Many homeowners upgraded their homes in the last 18 months. Whether it was bringing a furry friend into your home, updating a kitchen or bathroom or adding additions like a swimming pool, trampoline or detached structures, these upgrades make living in your home more enjoyable. If you completed any of the following updates or additions to your home, contact us!

Kitchen or Bathrooms

If you have made significant upgrades to your kitchen, bathroom or other rooms in your house, you’ll want to share this with your insurance agent. Your current home insurance is based on the value of your home. When you make significant updates to your home, your home value will increase. In the event you have a home insurance claim, you want your home insurance to cover any losses. If you made significant updates to your home but failed to tell your insurance agent and experienced a home insurance claim, you may not be covered for what your home is actually worth.

Detached Structures

Similar to upgrading your kitchen, bathroom or adding square footage to your home, it impacts your home insurance policy. If you added a detached structure to your property, relay this information to your agent so we can update your home insurance policy.

Swimming Pool

Swimming pools do increase your liability and it is important your pool has all the safety precautions in place. Does your swimming pool have proper barriers or fencing around the pool? Most insurance carriers require a fence of at least four feet to be present around your pool. Do you have floatation devices for young children? Lastly, be sure to regularly inspect items used in or around your pool. For example, slides, diving boards or floatation devices.

Trampoline

Be sure to read your current home insurance policy before purchasing a trampoline. Home insurance coverage for trampolines vary both by state and insurance carrier with some not wanting to insure them at all. Talk to your insurance agent about coverage options if you are considering buying a trampoline.

Dog

A furry friend can be the perfect companion and a great addition to your home. It is important to tell your agent if you have a new dog in your home. Many insurance carriers do consider certain breeds higher risk and as a result, your home insurance policy premium may increase. Breeds such as Pit Bulls, Rottweilers, German Shepherds, Huskies, Doberman Pinschers, Akitas or Great Danes may not be insurable by all carriers. While we never want to assume your dog will ever injury someone, it is important to always be properly covered. If you do not report owning a dog to your insurance carrier and you have a claim against your dog, you risk not being covered.

Contact our agency if you have made any of the following changes to your home life. We will be sure to inform your insurance carrier to ensure your home insurance policy is up-to-date and you are properly covered.

Many insurance carriers offer telematics for an auto insurance discount. If you are seeking out additional auto insurance discounts to lower your monthly or annual premium, talk to your insurance agent to see if your carrier offers telematics. Many carriers do!

How does telematics work?

A telematics device monitors how you drive a vehicle. Your insurance carrier mails you a vehicle tracking device, you insert it into your vehicle’s onboard diagnostic port under your dash and then it monitors how you drive for an extended amount of time. Once it is setup, it runs all on its own until it is time for you to return it back to your insurance carrier.

The telematics device determines how safe of a driver you are based on measuring your speed, how hard you brake when stopping your vehicle and how many miles you drive. It also looks into what time of day you drive. It is important to note that not all insurance carriers follow the same guidelines or look at the same data.

Curious to see how safe you drive? Talk to your insurance agent to see if your carrier provides a driving report. The telematics device can show a detailed report of your driving habits that can help you become more aware of your driving behaviors. By reviewing this information, it can help you become aware of your current driving habits and if you are currently considered a safe driver.

Once you have completed the timeframe of using the telematics device, you’ll mail it back to your insurance carrier and they will review it.

If my insurance carrier offer telematics, should I do it?

It’s up to you! Not only do you receive a discount for participating, but your insurance carrier may continue to provide discounts in the future for being a safe driver. Some carriers also give you a discount every 6-12 months for being claims-free. This could be rewarded with a mailed check or a discount at renewal.

Talk to your agent about telematics or receive a free auto insurance policy review.

As your insurance agent, we want to ensure you have the best auto insurance coverage for your needs. If you are unhappy with your current premium rate, we can shop our carriers for additional discounts like telematics or simply quote you with other carriers. Don’t hesitate to reach out to us.

