If you’ve ever sat down to read a declaration page on an insurance policy, you know there’s a lot that goes into the documentation. This information is clearly important, but there’s a lot of paperwork. Do you really need to keep it all, and for how long?
Here’s a quick reference guide for your insurance paperwork, including how to organize it, store it, and for how long.
Insurance Policy
Whether you have home insurance, an auto policy, a renter’s policy, or another type of coverage, you will be issued a document that spells out the insurance coverage. This main policy document is multiple pages. It includes all the details of your policy, including coverages and limits, discounts, and endorsements. It also is a resource with definitions of insurance terms and explanations of the claims process. If you are bundling your coverages, such as with home and auto, you will have an insurance policy document for each.
You need to know the coverage that you have, but you don’t necessarily need a hard copy of your policy document. If your insurer offers digital access on their website, you can toss the paper version. Either way, you will want to keep a hard copy of the declarations page.
Certificate of Insurance (COI)
This document is the summary of your coverage. Its format is easy to scan and provides a quick look at your coverage details. It’s especially useful to share with lenders who require proof of insurance if you are financing your home or car.
Keep a copy of your certificate of insurance for as long as the policy is active. It is your proof of insurance. When you renew your policy, you can throw out the old COI.
Insurance Claims Documents
Accidents happen, and things get damaged and stolen. You may file a claim with your insurance company when this happens. If your claim is for an auto policy, you will get an accident report. You also may have medical reports and bills. If your claim is for home damage or theft, you will have an inventory of damage. You also will have repair bills, receipts, and other paperwork. If it’s a third-party claim, where you caused injury or loss to another person, you will receive documentation as well.
Claims can sometimes take years, especially if medical bills are involved. As long as your claim is open, keep all of the paperwork. Only throw it out after you have received the payment.
Vehicle Insurance Card
Your auto insurance card fits in your wallet or glove compartment, which is where it should be kept. That way, you have a hard copy even if you have access to a digital version. Hard copies are useful in case you are pulled over by law enforcement or need to exchange the information with another driver in the event of an accident.
Keep the hard copy of your auto insurance card as long as your policy is active. You may dispose of it when the policy renews and you receive a new card.
Billing Statements
You will receive regular billing statements from your insurer, usually monthly. These may be by mail or online.
Keep your billing statements for tax purposes if you have a home business or you use your car for business purposes. If you’re audited by the IRS, you may need to show your bills for the last 7 years.
How to Store Documents
If you’re keeping paper copies of documents, you want to make sure that they remain in good, readable condition. Here are some recommendations to keep them that way:
Keep your documents in a safe container in a climate-controlled space to reduce the possibility of mold and fading.
Store papers in a waterproof and fire-resistant container. Consider a home lock box or safe or a filing cabinet.
Consider digital storage as well, as a backup. You can store copies of papers on a flash drive. For a small fee, you also can store them in Dropbox and on iCloud and other services.
Pro Tip: Use plastic page sleeves for your documents for added protection. You can slide your documents into the sleeves and then file them in a binder or box.
How to Dispose of Documents
The general rule is that once a policy is done, you don’t need to keep the paperwork. (See the exceptions for claims documents and billing statements above.) But your insurance documents have personal information that could lead to identity theft if not disposed of safely.
Always shred any old papers. Use a crosscut shredder that cuts in two directions to produce confetti.
A small home shredder will work or you may find a free shredding event in your community.
Local banks and other companies also may shred your papers for a fee.
Remember to permanently delete old digital copies as well.
Going Paperless
Did you know, you can access your account online with California Casualty? Once you’ve signed up, you will have quick access to your policy(ies) at any time and from anywhere. You simply “Sign In” in the same right-hand corner where you created your account initially. And easy, secure access to this policy portal gives you the flexibility to:
Download/Print ID Cards
View/Download Your Declaration Pages
Pay Your Bill Online
Make Some Changes to Your Policy (Manage Drivers, Manage Vehicles, Manage Lienholders/Mortgagee)
This article is furnished by California Casualty, providing auto and home insurance to educators, law enforcement officers, firefighters, and nurses. Get a quote at 1.866.704.8614 or www.calcas.com.
