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Do You Need Flood Insurance Even if You Don’t Live in a Flood Zone?

by Posted in Flood Insurance Tagged , ,

You know waterfront living carries risk of flooding, but did you know that about 25 percent of all flood claims come from moderate- to low-risk areas?

Every year, thousands of homes flood that aren’t in a designated flood zone.  Because Florida has flat terrain, low elevation and a high water table, realistically, nearly the whole state is a flood zone.

Flood facts

Flooding is the most common and expensive natural disaster homeowners face. Many Florida homeowners don’t realize that standard homeowners insurance doesn’t cover flooding. For flood coverage, you need a separate flood insurance policy.

Flood insurance covers physical losses to the structure of your home, including systems like plumbing, electrical, and HVAC, as well as your personal belongings up to the policy limit.

Floods can result from many causes, such as heavy rains, flash floods, storm surge, ground water rising, rivers overflowing. New land development can change the way water flows, affecting your risk of flooding. Flood damage is extremely costly. According to Floodsmart.gov, just one inch of water can do an average of $25,000 damage to a home.

Why does it cost so much to repair? Because flood waters not only damage belongings like furniture and appliances, they also wreak havoc with the structure and systems of your home. Flooding can also contaminate wells or carry debris that clogs septic tanks. And if flood water comes into your home, mold and mildew may grow on anything the water touches.

Flood insurance options

Homeowners may choose to buy flood insurance two ways, through FEMA’s National Flood Insurance Program (NFIP) or through a private flood insurance company. For many years, the NFIP was the only choice, but new technology has made flooding more predictable, so more private insurance carriers are entering the flood insurance market.

Either option will provide insurance coverage for flood damage, but there are some advantages to buying a flood policy from a private insurer. With the NFIP, coverage is capped at a $250,000 limit—that may not be enough to cover your losses. You can get higher limits with private insurance companies. You’ll also have a 30-day waiting period before your flood coverage goes into effect with the NFIP that you often won’t have with a private flood insurance provider.

Call us for a quote!

If you need a quick and easy flood insurance quote for your home (or your business), give L & M Insurance Group a call at 813-672-4100, or click here for an online quote. Our independent agency writes with many quality insurance carriers for all insurance needs—including, home, auto, flood, and commercial insurance throughout Florida. Let us help you find the coverage you need to protect your most valuable investments: your home, your vehicles, and your business.

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How Your Credit Affects Your Insurance Premiums

by Posted in Auto Insurance, Homeowners Insurance, Uncategorized Tagged , , , , , ,

As you’re shopping for home or auto insurance, you might come across the concept of the credit-based insurance score, or simply the insurance score. Hmm, that’s odd. What does credit have to do with insurance risk, and how does it affect the cost of your insurance? Does having good or bad credit affect your insurance policy premiums?

Your Credit Score may affect the Price of your Insurance

Your credit score may be affecting how much you pay for insurance. Most homeowners and auto insurance companies in Florida use credit-based insurance scores as part of the process of setting their insurance rates.

Read on for the answers to five commonly asked questions about credit scores and insurance.

1. What’s the difference between credit score and insurance score?

Credit-based insurance scores (or insurance scores) are ratings based on your consumer credit information. They use much of the same information to provide a rating as credit scores do—payment history, outstanding debt, pursuit of new credit, credit mix—but they are used to predict insurance losses. As with credit scores, the higher your insurance score the better, because, according to the Insurance Information Institute (iii.org), “Insurance claims tend to decline as credit scores improve.”

2. Why do insurance companies use credit information to rate premiums?

Insurance scores were developed in the 1990s to help insurance companies more accurately underwrite and price insurance policies. Though they are not the only measure used to rate a policy (see below), the industry has determined that “…people who have low insurance scores, as a group, account for a high proportion of the dollars paid out in claims.” (Source: iii.org.) Experts speculate that the connection is behavioral—those who manage their money and credit well tend to manage other areas of their lives, such as maintaining their homes and vehicles, in a responsible way, which reduces risk.

Also according to iii.org, when insurance companies use credit-based insurance scores, many people (more than 50%) see lower insurance rates overall because insurance companies are able to price coverage that reflects risks more accurately.

