At Graybeal Group Inc. one of our missions is to make sure our clients and prospects are educated on the type of insurance they have/may need. Farm Insurance may confuse some, as they are seven different types of coverage, additional coverage, payouts for losses, etc. In this blog, we are going to discuss the different ways insurance companies will reimburse the insured for their loss, depending on the type of coverage they purchased. 

OREGON FARM INSURANCE- COVERAGE A (DWELLING) AND COVERAGE B (OTHER PRIVATE STRUCTURES)- HOW IS A LOSS REIMBURSED/COVERED?

 Loss is reimbursed by the Replacement Cost – The cost to replace a damaged/destroyed item of property, without deducting for any depreciation. This is subject to an 80% coinsurance clause when it pertains to partial losses. A coinsurance clause is: the insurance company will pay the FULL amount on a PARTIAL loss up to the limit of insurance carried, if the insured carries the percentage required of coinsurance. If the insurance company requires an 80% coinsurance be carried, that means that the insured is carrying insurance on the value of 80% of the property. If the required percentage is maintained, then, in the event of a partial loss, the insurance company will reimburse the loss completely. If there is a total loss, the insurance company will cover up to the percentage carried (if the stated required % is carried) and the insured is responsible for the remainder of the expense to replace. The insurance company will pay the least amount of: 

  1. Cost to replace the damaged part of the structure with an equal amount of construction for use on the same property. 
  2. Up to the applicable limit of insurance. 
  3. Actual amount spent to repair or replace the structure. 

OREGON FARM INSURANCE COVERAGE C (HOUSEHOLD PERSONAL PROPERTY)- HOW IS THIS LOSS REIMBURSED? 

Coverage C is replaced on the premise of Actual Cash Value. Actual cash value is the value of the property MINUS the depreciation cost.  That equation equals how much the insurance company will reimburse the insured. 

OREGON FARM INSURANCE COVERAGE E (SCHEDULED PROPERTY) AND COVERAGE F (UNSCHEDULED PROPERTY) – HOW ARE THESE LOSSES REIMBURSED? 

The amount that it costs to repair or replace using the Actual Cash Value method. However, the insured is required to carry and maintain insurance that’s at least 80% of the cash value on unscheduled  personal property.  If the insured carries less than the required amount, the insurance company imposes a penalty at the time of loss, by not paying for more than what is covered, divided by required amount, times the loss. 

OREGON FARM INSURANCE COVERAGE G (OTHER FARM STRUCTURES)- HOW IS COVERAGE G REIMBURSED AFTER A LOSS? 

The insured (at time of implementing policy with insurance company) may choose to select either Actual Cash Value or Replacement Cost as their method of reimbursement. If they’ve chosen replacement cost, they must carry coinsurance.  In both cases, the amount will not exceed the actual amount necessary to repair or replace the damage, up to the applicable limit of insurance.

farm insurance fire

BASIC CAUSE OF LOSS FORM- WHAT DOES THIS COVER? 

If an insured chooses the Basic Form for their Cause of Loss form, the following are covered losses: 

  • Fire
  • Lightning
  • Windstorm
  • Hail
  • Aircraft or vehicle (not driven or piloted by the insured)
  • Civil commotion or riot
  • Volcanic Action (occurs within a 168 hour period, it’s considered one single event)
  • Explosion
  • Smoke (not from agricultural smudge or industrial operations)
  • Vandalism
  • Theft
  • Sinkhole collapse (that results in damaged property)
  • Collision (damage or loss to farm personal property, covered farm machinery, or death of covered livestock)
  • Earthquake and flood loss to covered livestock

BROAD FORM OF LOSS- WHAT DOES THIS COVER? 

If an insured chooses the Broad Form of Loss form, the following are covered losses: 

  • Everything included above in the Basic Form
  • Falling objects (covers damage from the falling object- not the actual object though)

Falling object does not cover: Personal property in the open or the interior of a building or structure, or property inside the building or structure unless the falling object first damages building or structure

  • Weight of ice, snow, or sleet that causes damage to a building or property inside the building

Weight of ice, snow, or sleet does not cover: Damage or loss caused by pressure or weight of water in any form to any foundation or retaining wall, pavement or patio, awning, fence, outdoor equipment, swimming pool, bulkhead, dock, pier, or wharf.

  • Accidental discharge or leakage of water or steam if results in cracking or breaking of any part of the system or appliance containing the water or steam. Pays for damage to covered personal property. 
  • Freezing of plumbing, A/C, automatic fire sprinkler system, heating, or household appliances. (Exception: not applicable to building/structure that’s been vacant or unoccupied for 60+ days unless there’s been steps taken to prevent freezing- such as maintain heat, shut off water, drain appliances, etc)
  • Sudden and accidental tearing apart, cracking, burning, or bulging of a steam or hot water heating system, an A/C or automatic fire sprinkler system, or an appliance for heating water. 
  • Glass breakage or safety glazing material- includes glass that is part of building/structure, storm door/window
  • Electrocution of covered livestock
  • Sudden and accidental damage from artificially generated electrical current (Only to Coverage A,B,C,D)
  • Attacks on covered livestock – Only by wild dogs/wild animals NOT owned by insured, employees, or any residents of insured location
  • Drowning of covered livestock (Doesn’t include swine drowning that are under 30 days old)
  • Accidental shooting of covered livestock- Not done by an insured, staff, or other residents of insured location
  • Loading or unloading of covered livestock that results in the death of livestock

Stay tuned for Special Cause of Loss Form and what it covers. Also, we’ll discuss the Exclusions for all three of these forms.

We have a team of advisers waiting to answer your questions and help you choose the best coverage for you and your livelihood.

For more information about how Graybeal Group Inc. can help with your farm insurance needs, click here!

