Janice Loewen Insurance Services's blog

Preparing for a Long Season

I lived in Michigan for a few years. Being a native Californian, the seasons astounded me, as did the different varieties of wildlife. I had never seen Cardinals before! I had never seen black squirrels before! Once, I came upon a squirrel that had eaten half of my Halloween pumpkin—he looked pretty happy. But, I bet he didn’t stop “squirreling away” nuts for the winter! Before winter
comes, squirrels make sure they have everything they need to get through the long season ahead.

I have assisted with many claims where a house burned to the ground and my clients had to start all over again. When that happens, the clients need a place to live while their house is being rebuilt; it can take up to two years to rebuild a home – sometimes more. The coverage that addresses this part of a claim is called Additional Living Expense. This coverage can pay for the
additional expenses you incur as a result of a covered loss. Circumstances and coverage differ, and sometimes, when the rebuilding process is especially long, these funds may run out. A limit (either
time or dollar amount) is listed in your policy.

It is important to review your coverage with your broker to make sure you have enough coverage to last you through a season of rebuilding.

You Never Expect It

Sometimes things happen that you just never expect. I had a client several years ago who came home from the grocery store, parked the car in the garage, unloaded her groceries and began doing some yard work. Next thing she knew, the entire house was engulfed in flames. It turns out that her car’s engine had caught fire, which then spread to the house. The client and her husband serviced their car regularly and it was well maintained—the engine fire was just a fluke, an expected surprise from an older car. The couple spent an entire year living in temporary housing while their home was rebuilt, and they had to replace just about all of their possessions. Imagine what a difficult time this was for them!

I also had a client whose husband had been driving home from a doctor’s appointment. A drunk driver ran a red light, striking the car he was driving, and her husband was killed. I met with the widow numerous times after the accident to ensure that her claim was being handled well. This man had always been a safe driver, and I’m sure he never imagined that he would die in a car accident that day.

As a broker, I often meet people who think that a fire or accident won’t happen to them. They know that they are careful drivers and that they maintain their homes well, so they probably won’t ever use the insurance they’re buying. And maybe they won’t. But you never know when a drunk driver will run a red light, or when your car or clothes dryer or other appliance will malfunction. Doesn’t it make sense to be prepared if it does? And insurance is a great way to make sure you’re protected.

Paying Attention

Have you ever done something, thinking that you were really paying attention to what you were doing, then later come back to it and found that what you had done was really wrong?  You realize, as you look at the mistake you’ve made, that you weren’t thinking at all!  I did that last night.  I used a dish and put it in the sink.  I ran a little water in so it could soak, and then left to do something else.  I kept hearing water running but thought it was just the dishwasher.  I eventually went back to the kitchen only to discover that I had never turned the water off and it had been running for an hour!  Luckily it was just running down the drain (and not flooding my kitchen), but I couldn’t help but think about all the people around the world who don’t have clean water, and I felt guilty.

It can be that way with insurance.  You think you know what you’re doing when you set up your insurance coverage, but later you take a look at it and realize that you don’t have the coverage you thought you had.  I recently helped a husband and wife with an insurance review.  They owned a condominium, but we discovered that their insurance coverage was a Homeowners Policy and not a Condominium Policy.  They thought they were doing the right thing at the time (they had purchased insurance for their “home!”)--but they weren’t.

Because of the variety of ways condominium ownership can be defined and set up, purchasing insurance for a condominium is not as straightforward as purchasing insurance for a single family home.  Condos require some specific coverages that a regular Homeowners Policy does not include—so it is important to use a Condominium Policy. 

The moral of the story?  Even if you think you know what you’re doing, make sure you are aware of what you are purchasing by consulting with an agent or broker that you trust.  Working with an experienced agent or broker will give you the peace of mind that comes from having an expert review your insurance needs and make solid recommendations.  However, I can’t promise that the broker will always remember to turn off the water...

The Definition of "Sing Song"

I've decided to go to Canada for the holidays.  My dad died a few years ago and my mom died a year and a half ago.  Now, there's no one to have Christmas with, since both my brothers are not in town.  I could spend Christmas with friends (I have some really awesome friends) but it's not the same as family.

My mom's sister and brother and my dad's sister are in British Columbia.  I have many cousins there too.  I'm looking forward to seeing them all.

When my immediate family got together for the holidays (or any time) we would sing.  We sang hymns or folk songs or crazy camp songs.  We just liked to sing.  And the more harmony we could sing, the better.  When we sang, we called it a "Sing Song".  I'm not sure where that phrase came from, but that's what we called it!

When my cousin emailed me with the itinerary for Christmas, she said that we were going to have a "Sing Song" on the 26th.   No pun intended, but that was music to my ears!

So, you ask me, "What is the definition of 'Sing Song'?"  To me it is family, it is four part harmony, it is guitars and laughter and the feeling of home. 

HAPPY HOLIDAYS!

Fixing Things

A friend of mine told me that I have a constant desire to fix things.  If something is broken, I fix it.  If something isn't perfect, I fix it.  If something is perfect, I look for something else to fix.  I was working on my trailer, getting it ready for winter.  I came up with 2 things I will do differently that will improve the efficiency of my camping experience.  I "fixed" those less than perfect processes.  My mind is always working, trying to identify what can be made better and how it can be made better.

