Fake Insurance in the News

If it sounds too good to be true...: A Georgetown, SC man was recently charged with selling fake homeowners insurance policies. Not just falsely representing a company mind you, but selling policies that were imaginary and meaningless from start to finish. Apparently, the crime was discovered before any of the victims had to file a claim, so no serious harm was done. With this in mind, I give you...

Top Ten Ways To Know Your Insurance Agent Is Selling You A Fake Policy:

10) You can't find a company listing for Big House Mutual Insurance company.
9) Your premium check was endorsed by someone named Joe Underwriter.
8) Your agent's business card has a picture of Wyle E Coyote in the corner.
7) The receptionist answers your phone call by saying, "Coyote Investments, Loans, Pawn, Firearms, and, oh yeah, Insurance. Can I help you?"
6) When your agent says his car is his real office, he does so without a trace of irony.
5) Your policy is handwritten on a Shoney's napkin.
4) Your premium payment envelope has an apartment number in the return address.
3) The bumper sticker on your agent's car reads, "I'd rather be embezzling."
2) Your policy is delivered in a shrink wrapped packet which reads, "Sanitized For Your Protection."
1) Your agent asks you what the word coverage means.

Sorry, couldn't resist.

Farley Home Services is your premier home inventory provider. Come see at at EverySingleItem.com. Thanks!

Bad Time To Sell, Great Time To Buy

Two articles relating to the glut of collectibles available these days fill our page today. Not to go all Economics 101 on you or anything, but you'll remember that gluts, of course, are bad news for sellers but good news for buyers. You've heard the old saying, "The rich get richer, the poor get poorer." Never more true than these days, particularly in the antiques and collectibles market. If you are an investor with cash to spend, there are plenty of bargains out there.

Miami Dealers Say It's A Buyer's Market: The Miami Herald is reporting that antiques dealers in and around that city have packed aisles and and are willing to negotiate.

Monica Fidel, a personal-property appraiser in Miami, says this market is suffering just as much as others in the economic downturn but with a few quirks. The market is flooded with items, Fidel says, so the supply is much greater than the demand. Consumers aren't buying antiques or collectibles unless they have plenty of money -- and they're looking for singular or high-end items.

This glut of antiques and collectibles is not limited to the South Florida area by any means.

Charlotte Area Appraisers Staying Busy: The Charlotte Observer says that personal property appraisers in that city have been besieged lately by clients who need to convert their treasures into quick cash.

An appraisal can cost $200 to $400, on average. That risk hasn't stopped the inquiries. Local personal property appraisers say business rose dramatically in the spring. They guess that's around the time people exhausted severance pay or savings accounts and began looking for more creative ways to pay the bills. Louise Phillips of Alexander Appraisal Service in China Grove said she's seen more people who want to sell, as well as forced sales through bankruptcies. People are looking to unload everything from china to furniture to rare plants from their gardens, she said.

Both articles make one point perfectly clear: If you do not have to sell an item right now, it is best to wait until at least a slight upturn in the economy. Otherwise, you simply will not get a fair market price for your item in this climate.

Collectors, remember you need to protect your collections in two ways you may not have done. First, you need an inventory of your household items, paying special attention to your collections. Second, you need a special, inexpensive insurance policy separate from your homeowners to protect your collection. I can help you with the first point, and your local insurance agent can take care of the second.

Farley Home Services stands ready to serve your home inventory needs. Please visit EverySingleItem.com for details.

Blogger Says You Need A Local Agent

Someone In Your World: Daren DiSantis of OfficialWire.com says that there are several advantages to having a local insurance agent, agreeing with me in the process.

Local insurance agents care more about you as a person than anyone else in the insurance business. I'm not saying that because I dislike claims adjusters (quite the contrary!) or any other nonsense like that. I am saying it because your local agent is the person you deal with for your insurance questions and needs. An agent will tell you if some course of action you want to take is the right way to go. An underwriter won't tell you that, a claims adjuster won't, and actuary won't. Agents advise; other insurance people react. That's a significant difference, and if you are buying insurance through an 800 number, you aren't talking to someone who thinks the way you do.