Graybeal Group, Inc. Offers A Wide Range of Products and Pricing

Graybeal Group Inc. is a professional Insurance company with licensed agents and staff.  With over three decades of experience, Graybeal Group takes pride that our agents are specialized in the needs of our customers in the areas of Crop/Agriculture, Hemp, Non-Profits, Pasture Rangeland and Forage, and Farm & Ranch. 

Being able to provide the time for our agents to focus on their specialty allows us to give you – our clients – the needed coverage for your home and business.

For more information, we invite you to call Graybeal Group Inc. at (541) 567-5523.

There are seven different forms of farm property coverage. Our goal at Graybeal Group Inc. is for you to fully understand you farm insurance policy, as well as understanding the additional types of farm insurance coverage we provide! The first form is, Coverage A for Dwellings

WHAT DOES OREGON DWELLING FARM INSURANCE COVER? 

Coverage A for Dwelling covers direct physical loss to the property. Coverage A covers each dwelling, any structures attached to the dwelling, and any materials onsite (at the location that’s insured) that are intended to use to alter, repair, or build upon any of the covered dwellings or their attachments. Also, any building or outdoor equipment that’s used for service of the covered property that’s not covered by other insurance, would be covered under Coverage A- Dwelling. 

Another part of Coverage A includes coverage for outdoor TV antennas, outdoor radio, and/or satellite dishes.  Coverage A covers these items up to $250 unless otherwise noted in the policy. 

THE SECOND OREGON FARM INSURANCE FORM IS CALLED COVERAGE B- OTHER PRIVATE STRUCTURES APPURTENANT TO THE DWELLING. 

This means, to qualify, the structure has to be separated from the dwelling with a clear space defining it.  If you are  using a structure as a private garage, this coverage will supply an additional amount of insurance equal to 10% of Coverage A amount you have listed in the policy for Dwelling.

The Special Limit of Insurance for antennas and satellite dishes applies to Coverage B as well ($250). 

WHAT DOES OREGON FARM INSURANCE- COVERAGE C- HOUSEHOLD PERSONAL PROPERTY COVER? 

Coverage C covers the household property of the insured, those who reside there (members of insured’s family), or for those staying/residing on a covered dwelling on the insured’s property. This coverage will also cover household property away from the insured’s premises, however, the limit of liability is 10% of total Coverage C amount, or $1000, whichever is more. If the insured is a tenant and they make improvements such as alterations or building additions that they use exclusively, then again, the amount of coverage is 10% of Coverage C’s total limit of liability. 

There are some Exclusions and Special Limits of Insurance that apply to Household Personal Property Coverage. Let’s discuss Exclusions first, then we will look at Special Limits. 

EXCLUSIONS TO OR COVERAGE C- HOUSEHOLD PROPERTY: 

  1. Articles specifically described and specifically covered under this or any other insurance. 
  2. Trees shrubs, and plants (unless covered under an extension).
  3. Birds, Fish, Animals
  4. Business Personal Property (except for those items covered under Special Limits).
  5. Magnetic Recording or storage media for electronic data processing, except that which are purchased prepackaged software programs.
  6. Any device for transmitting, recording, receiving, or reproducing sound/pictures, unless specifically described/covered in the policy.
  7. Farm personal property, other than office fixtures, office equipment, or furniture.
  8. Motor vehicles designed for road use that are required to be licensed, unless being used to assist the handicapped or used to service the insured’s grounds, dwellings, etc.

SPECIAL LIMITS OF INSURANCE FOR COVERAGE C:

Specific items/categories of household personal property have special limits that are a part of this policy. They are subject to any applicable deductible.  These limits are the MOST the insurer will pay for any damage to property in the category per occurrence: 

  1. Platinum, silver (other than silverware), gold (other than goldware), and money – Limit is $200 per occurrence
  2. Letters of credit, passports, securities, and manuscripts- Limit is $1500
  3. Furnishings, engines or motors, trailers, watercraft (inc equipment) – Limit is $1500
  4. Trailers not used for farming operations or with watercraft – Limit is $1500
  5. Gravemarkers – Limit is $1000
  6. Business Personal Property on the insured location – Limit is $2500
  7. Business Personal Property away from the insured location – Limit is $500

THERE IS PROPERTY THAT IS ALSO SUBJECT TO SPECIAL LIMITS DUE TO THEFT: 

  1. Jewelry, furs, precious and semiprecious stones, and watches – Limit is $1500
  2. Goldware, silverware, pewterware, and other items made of or containing gold, pewter, or silver – Limit is $2500
  3. Firearms- Limit is $2500.

additional farm insurance polices

WHAT DOES OREGON FARM INSURANCE COVERAGE D – LOSS OF USE – MEAN AND WHAT DOES IT COVER?

What does this mean and what does it cover? This blog is dedicated to educating our clients and prospects on the different types of farm insurance coverage options.

Today we are talking about Coverage D- Loss of Use. Loss of Use refers to your residence becoming uninhabitable due to a covered loss.  This coverage states that the insurer will reimburse you for the necessary increase in living expenses to maintain your normal standard of living during the time it takes to repair or replace any damage, or to permanently relocate. 

Also, this coverage provides for Fair Rental Value. Fair Rental Value will reimburse you for rent lost if your residence is rented to a tenant. 

These payments, Fair Rental Value and Additional Living Expense will be paid for the shortest time possible that it takes to repair/replace damage or to permanently relocate.  There is no deductible for this coverage. 

If civil authority prevents access to your residence due to a covered loss that occurred on a neighboring property, the insurer will provide the above benefits to you for up to two weeks. 

We understand with all of these coverage choices, things can get confusing as to which is the best coverage options for your unique situation. At Graybeal Group Inc., we have a team of experts that are ready to help you with all of your questions and to make sure you choose the right coverage for you! 

WHAT DOES OREGON FARM INSURANCE COVERAGE E- SCHEDULED PROPERTY MEAN AND WHAT DOES IT COVER? 

