Who’s To Blame When A Tree Comes Down?
September 2nd, 2010The Answer Defies Common Sense
Springtime means thunderstorms and high, gusty winds. Sometimes those winds bring down trees. And sometimes those trees land on your stuff!
The damages caused by such an accident are covered under your home policy – which is nice. However, your deductible applies, and that means money out of your pocket. Plus, it puts a claim on your record, which could affect your future rates and eligibility for insurance.
With that in mind, what if your neighbor’s tree falls on your property? It doesn’t seem fair that you should put a claim on your policy and pay your deductible out of pocket, does it? After all, it’s HIS tree!
Here’s a phone call we’ve had many times with our clients… “Hey, my neighbor’s tree fell on my property. He’s responsible for that, right? The unfortunate answer…probably not.
Warning: Insurance Content
Generally speaking, responsibility for damages in an insurance claim comes down to a question of negligence. The negligent party is responsible for what happened.
For example, the guy who runs a red light and causes a car accident is responsible for the damages, because he was negligent when he ignored the traffic signal. In real life it may not be that black and white, but you get the idea.
But what about when the wind blows a tree over? Things are definitely not cut and dry now! (Leaf pun intended!) Think about this…
There’s a tree standing in your neighbor’s yard. Here comes the wind, and now the tree is laying in your yard. Your fence is broken, and your shed is smashed. Can your neighbor, or anyone else, be found negligent on behalf of the wind?
Live Trees Versus Dead Trees
An argument can be made – and has been made many, many times – that there’s a difference between live trees and dead trees. No, not the difference of one being alive and the other not, smarty pants. I mean the potential for negligence to apply differently depending on the tree’s health.
Clearly, if a live, healthy tree falls over, who could have seen that coming? But what about a dead tree? What about one that’s been dead for quite a while now? Every day that tree remains upright it poses a greater and greater threat of falling over. Surely, the tree’s owner can see THAT coming, right? Wouldn’t a conscientious person cut that tree down to remove the hazard? And, if they don’t cut it down, is that negligence? Are they responsible for the damages that tree causes when it falls?
I’d love to answer with a resounding, YES! Because it’s common sense, isn’t it? The dead tree poses a hazard. If the property owner doesn’t cut it down they are negligent in their “non-action”, right?
Common Sense And The Law Don’t Mix
Unfortunately, it’s not that simple for the courts or for insurance companies. Based on past court decisions, the insurance company knows they can’t win that argument. Your neighbor won’t be found negligent for a tree that falls over, even a dead one. Even though it makes perfect sense to the rest of us, the courts don’t agree.
But wait … there’s something you CAN do to protect yourself.
What To Do About Dead Trees That Threaten Your Property
First, if you’re the owner of the dead tree – or any tree that’s unstable in any way – cut it down. Don’t wait any longer. Get it taken care of. A dead or unstable tree is a hazard to both property and people. The last thing any of us wants is someone to be badly injured, or even killed, by a falling tree … especially a tree that should have been removed long ago.
Second, if the offending tree is in your neighbor’s yard, the claims department recommends the following.
Start with the neighborly approach. Talk to your neighbor and explain your concerns. See what they say. Most people are reasonable, and they may get on it right away. Problem solved. If you’re so inclined, you may even want to chip in on the removal cost.
If talk gets you nowhere, put it in writing. Put your concerns in a letter, keep a copy for your records and give it to your neighbor. If something does happen, you have proof that you pointed out the hazard to your neighbor. And since your neighbor refused to act on that knowledge, it’s much more likely he’ll be considered negligent, and, therefore, be responsible for the damages to your property.
If you’re really motivated, you can also contact your municipal authorities. You may be able to convince them that the hazard the tree creates is so dangerous that they will require your neighbor to have it removed. Nobody likes strained relationships with their neighbors. But nobody wants to be crushed by a falling tree, either. Which is worse?
What About Live Trees?
Forget about live trees. You’ll never convince a court that your neighbor was negligent by not cutting down a live, healthy tree.
If a live tree falls from your neighbor’s property onto yours, just accept it as an act of nature. Stuff happens. Yes, it stinks, but it’s nobody’s fault. And the good news is your home insurance covers it.
Why Won’t The Insurance Company Cut Down My Tree For Me?
