Good Health Shouldn’t be a Political Issue

I picked up newspaper last week and read of an Idaho State legislator who was decrying “Obamacare” as a socialist program and that socialism should not be where the country is headed. While that’s guaranteed to get applause at a political meeting, the comments are sadly indicative of the ignorance — intentional or not — surrounding the health care issues in our country.

How good is health care in the US? Two commonly used benchmarks are Infant Mortality and Longevity. According to the CIA World Factbook, the US ranks 48th in Infant Mortality, behind countries like Hungary and Cuba. For Longevity, the US, at 78.37 years, now ranks only 50th behind countries like Finland and Canada.

Despite these dismal statistics, the US spends far more than any other country on health care. According to the Kaiser Family Foundation, the most recent statistics show the US spends $7,538 per capita, which is 51% more than the next largest spender Norway, and nearly double the average of the top spending 15 countries! The statistics are pretty clear that the US is paying an incredible amount of money and getting a very poor return.

If it weren’t so sad, I would find it amusing when politicians (and others) berate “socialistic” systems when they fail to realize that we have two excellent examples of such systems here in our country. True “socialized” care means that the government owns the facilities and the doctors work for the government. This is the exact system the VA uses to care for our veterans and despite being overwhelmed and under-funded, it does an excellent job. The most common system used by other countries is not socialized but is a “single-payer” system where the facilities and doctors are private but the government pays all the bills. This is the sort of system Canada uses and, ironically, our very own Medicare system. Interestingly, both VA and Medicare operate at a fraction of the overhead costs that private insurance companies incur.

Whether the current Health Care Reform (PPACA) or some other proposal is best for our country is open for discussion. What is not debatable, however is that we should demand that our elected officials approach health care with intelligent, informed debate rather than ignorant knee-jerk political rhetoric.

Winter Increases the Danger to Renters

You wouldn’t think there would be a seasonal factor regarding the need for Renters Insurance, but there is. According to the US Fire Administration, there is an increased risk of fire during the winter months that impacts homeowners and renters alike. That makes perfect sense, but the risk has increased along with the cost of heating homes because more people are using wood burning stoves and space heaters to lower their heating bill. These appliances carry an even greater fire hazard than the standard furnace does. But there are additional reasons why this increased risk of fire may impact renters more than homeowners.

Despite all sorts of information campaigns over the years, a surprising number of people who rent houses and apartments still believe that the landlord’s building policy will cover their contents in the event of a fire. That is simply not the case. If the contents are to be protected, it is up to the renter to do so.

The other reason that many renters don’t carry insurance is because they assume that it is unaffordable or that they just don’t need it. Taking the second item first, when you add up the TV, audio gear, sporting goods, furniture, kitchen appliances, dishes and clothing, it can amount to a surprisingly large number, one that most renters would find daunting. And, while rates can vary depending on where the rental is located and the type of construction, insuring $35,000 worth of contents can cost as little as $10 to $15 per month.

So if you have a friend or relative who is renting, pass this information along to them. And if you are a renter yourself, call an insurance agent today and get a quote. You may be surprised how inexpensive it is to protect yourself from a disaster.

Every Day’s a Holiday?

Will you be celebrating Bubble Wrap Appreciation Day this month? How about National Kazoo Day? Not on your calendar yet? Well perhaps you’d better revise your thinking about holidays and prepare to do some serious celebrating.

While researching something else entirely, I stumbled across this amazing compilation of every holiday you ever (and never) heard of. This website has a complete list of 2012 Holidays and Observances and if you are looking for additional reasons to celebrate virtually any day, this is the place to find it.

For January, there are 42 special monthly observances listed including some worthy of noting like National Cervical Cancer Month and some you just have to wonder about like Tubers and Dried Fruit Month. In addition to Months, there are listed 37 special weekly observances for January. I assume most everyone would have Elvis Birthday Celebration Week (Jan 5-8) on their calendar, but there are two listed that would have particular appeal for our area: International Snowmobile Safety and Awareness Week (Jan 15-21) and Bald Eagle Appreciation Days (Jan 21-22). I do wonder, however, what sort of celebration would be appropriate for Intimate Apparel Week (Jan 29-Feb 2).

Finally, there are no less than 132 “special” days listed in January alone. Some we know well, such as Martin Luther King Day on the 16th,and — of course — Friday the 13th on, uh, well you know. In addition to National Kazoo Day  on the 28th mentioned above, and Bubble Wrap Appreciation Day on the 30th, there are some other real puzzlers. For instance, Beer Can Day and Belly Laugh Day both occur on the 24th. Would there be a connection? And if you really want to stump your friends with a bit of historic trivia, read the fascinating story behind Balloon Ascension Day celebrated on January 9th.

Now that you have the knowledge, add some celebration to your life! And don’t bother trying to phone me on January 26, as I will be taking the day off to celebrate National Peanut Brittle Day!

