Downsizing to a Condo vs. a Smaller House

Posted on October 6, 2020September 10, 2020 by cvargas

There are different financial and practical reasons to downsize to either a small house or to a condo. The reasons for downsizing are all good, provided you are ready to move to your new community and the finances work in your favor.

Before you decide to downsize to a smaller house or a condo, you need to:

Assess your needs
Decide where you would like to live
Price it out
Realize that a smaller space is not necessarily cheaper
Avoid underestimating your emotional considerations

Benefits of Downsizing

Downsizing to either a condo or a smaller house has its considerations and potential drawbacks, and it is vital to learn more before making an offer. Moving to a condo or a smaller house is not only for singles or couples. It’s even for large families interested in changing their lifestyles.

Downsizing to both a small house and a condo means owning less, which can make you happier. Having a few things and fewer rooms reduces your chore time. This leaves you more time to take part in activities that can enrich your life.

Unique Considerations of Downsizing to a Condo

Condo living also gives you the luxury of less maintenance. You will not have to spend your time doing gardening related chores, such as mowing the lawn. While every condo community is different, most of them have an extensive list of amenities compared to small house communities.

Condo communities are characterized by the proximity of the quarters to each other. When you live in such close quarters, you enjoy a sense of community that is different from what you will find in a typical neighborhood of small houses. Taking great pride in your community makes it easier for you and your neighbors to become friends.

Downsizing to a condo can be more expensive compared to moving to a smaller house. Considerations of location and convenience might increase your payment for a condo.

If you have questions on how to start the downsizing process, Vargas & Vargas Insurance can guide you through the process and get it done for you. You can depend on our expertise for your insurance needs and referral to experts in your local area.

Motorcycle Insurance Coverage Options

Posted on September 30, 2020September 30, 2020 by agentinsure

You enjoy the feeling of freedom you get from riding your motorcycle so it is imperative you’re your protect the investment you have made in your bike. The best way to accomplish that goal is to obtain a motorcycle insurance policy that is best for you and your situation.

Motorcycle Insurance Requirements in Massachusetts

In the state of Massachusetts, you must have at least a liability insurance. This policy will cover bodily injury to others if you are involved in an accident that is deemed to be your fault, along with damage to someone else’s property. You also need to have personal injury protection coverage or you can choose a deductible of $8,000 for yourself and household members. You must also have uninsured and underinsured motorist coverage which will cover bodily injury or property damage that you and/or your passenger sustains if you’re involved in an accident with a motorist who does not have insurance or doesn’t have enough insurance to cover your medical costs and property damages.

Comprehensive Motorcycle Insurance Coverage

Comprehensive motorcycle insurance coverage will cover your bike if it is damaged or destroyed by a fire, vandalism, or a natural disaster, such as a tornado or hurricane. This is an important policy to have to repair or replace your bike if it falls victim to one of these situations or if it is stolen.

Collision Insurance

Collision insurance will cover your bike if you are involved in an accident with another vehicle or an object. For example, if you hit an electric pole with your bike, it will cover the damage to your bike and the pole.

To obtain the best motorcycle insurance policy for you and your situation, contact the motorcycle insurance agents at Vargas & Vargas Insurance in Dorchester, MA today!

How to Shop for Condo Insurance If You’ve Only Owned a House

Posted on September 29, 2020September 3, 2020 by cvargas

Condo owners independently own their individual units (though there is common ownership of the common areas), and that means you need to protect it. If you are looking for coverage for your condo, it is essential to understand the different aspects of insuring a condo compared to a home.

What Do You Need to Know Before You Start Condo Insurance Shopping?

When shopping for condo insurance, it is important to be aware that the primary dwelling is protected under the condominium association’s Master Policy. Your condo community may provide all-in coverage or less inclusive insurance like single entity coverage Additional structures do not apply to a condo and are not included in the coverage. When you pay for your condo association’s fees, personal property protection is not covered by the policy. Therefore, it is crucial to consider this when looking for condo insurance.

Aspects of loss of use, medical payments, and personality liability are the same for both condos and homes. Therefore, when shopping for insurance for your condo, it is vital to ensure that you obtain a policy with high-level protection for personal property. This is because your condominium association’s primary dwelling coverage only covers the structure and does not include your belongings inside the walls.

Typical condo insurance covers:

Vandalism
Fire and smoke
Burst pipe
Theft

Factors to Consider While You Look for Condo Insurance

When shopping for condo insurance, you need to consider the cost. The cost of standard condo insurance depends on different factors, including:

The amount of deductible
Your coverage options
Aspects covered by your condo association’s insurance
Materials used in the construction of the condo
Location of the condo

It is essential to review the master policy of your condo association before deciding the amount of your condo insurance. This is because, in some instances, some insurance policies do not cover anything inside the walls of your condo. In such a case, you need to include more items when calculating your insurance coverage.

