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Insurance broker/Umbrella policy recommendations

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Allstate continually raising home/auto prices, and we just bought a 2nd investment property (short term rentals).  Thinking it’s time for an umbrella policy and shopping around.  Anyone have experience with using an insurance broker to help find the right coverage and best prices?  Thoughts on Umbrella policies?  Looking into USAA as my stepfather was in the military, but not sure if he is a member yet.  If so that may be the simple solution, but interested in other ideas.  Would be looking for car insurance for my wife & I and homeowners, umbrella policy for about 1.5mil between our three houses.

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I’m changing my home and auto carrier after 22 years with the same company.  I looked hard into USAA as I’m a veteran, I decided to stay way away from them, they are not what they once were.  Horror story after horror story, long time policy holders leaving in droves.

My insurance guy is a local guy that is a broker, he provided same coverage quotes from 6-8 different companies, I’d recommend a local broker who you can see face to face.

 

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1 hour ago, Limp Brisket said:

I’m changing my home and auto carrier after 22 years with the same company.  I looked hard into USAA as I’m a veteran, I decided to stay way away from them, they are not what they once were.  Horror story after horror story, long time policy holders leaving in droves.

My insurance guy is a local guy that is a broker, he provided same coverage quotes from 6-8 different companies, I’d recommend a local broker who you can see face to face.

 

I’m skeptical about using brokers who can have a strong financial incentive based on me following their advice. And their sales pitches usually fall back on “I could tell you some stories” or the ultimate cop out, peace of mind.   Ok, tell me some stories and let me talk to your customers that you protected.

i realIze that some people have complex needs and the bottom line of the premiums isn’t the only concern.  But I couldn’t imagine using a store front office for relatively basic insurance needs. 

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We use liberty mutual for home, umbrella, and cars and NREIG for rentals.  NREIG is based in Missouri and they have used several firms(Lloyds, etc) over the years for the different status of the various rentals, occupied or being renovated status'.  Haven't made a claim yet, knock on wood, so can't comment on them.  They take my money just fine.

Edited by zork

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Are there qualifying for umbrella payouts? I know umbrella policies usually kick in after other policies payouts are exhausted but can the umbrella policy decline the payout because of your actions that lead to a lawsuit?

example, say I’m warned about a problem with my house but I choose to ignore the warnings. Then someone is hurt. Can the umbrella policy decline my claim if I’m sued?

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I don't know.  I have liability ins as part of the commercial for each rental property and I require each renter to have renters insurance and liability ins for their guests as well.( the last part mainly on the one property with a pool)

Others will certainly be able to answer more.  There are a few Insurance guys here on the shag/surl.  Maybe they will chime in.

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They aren’t going to be the cheapest, but after having a major claim (Harvey) I can fully recommend Chubb. They’ve been awesome.

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Paging @C-Man to the Burnt Orange courtesy phone... a Mister "C-Man" to the Burnt Orange courtesy phone.



I ran my Mom's policy through him & he looked @ all the particulars that makes that property unique; came back to tell us that there isn't much better he can do (can write all across Texas) & has also saved lots of other Shaggers over the years.

I appreciate that he didn't try to bullshit the process & sell a lower quality policy for lower price & try to slip that past us.

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1 hour ago, ROFL BOX said:

Paging @C-Man to the Burnt Orange courtesy phone... a Mister "C-Man" to the Burnt Orange courtesy phone.



I ran my Mom's policy through him & he looked @ all the particulars that makes that property unique; came back to tell us that there isn't much better he can do (can write all across Texas) & has also saved lots of other Shaggers over the years.

I appreciate that he didn't try to bullshit the process & sell a lower quality policy for lower price & try to slip that past us.

Yeah, but now he has your SSN and knows where you live.

 

Your Mom too.

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12 hours ago, Nice Guy Eddie said:

I’m skeptical about using brokers who can have a strong financial incentive based on me following their advice. And their sales pitches usually fall back on “I could tell you some stories” or the ultimate cop out, peace of mind.   Ok, tell me some stories and let me talk to your customers that you protected.

i realIze that some people have complex needs and the bottom line of the premiums isn’t the only concern.  But I couldn’t imagine using a store front office for relatively basic insurance needs. 

