Mortgage Blog

I met a friend over the weekend, and he asked me about
how to get the "right" insurance.

Yes, I indeed know lots of insurance since I got all the
training from farmers insurance in 2003. I was trying to
choose whether to be an insurance agent and loan agent
that year. And you know the answer.

For the insurance, the first guideline is: Never
over-insured, and never under-insured. If you
over insured, you just waste the money; but if you
under-insured your property, you will lose lots of the
money if the hazard happens.

The 2nd guideline for home owner insurance:
a)Dwelling coverage should be enough for the replacement
of your house b)You have enough Coverage for the liability.
I alway told my friend to have at least 500k on libility.

The third guideline for the auto insurance: For the Bodily
Injury & Property Damage,  beter to have 250k/500k/500k,
even for Uninsured Motorist.

You may pay a little bit more premium for the extra coverage,
but your personal assets will be (almost) fully protected.
That's the purpose of the insurance, right?

I will write how/when we should need an umbrella insurance
in the future blogs.