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College students, you need coverage on your personal possessions.
Registering for classes, buying books and moving away from home are typical worries the college bound face each year. Today, students must also add theft to their list of worries.
Theft is the number one crime on college campuses.
A 1996 survey by the Chronicle of Higher Education reported 15,202 acts of burglary at 489 colleges and universities with students of 5000 or more.
If you fall victim to burglary, having adequate insurance can lessen the blow. For students who live in dorms, their personal possessions are insured under their parents homeowners policy. New coeds should consult their parent's insurance agent to guarantee that expensive computers, televisions and stereos are fully covered.
Upperclassmen that move off campus are no longer covered by their parents homeowners insurance. These students need to purchase a renters insurance policy to cover their belongings.
The New York Insurance Association offers the following advice to guard against theft on college campuses:
Always lock your doors. If you are going down the hall to the bathroom or to chat with friends, lock your door and keep your keys with you at all times.
Leave expensive jewelry at home. Do not risk losing fine jewelry or other sentimental items to a thief.
Engrave electronic items. Computer, televisions and stereos should be engraved with your driver's license number and the state in which you live. This will help police track stolen articles.
Don't leave belongings unattended on campus. A book bag left unguarded in the library is a quick, easy target for thieves.
Remember, students who take precautions won't go through the "the school of hard knocks." By being safety conscious and getting the proper insurance, you'll be strolling down the halls of learning with confidence.
This article was provided by Bernard Bourdeau, President of NYIA. The New York Insurance Association (NYIA) is a trade association of property/casualty insurance companies which provide insurance coverage for homes and business throughout New York State. Fulmont Mutual Insurance Company is a member of this trade association.
Fulmont Mutual and Y2K: We are ready!!!
From all of the media coverage, you are probably aware of the potential problems the Year 2000 date change could have on computers and computer programs. Some computer hardware and software are programmed to accept two digit dates such as "98" standing for 1998, therefore "00" would be recognized as 1900 instead of the Year 2000. This could affect license renewals, loan billings and payments received, and medical equipment. In fact, wherever there is a computer, there could be a problem. Fortunately, there has been an active campaign by the media and Federal and State governments to ensure that all organizations are addressing and correcting the Y2K problem. Hopefully, most companies will be in compliance. For the past two years, FULMONT MUTUAL INSURANCE COMPANY has been addressing the Y2K problem, and we are pleased to announce that we are Y2K compliant.
Insurance Companies have an additional problem to face - namely the potential claims for recovery under an insurance policy for improperly programmed computers that may crash before or after the year 2000. Such losses are not covered under our insurance policies. We are restating this intent in an endorsement that will attach to all of our insurance policies. Please review "The Calendar Date Exclusion" form below.
Refer to Supplemental Declarations if information is not shown on this form. The amended policy coverage provided under this endorsement is subject to the terms contained in the General Policy provisions.
What we do not pay for:
The EXCLUSIONS section of your
policy is amended by the following addition:
Fulmont celebrates 145th - Meet the oldest agent
This year (1998) Fulmont Mutual celebrated its 145th anniversary. The Kinowski Agency, Inc. was the first non-Director Agent appointed to represent our Company in 1970. Prior to this date, our policyholders were serviced by "Director Agents" of the Company.
In the spirit of things, the staff dressed in period costumes to honor our anniversary of 145 years in business. Pictured from left to right are Catharine Levee, Mike Kinowski and Debbie Binon.
The Kinowski Agency, Inc. of Amsterdam, New York was established in 1956 by Edward Kinowski. His son, Mike Kinowski, joined the business in 1970, and opened their branch office in Johnstown in 1980.
The Kinowski Agency, Inc. branch is located in historic downtown Johnstown, New York. Catharine Levee, Customer Service Representative, and her husband, City Historian Noel Levee are very active in local historical activities in Johnstown.
Contact the Kinowski Agency, Inc. at 108 North Perry Street Johnstown, NY 12095 or phone (518)762-0211.
Planning a garage sale? Check insurance before someone gets hurt!
Announcements of yard and garage sales are sprinting up all over. Yard and garage sales are an excellent way for homeowners to clean out the attic, garage or basement and make some extra money at the same time. However, the possibility of someone getting hurt while browsing through your belongings should not be ignored.
We recommend that you check your homeowners policy before having a garage sale to make sure you have adequate liability protection. We live in a highly litigious society; therefore you should take reasonable care to reduce the chance of an accident on your property and purchase enough liability protection to protect your assets.
Before the yard sale begins, you should conduct a dry run to determine any unforeseen dangers. Look for garden hoses or other items that someone may trip on. Also make sure that the sale items are arranged so that there is plenty of room for browsers to move comfortably.
