changes in your business. This includes major purchases, expansions or changes in hiring or the nature of your operation. Also, get your agent’s advice in terms of disaster planning. Ask what you can do to both reduce risks like fire or work-related accidents, as well as the procedures that should be in place in case your business does suffer a major catastrophe. Having the right coverage and a well thought out disaster plan can save you money in the long run. It may even save your business from going under. 5. Ask about ways to prevent losses. You may be able to reduce your premium for certain coverages by following your insurer’s recommendations. These can include workplace safety, disaster preparation, and human resource intervention
Tech businesses, like web developers, IT consultants, programmers, and the like, face many unique insurance problems; Problems like being protected from professional liability losses, data breach liability, denial of service, etc.. A standard business insurance policy does not provide this type of coverage. Luckily, we represent the two largest carriers that are the industry leaders. Second, we have experience. We know what to do, what questions to ask, and how to obtain competitive coverage. Contact us to learn more.
The saying “April showers bring May flowers” is true, especially to us in the Midwest. Spring storms like thunderstorms, heavy rain and tornados are inevitable and often times unpredictable. When severe weather strikes with little notice the risk of injury to yourself and damages to your property greatly increases. Here are some helpful tips to help protect you, loved ones and property during the next ‘April shower.’