How Much Umbrella Insurance Do You Need?

Umbrella insurance is coverage that goes beyond the standard amounts provided through your current policies. With umbrella insurance, coverage begins after you have maxed out the limits imposed by your homeowner or automobile policies. Although most consumers know that it’s important to have an umbrella insurance policy, they may not know exactly how much coverage to get. Farrell Insurance Associate Inc. is here to help choose the right umbrella insurance plan for you.

Look at Assets

A good way to start deciding on how much umbrella insurance to get is to review your assets. If you were to liquidate today, how much would your estate be worth? Umbrella insurance is meant to protect against judgments. If you have a $1 million judgment made against you and your worth is $1 million, you will lose everything. Umbrella insurance is typically sold in million dollar increments with $2 million policies usually offering adequate protection for most individuals.

Assess Risks

In some cases, you will want to choose a higher coverage amount for your umbrella insurance policy. Take the time to assess your likelihood for being sued. For instance, homes undergoing renovations are more likely to cause bodily injuries. Properties with hot tubs, trampolines, and swimming pools also carry a greater lawsuit risk. If you own vacant land that has public access, you may be susceptible to judgments if someone is hurt there. Another risk is having young drivers in the home since they are more likely to be involved in automobile accidents. When you have a higher liability risk, choose a policy with increased coverage limits.

Overwhelmed by comparing umbrella insurance policies? Get in touch with the friendly agents from Farrell Insurance Associate Inc. The agency serves clients throughout the Lansdale, PA area.

The difference floods and water damage claims

Homeowners who do not understand the important differences between flood insurance and insurance for water damage can find themselves without vital coverage in the event of a claim. If you live in the Lansdale, PA and would like to learn more about the differences between flood damage and water damage reach out to a specialist at  Farrell Insurance Associate Inc.

The most important myth that people need to understand is that flood coverage is NOT automatically covered under a homeowners’ insurance policy, not only is it not covered automatically but in some areas, homeowners will need to purchase flood coverage from the government.

In order to better understand which type of damage you are dealing with, you need to look at the source of the water. In order to be considered flood damage, the water must come from a natural source such as tidal water or mudflow. In addition, the water damage from the flood must impact more than one property.

For water damage, the water will have come from a non-natural source. Water damage sources include things like frozen pipes bursting, overflowing toilets or other appliances such as a washing machine. It can also be caused by natural elements such as a rainstorm or snow melting.

Whether your home is hit by a flood or other water damage it is important to have the right coverage in place. Claims for water damage and floods can be costly and the work needed to repair your home can be intensive. If you are unsure if you are covered for flood or water damage and live in the Lansdale, PA area please reach out to an agent at  Farrell Insurance Associate Inc.

What are my life insurance options?

Being properly covered by insurance is very important. While having an auto, medical, and home insurance is very important, one of the most important types of insurance to have is life insurance. When you are shopping for life insurance, you will find that there are several different options to consider. It is important to consider the advantages of each option, which will help you to get the right policy for your situation.

Term Life Insurance

One of the most common types of life insurance today is term life insurance. With a term life insurance policy, your monthly premiums will typically be lower and you will get far more in coverage than you would with other types of insurance. The downside is that you will only get coverage for the term that you choose and once that term is up, you will lose all of the money that you paid into the policy.

Whole Life Insurance

For people in Lansdale, PA, another option to consider is whole life insurance. When you have whole life insurance, a portion of your monthly premium will go into an account that will then increase and appreciate in value. This can make it a good conservative investment vehicle as well and you will also get the coverage for as long as you want. However, your monthly payments tend to be much higher than they would be with term life for the same level of coverage. 

When you are looking for life insurance, you should speak with the team at Farrell Insurance Associate Inc. The life insurance professionals at Farrell Insurance Associate Inc. are skilled in helping Lansdale, PA area residents find the right life insurance option for their situation. This will help to ensure you get the coverage you need for your personal situation. 

Does a Sole Proprietorship Still Need Commercial Insurance?

Commercial insurance is an important consideration for any business in Lansdale, PA. A sole proprietorship has insurance concerns that aren’t quite like those of other businesses. Here’s how a Farrell Insurance Associate Inc. commercial insurance policy can still benefit you if you’re a sole proprietorship.

You Are Your Business and Your Business is You

A sole proprietorship has no real separation between you and the business. That means you are the business, and that comes with many things for you to consider.

If your business causes any damage or injury to someone, that person will likely try to sue the business. Since you have no separation from your business, that party will sue you personally. Can you handle a lawsuit out of pocket?

Even if the person suing you loses in the end, you can spend a tremendous amount of money defending yourself and your business. This is why a sole proprietorship needs commercial insurance, possibly even more than many other types of businesses.