Not following about what you mean about strong financial incentive. You mean P&C insurance brokers or just brokers in general. I'm with a large international independent broker.

I can tell you stories. Have a couple nifty claims going for clients right now -- one with PURE and the other with Chubb. PURE's is a tornado claim for my largest house on Strait Lane. Last I checked the claim was close to $3M and PURE is handling it very well. My clients are in a rental at $35K/month while PURE fixes the roof among other things. My Chubb clients had a substantial water claim when a hot water system in the attic exploded. Chubb is the gold standard though they have company in the HNW space now from PURE, Cincinnati, AIG and Nationwide Private Client. New ones coming online for us (probably) with Vault and Berkeley One.

14 hours ago, Limp Brisket said:

I’m changing my home and auto carrier after 22 years with the same company.  I looked hard into USAA as I’m a veteran, I decided to stay way away from them, they are not what they once were.  Horror story after horror story, long time policy holders leaving in droves.

My insurance guy is a local guy that is a broker, he provided same coverage quotes from 6-8 different companies, I’d recommend a local broker who you can see face to face.

 

This is exactly what we do. I've pulled over several clients in the last 6 months who were USAA lifers. I grew up in SA. I know all about USAA. Like you, common complaint I hear is it's just not the same. My best products are better than theirs too.

9 hours ago, Nice Guy Eddie said:

Are there qualifying for umbrella payouts? I know umbrella policies usually kick in after other policies payouts are exhausted but can the umbrella policy decline the payout because of your actions that lead to a lawsuit?

example, say I’m warned about a problem with my house but I choose to ignore the warnings. Then someone is hurt. Can the umbrella policy decline my claim if I’m sued?

Umbrella policies pay out in liability situations -- when the underlying limits on home and auto policies are used up. You *must* keep certain minimum limits on those primary policies.

I've never seen a situation where an umbrella policy doesn't pay out in a situation like you propose. I'm struggling to even find a real-life situation where it might come into play. On the property side of things, yes, if an insurance company comes out and has requirements that must be made by insured and they are not made, coverage could be compromised. Wait -- just thought of something. If you lie on application -- say you tell carrier your rental home has a long-term tenant when it's actually listed on AirBNB or VRBO and is rented out 200 or so nights per year, yes, I could see where the carrier might tell you to pound sand if a short-term tenant is injured or killed on your property. I'm sure there are others.

9 hours ago, justhookit said:

They aren’t going to be the cheapest, but after having a major claim (Harvey) I can fully recommend Chubb. They’ve been awesome.

See above about Chubb claim I have working right now. It will be well into six figures when it's all said and done. Many middle market or direct writers severely limit coverage for water damage. Also it might need to be discovered almost immediately. Slow leaks and what-not might not be covered.

9 hours ago, ROFL BOX said:

Paging @C-Man to the Burnt Orange courtesy phone... a Mister "C-Man" to the Burnt Orange courtesy phone.



I ran my Mom's policy through him & he looked @ all the particulars that makes that property unique; came back to tell us that there isn't much better he can do (can write all across Texas) & has also saved lots of other Shaggers over the years.

I appreciate that he didn't try to bullshit the process & sell a lower quality policy for lower price & try to slip that past us.

I'm here. Appreciate the nice words. The main issue on your deal is the distance from fire hydrant and professional fire station. We could've done it but as you said, it would've been a lot more expensive.

OP, I'll reach out with a PM with my contact information.

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@C-Man do you think USAA has gone downhill because they expanded their base of insureds to the point where they are writing more policies to people that are  more likely to make claims for casualties that are  not necessarily for losses covered by the policy or claims driven by outside interests (storm chasers)?

 

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1 hour ago, deadshank said:

@C-Man do you think USAA has gone downhill because they expanded their base of insureds to the point where they are writing more policies to people that are  more likely to make claims for casualties that are  not necessarily for losses covered by the policy or claims driven by outside interests (storm chasers)?

 

I blame their awful commercials. 

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I'm here. Appreciate the nice words. The main issue on your deal is the distance from fire hydrant and professional fire station. We could've done it but as you said, it would've been a lot more expensive.
OP, I'll reach out with a PM with my contact information.


