What Does Home Insurance Cover Part 2 | 561.819.8897


okay guys we’re back I’m here with Ray J
Megginson of the Megginson Agency with Brightway Insurance I’m Nicole with the
Stanbra team and we’re just talking a little bit of insurance 101 so we’re
gonna back it up a little bit and talk about I’m a home buyer I just put a
contract together I have a contract under for a home that I’m interested in
buying and the next step is to go to the inspection period so what are some
inspections that as a homebuyer I should be making sure I’ve done is it just one
inspection or are there other types of reports that I should be reviewing my
inspector to do for a first-time homebuyer there’s there’s three things
to consider one is of course the age of the home and if it’s thirty years or
older you’re gonna need what’s called a four point inspection okay and what is
that so what that is is it’s the four main points of the home it’s gonna
inspect the AC heating system it’s got the plumbing the electrical and the roof
okay so as an insurance company as an agent I never want to see a full
inspection like never never ever sent me a full inspection
okay and never send the carrier especially never send them the void okay they only need to know the four things
of the house everything’s good you’re good okay
so when an inspector provides that report is it a separate totally separate
report called a four point inspection and that is only for homes that are
thirty years or thirty year older yes okay let’s remember that that’s a big
yes so what let’s let’s ask the devil’s advocate so why wouldn’t you want to
know about the fine details or have more information that you know I I don’t need
to know them because I don’t have to go through a 30 page report like I don’t
care if the paint is peeling or if the doorknob is loose there’s a lot of it’s
just normal wear right right and and the insurance company do you think they
really only want to see the four points but if they start looking through and
seeing oh there’s a drywall fix that needs to happen they’re gonna ask you to
fix that drywall that’s you can do whatever you want as long as those four
points are good okay yeah so so you and a lot of times
when a buyer and you know when a purchase is happening a seller might say
hey this needs to be fixed I’ll give you a credit right we don’t need to know
that yes they can keep the credit and not even fix it if they’re but if it’s
something that needs to be fixed it needs to be fixed in insurance you see
what I mean yes okay so insurers will start nitpicking at you know different
things on the report and they may make a mountain out of a molehill there they
may actually say oh well there look to be you know some damage on the drywall
my maybe in their mind they’d be like well there could be a chance that there
is mold behind that drywall and all the drywall needs to be pulled out and that
could just make it more of a risky policy for them and they may jack up the
price well they won’t jack up the price they’ll just say no okay
drive the factor of the price okay it’s only to figure out if it’s durable got
it now one good thing is to mention here is no matter what every insurance
company does their own inspection and what they’ll do most of the time is just
do a drive-by and yes walk around the property and you never know when that’s
gonna be right and that’s where you can have issues like hey pitbull yeah you
know something crazy where they find it and it’s gonna be within 30 days of
closing right so that’s one big thing so after you get the four point the other
main thing is going to be a wind mitigation inspection okay and the same
inspectors gonna do that if it’s if the home is built 2002 and after it’s gonna
get the main discount credits so you don’t necessarily have to have it okay
now what a windmill will do is the opening protection of the house such as
the windows the door that will give you either full protection or you know some
variant of that okay so what if you have like
some impact windows that had just been replaced in the front of the house but
in the back it’ll has like the old you know the existing sliders yeah they
don’t impact how would that work so it’s most of the time it’s all or nothing
partial you don’t get you don’t get partial credit so if you have some some
impact class and some not rated yeah you’re not really gonna you’ve had
shutters like Stan rated Miami Hurricane Rita shutters in those older sliders
that would suffice as long as they’re rated and can be you know the inspector
can actually see it now the inspector will go through and that’s that’s their
thing they they make sure they get it right but it’s always good to once you
get the inspection especially the wind mitigation inspection to ask the
inspector hey what could I change to get full credit right and they’ll tell you
right there okay and most of the time it’s like I see a
lot of like skylights yeah that are not rated or you might see an opening front
door that that’s not rated or the glass blocks yes never know if they’re ready