Commercial Auto Insurance 101

Businesses across the country rely on vehicles to keep operations flowing. No matter the type of vehicle, this essential business equipment represents a significant investment on the part of business owners. Whether your clients operate machinery, delivery vans, passenger cars, or trucks, protecting that investment is critical. Commercial auto insurance is designed to provide robust coverage against a wide range of operational and liability risks. Here is the information you need to know about commercial auto insurance – designed to help your clients select the right policies and features to fit their needs.

The Purpose of Commercial Auto Insurance

If you drive on American roadways, you know that auto insurance is required to operate a vehicle. The same applies to most business owners who use vehicles as part of their operations. Commercial auto insurance is a type of policy expressly designed for commercial operation of vehicles for business purposes. These policies will be familiar to most, as they are often quite similar to the auto insurance policies private vehicle owners must obtain. There are critical differences, however, and many commercial auto policies include additions and endorsements for business vehicle owners. Because of the coverage, a commercial auto insurance policy serves as the foundational element of risk management for business owners with a single vehicle or a fleet of vehicles.

Primary Coverages for Commercial Auto Policies

Available to business owners who use cars, vans, or trucks as part of their operations, commercial auto insurance policies are characterized by four primary coverage areas. These coverages include:

• Liability Coverage – this aspect covers business owners against expenses – including legal costs in lawsuits — related to property damage caused by the owner or his/her employees.
• Collision coverage – helps to pay for repair or replacement of vehicles damaged or lost in collisions with other vehicles or objects.
• Bodily injury coverage – covers the medical expenses associated with a vehicle collision, particularly for the driver and passengers of a commercial vehicle.
• Comprehensive coverage – provides reimbursement for repairs/replacement of vehicles involved in a collision, regardless of who is at fault.

These four coverages provide a robust blanket of insurance protection for business owners. Business owners with commercially-operated vehicles often experience risks that private vehicle owners do not; this fact alone means that a commercial auto insurance policy is an essential component to protect business interests and assets.

Specialized Coverages in Commercial Auto Insurance Policies

Companies use vehicles in many different ways as part of business operations. One business may operate a fleet of vans or delivery trucks, while others operate heavy equipment, executive passenger cars, or tractor-trailers. Because every business is different, commercial auto insurance policies are designed to be flexible, providing the coverage that is needed to protect vehicle assets. Specialized coverages are available for business owners, including:

• Hired and non-owned auto coverage – some businesses require their employees to use their own vehicles for business purposes. Others may lease vehicles from a third-party vendor. Even though the business does not own the vehicles, they may be held liable if involved in a collision. Hired and non-owned insurance is designed to provide liability protection for these businesses.
• Trailer interchange coverage – freight companies often lease trailers for use. This type of insurance coverage provides protection for the trailers even though they are owned by other business entities.
• Equipment coverage – certain equipment is essential for business operations and includes forklifts, tractors, cranes, and trucks. This additional equipment needs protection just like any commercial vehicle.
• Rental reimbursement coverage – if a company vehicle is damaged or destroyed in a collision, a temporary replacement may be needed. This coverage provides reimbursement costs for vehicle rentals while the damaged vehicle is repaired or replaced.

Valuable Protection, Valuable Benefits

Commercial auto insurance is a vital part of risk management for business owners who own and/or use vehicles in their operations. These policies provide coverage against a broad range of risks. This is not their only benefit; a commercial auto policy includes benefits like:

• Tax savings – policy premiums for commercial auto insurance policies may be tax-deductible.
• Improved flexibility – these policies can be adapted to the specific needs and risk exposures of business owners who use vehicles as part of their operations.
• Higher coverage limits – commercial vehicles often represent significant business investments. Because of this, commercial auto insurance policies typically have higher coverage limits to protect expensive vehicles and equipment.

Commercial auto policies are not only required to operate vehicles for business, but they can also provide robust protection and benefits for business owners.

