Property, Casualty and Liability Insurance - Homeowner Endorsements and Auto Insurance

Endorsements can also be added to a home owner insurance policy at an additional cost to provide extra protection. Examples of endorsements include:

  • Guaranteed replacement cost coverage will pay the cost to rebuild your home as long as you have met the requirements of your home insurance policy.
  • Extended replacement cost coverage insures your home for a specific value and usually adds a 20-25% extended limit if reconstruction costs run over.
  • Inflation Guard increases the amount of your home owner insurance to keep up with inflation so that you can maintain adequate coverage to replace your home in the event of a loss.
  • Scheduled personal property protects articles such as jewelry, furs, stamps, coins, guns, computers, antiques, and other items that often exceed normal policy limits in your regular home owners insurance policy. It often provides coverage that is broader than the coverage in the home insurance policy. There normally is not a deductible for this coverage. Increased limits on money and securities provide additional coverage for money, bank notes, securities, and deeds.
  • Secondary residence provides protection for a second home such as a summer residence.
  • Theft coverage protection broadens the theft coverage to include personal contents in your motor vehicle, trailer or watercraft to be covered without proof of forcible entry.
  • Credit card forgery and depositor's forgery coverage provides protection against loss, theft or unauthorized use of credit cards. It also covers forgery of any check, draft, or promissory note. No deductible applies to this endorsement.

Auto Insurance
The Personal Automobile Policy (PAP) is a package insurance policy that provides coverage for losses that result from legal liability, injury to the insured and/or members of the insured's family, and damage to or loss of the automobile.

Four Parts of Automobile Coverage:

1) Part A- Liability Liability
Insurance covers the potential loss that could result from bodily injury or property damage that was caused by the automobile of the insured. Through the liability coverage, the insurance company is obligated to pay up to the policy limits the loss for which the insured is legally responsible due to an accident.
Liability coverage is considered to be the most important part of a personal auto policy; therefore, most states require a minimum limit of at least $25,000 per accident. Newly acquired vehicles are automatically covered for the first 30 days; however, the insurance company must be notified within the 30-day period to extend the coverage.

Sample policy for Part A could look like:
Bodily Injury
Each Person
Each Accident
Property Damage Each Accident $50,000

Liability coverage is provided for the use of any auto or trailer by the insured and/or any family member, defined as any person related by blood, marriage, or adoption, who resides in the household of the insured. Persons other than the aforementioned are also covered provided that they had permission from the insured to use the automobile.

Exclusions to Coverage:
a) Coverage is denied for anyone that intentionally causes an accident
b) Any person, other than a family member, that uses the auto without your permission
c) Autos being used in a racing competition
d) Liability while the auto is being used as a delivery vehicle
e) Damage to property owned or being transported by the insured Automobile Insurance: Medical Coverage and Uninsured Motorists
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