Starting a business can be challenging, but by breaking down the process into distinct steps, it can become more manageable. Instead of feeling overwhelmed and unsure of where to begin, follow this 10-step guide to turn your business idea into a reality. If you have any inquiries, Vargas & Vargas Insurance is here to assist you. Don’t hesitate to get in touch with our office at 617-298-0655 or fill out our online quote form today!

Perfect Your Business Idea

“When considering starting of a business, it’s probable that you’ve already conceptualized what you intend to offer online or the market you aim to penetrate. Conduct a brief search to identify existing companies in your selected industry. Study the strategies employed by current industry leaders and determine how you can enhance them. If you believe your business can provide something unique that others don’t, you’ve laid the foundation for a strong idea and are prepared to formulate a comprehensive business plan.”

Create A Business Plan

Once you have your idea, ask yourself these key questions: What’s your business purpose? Who’s your target audience? What are your goals? How will you fund your startup? A clear business plan can answer all these questions.

Review Your Finances

Launching a business comes with expenses. How will you pay for them? Do you have the money, or will you need to borrow? If you’re leaving your job, do you have savings to support yourself until your business turns a profit?

Choose Your Business’s Legal Structure.

When planning to register your business, it is important to determine which type of entity it falls under, such as sole proprietorship, partnership, corporation, or limited liability company. The legal structure of your business can have a significant impact on various aspects, including tax filings and your personal liability in case of any unforeseen circumstances. Consult with your CPA or attorney to determine the most suitable option for your business plan.

Register With Your State And The IRS

Before you can legally operate your business, it is necessary to obtain business licenses. This involves registering your business with the federal, state, and local governments.

Shop Around For Business Insurance Policy

Shopping around for insurance for your business is crucial before you start it. Incidents such as theft, property damage, or customer lawsuits can be expensive. You need to be sure that you have enough protection. And remember to get an insurance policy in place before you start your business..

Choose Your Vendors And Business Partners

Operating a business can be quite daunting, and you can unlikely handle everything single-handedly. This is where third-party vendors come into play. Companies in various industries, such as HR or business phone systems, are dedicated to collaborating with you and enhancing the efficiency of your business operations.”

Is Establishing A Brand Identity And Engaging in Advertising Essential?

Prior to launching your product or service, it’s important to establish your brand and cultivate a loyal following of potential customers. One effective approach is to leverage your network of trustworthy acquaintances willing to support your venture. Contact us for guidance on a proven strategy that has assisted countless entrepreneurs in launching their businesses.

Pro-Tip

Learn from others who have already started their own business. If you don’t know anyone personally, we suggest reading “The E-Myth” by Michael Gerber. This book explains why many small businesses fail and offers solutions to overcome those challenges.

Your Local Independent In surance Broker

At Vargas & Vargas Insurance, we provide insurance coverage for businesses of any size, regardless of the industry. Contact us today to discuss your business insurance requirements and tailor a policy that best suits you and your business.

During different seasons, claims adjusters encounter different types of claims. Leaves falling from trees can cause drivers to skid. Wildlife often crosses roads without paying attention to traffic. Rushing drivers may have partially obstructed views due to frosty windows.

Claims adjusters and insurance agents can educate policyholders about seasonal risks during the claims process. Here are nine types of claims that increase during the fall and early winter.

As leaves begin falling, some types of insurance claims are rising.

Animal Collisions – Fall is a busy time for animals preparing for winter. Be alert on the roads, especially during the morning and evening hours.

Water Damage – Heavy rains and freezing pipes can lead to water damage. Have your pipes checked out by a professional to avoid any leaks.

Fire Damage – Colder weather increases the use of candles, stoves, and fireplaces. Be sure to get your chimney evaluated each season, never leave a burning candle, and pay attention while cooking.

Rear-end Collisions – These increase due to low visibility driving conditions. Always keep a safe traveling distance behind the car in front of you, and pay attention to speed limits.

Parking lot claims – With the holidays just a few months away, people are going to malls and shopping centers more often. This means more drivers and more claims for accidents in parking lots. Some hazards include damage from shopping carts, car thefts, and tight parking spots.

Snow and ice – In some parts of the country, snow claims happen from October to December. Check tire tread and inflation before cold weather. Slow down on wet, icy, or leaf-covered roads. Keep your gas tank half full to avoid burning fuel if stuck in snow traffic. Check battery, wipers, anti-freeze, and wiper fluid levels. Keep shovels, blankets, and snacks in the car in case of a breakdown.

