Questions about Homeowners Insurance for Elderly Mother

nysmom · ‎05-06-2010

My mother is in her mid-eighties and I am helping her sort out her finances. I noticed her homeowners policy was still considered "home and business"----even though she closed and emptied her antique store adjacent to her house several years ago. I called her local insurance agent to re-write my mother's policy ----since the store contents and liability coverages were no longer needed.

Several days passed and the agent called and said that, unfortunately, the premium would stay the same. I said that since the contents and liability needs were eliminated, how could that be? She said she would get back to me.

I know insurance costs are rising like everything else. Or is this is a case of a business person taking advantage of an elderly lady? I would greatly appreciate some advice.

Love my grandkids · ‎11-24-2013

I think I'd check with 1 or 2 different agents.

Kachina624 · ‎03-10-2010

It's possible they considered the value of the contents of the store to be negligible and the value of the building remains the same.

I guess we'll all split the cost of fires, hurricanes and other disasters through our homeowner's insurance, even if we live where there aren't any.

New Mexico☀️Land Of Enchantment

Love my grandkids · ‎11-24-2013

@Kachina624 Good point. I never thought of that. But I'd still check with another agent just to be sure.

phoenixbrd · ‎03-27-2010

Interesting. I recently got a letter from my insurance company saying they wanted to "facetime" video my house as I have guaranteed full replacement insurance and it was no longer going to be available.. If I didn't agree within the next 30 days (I've been with them for 30 years...used the policy once) then my policy would be based on current value of the house.

@nysmom Insurance companies are getting hit hard these days, maybe reviewing their current policies. Ask for clarification as to why they won't decrease your current policy, some possible answers have been suggested here. It wouldn't hurt to compare prices with different companies that might not include the adjacent store.

Just Bling · ‎03-10-2010

@nysmom

I learned taking over my mom's finances that some things are best just left alone, especially insurance.

I would just bet that she was never paying a premium for the inventory she had, does it show an amount of inventory that's covered? Does it actually say on the policy the store name?

You still need coverage for the building her business was in whether there's a business in there or not.

I would leave it and not open a can of worms and especially with insurance companies. Once you let them in your door, you are asking for nothing but trouble.

On mine,they wanted to "drop me" since I had the building and closed the store and since I was claiming the upstairs for store storage since the store wasn't there, there was nothing upstairs, I could go on and on but trust me, just leave it and say thank you.

Please DO NOT get any quotes from anyone else, they will have to come over, walk though, see the vacant area that was used for the store and anything else they are not supposed to see.

phoenixbrd · ‎03-27-2010

@Just Bling I don't know if you read my post, but after reading yours, I agree with your conclusion.

@Just Bling wrote:
@nysmom

I would leave it and not open a can of worms and especially with insurance companies. Once you let them in your door, you are asking for nothing but trouble.

Please DO NOT get any quotes from anyone else, they will have to come over, walk though, see the vacant area that was used for the store and anything else they are not supposed to see.

Somertime · ‎09-18-2010

Since your mother's business was in a separate building, I would think you would want to maintain insurance on it but the contents have been eliminated so no insurance is necessary and since it was an Antique Shop I would think there was a separate rider for it's contents which could be eliminated if not and was included with the house contents, you can reduce the insurance for personal property.

ValuSkr · ‎03-15-2014

I would get quotes from other carriers / agents; I don't know why others have advised not to. If she's had the same agent and carrier for many years, you are sure to get a lower price elsewhere. Insurance companies take advantage of people who don't shop around - everyone, not just the elderly. Agents used to be a watchdog but many people now don't use an agent.