Scheduled Property is property that is listed in the Declarations Page of your policy. Declaration page is the page that lists who is insured, what is insured, the provided coverages, and their associated premiums. 

Examples of some things that could be considered for scheduled property coverage are: 

Completed crops (not growing ones), grain in a silo, threshed seeds, beans, hay, straw, ground feed, poultry, livestock, bees, fish, worms, and other animals, machinery, vehicles, and equipment used for farming only. 

Covered property for Coverage E does not include: 

Growing crops, trees, shrubs, plants, or lawns; household personal property or property usual to a dwelling; any permanent fixtures within or attached to a building; or outdoor radio or TV equipment, wiring, and private power and light poles.

WHAT DOES OREGON FARM INSURANCE COVERAGE F- UNSCHEDULED PROPERTY MEAN AND WHAT DOES IT COVER? 

Coverage F- Unscheduled Property covers property (personal) on a blanket basis, that are not specifically scheduled as they are in Coverage E. If covered under Coverage F, items are covered while on or away from the insured’s premises/location. However, if the property is in the care of others, coverage is excluded. An example of this would be a seed warehouse. Property would be covered, however, during transportation by the insured or their employee. 

Some examples of items Coverage F may provide coverage for are: 

Equipment, tools, livestock, and some specified completed crops (up to limits of insurance shown on the Declaration Page). 

Livestock that are not specifically scheduled (Coverage E), may be covered here on a blanket basis subject to limits of insurance. These special limits are part of the Limit of Insurance (total limit) shown in the Declarations for livestock.  To be able to claim a loss on livestock, there must be death or destruction of livestock from a covered cause of loss. Just remember, the insurer will limit the amount of coverage under this option (F).

Some examples of items not covered by Coverage F are: 

Household or personal property; animals other than livestock (poultry, bees, fish, worms); racehorses, show horses or ponies; trees, shrubs, plants, lawns; tobacco, cotton, vegetables, root crops, potatoes, bulbs, fruit, or nursery stock; fences, windmills, or windchargers (and their towers); outdoor radio and TV equipment; and portable buildings or portable structures.

WHAT DOES OREGON FARM INSURANCE COVERAGE G – OTHER FARM STRUCTURES COVER?

The following are examples of what other farm structures may include for Coverage G:

Silos that are individually described; farm buildings and structures including attached sheds and permanent fixtures; portable buildings and structures; fences (not field or pasture), corrals, pens, chutes, and feed racks; outdoor radio and TV equipment, antennas, mast, and towers; building materials and supplies in building, altering, or repairing of farm buildings or structures at insured location; and if a tenant, improvements may be covered as well. 

There are Coverage Extensions to Other Farm Structures. Coverage extensions  are additional coverages that apply only in certain circumstances.  They have reduced or separate limits of liability or require the insured to meet certain requirements before they are applicable.

COVERAGE EXTENSIONS FOR COVERAGE G- OTHER FARM STRUCTURES

  1. New Construction: If there is a direct physical loss or damage to new farm structures, including supplies and materials (used in building), this coverage extends up to $100K. 

Conditions for this Extension:

  1. Structures that are not otherwise covered under this or any other policy
  2. Loss caused by fire, lightning, windstorm, or hail, aircraft or vehicle not driven by insured, civil commotion or riot, smoke, and vandalism. 
  3. Coverage for this extension ends when one of the following happens (whichever happens first): 
  4. 60 days have passed since the first date for delivery of material and supplies
  5. The policy expires
  6. The insured reports the values to their insurer. 
  7. Private Power and Light Poles: Insurer will pay up to $250.00 for direct physical damage or loss, including outside wiring and attachments. Attahcments include attached switch boxes, fuse boxes, and other electrical equipment mounted on poles owned by the insured at the insured location.  

PROPERTY NOT COVERED UNDER OREGON FARM INSURANCE COVERAGE G- OTHER FARM STRUCTURES

Land, including land on which the structure is located; water; field or pasture fences; foundations (if below ground); pilings, piers, docks, or wharves; and expense due to excavation, filing, grading, filling, or backfilling. 

Let our experts that live and work where you do, help with your questions, and assist you in finding the right coverage that suits your individual needs. Farm Insurance can be tricky with all the pieces and parts, we are here to help! 

For more on how we can help your farm insurance needs, click here!

Graybeal Group, Inc. Offers A Wide Range of Products and Pricing

Graybeal Group Inc. is a professional Insurance company with licensed agents and staff.  With over three decades of experience, Graybeal Group takes pride that our agents are specialized in the needs of our customers in the areas of Crop/Agriculture, Hemp, Non-Profits, Pasture Rangeland and Forage, and Farm & Ranch. 

Being able to provide the time for our agents to focus on their specialty allows us to give you – our clients – the needed coverage for your home and business.

For more information, we invite you to call Graybeal Group Inc. at (541) 567-5523.

The Basics

Personal injury protection (PIP) coverage implements the no-fault concept. No-fault auto insurance is designed to speed up payment to accident victims and lower the cost of auto insurance by reducing the number of lawsuits for minor claims. If you live in Oregon or Washington, you are required to buy PIP coverage.

Understanding PIP Coverage

If you live in a state that has no-fault insurance laws, you are required to buy personal injury protection (PIP) coverage. A PIP policy is an extension of auto insurance coverage that reimburses for expenses resulting from an automobile accident without regard to fault.

PIP coverage implements the no-fault concept. No-fault auto insurance is designed to speed up payment to accident victims and lower the cost of auto insurance by reducing the number of lawsuits for minor claims.

What Does PIP Cover?

PIP covers reasonable and necessary medical expenses for those named in the policy—such as you, your family, others riding in your vehicle, and other authorized drivers— for injuries sustained from an automobile accident, income replacement and funeral expenses.

