Blog – Page 18 – Trail's End Risk | Insuring Collinsville & Oklahoma

5 Things That Are Excluded From Your Life Insurance

Written by admin on August 7, 2023. Posted in Life Insurance. No Comments on 5 Things That Are Excluded From Your Life Insurance

The main reason for purchasing life insurance is to leave something behind for your loved ones when you pass away. You pay your life insurance premiums to ensure your beneficiaries will receive death benefits should something happen to you. Not everyone is aware that life insurance policies have certain exclusions that can prevent beneficiaries from receiving benefits. It is important to know what those exclusions are before accepting a policy.

Life insurance companies add exclusions to their policies to protect themselves from risks, as untimely deaths could mean early death benefits and more costs to the company. Common life insurance exclusions include the following:

Suicide: Virtually every life insurance company has a death by suicide exclusion. It is usually a two-year clause. If the policyholder dies by suicide within two years of taking out the policy, then the exclusion applies, and the beneficiaries are not able to collect death benefits. In most cases, they get the premiums back, but not the benefits. This clause is in place to prevent people from purchasing life insurance when they are planning to commit suicide. Most insurance companies screen applicants for mental health conditions before approving them for coverage.
Service in the military: Military service can mean a higher risk of death for policyholders. For this reason, it may be an exclusion in life insurance policies.
Aviation accidents: Although it is rare for a policyholder to die in a plane crash, death caused by aviation accidents is a common life insurance policy exclusion.
Acts of war: Life insurance coverage may be denied when a policyholder is killed as a result of wartime activities.
Accidental death policy exclusions: Some life insurance policies only provide coverage for death due to accidents and will not cover causes of death related to illness or chronic health conditions. Accidental death life insurance policies may include exclusions for death caused by illegal activities, such as DUI automobile accidents; risky activities, such as rock climbing or skydiving; and death resulting from drug or alcohol abuse.

What Is the Contestability Period?

Providing false information on your application (misrepresentation), risky hobbies, or substance abuse could prevent you from getting life insurance coverage to begin with. Life insurance policies have a contestability period, which is typically one to two years from the effective date of the policy. During this time, the insurance company can investigate your application and deny claims against the policy. If you pass away during the contestability period and the insurance company determines that you provided false information or misrepresented yourself, it can void your coverage, in which case no death benefits will be paid to your beneficiaries.

Every insurance company is different. It is critical to know what your life insurance covers and what the exclusions are. Life insurance contracts can be complex and difficult to comprehend. If you are considering purchasing a life insurance policy, our knowledgeable agent can review the contract with you to help you understand the policy limitations.

6 Reasons to Get Business Insurance Now

Written by admin on August 4, 2023. Posted in Business Insurance. No Comments on 6 Reasons to Get Business Insurance Now

If you are wondering when the best time is to get business insurance, the answer is now. The protection it can provide is essential for your business, and some types of coverage may be required by law. The following are six reasons to purchase a business insurance policy now:

Some Business Insurance Is Required by State Law

Most states require small businesses to carry some type of business insurance. The two types of business insurance most often required by state law are:

Workers’ compensation insurance: If you have employees, most states will require you to carry workers’ comp insurance to cover the costs of work-related injuries and illnesses and provide disability benefits while employees are unable to work.
Commercial auto insurance: Most states require commercial auto insurance for vehicles owned by a business. Coverage must be sufficient to meet your state’s auto liability insurance requirements. Commercial auto insurance can help pay for medical expenses, property damages, and legal costs in case of a lawsuit.

Business Insurance Protects Your Customers

Just as workers’ compensation insurance can help protect your employees, a Business Owner’s Policy (BOP) can help protect your customers. This type of policy can combine business property and liability coverage. If a customer slips and falls or is otherwise injured on your business property, a BOP can help cover medical costs. Data breach insurance included in a BOP can help cover identity protection solutions and liability if a security breach occurs.

Business Insurance Can Help Your Company Grow

Having the right business insurance builds credibility for your company. It shows customers and contractors that you are on top of managing risks. In fact, many contracts require insurance protection. You may need business insurance to lease building space, take out a business loan, and enter into various other contracts.

