Insurance

Brent Norkus is the preferred insurance agent for Gustan Cho Associates dba NEXA Mortgage, LLC. Brent Norkus of Goosehead Insurance is my personal insurance agent for my homeowners insurance, cars, motorhome, and ATV, motorcycles, boat, and all other insurance needs. Brent Norkus of Goosehead insurance can offer insurance through Goosehead Insurance in all 50 states. After going over hundreds of terms and premiums, Brent Norkus can get our borrowers the best terms and insurance than any other insurance company in the nation. Hands down. I have borrowers save over 50% on their homeowners premium on their homeowners insurances. Besides homeowners insurance, Brent Norkus can beat any insurance premium on their cars, business, and property casualty insurance premium. Give Brent Norkus of Goosehead insurance a try. Or ask any insurance questions on this forum and Brent Norkus will answer them.

What is homeowners insurance? What does homeowners insurance cover? I heard Brent Norkus of Goosehead Insurance is GCA Mortgage Group’s preferred homeowners referred insurance agent. Can Brent Norkus answer the general concept of homeowners insurance to first-time homebuyers?

If you reside in an area prone to flooding, it is highly advisable to consider obtaining flood insurance. This specialized insurance policy protects your property and belongings in a flood. It is essential to remember that typical homeowners’ insurance policies do not cover damage resulting from floods, making a separate policy mandatory. When evaluating a flood zone, it is imperative to understand the flood risk level of your property and the available coverage options. Some procedures may only protect specific types of water damage, such as damage caused by heavy precipitation, mudflow, or overflowing rivers.

The advantages of Goosehead Insurance and Flood Insurance. As a broker, I have flood options other than your typical Wright or Fema policies and standard governmental programs for homes in flood zones.

I have flood insurance carriers referred to as private flood insurance carriers; just like your standard insurance carriers, this private flood carrier has the financial backing that allows them to rate risk differently.

Now, if you have a home in a flood zone, it may be a scary situation for a buyer. In the eyes of the buyer, we do not want a “let’s go see the next home” attitude, especially if this is a home that the client loves.

Fortunately, being able to shop the private market for flood insurance has changed the game. It is typically priced much better than expected and can help reduce the anticipated closing cost.

Brent Norkus, of Goosehead Insurance is the preferred referred insurance agent at Gustan Cho Associates in Oakbrook, Terrace, Illinois. GCA Mortgage Group, a dba of NEXA Mortgage is licensed in 48 states including Washington, DC, Puerto Rico, and the U.S. Virgin Islands. Brent Norkus of Goosehead Insurance is availabe seven days a week, eveningss, weekends, and holidays. Brent Norkus of Goosehead Insurance, unlike other insurance agent, is hands on and leads by example. Like to thank Brent Norkus of Goosehead Insurance for this article on property homeowners insurance

https://gustancho.com/property-homeowners-insurance/

• This discussion was modified 1 year, 2 months ago by  Gustan Cho.

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Property Homeowners Insurance is Required by Lenders

Property Homeowners Insurance Is required by lenders to protect both the homeowners and lender's interest and collateral which is the home

Does your credit scores impact your homeowners insurance premium and auto insurance premium?

What is private mortgage insurance (PMI), and when is it required?

Do I need to pay mortgage insurance?

Can someone please explain what it means when a lender or finance company does a FORCE PLACED INSURANCE on the borrower? What does FORCE PLACE INSURANCE MEAN? HOW DOES FORCE PLACE INSURANCE WORK? WHAT IS THE PROCESS OF FORCE PLACED INSURANCE? HOW MUCH IS THE PREMIUM OF FORCED PLACED INSURANCE? DOES THE LENDER GET A KICK BACK ON FORCE PLACED INSURANCE FROM THE INSURANCE COMPANY?

