The lowest mortgage rates in more than three decades have fueled America’s appetite for home buying and refinancing, driving new home sales to a record level . Buying a home can be an intimidating process. As a first-time homeowners you may feel overwhelmed by the number of decisions you are faced with, including choosing the right insurance coverage to protect their property. Take the time to find out what you need to know to protect one of your most important assets.

A home is often a person’s largest asset and protecting it properly can be complicated. The unexpected can threaten your home or possessions and compromise you financially, making homeowners insurance an important consideration.

Farm Bureau Insurance developed the following guidelines to ease the process of choosing the right insurance for new homebuyers.

As a first-time homebuyer you may not realize that homeowners insurance covers more than just the structure of a house. It also protects the homeowner and generally anyone named on the policy, including a spouse, resident, household employee, guest or visitor. Most policies offer three kinds of protection:

1. Structures – A homeowners policy protects a person’s dwelling for damage due to common threats like fire and smoke, lightning, theft and extreme weather. Under “Special Perils” unless it is listed among a policy’s exclusions, anything that causes loss to a homeowner or his property is covered. To cover the exclusions, homeowners can often pay to add endorsements to their policy, although some exclusions, such as flood damage, may require the purchase of a separate policy.

• Coverage Amounts – When choosing coverage amounts, people should remember they are protecting the entire home, not simply the amount remaining on the mortgage or their equity in the building. This is especially important in today’s market with so many homes selling for much less than they would cost to build them.

2. Personal Property – Family possessions and personal property also are covered by homeowners insurance. In most cases, a policyholder will be reimbursed for damage or theft of personal property, whether the loss occurs on the protected premises or elsewhere. Recalling each item in every room can be difficult, however, so policyholders are encouraged to make an inventory of their belongings – recording the serial numbers, as well as the dates and costs of purchases for possessions such as jewelry, artwork, furniture and appliances. Personal inventories should always be stored in a fireproof safe or away from the premises, such as on videotape or a computer that is not in the house. Your agent’s office may be a great place as well.

• Coverage Amounts – Typically, the insurer sets the total value of possessions at half of what the home is insured for, some use 70%. But there are limits for certain items and the amount may not be sufficient to cover the replacement of property, so homeowners may want to purchase additional coverage for their possessions. Review of a homeowner’s personal inventory is the best way to determine whether his coverage is sufficient.

3. Liability – Homeowners insurance also provides compensation for liability claims and medical expenses, as well as other claims that result from property damage and personal injury suffered by others. This coverage applies whether an accident occurs on the policyholder’s property or while away from home.

• Coverage Amounts – The standard amount of liability coverage is $300,000 on a typical homeowners policy. If a homeowner feels that the standard amount may be insufficient, he should consult an insurance professional about the availability of a higher level of coverage.

After establishing a policy, homeowners should periodically review their existing coverage to make sure that it keeps pace with any major purchases or improvements they make to their homes. Securing the right insurance policy at the right price is an important step in the home buying process, so homebuyers should shop around for a policy that best suits their needs and protects their most valuable asset appropriately.

Proof of insurance is a popular term used to refer to a physical form of proof that you have insurance coverage. This proof is usually in the form of a small card, around the size of 3.5 inches by 5 inches (although the size can vary with each insurer). This card should be kept in your vehicle which has the insurance coverage. Most drivers will keep this card in their glove compartment for easy access, but some will keep it in their wallet with their license knowing whenever they drive they will have it with them. It used to be that you didn’t need to have this proof of insurance card with you at all times, but now most traffic officers will request to see this card in addition to the license and vehicle registration during traffic stops or at the scene of an accident. If you fail to provide proof of insurance you will find yourself having to pay the consequences.

Where To Get Your Proof
To get your proof of insurance card, you must first purchase a policy. After a policy has been purchased, the insurer will send you or a new policyholder their proof of insurance card. For some drivers, waiting for the card to come through the mail isn’t soon enough because they need to drive immediately. These drivers and any other driver who does not want to wait for their proof should know that the Steve Bedgood Agency has a way to provide drivers with instant proof of insurance when they purchase their policy from us. This purchase can be made at our office located at 1500 Whitehall Rd. Muskegon, Mi. 49445.

Any driver who is looking to get proof of insurance immediately should make sure they take the time to learn the facts about the policy first. Purchasing the best policy from Farm Bureau Insurance will enable drivers to have a proof of insurance card  once the policy has been signed and paid for.

Penalties For No Proof
Occasionally there are a few officers who will let it slide when you forget to put a new proof of insurance card in your vehicle and you don’t have that card to show them. But this is very rare. More often than not, if you are without a proof of insurance card you will be fined or given a ticket. This can occur whether or not you actually do have auto insurance. Some officers do have the ability to check on a motorist’s insurance and can verify whether or not the driver is lying about having coverage. Certain states have all of this information listed in a database that can be checked by officers during traffic stops. It is illegal in every state to drive without any claimed financial responsibility and police officers are cracking down on those without it. Car insurance is a popular form of financial responsibility. It’s best to always be honest with an officer about insurance coverage and to carry the proof of insurance card in the vehicle at all times to prevent a tougher situation. An officer who discovers you have no proof of car insurance, and then no insurance, will suspend your license and your vehicle’s registration.