or the garage doors don’t have the brackets in place okay that’s all good
things and those are things that you can either factor in like during the
inspection period it’s still a negotiation process during that during
that period so that may be something that you can negotiate either credit
with your seller or maybe the seller could even you know help you out and get
some of those items taken care of but that’s good to know and you’re also can
you know making that honey-do list or your to-do list after your clothes of
okay once we close in this house we really need to focus on getting new
windows or just making sure that we are totally protected which would then
reduce or hurt okay so then let’s talk about that a little bit because we
segwayed into that now if you close on a property and you did not have full
coverage obviously your premiums gonna be a little higher but say like two days
later you made some of those repairs and then all of a sudden you are you
know fully protected hurricane wise can you update your policy sure immediately
or do you have to wait for a window a period of time or no so the only thing
that they’ll require is to update the inspection okay so the inspector would
come back out and and see that is and give it the okay and then once that
happens you get a check back insurance company that’s amazing okay that’s
really good and so I would just say a tip would be whoever you use for your
inspector to do the initial inspection it would just be helpful to have that
same guy go out Mac now for that second inspection because he’s familiar with
the house and he just knows what was there before and he can refer to it when
he’s checking at the second sometimes they’re okay with just hey take me a
picture of the new window yeah and all up they didn’t send it to me and then
you know we’re good that’ll save them a trip okay all right guys we’re back so
we’re gonna talk about hurricane ceasing that is upon us
starting tomorrow June 1st hurricane season the beginning and in South
Florida we have to be prepared so we’re gonna talk about you know making sure
that you’re completely prepared and protected when that storm hits because I
think we’re gonna have a pretty active storm season although they say that
every year they do say you know it’s better to be prepared than not prepared
so alright let’s say here we are like right now I’ll just say from my personal
situation I don’t require my home is not in the flood zone where I’m mandated by
my lender or required to have flood insurance but so I stopped my flood
insurance policy to save a couple hundred bucks really but you know that’s
a couple hundred bucks or you know a nice dinner out or groceries for a
couple weeks so I took it off but now I’m thinking you know everyone’s talking
about storm season maybe I should reinstate my flooding
policy can you do that and how does that process work yeah so flood is one of
those kind of hot-button topics whenever it’s hurricane season yeah here’s a
quick story so three years ago when Matthew was coming yeah there’s a
company that was allowing me too right flood insurance the day
before really and binding it and I probably wrote like 30 policies until
like 3:00 a.m. that night before and so they totally changed their policy to 15
day waiting period well I can’t believe you do right yeah so so just to kind of
explain people don’t realize when a hurt is on the way it can actually cause
flood damage and your policy your homeowners policy will not cover it
unless you have flood so it’s usually a totally separate policy there are some
carriers that will endorse it on to the policy but for the most part it’s a
separate policy and it is a totally different thing than hurricane fire
anything anytime water rises yeah and comes into your house from the outside
that’s technically flood so even if a hurricane comes in and blows a huge
storm surge in and a ton of water you know rainfall it’s rising from the
top so your hurricane insurance doesn’t cover that that’s actually flood so and
what you were saying is your house is in an ex owned which is preferred right now
all of Florida is in a flood zone that’s important to note yes just different
levels of flood so exactly so if you’re in a preferred ex zone yeah the NFIP you
know National Flood Insurance Program says that you might have a 1% chance
every year of a flood and it compounds over the life of the mortgage okay so
they say 1% each year so if it’s been 20 years there’s a 20% yes okay you might
have a flood okay now it’s more in South Florida because you’re in the hurricane so and it can definitely bring flood
right um in fact when I mean these waters right here were above the
bulkheads and when I came in in Matthew so if this water right here rises up and
above the bulkheads I don’t know if they can see it in the camera but towards the
lighthouse if it goes above that bulkhead yes
that’s technically flooding even though it’s a storm surge caused by a hurricane
it’s flooding right totally separate points yep okay so
