“Prepare to Survive” 2013 – Insurance


>>Tom Iovino: WELCOME TO THE
2013 SEASON DEBUT OF “PREPARE TO SURVIVE,” PINELLAS COUNTY’S
eSERIES PRESENTATION ON DISASTER PREPAREDNESS. I’M YOUR HOST TOM IOVINO OF THE
PINELLAS COUNTY COMMUNICATIONS DEPARTMENT. FOR THE NEXT 15 MINUTES, WE’LL
TAKE A LOOK AT INSURANCE AND HURRICANES. AS WE ALL KNOW, INSURANCE CAN BE
A VERY INVOLVED TOPIC, SO YOU DEFINITELY WANT TO TAKE SOME
NOTES. JOINING US TODAY IS VIRGINIA
HOLSCHER, DIRECTOR OF PINELLAS COUNTY’S RISK MANAGEMENT
DEPARTMENT. WELCOME. HOW ARE YOU DOING TODAY?>>Virginia Holscher: I’M DOING
GREAT, TOM. THANKS FOR HAVING ME.>>Tom Iovino: WELL, THANK YOU
FOR COMING OUT. INSURANCE, BIG TOPIC. FIRST OF ALL, TELL OUR VIEWERS A
LITTLE BIT ABOUT YOUR EXPERIENCE IN INSURANCE. HOW LONG HAVE YOU BEEN WORKING
WITH IT?>>Virginia Holscher: I’VE BEEN
IN THE INSURANCE INDUSTRY 39 YEARS. NEXT YEAR WILL BE 40. I STARTED IN PERSONAL LINES WITH
A DIRECT WRITER AND WORKED FOR AN INDEPENDENT AGENT AND
ACTUALLY WAS A PART OWNER OF AN INDEPENDENT AGENCY AND THEN
WORKED FOR A BROKER. I CAME TO PINELLAS COUNTY ABOUT
A YEAR AND A HALF AGO.>>Tom Iovino: AND HAVING
EXPERIENCE CERTAINLY HELPS US BECAUSE YOU KNOW EXACTLY WHAT’S
GOING ON WHEN IT COMES TO INSURANCE.>>Virginia Holscher: YES, AND IT
REALLY DOES GIVE ME THE PERSPECTIVE FROM BOTH THE
PERSONAL HOMEOWNER PERSPECTIVE AS WELL AS THE BUSINESS
PERSPECTIVE.>>Tom Iovino: VALUABLE, BECAUSE
WE MAY BE TOUCHING ON THAT LATER. LET’S TALK A LITTLE BIT ABOUT
INSURANCE AND HURRICANE SEASON. I THINK THERE’S A LOT OF
QUESTIONS OUT THERE. PEOPLE JUST DON’T UNDERSTAND
WHAT’S COVERED, WHAT DEDUCTIBLES ARE. WHAT’S GOING ON?>>Virginia Holscher: WELL, A
HOMEOWNER POLICY, ASSUMING YOU DON’T HAVE A WINDSTORM
EXCLUSION, WHICH I WOULD HIGHLY RECOMMEND NO ONE HAVE, WOULD
COVER YOU FOR THE WIND DAMAGE DONE BY A HURRICANE. AND AS TO DEDUCTIBLES, THE
DEDUCTIBLE IS USUALLY SPECIAL WHEN IT COMES TO THE HURRICANE. YOU COULD HAVE A WINDSTORM
DEDUCTIBLE AND A HURRICANE DEDUCTIBLE, OR YOUR CARRIER MAY
SAY ALL WINDSTORM CARRIES A SPECIAL DEDUCTIBLE.>>Tom Iovino: NOW, WAIT A
SECOND. YOU’RE TALKING ABOUT WINDSTORMS
AND HURRICANES, BUT IF YOU HAVE TO HAVE THE REGULAR BASIC
INSURANCE ON YOUR HOUSE, THE FIRE AND THEFT AND LIABILITY,
THAT’S NOT COVERED UNDER THE SAME PART OF YOUR INSURANCE.>>Virginia Holscher: WELL, YES,
