Here’s Why You Should Get Comprehensive Car Insurance

Myles Trempe

Nearly every U.S. state requires its drivers to have liability insurance coverage to drive legally. Additional coverage such as comprehensive auto insurance is optional, although it’s highly recommended considering it covers a range of damages that can occur due to events that are out of your control – theft, vandalism, fire, acts of nature, etc. 

If you're shopping for auto insurance or renewing your policy, you may want to consider comprehensive coverage. Producer Myles Trempe discusses what comprehensive insurance helps protect, how it’s different from collision coverage and when drivers should purchase this type of coverage. 

What is comprehensive car insurance? 

Think of comprehensive insurance as coverage for your vehicle in the event it is damaged for just about anything except a collision with another vehicle or object. Comprehensive auto insurance is supplementary, meaning you have the option to add the coverage to your auto insurance policy. While comprehensive coverage is an option, lenders typically require it if you have financed or leased the car. 

What does comprehensive car insurance cover? 

Every auto accident that we see at Wallace & Turner is unique; whether comprehensive insurance covers your accident is determined on that specific scenario. Here is what comprehensive insurance normally covers: theft, fire, vandalism, contact with animals (deer hit), falling or flying objects, hail, windshield damage, windstorms, earthquakes, floods. 

Comprehensive car insurance (CCI) is a coverage that generally applies to scenarios that are out of the control of the insured. Most frequently, windshield replacements from rocks, vehicle theft and animal related damages are our frequent claims. As we are entering late fall in Ohio, we may have one to two deer hit claims a week. Many clients assume this is a collision loss, but it is in fact a comprehensive loss.

How does comprehensive car insurance work? 

The insured must have comprehensive coverage in place on the auto policy at the time of the loss. We recommend vehicle owners to meet with a local, independent agent to review coverages specific to their car. Your policy will specifically list what perils of loss are covered under the comprehensive portion of the contract. Most common coverages are vandalism, theft, fallen objects and fire. 

If you have a loss, accident, etc., contact your insurance representative immediately to file a claim. Depending on whether the scenario results in a comprehensive or collision loss will be determined by the insurance company and their adjuster. If you are not sure which coverage best applies to your vehicle, consult with a local agent for peace of mind. 

What is the difference between comprehensive auto insurance and collision insurance?

Collision insurance would apply if your vehicle hits an object, such as a utility pole. Comprehensive would apply if the utility pole falls on your car in a parking lot. Collision would apply if your car collides with another vehicle, where comprehensive would apply if an animal collides with your vehicle. Comprehensive applies to a vehicle that is vandalized, stolen, or damaged during a fire or natural disaster.

What's your take on the average driver purchasing comprehensive auto insurance?

First, comprehensive coverage is optional as far as your insurer and state government are concerned. Lenders typically require it if you finance or lease a car. Consider comprehensive coverage if you live in an area with greater likelihood of severe weather, vandalism or theft. Some drivers carry comprehensive coverage because they may not be able to replace the vehicle if it was stolen or totaled from a comprehensive peril of loss. Comprehensive insurance is based on the value of your car. If your car’s value is low, your insurance payout in a claim to replace that car will likely also be low. Depending on the premium in which you pay for comprehensive insurance, it may be in fact higher than the payout of your vehicle in a total loss.

As mentioned earlier, comprehensive insurance is supplementary and should be reviewed with an insurance professional if uncertain on the need.  

Questions about comprehensive car insurance or other auto coverage? Contact Wallace & Turner at (937) 324-8492 in Springfield, (937) 652-8492 in Urbana, or info@wtins.com. 

Avoid a Homeowners Claim with Automatic Water Shut-off Devices

No one likes to imagine water damage in their home, but it happens all the time – more than 30% of homeowner claims submitted are due to water damage – and they often lead to inconvenient and expensive repairs. Many water losses can be prevented or mitigated by an automatic water shut-off device that:

• Detects the flow of water through your pipes

• Automatically shuts off the water supply after a pre-determined time

• Provides custom protection with home and away modes

Water shut-off devices can prevent or mitigate damage from:

• Washing machine hose failure

• Sink, bathtub or toilet over-flows

• Ice maker failure

• Water heater leak or failure

• Water supply line failure

• Frozen or leaking pipes

There are two standard types of water shut-off systems: whole-house systems and point-of-use systems. While both can prevent water damage, you should consider a whole-house system as that is generally the only one that will qualify you for a premium credit on your homeowners insurance.

Whole-House Automatic Shut-Off Systems

While not every water loss can be prevented, many water losses could have been prevented or mitigated if an automatic water shut-off device had been installed in the home – automatic being the critical word here. Automatic water shut-off devices provide the best level of protection from water loss. They require no human interaction – they automatically detect a leak and automatically turn off the water to the home when a leak is detected, preventing further ongoing damage.

Whole-house automatic water shut-off systems that detect or prevent water damage from internal plumbing leaks usually are either time/flow-based or sensor-based. Each uses a different technology to detect leaks, and each can be tailored to match the needs, lifestyle and usage patterns of any homeowner. Regardless of whichever system is used, installation should be completed by a licensed plumber.