It is not easy to make general recommendations about condo insurance due to variations in state laws and condominium association bylaws. Consider working with local independent insurance agencies because of their business relations with financially robust insurance entities. Also, local insurance agencies can tailor your policy to meet your specific needs.

For more assistance choosing the right condominium insurance for you and your family, contact Vargas & Vargas Insurance today. We’re here to help.

Changing Your Workers’ Compensation Coverage for Virtual Work: How to Protect Your Business

Posted on September 22, 2020September 1, 2020 by cvargas

When employees shift to working from a remote location, the scope of the normal rules become complicated and confusing. Several legal nuances arise when employees work remotely, especially regarding cybersecurity and injuries to both employees and clients. Despite the notable perks of allowing employees to work from home, there are potential liabilities to consider. That’s where modifying your business’s workers’ compensation coverage for virtual work may come in.

There are measures that you need to take to minimize the liabilities and to ensure that your business and employees working from home are protected. These include:

Ensuring the employees’ homes are safe for business
Designating a dedicated work area
Ensuring their homeowner policy is updated
Protecting their devices from intrusion
Creating a telecommuting policy and informing the employees that telecommuting is a privilege
Reviewing your insurance

Most business owners believe that the homeowner’s insurance policy covers them, but it is not always the case. Therefore, it is important to review your insurance policy as a way of protecting your business.

How Extra Coverage Can Help Protect Your Business

Additional business insurance policies can also help in covering potential lawsuits, workplace injuries, and office assets.

You need to obtain the right home-based business liability coverage and extra protection besides your workers’ compensation coverage. Business liability insurance is meant to protect your remote employees. The right coverage for your remote employees is vital in mitigating your business risks.

Accidents occur during work, and they can easily occur in the home. Along with ensuring your workers’ compensation coverage for virtual work is up to par, you need to ensure your employee’s work environment is safe. Employees working from home have the same compensation benefits as those working from the office.

You might need extra coverage in your business’s insurance policy to protect its assets, such as laptops. This is because your existing insurance policy may not cover losses relating to damages at the employee’s home.

Also, it’s important to verify that your employees’ home insurance adequately covers your employees who are working from home. Therefore, you need to modify the employee’s insurance policies and the coverage policies of the business.

You may be held liable for injury to anyone other than the employee in the home office. In this regard, it is important to confirm with your insurance company whether your public liability insurance covers home offices.

How You Can Get Started

Vargas & Vargas Insurance is one of the premier local independent insurance agencies — we work for our clients and not the insurance company. We will customize your insurance coverage to your specific needs at the right price, and we are here to answer all of your insurance questions. Contact us today to get the right protection for you and your business.

How to Organize Your Insurance Policies to Help Your Spouse or Dependents Find Them

Posted on September 15, 2020August 3, 2020 by cvargas

older couple organizing and discussing their insurance policy documents on the computer

Acquiring policies like life insurance can put your mind at ease and help you feel secure. But it’s only the start of formulating a game plan that will keep you and your family prepared for any unforeseen circumstances. Part of your ongoing strategy must involve decisions about organizing and storing your policies so that they can be retrieved by your spouse or dependents as needed. By following these guidelines, you can live your life without worrying about how your insurance policies will be stored and accessed.

Choose a Secure Physical and Digital Location

Step one for organizing any insurance plan is to keep it in a safe place that only you — and others you give permission to — can open. There’s so much personal information in policy documents that is important to protect, so we recommend using either a safe or lockable filing cabinet. Let your spouse or dependents know where the key or password is stored. In addition to keeping the papers in a physical location in your home, consider sending a copy to a trusted lawyer or loved one who will also keep it safe.

A digital copy can far outlast paper, which can be lost, stolen, or destroyed. For this reason, definitely keep electronic records of your insurance policies. Make a list of passwords for where your policies are stored on your computer, and share the information with your dependents so they can find them. If you aren’t using software to store your insurance policy, you can scan your hard copy onto your computer.

Communication Is Paramount

While discussing your home or life insurance with your spouse and family can be uncomfortable, clear communication is going to be how you avoid any additional difficulties in case of a crisis. Your dependents need to know which policies you have, and they should probably know the names of your agent, insurance company, and other important contacts. Set clear expectations about how and when these should be accessed, and go over how you have stored everything. By communicating effectively, you can avoid your family being another statistic in the millions of insurance dollars that go unclaimed every year.

Update Outdated Documents

Finally, you should keep everything up to date and know when your policies need updating. There are many life events that can require you to update paperwork, including a new birth, a divorce, a new marriage, a change of address, business developments, and many more. Seek advice from a qualified local insurance agent if you are unsure of when an update might be required.

At Vargas & Vargas Insurance, we can help you with these and other questions or concerns regarding your insurance policies. Our ultimate goal is to assist you in any way we can with top-notch insurance plans and unbeatable customer service.