When the weather is hot and dry, and conditions are just right, wildfires happen. They are more common in some parts of the country than others, but it’s important to remember a fire can break out anywhere. And when it does, your home and your family are at risk.
Know whether your home is located in a high-risk fire zone and what to do to protect it.
What’s your zone?
A fire hazard zone is a region that has characteristics that put it at higher risk for wildfires, such as:
A history of fires in the region over a 30-50-year period
Dry, hot, and windy weather that cause fires to spread faster
Forests and vegetation that act as fuel for fire
Steep slopes where fire often burns faster
The potential for fires to burn through the top layer of foliage
Millions of homes are located in or near fire hazard severity zones. U.S. states most impacted by wildfires include California, Oregon, and Arizona. California has classified its fire zones as moderate, high, and very high. These areas are mapped by the California Department of Forestry and Fire Protection. The zones help property owners and builders better protect structures in areas at high risk.
Other states also affected by recent wildfires include Washington, Colorado, Montana, Wyoming, Utah, Idaho, Nevada, Texas, Alaska, New Mexico, Oklahoma, and Florida. There’s been a population boom in these drought-sensitive regions, which means there’s an increased risk of human activity sparking a fire.
The nonprofit, First Street Foundation, has an online risk factor tool where you can search for your region’s fire risk. You also can find information from your state’s Department of Forestry. If your home is in a fire hazard zone, make sure that your community is an active Firewise USA® site working with local foresters to reduce risks.
How can you protect your home?
In addition to your community working to reduce risk, there are steps you can take to help better protect your home from wildfires.
The USDA Forest Service has divided your home and property into three zones based on research into how homes ignite. Addressing each of these zones will help to reduce the risk of a fire on your property.
Immediate Zone (Less than 5 feet) – your home and the area immediately surrounding it
Seal your windows and doors to reduce the risk of embers getting inside your home. (Embers are burning pieces of wood that can be carried by winds for more than a mile.)
Use insulated glass, which can hold heat longer than standard glass.
Avoid acrylic skylights that could melt.
Paint decking with fireproof paint.
Consider other fireproof materials, from siding to roofing to metal or fiber-cement doors.
Emergency vehicles need driveways that are 12 feet wide and have a vertical clearance of 15 feet. Check that your property can accommodate them.
Extended Zone (30-100 feet) – the vegetation and land that extends 30 feet past your house
Keep trees at least 12 feet apart (between canopy crowns) within 30-60 feet of your home. Keep trees at least 6 feet apart within 60-100 feet of your home.
Pick up debris and dead plant material.
Remove vegetation that is near storage sheds or other structures.
Make sure your home and street are clearly marked for first responders.
Finally…
Clean your home with fire safety in mind so that you don’t accidentally cause a fire.
Make sure you have home insurance that protects against damage caused by natural disasters such as wildfires. The right insurance provides peace of mind in the event of a fire.
This article is furnished by California Casualty, providing auto and home insurance to educators, law enforcement officers, firefighters, and nurses. Get a quote at 1.866.704.8614 or www.calcas.com.
Dry, hot weather makes the risk of fire especially dangerous in many parts of the country. Even if you’re not in a region prone to wildfires, you could be affected. Fires can happen anywhere, and once they start, they can spread quickly, putting your property and home at risk.
Fire prevention starts in the yard, and there are some simple steps that you can take to protect your home and property.
Fire Prevention Steps to Take for Free
Remove flammable materials from your yard, especially from 5 feet around your home. These include bark mulch, dried leaves, and garden debris. Also, remove any tree branches that hang low and could fall on your house.
Keep your yard clean by regular raking. Use a steel rake to remove dead grass and leaves and place them on a tarp. Then transfer them into a leaf bag placed far from your house or put them into a fireproof composter.
Replace your plants with low flammability plants. While no plant is fireproof, there are some plants that are more difficult to ignite due to their high moisture content. These include sedum, succulents, cacti, lilac, and lavender.
Pro Tip: Highly flammable plants often have gummy sap and/or leaves that carry a strong odor when crushed. It’s probably best to avoid these types of plants.
Space your plants farther apart so it’s harder for them to ignite each other. Also, keep plants and grass watered regularly. Avoid planting anything that could catch fire and block your escape from windows or doors.
Do not store anything under your deck that can catch fire. Move any stored wood well away from your house.