Business Insurance Can Help You Attract and Retain Top Talent

Currently, it is a job seeker’s market. Prospective employees are looking at the entire compensation package, not just salary, in a job search. Employer-sponsored health plans and life insurance are popular benefits that help attract and retain employees.

Business Insurance Can Provide Protection Against Natural Disasters

Natural disasters, such as fires, lightning, tornadoes, hurricanes, and flooding can happen nearly everywhere in the U.S. It is essential to have the right insurance coverage to protect your business assets in case of a disaster.

Business Insurance Can Help Protect You Against Lawsuits

We live and conduct business in a litigious society. Any company can be sued for any number of reasons. Lawsuits against businesses are brought for a variety of reasons, including breach of contract, employee claims of discrimination or harassment, accidents and injuries, and claims of intellectual property rights infringement. Business insurance can help cover your legal fees and costs associated with lawsuits.

One important reason to have business insurance is the peace of mind it can bring you. Meet with our experienced agent to discuss an affordable business insurance package to suit your company’s needs.

Home Insurance for Rental Properties: What You Need to Know

Written by admin on August 1, 2023. Posted in Home Insurance. No Comments on Home Insurance for Rental Properties: What You Need to Know

Many people who own homes today rent them out to others. If you are renting out your home, whether on a short-term or a long-term basis, it is essential to understand that your homeowners insurance may not cover losses incurred while the property is being rented. The following is information about insurance coverage for renting out a residence in different scenarios.

Short-Term Rentals of a Primary Residence

If you are planning to be away from your home and decide to rent it out on a short-term basis, the coverage you need will depend on your insurance company. With a homeowners or renters policy, some insurers may cover you for a short-term rental if you notify the company in advance. Other insurance companies may require you to purchase a rider or endorsement to your existing policy to have coverage while the property is being rented.

If you plan to rent out your primary residence on a regular basis to different guests, then it becomes a business, and your homeowners policy will not cover it. You will need to purchase a bed and breakfast or hotel business policy. Types of coverage available under the commercial bed and breakfast policies include:

Commercial property: This covers the cost of repairing or replacing business-related property, such as the building, furnishings, equipment, and supplies, in the event of fire, theft, or natural disaster.
General liability: This provides protection against losses for bodily injury, property damage, and personal injury.
Innkeepers liability: This insurance covers the personal property of your guests.
Loss of business income and related expenses: This offers protection in case a covered loss forces you to close down your business temporarily.

Long-Term Rentals of a Second Home or Investment Property

When two people who each own a home decide to marry or live together, they may keep both homes and rent one out. Some people have second homes in different parts of the country where they may stay only during vacations. Other people purchase residential properties as an investment for rental income.

When you rent out a home for a longer period of time, such as six months or a year, you will need to purchase a rental dwelling or landlord insurance. The cost of these policies is generally approximately 25% higher than the cost of standard homeowners policies. Landlord policies typically provide coverage for:

Physical damage to the structure of the home caused by wind, hail, ice, snow, lightning, fire, and other covered perils
Personal property left on site for tenant use or maintenance, such as appliances, lawn mowers, and snow blowers
Liability for medical expenses and legal fees in case a tenant or guest is injured on the property
Loss of rental income, in the event you are not able to rent out the property while it is being rebuilt or repaired due to damage from a covered loss

If you are renting out a home, our knowledgeable agent can advise you on the type of insurance coverage you need and help you find it at the best available rates.

The Importance of Updating Your Life Insurance Policy

Written by admin on July 22, 2023. Posted in Life Insurance. No Comments on The Importance of Updating Your Life Insurance Policy

If you are developing a career, accumulating assets, or starting a family, your life insurance needs could change. It is a good idea to review your policy from time to time to ensure it provides the coverage you need and reflects your current situation. As we age and achieve milestones, life insurance policies may need to be updated. Our knowledgeable agent can review your policy with you and make recommendations for any necessary changes.