If you currently own a home, you may have experienced a change in mortgage servicer during the life of your loan. The mortgage servicer typically changes when the loan is sold off to a different mortgage company that now holds the financial interest in your property. During this transition, not only does the company that collects your mortgage payments change, but the handling of your insurance and property taxes may also shift. It’s crucial to keep track of communications from both your old and new servicer. This will ensure a smooth transition, and update any automatic payments set up for your mortgage, insurance, and property taxes accordingly. If you have any questions or concerns about the transfer, don’t hesitate to reach out to both servicers for clarification. Remember, open communication is key to a successful transition.

When this changes, you need to notify your home insurance company so that they can update the mailing address of where to send the new home insurance invoice so that the insurance is paid promptly. If this needs to be corrected promptly, it can lead to a nonpayment cancellation on your home insurance. If this payment is made in a reasonable timeframe after the cancellation, then you may be at the underwriter’s discretion for possible reinstatement. Although that is the best possible solution, the opposing side could be a cancelation with a lapse. Which will cause difficulty finding new insurance and or be costly.

#homeownershipgoals #mortgage #playitsafe #knowledgeispower #growthmindset #winning

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We are protecting our clients’ financial interests to ensure a prosperous future!

FIRST TIME INVESTORS

I have seen this where a current homeowner changes their first purchase into a rental property. There may not be many changes on the mortgage end of things. Still, there are quite a few differences in insurability!

It’s crucial to understand that a typical homeowner policy on a NEW AIRBNB listing will not provide sufficient coverage when you need it most. I’m referring to an Airbnb and a long-term lease, but there are two scenarios where you could be held liable as the property owner. When you have a landlord policy on a rental, they are insuring YOU, the one with the financial interest in the property. YOU are the one with pride of ownership, and you will not want to sue yourself or do any damage. However, the real risk lies in situations involving other individuals, such as renters, their guests, and anyone else involved.

It sounds like a more expensive policy, but it is most often in the price range! Well, most landlord policies, also known as dwelling policies, protect you as the property’s landlord, whether that is tenet damage, loss of rent, or even a lawsuit. So, it is critical to know the difference between the policy types when your buyers are keeping a current home to buy a new one! It could be a secondary home in FL, it could be a property for a family member, or it could be the 10th rental property.

A good agent will take the time to understand the client and their needs and wants, but something is black and white, and I wouldn’t want their purchasing power to decrease by a lousy agent.

Here is a guide on how homeowners insurance deductible works. Brent Norkus of Goosehead Insurance, one of the top preferred referral insurance agents at Gustan Cho Associates wrote this comprehensive blog that has been popular that was recently updated. https://gustancho.com/homeowners-insurance-deductibles/

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How Homeowners Insurance Deductibles Work

The way how homeowners insurance deductibles work is the higher the homeowners insurance deductible, the lower the insurance premium

Maintaining a good insurance score is crucial for your financial well-being. Your insurance score is a number that represents how much of a risk you are to your insurance company. Did you know that making an insurance claim can affect your insurance score? When you file a claim, it’s important to do so wisely and responsibly because claims history can follow you for 5 to 7 years on your insurance history and can have a significant impact on your premium. The more claims you make, the higher your risk becomes, and thus, the higher your premium will be. That’s why it’s important to report claims wisely and responsibly to avoid any negative impact on your insurance score. By doing so, you can ensure that you maintain a good insurance score, which can help you get better rates on your insurance premiums. So, always make sure to report claims wisely and responsibly to protect your financial well-being. #InsuranceTips #FinancialWellBeing

When it comes to insurance policies, insurers need to make sure they’re covering their bases. One of the ways they do this is by conducting insurance inspections and ensuring that the policyholder meets their underwriting criteria.

An insurance inspection, whether conducted by the insurance company or a trusted third-party inspector, is a comprehensive review of a property or asset. It meticulously determines its value, condition, and potential for risk. The results of this diligent inspection provide the insurer with a clear understanding of the risk associated with the property or asset, enabling them to offer the most appropriate coverage and premiums.

Meeting underwriting criteria is a crucial factor in getting approved for an insurance policy. Underwriting criteria are the set of guidelines insurers use to determine a policyholder’s eligibility. This includes factors like the individual’s credit score, age, occupation, and health status.