Auto thefts – Auto theft claims peak in the fourth quarter, with about 25% of claims occurring during this time. The Insurance Information Institute reports that over $4 billion worth of auto thefts were reported in 2013. To prevent theft, avoid leaving gifts and other valuable items in your car. Remove visible packages, briefcases, and electronics, and wipe away the suction cup ring left by GPS devices. Take photos of high-value items and keep receipts as proof of ownership. Consider asking mall security to escort you to your car, and always lock doors and close windows before leaving your vehicle.

Home thefts – More claims happen in the fall, burglaries increase 25%. To be safe, homeowners can use timers for lights and motion detectors for outdoor lights. They can also use apps to check who comes and goes from their home. Valuables should be kept in a fireproof safe or safety deposit box.

Here is a Pro Tip – Keep your trees pruned. This will not only eliminate dead and dying branches but it also encourage new growth by improving sunlight exposure and air circulation. Removing weak areas also stops current damage from worsening, preventing potential lasting harm or premature tree loss.

You Local Independent Insurance Broker.

Vargas & Vargas Insurance has been assisting families and businesses with their insurance needs for more than four decades. Whenever you need help, our team can contact you at 617-298-0655.

Builder’s risk insurance is a crucial aspect of your project, providing personalized protection for the structure and materials until the project is finished.

Vargas & Vargas Insurance, we’ve assisted countless property owners in safeguarding their homes during construction or renovation with builder’s risk insurance.

Builder’s Risk Insurance Simplified

Builder’s risk insurance is a tailored property insurance designed for buildings in construction, also called ‘course of construction’ insurance. It shields both the property and homeowner from financial losses due to damage or loss of the project’s structure and materials during construction.

These policies are highly specialized, which can make understanding them confusing. We’ll focus on ‘location-specific policies’ in this article, covering individual residential or commercial construction, remodel, or installation projects, like the one you might have for your home.”

Builder’s risk insurance is a tailored property insurance designed for buildings in construction, also called ‘course of construction’ insurance. It shields both the property and homeowner from financial losses due to damage or loss of the project’s structure and materials during construction.

These policies are highly specialized, which can make understanding them confusing. We’ll focus on ‘location-specific policies’ in this article, covering individual residential or commercial construction, remodel, or installation projects, like the one you might have for your home.

What It Covers and Excludes

A builder’s risk policy typically covers the structure under construction, including all materials destined to be a permanent part of it, whether on-site or in transit. The specifics vary between projects due to their unique nature.

In general, these policies commonly cover damages or losses caused by theft, vandalism, fire, lightning, hail, hurricanes, wind, explosions, and vehicles.

Exclusions and Extensions:

Standard exclusions typically include damages due to wear and tear, mechanical breakdown, design flaws, employee theft, earthquakes, water damage, weather-related harm to property left outside, acts of terrorism and war, government actions, contract penalties, and voluntary parting.

Additional exclusions may apply depending on location and project details. For instance, coastal projects might exclude earthquakes, floods, and wind damage, but extensions are often available for purchase to cover these situations.

Beyond the main structure and its materials, policyholders can buy extensions for temporary structures, construction forms, scaffolding, and debris removal.

Builder’s risk insurance also offers optional extensions to mitigate financial impacts from project delays resulting from a loss, such as lost sales or rental income, loan interest, and real estate taxes. Some of these may be included in a standard policy without extra cost.

What Builder’s Risk Insurance Doesn’t Cover:

Builder’s risk insurance does not cover accident and injury liability during construction, requiring separate liability insurance.

It also excludes subcontractors (who need their insurance) and property belonging to others.

Builder’s Risk Insurance Coverage and Terms:

Builder’s risk insurance provides coverage up to the pre-established coverage limit. This limit, determined when purchasing the insurance, usually matches the construction budget, encompassing all materials and labor costs (excluding land value).

Policy terms typically span three, six, or 12 months, depending on the construction timeline. If the construction surpasses the policy term, it can often be extended, usually limited to a single extension.

How Much Does Builders Risk Insurance Cost

A Standard builder’s risk insurance policy typically ranges from 1-4% of the total construction cost.

So for instance, a $400,000 project could cost between $4,000 to $16,000, with the exact amount influenced by policy type and extensions.