About Coastal Oak Insurance Services

At Coastal Oak Insurance Services, we strive to protect your personal and business assets from coast to coast. When you work with us, you’re family. Contact us today at (949) 519-3738 to learn more about how we can provide you with comprehensive and tailored insurance coverage.

Are Subcontractors Covered Under Contractors Insurance?

The construction industry faces numerous risks as it undertakes building projects. From worker injuries to issues with materials, equipment, and permitting, insurance coverage is critical in protecting contractor assets. Contractor insurance goes a long way toward providing this coverage. When subcontractors are used to facilitate building projects, are they covered under contractor policies? In this guide, we will explore the essential details of CA contractor insurance, highlighting the benefits and limitations of this important coverage in terms of subcontractors.

The Role of Subcontractors

In the construction industry, many different groups come together to complete building projects. Typically, a project starts with a contractor, or the construction company that wins a contract to build a structure. Some contracting firms are capable of doing every aspect of the construction project, from design to infrastructure and finish work. Many others employ subcontractors, or companies that specialize in certain aspects of the construction process. Subcontractors formwork agreements with the primary contractor directly and not with the building or property owner. Subcontractors are often responsible for construction components like:

• Plumbing
• Electrical
• Landscaping
• Security
• Paving
• Roofing

As the construction industry grows, the role of subcontractors in getting projects completed cannot be overstated. Contractors and subcontractors are integral parts of the building process.

Contractor Insurance: Does it Cover Subcontractors?

Contractor insurance can take many forms. In the state of California, CA contractor insurance may include policies like:

• Commercial General Liability
• Commercial Auto
• Contractors Indemnity
• Professional Liability
• Builders Risk

This insurance is typically required to do business within a state and is the foundational element of risk management in the building trades. This important insurance does not always cover subcontractors, however.

For contractors, subcontractors are only covered under a CGL policy if that policy has specific coverage endorsements. Without this endorsement, any injuries or property damage that occur from or during the subcontracting work may be the responsibility of the contractor, who has formed an agreement with the subcontractor. In other words, without the right coverage or endorsements, contractors may be on the hook for expensive liabilities.

It is critical that contractors examine their existing CA contractors insurance thoroughly. Many CGL policies specifically exclude coverage for subcontracting work. The contractors policy protects the contracting company, its employees, and its equipment. Anyone not on the contractor’s payroll is typically not covered without a subcontractor add-on or endorsement. Failure to adequately protect the contractor’s own interests may result in expensive legal exposures, not to mention the costs associated with a workplace injury or property loss.

Protecting Against Liability Risks

Contractors face difficult choices when it comes to using subcontractors for specialized building services. Since most CGL policies, including many CA contractor insurance policies, do not cover injuries or property damage/loss incurred by subcontractors, what can contractors do to protect themselves and their business assets?

There are two solutions used in the building trades. First, a contractor’s general liability policy may be added to with a subcontractor endorsement. This can raise premium costs, but it results in broader protection against risks. The second – and better – solution is to require the subcontractor to obtain their own insurance policy. Before signing a contract, a contractor must ensure that the policy is in force and that the contractor is named as an additional insured on the policy. Contractors must obtain proof of insurance from any subcontractors before conducting operations. CA contractor insurance provides robust coverage for a contractor’s own employees and assets. By taking the extra step of getting a subcontractor endorsement or requiring subs to carry their own liability insurance policies, the contractor gains more complete coverage against expected and unforeseen risks.

About Coastal Oak Insurance Services

At Coastal Oak Insurance Services, we strive to protect your personal and business assets from coast to coast. When you work with us, you’re family. Contact us today at (949) 519-3738 to learn more about how we can provide you with comprehensive and tailored insurance coverage.

Social Title: Contractor Insurance: Are Subcontractors Covered?

Social Description: In the construction industry, subcontractors may pose insurance challenges that necessitate a hard look at insurance coverages.