What do these numbers mean? Why are they important?

Your auto insurance renewal just came in the mail, and you’re reviewing your coverage. Have you ever wondered what the Liability and property damage coverage is and what those numbers are next to it and why they are so important.

Looks like this on most policies: $50,000/$100,000/$50,000 (these limits are options and higher limits can be purchased). The first two sets of numbers are for bodily injury to others. The first $50,000 is the most the insurance company will pay for any one person and the second number is the most the insurance company will pay per accident. The last number is property damage to others.

The best way to explain is with an example.

Let’s say you are on your way to work, you hit a patch of black ice going 55 miles an hour and your vehicle starts to spin out of control. Your vehicle ends up hitting another vehicle.

Guess who’s usually at fault for this situation? That’s right you are. The rules of the road state you must always maintain control of your vehicle. Maybe going 55mph when there is a high risk of black ice is not the best idea.

Let’s say the insurance companies have finalized their claim and sent your insurance company notice of what you’re responsible for paying.

Other Vehicle #1: Had $55,000 in vehicle damage and suffered a broken arm and leg, which put him out of work as a mechanic for 12 weeks. His total medical expenses and wage loss is $150,000.

Now - Let’s see what your insurance will pay.

Total Medical and wage loss.

Vehicle 1 total = $150,000 (your policy will pay a total of $50,000, because that is the policies limit per person). If there were multiple injured people in the car then the policy would pay a total of $100,000 per accident). You would be responsible to pay the remainder $100,000.

Vehicle 1 property Damage = $55,000 (The most your insurance will pay is $50,000). You would be responsible for $5,000.

I don’t know that many people can come up with $105,000 out of pocket. You may need to sell off some assets or mortgage your home.

Contact your agent today to see what your current coverage limits are and ask for the cost to increase those limits. You would be surprised at how little it costs.

By Tiffany Mulqueen

Do you have unopened mail from your insurance company?

What happens when you get your renewal packet comes in the mail from your auto insurance company or your home insurance carrier? Does the envelope go unopened? Does it get thrown in a basket or file cabinet to view “when you have time” to look at it, which never comes. Now, more than ever it is imperative to open mail from your insurance company immediately! At this time the insurance industry is changing dramatically in both personal and business insurance and in all product lines. The renewal notice you receive will point out important information and coverage changes. Information in a renewal notice may include; deductible increases, roof coverage reductions, exclusion of cosmetic damage coverage, removal of watercraft liability, rate changes, removal or availability of new discounts, etc.

I encourage you to take the time and read the notices sent by your insurance company and then reach out to one of our agents to discuss any questions you may have. We may have solutions to help mitigate the rate increases and will alleviate any surprises at claim time.

By Lana Fabel

Summer Fun!

Summertime is right around the corner and time is coming quickly to figure out options that provide family fun. Here are just a couple of ideas that are under 50 miles driving distance for you to research to see if it is a place your family would like to explore:

• A Maze’n Farmyard - 57645 State Hwy 55, Eden Valley, MN 55329 - PH 320-453-6901
  https://www.amazenfarmyard.com/

• Big Stone Mini Golf - 7110 County Rd. 110, Minnetrista, MN 55364 – PH 952-472-9292
  http://www.bigstoneminigolf.com/

• Wheel Fun Rentals - Veteran’s Memorial Park in Richfield, 6335 Portland Ave. S, Richfield, MN 55423 – PH 612-799-8614
  https://www.wheelfunrentals.com/wheel-fun-rentals-minnesota/

• Summerland Family Fun Park - 1050 28th Ave. NE, Sauk Rapids, MN 56379 – PH 320-251-0940
  https://www.summerlandfunpark.com/

• New Hope Aquatic Park - 4411 Xylon Ave. N, New Hope, MN 55427 - PH 763-531-5151
  https://www.newhopemn.gov/cms/One.aspx?portalId=9826709&pageId=11244896

• Elm Creek Park Reserve - 12400 James Deane Parkway, Maple Grove, MN 55369 – PH 763-694-7894
  https://www.threeriversparks.org/location/elm-creek-park-reserve

By Lynn Radmacher

Insurance rates & pricing in 2024

Consumers are wondering why insurance rates are rising so drastically:

• Claims payouts have risen:

  • Upper Midwest hail storms.