To get a quote, your insurance agent will need details like:

• Project address
• Project type
• Budget
• Number of stories
• Square footage
• Public protection class
• Security measures
• Actual cash value of existing structure (for renovations)
• Year built (for renovations)
• Projected structural alterations (for renovations list)

Need More Information Or An Insurance Policy?

Builder’s risk policies are customized for each project, so they can vary significantly. Collaborate closely with your agent to ensure your coverage matches your project’s requirements.

At Vargas & Vargas Insurance, we’ve assisted numerous property owners in obtaining tailored coverage for a wide range of projects, from first homes to summer beach houses and more.

After your project and the builder’s risk policy end, and your project is complete, we can also help you obtain the necessary homeowners policy to protect your new home.

Your Local Independent Insurance Broker

“For over 40 years, Vargas & Vargas Insurance has been dedicated to helping families and individuals. Our team is here to address all your insurance questions, whether about Builders Risk, flood, home, condo, renters, business or auto insurance. Feel free to contact us today at 617-298-0655.”

If you have ever experienced in a total loss of your car, it can be overwhelming. Even experienced drivers can feel panicked when their vehicle is declared a total loss after an accident. Beyond the concerns of injuries and safety, you might have questions about your next steps and the insurance process.

At Vargas & Vargas Insurance, we understand that the aftermath of a car accident is a confusing and uncertain time. Finding out that your car is considered a total loss and won’t be repaired only adds to the stress.

Understanding what “total loss” means and how insurance companies determine it is just one of the many inquiries we receive from clients filing accident claims. We’re here to provide clarity during this challenging period, explaining total loss, how your insurance policy covers it, and the steps you should take afterward.

In this post, we’ll break down when a car is considered a total loss, which coverages come into play, and the necessary actions you should take after experiencing a total loss.

When does a car qualify as a total loss?

If your car sustains significant damage in an accident, your insurance company might label it a total loss. This happens when repairs become impractical or when the vehicle remains unsafe even after fixing it.

Generally, if repair costs surpass your car’s actual cash value, it’s declared a total loss. Instead of repair expenses, you’ll receive compensation based on the car’s value.

Insurers often take possession of totaled vehicles. Ensure you transfer the title, cancel the license plates, and remove the car from your insurance policy to avoid unnecessary charges.

How do insurance companies decide if a car is a total loss?

Your insurance companies assess if a car is a total loss only after conducting their own inspection of the vehicle’s damages.

Most Massachusetts insurance companies employ the total loss formula (TLF) to decide on total loss status. If the cost of repairs plus the salvage value equals or exceeds the car’s actual cash value, it’s declared a total loss.

Keep in mind that variations exist due to your insurer and unique circumstances, so it’s wise to consult your insurance provider about this process.

How is the actual cash value calculate?

The actual cash value (ACV) reflects your car’s present market worth. Insurers calculate it by subtracting depreciation from the initial purchase price.

It’s important to distinguish ACV from replacement cost. Replacement cost provides the full value of a new vehicle without considering depreciation. However, this coverage is usually limited or comes with higher premiums compared to ACV.

Which insurance coverages deal with totaled vehicles?

If another driver is responsible for an accident that totals your car, their insurance policy will cover your vehicle’s actual cash value.

When you’re at fault for the accident, or if the other driver leaves the scene or lacks insurance, you need to file a claim under the appropriate coverage on your policy to get compensation for your car’s ACV.

The specific coverage you should use depends on the accident scenario:

1. Collision Coverage:

• Handles damages caused by colliding with vehicles or objects.
• If you’re at fault for the accident, your ACV reimbursement comes through collision coverage.
• Recommended for all drivers but not mandatory in Massachusetts if you own your vehicle outright.

1. Comprehensive Coverage:

• Addresses damages from non-collision incidents like theft, vandalism, weather, and animal collisions.
• If a non-collision event results in your car being totaled, the comprehensive coverage is used.
• Similar to collision coverage, it’s not required if you own your vehicle and don’t have a loan.

1. Uninsured/Underinsured Motorist Coverage:

• Required in Massachusetts.
• If you’re in an accident with an uninsured or hit-and-run driver, this coverage reimburses your car’s ACV.

It’s important to understand which coverage to use based on your accident scenario. If you’re unsure, consult your insurance provider to ensure you’re properly covered.

What happens if I still have a loan on my vehicle?

What if the money you receive for your totaled vehicle doesn’t cover your outstanding loans? This is where GAP insurance comes in. GAP insurance, or “guaranteed asset protection,” fills the gap between the actual cash value you’re reimbursed for your vehicle and the amount you owe on your loan or lease. Remember, GAP insurance is not included by default – you need to add it to your policy through an endorsement if you’re eligible.