Point-of-Use Systems

Point-of-use systems are designed to monitor and shut off the water to a single water source such as a toilet, a sink, water heaters, washing machines or an HVAC unit. Single-appliance devices can typically be purchased for $75 to $150.

Assessing Your Water Damage Risk

Almost every home can benefit from the installation of an automatic water shut-off device. It may be especially cost-effective and less disruptive to add a system if your home is under construction or renovation because work is already being done. 

While any home can sustain damage from a water leak, the costs are even higher to a luxury home with high-end interior finishes or those containing fine arts, expensive appliances or other valuable articles.

Consider the water damage risks in your home, and arm yourself with knowledge to prevent the hassle and cost that come with a leak. Visit with your local, independent insurance agent for coverage advice. 

Questions about water shut-off devices and homeowners insurance? Contact Wallace & Turner at (937) 324-8492 in Springfield, (937) 652-8492 in Urbana, or info@wtins.com. 

Patrick Field Recognized with Ridgewood School’s Honorary Alumni Award

Patrick Field

In recognition of his significant contribution of time, effort and resources to Ridgewood School’s welfare, reputation and prestige, partner Patrick Field has been acknowledged with the Honorary Alumni Award. The Board of Trustees of Ridgewood School Association recognized that there are individuals who, although they are not Ridgewood School alumni, provide service, support and loyalty that the school values in its alumni.

As noted by the Board of Trustees, Patrick’s significant role in the development and success of Ridgewood School has enabled the school to enter its second century as an accredited member of the Independent School Association of the Central States in new and renewed facilities.  

How Does Term Life Insurance Work?

Ben Galbreath

Term life insurance is a type of life insurance policy that protects your loved ones in case you pass away while the policy is in effect for a limited time, for example, 30 years. Producer Ben Galbreath discusses how term life insurance works and what you should consider when purchasing coverage.

Why is buying term life insurance important? 

Buying term insurance has many benefits. The top two benefits to an individual are amount of coverage and cost; the cost for term coverage is usually very attractive for the amount of coverage you can buy. When you are starting out in life on your own, you will potentially start making decisions with much higher price tags. These price tags come with conditions or agreements. For example, many individuals do not have the cash on hand to put it all down on a home, condo or other residence. Mortgages come into play. Even if you could buy a home outright, you will incur many costs to maintain the home.

Purchasing term life coverage would help you to withstand the time it would take to build your cash back up and protect your family from unforeseen death of the main income or the secondary income. In the instance of your death, the life coverage would be there for your living family members, and then they have options instead of struggling financially and incurring additional debt. The options can range from taking time off to mourn, paying off debt, going back to school, job training, building a new way of life and childcare if you have kids.

What factors affect the cost of term life insurance? 

The easy factors to establish are the amount of coverage and how long you would like the coverage. However, it gets more complicated when you start the application process. Many factors come into play to establish your rate of insurance. For example, your auto insurance is rated on your specific vehicle and driving experience as well as recent auto claims.

When it comes to life insurance, the company looks at your morbidity table. A morbidity table is a statistical table that shows the proportion of people that are expected to become sick or injured at each age (Collins Dictionary). Term life insurance is not just calculated on your age and sex; insurance carriers will take many different factors into consideration, including height, weight, blood work, medical history, pre-existing conditions, past medical documents and others. 

How should you decide between term life and whole life insurance?

If you were to poll different advisors/life agents this exact question, you would receive many differing views when it comes to term or whole life insurance. Term insurance and whole life coverage serve two very different objectives.

Term, as the name suggests, is coverage that you purchase at an agreed value (death benefit) offered by the company to you for a set number of years (the term) at a set cost. Whole life insures you for as long as you pay the payments. Whole life has many other benefits to it like cash value, growth (depending to the type decline) or other options. Term coverage costs are much lower than whole life coverage in comparison to the same individual. Term rates are established for only a set number of years and at the end of those years, the policy/coverage ends with no cash value to you.  

When you visit your life specialist, they need to look out for your best interest, and how you would like the coverage to benefit you/your family and work alongside your investment plan. Advisors need to evaluate your whole portfolio and create a package best suited for how you invest and what you are looking for at the time of purchasing life insurance. Most individuals choose term coverage due to the cost for the amount of coverage you can buy. Most debt has a term so many individuals purchase the life coverage for the term to cover the debt taken on. Whole life is used more frequently when it comes to business settings, e.g. buy sell agreements, key man coverage and many other benefits for upper management. It is sold as a benefit to the individual.

Questions about life insurance? Contact Wallace & Turner at (937) 324-8492 in Springfield, (937) 652-8492 in Urbana, or info@wtins.com. 

Natural Disasters and the Impact on Your Homeowners Insurance

P.J. Miller

As the climate changes and we continue to see an increase in natural disasters, homeowners may be wondering how this will impact their home insurance coverage and rates. Partner P.J. Miller provides insight on the affordability of insurance in the face of climate change.

