 By Todd Wallack | BOSTON GLOBE STAFF JANUARY 28, 2013 Competition in the state’s car insurance market has yielded an unexpected benefit: Thousands of residents who once had to buy expensive home coverage from the Massachusetts FAIR Plan are increasingly able to find policies through other insurers, saving them hundreds of dollars a year on premiums. The FAIR Plan, known as the insurer of last resort, provides home insurance in high-risk areas, including neighborhoods that have high crime rates or sit perilously close to the ocean. Home insurance companies have traditionally been reluctant to do business in such locations. But since the state gave insurers more freedom to set their own auto insurance rates, starting in 2008 — something it calls “managed competition” — 13 more auto insurance companies have set up shop in Massachusetts, with most also selling homeowners policies or partnering with firms that do. Over that time, the FAIR Plan lost nearly 27,000 homeowners insurance customers, or 16 percent of its base, an exodus few in the industry predicted.
“It is all driven by this shift in the competitive marketplace,” said Robert Tommasino, general counsel for the Massachusetts Property Insurance Underwriting Association, better known as the FAIR Plan.
Some insurers, including Narragansett Bay Insurance Co., also decided the escalating prices of premiums for coastal properties made it worth their while to start selling policies in those locations. Their strategy has been to undercut the FAIR Plan rates while still charging enough to turn a profit.
Bob Inello, whose waterfront home in Nahant is exposed to the wrath of storms, said he was forced to buy Fair Plan coverage for more than a decade. But three years ago, Inello said, his agent said he could switch to Narragansett, cutting his bill by $570 a year — more than 20 percent.
“I don’t feel like I am being held hostage anymore,” Inello said. “It’s very liberating.”
By Randy Troutman On October 10, 2012
When discussing insured value and how a boat insurance policy will pay, most people think about a total loss. This is important but the majority of claims are partial losses. Depending on how your policy responds, you could pay several thousand dollars above your deductible.
A boat insurance policy has two different ways to pay in the event of a partial loss. One is to replace the damaged items without deducting for depreciation. The second is to depreciate the damaged items.
Depreciated Value is defined as Replacement Cost less depreciation. Most boat insurance companies use a non-published depreciation schedule that applies to partial losses. For example, the depreciation on a stern drive might be 7% per year, whereas the annual depreciation on canvas might be 15%.
Each insurance company will apply Replacement Cost and Depreciated Value differently. Some boat insurance companies do not provide replacement cost coverage for partial losses. If the boat is insured on this policy form, then no matter the type of loss, the replacement parts are subject to depreciation. If the part costs $2,000 and is subject to 20% depreciation, you would be paid $2,000, less $400 depreciation, less your deductible.
Most boat insurance companies provide replacement cost for partial losses until the boat (or items) reaches a certain age. The age will vary with each insurance company. Once a boat or item reaches that age, all partial losses are settled on an actual cash value basis.
The boat insurance companies that provide replacement cost for partial losses usually name specific items that are subject to depreciation regardless of the age. Canvas, sails, cloth, trailers and plastics are examples of specifically named items. These items generally have a limited life span. They also name specific items that are subject to depreciation based on the item’s age. Outboards, stern drives and internal machinery are examples of items that change from replacement cost to depreciated value when they reach a certain age. Most insurance companies go by the age of the item to deduct depreciation. However, each insurance company has different specifically-named items and different ages which determine whether those items will be on replacement cost or depreciated value.
It’s helpful to know that most companies will apply a reduced depreciation if you agree to replace with a remanufactured unit. A stern drive is a good example of an item that can be replaced with a remanufactured unit. This can save thousands of dollars in depreciation.
Replacement Cost for a partial loss is what you want when available. A depreciated value can cost you several thousand dollars. United Marine Underwriters represents several boat insurance companies and we will be glad to discuss how they apply depreciation.
Below are two examples to help explain how replacement cost vs. depreciated value work.
Example 1 is an 8 year old stern drive boat with a $500 hull deductible that hits a submerged object. The replacement cost to the stern drive is $8000.
Insurance company A provides replacement cost coverage until the stern drive is six years old. They will apply 60% depreciation (7.5% per year) to the $8000 replacement drive and then apply the $500 deductible. Insurance company A will pay $2700 ($8,000 less $4,800 depreciation, less $500 hull deductible).
Insurance company B provides replacement cost coverage until the stern drive is 10 years of age. They will pay $7500 ($8000 less the $500 hull deductible).
Example 2 is a boat with a $500 hull deductible that suffers wind damage to the fly bridge enclosure. The fly bridge enclosure is 2 years old and the replacement cost is $5000.
Insurance company A provides replacement cost until the fly bridge enclosure is three years old. They will pay $4,500 ($5,000 less the $500 hull deductible).
Insurance company B provides replacement cost but specifically names canvas as a depreciated item. Insurance company B will apply 20 percent depreciation to the replacement cost. They will pay $3,500 ($5000 replacement cost, less $1,000 depreciation, less the $500 hull deductible).