3. Does it hurt my credit rating when an insurance company asks for my credit info? No. When an insurance company requests information about your credit, it’s not considered a “hard credit pull.” Hard credit inquiries result when you apply for a loan, mortgage, or credit card.

4. What other information is used to determine home and auto insurance premiums?

In addition to insurance scores, for auto coverage, insurance companies will use some combination of your geographical area, model of vehicle, accident history, age of drivers, driving records, insurance claims, and sometimes how many miles you drive in a year. For homeowners insurance, they will consider things like the home’s age and construction, cost to rebuild the structure in case of a total loss, location, proximity to water for firefighting, and flood risk.

5. How can I improve my credit/insurance score?

This is a great question since people with higher insurance scores usually pay somewhat less for their insurance. First, check your credit score yearly. By law, you’re entitled to one free credit report each year from the national credit reporting companies Equifax, Experian, and TransUnion. Read over your report and correct any errors that might be bringing your score down.

The best thing you can do to improve your credit score is to make your payments on time, including bills, taxes, and any fines or fees you need to pay. It also helps to pay off your credit card balances or keep them as low as possible. If you need to apply for a new credit card or loan, try to wait six months or so between applications—applying for too much credit at one time can temporarily lower your credit score.

Remember, if you do improve your credit score, make sure you compare insurance rates at renewal time. Don’t just assume your insurance premium will decrease.

Shop your insurance with an independent agency

Whether you have good credit or bad credit, L & M Insurance Group can help you find auto and home insurance coverage at the most affordable price. Because we are an independent agency, we write with many different insurance carriers and have more options to choose from than a captive agency. Let our agents shop for your best insurance deal—call us at 813-672-4100, or click here to contact us online.

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 Safe Driving Tips for the Holiday Season

by Posted in Auto Insurance Tagged , , , ,

Most of us are looking forward to spending more time with family and friends during this holiday season. These get-togethers might take place in our own communities or at a far-off home of a loved one. Unfortunately, there’s always an uptick in traffic accidents, injuries, and deaths during the holiday season. In fact, according to the National Safety Commission, “Traveling by car has the highest fatality rate of any major form of transportation based on fatalities per passenger mile.” This is likely because there are more drivers on the road, and those drivers may be distracted, in a hurry, driving on unfamiliar roads, or even driving while under the influence.

Whether you’re driving across town or halfway across the country, here are some tips to help you drive safely this holiday season.

Before you leave

Safe holiday driving starts before you even leave your house. If you’re planning a road trip for the holidays, spend a little extra time preparing yourself, your family, and your vehicle before hitting the road. Gas up the car and have it serviced, if necessary, and make sure you have an appropriate vehicle emergency kit. Sign up for weather alerts at your destination and along your route or check the weather online. You may be driving in weather conditions you’re not used to. Also check traffic reports to see what to expect. If you’re using a GPS, program your destination in before you leave. If you’re using an old-school map, review your route before buckling up.

Get a good night’s sleep the night before your trip so you’re not driving drowsy. And no matter how short a distance you’re going, allow plenty of time to reach your destination without rushing. Drive at speeds safe for traffic and road conditions.

Everyone in the vehicle should have their seatbelts buckled, and small children should be strapped into an approved car seat.

On the road

No matter how far your destination, always drive defensively. You can’t control what other drivers do, but if you stay alert and practice defensive driving, you should be able to react more quickly to an emergency. Defensive driving practices include being aware of what is happening around you—frequently check ahead, behind, and in your blind spots. Stay out of others’ blind spots if possible. Don’t follow too closely. Use the three-second rule: Note an inanimate object and count the seconds between when the vehicle ahead of you passes it and you do. A three-second gap enables you to stop in time if the vehicle ahead of you ahead stops suddenly.

Another key to safe driving is to stay focused when you’re behind the wheel. You know you shouldn’t talk or text while driving, but did you know that animated conversations among passengers, listening to or changing the radio station, and eating or drinking can also distract you from your driving? Do your best to keep your full attention on the road.

Never drive while impaired by alcohol or drugs (even some over-the-counter drugs can cause impairment). Designate a driver, or call a taxi or ride share service.

Safe drivers pay less for their auto insurance

Safe driving during the holidays—and all year long—can not only help protect you and your family from danger, it can help you save money on your auto insurance. If you need car insurance, or any other type of insurance, please call your friends at L & M Insurance Group (813-672-4100) or contact us online. L & M Insurance Group is an independent agency located in Riverview, Florida, serving Riverview, Brandon, Tampa, Valrico, and surrounding communities.