Mike Mahoney has been an insurance agent for 27 years and is licensed in Idaho, Washington, Montana, Alaska and Arizona. You can contact him at mike@northidahoins.com

Here’a an Easy New Year’s Resolution

By this time in January, those well-intentioned New Year’s resolutions are already beginning to fall apart. I’m going to give you an easy one, but one that could make a dramatic difference in your life: take 15 minutes to make sure you have adequate coverage on your home. That’s it, so simple, but apparently not one that a significant number of homeowners are pursuing.

Last September, JD Powers surveyed 9,100 holders of homeowners insurance and found that 16 percent were under-insured.  Look up and down your block — that means almost one out of every five homes you are looking at does not have enough coverage to replace it in the event of a disaster! And how difficult is this to correct? Usually just one phone call to your agent.

Call and ask that your agent perform a Replacement Cost Evaluation on your home. He or she may take a few minutes to make sure they have updated information on things like square footage, number of bathrooms and so forth, but then they can run a computerized estimate of what it would take to rebuild your home today. Many people think that because the market value of their home has declined, then the replacement cost will have as well. This is genuinely a case of “apples versus oranges” because they are completely different calculations.

So, right now, look up your agent’s phone number, make a note to call them today and review your coverage. This would also be a good time to ask about other coverage available such as flood, earthquake and identity theft. And, I promise, this resolution is a heck of a lot easier than losing that 15 pounds.  You’re welcome!

Mike Mahoney has been a insurance agent for 27 years and is licensed in Idaho, Montana, Washington, Alaska and Arizona. You may contact him at mike@northidahoins.com

How to Avoid a Thanksgiving Kitchen Fire

Thanksgiving is a time for family gatherings, lots of food and, of course, football! But according to the National Fire Protection Association, this day is also notable for something else. There are three times the average number of kitchen fires on Thanksgiving. Here are some things the NFPA suggests you do to avoid becoming a fire statistic:

1. Keep anything that can catch fire such as oven mitts, wooden utensils, food packaging, towels or curtains away from the stovetop.
2. Always stay in the kitchen while frying, grilling, or broiling food. If you have to leave the kitchen for even a short period of time, turn off the stove.
3. When simmering, baking, roasting, or boiling food, check it regularly, remain in the home while food is cooking, and use a timer to remind you that you are cooking.
4. Stay alert. If you are sleepy or have consumed alcohol, don’t use the stove or stovetop.

And if, despite your precautions, a fire does break out, here are some quick action tips from the NFPA:

1. Just get out! When you leave, close the door behind you to help contain the fire.
2. Call 9-1-1 or the local emergency number after you leave.
3. If you try to fight the fire, be sure others are getting out and you have a clear path (to your way out of the home) and someone has called the fire department.
4. Keep a lid nearby when cooking to smother small grease fires. Smother the fire by sliding the lid over the pan and turn off the stovetop.  Leave the pan covered until it is completely cooled.
5. For an oven fire, turn off the heat and keep the door closed.

Most of all, from all of us here at the agency, we hope you and your family enjoy a safe and enjoyable Thanksgiving holiday!

Identity Theft – Get Protection from Your Homeowner Policy

The good news, according to Javelin Strategy and Research’s 2011 Identity Fraud Survey Report, the number of Identity Theft victims in the US was down last year by 28%. The bad news is that the number of victims was still over 8 million, or 3.5% of the population. More disturbing is that fact that the average cost to the victims for out of pocket expenses has increased nearly 60% to $631 per victim. And remember, that’s the average of over 8 million people, so many victims had expenses far exceeding that amount.

The dollar cost of Identity Theft tells only part of the story. The Identity Theft Resource Center found that it takes an average of 58 hours of the victim’s time to repair the damage done, and in some cases as much as 165 hours. Victims must try to navigate the maze of credit bureaus, law enforcement agencies and attorneys to restore their credit. There is an inexpensive way to provide yourself some protection through endorsements now available from many of our homeowner insurance companies.

Safeco offers coverage that provides up to $25,000 annual aggregate to help with the expenses related to Identity Theft. Lost wages and expenses for child or elder care are payable up to $250 per day, $5,000 total. Plus you get help-line assistance and case management services to guide you through the confusing process. The cost is just $12 per year added to your homeowner policy.

Travelers offers a homeowner endorsement for $25 per year that covers up to $15,000 per incident with no annual aggregate. There is a $100 deductible and it also lost wages up to $500 per week with a 4 week limit.

Other companies also offer this type of coverage now, so give us a call if you would like details about adding Identity Theft protection to your policy. In the meantime, here are some valuable tips from Safeco on how to avoid identity theft in the first place.

How to Avoid Frozen Pipes This Winter

Every winter in our area, one of our more common homeowner claims is for damage from frozen pipes. Our friends at Liberty Mutual have put together a short collection of tips  and information on what causes some pipes to freeze and how to prevent it.

What Causes Frozen Pipes?
The water inside pipes can freeze when outdoor temperatures drop below freezing. As freezing water expands, it causes the pressure inside the pipes to increase, possibly leading to bursting pipes.