Follow fire pit and barbecue safety when using those items.
Low to Moderate Cost Fire Prevention Adjustments
Remove wooden or plastic garden borders and replace them with stone or corrugated steel landscape edging. Replace mulch with gravel or seashells.
Cover your eaves or openings in the exterior walls of your home with 1/8-inch metal screens to block embers.
Install metal gutter guards to keep leaves and pine needles out of gutters. These can become dry and brittle and add fuel to a fire.
If you have a deck, install metal wire mesh no larger than 1/8 inch to prevent dry leaves from collecting underneath.
Plant deciduous trees, such as Serviceberry trees, that don’t produce a lot of dead wood. Avoid conifers such as pine, juniper, or spruce trees.
More Costly Fire Prevention Actions
Redo your wooden deck with fire-resistant decking materials.
Add hardscaping to your property. This can create a break in vegetation that can slow down or stop the spread of a fire. Plan for paths at least 4 feet wide.
Install concrete retaining walls. These also can help slow or stop a spreading fire.
Consider fiber cement or aluminum siding which stand up to heat better than their more combustible alternatives such as vinyl. You also can add flame retardants to wood siding or surfaces.
Add steel exterior shutters to pull down over windows to keep a fire’s heat from shattering the glass. You also can install double or triple-paned windows.
Make sure that you are in the best position to protect your property and your home in case a fire does occur. Here are some ways that you can prepare.
Check your property to ensure that emergency vehicles, including firetrucks, will have easy access to your home and can get close enough to deploy their hoses.
Keep a hose available in your shed or fire extinguisher on your property away from your house in case you need it.
Make sure you have smoke detectors on every floor of your home and check them monthly.
Store extra extension cords nearby in case you need them. They may be useful to power emergency lights after dark.
Make sure you have home insurance that protects against damage caused by natural disasters such as wildfires. The right insurance provides peace of mind in the event of a fire.
This article is furnished by California Casualty, providing auto and home insurance to educators, law enforcement officers, firefighters, and nurses. Get a quote at 1.866.704.8614 or www.calcas.com.
Do you want to save money on your insurance payments? Did you know there’s a way to do that without raising your deductible or lowering your coverage? The answer is bundling.
What is bundling? It’s a term to describe a multi-policy discount. If you have more than one policy with an insurance company, you may bundle those policies and, in the process, you can save on all.
Here’s why you might consider bundling:
Bundling can save you money. Depending upon the amount of coverage for your policies, and your state, you can save from 5% to 25%.
Bundling is convenient. It simplifies bill paying and record keeping since you interact with just one insurer.
Bundling can help ensure you are fully covered. Having all policies with one company allows your insurance advisor to review any gaps in coverage.
There are many different ways to bundle your insurance.
Homeowner’s Insurance Bundles
Your home is one of your greatest investments; you need to make sure that it’s fully protected. There are plenty of decisions to make when buying your own policy- from coverage limits to extra protection for your belongings. One of those decisions might be to incorporate additional coverage to enhance your policy. When you bundle those with your home insurance, you can save money.
You can choose to bundle your home insurance with:
Sump pump endorsement: A sump pump is a device that collects excess water and drains it outside your home. Sump pump coverage covers the costs of repair and replacement in the event of a sump pump failure. Just a couple inches of water backup can cause thousands of dollars in damage – ruining carpets, destroying appliances, and crumbling drywall.
Flood insurance: Regular home insurance does not cover flood damage. That’s why many people in flood zones purchase this extra policy. There is a 30-day waiting period to buy flood insurance, so take that into consideration.
Auto insurance: If you have a vehicle, you likely have liability, collision, and/or comprehensive insurance. Liability coverage is used to pay for damages that you cause. Collision coverage helps to pay to repair your vehicle or get one of equivalent cash value if yours is totaled. Comprehensive coverage is for damage to your vehicle other than collisions, such as natural disasters, fires, vandalism, theft, and animals that damage your vehicle.