that’s good to know so let me ask this though how about if
you’re if it floods from now if it floods from say the ocean or the
intercoastal or versus your pool different or the same like if your pool
just overflows from all the rainwater so the NFIP determines each claim is gonna
be a little different if your if your pool overflows its most likely because
there’s a massive amount of rain yeah so it would need to saturate it kind of
gets into the nitty-gritty but they would need to saturate more than an acre
or two to more than two properties like two properties or more okay couldn’t
just be like your house now a property an adjuster will come out and look at it
but because every situation is different so you can’t say like oh yeah that would
be covered they’re not covered right but for the most part flood is totally
separate and it’s gonna be from rising waters coming in from the outside okay
okay and I actually have another video where I talk about tips for home owners
to prepare for your for hurricane season so definitely subscribe to my youtube
channel so you could be aware it when it comes out and because it’s like things
for your pool in your backyard area you want to make sure they’re debris free
you want to make sure that the the runoff it has a clear path to go you
want to make sure that you have gutters on your home that keeps the water away
from your actual house and your pool deck and you know every pool that’s
built it has that drain system right so right now mine’s totally clogged up like
I have so much debris and leaves just from over the year you know dirt in
there so you want to make sure that you’re cleaning that out power-washing
not only does it make your house look nice but you’re allowing the water which
will inevitably build up from storms to have a way to flow out away from your
house and you know reduce the likelihood of a flood in your home so okay so
a lot of people in Florida have those big screen and screens for their pool
just to keep it mosquitoes and bugs away so is that a separate policy to have
like scream protection or like pool protection or just that wrapped in so
most of the time it’s it it depends on the company but most of the time there’s
two things that you do one is let’s say your house doesn’t have it you had it
you tell your insurance agent hey I just got I just did my pool I just did a it’s
a screen enclosure it’s a thousand square feet of my pool is 350 square
feet that will go on to your coverage a your dwelling amount and that will
actually make it go higher in coverage because it’s more to replace seriously
right now there’s a separate hurricane coverage that you have to endorse onto
the policy so for the for the screen enclosure most of the time companies
don’t cover if there’s a hurricane okay so that’s why you have to endorse it on
you can endorse it in like five ten thousand fifteen thousand twenty five
you know increments yes and then it covers during a hurricane okay and it’s
usually a couple hundred dollars okay now are you seeing I mean do you see a
lot of damage from the actual frame itself or is it more just the actual
metal I talked to a screen guy the other day and he had some really good advice
he said I don’t get the screen coverage and his insurance guy like that’s
probably like I shouldn’t say that yeah but he doesn’t get the screen coverage
for his feet if he knows the category three or more is coming he’s gonna take
a razor and just cut his yes because the the aluminum structure is gonna be fine
because it’s gonna blow through it right but what happens is when the screen is
all getting the force of that that’s damaging everything yes cuz it’s pulling
the frame so I mean how hard is it to repair a screen it’s not difficult right
it might be worth doing that you save a couple hundred dollars yeah
put that towards something else yeah that’s a really good idea
I’ve actually and this will be part of my hurricane tip video but another one
you know if you have those awnings or those sun setters or just you know any
kind of shading you may actually wanna either those but a lot of times people
you know sometimes we get a lot of notice like a hurricane is coming it’s
like doomsday right you have like a week and then it’s six days and five days and
everyone’s in a frenzy but if you have the time it’s best to remove those from
your home completely but if not like just you know unfortunately cutting it
or just putting a tear in it to at least let the wind blow through it and not get
captured is another way to you know reduce the likelihood of damage so
that’s a good tip for the for the screens and the screens aren’t that
expensive to replace no no okay cool so thanks for tuning into our youtube
channel today sold by Stan bruh I hope you learned a lot if you did give us a
thumbs up comment below and consider subscribing to your channel we do new
videos every week all things real estate-related so for buyers sellers and
real estate investors consider this year go to channel 4 real estate

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