Payments are made for costs incurred by the injured person by the insured’s own insurance company. Please note: A PIP does not cover pain and suffering.

If you carry PIP on your automobile it applies to all autos that you insure, and there is a premium for each auto. We can provide more detailed information about the price of coverage.

How Much Protection Does PIP Provide?

Specific limits and coverages vary by state. Some states offer limits and others set specific limit amounts, such as $10,000. Total payments covered by PIP are set by the limits indicated, which are the maximum amounts that will be paid per person for any combination of covered expenses.

personal injury protection graybeal group

Medical Payments Coverage

PIPs are available only in certain states. Medical payments coverage, like no-fault coverage, also pays reasonable medical bills and funeral expenses, if necessary. This coverage is also available regardless of who is at fault.

Graybeal Group, Inc. Offers A Wide Range of Products and Pricing

Graybeal Group Inc. is a professional Insurance company with licensed agents and staff.  With over three decades of experience, Graybeal Group takes pride that our agents are specialized in the needs of our customers in the areas of Crop/Agriculture, Hemp, Non-Profits, Pasture Rangeland and Forage, and Farm & Ranch. 

Being able to provide the time for our agents to focus on their specialty allows us to give you – our clients – the needed coverage for your home and business.

For more information, we invite you to call Graybeal Group Inc. at (541) 567-5523.

Experts estimate that one-fourth of remodeling projects add at least 25 percent to the value of a home, yet often most homeowners forget to increase their coverage to protect their investment. Most homeowner’s insurance policies require 100 percent of the home’s replacement cost, so it’s important to raise your home’s policy limit before your project begins.

home remodel insurance graybeal group

The Basics

When undertaking a remodeling project, people often forget to review their insurance needs, too. Whether your addition budget is large or small, you are adding both the value of your home and your exposure to risk. To ensure that your project goes smoothly and that you have the coverage you need, here’s what you need to know.

Working with General Contractors

The best way to minimize your renovation risk is to hire a reputable general contractor for the job. As part of the bidding process, ask the general contractor to provide a Certificate of Insurance and/or copies of the policies. Specifically, check for coverage for the following:

  • Workers’ compensation: Verify that he or she has workers’ compensation coverage if an employee or subcontractor gets hurt on the job.
  • General liability: Ask if the contractor has liability insurance, which covers losses due to negligence and errors or omission, which results in property damage. Also, ask that you are added as an “additional insured.”
  • Builders risk: This policy is designed to cover damage to your home and materials, including those not installed yet. We can help you verify whether you should require this from your contractor, based on your renovation project.

If they don’t carry the proper coverage, they are not the right contractor for the job!

Top Ways to Save on Your Premium

  •         Consider raising your deductible.
  •         Invest in a home security system.
  •         Update exterior locks to deadbolts.
  •         Install smoke alarms.
  •         Select an automatic payment method.
  •         Monitor your credit rating.
  •         Ask about our multi-policy discounts.

Advice for Do-it-yourselfers

If you decide to do it alone and manage a renovation yourself, you assume all the risks. A review of your homeowners’ coverage for liability and property is prudent, as you are assuming more risks and exposures than contemplated by homeowners’ insurance.

Hiring subcontractors who can provide you with a “Certificate of Insurance” or copies of their policies showing their general liability and workers’ compensation coverage is mandatory for your legal protection.

If a friend or relative helps as a favor—no money changes hands—and gets injured, your homeowners’ insurance typically covers the cost of their injuries, up to your policy limits. It’s important to note that a homeowners’ policy is not designed to provide primary liability protection for these injuries. If a helper is seriously injured, the domino effect can be financially and emotionally difficult for all who are involved. For an extra layer of protection, it’s a good idea to also carry umbrella liability coverage, which kicks in to provide liability coverage above your homeowners’ limits.

Graybeal Group, Inc. Offers A Wide Range of Products and Pricing

Graybeal Group Inc. is a professional Insurance company with licensed agents and staff.  With over three decades of experience, Graybeal Group takes pride that our agents are specialized in the needs of our customers in the areas of Crop/Agriculture, Hemp, Non-Profits, Pasture Rangeland and Forage, and Farm & Ranch. 

Being able to provide the time for our agents to focus on their specialty allows us to give you – our clients – the needed coverage for your home and business.

For more information, we invite you to call Graybeal Group Inc. at (541) 567-5523.

It’s so easy and happens all the time; property owners sign up for Airbnb with the goal of earning extra money during the year. It’s a quick and easy process to sign up for this home-sharing service. Soon your property is posted on the website and, before you know it, you’re operating your own rental/hotel business. 

But too many homeowners are soon confronted with a disturbing surprise: homeowner’s insurance policies typically will not cover Airbnb. Usually, an Airbnb home insurance policy is recommended, if not required.

That’s right. In the vast majority of cases, a homeowner’s insurance policy will not protect any type of property damage or bodily injury, for example, that takes place at an Airbnb rental. What’s more, on top of your homeowner’s insurance probably denying any claim, you could likely have your policy canceled. 

Short-term renting on Airbnb is considered a business transaction, which means you need business insurance. In short, you must have a business insurance policy that replaces your existing homeowner’s insurance. It needs to cover you while you are there, and while you have Airbnb guests. 

Be Sure Your Airbnb Insurance Provider Covers You

The vast majority of insurers classify a short-term rental on Airbnb as the same as a hotel, labeling it a business activity. There are some insurance carriers that will provide a limited home-sharing endorsement usually worth $10,000 in coverage. However, beyond that, almost any host protection insurance claims could be denied. 

This is where Airbnb home insurance comes in. 

Why Property Owners Require an Airbnb Insurance Company

As someone who rents out your home on Airbnb or another property rental site, it is important that you secure adequate coverage prior to listing your home for rent. More and more states regulate rentals, which means the majority of property owners are legally mandated to maintain business liability insurance if they rent out their home for short-term durations. 