  • Wildfires in the west.

  • Flooding in many areas of the country.

  • Hurricanes in the south.

• Inflation:

  • The cost to make building repairs have skyrocketed.

  • Automotive replacement parts & labor increased.

• Re-Insurance rates:

  • Insurance companies purchase insurance themselves. The goal is to spread-out insurance exposures. When may areas of the country get hit with serious claims, the rates that your insurance company pays can go-up by 50% or more.

Capacity:

• Due to many of the reasons listed above, insurance companies are restricting coverage and dropping unprofitable lines of business. Shrinking their balance sheets allows them to gain control of their underwriting margins.

Homeowner Association (HOA) – Who is responsible for what?

During the past 10 years, I have lived in two Homeowner Associations (HOA) which are becoming more popular. The home/units can be a single-family home, 2–4-unit town homes or condominiums.

The home/unit owners may pay monthly dues for snow removal, lawn maintenance, maintenance for common areas, insurance premiums, garbage, etc.

The HOA may have a Master insurance policy which may provide insurance coverage for the home/unit, club house, swimming pools, tennis courts, etc.

With the increase of insurance premiums, the Master policy may have a large deductible. For example, $25,000, $50,000, 2% wind & hail, 5% wind hail.

It is recommended that the home/unit-owner purchase a HO-6 insurance policy which would provide coverage for his or her personal property (Coverage C) (clothing, furniture, etc.), dwelling (Coverage A), personal liability, loss assessment, etc.

Both policies may include terms such as loss assessment, walls out, betterments and improvements, all in Policy, sheet rock in, paint in, building components, etc.

The Association and Homeowner/Unit Owner each have their own insurance policy.

It is important for the Homeowner/Unit Owner to know the limits of the Association’s Master insurance policy so each homeowner can arrange their own HO-6 insurance policy to avoid gaps in coverage.

Usually, a Master policy has an annual policy term. At the renewal, the Association may change the Master policy by changing insurance companies, increase or decrease the deductible, change the forms which means the homeowner/unit owner may have to change their HO6 insurance policy to avoid gaps.

By Ann Valley

Why Flood?

Why do I need flood insurance? My home has never been impacted by a flood before.

With rising water levels many that have never been impacted before are now seeing the impact. A typical homeowner’s policy will not cover flash flooding where water comes into your home through the foundation or lower-level and ground level openings. If you are not in a flood zone, rates can be reasonable. Sometimes you can even add additional coverage to your home policy to cover some flood losses. Contact one of our agents today to get a quote. Also check out www.floodsmart.gov for free information and resources.

By Tiffany Mulqueen

“Click-it...or Ticket”. In Minnesota we’ve seen these highway signs for nearly 37 years. But, something caught my eye while traveling in North Dakota recently. While Minnesota has-had a law stating that you may be pulled-over for not wearing a seat-belt since 2009, North Dakota is establishing a primary seat belt law this summer. Prior to 2009 in Minnesota, and 2023 in North Dakota, the primary reason for being pulled-over could not be for a seat belt violation. Drivers could still be required to pay a fine of between $25 and $100 if they were not wearing a seat belt during a traffic stop due to other reasons. Now, you may be fined even if no other law is broken.

Seat belt compliance has steadily gone-up since those early days...now to nearly 92 percent. I’ve had friends, family and acquaintances killed in traffic accidents. Many of them were not belted in. Many statistics show that your chance of surviving a serious traffic accident increases by 45 to 50 percent by “clicking it”. Drive safely.

By Greg Thomes

Have you noticed an increase in your auto insurance premium?

A few reasons for the premium increase are due to the rising claim cost, supply chain constraints, labor shortages, increase in new/used car prices and weather conditions.

