Recap: Insurance Mistakes

Name: Vargas & Vargas Insurance
Address: 1133 Washington St, Dorchester, MA, 02124
Telephone: 617-298-0655

Posted on April 17, 2018May 25, 2018 by cvargas

“Each life is made up of mistakes and learning, waiting and growing, practicing patience and being persistent.” – Billy Graham

As the saying goes, “To err is human.” That doesn’t mean, however, that you should be ok with making easily avoidable mistakes. This includes the insurance mistakes that we detailed in our blog post last week! At Vargas and Vargas Insurance Agency, our experienced Massachusetts insurance agents will give you advice and review your insurance policies to ensure that you don’t make common insurance mistakes like these:

Insuring your home for its market value instead of the cost to rebuild.
Not having a home inventory in the event that you suffer a major loss.
Skipping out on policies like flood insurance and umbrella insurance.
Buying only the minimum amount of liability insurance with your auto policy.
Forgetting to weigh in on the premium vs. deductible trade-off.
Paying for unnecessary business insurance policies.
Failing to update your insurance policies regularly.

Want a free and no-obligation insurance review? Just call our agency at 617-298-0655 to talk to a great Boston insurance agent about whether your policies will provide the necessary amount of coverage if you make a claim. Also take a minute to subscribe to our blog so that you don’t miss any of our great upcoming content, including insurance tips and tricks, summertime topics, life in Boston, and much more.

How to Spend Your Tax Refund

Posted on April 16, 2018April 11, 2018 by cvargas

Tax Day is almost here! Have you submitted your Federal and Massachusetts income taxes yet? If you have, you may have received a tax refund! Whether you receive any money (and, if so, how much you receive) is different for every person, but one thing is always the same: the need to put that refund money to good use.

Sure, some people will look at their tax refund as an unexpected windfall and use it to purchase a luxury item or put it toward a vacation, but it’s just as easy to make that money work for you! Here are just a few ideas on how to use your payout wisely.

Pay off debt. It may seem like a boring way to spend your refund, but paying off debts now will mean spending less in interest in the future. Can’t decide what to pay off? Personal finance professionals recommend focusing on ‘expensive’ debt – that means paying off the debt with the highest interest rate first.

Start an emergency fund. If your debt is already under control, maybe you should put the money into a savings account. It is often recommended that everyone has at least three months’ worth of living expenses put aside for emergencies. It may seem like a lot, but you will be glad to have that money ready to go if you lose your job, have to pay for an expensive car repair, or make a trip to the emergency room. Remember – that’s three (or more) months’ worth of your typical expenses, not income.

Plan for your child’s future. If you have a family, you know how expensive it can be to raise children. You feel like you’re spending a fortune on diapers when they’re infants, and it only gets worse from there. If you have decided to help with your kid’s secondary education (or if you want to buy them a car or contribute to their wedding) you should start saving sooner rather than later. For education savings, look into the benefits of a 529 plan over a traditional savings account.

Protect your family. It’s impossible to know what the future holds for each of us – that’s why it is so important to have the right insurance protection. If you were to unexpectedly pass away, what expenses would you leave for your family? A life insurance policy would help with funeral expenses and other burdens, so talk to your Massachusetts insurance agent about how you can use your tax refund money to set up this policy and protect your loves ones.

Invest in your future. Are you putting money into your retirement accounts? Most people are, but very few people know when they will be able to retire based on their savings projections. One thing is for certain – money put into a savings account early will grow much more than money saved at the last minute. Consider using some of your tax refund to give your retirement accounts a much-deserved boost.

Improve your home. You spend a lot of time in your home, so maybe you should spend some of your tax refund making improvements. There are lots of DIY projects that you can take on in a weekend that will make a huge difference in your home, like planting a garden, installing crown molding, or making an art project to fill a blank space on a wall. You could even just save a portion of your refund for the inevitable repairs and maintenance that comes as a part of homeownership.

It’s also important to remember that your Massachusetts home insurance policy could cover you for certain repairs. If you have any questions about whether your situation is covered, call Vargas and Vargas Insurance Agency!