One option is to find a vacation rental insurance company that will help make sure you remain compliant with existing laws and are also covered for property damage and liability issues. 

 

Homeowners Insurance Combined with Host Protection Insurance and Airbnb’s Host Guarantee

You could be protected by Host Protection Insurance and Airbnb’s Host Guarantee.  Host Protection Insurance and Airbnb’s Host Guarantee do not apply to hosts who provide accommodations through Airbnb Travel, LLC, hosts in mainland China, hosts in Japan, or hosts of experiences. 

Host Protection Insurance is a liability insurance program. It can provide up to $1 million in liability coverage for a host’s legal responsibility to a guest or a third party who is injured or has their property damaged as a result of an incident connected with an Airbnb stay. 

Airbnb’s Host Guarantee is a property damage protection program. It gives you up to
$1 million in property damage protection if a host’s place or their belongings are damaged by a guest or their invitee during an Airbnb stay. 

It is important to note that your personal insurance policy – which includes homeowners, condo, or renters insurance – may offer limited coverage during the time you’re hosting an Airbnb guest, or none at all. 

Factors to Consider 

  • Host Protection Insurance is a primary liability insurance protection, so it typically applies first no matter what other insurance policies you carry. 
  • Airbnb’s Host Guarantee is not an insurance policy, and not all property damage that guests cause falls within its terms. Hosts looking for additional protection should think about buying personal insurance that covers property damage that is not protected by Airbnb’s Host Guarantee. 
  • You can count on various insurers offering their own rules regarding short-term rentals. Know your policy thoroughly before you begin to host. Additional coverage is an option. 

 

An Airbnb Home Insurance Policy is Worth Having

You might wonder if having Airbnb home insurance is worth the cost. It is unless you are comfortable with high risk. 

Keep in mind, that if your guest inadvertently burns down your home, you’re out of luck. You very likely will not receive reimbursement because standard homeowner’s insurance does not cover rentals. If you believe your home or property has even some worth, then you should insure it. 

Do Not Rely on Your Homeowners Insurance for Airbnb Rental

As mentioned earlier, do not make the mistake in thinking that homeowner’s insurance will cover your Airbnb property. You need an Airbnb insurance provider. Your homeowner plans are intended to protect you from property damage claims and liability in accordance with a specific set of circumstances that exclude rentals. 

When you rent out your home, whether regularly or occasionally, the risk for property damage and liability claims increases tremendously. This is not factored into your existing homeowner’s insurance plan. What’s more, if your insurer learns that you listed your property for rent in Airbnb, they will probably discontinue your coverage and decline to reimburse you for future filed claims. Too many homeowners are not aware of this until they can’t do anything about it. 

 

Obtaining the Right Airbnb Insurance Company For Your Property

Different insurance companies provide their own types of homeowner’s insurance protection. You will want to select an insurer that, in particular, covers Airbnb short-term rental property to make sure your Airbnb house or property is sufficiently covered. These are known as commercial liability policies that are purchased on top of homeowner’s coverage. 

As you may come to realize, paying for two insurance plans can be expensive and difficult to manage. Additionally, your homeowner’s insurer could drop you from your plan if they discover you are renting out your property to a guest. 

Don’t Forget Commercial Liability Coverage

Liability claims protection might not be the first thing that comes to your mind when you own a business, but that doesn’t lessen its importance. If you are renting out your home only a few times a year, you are still operating a hotel-type business. So, if your guest sustained a bodily injury while staying at your property, you could be held personally liable, and this still applies even if you were not involved in the personal injury. 

Consider that the legal expenses for just liability claims could total into the tens of thousands of dollars, at least. This is why it is important that when you select an Airbnb home insurance company, you choose one that not only offers host protection from a property damage claim but that you are covered for liability claims, too. 

 

If You Have a Complete Loss of Your Airbnb Property

There are two ways an insurer can compensate you for a total loss of your property. One way is utilizing a Actual Cash Value system.  For this method, the expense of rebuilding your property is calculated. Afterward, depreciation, which is likened to a loss of value over time, is deducted from this cost. So if you, as the insured, make a claim on older property, you could find yourself out of a substantial amount of money. 

The second method of reimbursement is known as the Replacement Cost valuation method. For this situation, the claim that is covered is equal to the amount mandated in today’s dollars to rebuild the property. Here, there is no factoring of depreciation. You, as the insured, can have your property rebuilt at no disadvantage to you. 

5 tips for protecting yourself:

  1. If you’re not going to be around, and the property is your main home, secure your mail, either via a locking mailbox or using a PO Box for redirected mail.
  2. Lock your valuables away and make sure the contents of your home are properly insured. “Though Airbnb has an insurance system that covers certain types of damage, they don’t protect debit or credit cards, checks or financial papers, jewelry, etc.,” she says. (Speak to us if you’d like to discuss contents insurance for your rental property)
  3. If you offer Wi-Fi, protect the details of your system. You can set up a guest-only network. And by connecting via a Virtual Private Network (VPN), their Internet activities won’t be traceable to your home. (Google “VPN” to learn more about how to do this.)
  4. In addition to checking out the renter’s profile, create an emergency plan for them, explaining safety issues in the home, locating features like fire extinguishers, and providing a list of emergency numbers.
  5. Install a security system. “With a security system, you can monitor what goes on in your home,” she says. “In addition, outfitting your home with a home security system may earn you more bookings as it provides your guests with an extra layer of security which may not be available in other rentals they are also considering.”

To hear an Airbnb home insurance rental horror story, click here!

Graybeal Group, Inc. Offers The Widest Range of Products and Pricing

Graybeal Group, Inc. is a professional Insurance company with licensed agents and staff.  With over three decades of experience, The Graybeal Group takes pride that our agents are specialized in the needs of our customers in the areas of Crop/Agriculture, Hemp, Non-Profits, Pasture Rangeland and Forage, and Farm & Ranch. 

