CurtPalme.com Home Theater Forum

greg_mitch · Joined: 03 May 2006 Posts: 5320

Just had a talk with the insurance agent yesterday about my home coverage. I inquired about a personal articles policy concerning my electronics since my homeowners only covers items up to $1000 for a single item and I have a $1000 deductible so that doesn't help me much if a single item goes down due to a power surge or something.

He wasn't sure about it and had to talk to his regional office. here is what I got back today...

From regional personal line underwriter...

**kal** · Posted: Wed Apr 16, 2008 7:46 pm Post subject:

Strange.

How much are you paying for insurance? Is it a rental, owned? Single family home or townhouse or apt?

When we moved into your single family home back in 2000, I make damned sure everything was covered. Other than our deductible everything inside the house is covered for up to $1M, including all electronic equipment, whatever. I expressly asked about DVD and media coverage because at the time I had around 500-600 DVDs. "No problem" they said.

Costs me about $500/year for the house and contents. House is worth around $200-$300K replacement cost.

ecrabb · Posted: Wed Apr 16, 2008 8:01 pm Post subject:

Same here, Kal. I asked my American Family agent about specific items when we built our new house, and she said the contents are all covered up to the value of the house minus the land. In other words, as long as I didn't try to claim I had a million dollars' worth of "stuff" in my $200,000 house, I was OK. I could get more coverage, but that's what the basic homeowners' policy included.

So, the only thing that's on a special rider is some of the wife's jewelry. Everything else is covered as "contents" - including expensive A/V stuff and cameras, etc. I just have to have some proof that I owned it if I have a loss (receipt or serial numbers, etc.) I'm at $200k or so for the house, and another $200k or so for contents. Same with DVD's - the agent just reminded me to make sure I kept a list so I'd know what to replace. The annual premium is about $600 or so.

I think I'd be talking to some other companies about their homeowners' policies. It sounds like State Farm is bending you over with a bunch of exclusions bull**** to weasel out of every possible loss.

SC

greg_mitch · Joined: 03 May 2006 Posts: 5320

My contents are covered up to $185,000 but a single item cannot exceed $1000 payout. Are you guys sure you don't have this?? I am looking at a table right now and it lists home computers max at $5,000! Darn. I need to get to the bottom of this.

My premium is $700, $1000 deductible. My replacement cost is around $240k. And my option ID is 20% additional.

Kal - you are covered up to $1M holy crap! Stuff must be different up there.

I have my cars and everything through these guys so I really don't want to change but at the same time I don't like getting screwed and they aren't the best to deal with a claim (they all suck I know) so my only incentive to stay is me not having to deal with switching everything!

All State is getting a call...

greg_mitch · Joined: 03 May 2006 Posts: 5320

Oh yeah...thought for a split second about arguing the portable projector comment, but then wised up!

ecrabb · Posted: Wed Apr 16, 2008 8:10 pm Post subject:

Another thing I'll mention to you guys while we're on the subject of insurance... Learned this from my dad.

Instead of paying to bump up the utterly inadequate basic liability limits on each of your auto, homeowners', motorcycle, boat, etc. policies, there's an alternative. Instead, purchase only whatever the basic liability is for each policy, and then purchase a family personal liability umbrella. For about $100/year, I have a $1M liability umbrella that covers my whole gang no matter what we're doing or where we are. I could be at the park playing with model rockets, at a friend's house helping him build something, driving somebody else's car... whatever. Of corse, it wouldn't stop somebody from going after another insured first, but at least you have a backup if somebody comes after you personally.

SC

greg_mitch · Joined: 03 May 2006 Posts: 5320

Ok, it seems there was a bit of a miscommunication. The $1000 limit is only imposed on electricaly surges.

Should I be concerned about this? All of my A/V gear but the projector is plugged into a Belkin PF60 and I remember asking here about a surge protector for the projector and Curt noted that the power supply would in essence work like a surge protector and it could be easily replaced.

Also, the umbrella, PLUP I think is what State Farm refers to it as, I hadn't thought about that. Perhaps that would be another way to reduce my liability on my auto but cover everything higher with the umbrella policy.