For example, if you’re applying for a life insurance policy, the insurer will want to know your age, whether you smoke, and whether you have any pre-existing medical conditions. Based on this information, they will determine your risk level and offer you an appropriate coverage plan.

Insurance inspections and meeting underwriting criteria go hand in hand. Insurers use the information gathered from a property inspection to determine the risk level of the asset, which in turn helps them determine the premiums they will charge. Similarly, underwriting criteria help the insurers understand the risk level of the policyholder, which plays a significant role in determining the policy’s cost.

In conclusion, insurance inspections and meeting underwriting criteria are not just processes; they are opportunities to be an active participant in your insurance coverage. They help insurers understand the risks associated with the property or asset they are insuring and the individual they are covering. As a policyholder, your transparency and provision of accurate information are key to ensuring you’re getting the coverage you need.

Insurance claims can be a complicated and stressful process. It involves filing a claim with the insurance company, providing supporting evidence, and waiting for the insurance company to review and approve the claim. The process can vary depending on the insurance type and the claim’s nature. It’s essential to have someone who can understand your insurance policy to ensure you know the coverage and claim process.

When you call your insurance about a hypothetical or possible claim, they must file a 0-dollar claim on your behalf. Not only does this leave a stain on your record, but also on your insurance score. That is why it is essential to have a trusted resource to help navigate the steps you should take.

What is an insurance score? And what effects it negatively?

Claims Activity

Missed Payments

Tickets

Roadside Assistance (usage is filed as a claim)

Low Level of Coverage

Fraud

Material Misrepresentation

Poor Credit

Now that you know what affects your score, you can better equip yourself for the insurance market. If you have any questions or want a trusted source to help guide you through the process, I look forward to being your insurance agent.

When buying a brand-new car, it’s essential to consider how the price of the vehicle can affect your insurance rates. Insurance companies take into account several factors when determining your premium, and the value of your car is one of the most significant. The more expensive your car, the higher your insurance rates will be.

This is because insurance companies assume that more expensive cars are more expensive to repair or replace in the event of an accident. If your car is stolen or damaged beyond repair, the insurance company will need to pay out the current value of the vehicle, which is often higher for a new car than a used one. This means that the insurance company is taking on a greater risk by insuring a new car, and they will charge you more to cover that risk.

However, it’s important to note that the make and model of your car can also affect your insurance rates. Some cars are more expensive to insure than others, even if they are of similar value. This is because certain cars are more likely to be involved in accidents or stolen. Before buying a new car, it’s a good idea to research insurance rates for different makes and models so you can factor that into your decision.

Overall, buying a brand-new car can be exciting, but it’s important to consider the insurance cost as well. By taking the time to research insurance rates and considering the make and model of your car, you can make an informed decision and ensure that you are getting the best value for your money.

When it comes to buying a home, there are a lot of moving parts that need to come together in order to finalize the purchase. One of those pieces is insurance, and it’s important to understand how insurance payments are handled at home closings.

Typically, when you buy a home, you will need to purchase two different types of insurance: homeowners insurance and title insurance. Homeowners insurance protects your property and belongings in case of damage or loss, while title insurance protects you against any potential legal issues with the ownership of your property.

So, how are these insurance payments handled at home closings? In most cases, your insurance payments will be included in your monthly mortgage payments. This means that your lender will collect the insurance payments from you and then pay the insurance company directly.

However, there are some cases where you may need to pay your insurance premiums directly to the insurance company. For example, if you’re paying cash for your home, you’ll need to set up your own insurance policies and pay the premiums directly.

It’s important to note that you’ll typically need to have proof of insurance before you can close on your home. This means that you’ll need to have your policies in place and your premiums paid up to date before you can finalize the purchase.

In some cases, you may also need to provide proof of insurance for the previous owners of the property. This is typically the case if you’re buying a home that’s been recently renovated or if there have been any major repairs or improvements made to the property.

Overall, understanding how insurance payments are handled at home closings is an important part of the home buying process. By working with your lender and insurance company, you can ensure that everything is in place and that your home is fully protected before you move in.