Being able to provide the time for our agents to focus on their specialty allows us to give you – our clients – the needed coverage for your home and business. At Graybeal Group, Inc., we are committed to providing an experience that empowers our clients so they are educated on their coverage and the value we provide above all others.

For more information, we invite you to call Graybeal Group, Inc. at (541) 567-5523

Avoiding Farm Machinery Hazards

Every attempt is made by farm machinery manufacturers to ensure that their products are safe. It also helps when you and your workers do your best to avoid farm machinery hazards.  Agricultural work presents many hazards even with the safety guards added to equipment for further insurance.  Unfortunately, human error still remains the biggest cause for accidents and injuries on the farm.  Whether it’s taking a shortcut, not paying attention, not following the safety rules, or simply ignoring warning signs, all of these are examples of human error.

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We’ve compiled a list of some of the most common farm machinery hazards farmers and their workers could face:

Cutting Points and Shear Points

Cutting points occur when an object moves forcefully and is able to cut (example: sickle blade).

Shear points occur when the edges of two objects move close together and can cut soft material (example: auger).

SAFETY: Remain alert while operating machines that have cutting and shear points. Also, let others know when you are using the machines and to avoid them, as some machines can throw objects while in use.  This will help you avoid farm machinery hazards.

Crush Points

Crush points occur when objects move toward one another, or one object moves toward a stationary object. Workers can be crushed in between.

SAFETY: Absolutely block equipment securely to avoid fatal crushing injuries.  This will also help you avoid farm machinery hazards.

Pinch Points

Pinch points are created when two rotating objects move closely together, one moving in a circle.

Hands and feet can get caught in pinch points, or other body parts can get pulled into pinch points when loose clothing becomes entangled in the machine.

SAFETY: Wear tight-fitting clothing and never work near rotating parts or reach over them.  Avoid areas that have been identified to have pinch points.  This too, will help you avoid farm machinery hazards.

Wrap Points

When exposed machine parts rotate, they create wrap points. Loose clothing can get caught in the moving parts, and consequently pull workers into the machine.

SAFETY: Shield potential wrap points before beginning your work.  If you cannot shield them, paint them. This will help remind you and others that they’re there.  This will help you avoid farm machinery hazards.

Click for more information regarding farm insurance and liability insurance!

Also, a big part of Farm and Farm Equipment Safety is having a strong Workers Comp Policy in place..Workers’ compensation coverage pays benefits to workers injured on the job, including medical care, part of lost wages and permanent disability. It also provides death benefits to dependents of employees killed from a work-related accident. Workers’ compensation systems are different in every state, as individual statutes and court decisions have shaped the way they handle claims, evaluate impairments, settle disputes, provide benefits, and control costs.

As part of the insurance package, the injured worker’s medical, rehabilitation, and lost wages are paid for by the state or insurance carrier. If the injury leaves the employee disabled, the insurance carrier will pay the claim based on the extent of the injuries and based on its permanence. The disability will fall into one the following categories: temporary total, temporary partial, permanent partial, or permanent total disability.

Workers’ compensation rates and programs are managed by private insurers, state funds, or the National Council on Compensation Insurance (NCCI). Ferranti-Graybeal Insurance can provide more information about how Oregon handles these programs.

Graybeal Group, Inc. Offers The Widest Range of Products and Pricing in Oregon

Graybeal Group Inc. is a professional Insurance company with licensed agents and staff.  With over three decades of experience, Graybeal Group takes pride that our agents are specialized in the needs of our customers in the areas of Crop/Agriculture, Hemp, Non-Profits, Pasture Rangeland, and Forage, and Farm & Ranch. 

Being able to provide the time for our agents to focus on their specialty allows us to give you – our clients – the needed coverage for your home and business.

For more information, we invite you to call Graybeal Group Inc. at (541) 567-5523.

Our goal here at Graybeal Group Inc. is to make sure you fully understand your farm insurance policy and the additional coverage this provides in the state of Oregon. We want to make sure you know what your policy covers and what is doesn’t, so there’s no surprises!

DEBRIS REMOVAL: The insurance company will cover expenses to remove debris from the insured property if that debris is a result of a covered loss. The insured must report the expense within 180 days of the damage/loss for debris removal to be covered.  The insurance company will pay equal to 25% of the total loss plus the amount of deductible applicable to the loss. If the amount is more, after limits have been reached, the insurance company will pay another 5% of the limit of insurance. EXCEPTION: The insurance company will not pay to extract pollutants from land or water. 

REASONABLE REPAIRS: If the insured needs to make necessary repairs to the damaged property to prevent further loss, the insurance company will pay reasonable costs to do so. 

PROPERTY REMOVED: This additional coverage addresses if property is removed from a damaged building (that’s covered by the policy) and placed somewhere else to prevent loss, the insurance company will pay for any loss to that property up to 30 days after its removal. 

FIRE DEPARTMENT SERVICE CHARGE: No deductible applies here- the insurance company will pay for fire department services (assumed by contract or agreement with insured) when they are called to save or protect covered property from a covered cause of loss.

Exception: If the fire department service is provided to insured through taxation, this coverage does not apply. 

POLLUTANT CLEAN UP AND REMOVAL: If the loss is reported within 180 days, the insurance company will pay up $10k for each insured location and occurring during each 12 month period of this policy. It covers the insured’s costs to remove pollutants from land or water that results from a covered form of loss.

COLLAPSE: Damage or loss is covered if caused by or resulting from direct physical loss involving collapse of or any part of a building caused by one or more of the following: 

  • Hidden Decay
  • Broad Form Named Perils (The ones listed in the broad form as covered perils)
  • Weight of personal property or people
  • Hidden insect or vermin damage 
  • Weight of rain that collects on a roof
  • Use of defective methods of construction, defective materials, remodeling, or renovation- if collapse occurs during remodeling, renovation, or construction. 