With all the natural disasters of late, is homeowners insurance harder to get in high-risk areas for flooding or wildfires?   

Yes. As new business to the insurance carriers or renewals, applications ask the underwriting questions as to those two perils – wildfire and flood.  Flood is somewhat of an exception since it’s NFIP/FEMA-based underwriting but they still analyze location as to proximity of water and also wind velocity. Flood Zones A/AE are subject to significant annual rate increases, typically 25% annually.

Have you found that homeowners are being dropped or getting notice of large rate increases?   

Only in those categories and proximity issues, otherwise, not necessarily widespread non-renewals or large rate increases.

Can homeowners dispute a home insurance rate increase?   

In extreme cases, they might dispute with the State Department of Insurance in their respective state. Insurance rates are filed and approved for Personal Lines in each state, so it would be difficult to dispute and/or overturn a particular home or auto account rate change.

In your experience, are homeowners in non-high-risk areas also seeing increases to partially "bear the brunt" of the losses?   

Rates are trending upward, not necessarily with any significant increase, but wind, for example, is definitely part of the problem. High risk area or not, wind damage to roofs, for example, are always going to occur, even in the low-risk settings.

Any experiences or stories you could share about the topic?    

In Wallace & Turner’s area (Ohio), it’s considered a low to medium wind zone but that doesn’t mean we don’t have any wind claims when a non-significant windstorm rolls through and the average wind claim is $12,000 for a new roof.

What do you advise your clients to do? 

Keep your roof well-maintained or replace as it nears 15 to 25 years of age. 

Questions about homeowners insurance or flood coverage? Contact Wallace & Turner at (937) 324-8492 in Springfield, (937) 652-8492 in Urbana, or info@wtins.com. 

The Basics of Short-Term Disability Insurance – Colleen Corrigan Interviewed by Insure.com

Colleen Corrigan

Short-term disability insurance can be valuable to fill income gaps and cover expenses if you can't temporarily earn employment income. In an interview with Insure.com, Life & Health Agent Colleen Corrigan noted that disability insurance should be a key part of a family’s financial planning.

"The purpose of disability coverage is to financially protect yourself and family when illness or injury occurs. Short-term disability coverage is a great idea for a young, growing family where the concern is replacing income in the event of maternity leave, illness or injury not related to a worksite accident."

Colleen added that that short-term policies also come with exclusion periods. An exclusion period is the waiting period before you can begin to receive benefits after becoming eligible for a short-term disability claim.

"Typically, a benefit begins after 0, 7 or 14 days of being declared unable to work. Make sure your family is prepared to cover household expenses for those exclusion periods," she said.

Whether short-term disability is taxable depends on who pays the premiums. Colleen said it also depends on whether someone pays premiums on a pre-tax or post-tax basis.

"Short-term disability benefits are taxable if your employer pays the premiums. Employers receive a tax break when they pay on behalf of employees. It is a deductible business expense," she commented. “If an employee pays, short-term disability benefits may or may not be taxable depending on whether the employee chooses to make either pre- or post-tax payroll elections.”

Corrigan advised when shopping for a policy, it's essential to read the fine print and consider your financial situation carefully.

"It is imperative an individual or family review any exclusions or preexisting condition clauses of a policy when comparing policy options," she said. "Remember that prices are related to the amount of disability income. When shopping, look at your current expenses and project future expenses to make sure you apply for the appropriate dollar amount."

Read the full Insure.com article.

Questions about short-term disability insurance or health insurance coverage? Contact Wallace & Turner at (937) 324-8492 in Springfield, (937) 652-8492 in Urbana, or info@wtins.com. 

Ben Galbreath Featured in Leadership Clark County Alumni Update

Ben Galbreath

Producer Ben Galbreath spoke with Leadership Clark County (LLC) for their Alumni Update Q&A to discuss how Wallace & Turner and the insurance industry as a whole have adjusted to serving clients during the pandemic. Ben was a member of the 2019-2020 LLC Academy Class, completing a training program with a focus on leadership development, sensitivity to community needs and the history of Clark County. He currently serves on LLC’s Curriculum Committee and is Co-Chair of the Non-Profit and Board Governance Session.

How has your business changed since the pandemic?

Insurance has always been a relational business and that’s why I love the industry – the face-to-face meetings and doing business with a handshake. In these times, we’re maintaining these relationships, but now it’s done with a mask and hand sanitizer! The handshake has moved to a fist bump, elbow or a nod.

The pandemic has changed some things at Wallace & Turner. Initially, our staff began working from home per the State order, and we had to limit in-person meetings unless absolutely necessary. Now that we are back in the office, our staff is diligently cleaning and wearing masks to respect coworkers, and client meetings are held outside with masks on. We want to keep things moving for clients while protecting them. I have been meeting with clients to help them with cost savings and ways to adjust during the pandemic.

Which changes have worked and which have not? 