We wish you a safe and happy holiday season!

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Choosing Medicare Options That Are Right for You

by Posted in Health Insurance Tagged , , ,

Nearly 4.8 million Floridians are enrolled in Medicare, the U.S. health care program for people over 65. If you’re one of them, you probably know that during the Annual Enrollment Period, from now until December 7, you have the opportunity to change how you receive your Medicare benefits. Changes you make now will take effect beginning Jan. 1, 2023.

Original Medicare or Medicare Advantage

You can receive Medicare benefits in one of two main ways: Original Medicare, which is a fee-for-service health plan with two parts: Hospital Insurance (Part A) and Medical Insurance (Part B). Once you pay a deductible, Medicare pays its share of the Medicare-approved amount, and you pay your share. If you need drug coverage, you can add a separate Medicare drug plan (Part D).

The second option for receiving Medicare benefits is Medicare Advantage, also known as Medicare Part C. Medicare Advantage is provided by private insurance companies that contract with Medicare. Plans include part A, Part B and usually Part D. They may also offer extra benefits that Original Medicare doesn’t offer, such as vision or dental. The number of Medicare Advantage plan choices continues to increase—according to the Tampa Bay Times, “Floridians enrolled in Medicare will be able to choose from 627 Medicare Advantage plans compared to 583 plans in 2022.”

Considering your options

So how do you choose?

Coverage is very similar. Both options cover most medically necessary services and supplies related to care in the hospital, your doctor’s office, and other healthcare facilities. Main differences include things like doctor and hospital choice (with Medicare Advantage, you need to stay in the plan’s network for non-emergency care), whether or not you need a referral to see a specialist, and as mentioned above, whether or not some routine exams—vision, dental, hearing—are covered. Medicare Advantage plans are increasing in popularity among Medicare-eligible seniors, largely because of the added benefits available as well as the cap on out-of-pocket costs, something Original Medicare doesn’t have.

As you consider your options, think about what type of healthcare needs you’ll have over the coming year. Of course, unexpected things happen, but you may already know you’ll need to see a specific doctor, or you’ll need certain prescription drugs over the course of the year. Once you have this figured out, you can compare plans to see which one is right for you. It pays to spend some time comparing the total you’ll pay for medical care, including premiums, co-pays, and deductibles for each option.

For more in-depth information on how Medicare Advantage and Original Medicare plans compare with each other, click here.

How L & M Insurance Group can help

Sound confusing? If you’re interested in finding out more about Medicare Advantage plans, L & M Insurance Group can help. In addition, we can also help if you want to stay with Original Medicare, but you want a supplemental policy (“Medigap”) to help cover your deductibles and coinsurance costs. A supplemental policy may be cheaper for you than covering all the out-of-pocket costs on your own, especially in the event of a catastrophic illness. We represent companies that offer Medicare Advantage, Medigap, and Medicare Prescription Drug plans, including UnitedHealthcare and Aetna. We’ll be happy to help you decide if one of these plans makes sense for you. Please call us at 813-672-4100, or click here to contact us online.

For additional information on Medicare benefits and plans, please see  https://www.medicare.gov/. 

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7 Simple Tips to Help You Stay Cybersafe

by Posted in Cyber insurance Tagged , , ,

Cyberattacks take many forms and can target both businesses and private individuals. For example, criminals may access financial information or set up new accounts in your name, or install harmful software that disrupts your computer or transmits data from your hard drive. Since October is Cybersecurity Awareness Month, we would like to join others in government private industry to draw attention to cyber threats and digital security.

The good news is that there are many ways to safeguard your personal information. These simple habits will greatly reduce your chance of becoming a victim. Here are some basic cybersecurity recommendations from the Cybersecurity and Infrastructure Security Agency (CISA).

