What is an Escrow Account and What Impact Does it Have for Home Insurance?

Posted on December 24, 2020December 24, 2020 by admin

If you plan to buy a home or recently have, the term escrow account should be ingrained in your brain. In its simplest form, an escrow is a legal agreement where a third party takes custody of a large sum of money or property until a predetermined condition has been met, which could be purchasing a new home. For real estate, escrow accounts have two main purposes:

Home Buying: Protects both the buyer and the seller by holding a deposit in a separate account in good faith.
Taxes & Insurance: May be required by a mortgage lender whereby a portion of your monthly payment for your home is set aside in a separate account out of which your homeowner’s insurance and property taxes are paid.

When you buy a home, your purchase agreement will likely include language around a good faith deposit, otherwise known as earnest money, which protects both the buyer and seller. For instance, if the deal falls through because of the buyer, the seller usually gets to keep the earnest money. In addition to earnest money, your mortgage lender may also establish an escrow account used to pay for homeowner insurance and property taxes. Given that your tax bill and homeowners insurance can either increase or decrease from one year to the next, this amount can change over the lifetime of your loan.

At Harris Insurance in Jasper, AL, our talented and knowledgeable team of insurance professionals will walk you through every step of the process to find the right homeowner’s insurance policy and answer your questions on escrow accounts. Give us a call today to learn more.

What type of auto insurance do I need to have in Alabama

Posted on November 28, 2020November 28, 2020 by admin

Like almost every other state in the union, Alabama has mandated auto insurance requirements. Given the necessity of having available transportation to so many aspects of life, ensuring you have auto insurance that you can trust at a price you can afford is necessary. In Jasper, AL, Harris Insurance is a trusted independent insurance agency with 50 years of quality service experience. We treat every customer with respect, and we listen to your needs, both insurance and financial, and find the carrier that will meet those needs.

In the state of Alabama, all drivers must carry liability insurance. The amount required is 25/50/25. This is $25,000 for injury or death to the other party in the accident, with a total for each accident of $50,000. This insurance pays medical bills, lost wages, and in the event of a suit against you for suffering and pain up to the amount on the policy. The property coverage must be $25,000.

If you choose not to carry liability insurance, the consequences can be quite serious. The first offense may result in a $500 fine, and the second offense rises to $1000 and a six-month suspension of your license. Your auto registration will also be suspended, and a $200 reinstatement fee collect for the first offense and $400 for subsequent offenses.

It is estimated 22% of Alabama drivers are uninsured, making it the 6th worst state in the country. Having uninsured or underinsured motorist insurance is not required, but it makes perfect sense to protect yourself against these drivers.

If you need auto insurance today or are considering changing agencies or carriers, Harris Insurance in Jasper, AL is the place to go. We are here for you today and tomorrow. Give us a call or come to our office and let us give you a free quote.

Three misconceptions about commercial insurance you should know about

Posted on October 27, 2020October 27, 2020 by admin

Business owners need to be well informed when they make decisions regarding commercial insurance coverage. Luckily, we offer commercial insurance coverage at Harris Insurance.

Unfortunately, there are some widespread misconceptions out there regarding commercial coverage. As a business owner, you need to be aware of these misconceptions. The following are three misconceptions about commercial insurance you should know about.

I don’t need errors and omissions coverage unless I’m working as a doctor or lawyer.

Errors and omissions coverage is a good thing to have if you’re involved with any business that involves giving advice. You could potentially be sued if a client is paying for your advice regarding their health or finances.

Errors and omissions coverage can provide you with valuable protection against expensive lawsuits.

My homeowner’s insurance coverage will cover me for claims against a home-based business.

Some homeowners who run a home-based business make the incorrect assumption that their home insurance will cover their business activities. This is not typically the case. Homeowners insurance won’t provide coverage for a lawsuit or any liability issue against a home-based business.

My commercial property insurance will cover flood damage.

If you own a home, you may already be aware of the fact that a standard home insurance policy will not protect against flood damage. Commercial property insurance coverage works the same way.

If your commercial facility is located in an area with flood risk, you should invest in a flood damage policy. Your commercial property insurance will not pay for damage to your commercial property caused by flooding.

Contact us to learn more about commercial insurance in Jasper, AL. We’re here to answer your questions and provide you with assistance at Harris Insurance.

Three mistakes to avoid when you purchase home insurance in Alabama

Posted on September 29, 2020September 29, 2020 by admin

Investing in quality home insurance is essential for homeowners in Jasper, AL. At Harris Insurance, we’re here to help you meet your home insurance needs in Alabama.

Unfortunately, Alabama homeowners frequently make home insurance policy mistakes that hurt them financially down the road. The following are three mistakes to avoid when you purchase home insurance in Alabama.

Failing to invest in flood insurance coverage

Flood insurance is vital for homeowners in any part of Alabama. Alabama homes can be especially susceptible to flood damage. This is especially true for those living in coastal areas or along the shores of any of the state’s many rivers and lakes.

As a homeowner, you should know that a home insurance policy doesn’t typically include flood coverage. You need to purchase add-on flood insurance coverage for your home insurance policy.

