ABCs of Home Insurance in AZ

Ever wonder exactly what the different coverage are for on your policy? Here is a helpful description that is easy to understand. If you have questions about your policy, just contact me and I will be happy to go over it with you.

AZ State Law 44-1208 states that mortgage companies cannot require a homeowner to obtain more insurance than the replacement cost of your home, as determined by your insurance company. Below is the exact law.

44-120844-1208.  Loans secured by real estate; prohibited practices; insurance

Except for consumer lender loans regulated pursuant to section 6-636, for any loan that is secured by real property, a person shall not require as a condition of the loan that the borrower obtain property insurance coverage in an amount that exceeds the replacement cost of the improvements as established by the property insurer. 44-1208

BASIC COVERAGE

Dwelling Protection.
Coverage includes for the home you live in and other structures attached to it, such as a garage, deck or fence.

Other Structures Protection.
Coverage for other buildings on your property that is separate from your home, such as an unattached garage, shed, or gazebo. This coverage is usually 10% of the dwelling coverage.

Personal Property Protection.
Coverage includes loss of furniture, clothing and other contents if stolen or damaged, this coverage is usually 60% of the dwelling coverage. There are limits on certain personal property such as jewelry, computers, guns and cash.

Additional Living Expenses.
Coverage that reimburses you for reasonable increases in living expenses when a loss occurs that your insurance company covers which  makes your home uninhabitable. This may include payments for the cost of rent, hotel, food and other expenses.

Guest Medical Payments.
Coverage payments for necessary medical expenses including surgery, x-rays and dental work if a guest is injured on your property.

Family Liability Coverage.
Coverage to protect you if you are sued for damages after someone is injured on your property. If your property contains a swimming pool, we strongly suggest a minimum $300,000 in coverage.

Deductibles.
The amount of co-insurance you have on your policy that you are responsible for any claim.

OPTIONAL COVERAGE

Scheduled Personal Property.
Coverage that protects certain personal property such as jewelry you have itemized on your policy in case of loss, theft or mysterious disappearance.

Extended coverage on Jewelry, Watches and Furs.

This coverage would increase the amount of basic coverage you have on your policy on these items.

Building Code.
Covers increased re-building costs due to the enforcement of any building codes, ordinances or laws regulating construction, maintenance or demolition of your home.

Water Backup.
Helps cover damage in your home from backed up drains or broken sump pumps.

Identity Theft Restoration.
If your identity gets stoles, this coverage can help you with legal work, phone calls and lost wages.

Hope this information is helpful.

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ABC's of AZ Auto Insurance

Ever wonder exactly what the different coverage are for on your policy? Here is a helpful description that is easy to understand for AZ auto insurance. If you have questions about AZ auto insurance, just contact me and I will be happy to go over it with you.

REQUIRED STATE COVERAGE

BI Bodily Injury
Coverage includes for injuries or death to other people involved in the accident if you are at fault for the accident. State minimum coverage is $15,000 per person and $30,000 per accident.

PD Property Damage.
Coverage for the repair or replacement on another driver's vehicle or property if you are at fault for the accident. State minimum coverage is $10,000 but we always suggest at least $25,000.

OPTIONAL NON REQUIRED COVERAGE

UM Uninsured Bodily Liability.
Coverage includes for injuries or death of other people involved in the accident if the driver at fault for the accident does not any liability coverage.

UN Underinsured Bodily Liability.
Coverage includes for injuries or death of other people involved in the accident if the driver at fault for the accident does not enough liability coverage.

Medical Payments
Coverage pays for some of your medical costs or funeral expenses if you or anyone in your vehicle is injured in an accident.

Collision
Coverage that pays for the damage to your vehicle if you collide with another vehicle or something else. This also includes Hit and Run incidents. Collision coverage is subject to your collision deductible.

Comprehensive
Coverage pays for damage or loss to your vehicle caused by something other than a collision, such as glass, theft, vandalism, windstorm or hitting an animal. This coverage can come with either FULL GLASS COVERAGE, no deductible, or is subject to your comprehensive coverage.

TOW AND LABOR
Reimburses you for a towing and basic roadside assistance expenses, such as dead batteries. This coverage is limited to the limits you request, either $50 or $100.

Rental Reimbursement
Repays you for the cost of renting a car while yours is in the shop being repaired due to a covered accident, for up to 30 days. This coverage is limited to the daily limits you request.

Sound System Coverage
Protects your investment from theft or damage if you installed a non factory sound system in your vehicle. This includes, radios, amplifiers, TV's, DVD players, etc.

Hope this information is helpful.

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