Groundwater Problems & Your Homeowners Policy

What your Homeowners Policy Doesn't Cover

The basic homeowners policy does not cover damage from water entering at or below the surface of the ground. Examples include sewer water that backs up into your home through the basement floor drain or water that seeps through your foundation from heavy rains. To be short and sweet: when water comes into a home at or below ground level, the resulting damage is NOT covered.

How to Protect Yourself

You can try to control the problem by installing a sump pump. You can also buy a battery backup for your pump which can be critical if there is a power outage or a large volume of water for your pump to handle.

From an insurance standpoint, you can purchase an endorsement to be added to your homeowners policy called Sewer Backup Coverage.

You can also consider Federal Flood Insurance. Contact your insurance agent for more information on this program. Be aware that Flood Insurance has a 30-day waiting period after it is purchased before a flood will be covered so plan ahead. Also personal property in a basement or area where all four walls are below ground is NOT covered by a flood policy.

What's a home inventory and why should I take one?

After tornados hit Massachusetts on June 1, 2011, many folks are in the process of rebuilding their homes and more importantly, their lives. And when dealing their insurance companies, they're asked to identify all those items that need to be replaced.

How can someone remember all the possessions they've amassed over the years and place values on them?

For those of us who have not had to deal with this problem first-hand as yet, we can learn a lesson from this: create a home inventory.

Start by making a list of your possessions, describing each item and noting where you bought it and its make and model. Count up each type of clothing item (pants, shirts, dresses, shoes, etc.) and make note of any valuable items. Gather up all receipts, appraisals and contracts you may have. Record the serial numbers for appliances and electronic equipment.

In addition to your list, you can take pictures of items, your closets and cupboards - or take the time to make a dvd while walking through your house or apartment.

We at McCurdy Insurance can also perform the inventory for you and store it at a different location. No matter which way you record all your possessions, be sure to store your lists, receipts and photos or dvds in a different location, whether a safety deposit box, a relative's home or at your workplace.

High Limits for Young Drivers

When we recommend healthy liability limits to young drivers, we often hear comments like “I don’t own anything“, “I have no assets”, or “What can they take from me?” Aside from the moral issue of doing the right thing and having adequate insurance coverage should you injure someone, it is important to note that if you are involved in a serious accident, you could jeopardize your entire financial future. In the case of a court judgment, you could have your wages garnished for the rest of your life; future assets can also be attached. A judgment in Massachusetts can be enforced for up to 20 years – plus interest.

Let’s be real: I was young once and I know what you are up to and what can happen even to the best drivers. Do you want to jeopardize your future for the sake of a few hundred dollars a year? Remember, if insurance rates are high, it is only because claim exposure is high.

This is not something to take lightly; get good coverage. And the value of your car has nothing to do with the damage you can cause. You can injure someone severely with a new Mercedes or a ten-year-old Toyota.

Fiction: The least expensive insurance policy is usually the best

Fact: Choosing an insurance policy based on price alone is a big mistake. It's important to read through the policy details and understand what's covered. Otherwise, you could end up paying a large portion of the claim if the maximum payout amount doesn't fulfill your needs. A low price may also land you an insurer that fights every claim and delays payments. Making price the key factor in your decision could cost you more money and hassle in the long run.

Disaster in Japan

The earthquake and tsunami that wreaked havoc in Japan is a calamity. But, let's learn something from it. If a developed country like Japan is having difficulty coping with the aftermath of such a disaster, how would we fare if confronted with a similar situation??

One of the most basic ideas to consider is putting together some emergency supplies. The following list has been prepared by the US Government. This and other survival information is available at www.ready.gov.

When preparing for a possible emergency situation, it's best to think first about the basics of survival: fresh water, food, clean air and warmth.

Recommended Items to Include in a Basic Emergency Supply Kit:

• Water, one gallon of water per person per day for at least three days, for drinking and sanitation
• Food, at least a three-day supply of non-perishable food
• Battery-powered or hand crank radio and a NOAA Weather Radio with tone alert and extra batteries for both
• Flashlight and extra batteries
• First aid kit
• Whistle to signal for help
• Dust mask, to help filter contaminated air and plastic sheeting and duct tape to shelter-in-place
• Moist towelettes, garbage bags and plastic ties for personal sanitation
• Wrench or pliers to turn off utilities
• Can opener for food (if kit contains canned food)
• Local maps
• Cell phone with chargers

Additional Items to Consider Adding to an Emergency Supply Kit:

• Prescription medications and glasses
• Infant formula and diapers
• Pet food and extra water for your pet
• Important family documents such as copies of insurance policies, identification and bank account records in a waterproof, portable container
• Cash or traveler's checks and change
• Emergency reference material such as a first aid book or information from www.ready.gov
• Sleeping bag or warm blanket for each person. Consider additional bedding if you live in a cold-weather climate.
• Complete change of clothing including a long sleeved shirt, long pants and sturdy shoes. Consider additional clothing if you live in a cold-weather climate.
• Household chlorine bleach and medicine dropper – When diluted nine parts water to one part bleach, bleach can be used as a disinfectant. Or in an emergency, you can use it to treat water by using 16 drops of regular household liquid bleach per gallon of water. Do not use scented, color safe or bleaches with added cleaners.
• Fire Extinguisher
• Matches in a waterproof container
• Feminine supplies and personal hygiene items
• Mess kits, paper cups, plates and plastic utensils, paper towels
• Paper and pencil
• Books, games, puzzles or other activities for children

Consider Rental Reimbursement Coverage

Under the best circumstances, having an auto accident is really annoying. It can be equally disturbing to realize you didn't buy rental car coverage on your auto insurance policy. So you could be faced with having no car while it's being repaired, paying the $500 deductible and another $300 to $500 for the rental car. If you've got the money, fine; but if you don't, rental coverage could be something you'd like to consider.

People may say "Hey, if the accident isn't my fault, I can collect from the other person's insurance carrier." That's true -- as long as the other person was at fault, they have insurance, and you get their name, plate number, license number, etc. If they don't have insurance, lots of luck taking them to small claims court for the rental car money.

I find that most of the time, it's better to take care of Number One and get the extra coverage. The cost is reasonable, ranging from $40 to around $100.

Snow Alert!

The snow load on your roof could be approaching a dangerous level. For your safety, remove snow from your roof as soon as possible. The is especially critical if you have a flat roof or one with a minimal pitch.

The potential for roof collapse or structural damage increases as the weight of the accumulated snow and ice exceeds the snow load capacity of the roof. Also, the likelihood of developing ice dams and the resulting water damage to the interior of the house increases with the amount of snow remaining on your roof.

Rain falling on accumulated snow is especially dangerous because snow-covered roofs do not drain well and the weight of the snow increases.

It may be prudent to hire someone to remove snow from your roof before the next storm hits the area. You can call a local roofer or contractor to see if they can help.