How to Know If You Are Financially Ready to Buy a Condo

Posted on September 8, 2020September 8, 2020 by cvargas

Besides the convenience that accompanies owning a condo, who wouldn’t appreciate the freedom from the hustle and bustle of having to take care of the land while getting to have a roof over your head? However, just because buying a condo suits your needs, and you feel the need to buy one, it does not mean you are ready to own one. Here are pertinent questions whose answers will help you find out whether you are really prepared to buy that desired condominium:

1. Can You Afford the Down Payment?

Whether you have sufficient cash to pay off for that condo or not is important, but it’s not the only cost to consider. A good down payment amount is a must-have. You are in an excellent position to go ahead and take the leap towards owning your dream condo only if your savings match the down payment requirements that accompany the property you have in mind.

2. Are You Managing Your Debt Well?

Second on the financial checklist that determines your readiness for buying a condo is how debt-free you are. Debts will certainly put constraints on your desire to acquire that condo you crave. You will want to ensure all impending bills and maxed credit cards are brought under control to free up more income that is needed for buying your condo.

3. Are You in a Position to Handle Hidden or Unforeseen Costs?

Before engaging the seller of the property, ensure you have set aside some money for unforeseen costs and any other unconsidered charges that will arise before closing the deal. For instance, many sellers throw all kinds of fees at you. These fees might range from recording fees and underwriting fees to the appraisal fees. There is also the hurdle of moving costs and money for decorating and furnishing the new condo in line with your tastes. Also, you may need to pay property taxes upfront.

4. Have You Considered the Cost of Purchasing a Condo Insurance Policy?

When looking to buy a condo, the last thing you would want is to risk any insurable outcome forcing your hard-earned investment down the drain. From the onset, you will then need to know from who and where you can shop around for a reliable and affordable condo insurance policy.

Condo insurance saves your money in case of any accidents and incidents in your condominium. For instance, without condo building insurance, you may not be able to replace your custom cabinets or fittings in the event of a fire. To avoid losses in terms of money or property, purchase proper condo insurance and protect yourself.

If you answered yes to these questions, step out of that bubble of uncertainty and get ready to buy that desired condo. Want to learn more about the condo insurance policy that suits you best from someone you can trust? Contact Vargas & Vargas Insurance for help with all the condo insurance concerns you might have.

Do You Need Car Insurance If You Aren’t Driving Your Car?

Posted on September 1, 2020July 31, 2020 by cvargas

In these times, most of us have experienced extreme upheaval when it comes to our routines. That may include working from home. You may be ordering groceries or take-out to be delivered instead of going out. This means that our cars remained parked. As a result, many car owners are starting to wonder if they should even have car insurance during these times.

The short answer is, yes! Let’s explore why.

It’s Better to Maintain Coverage Than Have On-and-Off Coverage

Unless your car is completely out of commission — as in, it’s been totaled and is no longer drivable — you should keep insurance on it. The reason why is relatively simple: if you can still drive it, at some time, you probably will. That means there is always that chance that something could happen.

Another reason is that if you cancel your car insurance, and then you end up needing it again, you will be labeled as high-risk to the underwriters. This means you may have a hard time obtaining car insurance, or you will end up paying more. So, it’s cheaper and safer to maintain insurance.

Options for Stored Cars

If your car is locked away in a storage facility and you are definitely not going to be driving it anytime soon, meaning it will not be anywhere near any public road, you may be able to drop the coverage to comprehensive insurance only. This type of insurance protects the car from anything except a collision with another vehicle. For this reason, comprehensive insurance is sometimes referred to as “car storage insurance.”

How to Save on Car Insurance

Essentially, you do need to have insurance on your car (even if you aren’t driving that much). However, if you are concerned about the cost of premiums, it is always worth looking into different kinds of insurance and ways that you can save. Liability insurance is something that you have to have if your car is registered. But you may be able to take other kinds of coverage off of your car if you feel that you are not driving it enough to warrant having full coverage.

At Vargas & Vargas Insurance, we’re here to help answer your insurance questions and make sure you have the coverage you need. Contact us today to get in touch with a local representative.

How to Know if Umbrella Insurance is Right for You

Posted on August 31, 2020September 1, 2020 by agentinsure

While nearly every person is familiar with common insurances like auto and homeowners, one that often flies under the radar is umbrella insurance. Essentially, for each of your insurance policies you have a limit to how much money the insurance company will pay – minus your deductible – for a claim. In some circumstances, the total balance due may be greater than what the insurance company is paying which means you are on the hook to pay the difference. In a situation like this, if you have umbrella insurance then the policy will kick in to cover the difference once your coverage has been maxed.