I've been told by women who are over 50 that, as they have gotten older, they have been less concerned with what other people think or whether something is right or perfect.  I'm trying to decide whether I want that to happen to me or not.  I like fixing and I like refining everything in my life.  That song by the Indigo Girls says, "There's more than one answer to these questions pointing me in a crooked line."  I like walking the crooked line looking for better ways to do things or better ways to be.

I hope I always try to refine myself.  I like fixing!  Maybe I just don't want to grow up or grow old!  In any case, you can blame a girl for tryin'!

Why I Like My Job (Strange But True)

I was leaving a client's house the other day.  I believe they thought I was out of ear shot.  I heard the husband say to his wife, "I feel so much better now that we have insurance, don't you?"

That statement is why I do what I do.  There is a certain sense of, "Whew"... when you know you've taken care of business.  I know if something were to happen to their home or if they were to have a car accident, they'd have coverage.  And, they know it too.

Often people are amazed that I love my job, but I do.  It makes me happy to help people and to give them peace of mind.

Condominium Insurance

I've been working on a presentation for Realtors and Consumers about Condominium Insurance.  I've prepared this presentation because there is so much misinformation about insuring condominiums.  Condominiums are often less expensive than houses and usually do not require as much maintenance. However, these factors do not simplify your insurance purchase! Purchasing insurance for your condominium is not as straight forward as purchasing insurance for a free-standing home.

It is a little known fact that most condo insurance policies only provide $1,000 in coverage for the building.  Often, the unit owner is responsible for insuring a good portion of the building, leaving the unit owner significantly under-insured when a claim occurs.    I suggest looking at the CC&Rs and Bylaws to determine your responsibility in the matter.  You may need to consult with an attorney to make sure you understand the language. 

Suffice it to say, however, that the $1,000 automatically provided will be woefully inadequate in most situations. 

As an adjuster, I would often respond to a claim and find that the most I could do was hand the insured a $1,000 check.  This was a terrible feeling when I knew it could have been prevented.  Be an aware consumer and make sure you are properly insured if you own a condo.

Perceptions

I recently made a mistake in quoting a premium for a prospective client.  Once the mistake was discovered, the premium increased by $100.  I knew I had to communicate the mistake to the prospective client and was not happy that I had to perform this task.

When I confessed the mistake, the prospective client explained that she believed I had done this on purpose and that I had performed some sort of "bait and switch" trick.  My frustration turned to horror when I realized that I was being accused of being dishonest.  I'd much rather be considered careless than dishonest.

I realized that no matter what I told this person, she was not going to change her opinion of me.  I will always be in the "dishonest" category to her.

I was listening to a talk by Malcolm Gladwell about his book, "Blink".  His theory is that our "instant conclusions" may be incorrect.  I wonder how many of my snap decisions or immediate impressions are incorrect.  I will work to be open to the information that will help me to make good decisions.  I will also work to think good about everyone I come into contact with.

Ethics in Insurance

I just recently had an experience where I provided quotes to a small business owner who was expanding her business.  I really liked her a lot.  She was fun and smart and had good business sense.  I knew that she was getting quotes from at least one other insurance broker.

At the end of the day, she went with the other broker and it was purely about the cost savings.  I did get a chance to look at the other broker's quote and quickly realized the reason that the quote was so much lower than mine.  The other broker had under-reported the income and under-insured the property. 

Under-insuring the property does a disservice to the client.  Under-reporting the income feels unethical to me.  If the client has a claim, the policy is written so that she gets whatever lost income she sustains.  This means the carrier is not receiving premium for a loss that they may very well pay. 

I struggled with what to say to the business owner.  I believe that she understood that she was under-insuring her property.  But, I truly believe that she did not understand the ramifications of under-reporting the income.  However, if I said something, it may have looked like I was trying to get the business by "smearing" the competition.  So, I let it drop and let the other broker take the business.

I still don't know whether I did the right thing.  But, at the end of the day, I know the coverage and reporting that I recommended would cover the insured in case of a loss.  I also know that it is important to me to provide the right information to the carrier as well.  I left that transaction a little poorer, but with my integrity in tact.

A Woman I Admire

I just read an article about a woman who is an e ntrepreneur.  Her name is Jan Folk.  She is an insurance broker.  She started her brokerage after she was, for all intents and purposes, laid off.  When that happened, she opened her own brokerage and just kept working at building it until she succeeded.  She has done very well for herself and is now helping people and animals who are not as fortunate.

I'm an animal lover to the core.  So, Jan Folk's current mission speaks to my heart.  Many small dogs are euthanized in California.  In Edmonton, Ontario (Canada), they don't have enough small dogs.  Jan Folk takes dogs in her jet from California back to Edmonton where they are adopted out.

There are so many pieces to this story that are an inspiration to me!  First, I really like her first name.  Second, she is a broker like me.  Third, she never gave up!  Fourth, she's successful!  Fifth, she's helping animals!  I want to be like her for sure!

I hope we can all find someone to emulate.