Divorce and Your Insurance

While going through a divorce, you need to reassess your finances. To start, you should:

• Review all insurance policies in place during the marriage
• Decide which policies you still need
• Decide how health insurance for all family members will be provided for
• Decide what additional coverage is needed

The Basics

Health Insurance – Health Insurance coverage should be covered in the final divorce decree. Who pays for what should be clearly stated so that there is no confusion. If you have children, it is imperative that an agreement is reached as to who will provide coverage. Usually whoever had the coverage for the children prior to the divorce will continue that coverage. Who is responsible for unreimbursed medical expenses should also be addressed.

If you had medical coverage through your spouse’s employer-sponsored health plan, you may be allowed to continue that coverage for up to 36 months under COBRA. If you do qualify, coverage is not automatic. You must contact the employer within 60 days of the divorce and complete the necessary paperwork. If you do not qualify, you should consider a standard health insurance policy or, at a minimum, a policy that would protect you in the event of a major medical emergency.

Life Insurance – You should review your Life Insurance policies and make sure that they still meet your needs. You may also want to change beneficiaries at this time. Make sure that your ex-spouse carries coverage and that you are named as a beneficiary if you depend on their income for support. Check with your attorney before making any beneficiary changes. Now might also be a good time to increase your policy. Who carries Life Insurance, the amounts of the insurance, named beneficiaries, and accrued cash values should all be provided for in your divorce decree.

Disability Insurance – This pays a monthly benefit in the event that you become disabled and are unable to work. If alimony or child support is ordered, it’s especially important if the payer has no other sources of income to continue to make those payments. Consider what your needs would be in the event that you became disabled. We can help you determine specifically what type of insurance and the amounts you need to best protect your interests.

Homeowners and Renters Insurance – These policies protect your residence and the contents from damage or theft. If one spouse remains in the residence, they will want to make sure that they change the Homeowners Insurance policy to their name only and review their coverage. As a single parent, we recommend Replacement Cost coverage, which will reimburse you for what it would cost to replace an item. Also, opting for a higher deductible will help you save money on your premium.

Automobile Insurance – Automobile Insurance covers damage to your vehicle and damage that you may cause with your vehicle. Inform your insurance agent if you are separating or divorcing. Separate policies may be required if you and spouse are not living under the same roof. When you divorce, you will need to remove your spouse from your insurance policy. As a single person, you may now find options like towing, rental reimbursement, and roadside assistance beneficial.

Umbrella Insurance and Long-Term Care Insurance are additional coverages you may want to consider.

Helpful Tip – Avoid post-divorce credit problems by closing all joint accounts.

Don’t make the mistake of overlooking your insurance needs when going through a divorce. The lack of adequate insurance for yourself, your children, and even your spouse can lead to financial ruin.

Contact your insurance agent to discuss some important things to consider when going through this stressful time.

Filing an Insurance Claim? Watch What You Say!

Filing Claims 101: All You Need to Know!

Many people are flustered when they file an insurance claim given that claims typically follow devastating events like car accidents, illnesses or home fires.

To help you file a claim in Michigan with ease, below is some useful information you need to make the best of this trying experience.

Navigating an insurance claim can be quite tricky if you are unsure how to approach it. Consider the following recommendations to increase the chance that your claims will be processed successfully. Better yet, put these tips in your wallet or post them on your fridge.

When you are involved in an automobile accident

• Do not apologize to other drivers involved or admit fault under any circumstances.
• Describe what occurred to law enforcement and to your insurance company. If you are unsure, leave it to the authorities.
• Always contact your insurance company immediately after an auto accident.
• Do not talk to the other driver’s insurance company; let your company represent you throughout the ordeal.

 When your home is flooded

• The term flood in the insurance world refers to water damage resulting from an overflow of a nearby stream or river. Even if your sump pump did not work and you have 6 inches of water in your basement, you are not dealing with a flood.
• Making references to the wrong terms can cause claims to be denied or elongate the process.
• Review your Homeowners Insurance policy to determine what it covers with regard to water damage.
• Do not guess how accidents occurred. An insurance investigator will determine the exact cause of the claim in question.

