Q: I loved your article about health care insurance claims, but my insurance matter is different. I’m debating among three homeowner policies for my soon-to-be purchased home and can’t decide which is best. Two main concerns are pine trees in a side neighbor’s yard that don’t look too steady and replacement costs if something terrible happens to my property. Please clarify each issue for me so I can make an educated decision between the companies. – Velma Vacillate
A: Dear Velma: With an overabundance of available policies, you’re smart to check potentially troublesome issues now rather than later when it may be too late. Let’s take each of your questions in turn, beginning with the unsteady trees.
According to the Insurance Information Institute, the responsibility of a fallen tree from someone else’s yard onto your property generally lies with whoever’s property is damaged (yours) and, hence, your own insurance company takes care of the problem. (Personally, I think this is grossly unfair.)
However, most insurance policies contain a “hazards” clause; in a case like this, did the tree owner know the tree was a potential hazard? Had you tried to discuss the matter with “Ned Neighbor” and perhaps even offered to split the cost of cutting the tree down before a good, stiff wind blows it down – right on top of your garage or swimming pool?
Unless you can show that Ned was negligent in not dealing with his tree, you either must file a claim, courting the possibility of a rate increase or, worse, policy cancellation or dig deep and pay out of pocket for the damages. My suggestion is first to talk with ole’ Ned followed by subsequent calls and documentation of every single occasion those pine trees sway more menacingly toward your territory.