Whether or not you need umbrella insurance is a common question. Generally speaking, you should consider purchasing a policy if the value of your assets to include items like your real estate property, bank accounts, retirement accounts, investment accounts, college savings plans and any other asset with a monetary figure attached to it exceeds the limits of your homeowner’s or auto insurance liability coverages. Ultimately, the goal is to have more liability insurance than your assets are worth so you can’t risk losing them in a lawsuit.

With that said, you don’t need to have a high net worth to make umbrella insurance worthwhile. If you have a situation where you have greater liability than others such as household staff, dangerous equipment on property or an aggressive animal than it won’t hurt to at least explore your options.

When it comes to shopping for umbrella insurance in Dorchester, MA, there’s really no better option than Vargas & Vargas Insurance. Focusing on a no pressure environment, our friendly and knowledgeable team of insurance professionals will answer all your questions, help determine if an umbrella policy is right for you and assist you in the underwriting process.

What You Need to Know About Business Interruption Coverage and COVID-19

Posted on August 25, 2020July 31, 2020 by cvargas

Most businesses throughout the country have experienced some type of financial loss as a result of the COVID-19 pandemic. If you have chosen or been forced to temporarily close your business, you are likely searching for ways to replace your lost income in order to avoid a permanent closure, particularly if you have not been allowed to reopen yet. Although business interruption coverage applies to many events that have a similar impact on the operations of your business, it is unlikely to be a solution to interrupted business and revenue.

What Is Business Interruption Coverage?

Business interruption insurance is a type of specialized coverage that can be added to your regular commercial insurance policy. It is intended to serve as an additional layer of assistance for businesses that must temporarily stop operating as the result of a specific event, such as a fire or natural disaster.

Business interruption insurance generally serves as a temporary replacement for income, which can be used to keep the business from being forced to permanently close after such an event. The coverage is typically used to allow the business to continue paying employees and bills until it can reopen.

Can Business Interruption Coverage Be Applied to COVID-19 Closures?

Unfortunately, most business interruption coverage policies cannot replace the income that is lost as a result of closures related to COVID-19. Many business interruption coverage policies include a clause that specifically excludes pandemics, as the policy is intended for closures that include physical damage to the business. Although business interruption insurance policies exist to cover sporadic closures, they generally do not have the funds to replace the massive amount of income lost by nearly every business in the country during the pandemic.

However, not every insurance company excludes pandemics. We highly recommend reaching out to your insurance provider for more information about specific policies regarding COVID-19. Talking directly with your agent is the best way to get your questions answered accurately.

At Vargas & Vargas Insurance, we prioritize providing the most accurate and up-to-date information regarding the various types of insurance coverage available and how they can apply to unprecedented circumstances. Contact us today to learn more about the insurance policies we offer or to request a quote.

3 Recommended Commercial Insurance Changes for Companies Switching to Remote Work

Posted on August 18, 2020July 31, 2020 by cvargas

An increasing number of businesses are considering a permanent shift to remote work for their employees. The change is taking place in different industries, especially the technology industry. When a business switches to remote work, its potential risks and liabilities change. If your small business is considering changing to a remote workforce as a long-term strategy, start with a review of your business’s commercial insurance policies. This will help you identify potential gaps and changes in coverage that need to be addressed.

Some of the insurance implications that may arise under conventional insurance policies include:

1. Employers’ Liability and General Insurance

Coverage for your employees’ potential injuries depends on the categorization, where the injury took place, and the activity undertaken at the time of injury. Your business needs to ensure that the definition of covered employees under the employers’ liability insurance includes all employees to which the company may be found liable. Also, you need to ensure that the coverage consists of all places where your workers are located.

2. Property Insurance

The COVID-19 pandemic has led to an increased focus on different aspects of property insurance. While transitioning to a remote workforce may create less loss as a result of property damage, you may have more devices and equipment spread across different locations. Therefore, you need to make sure that property being used by workers in remote locations is insured.

3. Cyber Insurance

The switch to work remotely can make your business more susceptible to schemes of social engineering and hacks. When your employees work from home, they adapt to different modes of communication and may create new vulnerabilities in your system. But you need to do more than allow your IT personnel to increase security in remote working environments. Consider adding more coverage, such as cyber insurance, to protect your business’s data, systems, and hardware. Your business needs to make sure the coverage matches the risks.

For more assistance choosing the right commercial insurance policies during changes to your business, contact Vargas & Vargas Insurance today. We’re here to help.

What Should You Do If Your Term Life Insurance Policy Is About to End?

Posted on August 11, 2020August 4, 2020 by cvargas

Do you have a term life insurance policy? A term life insurance policy is for a specific period of time. It will only provide coverage for a set period of time, such as 10, 15, or 25 years. During this time, if your policy is active, and you die, the policy will pay out benefits. But if you have a 10-year term life insurance and you die in the 11th year, unfortunately, the policy will not pay your beneficiaries.

older couple discussing what to do about their term life insurance policy

If you have term life insurance and it is coming to the end of the policy, you can do a number of things. These include:

Convert the policy.
Renew the policy.
Buy a new policy.
Let the policy end.

