by Victoria -

The Case for Life Insurance

This was originally published in the  Lynn Haven Ledger as the first article in The Rebecca Series for insurance

“I know I can do this today”, Rebecca thought. “It’s been almost a year since Roger died, and it’s finally time to go through all his papers and files”. She was standing at his desk, her fingers resting gently on the now dusty surface, still trying to envision him sitting there.

Underneath a pile of old bills marked ‘paid’ from several years ago, she found a legal pad with just a few pages used. They were written in his distinctive print-cursive she had loved so much. Bold, but almost delicate. She expected to find lists of ‘Things to do’ for his work, but then she took a closer look.

It was a list, but it wasn’t for work. It was for life. His life. Almost like a bucket list.

Her eyes immediately teared up, and she sank heavily into his favorite desk chair. Grabbing some tissues, she picked up the legal pad and began to read what her beloved husband had written. Oh, how she missed him!

Why, it was a list of things to be thankful for! What was the date? Oh, here it was at the top of the page. Almost exactly three years ago. She remembered now. He had been going through a period of depression and their Pastor must have recommended this as part of his therapy.

“I am thankful for…” he had written on the top line.

My family
My wife who puts up with my moods
My little girls who light up my world
… and on it went for a whole page

She sighed deeply, wiped her tears once again, and put the legal pad aside.

In another drawer she found a quote for life insurance dated just six months before his unexpected death. Her hands began to shake uncontrollably as she read over the information. The amount of the coverage would have paid off their mortgage, their debts, and put their girls through college. And the monthly payment – wow – it was less than one night out a month for dinner.

She let the paper fall to the floor, placed her head on the desk and sobbed.

I think, for most people, once they get past the whole depressing idea behind life insurance, their next concern is – hey, can I even afford it?

So I’d like to dispel that common misconception that says life insurance isn’t affordable.

Of course you can purchase life insurance – high dollar amounts and comprehensive policies – that can be pricey, but I’m talking about what the average family can easily afford to pay every month.

Term policies in particular tend to be very low in cost. They’re straightforward. The monthly amount doesn’t change, so you have no surprises.

What’s really good about them is actually more than the small price tag. Although, small price tags are pretty good.

For example – a 20 year old getting life insurance for less than $15 a month? Or a 45 year old getting life insurance for less than the cost of a tank of gas.

These are real-life examples. Of course, as you know, there are variables. But on the whole, term life insurance policies are affordable for almost every budget.

But as I said above, the best thing about life insurance isn’t the low price. It’s knowing that all of those people who mean the world to you, will be taken care of. That they won’t have to have the added burden of insurmountable debt on top of the deep grief of missing you so much.

Let us help your family. It helps us sleep better at night. And, I’m positive it will help you sleep better, too.

by Victoria -

Tornado Warning

This article was originally published in the Lynn Haven Ledger in February, 2016 after a tornado wreaked havoc in a small community a couple hours away.  This was written as an insurance article.

Roof shingles fly through the air. Buildings collapse and windows shatter. Torrential rain soaks all your worldly possessions as you cower in fear, praying for the storm to pass.

An elderly man opens his front door in order to monitor the storm, and almost becomes a casualty.

An EF-3 tornado with peak winds of 152 MPH.

Your life just shifted, and you’re suddenly homeless.

This happened February 15, 2016:

“The some 40 families displaced after a devastating tornado in Century, Fla., will likely not receive FEMA assistance, according to Escambia County Emergency Management Agency Director John Dosh. 

Dosh said while crews are still completing a total damage assessment, preliminary findings show about 30 houses were completely destroyed in the EF3 twister that ripped through the town Monday afternoon. 

Dosh explained to FOX10 News the dire funding situation the victims will likely have to face. 

‘Typically, a lot of it depends on the extent of the damage, how large of an impact area. I don’t anticipate seeing any federal assistance on this, I don’t think it was large enough to meet those thresholds, we’re going to have to work closely with the town of Century and the county to work through the process together, the recovery process, debris removal,’ explained Dosh. ‘Typically in this type of situation, the individual home owner, if they weren’t insured, it’s an uninsured loss, it’s on the homeowner. So it can be tragic and sometimes these types of things happen, and that’s why we rely a lot on the faith-based organizations.’ ”

(Excerpted from: http://meredith.worldnow.com/story/31238245/relief-aid-money-may-be-limited-for-century-tornado-victims)

Your homeowner’s insurance and renter’s insurance policies are designed to take care of you when a disaster of this magnitude happens. But, unfortunately, if you don’t have insurance, you’ll find yourself at the mercy of either FEMA or local governments or faith-based organizations.