Purchasing an inadequate amount of coverage

Make sure you have enough coverage to compensate you for the costs of damage to your home. Ideally, you want to have a policy with coverage maximums large enough to compensate you for the full value of your property in the event of catastrophic damage.

Choosing a deductible amount that’s too high

Because home damage is especially common in Alabama, it’s crucial to anticipate claims on your home insurance policy. This means opting for a lower deductible amount.

If your deductible amount is too high, claims on your policy could create financial hardship for you. It might be better to pay a few dollars more in premiums every month so that the deductible you need to pay in the event of home damage isn’t too much for your budget.

Find the right home insurance policy to protect your home in Jasper, AL. Get started with our help at Harris Insurance. Contact us with your questions and inquiries.

What Vehicles Have the Highest Insurance Premiums

Posted on August 30, 2020August 30, 2020 by admin

When it comes to insuring your vehicle, it shouldn’t be too surprising that the most expensive cars to maintain are all high-performance sports cars. Not only are these cars far more costly than your everyday sedan or SUV, but also the high quality of parts and the need for mechanics who can work on them, make these vehicles costlier to repair. Keep reading to learn about the three of the most expensive vehicles to insure.

BMW I8

Topping the list is BMW’s revolutionary I8 featuring head-turning styling and a state of the art powertrain that delivers heart-stopping performance in an environmentally friendly package. With a price tag starting at nearly $150,000, the I8 is likely unattainable for the vast majority of the population, but if you have a chance to get behind the wheel, you won’t be disappointed in the performance.

Maserati Quattroporte

Typically known for producing two-door coupes, the Quattroporte is Maserati’s answer to four-door luxury sedans. Handmade in Italy, the Quattroporte may not be the most expensive car on this list with a price tag starting just south of $100,000. Still, given the high cost required to replace parts directly from the factory, it’s not surprising how expensive this vehicle is to insure.

Nissan GTR

With 565 horsepower under the hood, the GTR delivers incredible performance that is on par with a Ferrari or Lamborghini at a fraction of the cost. Featuring a tenacious V6 nad one of the best all-wheel-drive systems available, the GTR offers an impressive package of speed, handling, and fun.

When it comes to shopping for auto insurance in Jasper, AL, the team at Harris Insurance is ready to assist. Our team of friendly insurance professionals will work to find you the best policy possible that meets all your needs. Give us a call today to make an appointment to learn about all of the insurance offerings we have available.

Why Do I Need Commercial Property Insurance?

Posted on July 31, 2020July 31, 2020 by admin

Owning a business or commercial investment property can be an excellent idea for anyone in the Jasper, AL area. If you are going to purchase commercial property in this area, you need to make sure that you get proper Insurance in place. There are several reasons why you need to get an appropriate commercial property insurance policy for your asset in Alabama.

Provides Necessary Coverage

One reason why you need to get a commercial property insurance policy here is that it will give you valuable protection for your property. Investing and purchasing a commercial property is a big financial decision. When you get a commercial property insurance policy, you will receive the coverage you need to protect your investment adequately. This includes giving you coverage to repair or replace the building if necessary.

Required by Lender

Buying a commercial property is a very big purchase, and for most buyers, it will require taking out a mortgage. To ensure that their collateral is protected, a commercial property lender will require that you carry insurance at all times. If you do not have this coverage in place, you could be denied a loan, or you could be in default with your bank.

As you are looking for a new commercial property insurance policy in the Jasper, AL area, it is vital that you speak with someone that you can trust. Purchasing this insurance is a big decision and can seem complicated. To ensure that you are made aware of all of your necessities and options, you should speak with the team at Harris Insurance. The team at Harris Insurance can provide you with the guidance and support that you need to build and choose a policy that will provide ample coverage to protect your commercial property.

Three Ways to Protect Your Small Business from Theft

Posted on June 30, 2020June 30, 2020 by admin

After the time and effort you take to establish a small business, the last thing you want is to lose money to theft. Theft – from within or without – can cut into your business profits, hindering your growth and expansion. Commercial insurance from Harris Insurance is one of the most effective ways of protecting your Jasper, AL business. Here are some measures you can take to safeguard your business against theft.

Make Use of Video Surveillance

Installing CCTV cameras around your business property can help discourage theft, both from within and without. If your employees and customers know you have video surveillance, they’re less likely to commit theft during business hours. CCTV cameras can protect your business when it’s closed as well by deterring breaking and entering when no one is there.

For optimum protection, combine video surveillance with a customized alarm system to reduce your company’s risk of theft and vandalism year-round.

Background Check Your Employees

Perform background checks on new employees before hiring, particularly anyone who will be working with finances or will have access to financial data. Choose employees wisely, taking into account their character along with work experience. When appointing department heads or supervisors, consider workers you know well who have earned your trust over the years. By building a loyal workforce, you reduce your risk of employee theft and fraud.

Purchase Commercial Insurance

Talk to a Harris Insurance agent about commercial coverage for your Alabama enterprise. The right commercial coverage can protect your building, equipment, inventory, and sensitive data against theft, vandalism, fire, and other disasters. You can even obtain a coverage to compensate you for loss of revenue if you had to close down due to a disaster.

For more information on commercial insurance coverage and costs, contact Harris Insurance, serving small business owners in Jasper, AL.

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