Loss Ratios: The carrier needed to be adjusted to inflation, causing a larger claim payout and underpriced policies at the time of the claim.

Claims: Every time you interact with your insurance company, whether a tow or a not-at-fault accident, it puts you at risk of an increase.

Tickets: Most tickets, if not all tickets, affect your insurance premium moving forward. The only two that do not appear on a motor vehicle report (or MVR)are red lights and parking tickets. Excessive speeding and moving violations can seriously affect your rate.

Credit: The higher your credit score, the better you look to an insurance carrier. Now more than ever, it is imperative to have an excellent credit score.

Insurance Score: Separate from a credit score, this tracks your length of history with a carrier, length of continuous insurance, and claims tracking. This also is an accumulation of coverage you have selected for your home and auto insurance. Having state minimum coverage at 25/50/20 keeps your rates more variable and subject to change in a negative manner in the future.

These are just a few reasons your premiums may increase over the years. If you want to know more, I am happy to talk with you as your trusted insurance partner!

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Coverage is always a misconception about how it is calculated, and this may help if you have ever been in a battle with your agent.

Example:
Your home is listed or has a Zestimate for 300k, but the replacement cost of your home insurance policy is 415k.

Client A: My home is worth much LESS than that on Zillow.

Your home is listed for 600k, and your home insurance policy has a replacement cost 415k.

Client B: My home is worth much MORE than that on Zillow.

The land that your home sits on and the location of the house plays a huge role in determining the price. Think about acres of farmland with a considerable sized home or living in Downtown Chicago and the price difference per square foot of the owned space. These are both extremes, but they help show how a home can have a different replacement cost versus what it might sell for.

Fun Fact: The replacement cost of your home sometimes varies from the amount it can sell for. We fill out the Replacement Cost Estimator or RCE on the agent’s end. These are all the facts and features of your home, such as square footage, number of stories, garage, finished basement, and bathrooms. I have not listed everything that goes into an RCE, but within the RCE, there is also build quality, so if you use wood floor versus laminate, your home might take more money to rebuild

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Maintaining insurance coverage is crucial for safeguarding your assets and finances against unexpected events. However, a lapse in insurance can prove problematic when seeking a new carrier. It is imperative to understand the potential consequences that can arise from a lapse in coverage as they can impact your ability to secure insurance coverage.

A lapse in insurance arises when an individual fails to pay their insurance premiums on time, resulting in the expiration of their coverage. This can happen for various reasons, such as financial difficulties, forgetfulness, or being unaware of the renewal date. Regardless of the reason, a lapse in coverage can pose significant challenges when attempting to acquire a new policy.

Primarily, a lapse in insurance can make it difficult to find a new carrier. Insurance companies view lapses in coverage as a red flag, indicating that the client may be a high-risk candidate. The length of the lapse can determine the difficulty of finding a new carrier willing to provide coverage. Some insurance companies may refuse coverage altogether, while others may require a down payment upfront or charge higher premiums.

Additionally, a lapse in insurance can impact insurance rates. Insurance companies use various factors to determine insurance rates, including driving record, credit score, and claims history. A lapse in coverage can negatively affect these factors, resulting in higher insurance rates. In some instances, the insurance company may require higher rates for several years after the lapse.

Finally, a lapse in insurance can impact one’s ability to make claims. If an accident occurs during the lapse, the individual may not be covered by their insurance policy. Even if a new policy is secured after the lapse, the new carrier may refuse to cover damages incurred during the lapsed period.

In summary, a lapse in insurance can create significant difficulties when attempting to secure a new carrier. Timely payment of premiums and staying aware of renewal dates can help avoid a lapse in coverage. If a lapse does occur, it is crucial to work with an insurance agent to find a new carrier and understand the implications of the lapse on one’s coverage and rates. Being proactive about insurance coverage can ensure that one is protected in the face of unforeseen circumstances.

Insurance policies are a necessary part of modern life, providing peace of mind and financial protection in the event of unexpected events. However, many people take out policies without fully understanding what they are paying for or what is covered. This can lead to unpleasant surprises when it comes time to make a claim.

