Protecting Your Assets with Property and Casualty Insurance
In the life of someone with a substantial net worth, there is a point when protecting the assets you have already attained supersedes the acquisition of new ones. The primary way to do this is by ensuring adequate coverage is in place to protect your property and financial assets. Having a failsafe in place reduces the impact of any significant life-changing events.
As Wealth Grows, Coverage Needs Change
As wealth and assets grow, affluent individuals and families may find themselves with multiple homes, high-end vehicles, antiques, rare art, valuable jewelry, watercraft and more. At this point, and actually well before, it’s vital to have a trusted insurance advisor that can navigate the difference in insurance carriers and coverage.
In addition to home, auto, and umbrella coverage, some families may also require more unique insurance coverage, such as:
- Workers compensation for household staff (au pairs, nannies and housekeepers)
- Coverage for private collections, jewelry, artwork, collectibles
- Identity theft and/or, cyber liability
- Fraud Safeguard
Since these needs generally arise over time, families often find themselves with multiple insurance policies across several carriers, usually with different agents. This can easily lead to gaps or overlaps in coverage, particularly if the family is not diligent about reviewing their policies and coverage levels at least every few years. This could make the claims process overly complex and time-consuming in the event of a loss. At Daigle & Travers, we like to be the main point of contact for all of our clients’ insurance policies to mitigate these issues.
Working with an independent insurance agency, such as Daigle & Travers, that specializes in the high net-worth market, can expand carrier and coverage options, simplify the claims process, and help uncover exposures.
A Common Misconception is that Homeowner’s Insurance Covers All Risks Relating to a Residence
There are coverages that will need to be endorsed to your policy or written on a separate insurance policy. For example, standard policies typically do not cover things such as collectibles or household staff.
High net worth families should evaluate their coverage needs in all of the following areas in order to prevent potential gaps or oversights:
- Property – Provides protection against damages to possessions, including loss for diminished value and loss of use. This can include homeowners, renters, flood, and earthquake coverage.
- Automobile – Provides protection against damages or theft of a vehicle. Expenses for injuries to yourself or others and injuries or damages caused by an uninsured motorist are also covered.
- Umbrella – Also known as excess liability, provides coverage above the limits of homeowners, automobile and watercraft policies. Coverage level needs increase as wealth and earning power grows. There should be enough to cover the full value of the family’s assets.
- Recreational Vehicle – Provides coverage for watercraft, aircraft, snowmobiles, jet skis, motor homes, travel trailers, etc.
- Workers Compensation for Household Staff – Provides benefits for workers in the home, such as nannies, housekeepers, cooks, personal assistants, etc. Coverage minimums are directed by the laws of the state of residence.
- Directors & Officers – Provides protection for legal action against directors & officers of non-profits, businesses, or other organizations.
For more information reach out to Daigle & Travers Insurance. We have three convenient locations in Connecticut: Wilton, Darien, and Westport. One of our many experienced insurance professionals will be able to guide you through the insurance process. Reach out to us at 203-655-6974 or at email@example.com.