Of course, everyone appreciates the help from these organizations, and those who actually give the help are among the finest individuals around.

BUT – you shouldn’t need the help, depending on what kind of insurance you have.

Most policies will provide you with immediate assistance for housing and food and clothing up to the policy limits while an assessment is made to determine the extent of damage.

I have reasoned with a lot of uninsured renters over the years who usually say something like this as their excuse for not having renter’s insurance: “Hey, my furniture isn’t worth very much! It’s all second hand. Most of it was given to me by family members or friends.” So, then, when you’re standing in the street vacantly gazing on what used to be your home and your second hand stuff is scattered all over town, do you think your friends and family will have more used stuff to hand over to you?

Wouldn’t you rather get an insurance check and go out and pick what you want? Much easier and helps to keep your relationships on solid ground too.

“I can’t afford it!” Most of the renter’s policies I write cost less than an extra large pizza – and that’s per month.   So, yeah, chances are you can afford it.

My professional advice – If you have insurance, please review your policy and talk to your agent about what coverages you have.

If you don’t have insurance, for your own sake find an agent and talk to them about getting some.

You can’t prevent a tornado, but you can prevent the aftermath from destroying your life.

by Victoria -

Disaster Escalation – AOBs and you

This article was originally published in the Lynn Haven Ledger as an insurance article in October, 2015.

That stimulating smell of freshly brewed coffee – the best way to start your day! Gary’s feet hit the floor and his mind began listing off items on his to-do list for the day. He was still rubbing the sleep from his eyes as he sauntered toward the kitchen of his cozy two bedroom cottage.

It was only six months ago. The location and size were perfect for him. True, the house was a little older, but he was updating things.   In another six months he would have a party with his friends to celebrate the completion.

As he walked across his carpeted living room, his feet suddenly felt wet. He stopped and looked down, his face registering confusion, then his eyes traveled to his newly tiled kitchen floor, and his stomach did a flipflop.

Incongruously, a shallow pond was there with more water spraying out from under the sink.

Gary’s brain engaged fully, and he immediately found the shut-off valve. Then he went back to his flooded kitchen, forgetting about his coffee, and surveyed the damage.

Insurance agent. Water remediation company. Plumber. Got to call my agent and file a claim, then call a professional to get this water out of here, and a plumber to fix whatever broke. There went his Saturday morning to-do list. It was going to be a long and frustrating day.

The water remediation company was prompt. They showed up within the hour with hoses and fans of assorted sizes. They shoved some paperwork under Gary’s nose and told him – ‘here, sign these so we can get this taken care of. We’ll deal directly with your insurance company so you don’t have to.’

Gary signed.

What he didn’t realize was that one of the documents he signed was an Assignment of Benefits, giving up all of his rights to work with his insurance company.

“This crisis is poised to cost Florida homeowners millions in increased insurance costs as insurance companies are inundated with fraudulent or inflated claims. Worse, a number of unlucky people will have their home equity put at risk when unscrupulous contractors who can’t get their fraud past the insurance companies turn around and put liens for the balance on the homes involved.

It all stems from Assignment of Benefits, a legal provision that allows the insured to sign over an insurance claim to a contractor who is going to handle repairs. The contractor then makes the claim and is paid directly by the insurance company, instead of billing the homeowner.” (Seannon Nichols, June 12, 2015, American Integrity blog)

This has gotten so bad, there’s been legislation (CS/HB 669) introduced to try and stop this.

Scott Johnson, former executive director of the Florida Association of Insurance Agents, posted a blog on his website under the headline “AOB … an ugly iceberg.” Here’s what he said:

“Well, guess how many AOB lawsuits (for all lines) have been filed against insurers in just the last two years — go ahead, guess! Would you believe 92,521. And get this. Back in 2005 and 2006 there were only 9,424 AOB lawsuits — an explosion of nearly 1,000 percent!”

So if you’re wondering why your insurance premiums keep going up, AOB fraud is high on the list of reasons.

“…water mitigation claims with an AOB assignment come in 34 percent higher than claims without an AOB. One Florida insurer reports it is paying 27 cents of every premium dollar it collects on water mitigation claims.” (Seannon Nichols, June 12, 2015, American Integrity blog)

Fraud is the big word with AOBs – billing the insurance company for more than the actual cost of the damage sustained. In some cases, tens of thousands above what should have been billed.

So how can you stay safe when you’re in a desperate situation? Take the time to read everything carefully and look out for anything that says ‘Assignment of Benefits’.

Knowledge is power.