THE HOMEOWNER POLICY, THE HOMEOWNER POLICY CAN HAVE
WINDSTORM AND HURRICANE COVERAGE RIGHT IN IT. SO YOUR SAME POLICY THAT COVERS
THE FIRE COVERS WIND AND HURRICANE. THERE ARE SUCH POLICIES CALLED
HURRICANE POLICIES, BUT THEY ARE VERY LIMITED AND ONLY FOR DURING
THE HURRICANE. AND MOST HOMEOWNERS HAVE THE
EXPOSURE OF THEIR HOUSE BURNING DOWN DURING THE YEAR THAT THEY
WOULD WANT TO INSURE, AS WELL AS THE WINDSTORMS, LIKE TORNADOES
THAT CAN CAUSE A LOT OF DAMAGE THAT ARE NOT FROM A HURRICANE. IF THEY SPIN OFF FROM A
HURRICANE, THEY TEND TO BE UNDER THE HURRICANE DEDUCTIBLE. SO YOUR LIMIT, BASICALLY IS
GOING TO BE THE SAME LIMIT AS YOUR FIRE POLICY UNDER YOUR
POLICY, THE DIFFERENCE WILL BE YOUR DEDUCTIBLE. MANY TIMES THERE’S A SPECIAL
EITHER WIND OR HURRICANE DEDUCTIBLE BASED ON YOUR
CARRIER, AND IT CAN BE 2% OF THE TOTAL VALUE OF YOUR HOME. IT’S NOT 2% OF THE LOSS. IT’S 2% OF THE LIMIT THAT’S ON
THE DECLARATION PAGE OF YOUR POLICY.>>Tom Iovino: OKAY. SO IF YOUR HOME IS DECLARED TO
BE, SAY, $100,000, THAT MEANS YOUR DEDUCTIBLE IF YOU END UP IN
A WINDSTORM IS $2,000 AS OPPOSED TO MAYBE A $500 DEDUCTIBLE FOR
FIRE LOSS.>>Virginia Holscher: THAT’S
RIGHT. AND IT COULD BE 5% BASED ON
WHERE YOU’RE LOCATED, BASED ON THE VALUE OF YOUR HOME, MANY
TIMES HOMES THAT ARE WITHIN 100,000 TO 500,000 ARE ALLOWED
TO HAVE AS MUCH AS A 5% DEDUCTIBLE. SO IF YOU HAVE A $200,000 HOME
AND YOUR WIND DEDUCTIBLE IS 5%, NOW YOU’RE TALKING ABOUT
$10,000 BEFORE ANY COVERAGE IS PAID UNDER THE WIND OR HURRICANE
DEDUCTIBLE. IF YOU HAVE A FIRE IT MIGHT
REVERT BACK TO THE 500 OR $1,000 DEDUCTIBLE YOU HAVE.>>Tom Iovino: WINDSTORMS ARE
CERTAINLY DIFFERENT.>>Virginia Holscher: THAT’S
RIGHT.>>Tom Iovino: OKAY. NOW, LET’S TALK A LITTLE BIT
ABOUT WHAT YOU CAN DO TO HELP REDUCE YOUR PREMIUM. A LOT OF PEOPLE WILL COME IN. THEY’LL PUT IN NEW SHUTTER
SYSTEMS, NEW GARAGE DOORS. ARE THERE THINGS THAT YOU CAN DO
TO REDUCE YOUR PREMIUM?>>Virginia Holscher: ABSOLUTELY. WHAT YOU WOULD WANT TO DO IS
TALK WITH YOUR AGENT OR YOUR CARRIER, IF YOU’RE WITH ONE OF
THE DIRECT WRITERS, AND ASK THEM, WHAT ARE THE THINGS YOU
CAN DO AND WHAT IS THE CREDIT YOU’RE GOING TO GET. THAT WAY YOU CAN DO A COST
BENEFIT ANALYSIS. IF I DO THIS, IT WILL COST ME
$10,000 AND MY CREDIT ON MY POLICY IS 200. IT DOESN’T MEAN YOU SHOULDN’T DO
IT, BECAUSE IT COULD SAVE YOUR LIFE, BUT YOU WOULD THEN KNOW
WHAT IS THE BENEFIT. THE AMOUNT YOU’RE GOING TO SAVE