I wish I knew more about this, I am at their mercy here.

greg_mitch · Joined: 03 May 2006 Posts: 5320

ecrabb · Posted: Wed Apr 16, 2008 8:39 pm Post subject:

I just meant, if you're driving your buddy's pickup to Home Depot to get drywall for the HT, and the drywall slides out and decapitates somebody, the deceased's attorney is probably going to go after both the vehicle owner (your friend - which will be his auto insurance company) and you.

I have an email out to my agent about the contents stuff and I'll check my policy tonight.

SC

greg_mitch · Joined: 03 May 2006 Posts: 5320

That makes sense. Thanks SC!

**AnalogRocks** · Posted: Wed Apr 16, 2008 10:55 pm Post subject:

Elaine Benes · Joined: 25 Apr 2006 Posts: 1416

I've already had an $11,500. claim from a projector damaged to inoperable condition from lightning. There was no "rider" nor was there anything unusual that I had to do. It was my stuff, and all my stuff is covered for the "replacement" value, whatever that is(up to a total of $250,000. I think, maybe more...). Including, they will cover the new retail cost, including taxes, of a comparable item, it doesn't have to be an exact replacement as long as the original item is no longer available. So, even though it was a Sony 1020 projector that fried, I got paid for the only Sony projector still available when the claim was made, a D50. Replacement value insurance is WELL worth it, especially for stuff like home theater projectors. My broker told me, and it was borne out in my experience, that it doesn't matter how much I PAY for something, it only matters how much it costs to REPLACE it. So even though I bought that 1020 used, and it was already 12 years old, the cost to REPLACE it with something materially the same was 100x what I paid for it, the insurance company still paid the claim without hesitation...
It can work the other way too though. When you bought your first computer for $5000. and it got fried, now you can replace it with a BETTER one for only $500.
Try asking an insurance broker instead of an insurance company about coverage. Brokers work for YOU, companies work for themselves...or that has certainly been MY experience...

aspec2 · Joined: 10 Apr 2006 Posts: 549

There's a guy in Marrisa that had a video grade projector destroyed by lightning. His insurance paid for a pristine 9500 and Lumagen HDP Pro from Curt. The guy told his insurance that they didn't need buy him a new one he would take a used one.

Reminds me I need to go help Don out when I get back to town.

Walt

**kal** · Posted: Thu Apr 17, 2008 12:11 am Post subject:

greg_mitch · Joined: 03 May 2006 Posts: 5320

Who insure you Kal?

I am feeling a switch coming on...

**kal** · Posted: Fri Apr 18, 2008 12:09 am Post subject:

Meloche Monnex. Not sure if they're in the US. I get a discount "Professional Engineers of Ontario" rate and save a bit more as my car and home are both with them. Every year or two I shop around but they're still within the ballpark of everyone else and their service has been fastastic (something you only ever find out when you actually try and claim something- which I've done).

Kal

**AnalogRocks** · Posted: Fri Apr 18, 2008 12:16 am Post subject:

Fujifrontier · Joined: 20 Oct 2007 Posts: 354 Location: San Antonio, Texas

If anyone is military, try USAA. Smile

ecrabb · Posted: Fri Apr 18, 2008 3:30 am Post subject:

OK, follow-up guys. Here's what my agent wrote back to me with today:

Dave Lister · Posted: Fri Apr 18, 2008 11:34 am Post subject:

By 'artificially generated electrical currents' they may mean power surges or power spikes from your electricity supplier as the rated voltage is not always what you get.

As an example, we have 240VAC here in Australia but the actual voltage can be anywhere from 210VAC to 280VAC depending on the local infrastructure like transformers and capacitors (power factor correction capacitors and smoothing capacitors) and what is in your area (like factories and commercial properties) that can draw large amounts of current during power up and power down of equipment that contains electric motors.

Even your washing machine and older air conditioners can cause a fluctuation in voltage, newer ones have power factor correction capacitors and smoothing capacitors built in as per the newest regulations on electrical items.

Virtually all power companies will deny any liability for any damage caused by power surges or power spikes.