| Automobile F.A.Q.'s | Boat F.A.Q.'s | E-Mail Us |
Frequently Asked Questions
Homeowner Insurance
What is replacement cost coverage and how is it paid in the event of a loss?
What steps can I take to reduce my homeowner insurance premiums?
What does it mean if I have a windstorm deductible on my homeowner policy?
How much should I insure my valuable property for? (rings, furs, antiques, artwork, guns, silver)
Does my policy cover my possessions even when I go on vacation?
I rented out my house/basement, Are my tenants covered by my homeowners policy?
Is our vacation home covered on our primary homeowner policy?
Is my shed or detached garage covered under my homeowner policy?
My child is away at college. Is there coverage for his/her property under my homeowners?
Q: Is my home covered in the event of a flood?
- A: - No, flood and earthquakes are not covered under a homeowner policy. Both of these coverages can be purchased separately. Please contact us for a quote. /back to F.A.Q.'s
Q: What amount should I insure my home for?
- A: - NSA has access to a program that determines the cost to rebuild your home if there was a total loss to your dwelling. We would need to know the square footage of your home, the style, special features, whether it is wood frame or masonry. You can either contact our office at 631-722-3500 or fill out our online Home Cost Estimator Form and submit it to us. We will then be able to help you determine the insurable interest of your home. /back to F.A.Q.'s
Q: What is replacement cost coverage and how is it paid in the event of a loss?
- A: - Covered losses under a homeowner's policy can be paid on either an actual cash value basis or on a replacement cost basis. When "actual cash value" is used the policy owner is entitled to the depreciated value of the damaged property. Under the "replacement cost" coverage, the policy owner is reimbursed an amount necessary to replace the article with one of similar type and quality at current prices. /back to F.A.Q.'s
Q: What steps can I take to reduce my homeowner insurance premiums?
- A: - Some of the discounts available for homeowners insurance are:
Burglar alarms - central burglar alarms give a higher credit than a local alarm system.
Q: What are our company ratings?
- A: - All of our companies are A rated or better with AM Best. This rating is determined by the company's financial strength, operating performance and market profile. Additional information is available at www.ambest.com . /back to F.A.Q.'s
Q: What kind of payment schedules are offered?
- A: - Payment options vary by company. Most policies can be paid as follows: annually, monthly (9 payments) - 25% at inception and 8 additional monthly payments, or quarterly (4 payments) - 25% at inception and 3 additional bills every 3 months. For any option other than annual payment, there will be a nominal service fee added to the bill.
All of these options may be paid in cash at either of our locations or check by mailing directly to the company. Credit card and Electronic Funds are available with some of our companies. Please call or e-mail NSA for further instructions on these options. /back to F.A.Q.'s
- A: - No, NSA will contact the lienholder directly and make the necessary billing arrangements. /back to F.A.Q.'s
Q: Is my home business covered under my homeowner policy?
- A: - Whether you spend 2 hours or 62 hours per week on your at-home endeavor, it remains a business with all the risks and rewards associated with owning a business. You need to be aware that your homeowners insurance policy offers limited or no protection for your business while it is being operated from your home. And your homeowners coverage provides no liability insurance for your home-based business. Please e-mail or call NSA to review your coverage options. /back to F.A.Q.'s
Q: What does it mean if I have a windstorm deductible on my homeowner policy?
- A: - If you have a windstorm deductible on your homeowner policy, it means that a separate deductible applies in the event of a wind-related loss. Normally it is a percentage (1%-5%) of your property coverage limit. /back to F.A.Q.'s
Q: How much should I insure my valuable property for? (rings, furs, antiques, artwork, guns, silver)
- A: - In order to insure valuable property properly you will need to review your homeowner policy to see how much additional coverage you will need for any individual item. If any item exceeds the coverage limits of your policy, you will need to have the item appraised and scheduled separately on a valuable personal article floater. /back to F.A.Q.'s
Q: Does my policy cover my possessions even when I go on vacation?
- A: - Unless you have excluded off premises theft from your policy, your possessions would be covered while traveling the coverage limits of your policy, and deductibles would still apply. /back to F.A.Q.'s
Q: I rented out my house/basement, are my tenants covered by my homeowners policy?
- A: - No, your property and the structure are covered by your personal liability. However, the tenants possessions and liability are not covered by your policy. Therefore, they may wish to purchase their own renters insurance. Whether you are the lessor or the renter you should check with us to make sure that you have the proper coverage. /back to F.A.Q.'s
Q: Is our vacation home covered on our primary homeowner policy?
- A: - No, you would need a separate policy specifically for that residence. Personal liability can be covered in the primary homeowners policy so the second policy need cover only property. This type of policy is called a "dwelling policy". Please notify NSA of an additional residence so your primary homeowner policy can be endorsed properly. /back to F.A.Q.'s
Q: Should I take out flood insurance on my home?
- A: - Your homeowner policy does not cover you in the event of a flood. Federal disaster assistance grants only offer approximately $2,500 per family. Other federal assistance comes in the form of a loan, repaid with interest. Most federal disaster assistance can only be given out if it is a Presidentially declared disaster, and only 10% of all disasters are Presidentially declared. Flood insurance can give you the peace-of-mind against this loss. NSA can help you obtain this insurance. There is a 30 day waiting period for all flood policies. Please contact us by e-mail or phone to begin this waiting period immediately. /back to F.A.Q.'s
Q: What liability limit should I have on my home?
- A: - NSA recommends $500,000, as it is relatively inexpensive. The more assets you have the more liability protection you require. If you require higher liability limits, up to $5,000,000 can be purchased with an umbrella policy. /back to F.A.Q.'s
Q: I have a pool, do I need additional coverage?
- A: - Your liability exposure is increased when you have a pool. Therefore, it is advisable to purchase an umbrella policy to cover this exposure. /back to F.A.Q.'s
Q: I just improved my home, do I need to change my coverage?
- A: - It is always best to notify our office with any improvements you make to your home. We can then help you to determine what, if any kind of increase you need to make on your dwellings insurable interest. /back to F.A.Q.'s
Q: Is my shed or detached garage covered under my homeowner policy?
- A: - Your homeowner policy provides coverage for other structures in the amount of 10% of your dwelling limit. For example, if your home is insured for $100,000 your shed/garage would have $10,000 of coverage available. A higher limit can be purchased if needed. /back to F.A.Q.'s
Q: My child is away at college. Is there coverage for his/her property under my homeowners?
- A: - If a student lives at home, a parent's insurance will almost always cover the student for any losses that occur. That is not always the case when the student lives away form home. A parent's homeowners policy usually provides coverage for a student's belongings only at a level up to 10% of the contents coverage limit on the parent's policy. And, most likely that's not enough to cover the theft of a student's computer, television, stereo and sports equipment. Those who thought renter insurance was too expensive may be surprised to learn that since renters insurance does not insure a building, it is relatively inexpensive. A standard renters policy offering $15,000 in personal property coverage and often $100,000 - $300,000 in personal liability coverage can cost as little as $100 - $150 a year. Renters insurance is not only about protecting personal property, it also offers a student protection form liability claims (due to a party or if the pizza delivery guy slips and falls). For more in-depth discussion go to: www.iiaa.org/consumer/studies/college/collstu2.htm
Students and parents should make a list of valuable personal belongings that the student is taking to school, including a brief description and photographs of each item, its original cost, the purchase date and serial/model numbers. The list should be stored in a safe place in case of theft or damage. back to F.A.Q.'s