When you have a health care claim:

• Avoid calling procedures experimental, investigational or a clinical trial. The claim may be denied if the treatment is seen as unnecessary.
• Do not sign any medical record releases. It is illegal for an insurance company to access your records without your consent, and they should not need them to process the claim.

The most important thing to remember when filing a claim is that the less you say the better. Do not speculate and do not judge; simply give the facts and the insurance company will take care of the rest.

Feel free to contact your agent for assistance throughout the claims process.

Preventing Motorcycle Theft

Since motorcycles are easily accessible, they are highly prone to theft. This is why Michigan motorcycle insurance can be costly due to the high risk of theft and injury. If you like to hit the open road on two wheels, be mindful of these theft prevention guidelines to avoid taking a one-way trip down “Loss Lane”.

Tips for Thwarting Thieves

• When you get off your bike, shut off the ignition and then lock it.
• Lock the forks (disk brakes). Purchase locks that are brightly colored to discourage potential thieves.
• Lock multiple motorcycles together if you are traveling in a pack.
• If you are riding alone, lock your motorcycle to a stationary object that cannot be dismantled such as a light pole.
• Install an alarm on your bike that sounds when it is tampered with.
• Park your bike in front of a security camera or close to your room, when staying at a hotel for the evening.
• Check on your bike periodically when you are at a public event, especially shortly after you arrive. A thief may have watched you arrive and waited for you to walk away before making a move. Do you best to avoid the reason to file a Michigan insurance claim.
• Block your bike with a vehicle in a garage.
• Store the title for your motorcycle in your home; not in the compartments or saddlebags on your bike.
• Mark your bike with a unique symbol or mark and take photographs of that. If your motorcycle is stolen, you can present this information to the police.
• Always keep your motorcycle registration and Michigan insurance information with you when riding.

Motorcycle thieves may try and steal your bike when you are putting it up for sale. When potential buyers come to test drive your bike at your home:

• Withhold the title until you have conducted a background check on the potential buyer and his/her payment has cleared. Then, mail the title.
• Verify the buyer’s personal information and cross reference it with their identification.
• Do not allow buyers to take your bike for a test drive after he/she has been dropped off by another person. They may take a ride and never come back.

In addition to theft prevention, you have the ability to be covered. Contact your Michigan motorcycle insurance agent for more information.

Risk Reducing Solutions for Riders

There’s nothing like the freedom you feel when riding but if you’re on the road, you’re at risk. To ensure you’ve got the coverage and financial protection you need, consider the following Michigan motorcycle insurance coverage options.

Liability Insurance Coverage

Most states require you to carry a minimum of liability coverage. Liability Insurance covers bodily injury and property damage that you may cause to other people involved in an accident. It doesn’t cover you or your motorcycle. Similar conditions apply under your Michigan auto insurance. More specifically:

Bodily Injury Liability – If you are at fault in a crash, you may be responsible to cover the damages for your passenger or the other driver. If so, Bodily Injury Liability typically covers the other driver or your passenger’s expenses such as medical bills, lost wages, and pain and suffering.

Property Damage Liability – If you at fault in an accident that causes damage to others’ property, Property Damage Liability covers the expense, such as damage caused to vehicles, private homes, fences and other structures.

Collision Insurance Coverage

Collision insurance covers damage to your motorcycle if you are involved in an accident. Your Michigan insurance company compensates for damages, minus your deductible, caused when you collide with another vehicle or object. Keep in mind, Collision Insurance usually covers the book value of the motorcycle before the loss occurred.

Comprehensive Insurance Coverage

Comprehensive coverage pays for damages caused by an event other than a collision, such as fire, theft or vandalism. However, just like Collision Insurance coverage, your policy will pay for damages, minus your deductible, and will cover only the book value of the motorcycle.