Preventing Frozen Pipes

• Insulate pipes, especially those close to outside walls, attics or crawl spaces where the chance of freezing is greatest
• Seal air leaks surrounding or near pipes
• Keep garage doors closed if there are water supply lines in the garage
• Disconnect all outdoor hoses and turn off water to exterior faucets and sprinkler systems
• Open kitchen and bathroom cabinet doors to allow warmer air to circulate around the plumbing
• Keep heat at 55 degrees F. or higher even when you are out of town
• During a cold spell turn on both hot and cold faucets near outside walls to allow a small trickle of water to run during the night
• If you need to be away from home, leave the heat on and drain your water system before you go
• Identify the locations of shutoff valves so that you are prepared to stop the flow of water as soon as possible when a pipe bursts

What to Do When Pipes Freeze or Burst
If pipes freeze:

• Open all faucets
• Remove insulation and wrap pipes in rags
• If all else fails, call your plumber

If pipes burst:

• Shut off the water immediately to prevent additional damage
• Take proper precautions to avoid an electrical shock from being in or near standing water
• Take an inventory of any damaged property or possessions
• Contact your local claims office to help you locate a vendor specializing in emergency water mitigation services that can properly dry out the damaged area

Although most homeowner insurance policies do cover damage from frozen pipes, it is important to know that coverage does vary between policies. If in doubt about your coverage, call us right away and we will be happy to review your policy with you.

Tips for Winter Storage of Cars

Some of our clients have classic, collectible or just summer “fun” cars that they do not drive during the winter months. Hagerty is an insurance company that specializes in classic and collector car coverage, and they have suggested the following tips for proper winter storage of your vehicle.

1. Top off your levels.
• Fill your gas tank and add a fuel preservative. The full tank keeps out moisture, and the preservative keeps the gas from breaking down. Take one last drive to circulate the preservative.
• Make sure your antifreeze is fresh and topped off.
• To avoid a nasty sludge in the spring, change the oil

2. Take preventative measures.
• Give your car a good wash and wax to protect the paint. Protect the chrome with wax or paint sealant.
• Over-inflate tires to avoid flat spotting, or jack up the car to take pressure off the tires.
• Put a battery manager on your car.
• To prevent rodents nesting in an engine compartment, try a rodent repellent under the hood. Just remember to remove it before starting up.
• Put down a few moisture pads on the upholstery to absorb moisture and prevent mildew.
• Cover the car with a breathable car cover to prevent corrosion and rust.

3. Re-circulate your oil.
• When a car sits, oil settles into the pan, leaving the engine without lubrication. Disconnect the coil wire and crank the engine over several times. Reconnect the coil wire and you should be good to go.

And, of course, call us at the agency if you need to alter the insurance coverage for winter.

Bad Dog Liability

Just a couple of blogs previously I wrote about dogs being a distraction while driving. Now I find myself writing about them again as a homeowner’s liability. I really don’t have anything against dogs, honest, but the subject seems to keep popping up.

This time it is about how man’s best friend can be one of the worst liabilities for homeowners and renters insurance policies. According to a recent study by the Insurance Information Institute, dog bite claims accounted for over one-third of all homeowner’s insurance claims last year, amounting to over $43 Million in claims. Between 2003 and 2010, the study shows that while the number of claims actually dropped slightly, the amount paid increased a whopping 127%.

Of course, part of the reason is due to increasing medical costs but part is also due to larger awards being handed down by juries or in settlements and judgements. It is a problem that won’t be going away anytime soon, as the American Pet Products Association now reports that 46.3 Million households now have at least one dog.

Besides the obvious advice to maintain control over your pets at all times, the other advice would be to review the limit of liability on your homeowner’s or renter’s insurance policy. According to the Agency for Healthcare Research and Quality, nearly 50% of those hospitalized for dog bite were treated for infection and over half required procedures such as skin grafts or wound debridement. Any amount of damage that exceeded your liability limit would be owed by you personally. Some people with substantial assets to protect may also want to consider carrying inexpensive Umbrella liability. As with all such insurance discussions, it is far better to be prepared in advance than it is to find yourself under-insured after a loss has occurred.

Insurance Concerns for Your College Kids

September is upon us and you have loaded up your car and maybe even a trailer and delivered your child to college. Payments have been sent and committments made and you’re hoping you are done. Well, here’ a couple more items to think about.

If you have a homeowner’s insurance policy, then all the stuff you just delivered to college is probably covered, but it wouldn’t hurt to check with your agent. Normally, with most policies you have coverage for contents of the dorm room or off-campus residence but it is limited to 10% of your home’s contents coverage. For a $200,000 home, typical contents coverage is $140,000 which means you would have $14,000 for off-premise coverage. Policies differ, so be sure to check. And remember, if a loss occurs, your homeowner’s deductible will apply.

If your son or daughter took a car to college, check on a few other things. Do you have Emergency Road Service on your policy in case they break down? If so, does you child have the number in their cell phone contacts? How about the number to call to report an accident to the insurance company? Do they know what steps to take in case they are in an accident? (See Accident Instructions here) Be sure they have an emergency kit in the car such as the one described here by the Washington Department of Transportation. Do they know how to use all the items in the emergency kit? Take the time to teach them the basics.

There are plenty of things to worry about with a child off to college, but taking a few precautionary steps can alleviate at least of few of them.