Out of the blue, my mother-in-law asked me about insurance.
My father, brother, and I all work in the financial sector, so it’s not uncommon for my wife’s family to seek my input on any number of things (off the record).
- Should I put money into a certificate for Christmas?
- Is it worth it for me to draft a will?
- Which loan would you pay off first?
- How much do you budget for auto repairs?
I appreciate that they trust my judgment. My advice is usually well-founded thanks to my experience at Visions – and they generally seem happy with their finances as a result. Especially my mother-in-law.
Sure, she could easily Google an answer – unaware of whether the AI-derived answer will have any merit – but this seems to be one way we keep on friendly terms. And this month, she can’t stop thanking me.
“You know the recent hailstorm we had…”
Over the summer, her home took a hit from heavy winds, 1-inch hail, and a tree branch landing on her roof.
I remember the next day, she seemed unfazed by the damage to her house compared to how loud and intense the storm seemed. Then about ten days later, she called with her question, “Do you think it’s worth it to submit an insurance claim?”
Even prior to the storm, the house wasn’t in great condition and already primed for home improvement. For the last couple of years, she has been saving for several renovations including a patchwork of repairs for her siding and gutters as well as interior projects.
She explained, “The only parts that got damaged were a small section of old siding and one of my gutters. When I spoke to my handyman Dave, he said it’s probably only $1,500 altogether to repair.”
I hesitated, to be sure, because I am not an insurance expert. I’m newly a homeowner and have never needed to file an insurance claim for my house, for any previous rentals, or even for my car.
“Touch base with your agent.”
After the moment of consideration, my response to her was a total guess, “I’d get in touch with your insurance agency to ask about your deductible. Even if your deductible is $2,000, their damage assessment might make it worthwhile. Plus, you’d want to report those numbers toward your deductible in case you get hit with another storm later this year.”
If I ever don’t have an answer that I can stand behind, I will always defer to the experts. In this case, it worked out. She reached out to her insurance agency and…
- I was right about the insurance assessment. Her deductible was $1,200 for damages due to wind and hail from “unnamed” storms, and the damage assessment was a whopping $6,500.
- I was wrong about reporting the numbers in case there’s another storm. Homeowner’s insurance deductibles are not like medical insurance deductibles. Whereas medical insurance claims add up to the deductible in aggregate, homeowner’s insurance claims have a deductible per claim.
Fortunately, her insurance agency assessed the claim for a higher payout than her deductible – and much higher than her contractor’s quote for the repairs!
After getting her exterior and interior projects completed, she has another $2,500 remaining. Believe it or not, she’s putting those funds aside into our vacation fund for a family trip we have planned for next year. What would you do with the extra cash?
Would you have filed the claim?
Quality insurance agents will be there for you when you need them most. In many cases, filing a claim is simple. It may be as easy as using an online portal or mobile app to submit your information. Beyond that, your insurance agency should offer the support you need, look out for your best interest, and point you in the right direction after events like a hailstorm.
Pick an insurance policy and plan provider that give you peace of mind. Insurance agents – such as our insurance partners – can discuss the details of your coverage, answer questions about covered events, and help you understand how your premiums cover your home – ultimately, helping to protect your financial well-being.
-JMS