A few ways to reduce the premium –

• Make sure the use of your vehicles are correct - pleasure use, number of days driven to work per week, number of miles driven to work one way, farm use and business use.

• Increasing the deductibles will reduce the insurance premium and eliminate minor claims.

• If you have a young driver (usually under the age of 25) in the household who is a student and has a 3.0 grade point average or B average or better, they may be eligible for the Good Student discount. The young driver may qualify for the student away at college without a car discount.

• If you are 55 or older, you can reduce your premium about 10% by completing the Defensive Driving Course. For more information check your community education books or visit www.driverdiscountprogram.com. The courses can be taken in a classroom setting or on-line.

If you complete the course, you must provide your insurance agent with a copy of the certificate.

By Ann Valley

What is a health insurance OEP & SEP?

In the insurance world we often talk using a lot of acronyms. When applying for individual health insurance you may see OEP and SEP. OEP means open enrollment period, this is the one-time limited period per year that an individual can enroll in a health insurance plan or switch to a new carrier or plan. The open enrollment period typically starts in fall and lasts about six to eight weeks (check with your agent for official OEP dates). SEP is a special enrollment period. This is an enrollment time period for people due to a special circumstance (life event), getting married, having a baby, losing other health insurance coverage or moving out of the area. The SEP gives an individual 60 days from the qualifying life event to enroll in a health insurance plan.

At the Thomes Insurance Agency we can help you navigate the individual health insurance enrollment process, call us today at 763-682-1591.

By Lana Fabel

Pumpkin Poke Cake

12 Servings

Ingredients:

• 1 – 15 oz. can Pumpkin Puree (not pumpkin pie mix)

• 1 jar of caramel sundae sauce

• 1 box yellow cake mix

• 1 – 8oz tub Cool Whip

• 1 tsp Pumpkin pie spice

• 1 – 14 oz. can Condensed milk, sweetened

• ½ bag Heath bits

Instructions:

Preheat oven to 350°. In a large bowl, combine the cake mix, spice and pumpkin puree until a smooth batter forms. Yes, just the 3 ingredients for the batter. Pour batter into a greased 9 x 13 baking dish. Use the bake time according to the directions on the cake mix box (approx. 23-28mins). Remove cake from oven, cool completely. Using the end of a wooden spoon, poke holes all over the top of the cake.

Pour the sweetened condensed milk over the cake. This should fill in the holes and soak into the cake. Refrigerate for 1 hour.

Remove cake from the refrigerator and spread the cool whip evenly over the top of cake. Sprinkle on the heath bits. Drizzle caramel over the heath bits, using about ¼ jar of caramel. Refrigerate for about 3-4 hours before eating. Best when refrigerated overnight. Keep any left-over cake refrigerated.

By Alison Johnson

Should you file a hail claim?

First and foremost, it is your responsibility to prevent further damage. Take pictures, keep any receipts and you can make temporary repairs.

Inspect your property such as the gutters, siding, windows, and top of the air conditioner unit. Vinyl siding can be brittle and softer metals would show damage first. Don’t mistake “splatter” as damage. Splatter is when hail is soft and breaks apart right away when it hits the ground or structure. It leaves a splotchy or staining look.

Leave the roof to a professional contractor to look at. Use a local or a recommended contractor from someone you know.

Be sure to write down the date of loss and approximate time. The insurance company will need to know the date of loss. The size of the hail is also important. Generally quarter size hail is when you may start to see damage but other factors like duration, velocity, pitch of the roof, or the previous condition of materials could affect the outcome.

Don’t wait too long time to report for there is a time limit on reporting a claim just as there is a time limit you will need to complete the repairs.

When in doubt, report and discuss with an agent.

By Amy Kelley

Getting ready to send your kids back to School!

Summer flew by and now it is time to send your kiddos back to school.  As we all know September is a month full of adjustments.  New teachers, new schedules, new classmates, etc.  We all know how this month can go for kids and parents so here are some tips that might help with these big adjustments:

Start practicing your school morning schedule a week before school starts.  Set an alarm to wake the kids up at the time they will need to get up for school and run through the morning routine so they understand what time they need to be out of the house in the morning before school starts and hopefully you and your kids will have an easier time adjusting to the early morning chaos during the first week of school.