Farley Home Services strongly suggests that you have your own local insurance agent. In nearly every instance you can think of, a local agent is the best insurance professional for you to turn to. I can't emphasize this enough. Local agents will tell you that you need a home inventory too, by the way!

A. J. Farley owns Farley Home Services, your premier home inventory professionals. Please visit our web site at EverySingleItem.com, and thanks for your time today!

Another Round of Rate Increases . . .

You Know Who You Are: Residents in Texas, North Carolina, Louisiana, and Florida can expect to pay higher property insurance premiums in the coming months. OK you geography buffs out there, what do these states have in common?

Obviously, there is a lot of debate in these states about the inland (poorer) homeowners having to pay higher premiums because of the coastal (richer) risk, and while I tend to be on the side of the little guy whenever possible, I have to side with the coastal residents on this one. A major tenant (perhaps the major tenant) of insurance is the concept of shared risk. The best way to accomplish that in a property insurance setting is to do so across an entire state, in my humble opinion.

Each insurer has to tailor its policies to meet individual state requirements, so state legislatures have a huge say in how things work. This is an unwieldy process for the big national insurers, but the alternative of a federally regulated insurance program is distasteful to most of us (unless you live on a coast). If you are unhappy with how your homeowners insurance rate is calculated, talk to your state legislator. He has more say in that rate than even your insurance agent.

Thanks for your readership!

A. J. Farley owns Farley Home Services, a personal property inventory service. Visit us at EverySingleItem.com for more information.

Vacation Homes, Under-Insurance, and Personal Accomplishments

Don't Forget The Lake House: Those of you who own vacation homes need to remember the contents you keep there when it comes to your home inventory protection. As a matter of fact, Matt MacMillan of the Hutchison (MN) Leader says you should keep a separate inventory for that residence. The article has some good insurance tips for owners of secondary residences.

If your secondary home or vacation home has a mortgage, your lender may require homeowners insurance just as it would for your primary residence. However, there may be additional stipulations in the policy because you only reside in the home for part of the year. Like with your primary homeowners insurance, it is important to review the policy for your secondary home every year and keep an up-to-date home inventory in case you would need to file a claim following a loss. [emphasis added]

Under-Insurance Conundrum: Karen Telleen-Lawton has an interesting article dealing with the problem of homeowners under-insurance. This is an issue across the country, but it is especially significant in places like California, Florida, and Texas. The bottom line is to have a solid insurance agent and to sit down with her regularly to review your insurance needs.

. . . despite being willing or obligated to buy insurance, homeowners don’t properly evaluate the risk, believing it can’t happen to them. So while they hedge their bets by buying insurance, they further hedge their hedge by willingly under-insuring.

On The Home-front: I scored an ugly goal, but a goal nonetheless, while playing soccer with the old guys last night. Let's just say it's been a while. I'm uncomfortable with all the David Beckham comparisons, but if the boot fits . . .

Farley Home Services is your premier home inventory professionals. Visit us on the web at EverySingleItem.com, and as always thanks for reading today!

Art Theft Claims Still Unsettled

Stolen Nazi Art: Bloomberg .com updates progress (or lack thereof) being made toward settling stolen art claims from the Hitler era. The Nazis stole some 600,000 pieces of art. I had no idea the number was that high. It's been 70 years, let's get this done.

Poor Unloved Renters: David Pugh says renters need love. If not love, then at least insurance. Renters need home inventories too, by the way.

Insurance Agents Under Stress Too: Claims Journal says that "bad apple" insurance agents are tempted to protect their livelihoods through insurance fraud in tough economic times like these.

I want to take this time to emphasize how important it is to have a good working relationship with your insurance agent. This protects you in two ways: 1) Your agent has a vested interest in keeping you happy, and he will be more likely to go to bat for you in a claim situation if he is familiar with you and knows your character, and 2) You will be more likely to get of sense of how he does business the more often you meet with him. If you have some questions about his business practices, find someone else you can have confidence in. You need a trustworthy representative.

A. J. Farley owns Farley Home Services (EverySingleItem.com), an inventory service for all who own homes, small businesses, rental property, or who are tenants. Please visit our site. Thanks!