To avoid this, it is important to take the time to fully understand your insurance policy before you need to use it. Here are some key things to keep in mind:

1. Read the fine print: Insurance policies can be complex, with lots of technical language and legal jargon. Take the time to read through the entire policy, including any exclusions or limitations that may apply.

2. Know what is covered: Make sure you understand exactly what is covered by your policy, as well as any limits or deductibles that may apply. This will help you avoid surprises when you need to make a claim.

3. Ask questions: If there is anything you don’t understand, don’t be afraid to ask questions. Your insurance provider should be able to explain the policy to you in plain language.

4. Review your policy regularly: Insurance needs can change over time, so it is a good idea to review your policy on a regular basis to make sure it still meets your needs.

By taking these steps, you can ensure that you have the right coverage in place and avoid any unpleasant surprises when it comes time to make a claim. Remember, insurance policies are there to protect you and your assets, so it is worth taking the time to fully understand what you are paying for.

This forum thread applies to GCA FORUMS Insurance Expert @Brent . If someone gets arrested for a drunk driving offense, what happens to your auto insurance policy. Does the insurance carrier drop you? Do you need to get any other forms of insurance? Will there be a difference between auto insurance policy premiums with a driving under the influence dismissal in court and a driving under the influence conviction? Will the drink driving conviction affect your homeowners insurance coverage and premiums or is it treated independently. Thank you in advance, Brent

Home Systems: Did you know that the age of your home and what it takes to run the home affect your insurance?

Electrical: If it is not up to date and in working order, this can be an underwriting concern for insurance companies.

“Working Order” – this does not only mean that it has been checked on but updated to maintain a safe environment. Electrical work such as knobs and tubes, extension cords, and fuse boxes are risks that insurance companies can deny due to their underwriting guidelines. The reason that they would reject the items listed above would be due to the fire hazard they pose.

Plumbing: Once again, working order is excellent, but it can affect your insurance rates or eligibility with insurance carriers, causing your premium to spike or become ineligible with a carrier.

Plumbing to watch out for Galvanized Steel, Cast iron, and polybutylene, all plumbing types that might make a property ineligible or cost you an increased premium.

Furnace Age: The last time the furnace was replaced and the heating type of a home can determine a lot about potential claims in the future and cause your eligibility and insurance premiums to be higher.

The furnaces to watch out for are wood stoves, pellets, coal, stand-alone, space heaters, and fireplaces as primary heat sources.

Also, it is much better if a dial or a smart home system thermostatically controls the heat.

Roof Age: The roof age will qualify you for several discounts on your home insurance! A new roof protects the inside of your home from further damage, thus lessening the blow of a larger claim payout.

When a roof is outside the 15-year-old mark, consider putting a new one on yourself or face potential claims/out-of-pocket expenses for which you may not be ready. This could make your roof’s Actual Cash Value(= market value – depreciation) depending on how old the roof is. This can lead to a deductible plus the depreciated value of the top that you now owe besides your selected deductible.

ACV or actual cash value can lead to more unexpected costs you might only have been aware of once it is too late!

These items can help your clients choose a property that works for them and their expected budget. Negotiating on a contract might help your borrower save money on the purchase price and keep more money in their pockets! This is also excellent knowledge when prospecting with your real estate agents to help them stand out amongst a crowd and be the best they can be! Please let me know if you have any questions, and feel free to ask!