Uninsured/Underinsured Motorist Coverage

Uninsured/Underinsured Motorist Insurance coverage covers damages to you and your property caused by another driver who either is uninsured or underinsured to cover your damages.

This coverage typically pays for medical treatment, lost wages and other damages. If your Uninsured/Underinsured Motorist Insurance coverage includes property damage, then your motorcycle would also be covered under the same circumstances.

Optional Equipment Coverage

If you decide to add on any optional accessories such as chrome parts, a custom paint job, trailers or sidecars, you should look into obtaining additional or optional equipment coverage. Most Michigan Comprehensive and Collision Insurance coverages will only cover the factory standard parts on your motorcycle.

Top Ways to Save on Your Premium

• Consider raising your deductible
• Keep up your good driving record
• Take a motorcycle safety driving course
• Invest in an anti-theft device
• Ask about our multi-policy discounts

The Value of Your Life

Another thing to consider is having a Michigan life insurance policy in place. A motorcycle is a risky method of transportation and accidents can happen, even deadly. It is imperative that you prepare for the worst. Even if you’re a safe rider, you can’t always guarantee that you’re around “safe” drivers. If you choose to be risky, be sure to protect your family.

Count on the Experts

Call your Michigan insurance agent to learn more about affordable vehicle insurance and personal risk management solutions.

Caution as You Cruise on the Open Road

In 2004, more than nine million Americans rode motorcycles to their jobs, for recreational fun and to see the sites. However, according to the Governor’s Office of Highway Safety, of those riders, 4,000 died in an accident. In fact, the National Highway Traffic Safety Administration reports that motorcycle accidents are approximately five percent of all highway fatalities each year, yet motorcycles represent only two percent of the vehicles on the road.  Michigan motorcycle insurance can help pick up the pieces should you have an accident, but it is highly recommend that you follow the rules of the road to avoid a casualty.

Causes of Motorcycle Accidents

There are several key reasons to why motorcycle accidents are prevalent on America’s roadways:

• Motorists fail to see riders when they are coming out of a driveway, making a left turn in front of an oncoming rider or when the motorcycle is in the driver’s “blind spot.”
• Many riders do not obtain the proper motorcycle license and training to learn how to properly operate the bike. Of those who do get licensed, many only learn enough to pass the test.
• Riders speed excessively while also weaving in and out of traffic lanes.
• Riders are under the influence of drugs and/or alcohol (the cause of almost half of all motorcycle accidents).

Michigan insurance companies consider the above reasons to be high risk.  If you show yourself as being a high risk, it could cost you thousands of dollars in fines and higher premiums on your insurance policy, and possibly even the loss of your license and jail time.

How Can Riders Remain Safe?

• Attend motorcycle training courses and get a license specifically for a motorcycle.
• Always wear a helmet; eye protection; a jacket made of denim, nylon or leather; long pants; boots and gloves.
• Do not drink alcohol or use drugs while operating a motorcycle.
• Read the owner’s manual and learn the capabilities and operations of the vehicle.
• Practice using the controls and gears by sitting on the bike while it is off and parked.
• Follow posted speed limits.
• Turn on your headlines all the time, even when it is sunny.
• Look out for hazards such as potholes, cracks and bumps in the road.
• Exercise extreme caution when you are carrying passengers and always have them wear a helmet, too.

Safety First

Respect motorists so they respect you back! The phrase “look twice, save a life” should be earned, not just expected, especially according to your Michigan motorcycle insurance.

• Do not tailgate or weave between lanes if traffic slow.
• Abide by traffic laws, just like motorists are expected to do.
• Minimize the noise coming from your bike by using a muffler and keeping your radio volume down.
• Always use turn signals to warn motorists of your intentions.

No matter what, coverage is available.  Contact your Michigan insurance agent today to learn more about risk management and insurance solutions for your auto, home and life.