Cyber safe tips

  1. Create strong passwords. Choose a unique password for each account, and change your passwords regularly. Longer passwords are more secure, so consider using a phrase of four or more random words. You may want to use a dedicated password manager to keep track of your passwords. A password manager stores your login information in an encrypted database. It will help you login automatically to the websites you routinely visit, and the only password you’ll have to remember is the master password for the password manager.
  2. Use multi-factor authentication when available. Multi-factor authentication involves using two of the three following credentials: something you know—a password or PIN; something you have—a token or ID card; and something you are—a biometric marker such as a fingerprint.
  3. For security questions, use only information you would know—not information someone could discover by checking out your social media. And while we’re mentioning social media, be careful what information you share there. Pets and children’s names, schools you attended, and so on, are often used as security questions, and posting them exposes that information to bad actors.
  4. Keep your software updated. Manufacturer’s updates often patch security problems. Just be careful to update only from the appropriate manufacturer’s website or built-in application stores to avoid problems.
  5. Only use secure internet connections you trust. Be very careful of public networks, which are not secure. Don’t use public networks to make purchases or make other sensitive transactions.
  6. Install a reputable anti-virus program.
  7. Recognize and report phishing and other forms of social engineering. Phishing involves using fake communication, like an email, to trick you into sharing sensitive personal information. It may request account numbers or your social security number, suggesting there is a problem. Once you respond with the information, the cybercriminal uses it to access or open accounts.  Never click on links or open attachments from unsolicited emails.

And beware: Criminals may capitalize on current events and disasters, such as Hurricane Ian. You may see online solicitation or social media posts from people posing as victims. If you want to help, be sure to send donations to established, legitimate charitable organizations.

If you own a business—protect yourself with cyber insurance

If your business uses or stores customers’ sensitive personal information, you may want to investigate cyber insurance. Cyber insurance protects your liability in the event of a data breach, something a general liability policy often excludes. Cyber insurance covers several types of risks including loss or corruption of data, business interruption, liability, identity theft, cyber extortion, and data breach.

Call L & M Insurance Group for all your insurance needs

Whether you need personal or business insurance (including cyber insurance), L & M Insurance Group has you covered. We will be happy to discuss cyber insurance, or any other aspect of business or personal insurance. We are an all-lines agency, independently owned and operated, located in Riverview, FL. We’ve served clients in Tampa, Brandon, Valrico, and surrounding communities for more than 30 years. Please call us at 813-672-4100, or click here to contact us online.

For more information on cyber safety, visit the Cybersecurity & Infrastructure Security Agency website at https://www.cisa.gov/uscert/ncas/tips

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Insurance 101: Understanding Your Deductibles

by Posted in Auto Insurance, Homeowners Insurance Tagged , , ,

The high cost of home and auto insurance in Florida has us all thinking about ways to save money on policy premiums. While many factors are beyond your control, one that may help save money is your policy deductible. Generally, a higher deductible means lower premiums. A lower deductible means your premiums will be higher. You’ll have to decide which makes better financial sense for your situation.

Let’s talk about what a deductible is, and how it works with your home and auto insurance.

What is a deductible?

A deductible is the amount of money you’ll pay out of pocket before your insurance takes over when you have a claim. When you have an insured loss, the deductible is subtracted (or “deducted”) from the amount of money your insurance company will pay to settle your claim. If you have a loss that doesn’t reach the amount of your deductible, you won’t be able to make a claim.

In home and auto insurance, there are two types of deductibles:

  1. A flat dollar amount. A $500 deductible on the comp/collision coverage of your auto policy is an example of this type of deductible.
  2. A percentage-based amount. This type of deductible is usually found on a homeowners policy. The percentage is calculated based on the home’s insured value. For example, you have a two percent deductible, and your home is insured for $500,000. If your home is destroyed, your deductible would be $10,000.

In hurricane-prone states such as Florida, a special hurricane deductible also applies only to damage and claims from storms categorized as hurricanes by the National Weather Service. Homeowners insurance companies decide on what will “trigger” the hurricane deductible—usually when the National Weather Service officially names a storm or declares a hurricane watch or warning. A hurricane deductible is usually between one and five percent of your home’s insured value.

With auto and homeowners insurance, your deductible applies each time you make a claim. An exception might be your hurricane deductible, which may only apply once per hurricane season. Check your insurance policy for details.

Insurance is intended to help you financially in the event of a loss that is too big for you to handle by yourself. It’s important to note that making frequent claims on your homeowners or car insurance will not only result in higher premiums—it may also get your policy cancelled or non-renewed.