IS EACH AND EVERY YEAR GOING FORWARD. SO MANY TIMES THAT YOU CAN
AMORTIZE THAT OVER THE POLICY, AND ACTUALLY IT IS WORTH IT TO
DO IT NOT TO MENTION IT WILL CAUSE LESS DAMAGE INSIDE MANY
TIMES. SO HAVING SHUTTERS FOR YOUR HOME
THAT ARE APPROVED, HAVING SPECIAL HURRICANE CLIPS OR
BRACING ON YOUR ROOF MIGHT QUALIFY YOU, HAVING WIND
RESISTIVE WINDOWS, ALL THOSE KIND OF THINGS CAN BE THINGS
THAT YOU CAN GET A CREDIT UNDERNEATH YOUR POLICY FOR, AND
IT ALSO MAKES YOU MORE FAVORABLE FOR BEING ACCEPTED BY THE
INSURANCE COMPANY.>>Tom Iovino: THAT’S IMPORTANT
AS WELL. JUST THINK ABOUT MAKING THAT
HOME SAFER IN THE EVENT OF A STORM.>>Virginia Holscher: ABSOLUTELY. THAT’S THE MOST IMPORTANT PART. THAT’S CORRECT.>>Tom Iovino: EVERYTHING ELSE
IS — SAVINGS WISE IT’S THE MOST IMPORTANT THING.>>Virginia Holscher: THAT’S
RIGHT.>>Tom Iovino: WHEN WE TALK ABOUT
INSURANCE, WE TALK ABOUT HURRICANES AS ANOTHER THREAT
THAT COMES FROM THE HURRICANES, FLOODING. AND WE KNOW THAT THERE IS A
DIFFERENT SET OF — THERE IS A DIFFERENT POLICY THAT’S
PURCHASED. AND I KNOW THAT A LOT OF PEOPLE
GO TO floodsmart.gov TO FIND OUT MORE ABOUT THE NATIONAL
FLOOD INSURANCE PROGRAM. HOW DOES THIS PROGRAM WORK?>>Virginia Holscher: WELL, IT IS
VERY IMPORTANT. IF THERE IS ONE THING I WOULD
HOPE FOLKS MIGHT TAKE AWAY FROM THIS, IT IS THAT FLOOD IS NOT
COVERED UNDER YOUR HOMEOWNER POLICY. IT IS A SPECIAL COVERAGE, AND
MANY FOLKS ARE UNDER THE MISCONCEPTION THAT IF THE FLOOD
HAPPENS DURING A HURRICANE, IT’S HURRICANE COVERAGE, NOT TRUE. A FLOOD IS A FLOOD, AND IT’S
BEEN TESTED BEFORE. THE DIFFERENCE IS, AND NOT ALL
WATER DAMAGE IS FLOOD. IF THE ROOF BLOWS OFF AND THE
WIND DRIVEN RAIN IS WHAT COMES IN AND DAMAGES YOUR CONTENTS,
THAT’S STILL THE WIND COVERAGE, THE HURRICANE COVERAGE. IF YOU HAVE A BROKEN PIPE, THAT
AND, YOU KNOW, FROM NOT EVEN A HURRICANE, A BROKEN PIPE IS
WATER DAMAGE, THAT’S NOT NECESSARILY GOING TO BE FLOOD. FLOOD TENDS TO BE RISING WATER. IT DOESN’T HAVE TO BE FROM THE
GULF. IT COULD JUST BE YOUR
NEIGHBORHOOD IS INUNDATED WITH WATER AND, IN FACT, IT DOESN’T
EVEN HAVE TO BE A NATURAL CATASTROPHE. THERE IS ONE DEFINITION OF WHAT
IS A FLOOD UNDER THE FLOOD POLICY THAT IS AN ACCUMULATION
OF RUNOFF WATER FROM ANY SOURCE. AND SO IT COULD BE THAT, BUT IN
GENERAL, IT’S COMING FROM THE GROUND INTO YOUR HOUSE.>>Tom Iovino: SO THE WATER COMES