You can’t have a discussion about falling or hazardous trees without somebody smugly bringing up this point. It sounds like this…
“If this tree falls it will cause a lot of damage, say $20,000 worth. It will only cost $1,000 to cut it down. I’d think the insurance company would rather spend $1,000 to prevent the accident than spend $20,000 after it happens. Hah!” Yeah. Nice try.
Your insurance protects you against sudden and unforeseen events. That’s the nature of insurance. You are responsible for maintenance of your property. If you buy the tree argument above then why wouldn’t the insurance company also replace the brakes on my car for me before I rear-end someone? Or replace my bald tires that are guaranteed to cause me to slide in the next rain storm? Or fix the leak in my upstairs toilet before the pipe bursts and really causes some damage? Where would you draw the line? And who would make that decision? Insurance companies drew the line long ago. And they won’t be budging on it anytime soon! You are responsible for maintenance. They will pay when accidents happen.
In summary, remove dead trees promptly. Compel your neighbor to do the same. Put it in writing if you have to, and keep a copy just in case his tree winds up in your yard.
How to Ensure Your Kids Stay Safe Online
June 15th, 2010Amid all the benefits that computers have brought, there’s a whole raft of security threats that sometimes even involve loss of life. One of the groups must vulnerable to these threats are children.
Two key issues are the risks of meeting up with unsavory types through social media like Facebook and in chat rooms, and the possibility of your kids encountering pornography and other unsuitable material. There’s also the danger that they might unwittingly download malware onto your PC, with the attendant risk of theft of sensitive information.
The most important thing you can do to prevent this is to talk to your kids about the dangers, especially of assuming people they “meet” and sites they visit are who or what they say they are. Never allow them to physically meet anyone unless you’re with them and don’t allow them to download anything without your consent.
These days, you can buy software that will both monitor everything they do and restrict the sites they can visit. To them, such measures probably sound draconian, but that’s a reflection of their trust and innocence. You know better.
How to Make Sure Your Contractor Won’t Stick YOU With His Lawsuit!
June 15th, 2010When you hire a contractor to work at your house, or your business, you take on some additional risk.
The contractor’s actions can directly impact you. You could be dragged into any problems he creates on your property.
If the contractor has insurance, the chances of you being dragged in go down. But if the contractor’s not insured, then you become the target.
If he damages someone’s property, you could be responsible for repair or replacement. If he hurts someone, the injured party is going to sue you, too…anywhere they can get money.
That’s why you always…without fail and without exception…want to make sure the contractor is insured before they set one foot on your property. Here’s what to do…
- Request a “certificate of insurance” when you hire the contractor. This is a one-page document prepared by the contractor’s agent or insurance company that shows what insurance he or she has. It also shows that it’s been issued to you.
Only the contractor’s agent or company can produce a certificate. So, if the contractor pulls one out of his brief case for you, beware! That’s a red flag that he may not really be insured anymore. Some contractors have been known to reproduce their own certificates after cancelling their insurance. Therefore… - Always call the agent or company on the certificate and verify the policies are actually in force. You might be surprised what you find out!
- Then, call and verify again the day before the job is supposed to start.
If the contractor dropped the insurance, drop him as your contractor. Otherwise, you guarantee that his problems will become yours.
We have lots of contractor friends and clients. They’re upstanding business people who make sure they invest in insurance to protect themselves and their customers. Make sure you work only with those kinds of people.
Spring Rains Are Coming, But Water Damage Is NOT Covered! Here’s What You Need To Know…
March 23rd, 2010The exclusion sections of your policies are, arguably, the most important part of them. Why? Because that’s where you find what’s NOT covered. And that means YOU retain the risk of loss for those conditions. Uh-oh.
In your home policy, one of the most important exclusions in- volves water damage.
There are lots of ways water can damage your home. Some of them are covered, and some aren’t. Here are some examples that ARE covered…
- A thunderstorm blows off a section of your roof allowing the rain to come in. The water damages your ceiling, walls, furni- ture and flooring. That water damage IS covered.
- A pipe burst behind the wall in your bathroom. The water damages the wall, the ceiling below and rips onto your furni- ture. That water damage IS covered.
When you think about the examples above, you’ll realize that something happened to your house first, which then led to the wa- ter damage. Those causes of loss (called the “proximate cause” in insurance language) – wind and a burst pipe in my examples – are covered by your home policy. So, the water damage that ensues is also covered. That’s how it works.