What to consider before raising your deductible

While it’s tempting to raise your deductible to save money on your insurance, remember that you’ll be paying more out of pocket if you have a claim. Will you be able to make necessary repairs with a higher deductible? If you do raise your deductible, consider setting aside money to cover it if you have a loss.

Do you need home or auto insurance?

Helping you with your insurance needs, including helping you decide what deductible is right for you, is just what L & M Insurance Group is here for. L & M Insurance Group is a locally owned, independent insurance agency serving Tampa, Brandon, Riverview, Valrico, and surrounding communities. If you need a home or auto insurance policy, call (813) 672-4100 to speak to an agent, or contact us online.

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Water Damage: What Your Homeowners Insurance Will—and WON’T—Cover

by Posted in Homeowners Insurance Tagged , ,

When you buy a homeowners insurance policy, you’re purchasing protection for your family’s safe haven as well as your most valuable asset. A homeowners policy is intended to help you recover from a sudden and accidental loss, likely an expensive one, such as fire, lightning, hail, etc. However, we find that coverage for one peril, water, is sometimes misunderstood.

Water damage is the second most common reason a homeowner will make an insurance claim, and it is often covered. However, that depends on what caused the damage in the first place. The key is in the concept of the damage being “sudden and accidental.” For example, if a pipe bursts or an appliance overflows, flooding your home and damaging it—those things are both sudden and accidental. However, gradual damage, like that which occurs over time from a leaking faucet, would likely not be covered. Homeowners insurance will not cover water damage due to negligence or lack of maintenance. It’s not intended to serve as a vehicle for maintaining your home.

In addition, your homeowners insurance will NOT cover water damage due to:

  • Intentional acts.
  • Sewer or drain backup (unless you’ve purchased that coverage).
  • Leaks from a swimming pool or other structure.
  • Ground water seepage.

What about flood damage?

A major concern in Florida is flood damage. Flooding is not covered under a standard homeowners policy. This includes flooding from a hurricane, rising water from overflowing rivers, storm surge, or water from heavy rains. If you need flood coverage, L & M Insurance Group can help you get the coverage you need.

Tips to prevent water damage

The best way to prevent water damage is to keep your home in good repair. Here are a few simple things you can do to prevent water damage (see “Fall Maintenance for Your Florida Home” for more suggestions):

  • Inspect dishwasher, water heater, and washing machine hoses and replace if necessary.
  • Turn off water supply to washing machine and refrigerator when going out of town.
  • Monitor your water bill for unexpected increases.
  • Install a leak detector/leak sensor, a device which detects and notifies you about leaks.

L & M Insurance Group—your source for homeowners insurance

If you have questions about what is or is not covered under your Florida homeowners insurance policy, don’t hesitate to call your insurance agent. And if you need a quote for homeowners insurance, please consider giving L & M Insurance Group a call. We understand the importance of finding the right homeowners insurance coverage for your needs. We are an independent insurance agency partnered with many great homeowners insurance companies, and we’d love to help you find the most cost-effective coverage for your individual situation. Please give us a call at 813-672-4100 or click here to contact us online.

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How Inflation Is Affecting Your Insurance Rates and What You Can Do About It

by Posted in Auto Insurance, Homeowners Insurance, News Tagged , , ,

Florida residents already pay some of the highest auto and home insurance rates in the country—and now inflation is making it worse. Some of the same factors driving inflation in general are driving premium increases across nearly all lines of insurance. These factors include supply chain issues, labor shortages, and the rising cost of goods and services. Insurance companies are businesses, and the cost of doing business has gone up considerably. Read on for how inflation is affecting your insurance, and for a few tips to help lower your premiums.

What’s driving up car insurance prices?

Cars have become so high tech that not only do they cost more to repair, they require new training for auto mechanics. Add that to an already existing shortage of qualified mechanics and getting a vehicle repaired becomes even more challenging. In addition, repair shops can’t get the parts they need to fix damaged vehicles so they’re forced to total them, resulting in larger claim amounts being paid out. These higher expenses are taken into account when insurance companies calculate their rates. You can learn more on how supply chain problems can affect your car insurance in a recent blog article.