Your Business Will Dictate Your Insurance Needs

What does your business entail? No matter what you do, you create some risk that you need to insure against. Even if your business is nothing more than you and a laptop in the basement of your home, you will need at least some coverage for liability and some coverage to protect your business property.

If you use your car for any business related activities, you will need to consider coverage for those activities as well. If you’re a freelancer, then professional liability insurance can often become a necessity. Sometimes, businesses won’t hire freelancers who don’t have professional liability insurance.

Does the scope of your business include activities with government oversight, such as preparing food? You may need commercial insurance just to do certain types of business legally.

For all these reasons and more, a sole proprietorship should seriously consider commercial insurance in Lansdale, PA. Contact Farrell Insurance Associate Inc. today to find a commercial insurance package suitable for your sole proprietorship.

Urgent Care or ER?

On a Saturday afternoon, you slip while mopping the floor. You know you need to be seen but don’t know whether to go to Urgent Care or the ER.   Knowing when and where to go is important so Farrell Insurance Associate Inc. wants to help Lansdale, PA residents prepare for the unexpected.

Choose Urgent Care in Situations Like These

It would be convenient if an injury or illness happened between the hours of 8-5 Monday through Friday, but often times things happen at night, on weekends, or during holidays.  Urgent care centers have extended hours and are open during most holidays.  They can fill in the gap when your doctor is not available and are a good option if your concern is not life-threatening or severe.  Examples of illnesses or injuries that you might lead you to go to urgent care are

  • Headaches
  • Asthma Exacerbation
  • Upper Respiratory Tract Infection
  • Nausea, vomiting or diarrhea
  • Urinary Tract Infections
  • Mild Fevers
  • Minor Back Pain

Choose the Emergency Room in Situations Like These

When other illnesses come into play or the injuries are more severe you may be best served by going to the ER.  If you have rare or chronic conditions that could cause illness or injury to become complicated an ER that you are familiar with may be the best place to go.  Some illness or injuries that might lead you to ER include

  • Fainting/Loss of Consciousness
  • Head Injury
  • Chest Pain
  • Deep Lacerations
  • Uncontrolled Bleeding
  • Severe Burns

Injuries caused by motor vehicle accidents

When you go to the emergency room it would probably be a good idea to bring a list of your current medications and allergies.  Farrell Insurance Associate Inc. knows that you may have more questions so they want Lansdale, PA resident to know they can call or email.

 

 

 

 

How much life insurance do you need?

Life insurance, in many respects, is the gift that keeps on giving. Not only do you have the assurance that your final expenses will be taken care of in the instance of your death, but life insurance also offers certain perks while you are living. A whole life indemnity plan, for instance, provides a cushion so that you can cash out the interest accrued on your policy to use for emergencies. Term insurance comes with the ultimate perk of having coverage for less money.

Farrell Insurance Associate Inc. can ultimately help you find the life insurance policy that best fits your lifestyle in Lansdale, PA. In the meantime, you can use the guide below to determine which type of assurance plan may be right for your needs.

Whole Life Insurance

Some deem whole life insurance the full package in indemnity plans and for good reason. As the option’s name implies, whole life insurance offers you the benefit of coverage when you pass on all while giving you financial advantages before death.

Many homeowners pursue whole life insurance because of certain assets and the need to feel secure with their decisions regarding final expenses. Those who do not own property may also choose whole life insurance just to have a safety net should there be a reduction in income.

Term Life Insurance

Term life insurance is much cheaper than whole life assurance plans, which is why those who are younger may pursue such options. You can purchase a higher premium when you opt for term plans. It is important to be aware, though, that this more affordable choice comes with the limitation of only being in place for a certain time period. Your insurance guarantee ends when your term is up.

How Much Do You Need?

The amount of life insurance you need depends on your lifestyle. Those with families may choose a higher premium to ensure that all debts are covered. You may not need as much coverage if your financial responsibilities are few.

Farrell Insurance Associate Inc. can help you understand how life insurance plans work in Lansdale, PA. Call them today for a quote!

Can You Drop Commercial Insurance Even if you have a Loan on the Property?

As a general rule, any property or item that you have a loan out on is going to require some sort of insurance to help protect the investment of the bank or other lending agents. This is to make sure that if something happens to the property, the lender is not going to be out the cost of the property. For those that live in the Lansdale, PA area, the agents with Farrell Insurance Associate Inc. can help you to find the perfect commercial policy for your property.

For those that have a commercial property that they still owe money on, an insurance policy is a must. For the most part, your lender is going to require that you have some sort of policy on the property at all times that you are still paying on the loan. In some cases, both a commercial policy and a property policy are both going to work to cover. This means that you can have either a commercial policy or a property policy out on the property.

The main concern is that there is some sort of valid insurance on the property to help protect the lender in the case of an accident. There needs to be fire coverage of some sort, perhaps theft coverage, and certainly coverage of some sort to make sure that if the business is no longer operable, the entire cost of the loan is not lost. This also protects the business owner as it makes it possible to recover and get back to work rather than having to spend all their money to recover.