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For more information regarding farm insurance, click here!

Graybeal Group, Inc. Offers Widest Range of Products and Pricing in Oregon

Graybeal Group, Inc. is a professional Insurance company with licensed agents and staff.  With over three decades of experience, The Graybeal Group takes pride that our agents are specialized in the needs of our customers in the areas of Crop/Agriculture, Hemp, Non-Profits, Pasture Rangeland and Forage, and Farm & Ranch.

Being able to provide the time for our agents to focus on their specialty allows us to give you – our clients – the needed coverage for your home and business. At Graybeal Group, Inc., we are committed to providing an experience that empowers our clients so they are educated on their coverage and the value we provide above all others.

For more information, we invite you to call Graybeal Group, Inc. at (541) 567-5523.

What exactly is a Business Owner’s Policy? The insurance company agrees to pay for direct physical loss or damage to covered property at the described premises caused by or resulting from any Covered Cause of Loss. Covered property includes the insured’s building(s) and business personal property as follows:

  • Buildings/Structures at the described premises, including: 
  • Completed Additions
  • Fixtures, including outdoor fixtures
  • Permanently installed machinery and equipment
  • The insured’s personal property in apartments or rooms furnished to others
  • Personal Property owned by the insured used to maintain or service the premises, including: 
  1. Fire extinguishing equipment
  2. Outdoor furniture
  3. Floor coverings
  4. Appliances used for refrigerating, ventilating, cooking, dishwashing, or laundering

If not covered by other insurance, this also covers additions under construction, alterations, and repairs to the buildings or structures, including materials, equipment, supplies, and temporary structures on or within 100 feet of the described premises that will be used in making additions, alterations, or repairs. 

business owners policy insurance coverage

 

Business Personal Property located in or on the building(s) at the described premises or in the open (or in a vehicle) within 100 feet of the described premises, including: 

  1. Property owned by the insured that is used in the business.  This includes, but not limited to: furnishings, office equipment, inventory (stock) held for sale, etc. 
  2. Property of others in the insured’s care, custody, or control: Settlement on personal property of others will Actual Cash Value, unless the property is subject to a written contract that governs the insured’s liability for loss or damage, then valuation will be based on the amount of liability specified in the contract, but not to exceed the lesser of replacement cost or the applicable limit of insurance.  Property of others includes, but not limited to, equipment (leased by the insured) used in a manufacturing process, leased equipment used in assembly, etc. 
  3. Tenant improvements  (fixtures, alterations, installations, or additions) that are made part of the building or structure at the insured’s expense, but cannot be legally removed. 
  4. Leased personal property the insured has a contractual responsibility to insure unless otherwise provided for under “Property of others in the insured’s care, custody, or control.” This includes property such as photocopies or leased computer equipment that the lessee is required to insure. 
  5. Exterior building glass: Extends coverage if the insured is a tenant, where no limit of insurance is shown for building coverage, applicable only if the glass is owned by the tenant (insured) or in the tenant’s care, custody, or control. 

Graybeal Group, Inc. Offers The Widest Range of Products and Pricing in Oregon

Graybeal Group, Inc. is a professional Insurance company with licensed agents and staff.  With over three decades of experience, The Graybeal Group takes pride that our agents are specialized in the needs of our customers in the areas of Crop/Agriculture, Hemp, Non-Profits, Pasture Rangeland and Forage, and Farm & Ranch.

Being able to provide the time for our agents to focus on their specialty allows us to give you – our clients – the needed coverage for your home and business. At Graybeal Group, Inc., we are committed to providing an experience that empowers our clients so they are educated on their coverage and the value we provide above all others.

For more information, we invite you to call Graybeal Group, Inc. at (541) 567-5523.

Does my homeowner’s insurance cover this? The question that many insurance agents receive every day from their customers. Today we will discuss what coverage is afforded with a homeowner’s insurance policy. 

There are four categories of homeowner’s insurance coverage options in Oregon- Coverage A-Dwelling, Coverage B-Other Structures, Coverage C- Personal Property, and Coverage D-Loss of Use.

What Does Homeowner’s Insurance Actually Cover?

Coverage A – Dwelling

Dwelling coverage provides coverage for the physical home itself. It also provides coverage for supplies and materials that are used in construction, repair, or to alter the dwelling and/or other structures located on the insured’s premises, these materials must be located on or next to the premises.

Coverage B – Other Structures – What Does This Cover?

Other structures on the insured’s premises that are apart from the main dwelling, defined by a clear space between – ei: shop, shed, barn, or free standing garage. If the structure is attached to the main dwelling via utility line or fence, etc it’s considered detached and will be covered under Coverage B. You may wonder what is my limit and how is it calculated? Other Structures limit is 10% of your Coverage A (Dwelling) limit. In other words, if your Dwelling(Coverage A) is insured at $300K, then your Other Structures (Coverage B) limit would be $30k.

Coverage A: $300,000.00 x 10% = Coverage B $30,000.00

There are exclusions for Coverage B and it is important to understand what they are. If you are unsure if your property may not be covered, ask your agent. If your “Other Structures” are being used for business purposes, being rented or held for rent to someone who does not reside in your home, coverage on this structure is excluded. One exception is if the structure is being used as a private garage only. If it’s being used as a private garage only, the renter does not have to reside on the premises for this “other structure” to be covered. 

homeowner's insurance graybeal group

Coverage C – Personal Property – Homeowner’s Insurance Policy Oregon

Personal Property can cover your property while being physically at your home or anywhere in the world. Personal Property can range from furniture, electronics and clothing, camping gear and at times the property of a house guest if applied to your policy upon issue. This type of coverage helps pay to repair or replace your belongings after a covered loss, such as theft or fire

The limit of coverage for Personal Property is 50% of your Dwelling limit (Coverage A). If your Dwelling limit(Coverage A) is $300K, then Personal Property limit (Coverage C) is $150K. 