So, when is water damage NOT covered? Plainly stated…when the water that causes the damage comes from the surface of the ground…from underground…or from sewer or drain backup the resulting damage is NOT covered by a standard home policy.
Surface Water
Surface water is water that is laying on the ground or flowing across it.
Your home policy will not pay for damage caused by surface water. It doesn’t matter where that water came from.
It could come from an overflowing creek or river, a standing pool of water due to hard rains, run off from a poorly designed swale, or whatever. If the water is on the ground and damages your home, your home policy excludes that damage.
Also, the damage caused by spray that comes off such surface water has a lot of dirt in it doesn’t change anything. Damage caused by mudflow is not covered in your home policy.
Underground Water
Water below the surface of the ground can seep into your home or pool. It can crack sidewalks, vault driveways and crack founda- tions. None of this damage is covered, either.
Backup of Sewers & Drains And Sump Pump Overflow Damage from these sources of water are not covered, either.
Can I Get Protection For Water Damage That Is Excluded By My Home Policy?
Yes, you can…except for underground water. Nobody will in-damage caused by surface water, mudflow, sewer or drain backup, and sump pump overflow.
Protection For Surface Water Damage
To protect yourself for damage caused by surface water you need a flood policy. Now, don’t let the work “flood” fool you. A flood policy covers “unusual and rapid accumulation or run off of surface water from any source.” For insurance purposes, a “flood” is not limited to overflowing rivers and streams.
However, a flood policy contains its own exclusions! The most important to our discussion are…
- The accumulation of water must be “unusual and rapid.” Therefore, if your yard pools with water every time it rains, that’s not unusual. And it’s not covered.
- The “flooding” conditions must affect two or more acres of normally dry land or two or more properties (including yours).
So, even if you have a flood policy, if the flooding condition is isolated to your property, and covers less than two acres, the resulting water damage is not covered.
Protection For Sewer & Drain Backup And Sump Pump Overflow
You can add this protection to your policy if you want it. There are limits and exclusions, as always. So, discuss it fully with your Protection Coach to see if it’s right for you.
This is an especially important protection if you have a finished basement. If your sump pump fails – and water damages your floor- ing, furniture, etc. – that damage is excluded by your standard home policy. But it’s covered when you add the appropriate endorsement. Talk to one of the Agents at the Gannon Agency.
What Should I Do?
Water may be essential to life, but it’s the greatest enemy of homes and property!
The most important thing you can do is to first understand that water damage, as I explained it above, is NOT covered by your home policy.
Then, knowing that, be sure to do everything you can to main- tain your property to keep water from pooling and/or flowing onto it. Because, in the end, you’re probably going to be on your own if your home suffers and damage.
And, finally, check with the Gannon Agency on whether a flood policy, or an endorsement for sewer & drain backup and sump pump overflow, would benefit you. We’ll discuss with you as to what’s available and what’s appropriate.
Remember, no insurance policy “covers everything”. Your home policy involves more that 39 decisions and options that impact how, and if, your claims will be paid! Yes…more than 3 dozen!!!
Protecting against water damage requires you to make some of those decisions. And we’re here to help you do just that. Thanks for your business!
State Cracks Down on Auto Insurance Lapses!
March 23rd, 2010Don’t ask me why, because I don’t know why. I only know what we’ve seen in our day- to-day operations. The DMV seems to be paying close attention to lapsed car insurance policies and, more importantly, enforcing the laws surrounding registered vehicles with no insurance.
Why should that matter to you? Because a series of mistakes could land you in some hot water! Here’s how to easily keep this major hassle out of your life.
What the Law Says
I’m not offering legal advice, and I can’t cover the entire Motor Vehicle Code here. (Nor would I want to – as if insurance isn’t boring enough already?) But here’s an important part of it…
Simply stated, PA state law requires you to insure all registered vehicles. If you drop the insurance on a registered vehicle – regardless if it’s intentional or not, and even if only for a day – your registration is subject to a 3-month suspension. You must return the registration plate, sticker, and card to the DMV.
However, if you reinstate your insurance quickly, you can avoid the suspension by signing an affidavit declaring that nobody operated the vehicle while it was uninsured. The catch? Falsifying this statement is a misdemeanor.
I Didn’t Mean to Drop My Insurance!
