Q for State Farm camera policyholders

I'm going through all of this stuff with my agent right now. I've made two small claims on my personal articles policy over the past two years and now statefarm said red flags are flying up for "overusing" my insurance, which will affect my homeowners policy. The insurance was sold to me as something completely separate that doesn't affect my homeowners but that turns out to be untrue. Not worth it IMO.

rparchen wrote in post #8873638
I'm going through all of this stuff with my agent right now. I've made two small claims on my personal articles policy over the past two years and now statefarm said red flags are flying up for "overusing" my insurance, which will affect my homeowners policy. The insurance was sold to me as something completely separate that doesn't affect my homeowners but that turns out to be untrue. Not worth it IMO.

I think this supports the notion that one thinks they have a seperate policy but in actuality it is a rider on the homeowner's policy. In other words, one does affect the other. Hope it works out!

i went in, told them i wanted to insure my camera gear. They opened up a personal articles policy for me. Gave them an estimate of what i thought it was all worth till i could get all my receipts. Once I got all my receipts it totalled like $10,000 or so worth of stuff. Paid about $100 a year or so. I have to renew it soon though. They always offered to try and look at my insurance I have with geico but I told them it was ok, i was happy with geico. Never any pressure to open anything else.

The primary problem there is that you made a claim for water damage. Water damage is a special fear for all insurance companies, because water damage leads to later mold damage--and that can lead to the total loss of the house and lifetime medical payments.

Not only that, but there is, indeed, an industry database on water damage claims. Claiming water damage will not only cause you high rates (if you can get coverage) but will also affect any future owners of that home.

Bottom line: Don't claim water damage unless it wipes out the house. Don't even inquire about claiming water damage--even an inquiry goes into the database.

rparchen wrote in post #8873638
I'm going through all of this stuff with my agent right now. I've made two small claims on my personal articles policy over the past two years and now statefarm said red flags are flying up for "overusing" my insurance, which will affect my homeowners policy. The insurance was sold to me as something completely separate that doesn't affect my homeowners but that turns out to be untrue. Not worth it IMO.

The purpose of insurance is to protect against catastrophes. The underwriting tables are based on the statistical improbability of catastrophes. If you make "two small claims" that's indicative that you're not reserving your claims to catastrophes, which is what your rates are based on.

Never make small claims. Handle small claims out of your pocket. Reserve insurance for catastrophes.

jgrussell wrote in post #8865417
Those of you who have your cameras covered on a separate valuable property policy with State Farm: did you also have to have other insurance with State Farm to get the separate camera policy? The local agent here says the only way they can write the policy would be if I also had homeowners or renters insurance with State Farm.

The least expensive way to add coverage over and above the nominal homeowner or renter coverage for very high-value items is through a rider to that broader coverage. The rider is part of the broader coverage--it just provides additional protection to cover a greater than normal loss. Thus, a claim on the rider-covered item will affect the rates of the overall coverage.

I have State Farm insurance for my home and also have riders to add coverage for the computer equipment in my home.

There are such things as totally separate policies for equipment alone--I don't have that through State Farm because my equipment is under a professional policy through HIll and Usher.

RDKirk wrote in post #8874135
There are such things as totally separate policies for equipment alone

That's my question: my local SF agent said there were no such beasties. I have an inquiry out to another agent.

jgrussell wrote in post #8875231
That's my question: my local SF agent said there were no such beasties. I have an inquiry out to another agent.

State Farm doesn't offer such coverage, and he might not have known what is offered by other agencies.

RDKirk wrote in post #8875343
State Farm doesn't offer such coverage, and he might not have known what is offered by other agencies.

State Farm does offer a PIP (personal Items policy). It's a stand alone policy. I have one. It covers all of my gear against theft, loss, damage by myself or others and even if I leave it somewhere and it gets taken. There is NO deductable and I don't have any other policy with State Farm. It costs roughly $2 per hundred of gear. A business policy would cost more and is available through State Farm.

RDKirk wrote in post #8875343
State Farm doesn't offer such coverage, and he might not have known what is offered by other agencies.

Yes they do offer such coverage. It's called a Personal Articles Policy or Personal Items Policy.

http://www.statefarm.c​om/insurance/other/per​sonal.asp

I (as well as others here) have this coverage, and let me tell you, it's well worth the cost (low cost at that). No deductible, No hassle, and you don't have to have insurance through them on other things to get it (I don't). This is my only policy through State Farm, my house and cars are through Nationwide.

I just got this response from my SF agent in AZ.

Your Personal Articles Policy is a separate stand-alone policy. If you were to have a claim on one of the items scheduled on your personal articles policy, the claim would be filed on that particular policy and not affect your homeowners at all.

vince_ross wrote in post #8875533
Yes they do offer such coverage. It's called a Personal Articles Policy or Personal Items Policy.

http://www.statefarm.c​om/insurance/other/per​sonal.asp

I (as well as others here) have this coverage, and let me tell you, it's well worth the cost (low cost at that). No deductible, No hassle, and you don't have to have insurance through them on other things to get it (I don't). This is my only policy through State Farm, my house and cars are through Nationwide.

Thanks for that. We'll see what this other agent has to say.

Just Be wrote in post #8875425
State Farm does offer a PIP (personal Items policy). It's a stand alone policy. I have one. It covers all of my gear against theft, loss, damage by myself or others and even if I leave it somewhere and it gets taken. There is NO deductable and I don't have any other policy with State Farm. It costs roughly $2 per hundred of gear. A business policy would cost more and is available through State Farm.

Oh, shoot, you're right, and I actually had one on my daughter's laptop when she went to college. She wound up making two claims on it (once to replace the laptop after she dropped it, another time to retrieve course data from a crashed drive) and they canceled it. I don't blame them for canceling the coverage, I blame her for not backing up her data. Retrieving the data from that drive cost $1400.

Just Be wrote in post #8875425
State Farm does offer a PIP (personal Items policy). It's a stand alone policy. I have one. It covers all of my gear against theft, loss, damage by myself or others and even if I leave it somewhere and it gets taken. There is NO deductable and I don't have any other policy with State Farm. It costs roughly $2 per hundred of gear. A business policy would cost more and is available through State Farm.

Thanks. We'll see what the second agent says.

D_M_T wrote in post #8875750
I just got this response from my SF agent in AZ.

Your Personal Articles Policy is a separate stand-alone policy. If you were to have a claim on one of the items scheduled on your personal articles policy, the claim would be filed on that particular policy and not affect your homeowners at all.

I hope that statement is accurate. And would assume regulations are somewhat different from state to state.

What I can tell you... State Farm underwriters, do use prior claims from the ClUE report to assess premiums and to CANCELLL your personal articles policy, based on the report.

RAM