College students and renter’s insurance: If your college student* lives away at school, his or her belongings are covered by your homeowner’s policy at 10% of the limit of liability or $1,000, whichever is greater. You may want more coverage than 10%. Talk to your insurance advisor about expanding limits, such as an umbrella policy to cover expensive items your student is bringing to college. Alternatively, consider purchasing renter’s insurance for your college student for an off-campus apartment. Renter’s insurance not only protects your student’s possessions but offers them emergency housing if they are unable to reside in the rental unit. Renter’s insurance is surprisingly affordable, so when you bundle it with your homeowner’s, it could practically be free!
*Note that college students must meet certain requirements in order to qualify as an insured on your homeowner’s policy. This includes age limitations, family relationship, and full-time enrollment in school. In the event of theft coverage, they must have lived in the location 60 days immediately before the loss.
Earthquake Insurance: If you live in an area that is prone to earthquakes, you may want to consider this additional coverage. Homeowner, condo, and rental insurance policies typically do not cover earthquakes.
Umbrella policies: This type of policy provides additional personal liability insurance that starts to pay after your underlying limits of liability on your home insurance policy have been exhausted after a covered loss. While there’s no way to know for sure how much liability coverage you may need, understanding what you stand to lose is a good place to start. If you’re being sued, it’s possible that equity in your home, your personal savings, and your income may be at risk. If the value of two years of your annual income, the equity in your home, and your savings exceed the liability limits on your auto or home insurance policies, then you should consider an umbrella policy to protect your net worth.
Renter’s Insurance Bundles
Renter’s insurance is like homeowner’s insurance but for tenants. Starting at about $10 a month, it protects your personal belongings (that’s right, your landlord’s insurance policy will not cover your belongings) but that’s not all. It’s an important safeguard if you’re found at fault for property damage or injuries at your place (and even around the world). It also can help if you don’t have access to your apartment or home due to a covered loss.
You can choose to bundle your renter’s insurance with:
Auto insurance: As described above, auto insurance helps protect you in the event of an accident or other damage to your car. When you bundle your renter’s policy with an auto policy that you already have, the savings can be substantial.
Pet insurance: Our pets are like family and we want to keep them as healthy as possible. Pet insurance can help to offset those veterinary expenses. Depending on your policy, pet insurance may cover exams, prescriptions, lab tests and x-rays, surgeries, emergency visits, and even cancer. You make the initial payment and then are reimbursed depending upon the deductible and limits that you have selected. (Pet insurance also may be bundled with homeowner’s, too.)
Auto Insurance Bundles
Auto and homeowner’s insurance, and auto and renter’s policies, are among the most popular types of insurance bundles. However, you also may wish to bundle your car insurance with a boat policy.
Boats and personal watercraft: If you have a boat, you will need a boat insurance policy. You also need a separate policy for personal watercraft such as jet skis. The policies protect you from vandalism, accidents, and liability for injuries to others.
*Note that motorcycle insurance is not eligible for a bundling discount. However, if you live in a cold climate state, and only ride your bike in warmer months, you can ask about seasonal coverage.
Each year, California Casualty policyholders save an average of $423* a year. That could be even more if you decide to bundle your coverages. See how much you can save and get started with a free quote today at mycalcas.com/quote.
This article is furnished by California Casualty, providing auto and home insurance to educators, law enforcement officers, firefighters, and nurses. Get a quote at 1.866.704.8614 or www.calcas.com.
Looking for affordable Homeowner’s or Renter’s Insurance, but don’t know where to start?
We sat down with California Casualty Sales Team Manager Mike D. and found out all of the important questions you should be asking when you call your agent for a quote.
1. Is homeowner’s insurance required?
If you have a home mortgage, then maintaining homeowner’s insurance is generally a requirement of your loan agreement. Even if you own your home outright, it’s recommended that you protect your equity in the home by maintaining homeowner’s insurance.
2. How are homeowner’s insurance rates calculated?
While there’s no way to predict the future, home insurance providers do their best to charge a rate that’s based on both the coverage limits and the likelihood of future losses occurring.
They may consider things such as previous loss history for both the homeowner and the actual home or surrounding area, the physical characteristics of the home, the age of some critical components of the home such as the roof, plumbing, and electrical systems, and even the types of weather activity in the area.
3. What is the dwelling coverage limit and how is it calculated?
One of the most critical coverages on your policy is the Dwelling Coverage. This is the maximum amount of money your insurance provider will pay to rebuild your house. Especially in periods of economic inflation and building supply or labor shortages, the true rebuild cost of your home may be substantially higher than the market value and even much higher than the cost of building a new house on an empty lot.