If you cancel your insurance intentionally, then this article really isn’t for you. But what if it cancels by accident? What if it’s only for a few days? The DMV doesn’t really care! Here’s how it could happen to you.
Your insurance company sends you renewal notices and installment bills depending on your payment plan choice. If you miss the payment, they send you a cancel notice with a cancel date. If you don’t pay by the cancel date, they cancel your policy, you’re without insurance and they notify the state.
Most companies then allow for an “easy reinstatement” – which means they’ll accept your payment for a certain period of time and reinstate your policy. That’s nice for you. BUT…easy reinstatement does NOT mean your policy wasn’t canceled. It was. It creates a “lapse” – the period of time you were without insurance between the cancel date and the reinstatement date.
The DMV requires you to declare that nobody operated the vehicle during this lapse period. Otherwise, your registration is suspended for 3 months.
Now, let’s face it. We MUST have our cars, right? With the prospect of a 3-month suspended registration, most people are going to sign the affidavit – even if they drove the car every day during the lapse period.
What’s the solution? There’s only one I know of… Don’t get into this position in the first place! Here’s how.
How to Keep The DMV Out of Your Life
Pay your car insurance bills on time. Your policy can be canceled if your payment is late, period. And the insurance company is under no obligation to reinstate your policy… even if they’ve done so in the past.
Pay attention to everything you receive from your insurance company. It’s not junk mail! Open it. Read it. It could save you from a painful mistake. If you’re not sure what it’s telling you, we’ll help!
Switch to automatic payments. Each company offers automatic monthly deduction from your checking account. You can’t miss a payment and have an accidental lapse this
Call the Gannon Agency if you receive a late payment or cancel notice and you think you paid the bill. We’ll work on your behalf to get things straightened out… BEFORE your insurance lapses.
Sorry … that’s NOT covered by your insurance!
January 15th, 2010In the past few months, I’ve come across numerous articles highlighting the findings of new research by the National Association of Insurance Commissioners. I found the report so shocking that I wanted to get the information in your hands as soon as possible.
Get this
In spite of ALL the publicity surrounding the uninsured flood damage from Hurricane Katrina, we’ve discovered that one out of every three homeowners incorrectly believes that flood damages would be covered by their homeowner’s insurance policy. You need to know that the typical property and liability policy does NOT cover home damage from floods, earthquakes, water line breaks, termites, mold and several other perils.
The NAIC survey further revealed these alarming statistics about homeowner misunderstandings when it comes to common loss situations – none of which are covered by standard home insurance policies – such as:
- 68% think vehicles such as cars, boats and motorcycles stolen from or damaged on their property are covered by their Homeowners Insurance.
- 48% think that Identity Theft is automatically covered.
- 37% think that damages outside of the home, due to a break in the sewer line that connects to their municipal sewer system, are covered.
- 35% think damages from earthquakes are covered.
- 34% think mold damage is covered.
- 31% think termite damage or damages from other infestations are covered.
- 22% think pets stolen from or injured on their property are covered.
What you don’t know CAN hurt you!
The more I read the survey results, the worse it gets. Too many homeowners don’t even understand what type of coverage their insurance provides. Twenty-four percent believe their home is covered for Actual Cash Value, 64% said Replacement Cost, and 12% had no idea at all. This is a very important distinction as Actual Cash Value represents only what it would cost to repair or replace damage to your home and contents “after” depreciation (in case you’re wondering…ACV coverage is generally not a good thing).
Spend a little…Save a lot
The survey showed that a significant number of respondents are rightfully more concerned about being sued today than they were five years ago. Although we’ve been suggesting it to our clients for many years, statistics show that most homeowners – 63% – have never added a relatively inexpensive umbrella liability policy to protect themselves against this risk.
What to do?
If you’re uncertain about your coverage…call us. If you don’t have an umbrella liability policy… call us today!
Putting Your Cell Phone on ICE
January 15th, 2010What would happen if you were incapacitated and paramedics didn’t know who to contact? A good friend of mine experienced this frightening situation a number of years ago when his mother-in-law was at the hospital for an appointment and collapsed in the waiting room. Through the quick actions of medical personnel she was resuscitated and then placed in intensive care. Unfortunately, she had nothing in her purse to indicate who to contact in case of an emergency. It was hours later before her family realized she was “missing”; and then it took a series of calls before they were able to determine her whereabouts and rush to her bedside.
