When we are introduced to a family one of our most popular service offerings is an initial report of insurance adequacy that centers on a test of 5 key points. We call it our R.I.S.K.S review.
Real Estate: Does the insurance provide a sufficient amount of money to rebuild a home, offer a cash-settlement option, replace contents, and cover additional living expenses if they have to temporarily relocate?
Indemnity from Liability: How much of a family’s financial position is protected against insurable allegations of negligence and for what activities or actions?
Special Valuable Property: Are losses to such items as jewelry, art, collectibles, etc. insured correctly in both in the scope of losses covered, and in the extent of recovery expected?
Knowledge of the Underwriter and Agent: Do the current providers deserve the opportunity given their focus, experience, understanding, and competence?
Squandered Premiums: Are premiums not merely high, but wasteful in their applicability to the family?
These 5 points are not a substitute for a full review, but when done as an initial set of thoughts, they can often be great launching points into a deeper, more meaningful discussion.
Photo: Rachael McGraw, Amsterdam