Pay it forward. Donating a part of your tax refund not only feels great, but if you save your receipt and it could reduce your tax bill for next year! There are even several health benefits associated with donating to charity.

And, there is one more thing that you could use your tax refund for – At the end of the day, if you want to use your tax refund to make memories with your loved ones, that is great too! Where will your next vacation take you? Many young families save for a trip to Disney World, but if you prefer to stay local, there are lots of vacation spots here in the state of Massachusetts, from the Berkshires all the way to Cape Cod!

So, will you follow this advice and put your tax refund money toward one (or more) of these goals? If you want to learn more about the benefits of having a life insurance policy, call 617-298-0655 and speak to a Vargas and Vargas Insurance agent. We can tell you all the ways that this policy will help protect your loved ones, and whether a term or a whole life insurance policy is right for you. We can even give you a free quote, making sure that you get the maximum discounts on your new protection.

Recap: Preparing for April Showers

Posted on April 13, 2018May 25, 2018 by cvargas

“You have to accept the storms and the rainy days and the things in life that you sometimes don’t want to face.” – Bai Ling

April is not in full swing, and we’re starting to see why the saying is “April Showers Bring May Flowers.” Did you see our blog from last week with advice on how to handle these Spring rainstorms? In case you missed it, here are just a few of the tips that we gave:

Prepare for April showers by making sure that your emergency kit is stocked.
Perform home maintenance tasks like cleaning gutters and trimming trees to ensure that you are storm ready.
If you are a gardener, April is a great time to plan your layout and plant seeds so that you can harness the rain!
Remove standing water around your home to eliminate breeding grounds for pests.
Check your sump pump to ensure it is working as intended during storms and snow melts.
Review tips for driving in the rain, especially how to handle your vehicle if it hydroplanes.
Buy rain gear before you need it.

If you’re ready to start your Spring Cleaning for the year, remember that Vargas and Vargas Insurance Agency is here to help dust off your insurance policies. Call and speak to your Massachusetts insurance agent about reviewing your home insurance, auto insurance, etc. to check for thorough coverage and opportunities for savings. One quick call to 617-298-0655 will check this item off your to-do list!

Know More about Your Credit Score

Posted on April 12, 2018April 6, 2018 by cvargas

The credit score – a seemingly ‘all-knowing’ number that will determine your eligibility to get a mortgage or rent an apartment, buy a car, start a business, and more. This little number is a huge part of your life, so you need to do what you can to get it as high as possible. But, you may say, “it seems so arbitrary! What can I do to raise it?”

Never fear, dear reader! The professionals here at Vargas and Vargas Insurance Agency are here to demystify the credit score. Here are the details on many of the most-asked credit score issues:

What is a Credit Score?

When making a decision about whether you’re a good candidate for a loan, institutions want some credit history. Rather than sift through your entire history, though, they quantify your past spending. Credit bureaus take many factors and turn it into a number between (generally) 300 and 850. They pass this number on to the institution you’re looking to borrow from so that a decision can be reached.

What affects Your Credit?

The three credit bureaus (Experian, TransUnion, and Equifax) take many things into account when determining your credit score. Each is slightly different and has differing weights, but generally the things that will affect you the most are:

Whether you pay your bills on time
How much of your available credit is being used.
The types of credit you carry.
The number of active credit accounts you have open.

Establishing Credit

For young people and those that have not previously taken out a loan or owned a credit card, the question of how to establish credit can feel like a Catch-22. Most places want you to have a credit history before they will extend you any additional credit, so starting out is tricky.

Thankfully, there are a few products available to new borrowers. One is a secured credit card – you may open this line of credit by providing a deposit to back the card, and you can reclaim the deposit when the card is closed. You can also open a traditional credit card with a co-signer that has an established credit history.

Another way that many people establish their credit is with a student loan. There are many types of student loans available, so if this is the route you wish to take, do your homework to find the product that best suits your needs.

Improving Your Credit Score

If you’re looking to buy a car or apply for a mortgage, you may want to improve your credit score. There are several ways to raise your credit score. The quickest is to check all three of your credit reports to ensure that there are no mistakes.