1. Convert Your Term Life Insurance

If you have a term life insurance policy, you may have the option to convert the policy to universal or whole insurance. Depending upon the term life insurance that you have, you may have the entire policy period to convert or just a specific time period.

For example, if you have a 10-year policy, you may have ten years to convert to another type of life insurance policy. On the other hand, your policy may only allow you to convert in the first five years of the policy. Check the terms of your policy or reach out to your insurance company.

The key advantage of converting to a whole or universal life insurance policy is that you often do not have to go through another health check for your policy. The policy will convert and not use your current health condition for underwriting the policy. This is a great feature if you have developed health conditions since you bought the original policy.

What Is Whole or Universal Life Insurance?

Before we continue, it’s important to know what whole and universal life insurance are. Whole life insurance has consistent premiums and a guaranteed cased value accumulation. Universal policies have flexible premiums and death benefits. You can borrow against the cash value of either policy, and these are considered permanent life insurance. The coverage doesn’t end when you stop making premium payments — it will extend further into the future.

2. Renew the Policy

Some term policies allow for renewing the policy. This is known as a renewal option or privilege. It allows the policy owner the right to renew their term life insurance policy for an additional time period. However, if you renew the policy by extending your current policy’s coverage, the amount you pay may increase. You can renew even if your health has changed, but you may only be able to renew the policy until a certain age.

3. Buy a New Policy

If your health hasn’t changed, you can also buy a new policy. At this point, you can buy a term, whole, or universal life insurance policy. You will have to go through the health check again, and you may be limited by a two-year suicide clause.

4. Let the Policy End

A fourth option is to just let the policy end. Though this leaves you with no life insurance, it is an option.

If your term life insurance policy is ending or you would like to make changes to it, contact us or give us a call! The team at Vargas & Vargas Insurance can help you figure out what is best for you and your situation.

What to Do During and After a Hurricane

Posted on August 8, 2020August 7, 2020 by cvargas

Hurricanes can pose a serious hazard for people and properties in the Boston, Massachusetts, area. Floods, heavy winds, and other severe weather factors can cause damage quickly. Read this short guide about how to stay safe and protect your property both during and after the next hurricane.

What to Do During a Hurricane

During a hurricane, it is important to avoid going outdoors or driving because the winds and flooding can be dangerous. If you must be out in the storm, then it is important to:

NOT drive around road barriers
NOT walk through flowing water
NOT drive through flooded roads

Also, continue monitoring the media for any emergency information. Look for credible emergency information shared by the Massachusetts Emergency Management Agency (MEMA) and other government agencies. Also, you need to follow instructions given by the public safety officials.

If directed to evacuate, you need to do so immediately, and take only your essential items and any pets, if possible. Given that conditions change fast, you need to be ready for evacuation to different places as directed and if necessary.

What to Do After a Hurricane Has Passed

After a hurricane has passed and you had evacuated, return home if authorities say it is safe to do so. Continue to listen to news reports to know if the water supply is safe. Before local authorities declare your water supply safe, you need to boil the water before drinking or using it for food preparation.

As soon as it’s safely possible, check your home for any signs of damage. While checking your home, you need to:

Repair leaching systems and damaged septic tanks to minimize potential health risks.
Hire a qualified electrician to assess any damages to electrical systems.
Have a professional check your wells for contamination.
If you suspect there is a gas leak, go outdoors immediately and contact a licensed professional to check it out.
In case your home or property is damaged, document the damage by taking videos and photos and contact your insurance company.

Also, report any power outages to your utility company. If you’re waiting for the power to return, be careful to only use grills and generators outside because their fumes contain dangerous gases.

Try to avoid entering floodwaters in and around your property. Seek the services of a professional cleaning and repair company to clean and disinfect your home. Check on neighbors and friends, especially the elderly and those who live alone.

At Vargas & Vargas Insurance, we’re here to help you protect your home, property, and family. Call us today to learn more about hurricane-related coverage, flood insurance, and safety tips to help you get through the storm.

3 Things to Consider When Choosing Between Whole and Universal Life Insurance

Posted on August 4, 2020July 8, 2020 by cvargas

family with a second expected child in their kitchen

Whole life and universal life insurance policies have similarities and important distinctions. Both are types of permanent life insurance, which means they provide coverage for your entire life as long as premium obligations are met (which is different from term insurance). Also, you can build cash value in either type of policy. Here’s what you need to consider to choose the coverage that’s the right fit for you.

1. Your Budget

Would fixed premiums or adjustable ones be a better match for your budget needs? Whole life insurance has fixed premiums. After you pay the initial premium on a universal life policy, you decide how often and how much to pay your premiums as long as you meet the policy’s minimums.