UP, IT’S USUALLY COVERED UNDER THE FLOOD POLICY. BUT IF IT COMES FROM DOWN,
USUALLY A SEPARATE UNDER WINDSTORM.>>Virginia Holscher: THAT’S
CORRECT.>>Tom Iovino: THERE’S DIFFERENT
WAYS FOR WATER TO GET IN YOUR HOUSE. OBVIOUSLY, THE WATER COULD RISE
AND COME IN THROUGH THE WINDOWS AND DOORS AND THINGS LIKE THAT,
BUT THERE’S ALSO THE POSSIBILITY OF THINGS BEING BACKED UP IN THE
HOME THROUGH SAY THE SANITARY SEWER SYSTEM. UNDER WHAT CONDITIONS WOULD
THESE BE COVERED UNDER THE REGULAR HOMEOWNERS POLICY OR
WOULD THEY FALL UNDER THE FLOOD POLICY?>>Virginia Holscher: THERE IS A
NICE DOVETAIL BETWEEN MOST HOMEOWNER POLICIES AND THE FLOOD
POLICY. THE HOMEOWNER POLICY, IF IT
PROVIDES SEWER BACKUP COVERAGE WILL HAVE AN EXCEPTION FOR A
GENERAL INUNDATION OF WATER IN THE AREA. THE FLOOD POLICY WILL EXCLUDE
SEWER BACKUP UNLESS THERE’S A GENERAL INUNDATION OF WATER IN
THE AREA. AND SO — WE HAVE HAD THAT
SITUATION, AS WE WENT THROUGH DEBBY, THERE WERE MANY
HOMEOWNERS WHO THE SEWER BACKED UP. THE WATER SYSTEM BACKED UP. THERE WAS JUST SO MUCH WATER
FROM THE SYSTEM. THAT WOULD BE A FLOOD SITUATION
TYPICALLY. BUT THE AVERAGE SEWER BACKUP
COULD HAPPEN ANY DAY. THAT’S A COVERAGE THAT WOULD BE
AN ENDORSEMENT ON A POLICY IF IT IS OFFERED. THERE ARE A COUPLE OF CARRIERS
WHO DO NOT OFFER THE COVERAGE, BUT IT IS WORTH ASKING YOUR
AGENT ABOUT. BUT THE FLOOD POLICY WILL COVER
YOU FOR THE SEWER BACKUP BECAUSE OF A GENERAL FLOODING IN THE
AREA.>>Tom Iovino: LIKE WE SAW WITH
TROPICAL STORM DEBBY LAST YEAR, 10, 15 INCHES OF RAIN CAN
CAUSE — CAN WREAK SOME HAVOC.>>Virginia Holscher: ABSOLUTELY.>>Tom Iovino: INTERESTING STUFF.>>Virginia Holscher: IMPORTANT
THING TO REMEMBER ABOUT THE FLOOD INSURANCE POLICY, IF YOU
DON’T CARRY IT CURRENTLY, AND SOME FOLKS DON’T BECAUSE THEY
SAY, OH, I’M NOT IN A FLOOD ZONE, WELL, THAT DOESN’T MEAN
YOU COULDN’T BE FLOODED, AND IT IS STILL EXCLUDED. BUT THERE IS A WAITING PERIOD,
BECAUSE EVERYBODY WOULD WANT TO HAVE THEIR AGENT BUYING FLOOD
TOMORROW IF THE HURRICANE IS COMING, THERE IS A 30-DAY
WAITING PERIOD, UNLESS IT’S AT THE TIME OF A CLOSING. IF IT’S A HOME PURCHASE, YOU CAN
BUY FLOOD INSURANCE THAT DAY. BUT WHAT — BUT — AND, BY THE
WAY, THAT’S SOMETHING THAT YOU MIGHT WANT TO THINK ABOUT IF A
HURRICANE IS COMING, CLOSING ON A HOUSE, BUT THAT IS A WHOLE
DIFFERENT TOPIC, BUT THERE IS A 30-DAY WAITING PERIOD. AND SO NOW IS NOT TOO LATE TO BE