IL Rates

Single Family Homes: $1,700.00-$2,000.00

Condo: $600.00-$800.00

Rental properties: $2,400.00 -$3,000.00

MI Rates

Single Family Homes: $1,400.00-$1,800.00

Condo: $536.00-$750.00

Rental properties: $1,353.00 -$1,600.00

IN Rates

Single Family Homes: $1,400.00-$1,700.00

Condo: $630.00-$900.00

Rental properties: $1,300.00-$1,536.00

WI Rates

Single Family Homes: $1,305.00

Condo: $458.00-$650.00

Rental properties: $1,064.00-$1,404.00

OH Rates

Single Family Homes: $1,300.00-$1,600.00

Condo: $559.00 -$750.00

Rental properties: $1,573.00 -$1,800.00

TX Rates

Single Family Homes: $2,810.00

Condo: $800.00- $1,020.00

Rental properties: $2,000.00-$2,440.00

GA Rates

Single Family Homes: $1,500.00-$1,827.00

Condo: $854.00- $931.00

Rental properties: $1,830-$1,975.00

AZ Rates

Single Family Homes: $1,132.00-$1,336.00

Condo: $669.00-$734.00

Rental properties: $1,210.00-$1,352.00

Did you know that you need a landlord policy instead of a homeowner’s policy when renting out your house or home?

Many assume their homeowner’s insurance policy will cover their rental property, but that’s not true. Homeowner’s insurance policies are designed to cover owner-occupied homes and not rental properties. If you plan to rent out your house or home, you’ll need a landlord insurance policy to cover property damage, liability, and loss of rental income. A landlord policy is specifically designed to protect rental properties and provide coverage for risks unique to landlords. Ensuring you have the right insurance coverage to safeguard your rental property and financial investment is essential.

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Lately, insurance companies have been tightening their guidelines to no longer accept what we insurance agents call a monoline policy. AKA a stand-alone home policy without an auto attached or vice versa. This will affect the ability of clients to get a home policy that differs from their auto carrier. This can sometimes be the best option for a client, but with carriers cracking down on eligibility and underwriting guidelines, things can be a bit more complicated. Most clients are concerned about home insurance because they need to close on a home, not their overall cost. (home premium + auto premium.)

This is not the only eligibility factor. So, when you add all the elements together, you might need help navigating the insurance market for yourself or your clients. I can tell you that getting a home quote with your auto insurance carrier will not always be the best option.

If you have any questions or concerns, please reach out, and I would be happy to help!

Are you having trouble getting insurance coverage because you own a dog? Some insurance companies may restrict specific dog breeds or charge higher premiums for dog owners due to the perceived risk of liability for dog bites or other incidents. However, many options are still available for dog owners to obtain insurance coverage. It’s essential to shop around and compare policies from different insurers to find one that best fits your needs and budget. Additionally, you may consider taking steps to minimize the risk of incidents involving your dog, such as training and socializing your pet and ensuring that your property is adequately secured to prevent escape.

As of January 1st, a new law in Illinois will end the judgment of certain dog breeds for eligibility in insurance. If you want to know which dog breeds may be ineligible with certain carriers, let me know, and I’ll be happy to help you.

Auto insurance is a type of insurance coverage that protects individuals and businesses from financial loss in the event of a car accident or theft. It is a contract between the policyholder and the insurance company, where the policyholder pays a premium, and in return, the insurance company provides coverage for specified risks.

Here are some key components and coverages typically included in auto insurance:Liability Coverage: This covers the policyholder’s legal responsibility for bodily injury or property damage to others in the event of an accident for which they are at fault.

Collision Coverage: This covers damage to the policyholder’s vehicle in the event of a collision with another vehicle or object.

Comprehensive Coverage: This provides coverage for non-collision events, such as theft, vandalism, natural disasters, or hitting an animal.

Medical Payments Coverage (MedPay): This covers medical expenses for the policyholder and passengers injured in an accident, regardless of who is at fault.

Personal Injury Protection (PIP): Similar to MedPay, PIP covers medical expenses but may also include coverage for lost wages and other expenses.

Uninsured/Underinsured Motorist Coverage: This protects the policyholder if they are involved in an accident with a driver who has little or no insurance.

Auto insurance is mandatory in many places, and the minimum required coverage can vary. The cost of insurance premiums depends on various factors, including the driver’s age, driving history, type of vehicle, coverage limits, and geographic location.

It’s important for individuals to carefully review and understand their auto insurance policy to ensure they have adequate coverage for their needs. Additionally, laws and regulations regarding auto insurance can vary by jurisdiction, so it’s essential to be aware of the specific requirements in your area.