2. Your Risk Tolerance

Your investment in a whole life policy has low risk. The cash value accrues interest at the rate set by your insurer. Some whole life policies are eligible for dividends. You can choose to reinvest your dividends in the cash value or to have them sent to you. Dividends may also be put toward premium payments.

Selecting universal life, on the other hand, requires a higher risk tolerance. The rate of return on the policy’s cash value is not guaranteed. Rather, returns go up or down with market conditions. Some universal life policies are linked to the performance of a specific index like the Nasdaq 100.

3. The Needs of Your Loved Ones

Since whole life provides a fixed death benefit, it’s easier to plan for the future of loved ones who depend on your support. Fixed benefits may be particularly helpful if your loved ones include an aging relative, a child with special needs, or anyone else who won’t be able to develop their own means of support.

Universal life allows you to pick between a fixed death benefit and a benefit you can adjust up or down. This feature is beneficial if your personal circumstances change. For example, a married yet childless adult may initially choose a smaller benefit since it’s likely that only one person — the spouse — depends on the insured’s income. Should this couple have a baby, the insured person may want to increase the death benefit because more people rely on the insured person for support.

Your local independent insurance agent can answer questions and help you choose the right type of policy for you and your loved ones. Contact Vargas & Vargas Insurance today for friendly, helpful service.

Let’s Talk About Flood Insurance

Posted on July 31, 2020August 2, 2020 by agentinsure

For Massachusetts property owners looking to protect their investment, Dorchester, Massachusetts-based Vargas & Vargas Insurance is standing by to have a conversation with you about your flood protection insurance options. It is easy to avoid thinking about such unpleasantries with the thought that, “those things happen to other people,” but the reality is that that is not necessarily true. If you have questions about the state of your flood protection, our team of dedicated and licensed insurance agents are looking forward to having a conversation about your needs.

Flood Insurance Requirements in Massachusetts

Homebuyers searching for mortgage loans might be surprised to find that their lenders mandate that they purchase flood insurance as a condition of their loan acceptance. Indeed, as an example, Dorchester, MA residents risk flooding from both coastal flooding and rising waters from the Neponset River, so lenders will likely call for a flood policy in addition to your regular home insurance requirements. Working with one of our agents, we can write a policy that will not only keep your lenders at bay but will also protect you when Mother Nature begins stirring during storm season. Let’s talk about flood insurance and how it can give you and your family peace of mind should the worst occur.

Contact Our Team at Vargas & Vargas Insurance

If you need to look at the full range of protection afforded by having flood coverage from Vargas & Vargas Insurance, we welcome you to contact us at our Dorchester, MA for a conversation about how to best protect your property. Flooding can be a catastrophic event, but it does not have to wash your home down the street to devastate your life. Indeed, from moldy carpets to damaged furnishings in the aftermath of a flood-related incident.

What Is Personal Property Insurance?

Posted on July 28, 2020July 8, 2020 by cvargas

Personal property insurance is part of a home insurance policy. It provides coverage for the items in your home that are damaged or lost due to events, called named perils, such as fire, lightning, smoke, theft, and vandalism. In this article, we’ll discuss what types of coverage you can have and what you need to know as you shop for a policy.

couple playing on an insured piano in their home

Personal Property Types of Coverages

There are two types of personal property coverage:

Actual Cash Value (ACV)
Replacement cost value

An actual cash value policy is where an agreed-upon amount is decided upon when drafting your policy, which is the replacement value of the item minus depreciation. This amount is what you will be paid if the property is damaged or stolen. The insurance company will reimburse the agreed upon actual cash value in qualifying circumstances.

Replacement value is the second type of coverage. This coverage allows you to replace the item with another item of “replacement value.” In other words, it covers the cost of replacing the item with another similar item — a TV for another TV, for example. To get reimbursed by your insurance company with this method, you must generally buy a replacement item and submit your receipts to the insurance company for payment.

Personal Property When You Have a Home, Condo or Renter Insurance Policy

Personal property is covered differently depending upon whether you have traditional home insurance or condo or renter’s insurance. Home insurance will usually cover your personal property for an aggregate amount of up to 50% of the dwelling amount, or the amount your home is insured for. So if your home is insured for $240,000, your personal property will be insured for $120,000. If you’d like to have more insurance for your personal property, you may have the option to choose more than 50%, but with a higher premium.

Renter’s or condo insurance provides coverage amounts a bit differently. You will be able to pick the amount of insurance you want based on your estimate of coverage needed. This amount will depend upon what you own and how much it is worth. The coverage amounts vary by the insurance provider and by the specific type of policy offered.