How Much Does GAP Coverage cost?

Adding GAP insurance to your Massachusetts auto insurance will typically cost an additional $25 to $75 per year. If you get this coverage through the dealership or finance company, the cost will vary based on factors like the car’s MSRP, loan duration, financed amount, and APR, generally ranging from $500 to $750.

It’s important to note that many dealers and finance companies might attempt to include GAP insurance in your monthly loan or lease payment by default. Therefore, it’s crucial to inquire about this and clarify before finalizing your paperwork.

What steps should I take if my vehicle is declared a total loss?

Here’s what to do if your vehicle is totaled:

1. File a claim: Contact your insurance agent or provider right away to start the process. Total loss claims are filed like any other claim on your auto policy.
2. Tow your vehicle: Arrange to have your car towed to an auto body shop since you likely can’t drive it anymore.
3. Gather documents: Be proactive and collect documents your insurer will need, such as the car’s title and sales receipt. If leased or financed, your lender/lessor will provide the title.
4. Research car’s value: Look up your car’s current value to get an idea of the reimbursement you might receive.
5. Check loan status: If you have a loan or lease, inform your lender/lessor about the damages and the upcoming settlement.
6. Shop for a new car: You may not get the same car, but you can use the reimbursement for a down payment on a new vehicle.

Pro-Tip

Before you do anything, document the condition of your car with photos and notes. This evidence can support your insurance claim and ensure you get the compensation you deserve. Remember, thorough documentation can make a significant difference in a total loss scenario. Stay prepared, stay protected!

Your Local Independent Insurance Broker

Totaling your car can be unsettling, but being prepared is key. Understand what triggers a total loss and how your insurance covers it. This knowledge lets you know exactly what to do if your car is ever totaled.

For over four decades, Vargas & Vargas Insurance has been assisting individuals, families, and businesses. We’re here to address your questions and find the best coverage at the most competitive rates. Reach out to us at 617-298-0655.

If you’ve purchased a new car or leased one, you might have come across the term “gap insurance.” It’s often mentioned during loan or lease paperwork, and you may have been advised to get it from the dealership. However, the explanation might not have been clear.

At Vargas & Vargas Insurance, we’re here to shed light on gap insurance—what it covers, its costs, and the choice between dealership purchase and adding it to your Massachusetts auto insurance policy. (Yes, you heard that right—we might suggest an alternative source!)

While gap insurance is quite affordable when included in your auto insurance, it tends to be pricier if bought at the dealership. But there are distinctions between the two options. Let’s explore the details!

What is GAP insurance?

When your car is in an auto accident, your Massachusetts auto insurance policy covers the vehicle’s “actual cash value.” Keep in mind it doesn’t replace the car itself. This distinction is crucial.

From the moment you drive your new car away from the dealership, its value depreciates. In the unfortunate event of a total loss or theft, your insurance will reimburse the car’s actual cash value at that time. If this amount falls short of your loan or lease, you could still owe money. This is where GAP (Guaranteed Asset Protection) insurance comes into play – it bridges this gap, covering the difference.

Who Can Purchase GAP Insurance?

GAP insurance can be added to an auto insurance policy within 30 days of purchase of vehicle. But it’s important to note that if you have an accident before that 30 days is up, and you haven’t added the coverage yet, you will not be able to add it after the accident.

You also must have bought the vehicle using a loan or lease, and the vehicle must be 5 years or newer to be eligible.

Is GAP Insurance Mandatory?

While not mandated by the state of Massachusetts, GAP insurance is not a requirement for all drivers. However, if you’re leasing a vehicle, the leasing company might insist on this coverage. Checking your lease agreement will provide clarity on whether it’s necessary. To understand the impact of leasing on your auto insurance, feel free to reach out for more information.

How long do I need to pay for GAP insurance?

The duration of your GAP insurance coverage depends on your individual circumstances. Generally, it’s advisable to have GAP insurance throughout the entire duration of your auto loan or lease. This way, you’re protected in case of a total loss or theft. However, you can consider cancelling the coverage once the gap between your loan/lease balance and the vehicle’s value decreases significantly. To make an informed decision, discuss your situation with your insurance provider.

What Does GAP Insurance Cost?

