After reviewing tens of thousands of insurance portfolios, we know that 80% of families will pursue a change to their insurance plan if they see at least 1 of 5 indicators (R.I.S.K.S) of poor insurance performance.
- Real estate investments either not insured correctly, or with not enough coverage and flexibility to fully restore its value.
- Immunity from liability missing because of insufficient insurance. Most common are insufficient limits of protection against lawsuits, but it can also manifest in not covering a family Trust or LLC, family business, volunteer activities, etc.
- Special valuables like jewelry, wine, art, collectibles, musical instruments not covered correctly. Most people don’t know that insurance companies intentionally put limits and gaps of coverage in their standard policies against such important assets.
- Knowledge of the agent and underwriter, most especially among high net worth families. It’s amazing how many HNW families and high-valued homes are insured by insurance companies and agencies that have absolutely no special knowledge or experience of the special needs presented by having significant wealth.
- Squandered premiums. This usually gets folks’ attention. Close to 90% of all portfolios I review show a waste of premiums either because of inefficiency or poor agent professionalism.