Homeowners insurance and inflation

Homeowners across the nation are facing rate increases that Florida homeowners have been enduring on a larger scale for the past couple of years. Inflation-related drivers of these price increases include the cost of building materials and a labor shortage of construction workers. Simply put, houses cost more to repair or rebuild, so once again, insurance companies are calculating these costs when setting their rates. (In Florida, the homeowners insurance market faces even more challenges. See: “AOB Abuse and Fraud Help to Drive the High Cost of Insurance.”)

How can you reduce insurance premiums?

There’s only so much you can do in the tight insurance market we have here in Florida, but every little bit helps. Here are a few suggestions for saving money on your insurance premiums:

  • Shop for your insurance with an independent insurance agency. An independent agency like L & M Insurance Group has more options than captive agents when quoting a policy. We represent more than 80 high-quality insurance companies.
  • Improve your credit score. A higher credit score almost always results in lower insurance premiums.
  • Keep your driving record clean. Still one of the best ways to help you get the lowest rate possible.
  • Ask about discounts. You may be able to get small discounts on your auto or home insurance for things like safe driving, safety features or alarm systems, having no gaps in your insurance coverage, signing up for auto pay or paying in full, living in a gated community, and so on.
  • Reduce coverage. Sometimes if money is tight, it makes sense to reduce coverage in order to save on premiums. You’ll need to think carefully about your situation, and what you can handle financially if you were to have a loss. An L & M Insurance Group agent will be happy to help you consider your options.
  • Increase your deductibles. You’ll have to decide if the amount you save in premium is worth the additional amount you’ll owe out of pocket if you have a claim.

Talk to an independent agent

We know you have many choices when it comes to insurance, and we’d like to thank you for considering L & M Insurance Group for your insurance needs. If you have any questions about what coverage you need, or you need a quote for a car, home, or business policy, please call us at 813-672-4100, or click here to contact us online. We’ve been helping our neighbors in Riverview, Brandon, Gibsonton, Valrico, Tampa, and surrounding areas for more than 30 years.

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Insurance Tips for Back-to-School Season

by Posted in Auto Insurance, Homeowners Insurance Tagged , , ,

Believe it or not, it’s already back-to-school season! Younger kids go back to school this week, and college students follow soon after. If you’re a parent, upcoming events in your kids’ lives could impact your insurance coverage. And whether or not you’re a parent, this time of year requires that all drivers take extra care while on the road.

Safety reminders for all drivers

The back-to-school season brings increased traffic, as well as kids walking, biking, or scootering to school. Tickets issued for violations related to school zones and buses are expensive, and will certainly affect your auto insurance rates. And it goes without saying that no one wants to injure a child.

Be especially alert near school zones, school bus stops, and intersections with crossing guards. Be aware that kids don’t always stay in crosswalks. Obey school zone speed limits and instructions from crossing guards, and stop for school buses. You may need to allow extra time to get to your destination so you’re not tempted to drive faster than is safe. Let’s all work together to keep kids safe on the roads!

If you do have kids, especially kids in high school or college, read on for information regarding how going back to school may affect your insurance coverage.

Parents of high school students

Will you have a new driver this year? Inexperienced drivers, such as high schoolers driving for the first time, may be prone to distraction. Stress to your young driver the importance of minimizing distractions while they’re behind the wheel. (And don’t forget to model the behavior you want!)

Be sure to add your child as a driver to your auto insurance policy as soon as he or she starts driving. If they’re not listed as drivers and they’re in an accident, your claim will almost certainly be denied.

Worried about your car insurance rates going up because you add an inexperienced driver to your policy? Give L & M Insurance Group a call for a rate comparison. As independent agents, we have access to companies with more affordable rates. And remember, if your child has good grades and/or has taken a safe driving course, you may be eligible for discounts.

Parents of college students

If you’re concerned about covering your college student’s personal belongings while they’re away at school, there are a couple of ways to handle that.

Will they live in a college dormitory or in an off-campus rented apartment? If your child lives on campus, your homeowners insurance may offer some coverage for their personal belongings (usually around 10 % of your policy’s contents coverage). However, if your child lives in a rented apartment, your homeowners insurance will probably not cover his or her belongings, and you may want to consider renters insurance. Even if your homeowners insurance would cover your child’s things, you may still want to consider a renters policy in order to avoid having to make a claim on your homeowners insurance and risking a rate increase.

Whatever you decide to do, make a list of the items your child is taking to school that you want to be covered. Keep receipts and take photos—this will be helpful if there’s a claim.