More Valuable or Expensive Personal Property

If you own items that are more valuable, such as antiques or collectibles, you might invest in additional insurance for this coverage. You may hear terms such as floater, endorsement, or scheduled personal property. These actually refer to additional coverage that you may purchase to cover valuable items that might not be covered specifically under your home owner’s insurance coverage limits.

Contact us and let us help you with your personal property insurance needs. Vargas & Vargas Insurance provides friendly assistance with all of your coverage needs.

Condo Owners Need More Coverage Than the Master Policy

Posted on July 21, 2020July 8, 2020 by cvargas

Although most new condo owners are added to the property’s master policy upon purchase of the unit, the claim that this policy is all owners need is misleading. You may have been told that your unit’s coverage under the master policy prevents you from having to purchase separate coverage, but the policy is only meant to protect the property, not your personal possessions. If your condo is only covered under the master policy, now is a good time to purchase additional coverage that meets your needs.

couple researching condo insurance as they move into a new condo

What Is a Master Policy?

A master policy is the most basic type of insurance used by condo owners. It typically covers damage to the building itself, as well as common areas and liability for the condominium association. However, unlike other policies, your master policy does not cover your belongings or personal liability. The master policy provides the necessary protection for your condominium association. But only being covered under the master policy is not sufficient to protect yourself.

How Should I Cover My Condo?

Every condo owner’s coverage should be comprised of both the master policy and individual condo insurance. Condo insurance is similar to regular homeowners insurance, but it is designed to meet the unique needs of shared property ownership. It covers owners’ belongings and personal liability, as well as additional coverage for the building itself. Upgraded features may also be covered only by condo insurance, as many master policies only cover standard features.

What Happens If a Claim Is Made?

If a claim is made for something that happens within your unit, you will generally be defended by your private insurance company, not the master policy. Your insurance company will cover the necessary funds, minus the deductible. If you are only covered by the master policy, you will likely be responsible for the claim.

Your master policy should work together with private condo insurance to provide the best possible protection, rather than being considered the only insurance you need. In order to adequately protect yourself and your belongings, select a condo insurance policy that effectively fills in the gaps of your master policy. At Vargas & Vargas Insurance, we’re here to help you find the right coverage.

Stay Current on Massachusetts RMV Extensions and Reduced Insurance Rates

Posted on July 14, 2020July 8, 2020 by cvargas

The COVID-19 pandemic has impacted nearly every industry, and new changes continue to roll out. Drivers and car-related industries have experienced some unique challenges. What should you do if your vehicle registration is due? In Massachusetts, the Registry of Motor Vehicles (RMV) renewal deadlines are extended. Also, many car insurance companies are giving back money to their customers.

Registration and Renewal Extensions

The shutdown, phased reopening, and social distancing measures are necessary to ensure public safety and health during the COVID-19 crisis. But because of the changes and importance of staying home, the Massachusetts RMV has posted COVID-19 changes and updates regarding important registration and renewal dates. Driver’s license and permit renewals, which were due in March and April, were initially allotted a 60-day extension. However, the RMV has updated the timeline, with March-June renewal dates now extended until July 30, 2020. Plate registration and inspection sticker renewals that were initially due by May 31, 2020, are extended until July 31, 2020.

Customers are encouraged to use the RMV online services whenever possible. Residents who require in-person assistance at an RMV service center must reserve an appointment ahead of time. Reservations can be scheduled by phone or online.

Reduced Car Insurance Rates

The various social distancing measures have caused many people to spend more time at home. As people are commuting less, many auto insurance companies have stepped forward to offer reduced rates for customers. Many national and local insurance providers — including Allstate, Progressive, Geico, Plymouth Rock, Arbella Insurance, Vermont Mutual, MAPFRE, and many others — are participating in relief options for premiums during the current pandemic.

As the COVID-19 pandemic continues, the auto and insurance industries continue to provide customers with valuable updates and changes to accommodate customer needs during this challenging time. Contact us today to stay on top of your coverage needs and adapt to ongoing changes. Vargas & Vargas Insurance can help you stay informed on how COVID-19 is impacting vehicle registrations and auto insurance policies.

What You Need to Know About Phase Two of Massachusetts Reopening

Posted on July 7, 2020July 6, 2020 by cvargas

The state of Massachusetts is reopening in phases. On Monday, June 8, Phase Two of the plan was initiated. With the peak of COVID-19 on the decline in the state, Phase Two for many parts of the economy and communities has had many businesses reopening their doors for the first time in months. Below are what residents can expect in the next couple of weeks.

woman opening her store during Phase 2 of Massachusetts reopening

Retail Stores and Restaurants

At the beginning of Phase Two, restaurants with outdoor dining options were able to reopen to patrons. All dining tables are mandated to be six feet apart, allowing for the required social distancing requirements.

Retail stores also can begin to open their doors, but capacity limits will be in place. In addition to staff members, only eight customers will be permitted in the building per 1,000 square feet. This allowance keeps the store at 40 percent or lower occupancy at all times.