LOOKING INTO THE PURCHASE OF THAT FLOOD POLICY BECAUSE IF YOU
MAKE IT — IF YOU GET ALL THE APPLICATION AND EVERYTHING IN ON
MAY 1, IT’S NOT GOING TO BE EFFECTIVE UNTIL JUNE 1. NOW IS A GOOD TIME TO BE
THINKING ABOUT THAT.>>Tom Iovino: INTERESTING. ALWAYS HAVE TO PLAN AHEAD WITH
THESE THINGS. INTERESTING. NOW, WE’RE TALKING ABOUT
INSURANCE. THERE ARE A COUPLE OF OTHER
KINDS OF INSURANCE. ONE IS IF YOUR VEHICLE IS
DAMAGED.>>Virginia Holscher: YES.>>Tom Iovino: IN A HURRICANE. WE’VE SEEN STORIES ABOUT THIS
ALL THE TIME. IS THAT COVERED UNDER YOUR AUTO
POLICY?>>Virginia Holscher: WELL, IF
YOU HAVE COMPREHENSIVE. THE TREE FROM THE HURRICANE
FALLING ON YOUR CAR, IF YOUR CAR IS FLOODED, THAT IS
COMPREHENSIVE COVERAGE. SOME FOLKS DECIDE I’VE PAID OFF
MY CAR, BUT IT’S STILL WORTH A LOT TO ME. THE PHYSICAL DAMAGE COSTS A LOT. SO THEY MAKE, IN MY OPINION, THE
MISTAKE OF CANCELING BOTH THE COMPREHENSIVE AND THE COLLISION. AND SO MY RECOMMENDATION WOULD
BE OF THE TWO, COMPREHENSIVE USUALLY TENDS TO BE A LITTLE BIT
CHEAPER, KEEP THE COMPREHENSIVE. IF YOU FEEL LIKE YOU WANT TO
TAKE THE CHANCE OR YOU KNOW YOU CAN CONTROL YOUR CAR AND YOU
WANT TO TAKE THAT RISK FOR COLLISION, THE COMPREHENSIVE YOU
MAY STILL WANT TO KEEP BECAUSE WE’RE IN FLORIDA AND BECAUSE OF
THE CHANCE THAT YOUR CAR COULD BE FLOODED OR DAMAGED BY FALLING
LIMBS, TREES.>>Tom Iovino: MAKES SENSE. NOW, ANOTHER THING THAT WE HEAR
A LOT WITH BUSINESS OWNERS, THEY CAN GET SOMETHING CALLED
BUSINESS CONTINUITY INSURANCE. WHAT IS THAT ALL ABOUT?>>Virginia Holscher: BUSINESS
INTERRUPTION INSURANCE, BUSINESS CONTINUITY IS REALLY A VERY
IMPORTANT COVERAGE FOR BUSINESSES, NONPROFITS. WHAT THAT DOES IS KEEP YOUR
REVENUE STREAM COMING IN AFTER A LOSS. AND IN GENERAL, THE BUSINESS
INTERRUPTION LOSS OF A BUSINESS FAR OUTWEIGHS THE PROPERTY
DAMAGE.>>Tom Iovino: REALLY?>>Virginia Holscher: AND YOU CAN
GET COVERAGE FOR BUSINESS INTERRUPTION, AND IT DOESN’T
HAVE TO END IN ONE YEAR. IT CAN GO BEYOND YOUR POLICY
PERIOD EVEN. YOU BUY IT UP FRONT, AND IT
COVERS YOU FOR A CERTAIN AMOUNT OF TIME UNTIL, BASED ON THE
LIMIT THAT YOU CARRY. AND YOU CAN EVEN GET SOMETHING
CALLED AN EXTENDED PERIOD OF INDEMNITY, BECAUSE THE DAY YOU
OPEN YOUR DOORS, ALL YOUR CUSTOMERS DON’T KNOW IT. THEY ARE NOT BACK.>>Tom Iovino: OH, SURE.>>Virginia Holscher: SO IT MAKES