 The risk of catastrophic loss during hurricane season requires an innovative approach to property coverage—and a rapid response when losses occur. For over 40 years, Lexington Insurance Company has helped our brokers and clients prepare for, protect against, and recover from catastrophic losses. We are the leading U.S.-based surplus lines insurer, and a property and casualty market leader. Make sure you’re a step ahead of risk this hurricane season. Watch LexTV for the latest on hurricane risk and coverage solutions. Hurricane 2012 Update Dr. Phil Klotzbach updates his 2012 seasonal hurricane forecast and shares his outlook for the remainder of the season. This episode also introduces Lexington's new Hurricane Infographic which will help streamline the understanding of a hurricane event.
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How UPC Insurance Can Help
As your ONE source of protection that bridges the gap between success and security, UPC Insurance offers a selection of customizable products designed to protect both your property and your assets. The list below is merely an outline of our basic products, but with the assistance of your trained neighborhood independent agent for UPC Insurance, you will find the right product and the right options to meet your unique protection needs.
• Homeowner Coverage
- Protecting Personal Property
This is a high quality program that offers better than average coverage options than many standard policies.
Learn more
• Dwelling Coverage
- Industry Standard Coverage
A UPC Dwelling Fire program to suit your needs for buildings and property.
Learn more
• Flood Coverage
- Federally insured
This is a federally insured program that provides Flood Insurance.
Learn more
• Homeowners Equipment Breakdown
- Equipment Breakdown for Homeowners
Warranties and service contracts are important for home equipment, but they can give owners a false sense of security because the coverage is limited.
Learn more
- Why Do You Need Equipment Breakdown Insurance?
Most every home, no matter the size or value, has electricity, heat, air conditioning, and hot water. When equipment breakdown occurs, homeowners assume they have coverage.
Learn more
- Home Equipment Breakdown - An Uncomfortable Exposure
Today's homes have more risks. Many homeowners take critical equipment such as heating, cooling and electrical for granted. Many assume warranties, service contract or their homeowners policy will.
Learn more
Why Choose UPC Insurance?
Responsive, Stable and Innovative
In good times and bad, you can count on UPC's network of professional agents to deliver excellent service and stay in touch with your needs by recommending the right protection for you and your family.
 TYPE OF FLOOD MAP CHANGES
WHAT YOU SHOULD KNOW WHAT YOU SHOULD SAY Low- or moderate-risk zone (B, C, X) changing to a high-risk zone (e.g. AE, VE) or Change in Base Flood Elevation
Grandfathering Offers Savings·
The National Flood Insurance Program (NFIP) has “grandfather” rules to recognize policyholders who have either built in compliance with the flood map or who maintain continuous coverage. These rules allow such policyholders to benefit in the rating for that building.
· Grandfathering is available for new purchasers as well as existing customers.
· Always use the new map if it will provide a more favorable premium (lower rate).
· Your building has been designated in a high-risk area for flooding.
· You will be required to purchase a flood policy if you carry a mortgage from a federally regulated lender.
· If you don’t carry a mortgage, you should protect your home with flood insurance. National statistics show that you are 3 times more likely to have damage by a flood than by fire.
· Purchasing before the map revision allows you to save on insurance.
Loyal Customers Can Keep Existing Zone (Pre- & Post- FIRM)
· Customers, who buy a policy before maps are adopted and maintain coverage, can retain the lower-risk zone rate.
· Eligible customers can purchase a PRP now. It will renew to an X zone rated standard policy.
· Have a policy: maintain continuous coverage.
· A policy can be assigned to future property owner.
· Buy now to save later.
· Renew to stay protected and save money.
Show Compliance With a Previous FIRM for Lower Costs (Post- FIRM only)
· To keep existing zones when the structure was built: Get a copy of FIRM effective at time of construction or a compliance letter from community official.
· To keep existing BFE when the structure was built: Get Elev. Cert, and copy of FIRM effective at time of construction; or compliance letter from the community official.
· Lower cost options: show building was built in compliance at time of construction.
· Makes you eligible for a lower rate, keeps costs DOWN.
High-risk zone (e.g. AE, VE) changing to a low- or moderate-risk zone (X, shaded X)
Conversion Offers Savings · Write a Preferred Risk Policy (PRP).
· Use existing policy’s current effective date, and use closest coverage limit or next highest options if no exact match.
· Submit PRP application, and insured signed conversion form.
· Your risk is reduced, not removed!
· Eligible for low-cost, Preferred Risk Policy
· Stay protected and get money back once maps are adopted.
· No gaps in coverage; no additional money up front.
· 20-25% of all flood claims occur in low- or moderate-risk areas.
No Change
Review of Current Coverage Ensures Protection·
Do they have flood insurance?
· If so, is the building limit up-to-date?
· Contents coverage provided and limit up-to-date?
· Homeowners insurance doesn’t cover damage due to floods.
· Floods happen anytime, anywhere.
· Your home is a major investment—protect it.
