understanding the insurance

Should I explain to you that it may be time for another insurance agent? How can they sell insurance to you or your HOA if they can't understand the policy? Maybe I am wrong here but I would not feel comfortable calling my insurance agent and they saying they didn't understand the policy we had. What would they know about what they are responsible for paying out? If your going to collect this seems like a sly way of keeping their money.

We just had a rash of history making tornados in our area. Insurance was a mess for many people. Some insurance companies plain out cancelled policies and no longer offer insurance for homes. FEMA ONLY picks up AFTER insurance leaves off. So to get FEMA money your insurer has to pay out first and FEMA MAY do the rest in helping any differences. Plus some insurers took awhile to come do claims as there were several hundred homes destroyed. Your HOA needs to have a plan for such things. We had no power for a week in my county alone. That meant no gas, food, or supplies.

Our policy was a bundled policy that included a car even though we did not own one. It's just part of the bundling. We had a million dollar policy but by no means does that mean it pays out a million dollars. The insurance covered the personal assets of the board in cases of bad judgement/liability. We had a clubhouse, a pool, and common areas. The insurance on the clubhouse included replacement costs of the building. Which was really under insured in today's market. An area to consider if you have a structure. Should be evaulated for value every once and awhile to insure you could afford to rebuild it.

Keep in mind insurance does NOT 100% protect you. It basically pays out MOST of the costs one may incurr. The owner may still need to have a special assessment to cover the deductible or the overage of what insurance does NOT cover. It is best to try to keep enough money in your savings to cover the insurance deductible if ever needed.