UP THE DIFFERENCE FOR 30 TO 60 DAYS AFTER YOU OPEN TO MAKE YOU
WHOLE FOR WHAT YOU WOULD HAVE BEEN MAKING. AND I WOULD DEFINITELY RECOMMEND
THE BUSINESS BECAUSE THAT LOSS CAN FAR OUTWEIGH YOUR PROPERTY
DAMAGE.>>Tom Iovino: YEAH IT SOUNDS
LIKE IT’S AN IMPORTANT THING, ESPECIALLY IF YOU WANT YOUR
BUSINESS TO CONTINUE. I’M SURE A LOT OF BUSINESSES
FAIL AFTER A DISASTER.>>Virginia Holscher: YES, THEY
DO.>>Tom Iovino: THAT’S SOMETHING
YOU DON’T WANT TO HAPPEN, ESPECIALLY WITH TRYING TO GET
PEOPLE BACK ON THEIR FEET, HAVING THE EMPLOYEES. THAT’S AN IMPORTANT THING. WE HAVE ABOUT A MINUTE LEFT. WHAT DO YOU WANT PEOPLE TO COME
AWAY WITH FROM THIS PRESENTATION? WHAT DO YOU WANT THEM TO KNOW?>>Virginia Holscher: THERE WOULD
BE TWO THINGS I WANT TO MAKE A POINT. IF YOU LIVE IN PINELLAS COUNTY,
YOU SHOULD HAVE FLOOD INSURANCE.>>Tom Iovino: REGARDLESS OF YOUR
ELEVATION.>>Virginia Holscher: IF YOU LIVE
IN PINELLAS COUNTY, I SUGGEST THAT YOU HAVE FLOOD INSURANCE. THE OTHER THING IS THAT IT IS
IMPORTANT THAT YOU GO AROUND WITH YOUR iPOD OR YOUR iPAD,
AND JUST TAKE A FIVE-MINUTE VIDEO OF EVERYTHING IN YOUR
HOUSE. IF IT IS LEVELED, YOU WILL NOT
BE ABLE TO REMEMBER EVERYTHING. SO TAKE THAT, TAKE YOUR POLICY
OR A COPY OF IT AND TAKE YOUR PICTURES WITH YOU IF YOU NEED TO
EVACUATE. AND BY ALL MEANS, IT IS ABOUT
BEING SAFE FIRST. LIKE YOU SAID, THE REST IS JUST
STUFF.>>Tom Iovino: REALLY IMPORTANT
ABOUT THE HOME INVENTORY. I CAN BARELY REMEMBER WHAT I HAD
FOR BREAKFAST THIS MORNING. DEFINITELY GOOD TO HAVE
DOCUMENTATION TO HELP MAKE YOU WHOLE. VIRGINIA, I CAN’T THANK YOU
ENOUGH FOR COMING ON. THIS IS REALLY IMPORTANT
INFORMATION. HOPEFULLY OUR VIEWERS ARE ABLE
TO TAKE SOME OF THIS AWAY AND GET THEMSELVES READY FOR
HURRICANE SEASON THIS YEAR.>>Virginia Holscher: I HOPE SO
AND THANK YOU SO MUCH FOR HAVING ME.>>Tom Iovino: MY PLEASURE. IF YOU WOULD LIKE TO SEE A
REPEAT OF THE PRESENTATION, VISIT
www.pinellascounty.org/eseries. IF YOU’D LIKE TO KNOW MORE
INFORMATION ON HOW TO PREPARE FOR A HURRICANE, OTHER POTENTIAL
DISASTERS, VISIT THE PINELLAS COUNTY EMERGENCY MANAGEMENT HOME
PAGE AT www.pinellascounty.org/ emergency. IF YOU HAVE ANY QUESTIONS ABOUT
TODAY’S TOPIC E-MAIL [email protected]
AND WE’LL GET RIGHT BACK YOU WITH. JOIN US FOR THE NEXT “PREPARE TO
SURVIVE” eSERIES. STAY SAFE.

Leave a Reply

Your email address will not be published. Required fields are marked *