What has worked for us is that we used phone, Zoom and outdoor meetings to remain open throughout the pandemic in order to serve our clients. Our in-house claims department has not skipped a beat as we work to comfort and assist clients in the event of unforeseen claims. We offer a variety of ways for customers to pay their premiums without coming into the office, so that wasn’t an issue.

Fortunately, I can’t think of anything that hasn’t worked. We had a solid disaster plan in place that allowed us to transition seamlessly with no interruption to customers. We did not miss a call from any of our clients due to paying a bill, policy change and/or a claim. 

Despite everyone being impacted by the pandemic and having to adjust, the community banded together to keep Springfield moving forward. Wallace & Turner appreciates our clients’ flexibility during these challenging times, and we are proud that we’ve been able to maintain consistent service for them.

How has your LLC experience helped you during this time?

My leadership experience helped me to leverage my relationships and connect certain clients to services that remained open and could help them. It was also encouraging to see other class members growing and working hard to serve our great community.

Is Your Home Insured for Fall Weather Hazards? – Myles Trempe Interviewed by Reviews.com

Myles Trempe

With the change of seasons, insurance agencies typically witness a host of new property claims. Many homeowners have yet to safeguard their homes for colder weather. Producer Myles Trempe spoke with Reviews.com about how to best prepare for this fall’s seasonal threats.

Myles advises prioritizing the structural foundation of your home for fall preparations. “Repair caulk around doors and windows that may be showing deterioration.”

He added: “Keep fire extinguishers accessible, charged and ready for use. Test all smoke detectors monthly and change the battery annually or as needed.”

At the end of the day, Myles recommends you talk to your home insurance agent. “It is important to have a consultation with a local insurance agent to discuss potential fall risks,” he says. “It is also important to be aware of any exclusions your policy might have. For example, most standard homeowners policies will cover damage caused by hurricanes except for flood damage. Flood insurance is a separate policy that would need to be purchased if you have a greater exposure for flood.”

Read the full Reviews.com article.

Questions about homeowners insurance coverage? Contact Wallace & Turner at (937) 324-8492 in Springfield, (937) 652-8492 in Urbana, or info@wtins.com. 

Vote to Help On-The-Rise Win $3,000 - Wallace & Turner Named Liberty Mutual/Safeco Change Agent Finalist

We are thrilled to announce that we've been named a Liberty Mutual Insurance and Safeco Insurance Change Agents finalist for our volunteer work with On-The-Rise! Change Agents recognizes volunteer efforts of all sizes through awareness raising in five cause areas and awards nonprofit donations up to $3,000.

Please help us win $3,000 for On-The-Rise by voting from October 5 – 9 here:

https://www.agentgiving.com/wallace-turner 

On-The-Rise is a uniquely structured farm program that serves at-risk youth, ages 10 – 14, throughout Clark County. This year-round program helps students work on their goals during the school year and helps them continue progressing during the summer. On-The-Rise works to develop the life skills, social skills, and employment skills of youth. Students learn responsibility by caring for goats and chickens, doing farm chores, and running the brown egg business while also enhancing their academic abilities by working with tutors on areas of struggle.

A New Role for Critical-Illness Insurance in the Coronavirus Era – Colleen Corrigan Provides Insight to Society for Human Resource Management

Colleen Corrigan - Life & Health Agent

As the COVID-19 pandemic continues, employers and employees should consider the role critical-illness insurance can play in an effective employee benefits package. Critical-illness policies issued before the pandemic struck may pay benefits for conditions the virus causes (e.g., major organ failure, heart attack or stroke) rather than for the virus itself—unless the policy specifically covers infectious diseases.

Critical-illness insurance can be added without cost to employers and offered on a voluntary basis. Premiums have remained steady and even decreased over the past ten years, Life & Health Insurance Agent, Colleen Corrigan, told the Society for Human Resource Management. “Rates in Ohio, for example, can be as low as $10 per month,” she said. Experience in the market has helped to keep costs from climbing.

Click here to read the full article (subscription may be required).

Questions about health insurance coverage? Contact Wallace & Turner at (937) 324-8492 in Springfield, (937) 652-8492 in Urbana, or info@wtins.com. 

4 Tips for Purchasing Renters Insurance

Myles Trempe

The advantage of renting an apartment or home is that your landlord is responsible for insuring the building and taking on the cost of making repairs. But as a tenant, you should know that your landlord won’t cover everything. If your possessions are destroyed in a storm or fire, or items are stolen in a burglary, your landlord’s insurance won’t pay to replace your belongings. Renters insurance can help protect you financially in the instance of a disaster or other loss.

Below are a few tips if you are purchasing renters insurance for the first time.

1. Talk with an insurance agent. An agent can help advise on policy language, coverage offerings, exclusions and financial information pertaining to the insurance company you may be working with. Most renters insurance policies typically offer similar coverages and an agent can speak on firsthand knowledge of which coverages may best fit your situation and budget. Down the road, the client/agent relationship allows for a more comfortable transaction if a claim or peril presents itself.