Once you have made sure that your credit reports reflect your financial standing, you can move on to other methods of raising your score. Be warned, though, that it will take some time before you see an improvement. To see your credit score increase, you will need a history of on-time payments with a variety of lines of credit that you have carried for a long time.

Remember also that your credit score will take a small hit when you apply for a new line of credit, so if you want to apply for a mortgage in the near future, ask a financial planner whether you should wait to open a new credit account or purchase a new car.

Myths About Credit Scores

Don’t listen to everything you hear when it comes to your credit score. There are lots of myths floating around that aren’t true! Like these:

Your credit score measures how rich or poor you are – People with less income that have established credit and pay their bills on time can have a better score than higher income people with little to no credit and a history of late payments.
It doesn’t matter how much of your available credit that you use – Credit utilization is a key factor when determining your score. Often, people with better credit use far less of their available credit than people with low credit.
Only one person in a relationship has to have good credit – When you apply for a loan or mortgage with your partner, both of your scores will be analyzed.
You have to carry a balance to have a good score – In fact, you can pay off your card(s) in full each month and still have a great score. Paying in full also means that you won’t have to pay any interest!

Does that answer all of your questions about credit scores and how they affect you? If you have more, reach out to us – we can direct you to a professional with the answers.

And if your credit score recently helped you get approved for a home, car, or business loan, call us! We can get you set up with the right insurance policy to protect you. Our quotes and insurance reviews are always free, so you have nothing to lose.

Recap: Business Disaster Plan

Posted on April 10, 2018May 25, 2018 by cvargas

“One of the tests of leadership is the ability to recognize a problem before it becomes an emergency.” – Arnold H. Glasow

Massachusetts business owners: Did you see our post last week about business disaster plans? You never know when an emergency may strike, so the time to prepare is now. Create a disaster plan or refine your existing plan. Here are just a few tips from your Boston business insurance agency:

Create and practice an evacuation plan in case there is an emergency during business hours.
A communication plan is critical for disseminating information with employees about a disaster that has happened, and what they are expected to do during recovery.
Make an inventory of all of your business’s physical property in case of a loss.
Businesses that rely on digital data need a thorough and secure backup and recovery plan for files.
Having the right commercial insurance is critical – speak to your Massachusetts business insurance agent to check your policy for gaps.

If you need help with your business insurance policy, call Vargas and Vargas Insurance Agency at 617-298-0655. We can get you a free business insurance quote or review your existing policy to make sure that you have coverage that will protect you thoroughly in case of an emergency. And program our 24/7 emergency line into your phone just in case you ever need to reach an agent outside of normal business hours: 617-322-5289.

Common Insurance Mistakes (and How to Avoid Them)

Posted on April 9, 2018April 4, 2018 by cvargas

Making mistakes is a part of life. We are all guilty of having faults and making errors, but it’s important to do what you can to minimize your mistakes, especially the ones that could be costly. Insurance is a product meant to help you financially recover if something happens to something you value. That is why it is so important to have the right coverage. The agents here at Vargas and Vargas Insurance Agency want to make sure that you are fully protected, so ensure that these common insurance mistakes don’t apply to you.

Home Insurance Mistakes

Insuring your home for its market value – If your home is destroyed, you will need to rebuild it. This is why most insurance professionals recommend that you insure your home for its rebuilding cost.
Thinking home insurance will always cover you – There are limits on every insurance policy, and home insurance is no different. For complete coverage, you may need to purchase additional riders or policies, like earthquake and flood insurance.
Skipping a home inventory – While we hope that you never have to deal with this, home insurance will cover you if you are ever the victim of a total loss. In that case, you will need to provide a list of possessions when you submit your claim. Wouldn’t it be a lot easier to make this list now, instead of trying to recall everything you own when it’s gone? That’s why we recommend making a home inventory!

If you don’t own a home, you’re not off the hook! Renters insurance and condo insurance are also available to make sure that you are completely covered even if you’re not a homeowner in the traditional sense. And these policies are very important!