Reasons Immediate Proof Is Needed
Proof of coverage is needed any time you are pulled over for a traffic stop or when the you are involved in an accident (regardless of who is at fault). Proof of insurance shows the other driver in the accident you do have insurance and they can write down your car insurance information from the card if you do not have all of that information memorized. The officer at the scene of the accident will also want to write down that information on the accident report. At traffic stops, the police officer will want to verify that you are legally driving by having an insurance policy for the vehicle being driven.

At any time if you are found driving a vehicle that is not insured, your driver’s license and the vehicle’s registration will be suspended. In order to lift the suspension off the license and registration you must show proof of insurance to a court in addition to paying fines. The time it takes for you to purchase insurance and get your proof card will affect the length of time for you to start driving legally again, At the Steve Bedgood Agency we can get you coverage the same day you come in, apply and pay your premium.

You should remember two things when you drive: your license and your proof of auto insurance card. As long as a motorist has these things with adequate coverage on their car insurance policy, they are following the state law. If you need help finding great coverage, turn to our agency to get the best price we can offer and quick proof cards.

Many people will never think to take another look at their car insurance when they move or change neighborhoods. And yet this is a useful thing to do. It could end up saving you a lot of trouble later.

Most of us are unaware that there are many factors that affect car insurance. Actually the factors are so many that by simply changing your address by crossing the street to the other side could drastically change your car insurance premiums.

Change of premiums means a change in the level of risk for the insurance company that supplied your car insurance. This can either go up or down and the insurance premium will naturally follow in the relevant direction.

This is the reason why it is worth checking with your insurance company about how your car insurance is affected by your change of address.

For example auto theft is a much more serious risk in certain neighborhoods than it is in others. So if your insurance coverage was taken out initially in an area where auto thefts are a very low risk, your coverage may not have addressed this issue adequately for your new area.

An insurance company will tend to have all the latest information and statistics on all these risk factors. So by consulting with your insurer you will also be made aware of the new dangers and higher risks you face in your new neighborhood.

Another factor worth considering is that your new neighborhood may be much closer to your work place meaning that you will probably use your car less. This is a factor that affects your car insurance because it is assumed the more you use your car the more opportunities there will be for accidents or possible accidents.

You should be able to review the change of circumstances in relation to your current car insurance and make a quick decision whether you honestly still have adequate car insurance or not.

There is no harm in negotiating a new car insurance deal even when your old one has not expired, simply based on your change of circumstances.

Please call (231) 744-9099 or visit www.Steve.BedgoodAgency.com

You’ve unpacked your things and settled into your new home. But have you thought
about how this will affect your insurance needs? Buying a home involves more
than just making sure you have homeowners insurance coverage. If you’ve recently
purchased a home, here are some types of insurance that may be impacted by your
recent move.

Homeowners insurance
If you have a mortgage, your lender probably required you to obtain some level
of homeowners insurance coverage. However, you’ll want to make sure that the
amount of coverage that you have will adequately protect you for all possible
losses. Homeowners policies set coverage limits for specific items (e.g., jewelry),
so you may want to look into purchasing a separate endorsement or a floater
if you feel that you need to increase your coverage. You also need to know if
you have “replacement cost” coverage on your personal property and
if you are covered for earthquake damage.

Flood insurance

Homeowners insurance does not provide coverage for flood damage. But those
living on a riverbank or near the ocean are not the only ones who warrant flood
protection. Even if you live in a low-lying area (e.g., near a creek), you may
want to look into purchasing flood insurance. Most companies that sell homeowners
insurance also sell flood insurance, so try contacting your own insurance company for more information.

Auto insurance

If you think that there is no connection between buying a home and auto insurance,
think again. If you’re ever in an auto accident that is the result of your negligence,
all of your assets (including your home) could be subject to liability claims
if the claims exceed the liability limits of your auto insurance policy. So,
you should re-evaluate the existing liability limits on your auto insurance
policy to make sure that you have adequate coverage to protect your home. If
you feel that you need even more coverage, you may want to look into purchasing
a separate umbrella liability policy, which would pay for damages that exceed
the coverage limits on your auto and/or homeowners insurance policy.

Disability insurance

Would you be able to make your monthly mortgage payments if you were unable
to work due to an accident or illness? A disability insurance policy will pay
you a monthly benefit to replace a portion of your income until you are able
to work again. Many employers provide disability insurance for their employees.
If your employer does not offer disability insurance or if you are self-employed,
you can purchase an individual disability policy.

Life insurance

What if you were to die before your mortgage was paid off? Would your family
be able to keep up with the remaining mortgage payments? Life insurance can
provide your family with the funds to pay off their debts, as well as replace
a portion of your income. While many employers offer some level of life insurance
coverage to their employees, this amount of coverage may not be enough to provide
financial security to your family. So, you may want to consult an insurance
professional to help you assess your family’s life insurance needs.

Contact me at (231) 744-9099 or www.muskegonhomeownersinsurance.com