When May You Need to Update Your Life Insurance?

We recommend reviewing your life insurance coverage at different points in your life, including when:

You get married or divorced: When you marry, you want to make sure your spouse will be taken care of in case of the unexpected. In the event of a divorce, you may also want to review and modify your policy.
A new child is born: As your family grows, you will need to update your life insurance to include all your children as beneficiaries. Raising children is expensive, and you may also want to increase your coverage.
You purchase a home: When you buy a new home, it may be a good idea to change your life insurance policy to ensure the death benefits will cover the balance of your mortgage.
Your job status changes: If you start a new job, get a raise, move from part-time to full-time, or go through any changes that affect your income levels, you should review your life insurance coverage.
You take out a loan: We do not want to leave our loved ones with large debts. After taking out a loan, you may want to ensure your life insurance is adequate to cover the debt in case something should happen to you.

Why Should You Update Your Life Insurance Policy Periodically?

Most people tend to purchase life insurance and then put it on the back burner. They pay their premiums and assume they will not need the coverage unless something tragic happens. The truth is, like other types of insurance, life insurance needs to be updated and maintained for several important reasons:

Circumstances do not stay the same: Couples marry, and children are born. Kids grow up and move out on their own. Couples divorce, and ex-spouses remarry. People leave the workforce and enter retirement. Changes in your life should be reflected in updates to your life insurance.
Addresses change: People change addresses for a variety of reasons, including transitioning from an apartment to a house, purchasing a new home, or downsizing once the children are grown and on their own. When you or a beneficiary has moved, these changes should be recorded in your life insurance policy.
More people are remarrying: Although marriage rates are down, remarriage rates are on the rise in the U.S. If the beneficiary on your life insurance policy is a former spouse, you may want to update your policy.

Our friendly agent can review your life insurance policy with you and help you make any necessary changes.

How to Adjust Your Insurance Coverage for Remote Employees

Written by admin on July 19, 2023. Posted in Business Insurance. No Comments on How to Adjust Your Insurance Coverage for Remote Employees

After the global pandemic, more people are working remotely than ever before. While working from home during the lockdown, many employees became accustomed to the benefits, including greater work-life balance. Managers also became aware of the advantages to companies of having employees work remotely. Moving forward, it is critical to update business insurance coverage to suit the new operating basis.

Why Should Business Insurance Be Updated With Remote Workers?

Homeowners and renters insurance are not designed to cover businesses. Most policies exclude coverage for any business-related losses. When employees are working from home, it creates exposure to risk in various ways, including:

Damage to company-owned property, such as computer equipment
Cyber theft and data breaches
Commercial crimes
Company liability for employee injuries

What Types of Insurance Does a Business With Remote Workers Need?

Employers need certain types of commercial insurance to cover employees working from home. These include:

Commercial property insurance: In addition to a building or office space, commercial property insurance covers equipment and devices used at home by remote workers. This may include computers, office furniture and equipment, electronic devices, and other company-owned property used by employees working remotely.
Cyber liability insurance: The potential for cybercrime is one of the greatest risks of having remote workers. Cyber liability insurance protects against data breaches. It is essential when employees who deal with sensitive information are working from home. Third-party cyber liability insurance can protect your company in case a client sues over a data breach that occurs remotely. It covers attorney fees, court costs, and damages. First-party cyber liability insurance covers damages your business suffers from a data breach. This may include the costs of notifying affected customers and providing them with credit monitoring.
Workers’ compensation insurance: Most employers are required to carry this coverage under state laws. Workers’ comp extends to remote workers as well as on-site workers. It protects employees working from home in case they are injured while performing their jobs. To be eligible for workers’ compensation benefits, employees working from home must prove that the injury occurred during business hours in the course of performing work duties.
General liability insurance: This insurance includes medical coverage. It can help protect your business from liability for bodily injury or property damage to third parties caused by your employees or your company. It also covers advertising injuries, such as libel and slander.
Errors and omissions (E&O) insurance: This coverage applies when allegations of errors, omissions, or negligence are made. If you are in a service-based industry, you may need E&O insurance for your remote employees. It is common coverage for real estate agents, marketing consultants, graphic designers, accountants, advertising agencies, and other businesses that provide services.