Auto Insurance Mistakes

Buying the minimum possible amount of liability protection – As a driver in the state of Massachusetts, you are required to have a certain minimum amount of coverage. Some people buy just that amount, not realizing that they should purchase coverage above and beyond that amount. Talk to a Massachusetts car insurance expert to find out how much coverage they recommend before you scrape by without enough protection.
Ignoring coverage add-ons – When you purchase auto insurance, you will have several options that you can add to your policy. Instead of declining all of them to lower your cost, consider the added protection they will offer and if they make sense for you. Depending on your insurance provider and policy, this could include coverage for car rentals, roadside assistance, and more.
Not considering your deductible – When purchasing car insurance, you will have to consider the common insurance trade-off: deductible vs. premium. If you’re ok with spending a little more when you make a claim, you could have lower monthly payments. On the other hand, spending more on your premium could mean less of a cost when you have an issue.

There is a potential for an accident every time you get behind the wheel, so it’s important to make sure that you’re protected. Getting into a fender-bender or bumping into a neighbor’s mailbox is generally nothing to worry about, but you don’t want to cause a multi-car accident with serious injuries and then find out your underinsured.

Business Insurance Mistakes

Not enough coverage – The most common mistake when it comes to business insurance is simple: most businesses just don’t carry enough coverage. In fact, it’s almost impossible to have “too much” protection. Insurance is very cheap compared to the financial loss you would otherwise face, so talk to your insurance agent and see if you should increase your coverage.
Passing Up Liability Insurance – Did you see our blog post about Liability Insurance (aka Umbrella Insurance)? Having an umbrella over your existing business insurance is critical to ensure complete coverage, so don’t overlook this inexpensive way to add protection for your company.
Paying for unnecessary policies – Here at Vargas and Vargas Insurance Agency, we know that each business is unique. That’s why we take the time to get to know you and your business to determine the types of protection that you need. You need an agent that is experienced in providing unique policies to small businesses.

There is also one general insurance mistake that anyone is capable of: not updating policies. As time goes on, your insurance needs change. This means that you should plan on a chat with your Massachusetts insurance agent at least once a year to make sure that your insurance policies are still tailored to your needs.

If you think that you may be making one of these insurance mistakes, or if you just want an insurance professional to review your policies for gaps in coverage, call Vargas and Vargas Insurance Agency at 617-298-0655. We will do our best to ensure that your coverage is tailored to your needs, and that you will be able to rest easy if you ever need to file a claim on your Massachusetts home insurance, auto insurance, business insurance, or other policy.

Recap: Overlooked Home Maintenance Tasks

Posted on April 6, 2018May 25, 2018 by cvargas

“Light is the task where many share the toil.” – Homer

Last week, we posted a blog for homeowners detailing several of the most-forgotten home maintenance tasks. Were you able to add any of these to your ‘to-do’ list? The most ambitious of you may have already checked a few items off! To refresh those who may have missed the prior post, here are just a few of the tasks that you need to make sure get done around your home:

Clean your refrigerator coils and drip pan.
Flush your water heater.
Clean your dryer’s exhaust tube of lint and other debris.
Have your fireplace and chimney cleaned annually.
Lubricate your automatic garage door opener.
Change the filter of your A/C and heater.
Remove debris that has collected in your gutters.
Trim the trees and other greenery on your property.

Completing these tasks will ensure that your home is properly maintained, and many will even help you avoid having to file a claim on your Boston home insurance policy. That being said, however, if you do ever need to file an insurance claim, the Vargas and Vargas Insurance team is here for you! Just call our Stoughton or Dorchester office at 617-298-0655 to speak to a Massachusetts insurance agent that can help you with all of your insurance needs.

Are You Ready for April Showers?

Posted on April 5, 2018March 29, 2018 by cvargas

The first quarter of the year has passed, and April has arrived. Even though temperatures are still struggling to get above 50 degrees here in Boston, we are ready to welcome warmer weather. Unfortunately, as the saying goes, “April Showers Bring May Flowers,” meaning that this month has a history of being on the dreary side.

To help you prepare for the rainy weather associated with the month of April, we have amassed an “April Showers” guide for the rain. Here are tips for dealing with downpours and sprinkles alike:

Storm Preparedness

First and foremost, we have some tips about how to get ready for the storms themselves. In case of a severe storm, you should have an emergency kit in your home (and one in each car). Make sure that these kits include a flashlight and extra batteries! Also include nonperishable foods in case of an extended power outage (and make sure that you have a manual can opener in the house).