2. Understand what your policy covers and does not cover. Many tenants assume it is the responsibility of the landlord to protect their property if something happens to the building. This is not the case and the reason why you need renters insurance. Renters insurance covers most specifically your personal property (your belongings) and your personal liability. It is always important to take inventory and have an idea of how much contents coverage you should have if a loss destroyed it all. With personal property coverage, your agent should explain if those contents are covered on replacement cost or actual cash value. Actual cash value policies are generally less expensive, but your personal property is depreciated, therefore, leaving you unable to replace some items.

3. Be aware of your personal liability exposures. Talk with your agent regarding which limit of liability should be on the policy. Many policies have exclusions to personal liability as well; review those exclusions with your agent to make certain you have coverage if the claim arises. For example, certain dog breeds are excluded for liability if a dog bite occurs. If you have a dog or plan to purchase/adopt one, make that call to your agent. 

4. Be aware of what is excluded. Floods and earthquakes are not covered by your renters policy. Depending on where you live, these are two coverages that you may want to have as well. An agent can add those specific coverages to your policy for additional cost, but also additional peace of mind. 

When you purchase renters insurance, your hope is that you will never need to use it. If the day comes and you do, that relationship you built with your agent will make the process all the better. Depending on the claim and its severity, you should always make your landlord aware, contact the police if necessary, call your agent, document your loss (what belongings were damaged), and be available to the company and agent. Realize the more quickly you file your claim and more thoroughly you document, the faster the claim will be processed.

When you call your agent, be ready to provide your policy number and all the information you currently have about the incident. Your agent can verify the time limit for filing your claim, your coverage, and whether the amount of your claim will be higher than your deductible.

Questions about renters insurance coverage? Contact Wallace & Turner at (937) 324-8492 in Springfield, (937) 652-8492 in Urbana, or info@wtins.com. 

Insurance for Riots and Looting – P.J. Miller Interviewed by Forbes

P.J. Miller

Many small businesses have seen damage and looting over the past months. The reality of trying to rebuild and reestablish operations has become a major hardship, and financial pressures pushed some to reduce their coverage.

In an interview with Forbes, partner P.J. Miller noted that some business owners called to review their insurance during the pandemic shutdown, however, without the proper coverage, business owners may fall short of what is needed to resume operations.

If the cuts included business interruption insurance and, on reopening, the company found itself in a riot, that could be a problem. Time out of business means lost revenue. No coverage, no money coming in when it’s impossible to operate.

Many small businesses opt for 30, 60, or 90 days of interruption insurance, P.J. said. However, serious damage could push recovery times far past those limits.

Read the full Forbes article.

Questions about business insurance coverage? Contact Wallace & Turner at (937) 324-8492 in Springfield, (937) 652-8492 in Urbana, or info@wtins.com. 

150 Years of Insurance Services in Springfield – Wallace & Turner Profiled in Independent Agent Magazine

Lisa Miller, P.J. Miller, Patrick Field

With 150 years of doing business in Springfield, Ohio and beyond, Wallace & Turner serves its community through far more than insurance. 

“Take care of the community, and they'll take care of you," said Patrick Field, partner and third-generation team member. 

Partner and vice president P.J. Miller started in the industry working for his father's agency, which was acquired by Wallace & Turner. He and Lisa Miller, operations and commercial lines manager, are married and have the insurance industry to thank for the beginning of their love story. 

“We have great relationships not only with companies but with our customers. People know who we are, that we can get the job done, and that they can rely on us,” commented Lisa Miller, Operations Manager and Commercial Lines Account Manager.

“An aspect that makes Wallace & Turner unique is using an agency bill as opposed to a direct bill. Clients come in to discuss their insurance and bill, and that leads to interactions and relationship-building. It's almost unheard of these days to have an agency bill, but there's a long history of it here,” said P.J. 

Patrick added: “Both P.J. and I were raised in philanthropic families, and that's continued at Wallace & Turner. We represent most of the nonprofits in our area. Both personally and corporately, we are all very involved in our community.” 

Read the full Independent Agent article.

Learn more about our 150th anniversary.

Calendar Photo Contest – Deadline September 30

Want your original photo to be featured in the Wallace & Turner 2021 calendar? Submit a high resolution image taken in Clark or Champaign County and we’ll pick our favorites for each month of the year. Please read the guidelines below and good luck! 

The deadline for submission is September 30, 2020. Please submit to bethmillerpr@gmail.com with subject line “WT Calendar Submission.” 

• You may submit as many photos as you’d like for consideration.

• Photos must be high resolution and landscape (not portrait). Most cell phone photos should be fine; do not reduce the size when you submit the photo.

• Please include a caption with the photo describing where the photo was taken and/or what is taking place in the photo.

• Photos with signatures, watermarks or logos are not permitted.

• By submitting the image to Wallace & Turner, you warrant that:

  • You are the sole copyright owner and creator of the photo(s).

  • Any person depicted in the photograph has granted permission to be portrayed as shown, and has the right to grant that permission.