If having remote workers is a new development for your company, your business insurance coverage may need updating. Our friendly agent will be happy to discuss the risks to your business with employees working from home and help you find the right coverage at the best available rates.

What You Need to Know About Auto Insurance As a Rideshare Driver

Written by admin on July 17, 2023. Posted in Auto Insurance. No Comments on What You Need to Know About Auto Insurance As a Rideshare Driver

Ridesharing driving can be a great way to earn income on a flexible schedule. If you are working as a rideshare driver, it is important to ensure you have the auto insurance coverage you need. Insurance provided by rideshare companies such as Uber and Lyft will not cover their drivers in all situations. Speak with our friendly agent for help with the coverage you need at the best available rates.

Will Personal Car Insurance Cover Rideshare Driving?

Most personal auto insurance policies exclude rideshare trips. Personal policies are priced based on personal use of the vehicle only and are not designed to cover business use of the vehicle. If you are rideshare driving, the typical personal auto insurance policy will not cover you while you are working. However, many major insurance companies now offer policies specifically for rideshare drivers.

What Does Rideshare Company Insurance Cover?

State laws require most rideshare companies to provide insurance for their drivers. This coverage typically will not apply when the rideshare app is off, and you are not on the clock. Uber and Lyft both provide different amounts of liability coverage depending on the circumstances:

If the app is on and you are waiting for a ride request when a crash occurs, these companies provide third-party liability coverage of up to $50,000 in bodily injury per person, $100,000 in bodily injury per accident, and $25,000 in property damage per accident.
If the app is on and you are heading to pick up a passenger or transporting a passenger to a destination, Uber and Lyft provide $1 million in third-party liability coverage, uninsured/underinsured bodily injury coverage, and contingent comprehensive and collision coverage.

What Does Rideshare Insurance Cover?

Rideshare insurance can fill in the gaps between your personal auto insurance policy and the company’s liability coverage. For example, rideshare companies typically do not provide collision or comprehensive coverage when the app is on, and you are waiting for a ride request. It is likely that your personal auto insurance will not cover that period, as you were technically on the clock. If a crash that causes damage to your vehicle happens during that interval, you may have to pay for the repairs out of pocket without additional rideshare coverage.

In some states, rideshare drivers may add a rideshare endorsement onto a personal auto insurance policy to help fill the gaps between personal coverage and the company’s coverage. What is covered by these policy endorsements can vary from state to state. It is a good idea to speak with a knowledgeable agent, so you understand exactly what coverage you have.

What Happens If You Fail to Notify Your Insurer That You Are Rideshare Driving?

There could be negative consequences if you fail to disclose to your personal auto insurance company that you are working as a rideshare driver. Your insurer could reject a claim after a crash or even cancel your policy. It could be financially devastating to be in business without protection, and car insurance is mandatory for all drivers in nearly every state.

Understanding the Steps to Buy Life Insurance

Written by admin on July 7, 2023. Posted in Life Insurance. No Comments on Understanding the Steps to Buy Life Insurance

Purchasing life insurance is a critical point in planning for the future. If this is your first time purchasing life insurance, our step-by-step guide can help.

How to Buy the Right Life Insurance for You

If this is your first time looking into life insurance, take these basic steps to help make a decision about the type of life insurance that best suits your situation:

Figure out how much coverage is right for you: The amount of coverage you need from the life insurance policy you choose should depend on your reason for purchasing it in the first place. For example, if you would like to replace lost income for your loved ones for many years after your passing, your policy should have a more substantial death benefit. If you want to secure financial protection to pay off a mortgage, you will need less coverage, with a death benefit that pays your beneficiary the funds to pay the loan balance.
Estimate your future expenses: Make a list of all your costs, such as mortgage payments, car loans, and other debts. It would be best to consider all future expenses, such as college tuition for your children or medical bills. You can determine how much life insurance coverage you need by assessing your financial situation, identifying your dependents, and estimating future expenses. This will help you choose the right policy that protects you and your loved ones adequately.
Consider the type of life insurance policy you need: Term and permanent life insurance are the two main types of coverage available. There are also two types of permanent life insurance – universal life insurance and whole life insurance. Term life insurance is the least expensive type of life insurance and gives coverage for a specified period. Whole life insurance provides coverage for a lifetime as long as premiums are paid. In some cases, a whole life insurance policy may only require a premium to be paid for a specific number of years. Lastly, universal life insurance is flexible and allows policyholders to change the death benefit.
Determine if your policy should be customized with a rider: If you need to personalize or expand your coverage, a rider could provide benefits that are not otherwise included in a standard policy. Two riders that are commonly added are guaranteed insurability and waiver of premium. A waiver of premium rider pays your premium in the event you become disabled. Guaranteed insurability allows you to add to your death benefit without providing evidence of acceptable health.
Evaluate a range of life insurance carriers: Every insurance company is different, offering different plans, deals, and options. Our local agents have access to the best insurance companies in the country and can show you the best policies available, whether this is a first policy, additional policy, or you are considering changing your insurance and finding a better deal.

Meet with a Local Agent for Help.

If you are ready to purchase life insurance, now is the time to contact one of our insurance agents to get started on the process. We can compare life insurance quotes for you and help you find the best policy with premiums that match your budget.

The Ins and Outs of a Life Insurance Rider Policy

Written by admin on July 7, 2023. Posted in Life Insurance. No Comments on The Ins and Outs of a Life Insurance Rider Policy

Did you know you may be able to add features to your life insurance that allow you to customize your policy? Life insurance riders are add-ons to a policy that you can use to personalize your life insurance to better suit your needs. Although some life insurance riders may increase your premiums, others may be added for no additional charge. Riders may be a cost-effective way to get the life insurance coverage you need without having to buy an additional policy.

When Is the Best Time to Add or Drop a Rider to Your Life Insurance?

The best time to add a rider is when you purchase your life insurance policy. If you decide to add one at a later date, you will probably be required to go through underwriting again with a second medical exam. It is far better to add the riders you want at the beginning of the policy. On the other hand, you may drop a rider from your policy at any time simply by completing a form.

What Options Are Available for Life Insurance Riders?

There are many different types of life insurance riders. Availability can depend on the insurance company and the type of life insurance policy. Common life insurance riders include the following:

Life benefit rider: Also known as an accelerated death benefit rider, this is often included in life insurance policies for no additional charge. It allows you to use your own death benefits tax-free during your lifetime if you have been diagnosed with a terminal illness.
Term life insurance conversion rider: This lets you convert term life insurance to permanent life insurance. If your health declines after you purchase term life insurance, a conversion rider can help you keep the costs of permanent life insurance down.
Waiver of premium rider: If you become disabled, this rider allows you to stop paying your life insurance premiums. It is important to understand exactly how the life insurance company defines “disability.” You may only qualify to use this rider if you are totally and permanently disabled.
Long-term care rider: With this rider, you can use death benefit money from your policy to pay for long-term care if it is required. This will lower the amount of death benefits your beneficiaries receive. Long-term care riders may cost several hundred dollars monthly.
Return of premium rider: If you live longer than the term of your life insurance policy, you can get a refund of the premiums you paid with this rider.
Guaranteed insurability rider: This rider is only available for permanent life insurance policies. It allows you to increase your death benefit amount without repeating the full application process, including health questions and a medical exam. A guaranteed insurability rider may be a good idea if you expect your financial obligations and coverage needs to increase in the future.

Before you purchase a policy, our knowledgeable agent can discuss your options for riders with you and help you customize your life insurance to suit your individual needs.

Will My Business Insurance Protect Me From Cyber Threats?

Written by admin on July 6, 2023. Posted in Business Insurance. No Comments on Will My Business Insurance Protect Me From Cyber Threats?