Make sure that your home is ready to take on a storm by performing some maintenance, including cleaning your gutters and trimming trees around your property. Here at Vargas and Vargas Insurance, we deal with a lot of Massachusetts home insurance claims related to broken tree limbs. Taking time ahead of spring and summer storms to prune weak branches could save you a headache in the future.

Gardening

It is still definitely chilly, but those of you with green thumbs may want to start planning out your garden soon so that you’re ready for planting season. Soon it will be time to plant seeds for winter harvest (like squash and potatoes) and even some flower and fruit seeds. Just make sure to wait to plant seedlings until it warms up a bit, otherwise you risk them dying due to frost!

Pest Control

The increased amount of rain in April makes it a perfect atmosphere for bugs and critters. Do your part to prevent mosquitoes by ensuring that your property isn’t a magnet for standing water.

Rain also gives you the perfect opportunity to check for leaks. And any place that water can get into your home, a bug can too! Pay special attention to doors and windows, as that is the most common place for a gap. Also check for small holes around electrical outlets.

If you are having a pest problem, a trained Massachusetts pest control professional can help get the issue under control as quickly as possible.

Plumbing

It may sound silly at first, but all of the excess water falling from the sky can put a strain on your home’s plumbing. This is especially true in Massachusetts, where we also have to deal with the yearly snow melt as Spring temperatures arrive.

Pay special attention to your sump pump (if there is one in your home). It is critical that your sump pump works properly so that excess water doesn’t cause mold and mildew, or worse, a flood! Test to ensure that it is working by pouring water into the pit and waiting for the motor to start. Watch to see it pump water out and away from your home. You should also ensure that the pump is free of leaves and debris.

Driving and Vehicle Tips

Some people like the dreariness of rain, and it is relaxing if you’re trying to sleep or want to cozy up and read a good book. On the other hand, though, rain can create treacherous driving conditions. This makes it so important to make sure that your car can handle slick roads – after all, there are over 1 million weather-related vehicle crashes every year, according to the Federal Highway Administration.

Before you drive in the rain, be sure that your tires are ready for the wet roads. They should be properly inflated according to the specifications in your car owner’s manual. The tread on your tires and your car’s brakes should also be checked.

When you are behind the wheel in the rain, you should increase the distance between you and the car that you are following, turn on your car’s headlights (it’s the law in Massachusetts!), and know how to handle your vehicle if you start to hydroplane.

Rain Gear

At some point in the next month or so, you are probably going to get caught in the rain. Now is the perfect time to make sure that you are ready when that moment arrives. After all, you don’t want to be running through a rainstorm thinking, “I should have bought that raincoat!”

A raincoat is a perfect place to start when it comes to buying gear. You should also have some waterproof boots and even a hat (otherwise make sure that your jacket has a hood). Everyone also should plan to have a few umbrellas. One for your home, one for your vehicle, and maybe even an extra for your workplace.

Hopefully this blog has helped you prepare for the rain-filled Spring months ahead. If you want, tell us about some of your favorite Spring activities on our Facebook page. And make sure to stay tuned to the blog for more insurance tips and tricks.

Recap: Tips for Hiring a Boston Contractor

Posted on April 3, 2018May 25, 2018 by cvargas

“Hiring people is like making friends. Pick good ones, and they’ll enrich your life. Make bad choices, and they’ll bring you down.” – Jason Fried

Have you been considering a remodel or addition for your Boston home? If so, you need to hire the right contractor for the job. Here at Vargas and Vargas Insurance Agency, we want to make sure you’re happy with the work you have done, so we have compiled a list of tips to help you choose the right contractor:

Find someone who will communicate early and often.
Don’t automatically accept the lowest bid.
Make sure your contractor is licensed, bonded, and insured.
Inspect your written contact, ensuring it contains deadlines and financial estimates.

Once the work begins, there are a few more tips that you should follow to ensure that the process goes smoothly:

Allow workers to store their tools and equipment on site.
Relocate anything fragile or valuable.
Choose between options in plenty of time.
Keep a detailed record of all documents and communications.