I just recently learned about a simple and effective way to provide emergency responders with a quick link to your emergency contact(s). The idea is that you store the word “ICE” in your cell phone address book along with the number of the person you would want to be contacted in case of emergency. (Incidentally… I.C.E. is an acronym for In Case of Emergency.)
If you have multiple contacts you can use ICE1, ICE2, and so on. Another great idea is to also enter the name of the individual.
Here are a few additional suggestions to help you get the most out of ICE-ing your cell phones. Make sure…
- …the person whose name and number you are using has agreed to be your ICE contact.
- …your ICE partner has a list of people to contact on your behalf, including your place of employment.
- …to always include every phone number for that individual – home, work and cell.
- …your ICE partner’s number is one that’s easy to contact. For example, a home number could be useless in an emergency if the person isn’t home.
- … your ICE partner knows about any medical conditions that could affect your emergency treatment. For example, any allergies or current medications.
- … to encourage your family, friends and loved ones to make an ICE entry in their cell phones, especially if it will give them peace of mind. Always include written emergency contact and medical information elsewhere as a safety precaution.
At this time, ICE is not so commonly used that paramedics know to look for it. We hope increased worldwide awareness will make it a universal application in the coming years. Tell a friend and help spread the “ICE”.
The Emergency Contact Program
January 7th, 2010Click here to download the The Emergency Contact Form
19 Reasons to do Business with Gannon Insurance Agency
January 7th, 2010- GREET YOU with a real person – no irritating maze of button pushing
- ANSWER YOUR CALL in three rings or less
- RETURN YOUR CALL the same day – normally in less than 45 minutes
- ANSWER YOUR QUESTIONS on the spot OR get back to you within 24 hours
- MAKE CHANGES to your policy in less than 10 minutes
- FOCUS on proper protection at all times
- TO BUILD our Protection Team with only the most competent, professional, and friendly people in the industry – this means you will always receive the HIGHEST level of service
- RECOMMEND limits to assure that you are protected against lawsuits
- MAKE YOU FEEL like you are our only client
- RETURN ALL OF YOUR UNEARNED PREMIUM if you should decide to cancel your policy for whatever reason
- REVEAL INSIDER SECRETS on how to get the best pricing
- PAY YOUR CLAIM as quick and fair as humanly possible
- PROVIDE TIPS on leveraging your deductible so that you save money each and every year
- HELP YOU UNDERSTAND your policy
- EXPERIENCE – Our licensed Agents have over 63 combined years of insurance experience and regularly pursue continuing education
- PROACTIVE – we make an effort to review your policy before the next renewal and send you updates or options to save you money
- CONSISTENT RATES – we will not lower your premium one year to hook you and spike it the next!
- PROVIDE you with Quick/Free ways to conveniently contact us at all times: office: (215) 891-9990, steve@gannonagency.com or Fax (215) 891-9995
- 24/7 DIRECT CLAIM REPORTING
Are You Properly Covered?
January 7th, 2010-
What is an umbrella policy?
It is a policy that provides you with $1 million dollars of liability protection. In most cases it is an excess of your home and automobile policies. However, in some cases it can provide coverage where your other policies do not.
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What will an umbrella policy do for me?
Most likely your Erie Automobile policy has a per person limit of $250,000, your “umbrella” policy would then provide an additional $1 million dollars coverage. Without it, you would be responsible for any portion of the settlement over $250,000. In addition it provides excel liability on homeowner claims in excel of your standard liability listed on your policy. Also, if you do not have an umbrella policy, Erie’s duty to defend ends when your underlying limit has been reached.
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Still not sure you need more liability coverage?
Check the newspapers. You will find many situations where lawsuits exceed the limit of liability on your current policies. Ask around. We are not the only ones that suggest purchasing this coverage. Man of policyholders call on the advice of their lawyers and accountants.
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But is it expensive?
Not at all – the average family with one home and two automobiles can get a policy for about $163. Add $30 for each additional auto; $85 if there are drivers under 24; subtract $30 if you have only one auto. Other charges/credits can apply but this will give you an idea of the cost.
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How can I get an “umbrella” policy?
Call our office at (215) 891-9990 and we will get some rates together for your specific needs.
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Can I get more that $1 million?
Yes, however Home Office approval is required. Simply give our office a call and request a policy for $2 million.
CALL GANNON INSURANCE TODAY AT (215) 891-9990
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