Coverage A: $300,000.00 x 50% = Coverage C $150,000.00

Personal property away from the premises coverage limit is 10% or $1,000.00 of your Dwelling (Coverage A), whichever is more. Coverage away from the premise is strictly for the insured’s property, this does not apply to guests.  

In your homeowner’s policy, there are special limits of insurance. In other words, designated amounts of maximum coverage for certain items. 

See table below: 

Maximum Amount of Coverage  Items included 
$2500 Business personal property at the residence
$1500 Personal records, deeds, securities, passports, stamps, letters of credit, notes (other than bank notes), accounts, proofs of debt, tickets, and manuscripts. Also included is the cost to replace, research, or restore the lost/damaged information
$1500 Trailers not used with watercraft
$1500 Watercraft, including trailers, equipment, and outboard motors (an outboard motor is a propulsion system for boats, consisting of a self-contained unit that includes engine, gearbox and propeller or jet drive, designed to be affixed to the outside of the transom)
$1500 Electronic apparatus while in, on, or away from a motor vehicle, as long as it can be operated from the motor vehicle power source and retains its ability to be operated from a power source other than the motor vehicle. Includes tapes, wires, disks, records, and other media 
$500 Business property away from the insured premises
$200 Bank notes, money, gold (not goldware), silver (not silverware), coins, platinum, medals, and bullion (Bullion is gold, silver, or other precious metals in the form of bars or ingots.

 

There are also types of property that are subject to a max amount of coverage if they are stolen. See table below for those items and their max coverage amounts.

Maximum amount of coverage Type of Property
$2500 Firearms
$2500 Goldware, Silverware, and Pewterware
$1500 Furs, watches, jewelry, precious and semi-precious stones

 

Coverage D – Loss of Use Homeowner’s Insurance Coverage in Oregon

What exactly does this mean? Loss of use coverage is applicable when a residence or dwelling becomes uninhabitable due to damage that has been caused by a covered cause of loss. 

There are few different scenarios that would cause this coverage to kick in: 

1) Cost of Living Expenses: If the dwelling suffers a covered loss and is uninhabitable, the insurance company will reimburse the insured for the (necessary) increased cost of living expenses to keep a normal standard of living – while the property is being restored/repaired. This is referred to as Additional Living Expense. 

2) Fair Rental Value: If the loss occurred on the part of the residence premises that is rented out to others, the insurance company will pay the fair rental value while the building is repaired. Payments will be for the shortest time to repair/replace. 

Lastly, if civil authority doesn’t allow you to access your dwelling/premises because of damage to a neighboring dwelling, the insurance company will pay Fair Rental Value or Additional Living Expenses for up to two weeks. 

Graybeal Group, Inc. Offers Widest Range of Products and Pricing in Oregon

Graybeal Group, Inc. is a professional Insurance company with licensed agents and staff.  With over three decades of experience, The Graybeal Group takes pride that our agents are specialized in the needs of our customers in the areas of Crop/Agriculture, Hemp, Non-Profits, Pasture Rangeland and Forage, and Farm & Ranch.

Being able to provide the time for our agents to focus on their specialty allows us to give you – our clients – the needed coverage for your home and business. At Graybeal Group, Inc., we are committed to providing an experience that empowers our clients so they are educated on their coverage and the value we provide above all others.

For more information, we invite you to call Graybeal Group, Inc. at (541) 567-5523.

The Fair Credit Reporting Act was put in place by Congress in 1970 to protect consumer’s rights. It applies to any financial institution that is requesting information on a consumer through credit reporting or other consumer reports. The entire Act contains a lot of information and is very extensive, but, the following pertains to insurance companies and the rules and regulations they must follow to protect consumers. 

oregon fair credit reporting act 1970

 

  1. If the insurance company wants to pursue an investigative consumer report, the consumer must provide authorization and be notified within 3 days of an initial request that the report was requested. An investigative consumer report is done through personal interviews with an applicant’s friends, neighbors, acquaintances, business assoc., etc. and this process must be disclosed to the applicant/consumer.  The purpose is to determine the applicant’s character, personal characteristics, general reputation, and the way they live.
  2. Applicant must be notified of their right to the disclosure of the nature and extent of the investigation.  If requested by the consumer, the insurer requesting the report must provide a summary to the applicant relative to the nature and scope of the investigation within 5 days of request.
  3. If the app for insurance is rejected by the insurance company, based on info obtained through an inspection or credit report, the insurance company must provide the applicant with the name of the reporting agency. 
  4. If requested by the consumer, the reporting agency must disclose to the consumer the nature and substance of all information (excluding credit scores) contained in the individual’s file at the time of request. 
  5. If the consumer disagrees with the info found in the report, he or she may request a re-investigation relating to disputed information.  The reporting agency must re-investigate free of charge.  If the reporting agency is unable to verify disputed information within 30 days, the reporting agency must promptly remove the disputed information from the file. If disputed info is NOT removed from the file, the consumer has the right to submit a letter of dispute relating to the report. The letter of dispute must then accompany any subsequent report requested. 

Graybeal Group, Inc. Offers A Wide Range of Products and Pricing

Graybeal Group Inc. is a professional Insurance company with licensed agents and staff.  With over three decades of experience, Graybeal Group takes pride that our agents are specialized in the needs of our customers in the areas of Crop/Agriculture, Hemp, Non-Profits, Pasture Rangeland and Forage, and Farm & Ranch. 

Being able to provide the time for our agents to focus on their specialty allows us to give you – our clients – the needed coverage for your home and business.

For more information, we invite you to call Graybeal Group Inc. at (541) 567-5523.