  • The photo does not infringe upon the copyrights, trademarks, contract rights, or any other intellectual property rights of any third person or entity, or violate any person’s rights of privacy or publicity.

• Any photo used by Wallace & Turner shall carry a credit line of the photographer.

• All entrants agree that all photo(s) submitted to the competition may be reproduced (with photo copyright credit) and used to conduct and promote Wallace & Turner’s calendar competition on our website, social media and other platforms. You hereby grant Wallace & Turner with the right to use submitted photographs in the framework of such promotional activities.

• Wallace & Turner will contact winners via the email address that submitted the photo. We also plan to announce the winners on social media.

9 Must-Have Types of Insurance Policies

Raise your hand if you like paying for insurance. We’re guessing not many hands are up. Insurance is tricky because it’s an intangible product, but it’s also security in the instance you suffer a financial loss. Now raise your hand if you would be able to come out of pocket to pay for your totaled car and personal injuries, if your house burned down in a fire, or if someone hacked into your computer and stole $10,000 from your bank account. Again, it’s likely not many hands are up. Paying a nominal amount now for insurance, can save you a lot in the long-run and even prevent you from financial ruin.

While there are a range of insurance coverage options that may be needed based on your individual situation, we’ve broken down the nine must-have policies.

1. Auto Insurance

2. Homeowners/Renters Insurance

3. Flood Insurance

4. Umbrella Policy

5. Health Insurance

6. Long-Term Disability Insurance

7. Term Life Insurance

8. Long-Term Care Insurance

9. Identity Theft Protection

Auto Insurance

According to the Insurance Information Institute, the average loss per claim on cars is around $4,900. That’s a substantial amount of money to pay if you don’t have car insurance coverage.

We should also point out that it’s illegal to drive uninsured, so at a minimum, you need to follow Ohio’s (or your state’s) insurance requirements.

In Ohio, the state requires drivers to purchase Bodily Injury Liability Coverage as well as Property Damage Liability Coverage. The required minimum for Bodily Injury Liability Coverage is currently $25,000 per person injured in any one accident and $50,000 for all persons injured in any one accident. The required minimum for Property Damage Liability Coverage is $25,000 for injury to or destruction of property of others in any one accident.

Keep in mind that the above is the minimum required, and you should consider what you may have to lose if you cause an accident. If you don’t have adequate auto insurance coverage, the victim may take any of your assets to cover the cost of damages. It’s best to talk with your independent insurance agent to determine the level of coverage you should have to protect yourself.

Homeowners and Renters Insurance

Ohio is the 24th least expensive state in the country for home insurance. A standard homeowners policy includes coverage for:

• Dwelling: This pertains to the cost of repairing or rebuilding your home in the event of a loss caused by a covered peril such as wind, hail, lightning or fire.

• Liability: If you're sued by a visitor in your home following an accident, this will cover legal expenses whether you’re found responsible or not. In certain situations, it may help cover damages that stem from an accident that happens when you're away from home. Liability will also cover costs for damage to your neighbor’s property.

• Medical payments: If a guest in your home or on your property is injured, this will help pay for their medical expenses.

If you’re a renter, it’s important to purchase insurance to cover your belongings if they are lost in a fire, burglary or other disaster, and never assume your property or expenses will be protected by your landlord’s insurance. Renters insurance can also extend to personal belongings stolen or damaged from your car, or even a storage unit you rent.

The amount and type of homeowners or renters coverage you need will depend on the value of your home, personal property, unique or expensive items, and personal liability to determine the right policy.

Flood Insurance

Flooding is the largest natural catastrophe, and largest single event natural catastrophe, that ever occurs. Two-thirds of flood activity occurs in areas that are not high flood zones, i.e. it's flooding in places that may have never flooded before. Moreover, it’s reported that only seven percent of homeowners have flood insurance! It can take only an inch of water to cause thousands of dollars in damage to your home.  

Floods are not covered in homeowners or renters insurance, but anyone can get coverage as a supplement to their policy. 

Personal Umbrella Insurance

An umbrella policy covers claims in excess of your homeowners or auto insurance coverage. It’s an added layer of protection if you cause injury or damage to another person or their property.

For example, if you run a red light and cause a multi-vehicle accident, the cost of car repairs and medical expenses, not to mention any lawsuits you may face, could quickly add up well beyond your auto coverage. Without an umbrella policy, your assets, including your home and future wages, could be used to pay for the losses. This is a scary thought for most. Ask your insurance agent about increasing your liability coverage with a personal umbrella policy to safeguard you and your family.

Health Insurance

As reported by CNBC in 2019, 66.5 percent of all bankruptcies were tied to medical issues —either because of high costs for care or time out of work. An estimated 530,000 families turn to bankruptcy each year because of medical issues and bills, research found. It’s evident that most families don’t have enough saved for a simple emergency, let alone thousands of dollars in unexpected medical costs.