What about car insurance?

If your child won’t be taking a car to school and will be living away from home, can you take him or her off your policy? It’s not a good idea to do that, since they’re likely to drive a family car during breaks and over the summer. However, if they live 100 miles or more away, you may be able to get a discount on your policy—ask your insurance agent.

If your child is planning to take a car to school, you will need to notify your insurance agent about the vehicle’s change in primary location and find out if any changes need to be made to your coverage due to this new situation.

L & M Insurance Group is here for you

Whether you have questions about your existing coverage or you need a quote for a new policy, please consider locally owned and independent L & M Insurance Group for all your insurance needs. The agents at L & M Insurance Group are happy to review your situation and help you to find the right policies for you. Give us a call today at (813) 672-4100, or click here to contact us online.

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Protect Yourself from Lawsuits with an Umbrella Policy

by Posted in Uncategorized Tagged , ,

Homeowners insurance and auto insurance play important roles in protecting your financial assets. Not only do they help to repair or replace your own property, your insurance policies cover your financial liability if you are at fault in an accident or if someone is injured while on your property. However, there are times when basic insurance policies might not be sufficient for your needs.

For example:

  • You are at fault in a serious car accident involving multiple vehicles and injuries
  • Your dog attacks and bites someone
  • A visiting child is hurt while playing in your pool
  • A guest trips and falls in your home or on your property

Any one of these scenarios may lead to your being sued and you may find yourself liable for a claim that is much higher than the limits of your homeowners or auto insurance policy. How will you pay for it? Rather than see your hard-earned assets disappear in a lawsuit, an umbrella policy can make up the difference.

How does umbrella insurance work?

Umbrella insurance is additional liability coverage once the limits of a primary policy (auto or home insurance) have been exhausted. Umbrella policies may also protect you if you’re sued for certain actions, including slander, libel, malicious prosecution, and shock/mental anguish.

Umbrella policies most often provide about $1 to $5 million in coverage. They also will pay legal expenses you incur while being sued, over and above the policy amount.

Umbrella policies protect your current assets, such as your property, retirement or investment accounts, as well as your future assets—like wages or an inheritance.

Your goal in buying umbrella insurance is to protect your net worth. Your L & M Insurance Group agent will be happy to help you decide how much coverage you need.

Who needs umbrella insurance?

If you feel it’s likely you could be sued if you’re liable for someone else’s injuries or damage to someone’s property, you need umbrella insurance. If you own property, have a dog, or often host houseguests and entertain, you may be more likely to be in a situation where you could be sued. And if you have a swimming pool, trampoline or play equipment (“attractive nuisances”), you likely need to carry an umbrella policy. Anyone who would like to have more peace of mind regarding asset protection should consider an umbrella policy.

Is there anything umbrella insurance doesn’t cover?

Since umbrella insurance is liability coverage, it doesn’t cover damage to your own property, or injuries to you or your household members. It will not cover business activities or liability you agreed to by contract. It also doesn’t cover damage that you or a covered member of your household causes on purpose. If you have questions about whether or not something is covered, please discuss these with an L & M Insurance Group agent.

Is umbrella insurance expensive?                    

Not compared to other types of insurance—or compared with losing your assets in a lawsuit. A policy with limits of $1 million generally runs only about $150-$300 per year. Cost is determined by factors including how much coverage you want, how many people will be covered by the policy, and how much property (such as homes and cars) you own.

However, since an umbrella policy is secondary to your existing homeowners or auto policies, usually you’ll be required to carry higher limits on those policies. For example, Bodily Injury limits of 250K/500K and Property Damage of 100K on your auto policy, and 300K-500K personal liability coverage on your homeowners insurance. If you don’t currently carry these limits, your premium for your homeowners and auto policies may go up.

L & M Insurance Group has you covered for all your insurance needs

An umbrella policy is an additional layer of insurance coverage you might need to safeguard your financial future. If you would like to know more, please call L & M Insurance Group at 813-672-4100, or click here to reach us online. L & M Insurance Group agents can help with all your insurance needs, whether you need a homeowners policy, car insurance, commercial insurance, or life or health coverage. We are an independent agency, primarily serving Tampa, Riverview, Brandon, Valrico, and surrounding communities.