By including GAP insurance in your Massachusetts auto insurance policy, you’ll likely see an increase of around $25 to $50 in your annual premium.

However, if you opt for dealership or finance company coverage, the cost will fluctuate based on factors such as MSRP, loan duration, financed amount, and APR. Generally, this option might range between $500 and $750.

Be aware that some dealers and finance firms might automatically bundle GAP insurance into your monthly payment. To avoid surprises, make sure to inquire about this before finalizing your paperwork.

Your Local Independent Insurance Broker

Vargas & Vargas Insurance has assisted individuals, families, and businesses for over four decades. We’re here to address your questions and find the best coverage at the most competitive rates. Reach out to us at 617-298-0655.

How does saving thousands of dollars in car repairs sound?

We’re here to share some maintenance tips that may do just that! Check them out below:

Schedule Inspections and Maintenance

To save money on car maintenance, regularly book check-ups and services. Think of it as preventative maintenance to avoid costly repairs later. For instance, replacing brake pads is cheaper than replacing damaged brake discs. How often you should have your car checked depends on how much you drive – more miles mean more frequent check-ups.

Change The Oil – To keep your gasoline-powered vehicle running smoothly, it’s important to regularly change the oil. This typically costs around $60 and should be done every 5,000 miles. Even if you don’t drive much, you should still change the oil at least once a year, according to Consumer Reports.

Keep The Battery Clean – If you don’t keep it clean, it could develop a crack or not function properly. Test your battery twice a year and inspect it for corrosion.

Replace The Brake Pads – Check the brake fluid every time you change the oil. If it’s dark in color, reach out to a mechanic to get your brake fluid changed and see if a new system is needed.

Replace Your Air Filter – Change your air filter every 12 months or 12,000 miles, as using an old air filter can lead to significant – and costly – problems for your air conditioning system.

Lights On For Safety – Keep a close eye on your car’s lights. Make sure your headlights, brake lights, and indicators are functioning properly. Don’t forget to test the brake lights by pressing the pedal or asking for help. Modern cars have a warning light on the dashboard to signal when lights are out. Remember, faulty lights can be dangerous and might lead to fines from the police. Stay safe on the road!

Here’s A Pro-Tip – According to auto mechanic expert Scotty Kilmer, tire rotation for modern cars is an unnecessary expense. He explains that today’s tires are significantly superior to those in the past.

Your Local Independent Insurance Broker.

If you want to ensure that you have the best insurance coverage at the most affordable price, our team is ready to assist you. Simply dial 617-298-0655 to get in touch with us. We will be happy to review your insurance policy and make recommendations to ensure that you are properly insured.

Do you need a new insurance agent or broker? Maybe you’re unsure and looking for advice or wanting to switch agents. It’s important to choose the right one, so it’s wise to do your research and evaluate potential agents. Not all agents and brokers are the same. How can you distinguish a good agent from a bad one?

What are the benefit of changing my agent after having worked with the same one for a long time?

Your insurance agent may not be good even if you’re used to them. You may have outgrown them as your needs change over time. You might be missing out on savings if you’ve been with the same agent for a long time. Switching agents can help you find better deals and stay up to date with industry practices. It’s important to work with an insurance broker who will review your insurance annually, compare quotes, and recommend alternatives when it’s time to switch insurance companies for more favorable rates. At Vargas & Vargas Insurance, we do this for ever client every single year.

What Is An Independent Insurance Brokers

An Independent insurance broker does not work for a single company but instead serve clients in finding coverage from a network of insurers. Unlike agents who are tied to one company, like Allstate, Liberty Mutual, AMICA, GEICO and many others, independent brokers have the flexibility to work with multiple insurance providers to find the best coverage options and rates for you. They have no vested interests in promoting a particular company, so you can trust that their recommendations are based solely on your needs. Whether you need help navigating a life change or simply want advice on switching to a new car insurance provider, independent brokers are there to provide unbiased advice and help you make informed decisions.

What Is A Captive Insurance Agent

Agents who work exclusively for one insurance company are called captive insurance agents. They are obligated to sell their company’s insurance policies, regardless of whether it is the best fit for the customer. If you choose to work with a captive insurance agent, you may not be getting the best possible insurance coverage or rate. This is because they will only offer you rates that are available through their company, and not necessarily the most affordable options. They are not motivated to help you switch to another insurance company, as their commission is tied to providing good customer service for their company. While they may strive to provide excellent customer service, their primary concern is the success of their company, not the satisfaction of their clients.

