Tag Archives: family medical insurance

What Is That Co-Insurance Clause On My Insurance Plan?

 

 

Co-Insurance is a clause imposed on most commercial property insurance policies that requires one to insure your property up to a certain limit of insurance (usually 80%-90%, sometimes 100%). This means that if you you neglect to insure your premises to full value, you might have become a “Co-Insurer” on your property & in the event of a claim you may be looking at a problem.

 

Now we realize that if we under-insure our property, in the eventuality of a total loss, we have been short the main difference. Take that same concept & put it on to a smaller loss:

 

Example: Actual Building Value $500,000

Building Insured for $300,000

Co-Insurance Clause 90%

Fire Loss $60,000

 

With this example the insurance policy policy states that you need to be insured up to 90% of the property’s value (building) ($500,000 x 90% = $450,000). You simply have the building insured for $300,000 thus leaving you under-insured by 33 1/2%.

 

You have a fire loss totaling $60,000. As you were under-insured, the insurance policy company will slow up the amount paid around the loss from the same ratio that you’re under-insured. In this case, the insurer would slow up the payment by 33 1/2% and pay out the comission $40,000. As the “Co-Insurer” you are responsible for the remaining $20,000.

 

So often be aware of the co-insurance clause on your own policy. My suggestion is you pay to obtain appraisals done in your property every couple of years and ask your broker to maneuver you to “Stated Amount Co-Insurance”. Most insurers will move you to this stated amount co-insurance in return for a copy from the appraisal along with a signed Statement of Values. This binds the company to agree that there won’t be any penalty for under-insurance on partial losses as it proves to them that you have done your best to ensure your values are adequate.

 

The most important point is always to remember that the onus is on you to ensure that your values are adequate. Even if you have had the aid of your broker or another outside source in determining the value of your property, in case of a covered loss, the insurers are very only just taking your word for this at the end of the day. It means not even attempt to them in the event you under-insure your property, that is why they have this clause to safeguard them. Who’s protecting you?

Check out my other guide: e health insurance, acceptance insurance and kaiser health insurance

How To Save Money And Get Discount Auto Insurance In Maryland

 

 

Do not attempt to drive a vehicle in the state of Maryland without car insurance. If you are caught driving over a public road in Maryland without automobile insurance your license plates can be confiscated as well as your registration revoked. No new registration no new plates is going to be issued for you until you can prove that you have the mandatory insurance coverage. Furthermore you may be susceptible to additional criminal penalties imposed by the courts.

 

Put simply, it really doesn’t make any sense to even attempt to drive a car in Maryland unless you carry insurance.

 

Auto insurance in Maryland doesn’t have to be prohibitively expense for many drivers. In fact, there are several steps you can take to help keep your rates low.

 

Start by keeping a clean record. A speeding ticket or even a drunk or impaired driving conviction can cause your automobile insurance costs to rise towards the stratosphere. Likewise, accidents, especially accidents that are deemed your fault, will also cause your monthly premiums to increase sharply – and once your premiums have risen as a result of any of these factors they may be likely to stay high for quite some time. Changing insurance firms does poor quality; your records are around for all automobile insurance companies.

 

If you’re below Two-and-a-half decades of age then you know that car insurance is especially costly for you. If you are still in school and you want to keep your rates as low as possible then be in school and work hard; average grades of “B” or better will save you as much as 5% in monthly premiums at most insurance companies. This is whats called a Good Student Discount.

 

If you are 55 years old or more you could have noticed your car insurance rates creeping up. They don’t have to remain high, however. Confer with your insurance agent to see if your company supplies a discount for seniors who’ve successfully completed a refresher driver’s course. Many companies offer a monthly premium discount of just as much as 10% to qualifying seniors.

Check out my other guide: cheap medical insurance, family medical insurance and individual dental insurance