 Safety Insurance has partnered with Safe Roads Alliance and Travelers Marketing to develop the first " The Parent's Supervised Driving Guide". The guide provides detailed instruction for parents in helping them teach their teens how to drive. This guide will be provided to all operators at the time they receive their learners permit. It is distributed at all Massachusetts Registry of Motor Vehicle locations. Safety Insurance is proud to sponsor this official Guide, and hopes that it will make the driving experience a safer one for both you and your teen driver.
 | The Parent's Supervised Driving Guide | | File Size: | 4428 kb | | File Type: | pdf |
Download File
 Protecting Personal Property UPC Insurance Protector Homeowner Program This is a preferred, high quality program that offers better than average coverage options over the "standard" and "non-standard" products sold today in the insurance marketplace. Protector Homeowners Policy (HO-3)This policy offers building, personal property, loss of use and liability coverage to the owner/occupant(s) of a dwelling that is exclusively used as a private residence. Some of the coverages available on this policy include: - Scheduled Personal Property
- Golf Cart Coverage
- Water Back-up and Sump Overflow
- Loss Assessment Coverage
- Equipment Breakdown for Homeowners
- Personal Injury Liability
- Personal Property Replacement Cost
- Special Computer Coverage
- Refrigerated Products Coverage
Protector Homeowners Policy (HO-4)This policy offers personal property, loss of use and liability coverage to the occupant(s) of a tenant-occupied dwelling, condominium or apartment. The dwelling unit must be used for residential purposes only. Some of the coverages available on this policy include: - Scheduled Personal Property
- Golf Cart Coverage
- Special Computer Coverage
- Personal Injury Liability
- Personal Property Replacement Cost
- Refrigerated Products Coverage
Protector Homeowners Policy (HO-6)This policy offers building, personal property, loss of use and liability coverage to occupant(s) of an owner-occupied condominium or cooperative unit. The dwelling unit must be for residential purposes only. Some of the coverages available on this policy include: - Scheduled Personal Property
- Golf Cart Coverage
- Water Back-up and Sump Overflow
- Loss Assessment Coverage
- "Rented to Others" Endorsement
- Personal Injury Liability
- Personal Property Replacement Cost
- Special Computer Coverage
- Refrigerated Products Coverage
- Equipment Breakdown for Homeowners
 MIAMI (Reuters) - Tropical Storm Chris strengthened in the North Atlantic off Newfoundland on Thursday, becoming the season's first Atlantic hurricane, forecasters at the U.S. National Hurricane Center said.
Chris had top winds of 75 miles per hour (120 km per hour) and was about 625 miles (1,005 km) southeast of Cape Race, Newfoundland. It posed no threat to land, forecasters said.
Chris formed unusually far north for an early season hurricane, and was expected to make a slow loop before weakening over cooler waters during the weekend.
Forecasters also kept watch on a low pressure area associated with a broad mass of thunderstorms in the southeastern Gulf of Mexico and northwestern Caribbean.
It had a 30 percent chance of developing into a tropical depression or tropical storm in the next couple of days, the forecasters said. That system soaked southern Florida and could bring heavy rain and flooding to Mexico's Yucatan Peninsula and western Cuba, the forecasters said.
It was too early to know whether the system would threaten energy interests clustered in the northern Gulf of Mexico.
The Atlantic hurricane season runs from June 1 to Nov. 30, but got off to an early start this year. Tropical Storm Alberto quickly fizzled off South Carolina and Tropical Storm Beryl soaked thesoutheastern United States in May.
The U.S. National Oceanic and Atmospheric Administration predicted there would be nine to 15 tropical storms in the Atlantic basin this year, with four to eight strengthening into hurricanes.
(Reporting By Jane Sutton; Editing by Vicki Allen)
 The first antique auto policy was written by Grundy over 65 years ago. As the first and finest in the industry, you can be assured that you are getting a wealth of experience that is only available from Grundy Insurance. As always, we offer Agreed Value coverage for your antiques and classics. And now, we can combine all your motor vehicle coverage onto one Agreed Value policy. From Ferrari to Lamborghini and Bugatti to other exotics, Grundy Insurance has your specialty vehicles covered. High liability limits are available, providing added security and peace of mind.
You can rely on Grundy if you need:
- Ferrari Insurance
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Our Services through the Motor Vehicle Program:
Classic Cars
Service Vehicles
Antique and Classics
Exotic VehiclesDaily Drivers
Motor Homes
Motorcycles/ATVs
Trailers
Electric Cars
Golf Carts
MVP Coverage Highlights
Coverage Highlights:- Agreed Value Coverage on all of Your Vehicles
- Worldwide Coverage
- New Vehicle Replacement
- 150% Valuation Protection
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- The Highest Liability Limits
- Transportation Expense
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- Repair Shop of Choice
- Concierge-Level Claims Service
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- Cash Settlement
Our breakthrough Motor Vehicle Program (MVP) is designed for drivers with multiple vehicles from every day drivers and service vehicles to classics, exotics, motor homes, electric cars and more. While our policies are already competitively priced, additional discounts are available for applicants with five or more vehicles or single vehicles that are valued over $100,000.
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