Small to medium-sized businesses store sensitive personal information for their clients, customers, and employees. They may be more vulnerable to cyber attacks than larger companies with more highly developed security infrastructures. A cyber attack can disrupt the continuity of your business and lead to a costly recovery process. Your business insurance policy may not protect you fully unless it includes cyber liability coverage.

What Is Cyber Liability Insurance?

Cyber liability is a specialty insurance product designed to protect businesses from internet-based risks and from risks relating to information technology (IT) infrastructure and activities. This coverage can protect your business against computer or technology-related losses, such as phishing or ransomware attacks, or in case a laptop or mobile device containing sensitive information is lost or stolen.

What Does Cyber Liability Insurance Cover?

The damage your business suffers because of a cyber security breach is covered by cyber liability insurance. This may include investigative services and identity recovery, which includes the costs of regaining control of identity information after a theft. It will also cover the costs involved in recovering your company’s data after a breach. This insurance covers damage because of a cyber-attack on your customers or business partners, including customer notifications, legal fees, and settlements.
Many cyber liability insurance policies will cover:

Funds lost due to fraudulent instruction by a third party
Lost business income and recovery costs due to a data breach or ransomware demand
Costs of compliance with regulatory requirements and fines
Costs of defense against lawsuits
Expert breach response services

Who Needs Business Cyber Liability Insurance?

If your business accepts credit cards, maintains a website, uses computers and/or mobile devices, or collects or stores customer data, you are vulnerable to a cyber attack. Sensitive data may include names, email addresses, phone numbers, addresses, social security numbers, and other personal information. In the event of a data breach, you may be liable for the costs of notifying affected parties and providing credit monitoring to those parties if your data has been compromised or lost.

You could lose money through fraudulent phishing or receive a ransomware demand from hackers. All types of small businesses can be targeted by cybercriminals, including online retailers, consultants, bookkeepers, accountants, and medical practitioners.

In What Scenarios Could You Need Cyber Liability Insurance?

Cyber liability coverage can help protect your business in a variety of cyber threat scenarios, including:

Data breaches
Cyber extortion threats
Suspected network intrusions
Denial of service
Network outages
Security or network wrongful acts

Among other things, it can cover a ransom you are forced to pay to regain access to your data, protect you from lawsuits filed by customers or employees because of privacy breaches, and cover your public relations costs to restore your company’s reputation after a data breach. With cybercriminals becoming more sophisticated and organized today, it is more complicated than ever for businesses to protect their data. Speak with our knowledgeable agent about including cyber liability coverage in your business insurance package.

Car Insurance Terms You Should Know

Written by admin on June 19, 2023. Posted in Auto Insurance. No Comments on Car Insurance Terms You Should Know

The auto insurance policy you choose can be a lifesaver if you are involved in an accident, whether you or another driver was responsible. The amount you will pay out of pocket for repairs, whether your policy will pay for a rental car while it is being repaired, and if you are covered when traveling and driving a rental come into play when making a decision. These details are all found in the fine print of an auto insurance policy.

Choosing the best car insurance can be intimidating if you are unfamiliar with the legal language and terms. The best way to ensure you make the right choice is to understand the terms of a car insurance contract.

Common Car Insurance Terms Defined

You certainly do not need to become a car insurance expert to understand your policy, but it can be helpful to understand the meaning of some standard terms. Here are some car insurance terms that could be helpful to know:

Automotive liability insurance:

Collision coverage:

Comprehensive coverage:

Deductible:

Personal injury protection (PIP):

Property damage liability (PD):

Threshold:

Uninsured/underinsured motorist coverage (UM):

Third party:

In the world of insurance, a third party refers to anyone other than the policyholder or family members covered.

Familiarizing yourself with these terms can be helpful as you review your options or acquaint yourself with the policy you purchase.

Protect Yourself with the Right Auto Insurance Policy

If you are shopping for new car insurance, our insurance agents will work with you to find the best coverage at the most affordable rates. We know it can be confusing to be confident you are choosing the best option. Our local agents can work with you to understand your needs and budget and find the best auto insurance at the best rates. Connect with us today for the personalized service you can rely on.