Condo insurance: smokers and employment
June 24, 2010 12:28 PM Subscribe
Roughly how much will it add to your yearly condo insurance premium if you disclose that you're a smoker? What would be the repercussions for not doing so? Likewise, what about the part of the form that asks if the apartment is "regularly unoccupied during the day or evening by all adult occupants in the household." Both of these were pre-filled with "no" answers, and I'm hesitant to bring it up with the insurance company until knowing a little more. I'm in Brooklyn, NY.
Every carrier rates things differently. You won't know how much until you disclose it. That's why you typically have the opportunity to shop around for condo or homeowners insurance.
You should always be truthful in insurance applications or requests for quotes. It's not worth the risk of recission of the policy after you have filed a claim for your home burning down.
posted by FergieBelle at 12:41 PM on June 24, 2010 [1 favorite]
You should always be truthful in insurance applications or requests for quotes. It's not worth the risk of recission of the policy after you have filed a claim for your home burning down.
posted by FergieBelle at 12:41 PM on June 24, 2010 [1 favorite]
Get some quotes from other insurance providers that don't disclose, then come back to them with the information that you smoke and see how the estimated premiums increase.
posted by rhizome at 12:48 PM on June 24, 2010
posted by rhizome at 12:48 PM on June 24, 2010
The risk is that if you put in a claim at some unspecified point in the future, they might refuse to pay if you made a misstatement of fact on your application.
A lot of people treat insurance as though getting approved for a policy were the end goal. It's not. Getting your claim paid, should you ever have one, is the goal. It's entirely possible to lie your way through the application process but in doing so screw yourself later.
I would answer the questions truthfully (yes, you smoke; presumably yes, you are regularly away from the condo during the day -- assuming you don't work from home) and see what rate you get. Rather than worrying about how those answers are going to affect your rate, versus not being truthful, I'd get quotes from multiple companies and take the lowest one. Although you might want to read some reviews online or talk to friends; you also want a company that's going to be responsive and not try endlessly to dicker with you if you ever submit a claim.
posted by Kadin2048 at 12:48 PM on June 24, 2010 [1 favorite]
A lot of people treat insurance as though getting approved for a policy were the end goal. It's not. Getting your claim paid, should you ever have one, is the goal. It's entirely possible to lie your way through the application process but in doing so screw yourself later.
I would answer the questions truthfully (yes, you smoke; presumably yes, you are regularly away from the condo during the day -- assuming you don't work from home) and see what rate you get. Rather than worrying about how those answers are going to affect your rate, versus not being truthful, I'd get quotes from multiple companies and take the lowest one. Although you might want to read some reviews online or talk to friends; you also want a company that's going to be responsive and not try endlessly to dicker with you if you ever submit a claim.
posted by Kadin2048 at 12:48 PM on June 24, 2010 [1 favorite]
Response by poster: Thanks. These are all great answers. The insurance doesn't kick in until next week, so I'll send them the updated proper information and then shop around if it raises the premium a considerable amount from what I was already quoted. It's odd that they bothered to ask if I had a dog before giving the quote, but didn't ask these other questions. Thanks again!
posted by nobody at 1:03 PM on June 24, 2010
posted by nobody at 1:03 PM on June 24, 2010
A word: the answers to these questions have opposite effects.
Smoking is a fire hazard, so the "No, I don't smoke" answer will save you money.
Buildings being unoccupied, even for a few hours, is also a hazard: theft, fire, water damage, vandalism, you name it. All those things are more likely to happen--and more likely to cause major damage if they do happen--when a structure is unoccupied. So "No, the building is not regularly occupied during the day" will cost you money.
Note that an express condition of the insuring agreement is that you are honest about the information you provide. Many states actually require insureds to sign a form to that effect. So if you have a claim and the company discovers that you lied about something relevant to the loss, well... that's not gonna be fun.
posted by valkyryn at 1:17 PM on June 24, 2010
Smoking is a fire hazard, so the "No, I don't smoke" answer will save you money.
Buildings being unoccupied, even for a few hours, is also a hazard: theft, fire, water damage, vandalism, you name it. All those things are more likely to happen--and more likely to cause major damage if they do happen--when a structure is unoccupied. So "No, the building is not regularly occupied during the day" will cost you money.
Note that an express condition of the insuring agreement is that you are honest about the information you provide. Many states actually require insureds to sign a form to that effect. So if you have a claim and the company discovers that you lied about something relevant to the loss, well... that's not gonna be fun.
posted by valkyryn at 1:17 PM on June 24, 2010
Buildings being unoccupied, even for a few hours, is also a hazard: theft, fire, water damage, vandalism, you name it. All those things are more likely to happen--and more likely to cause major damage if they do happen--when a structure is unoccupied. So "No, the building is not regularly occupied during the day" will cost you money.
I'm willing to take your word for it that the insurance companies think that, but isn't asking about occupation during the day also a way for them to find out whether you're running a business, which raises all manner of other liability and similar issues that would affect your rates? I mean, that's how I took it at first read.
But then, I guess "and evening" would lean more toward your point.
posted by Etrigan at 1:20 PM on June 24, 2010
I'm willing to take your word for it that the insurance companies think that, but isn't asking about occupation during the day also a way for them to find out whether you're running a business, which raises all manner of other liability and similar issues that would affect your rates? I mean, that's how I took it at first read.
But then, I guess "and evening" would lean more toward your point.
posted by Etrigan at 1:20 PM on June 24, 2010
Etrigan writes "I'm willing to take your word for it that the insurance companies think that, but isn't asking about occupation during the day also a way for them to find out whether you're running a business, which raises all manner of other liability and similar issues that would affect your rates? I mean, that's how I took it at first read."
The vast majority of occupied during the daytime homes are going to because of stay at home parents and retired people rather than home businesses.
posted by Mitheral at 2:55 PM on June 24, 2010
The vast majority of occupied during the daytime homes are going to because of stay at home parents and retired people rather than home businesses.
posted by Mitheral at 2:55 PM on June 24, 2010
Response by poster: Belated update: correcting all of these values didn't end up affecting the premium at all. (Unclear, then, why the information is even listed. Perhaps they would affect homeowner's insurance rates, thought the agent?) Thanks again.
posted by nobody at 12:33 PM on July 25, 2010
posted by nobody at 12:33 PM on July 25, 2010
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Ditto the "regularly unoccupied" part. If you call them at two in the afternoon saying you're outside your condo and it's burning, they're going to think, "Why the hell are you near your condo at two in the afternoon?"
How much will it cost? Not enough to make up for the downside.
posted by Etrigan at 12:33 PM on June 24, 2010