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

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Update Outdated Documents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

couple with a young child analyzing their finances before buying a condo

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?

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.

man next to his car on his driveway

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.