If your insurance provider hasn’t recalculated the cost to rebuild your home recently, then you may be at risk of running out of coverage if you experience a total loss.
California Casualty is committed to providing policies that will truly indemnify our group members after a loss. When you speak with a California Casualty agent, he or she will have a conversation with you about the details of your home’s construction to ensure your home is protected.
4. What’s the difference between replacement cost and actual cash value?
Some components of the structure of your home and all of your Personal Property within it may be covered for either Actual Cash Value or Replacement Cost at the time of a loss.
For example, if you own a refrigerator that’s now 10 years old that originally cost $1,500 when it was new, the current market value of your fridge may now only be $500. A policy that insures your Personal Property for Actual Cash Value would only pay you $500 if your fridge is destroyed by a covered loss.
However, a policy that insures your Personal Property for Replacement Cost would pay the full amount required to replace the fridge with a reasonably equivalent new fridge.
5. What is liability coverage?
Personal liability coverage on a home insurance policy pays for damages and legal defense if you’re legally responsible for injuries to others or damage to their property. It generally follows the insured when they’re both at and away from their home.
6. When do I need an umbrella policy?
An umbrella policy provides additional personal liability insurance that starts to pay after your underlying limits of liability on your home insurance policy have been exhausted after a covered loss.
While there’s no way to know for sure how much liability coverage you may need, understanding what you stand to lose is a good place to start. If you’re being sued, it’s possible that equity in your home, your personal savings, and your income may be at risk. If the value of two years of your annual income, the equity in your home, and your savings exceed the liability limits on your auto or home insurance policies, then you should consider an umbrella policy to protect your net worth.
7. What should I set my deductible at?
There’s no single right answer. Generally, the higher your deductible, the lower the cost of your insurance premium. Since the deductible is the amount your insurance provider will subtract from an insurance payout, you’ll have to select a deductible that you’re comfortable paying out-of-pocket after a loss.
There can be diminishing returns if you set your deductible much higher than average, so as a consumer, you need to balance the premium savings against the amount you’d be required to pay after a loss.
8. What are endorsements, and how do they affect my policy?
Endorsements modify your coverage, meaning they may increase or decrease your coverage. They may also remove restrictions to your coverage or add restrictions to your coverage.
For example, at California Casualty we provide coverage enhancements to our group members that are tailored to their needs based on occupation or professional association. However, some companies only offer a standard suite of options for home insurance commodifying the product.
9. Is homeowner’s insurance tax-deductible?
Home insurance is not tax-deductible on your primary dwelling. However, home insurance may be tax-deductible for rental properties.
10. What natural disasters does homeowner’s insurance typically not cover?
Some of the more notable natural disasters that homeowner’s insurance typically does not cover include flood and earth movement (for example earthquakes, landslides, mudslides, etc.). Typically flood and earth movement must be added independently.
11. Do I need flood insurance? Do I need earthquake insurance?
Flood Insurance may be required depending on the requirements of your home mortgage. Earthquake Insurance isn’t generally required but is recommended if you live in an area where earth movement is more prevalent.
12. Do I need extra coverage for my home-based business?
Most home insurance policies have restrictions for losses related to a home-based business. It’s important to speak with your agent about the nature of your business in order for them to determine what coverage options are available.
Generally, home updates increase the rebuild cost of your home. Since it’s the job of the insurance provider to have enough coverage to rebuild your home after a total loss, you should discuss anything that may increase the rebuild cost of your home with your home insurance agent.
14. What’s the easiest way to reduce my monthly premium?
Keep in mind that in some cases the premium is inversely related to the quality of service and coverage you can expect to receive from an insurance provider. With that being said, the easiest way to reduce your monthly home insurance premium is generally to increase your deductible. But as mentioned above, there may be diminishing returns on premium reduction, the higher you go with your deductible.
15. Am I eligible for any discounts?
It’s rare that a customer and their home would be ineligible for all discounts. If you’re eligible for a discount, then your agent should have proactively explored those options with you to provide you with the best price possible from your first day as a customer. Talk to your agent and ask what discounts you may qualify for.