For those in the Lansdale, PA area, the agents with Farrell Insurance Associate Inc. can help you find the right policy for your property.  

3 Surprising Liabilities to Your Homeowner’s Policy

When you think Home insurance, you’re probably imagining an all-encompassing, magical policy that provides relief in case of an emergency to you, the homeowner. but did you know that some of your possessions might actually be considered liabilities by your insurer?

Your insurance provider in Lansdale, PA cannot cancel your homeowner’s policy without good reason if you’ve already paid. However, the company can opt not to renew your policy when it’s time for you to pay again based on certain factors. Here are 3 surprising liabilities to your home coverage.

1. Certain Dog Breeds

Do you love your pooch?

It turns out your insurance company might not share the love. Though all policies differ in coverage terms, certain dog breeds may not be covered by the provider at all. For instance, if you have a German Shepherd or a Pitbull, the provider may refuse to do business with you altogether.

2. Lackluster Home Maintenance

It goes without saying that homeowners are responsible for regular maintenance. Not everyone has the same standards of upkeep, but providers like Farrell Insurance Associate Inc. expect it to be at least fairly regular.

For instance, you may not mow your lawn every week like clockwork, but you can’t let weeds overrun your yard. You may not deep clean your home religiously, but rotting floors due to disrepair won’t be covered by your insurance.

When you buy a policy, you agree to prevent your home from falling into disrepair. Should your home be abandoned or not maintained, that may be reason enough for an insurer to cancel your policy.

3. Certain Backyard Features

Did you know that some of your kids’ playground equipment may be a liability to your insurance?

For instance, a provider might refuse to cover a trampoline, because it’s a high liability risk. Even unsecured swimming pools can cause your policy to be limited or nonrenewable.

Your liability risk goes up significantly if you don’t have fencing around your property. The provider may argue that anyone can trespass onto your property, injure themselves on your trampoline, and then sue you for liability.

Do you own anything that can put your homeowner’s policy in jeopardy? Contact your agent at Farrell Insurance Associate Inc. to discuss anything that might not be covered by your policy in Lansdale, PA.

 

Do You Need More Insurance for a Classic Car?

Everyone knows that you need to have auto insurance in Lansdale, PA but if you own a classic car, you may be wondering if you need even more insurance on your vehicle if it is a classic car. Here at Farrell Insurance Associate Inc. we know that the initial answer is yes but you should also consider classic car insurance. Classic cars are unique and rare and you likely want an additional type of coverage.

While standard auto insurance is a great thing to have for a car that you drive regularly on the road, a classic car needs something different. Most classic car owners do not even drive their cars on the road outside of a few joy rides throughout the year. The car does not tend to be a regular mode of transportation and is, instead, an in investment. Because it is an investment, it needs a different type of insurance that is not structured as much as coverage for auto accidents but structured as insurance for the car as an entity. Classic car insurance is the perfect solution to this problem because it is designed to cover the car whether it is being stored, being sown at a car show, or if you are taking it for a joy ride.

You love your classic car and that means that you should make sure it is covered more than a standard car that you find on the street. If you own a classic car, be sure to reach out to us here at Farrell Insurance Associate Inc. serving Lansdale, PA. We can help you figure out the exact type of overage you need as well as how much you need. Beyond that, we can run you a free quote and find one that is in your budget.

Top Things to Remember When Renting a House

For many people, it makes the most financial sense to rent a house rather than purchasing one. Take for example you’re moving to Lansdale, PA for career reasons, but you know within three years, you’re going to be moved to a different location. In this case, it makes more sense to rent than to buy a house. And fortunately, there are plenty of homes for rent regardless of where you’re moving to. As a renter, it is essential to make smart decisions and respect the house as if it were yours and not someone else’s. Here at Farrell Insurance Associates, Inc., we’d like to share two tips for being a responsible tenant when renting a home. 

Some of the Upkeep Is Your Responsibility

When renting a home, one of the first things you’ll want to discuss with the landlord are the various forms of upkeep you are responsible for and what the landlord expects of you. Some landlords will mow your yard for you, while others will require you to mow the lawn or pay someone to mow it. In regards to interior upkeep, like changing air filters on the HVAC system, there’s a good chance you will be responsible for changing the filter. Still yet, because every landlord has his or her own rules, you need to make sure you understand them. 

Invest in Renters Insurance

A lot of people view renters insurance as coverage that is only good for renting an apartment. What they fail to realize, though, is unless you own the home you’re living in, you can’t purchase a homeowners policy. If you’re renting a home, you will need a renters insurance policy to protect you and your belongings.

To learn more about renters insurance and how it can help protect you and your belongings in Lansdale, PA, contact Farrell Insurance Associates, Inc. today.