Healthcare Facilities

With non-essential services postponed during the pandemic, many healthcare facilities were closed indefinitely. During Phase Two, many of these facilities can start to reopen and resume standard services. Patients in the hospital will be permitted one visitor, which is up from the no visitor policy in Phase One. Non-essential and cosmetic surgeries will continue to be delayed during Phase Two with plans to resume in Phase Three.

Child Care Services

If certain distancing requirements are met for child care and summer camps, they may be allowed to reopen during Phase Two.

Lodging and Personal Services

All services that do not require close contact between employees and customers are able to reopen under the same social distancing requirements of six feet between individuals. In terms of lodging, hotels can reopen to guests. However, community areas such as meeting rooms and pools will not be allowed to open.

Outdoor Recreation

As long as sporting events can be practiced and played with social distancing regulations in place, they will be permitted. All adult sports games will be moved to outdoor facilities during this phase in order for them to continue. Local and state parks will continue reopening for public use over the next couple of weeks.

These changes are expected to continue throughout Phase Two, leading into the next phases as cases of the virus continue to decline. The importance of Phase Two is to allow Massachusetts residents the ability to acclimate back into society safely and cautiously.

At Vargas & Vargas Insurance, we’re here to help you feel safe at home and as you work. Contact Vargas & Vargas Insurance today to maintain your insurance needs.

Happy “Interdependence” Day 2020

Posted on July 4, 2020 by cvargas

This Fourth of July holiday will be very different this year. I have started calling this year’s Independence Day “Interdependence Day” because we need each other now more than ever!

This is the time when we enjoy spending time with family and friends, and maybe watch the sparkling fireworks. However, social distancing limits seats at the picnic table, if any at all, especially with the report of a new wave of COVID-19 cases.

We continue to believe our doctors and medical community will help us conquer this disease; however, with more than 10 million* confirmed cases of COVID-19 around the globe, this terrible fight is far from over. Meanwhile, the US economy appears to be turning a corner and better times may be ahead.

Voltaire said, “History never repeats itself. Man always does.” which means history may be a guide for what may happen next.

While we’ve faced several health, social, and economic crises this year, Fourth of July is a good time to think about how lucky we are to live in this great country and to remember the resilience and perseverance we’ve demonstrated over the past 244 years. History has shown us that better times will come.

Thank you for allowing us to be your local independent insurance agent!

Best wishes for a happy and safe Fourth of July!!

Carlos

Protecting Your Most Prized Possessions: How to Insure Your Engagement Ring

Posted on June 30, 2020June 10, 2020 by cvargas

The question has been popped, and now you’re sporting a shiny new rock on your left hand. Congratulations! Before you start hearing church bells and say, “I do,” it’s important that you take the time to protect your valuable new asset with the proper insurance policy. While ring insurance may not be the most romantic thing you’ve ever thought of, protecting your beloved piece can give you peace of mind. You’ll know you’re covered in the event of an unfortunate situation. Here’s what you need to know about getting your engagement ring insured.

man proposing to a woman while holding an engagement ring

1. Don’t Wait to Insure Your Ring

As soon as the ring is purchased, you or your fiancé can have it insured. The sooner you choose to do so, the sooner you’ll be protected.

2. Understand How the Insurance Works

When it comes to finding an insurance company to insure a piece of jewelry, you have two options: adding it to your homeowners or renters policy, or finding an independent company that specializes in jewelry. The cost of the insurance will depend on if your insurance company requires a deductible and where you live. For policies with no deductible, you will likely pay more in monthly premiums. On average, you can expect to pay $1 to $2 for every $100 your ring is worth.

3. Ask the Right Questions

Before you commit to a policy, be sure to ask your provider these questions:

Are you covered for damages, loss, and theft?
How do you prove that the ring disappeared?
What circumstances aren’t covered?
Can you choose who does repairs on the ring?
If a replacement is covered, where are you allowed to buy a new ring?

4. Get It Appraised

Choose an appraiser who has the proper credentials to give you an accurate value of the ring. Be sure to keep a copy of the documentation that proves your ring’s condition and worth, so that you can not only have it replaced if something happens, but also so that you pay the appropriate premium on your investment.

While some appraisal services may try to exaggerate the value of your ring, getting the actual value of the ring is critical to keep you from paying higher monthly premiums unnecessarily. It’s also worth noting that most insurance companies will choose to replace a missing ring rather than write a check to the consumer to replace it. Many already have relationships with jewelry wholesalers and will never pay the retail price or pay for an inflated appraisal value.

Vargas & Vargas Insurance can help you enjoy your engagement ring for years to come without worrying about it getting lost or damaged. Contact us today to learn more about our competitive insurance services and how we can protect your most prized possession.

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