Start having conversations with your kids about the upcoming school year and how much fun they will have.  Make sure you take your time at the school open house and let your child ask their new teacher(s) all the questions they are curious about. This will help their nerves and will hopefully get them excited.

Be sure to take your kids shopping for snacks they can take to school for snack time and let them take the lead on planning what they want for breakfast the first week of school. If kids are happy to eat breakfast, they tend to eat faster so they will make it to the bus on time! 😊

We hope you and your kids have a great start to the school year!

by Lynn Radmacher

Down Hill Mountain Biking

I recently experienced downhill mountain biking at Giants Ridge Bike Park in Northern MN. Never tried it before, but great fun was had with some friends. Hesitant on trying? I would go ahead and give it a whirl. From a beginner myself there was a lot of beginner trails to start out on and get comfortable with. They say “Pre-Ride, Re-Ride & Freeride” Pre-Ride – Wake up the brain and body inspecting the trail and get comfortable. Re-Ride – Lap the trail couple times getting a good flow of the trail’s features. Freeride – Start small and work your way up to a faster pace. Bikes are light weight easy to maneuver and control going down. Catch a little air on some of the more difficult trails, get a little adrenalin pumping. I’ll be going back that’s for sure!

Thank you,

Blake Miller

Turkey Roll-ups Recipe

Have you have you tried the pre-made turkey/cranberry roll ups with from your grocery store? They're delicious! I found this recipe on Pinterest several years ago. The ingredients calls for whole berry cranberry sauce in which you combine with softened cream cheese. If you are looking for a new recipe, these are great for your next party!

Turkey Roll Ups

Prep Time 5 mins
Cook Time 25 mins
Total Time 30 mins
Servings 16

Ingredients

• 8 oz cream cheese softened

• 1/4 cup whole berry cranberry sauce

• 8 -10-inch flour tortillas

• 3 pack of romaine lettuce, cut into 4 inch pieces

• 16 slices deli turkey

• 16 slices Swiss cheese, halved

• 2 medium tomatoes halved and sliced

Instructions

1. In a small bowl, combine the cream cheese and the cranberry sauce evenly.

2. Lay one tortilla flat on a large cutting board. Spread a thick layer of cream cheese all the way to the edges.

3. Layer 3 lettuce leaves down the middle of the tortilla.

4. The next layer, put two slices of turkey and 4 pieces of Swiss cheese on top of the lettuce. Then add several slices of tomatoes.

5. Starting at one end of the tortilla - roll tightly towards the filling. Keep rolling until the filling is tightly wrapped. Wrap each completed turkey rollup tightly in plastic wrap

6. Continue the process with each tortilla. Chill the wrapped rollups in the refrigerator for at least 1 hour before serving time.

7. To serve, trim any unfilled ends away. Slice each tortilla into 8 equal pieces.

By

Alison Johnson

Do I need insurance for my home-based business?

Since the pandemic we are seeing an increase in homeowners starting their own business out of their homes.   YES - in most cases some form of business insurance is needed. Most homeowners will find that their homeowners or renters policies have a business exclusion. 

Coverage available for home-based businesses include:

Business personal property – covers your office equipment, furniture, business computer, items held for sale, etc.

Liability Insurance - Protects you if someone visits your home for business purpose and becomes injured, for example - trip and fall by a person coming to your home to pick up a product sold to them.

Products – Are you making items to sell? Products liability can cover you for damage your product causes to a person or property.

Cyber – Protects your business from the cost of a data breach, malicious software and other cyber threats.

Business auto – Covers a vehicle used in the course of the business for deliveries, sales calls and more.

Workers Compensation – Required by law if your business has employees.

There are many other business insurance coverages available. Contact our office to discuss your home-based business and what insurance coverage is right for your new venture.

By Lana

Can you be bored in Beautiful Maui?