Thanks C-Man, I’ll send you an email shortly.


Sent from my iPhone using Tapatalk

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7 hours ago, deadshank said:

@C-Man do you think USAA has gone downhill because they expanded their base of insureds to the point where they are writing more policies to people that are  more likely to make claims for casualties that are  not necessarily for losses covered by the policy or claims driven by outside interests (storm chasers)?

 

Honestly, I don't know the answer but something has definitely changed. It's not as exclusive a club as it used to be. I also think they've expanded beyond their capabilities from a servicing standpoint. It's not as personal as it used to be. I don't think the product is necessarily inferior -- I'd still rather have USAA than either Allstate or Farmers and perhaps State Farm -- but you do not have a dedicated agent handling your account. You deal with a call center who may or may not know shit. As you slide further and further into the mass affluent/HNW space, you need more risk management type services from your agent/broker. You need a higher level of insurance knowledge than entry-level insurance agents can give. You can get Chubb and PURE homeowner products thru USAA but their agents don't really know those products very well. And there are more options in the HNW space now. USAA's auto is OK. I have clients who have all policies with a HNW carrier thru me but leave their auto with USAA.

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17 hours ago, C-Man said:

 

I can tell you stories. Have a couple nifty claims going for clients right now -- one with PURE and the other with Chubb. PURE's is a tornado claim for my largest house on Strait Lane. Last I checked the claim was close to $3M and PURE is handling it very well. My clients are in a rental at $35K/month while PURE fixes the roof among other things. My Chubb clients had a substantial water claim when a hot water system in the attic exploded. Chubb is the gold standard though they have company in the HNW space now from PURE, Cincinnati, AIG and Nationwide Private Client. New ones coming online for us (probably) with Vault and Berkeley One..

And here I thought I was one of your big fish when I made the Christmas Card list. Guess not. 

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4 minutes ago, hornian said:

And here I thought I was one of your big fish when I made the Christmas Card list. Guess not. 

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Regarding umbrella policies -- I had one with Allstate and they contested then paid $1M on a bullshit lawsuit that many here know about.  (Former pre-shagger had a terrible accident in a car I had loaned to him and one of those injured in the accident sued me because they sniffed out the umbrella policy.)

So, my anecdotal evidence is that an umbrella policy can trigger legal action, but it's still probably better to have it than not.

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did you have to pay anything in that situation other than possibly increased insurance rate later on?

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3 hours ago, jimmyjazz said:

Regarding umbrella policies -- I had one with Allstate and they contested then paid $1M on a bullshit lawsuit that many here know about.  (Former pre-shagger had a terrible accident in a car I had loaned to him and one of those injured in the accident sued me because they sniffed out the umbrella policy.)

So, my anecdotal evidence is that an umbrella policy can trigger legal action, but it's still probably better to have it than not.

How do you know they sniffed out the umbrella?  Had your auto insurance already paid out limits?

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3 minutes ago, TwiceHorn said:

How do you know they sniffed out the umbrella?  Had your auto insurance already paid out limits?

They had agreed to a settlement and then a new lawyer showed up.  Whammo, I had a $4M lawsuit handed to me on my doorstep.

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59 minutes ago, zork said:

did you have to pay anything in that situation other than possibly increased insurance rate later on?

No appreciable rate increase.

EDIT:  no, I didn't pay a dime, other than what I had been paying for the policy in the first place.  In that sense, the umbrella policy worked out just fine.  I still have one, just with a different insurer (courtesy of C-Man).

Edited by jimmyjazz

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Im thinking of selling an insurance product that covers the deficit for not recovering the value from an umbrella insurance product

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Ambulance chasers want the easy settlement. In cases of actual liability it is much easier to get insurance policy limits thrown in than go after policyholder's personal assets.

That's the thinking behind the idea that umbrellas aren't providing any additional protection in many cases.

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I had my house policy with Amica and auto with GEICO. I called both about umbrella policies. GEICO wanted nothing to do with me, but Amica offered me a policy. And by moving my auto policy over to Amica to bundle all 3, I'm actually paying $200 less in total insurance premiums than before and I have a $1M umbrella policy on top of it.

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