Even if you are healthy or don’t visit the doctor often, it’s critical to have some level of health insurance in place, otherwise, you’re leaving yourself exposed to potential financial catastrophe. At a minimum, consider a high-deductible plan where you pay more up-front medical costs, but have a lower monthly premium. 

Long-Term Disability Insurance

No one anticipates a life-impacting injury or illness happening to them. Unfortunately, the U.S. Social Security Administration says that approximately one in four 20-year-olds will become disabled before they retire. That’s a scary statistic, but by purchasing long-term disability insurance (LTD), you can protect yourself and your family if you’re unable to work for several years or even decades.

If your employer doesn’t offer an LTD policy, you can take out a supplemental policy. Expect to undergo a medical exam and be aware that any pre-existing conditions you have, could affect your coverage. The more complex your health history is, the longer it could take to approve coverage.

Term Life Insurance

If you have a spouse and/or children that depend on you financially or your death would be a financial burden for them, purchase a term life insurance policy. This type of policy guarantees payment if the covered person dies during a specified term – typically 10, 20 or 30 years. If the policy expires before your death, there is no payout. The policyholder can then choose to renew for another term, convert to permanent coverage or simply terminate the policy.

In comparison to permanent life coverage, term life insurance is less expensive but has no cash value or savings component. Term life premiums are based on a person’s age, health, and life expectancy. 

Long-Term Care Insurance

The U.S. Department of Health and Human Services reports that 70 percent of those turning age 65 today will need some type of long-term care, e.g. nursing home, assisted living or in-home care. Long-term care will cost you $140,000 on average if you pay out of pocket. These expenses will quickly deplete the savings of most individuals and/or their family.

Don’t think that you can rely on Medicare to cover long-term care costs – it doesn’t. Medicaid, the government’s program for people who don’t have money to cover these costs, isn’t a reliable fallback either. Throughout the U.S., doctors are reducing the number of Medicaid patients they accept.

Long-term care policies can be expensive and complex. Be sure to work with an insurance professional that can explain your options and help you find the best price based on your particular situation, age, health, etc. 

Identity Theft Insurance

Victims of identity theft may face lower credit scores, difficulty obtaining credit or loans, and even finding employment. This is an especially stressful and frustrating situation that can take months or years to recover from. Your homeowners or renters policy provides limited coverage for loss of this nature, so it’s smart to protect yourself with a dedicated policy.

An identity theft policy is designed to help victims recoup costs related to reclaiming their financial identities and repairing credit reports. This can include replacing documents such as a driver’s license and passport, notarizing affidavits, obtaining credit reports or paying for fees charged by an attorney for necessary legal action. 

Questions about insurance coverage? Contact Wallace & Turner at (937) 324-8492 in Springfield, (937) 652-8492 in Urbana, or info@wtins.com. 

Empty Bowls Virtual Fundraiser – Wallace & Turner Sponsors Second Harvest Food Bank Event to Help Fight Hunger

The Second Harvest Food Bank of Clark, Champaign and Logan Counties annual Empty Bowls fundraiser is going virtual! From September 24th - October 1st, the online store will offer beautifully crafted individual and sets of bowls, an opportunity to donate and raffle tickets with the chance to win a really great monthly subscription box. Wallace & Turner is proud to sponsor this event to help fight food insecurities in our community.

SHOP HERE: https://www.theshfb.org/shop

5 Ways to Save on Car Insurance – P.J. Miller Interviewed by CNET

P.J. Miller

One of the consequences of the COVID-19 pandemic has been a dramatic reduction in transportation of all kinds. Many insurers are taking a proactive stance and reducing premiums and offering discounts for car insurance. Now is a good time to take a look at your auto insurance policy to determine if you have the right coverage and if you could be saving money. 

“Insurance carriers recognize that this is a difficult time, and in response, many have offered a credit, refund, premium adjustment or premium reduction, for a current and specified time period,” said partner P.J. Miller.

Some discounts and offers were delivered automatically to policyholders, but it's worth double-checking to make sure you received all available help. 

Read the full CNET article to learn additional ways you can save on auto insurance.

Questions about car insurance coverage? Contact Wallace & Turner at (937) 324-8492 in Springfield, (937) 652-8492 in Urbana, or info@wtins.com.

What Medicare covers and what it doesn’t? – Colleen Corrigan discusses with Insure.com

Colleen Corrigan

Medicare has multiple parts, coverage, rules and choices. What Medicare covers and what it doesn’t can be confusing. 

Life & Health Agent, Colleen Corrigan, spoke with Insure.com to discuss Medicare Parts A, B, C, and D, and how you can make a more informed decision about your options. 

What does Medicare Part A cover and not cover? 

Part A covers inpatient hospital, hospice and home health care. And it helps pay a stay in a skilled nursing facility like a nursing home, but only for up to 100 days.

As long as someone or their spouse has worked and paid taxes for 40 quarters, or 10 years, they will receive Medicare Part A at no charge.

“Otherwise, you could pay a premium as high as $458 a month,” said Colleen. 

What does Medicare Part B cover and not cover? 