My husband and I recently spent 14 days in beautiful Maui.

There are many things you can see and do – my top five favorites are:

• Snorkeling – discover reefs, fish, turtles and other sea life in the Pacific Ocean.

• Road to Hana – you will see rainforest, waterfalls, pools, winding and narrow one-lane roads.

• Luau – is the Hawaiian word for “feast”. Taste Hawaiian food and drinks. Featuring music and cultural performances.

Enjoy the 80+ degree sunny days on the beaches of the Pacific Ocean or swimming pool. Remember to bring your sunscreen.

My favorite thing to do is whale watching especially watching a Mama and Baby whale and sometimes an Escort. Whales can be seen from the shorelines, boats or catamarans, hotel or condo balconies. Common actions of the whales – Breaching (whale will throw it body out of the water), Blowing, Tail Slap, Tail Throw, Pec Slap and Spyhopping.

Other things you may see in Maui - sea turtles, roosters and chickens, geckos, plants and trees. The Moneypod tree is my favorite. You can go to the Maui Swap Meet and other craft fairs where you can purchase items from vendors.

There are two commons words that you will hear in Maui…

• Aloha which means hello and goodbye

• Mahalo which means thank you

If you are in Maui and are bored - grab a beach chair, beach towel and a good book and head for a beach and let the whales entertain you.

Winters here and I want to park in the garage…. Garage Organizing tasks!

Who has an organized garage…? I’ll wait…? I don’t think there is anything more on the back burner than my garage being organized – often can be a catch all for me, a holding station for stuff that has no calling for the house, or things you just can’t find yourself to toss just yet.

Its December and I want to park my car in the garage, but where do I even start on the daunting task of organizing the garage? I organized it and so can you!

Start with a plan – Before tearing it to pieces, make sure there is a method to this madness. Not saying this guy is a professional. Create categories to group things like Sports Gear, tools, garden equipment, automotive items etc. Temporary zones can help as well – Stack for donations, stuff to throw and stuff to put in storage.

Don’t have to do all at once – Feeling overwhelmed yet? Box things up, go through now or later. Items used frequently keep them in the garage, put on the shelf for ease of use. Stacking Boxes or bins on the floor is not a good idea. At some point you’re going to want what’s in the bottom bin.

Stay on top of it. You may find yourself falling down the same road in the future. Be vigilant, anytime you bring something new in the garage make sure to place in the right area or put away. When you use something put it back.

You probably feel good now, enjoy the new space! Now go put your vehicle in the garage during these cold days. It deserves it!

by Blake Miller

Reasons to Call Your Insurance Agent

Everyday circumstances can impact your insurance coverage. Here are some reasons you may not think to contact your insurance agent.

• Change in Occupancy—The Homeowner’s policy contract is based on it being owner occupied. If the owner no longer occupies the home and it is vacant or rented out to others, the policy must be rewritten.

• Child Going Away to College—If your child goes away to college more than 100 miles away from home without a car, it may be possible you can receive a discount on your auto policy.

• Purchasing a Dog—You should check with your agent if your insurance company will accept a breed of dog that you may be considering.

• Association Living—Your condo policy might need changes if your homeowner’s association makes changes to the association master policy.

• Working from Home—Your auto policy may need to be adjusted for the amount of miles you drive. On the homeowner’s policy, there may be limited or excluded liability and/or business property.

by

Amy Kelley

Greg's Blog

New Home Construction

While many things slowed-down during the past year, one item sped up greatly. The cost to build/re-build increased up-to 100% in many instances. We hope this article will give you the initiative to check-out the property limits you have on your insurance policies.

The National Association of Home Builders puts the average cost to build a home in the US at $485,128. The cost to construct an average home is well over $100 per square foot. Many cases this cost is closer to $200 per square foot. The construction material costs for 2021 continues to change. We don’t see this trend changing until American workers and the rest of the world gets back to producing and shipping materials.

Don’t wait for the high building costs to subside. Contact Thomes Insurance Agency to see if your home is adequately insured.

By Greg Thomes