Buying Insurance Online

If you lack knowledge about insurance, buying your insurance online can be perplexing. And sometimes, there may be some fine print or confusing legal jargon that you might miss. However, if you choose to use an insurance agent, we can assist you in deciphering all of those details. Even though some online companies call center agents, they may not be able to provide personalized service, and you might end up speaking with multiple people. This can be a problem because if you’ve already explained your concerns to one agent, the next agent you speak to may not have that information, and you’ll perhaps have to start from scratch.

Finding The Right Insurance Broker Or Agent For Your Needs

Do your homework. Find a broker or agent who genuinely cares about your interests. With numerous options available, it’s tough to choose, especially when every one of them claims to be the best.

Check out reviews and recommendations. Start by talking to people you know, like, so you can trust their feedback. Who did they have a positive experience with? Who do they advise you to steer clear of? These suggestions matter.

If personal recommendations don’t help, go online. Look for insurance agents’ ratings and reviews on platforms like Google, which can guide potential customers. Additionally, when reviewing online reviews, check if the business responds to its reviews. A business that values its clients and reputation will engage with the feedback they receive.

To learn about the insurance options offered by Vargas & Vargas Insurance, you have a few options. You can reach out to an agent by calling 617-298-0655, visiting their website at vargasinsurance.com/contact-us, or even sending a text to 617-409-0329. The team is ready to assist you with any inquiries or issues you may have.

Having the appropriate replacement coverage is vital when it comes to safeguarding your home, which is likely one of the biggest investments you’ll ever make.

Homeowners face many risks that increase with their home’s value. These risks include supply chain disruptions, high parts and labor costs, and inflation. These factors affect the upkeep and repairs needed to maintain a home. If you have any questions, please contact our office at 617-298-0655 or complete our online quote form.

When it comes to insuring a home, it’s important to consider its valuation and the cost of rebuilding in the event of an unexpected incident. There are several types of home valuations to keep in mind, including market value, appraisal value, assessed value, and replacement cost.

Market value: takes into account factors like location, neighborhood, school system quality and desirability to determine a price a buyer would be willing to pay.

Appraisal value: is determined by lenders to make sure homeowners don’t borrow more than the home is worth.

Assessed value: is set by local municipalities for tax purposes, and it usually lage a few years behind the market vale.

Replacement cost: is the amount an insurance carrier calculates to rebuild a home to its pre-loss condition after a significant event.

To ensure that your insurance aligns with the value of your home, we suggest following these four steps:

Getting a replacement cost valuation: for your home can help you figure out if it’s adequately insured. An agent can guide you through this process. Understanding the precise value of your home is crucial for agents to determine the type and amount of coverage required.

It is important to ensure that every aspect of your house is taken into consideration when determining its replacement cost. If you own a luxurious property with unique building materials, superior artistry and personalized features, the conventional industry tools used for this purpose might not suffice, leading to incomplete coverage.

Once we have determined the value of the client’s home, we will ensure that their insurance policy offers the appropriate coverage to meet their specific requirements, so they don’t have to deal with any unforeseen expenses or high out-of-pocket costs in the event of a loss.

Certain insurance providers provide unrestricted replacement cost coverage for dwellings that have suffered complete damage. This implies that if the homeowner experiences a covered loss, the house will be rebuilt or replaced using materials of equivalent quality and kind, even if the cost is higher than the amount specified on the policy.

Your Local Independent Insurance Broker

To review your current homeowners insurance policy and explore ways to save money, contact Vargas & Vargas Insurance at 617-298-0655 or visit vargasinsurance.com.

You know all about paperwork if you have or are buying a condo. This includes getting a personal condo insurance policy also known as an HO6 that fits with your condo association’s master insurance policy and bylaws.

At Vargas & Vargas Insurance, we can help you navigate through these documents and find the best insurance coverage for you. The master deed is one of the documents you’ll need to look at, which explains what the condo association’s master insurance policy covers.

• To understand common condo charges, you need to have the condo bylaws.
• If you don’t have them, contact your condo association or check the Massachusetts Land Records website.
• There are three important things to look for in the bylaws.

Walls-in vs. all-in

A condo association has an insurance policy that is included in your HOA fees. The policy covers damage to the building, grounds, and outdoor features. The policy could be either a “walls-in” or an “all-in” policy. You should know the difference so you understand what the policy covers and what your responsibility is. An all-in policy covers everything in your condo that you do not own. A walls-in policy does not cover anything within your walls. You should review your condo association’s policy to find out if it is walls-in or all-in. Knowing the type of policy might not be enough.