For the full list, and a few additional tips to help you through the construction or remodeling process, visit our original post from last week. And remember, your Vargas and Vargas Insurance agent is able to give you a free home insurance review to ensure that you have the right amount of coverage for your property. Also make sure that you update your policy if the value of your home changes because of a remodel!

Creating a Business Disaster Plan

Posted on April 2, 2018March 26, 2018 by cvargas

Most people are prepared for a disaster at home, they have an evacuation plan, a point of contact for the family, an emergency kit, and a home inventory for insurance purposes. Have you ever given any thought to creating a similar plan for your business?

Businesses aren’t immune to disaster, so it is critical that you have a plan – just in case the worst happens. You will need to take a few steps to formulate your plan depending on the disaster, and make sure that you share these plans with your employees so that everyone knows how to respond in case there is an emergency.

Evacuation Plan

If there is ever an emergency during business operations, your employees should know how to evacuate safely. Post evacuation maps through the building, and practice emergency drills throughout the year. If your business hosts customers, instruct employees on how to help them evacuate in a safe and calm manner.

Communication Plan

Disasters don’t always happen during regular business hours. If a disaster happens when no one is working, you will need to inform all employees about what has happened, and the steps that they need to take, including whether they will be expected to work from home or an interim location. Your communication plan may involve an email blast or a phone tree – or both!

Physical Property

If your business were affected by a fire, would you know exactly what was destroyed? Probably not. This is why it is critical to have an inventory of the physical property in your business. List everything that your business owns. This will include things like your furniture, electronics, décor, and even inventory. Then it will be up to you to keep this inventory up to date as you upgrade or purchase new items. Ask your Massachusetts business insurance agent what details they recommend recording about each item.

Keep a copy of your business’s full inventory list in an offsite location, which could be a safe deposit box, your personal property, or even in the cloud. This ensures that you will have access even if something happens to your business’s location. You may even want to keep an updated copy on file with your Vargas and Vargas Insurance agent for safe keeping!

Digital Data

Many businesses nowadays rely on digital data. If a disaster affected your computers, would you be able to recover? Make sure that all of your critical information is backed up to a secure location in the cloud so that losing your computers wouldn’t cripple your business. You can also ask your business insurance agent about digital liability insurance and equipment breakdown insurance for your digital business.

Off-Site Disaster

Your business would certainly be affected by a fire or flood, but think outside of the box: what if a disaster affected one of your suppliers, or an important client? Think about the possibility of losing each of these parties and create a back-up plan in the event that something happens. Being prepared ahead of time will greatly cut down on your response time if an issue arises.

Insurance Prep

Having the right Massachusetts business insurance is a crucial part of disaster recovery. If your business is affected by a fire, flood, theft, etc., your business insurance will help to put you back on track to getting back to normal – but only if you’re carrying the right types of coverage.

Talk to your insurance agent about whether your business is prepared to deal with the aftermath of potential disasters. A Vargas and Vargas Insurance rep can help you evaluate your commercial insurance coverage to ensure that you have all of the coverage that you need.

This means something else for every business, which is why we tailor business insurance policies to each of our clients. You may want to consider building coverage (including flood insurance), property and inventory coverage, tenant’s improvements coverage, coverage for extra expenses, and additional coverage to rebuild a damaged or destroyed building in compliance with building codes. As discussed above, digital liability insurance may also be something to consider. For added protection, our Massachusetts insurance experts may recommend an umbrella insurance policy for your business, especially if you are at an increased risk for liability issues.

Preventing a Disaster

Make sure that your business is prepared for the worst, but also take steps to minimize your risk of an emergency. For tips on how to make your business safer, stay tuned to our blogs for tips!

You never plan to be affected by an emergency – that’s what makes your disaster response plan so critical. Make sure that part of your plan is contacting your Vargas and Vargas Insurance agent. During business hours, call us at 617-298-0655. If you have an emergency outside of our normal hours, you can always call our 24/7 line at 617-322-5289. Program both of these numbers in your phone now for easy access if you ever need to reach us! We can help you get the best business insurance for your Massachusetts business.

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