Part B will pay for doctor visits, lab tests, diagnostic screening, mental health, outpatient care at hospitals and clinics, emergency care, durable medical equipment and associated expenses. But first, you have to pay a $198 annual deductible.

"After the deductible is met, you typically pay 20% of the Medicare-approved amount," Colleen commented.

Part B also carries a monthly premium.

What does Medicare Part C (Medicare Advantage) cover and not cover?

Medicare Advantage plans are typically structured as either a health maintenance organization (HMO) or preferred provider organization (PPO) plan. Medicare Advantage plans have a maximum out-of-pocket cost of $6,700 for in-network services, but this amount doesn’t include prescription drug costs. Most Medicare Advantage plans include prescription drug coverage.

What does Medicare Part D cover and not cover?

Part D, a prescription drug plan, is available separately if you're enrolled in Parts A and/or B. Part D plans are provided via private companies.

Your deductible can range from $0 to $435; once that amount is reached, you pay a copay or coinsurance for each medication. If what you've paid out of pocket for drugs plus what your Part D plan has paid totals $4,020, your out-of-pocket amount equates to 25% of the prescription cost. This period is called the coverage gap "donut hole," when brand-name prescriptions can get pricey.

Part D doesn’t cover:

• Over-the-counter drugs

• Drugs sold outside of the United States

• Drugs not approved by the Food and Drug Administration

• Drugs not used for a medically accepted reason

Medigap plans can help Original Medicare beneficiaries 

If you have Original Medicare, you may want to look into a Medigap plan to help pay for your care.

"Medigap fills in the gaps that Original Medicare does not pay for," said Colleen. "For instance, when you visit the doctor, Parts A and B will only pay for its part of the covered costs. But a Medigap plan will pick up at least some of the remaining medical cost."

Read the full article at Insure.com.

Questions about Medicare or other health insurance coverage? Contact Wallace & Turner at (937) 324-8492 in Springfield, (937) 652-8492 in Urbana, or info@wtins.com.

Why Are Insurance Policies Impossible To Read? – Forbes Interviews P.J. Miller

P.J. Miller

Many policyholders believe insurance contracts are a nearly impossible-to-solve puzzle for the average person. So, what makes them so hard to understand?

An insurance policy is a legal document that has to hold up in court. That’s why you see lots of legalese and specialized terms in an insurance contract.

“Simple language opens things up to ambiguity,” said partner P.J. Miller. “And ambiguous contracts are prone to be torn apart by attorneys. In court, ambiguous policy language can work in favor of the consumer.”

Miller added: “Years ago, insurance contracts were easier to understand. But over time, new laws, regulations, court cases and differing opinions started to add complexity to the contracts.”

In other words, insurance contracts are complicated because they have to cover all their bases in case of a lawsuit or a large claim. Increased regulation has pushed insurance companies to make the contracts denser, making them difficult to read for the average policyholder.

Before you pay for any insurance policy, be sure to take the time to read and understand it. Get help if needed, so that you know what coverage you are—and aren’t—paying for. 

Read the full Forbes article.

Questions about purchasing an insurance policy, or understanding your current one? Contact Wallace & Turner at (937) 324-8492 in Springfield, (937) 652-8492 in Urbana, or info@wtins.com.

Ohio insurance agency marks 150th anniversary; lauds local community – Wallace & Turner featured in Insurance Business America

Patrick Field

Partners Patrick Field and P.J. Miller were interviewed by Insurance Business America to discuss the agency reaching the 150-year milestone, an accomplishment few independent insurance agencies can tout. As noted in the article, Wallace & Turner has solidified itself as a hallmark business in Springfield, enjoying decades of community involvement and growth.

P.J. Miller

“The agency has a long history of being very active and supportive in the local community, both in terms of dollars and in terms of time,” Patrick told Insurance Business. “I was raised on the theory that Wallace & Turner will only do as well as the community it works and does business in. Anything we can do to help the community certainly helps us as well. Most of our people currently sit on a local non-profit board or have sat on a non-profit board in the past, and we certainly encourage all employees to get involved in local community initiatives.”

Wallace & Turner’s community-centric culture has been critical in the agency’s long lifespan. P.J. explained: “A lot of our clients are good friends of ours, and a lot of them have been with us for 30, 40, 50, even 60-years. Just as Patrick and I are generationally involved with Wallace & Turner, so are a lot of our clients. It’s been really exciting to watch our local clients transition, like us, through time and generation.” 

The Ohio agency’s 150th anniversary is even more impressive considering the huge uptick in agency consolidation over the past few years. Given the agency’s strong financial stability, consistency in service, range of products (the agency is approximately 50:50 for personal and commercial lines, with a separate life & health department), and its consistent clientele, it could be considered a prime target for acquisition. However, both Field and Miller said this is not on the cards. 

“[L]ocal servicing doesn’t exactly fit the big broker business model. The people here expect local service, they expect camaraderie, and they expect friendship – all things we’ve been able to provide at Wallace & Turner,” Patrick said.

Read the full Insurance Business America article.