Review your documents carefully to see what is covered for you. You may wonder why you need to know this if you can’t choose what is covered. But you can actually get extra coverage with your personal condo insurance policy. For example, if your master policy doesn’t cover things like drywall, carpeting, and appliances, you can increase your limits to include them. You can also consider optional coverages like water-backup or flood insurance.

Loss assessment information

Condos have loss assessments that tenants should be aware of. The condo association may ask every tenant to pay a certain amount if a common area is damaged and the master policy doesn’t cover it. This applies to damage and medical liability situations. For example, a tree falling on a commonly owned building or someone getting injured in the property’s swimming pool. To avoid loss assessments, tenants should review their master deed to know which areas are the responsibility of the condo association and which are the unit owner’s responsibility. Tenants should also make sure they have enough coverage on the loss assessment portion of their personal condo insurance policy.

You might have to pay for damages up to the amount stated in your policy. We suggest getting $50,000 in coverage as it’s affordable and worth it. Different insurance companies have different rules, so ask your agent for more information.

Choosing A Deductible

Your master condo insurance has a deductible, which is the amount you need to pay before the insurance company pays for a claim. When selecting coverages for your personal condo insurance policy, you should consider this deductible value. The dwelling coverage portion of your policy covers the deductible you would have to pay on your master policy if a claim resulted in damage to your condo’s building, grounds, or outdoor features.

Master policy deductibles can vary from $5,000 to as much as $50,000 or more. You should ensure that your dwelling coverage is at least the same amount as your master policy deductible.

Include the value of things in your apartment on your dwelling coverage. These things include walls, flooring, carpets, counters, and built-in appliances.

Finally

Your condo association may not provide you with all the information you need when buying a condo. You need to read all the documents, including the fine print, to make informed decisions about your personal condo insurance policy. If this seems overwhelming, we can help. We’ve reviewed condo documents for clients to ensure they make the right insurance choices.

Your Local Independent Insurance Broker

Vargas & Vargas Insurance has been serving clients for more than four decades, making them a trustworthy choice. They can help you find the coverage that suits your needs and answer any questions you may have. Contact them today at 617-298-0655 and let them assist you in finding the ideal policy for your situation.

Backyard swimming pools and hot tubs, whether luxurious in-ground Olympic models or simple inflatable ones for kids, come with safety and insurance considerations. It’s important to be aware of these factors before installation. If you have any inquiries, please don’t hesitate to reach out to our office at 617-298-0655 or submit an online quote form.

It’s important to know what your town considers a “home pool” and what safety and building codes you need to follow. This information can vary based on the size and depth of your pool. To ensure you are meeting the local standards, reach out to your municipality and ask about the relevant regulations. You may need to install a fence of a certain size, locks, decks, and other safety equipment for your pool. By taking these precautions, you can create a safe and enjoyable environment for your family and friends to enjoy.

According to the insurance industry, a pool is deemed an “attractive nuisance.” Although it is a source of pleasure, having a pool increases your liability risk. It is recommended that you get in touch with your insurance agent and review your policy if you own a pool or are thinking of installing one. Homeowners have an obligation to safeguard unsuspecting kids from the potential hazards of an attractive nuisance. If you have a pool, practical steps to take may involve putting in place.

To ensure pool safety, several measures can be taken. These include:

A fence around the pool

Using an automatic safety cover

Using a solid or mesh safety cover

Posting a sign to indicate any potential dangers

Making sure that safety equipment is easily accessible

Your homeowner’s insurance policy covers property damage and liability incidents on your property. Pool owners need more liability coverage due to increased risk. An umbrella policy can protect your assets if damages exceed your primary policy’s limits. Consider umbrella coverage with a pool, as you are responsible for incidents on your property.

Homeowners’ insurance varies depending on the pool type. In-ground pools are usually covered by dwelling or other structures coverage. Above-ground pools may be classified as personal property or other structures if damaged. You should speak to your insurance agent to check if your limits are sufficient to cover above-ground pool repairs or replacement in case of damage.

Your Local Independent Insurance Broker

If you want to know more about the homeowners insurance provided by Vargas & Vargas Insurance, you can either call an agent at 617-298-0655 or visit their website at www.vargasinsurance.com/contact-us. We will be happy to answer any questions or address any concerns you may have.