Generally most homeowner policies include $100,000 to $200,000 of liability protection. If you want additional protection, you can raise the liability limit or you can purchase an umbrella policy. For an additional $200 to $300 you can get a million dollar umbrella liability limit. An umbrella policy would provide broader coverage and would also provide protection when you drive a car.
If your garage sale turns into a regular, scheduled, profit-making event, you may need to purchase business liability insurance since most homeowners policies don't provide coverage for a business pursuit.
Your homeowner policy also might not apply if you sell your belongings at a local flea market. Before deciding to sell your wares in this manner, talk to the organizers of the flea market to see what type of protection that they have bought.
If you have any questions regarding your insurance needs, call your insurance agent, broker or company representative.
This article was provided by Bernard Bourdeau, President of NYIA. The New York Insurance Association (NYIA) is a trade association of property/casualty insurance companies which provide insurance coverage for autos, homes and business throughout New York State. Fulmont Mutual Insurance Company is a member of this trade association.
Catastrophe Reinsurance - As An Insured You Help Pay The Bill!!!!!
Just as individuals and businesses buy insurance to protect their assets - Insurance companies buy reinsurance to protect their bottom line. Reinsurance is sold by a reinsurance company in layers, and one of those layers is Catastrophe reinsurance - better known in the insurance field as a "cat cover".
A "cat cover" is purchased to provide loss coverage to an insurance company during a disaster arising out of one event. We usually think of this event as a natural disaster such as hurricane, tornado, flooding, earthquake or the recent ice storm occurring in Northern NY and Canada.. However there could be other catastrophic events that are man made such as riot, civil commotion, vandalism, and arson.
Prior to purchasing a "cat cover" the insurance company must go through a calculation to determine the maximum probable loss in any one area. This is accomplished through demographic policy data by geographic area. For the purpose of an example lets say the maximum probable loss is $3,000,000. Next the company will determine how much risk they are willing to take - this is also referred to as the attaching point. If a company has an attaching point of $500,000, the reinsurance will start paying after $500,000 in net losses is paid by the company.
Now that we have determined our maximum probable loss to be 3,000,000, we subtract the attaching point of $500,000 which leaves a balance of $2,500,000 as the amount of the "cat cover" reinsurance we will need to purchase. Next we have to determine how much we will share in the payment over $500,000. This is kind of like a deductible as the reinsurer wants the company to share payment in a catastrophic situation. For this example we have chosen a 10% contributing payment over the $500,000. attaching point.
To complete our example lets assume the insurance company had a winter storm event with the total loss damages to be paid of 2,000,000. The insurance company would pay the first $500,000. attaching point, they would also pay 10% of the $1,500,000. over the attaching point amounting to $150,000. The end result is the insurance company would pay a total of $650,000, and the reinsurance company would pay a total of $950,000.
The "cat cover" is good for only one event. Using our example above we would have to reinstate $950,000 in reinsurance coverage at an additional reinsurance premium.
The pricing for catastrophic reinsurance is predicated on the Insurance industry experience through loss dollars paid out m disasters. With the number of national disasters in the past few years an insurance company that was paying 10% per dollar of coverage may very well be paying 30% per dollar of coverage now.
In turn the cost of these disasters is passed on to you the policyholder. Because of the number of national disasters many large insurance companies have had to increase their insurance premiums to offset the boost in reinsurance "cat covers".
There is now a shortage of catastrophe reinsurance capacity, particularly for the large insurance companies. This has prompted insurers to look for new ways to spread the risk.
How do I decide on how much insurance coverage I need on my dwelling? Do I include the value of my land in the coverage amount?
The amount of insurance coverage needed for a dwelling should be based on the type of loss settlement provision on your policy. Fulmont Mutual Insurance Company offers two types of loss settlement provisions in our policies, Replacement Cost or Actual Cash Value. If you choose to insure your dwelling to Replacement Cost, it is based on the cost to rebuild a dwelling of like kind and quality. We have a Replacement Cost estimator form to be completed to determine the value. Your dwelling must be insured to at least 80% of the replacement cost at the time of a loss in order to have your claim adjusted under the Replacement Cost provision. If you are not insured to 8 minimum of 80% at the time of a 1088, your claims will be adjusted under the Actual Cash Value provision. The Actual Cash Value provision states we pay either the Actual Cash Value of the damaged part of the building, or a proportion of the replacement cost of the damaged part as it bears to the 80% replacement cost of the building, whichever is less.
You do not include the value of your land when computing the Replacement Cost or Actual Cash Value of your dwelling.
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