If your agent confirms that you’re receiving all discounts available, but you still feel that your insurance rates are too high, reach out to California Casualty to see if you can get more for your money with your policy.
This article is furnished by California Casualty, providing auto and home insurance to educators, law enforcement officers, firefighters, and nurses. Get a quote at 1.866.704.8614 or www.calcas.com.
Who doesn’t love a sunny day? …But when those beautiful rays shine down on your home, you might not love what happens; from faded furniture to deteriorating roof shingles, the sun’s ultraviolet (UV) rays can cause quite a bit of damage over time.
UV rays happen even on a cloudy day, and just as we wear sunscreen to protect our skin, we need to take action to protect our homes.
Here’s what you can do.
Use window shades.
Regular window glass only blocks a portion of those damaging UV rays. Using window shades can help. Invest in solar shades designed to block UV rays and still let in light. These shades are rated by percentage in terms of how much light they block. A 1% shade has a tighter weave and blocks 99% of UV rays. By contrast, a 14% shade blocks just 86%.
Apply window films.
Whether or not you use window shades, you can protect your home from light with window films. These translucent vinyl or polyester strips will cling to window glass, and chances are you won’t even notice them. Plus, they can block 99 percent of UV rays! You can get them professionally installed or do it yourself (DIY). Just know that over time, these films might become scratched or damaged and will need to be replaced.
Replace your window screens.
You may have window screens that are there to prevent bugs from entering your home. Replace them with ones that also block or filter harmful UV rays. That way, if you open a window, the screen is there as a barrier.
Install tinted windows.
A more expensive option is to replace your window glass with low emissivity (low-e) glass. This type of glass protects against UV rays due to its special coating. It also helps insulate your home so your rooms stay warmer in winter and cooler in summer.
Rearrange your furniture. Cover your floors.
A little redecorating can help to protect your furniture and floors. If your couch is in the direct path of sunlight from the window, consider moving it to a shadier spot. Try a slipcover, which can be more easily replaced than a couch when it fades. Similarly, you can cover sunny spots on the floor with area rugs and replace them as needed.
Choose the right fabrics and colors.
Lighter colors show the effects of fading less than darker ones, especially on those outdoor furniture cushions. Some fabrics also wear better. When choosing furniture or fabrics for your home, look for synthetic blends. Nylon and polyester will fade more slowly than cotton.
Spray your furniture and treat your floors.
Hardwood is very sensitive to sunlight but may be treated with stains and finishes that have UV protection. For furniture, consider UV protection sprays. Reapply every 6 months or so. If you have leather furniture, you can apply a leather conditioner to help prevent fading and cracking. You can treat your furniture and floors even after fading begins. It won’t take the fading away but it will help slow the process for the future.
Protect your artwork.
Artwork and photos also can fade over time. Canvases may be treated with UV protection sprays. For framed art, replace the glass with UV-blocking acrylic or the pricier museum-grade glass.
Protect your siding.
Older house siding can actually melt or warp when windows from your neighbor’s home focus sunlight on a small portion of your home’s siding. Protect against this by planting trees and shrubs, which also add more shade to your landscape. You can also buy products that put a coating on your siding to help protect it. If you’re ready to redo your siding, choose one that reflects harmful UV rays away from your home. Not only will it help prevent fading, but it will also keep your home cooler.
Repaint with UV-resistant products.
The paint or stain on your deck, front door, and shutters can fade over time. Repaint using a product that helps resist UV exposure. Check with your local home improvement or hardware store for options.
Treat your roof.
The sun’s rays beat down on your roof, causing shingles to deteriorate. Over time, UV rays dry out the natural oils in your asphalt shingles, and can even crack or weaken the roof underneath. To protect against this, there are special coatings that you can apply. Get a professional to do it if you’re not comfortable working on your roof. The coating will create a waterproof barrier to reflect light, draw heat away and keep the surface cooler. Such coatings generally last about 10 years.
Your home is your greatest investment. Review the impact UV rays are making as part of your regular summer home maintenance. Protect your home with the right homeowner’s insurance, and you’ll continue to enjoy it for years to come.
This article is furnished by California Casualty, providing auto and home insurance to educators, law enforcement officers, firefighters, and nurses. Get a quote at 1.866.704.8614 or www.calcas.com.
