This is Buzzy's Country Store blog designed to keep you apprised of what's going on at the Store. Buzzy's is a general store located in St. Mary's County, Southern Maryland near Pt. Lookout State Park. Buzzy and Jean Ridgell purchased the Store from Jean's father Harry Raley in 1953. Buzzy operated it until his passing in 2009. His son J. Scott Ridgell is the current owner.

Friday, July 21, 2017

Insurance Matters Pt. 2

Photo by Larry Eberhard
One more insurance-related matter that recently crossed my path. 

Because I purchased Buzzy's in the month of August, that also marks the renewal time for my Business Property and Liability Insurance policy on the place.  Buzzy had always used Combs Drury in Leonardtown as his insurer so I followed his lead and stayed with them.  Plus Rick Raley, head of Combs Drury, is a friend I like doing business with.  (I know, the old maxim "Never do business with friends" is valid, but I'm not that business-savvy enough to follow such good advice.  Too, I know full well that Buzzy did all the due diligence necessary in researching this matter when he signed on with Combs Drury many years ago.  So I have stayed with Rick and company for the 10 years that I have owned Buzzy's.)

That said, as I scanned through the bundle of renewal papers and addendums looking for the bottom line cost/itemization page buried inside, a couple items caught my eye. 

First, the cover letter discussed Terrorism Risk Insurance which hopefully Buzzy's Country Store will not have to worry about anytime in the future.  (I did make a mental note to do a better job vetting potential tenants though. )  But what gave me pause was the cover letter noting that this terrorism coverage was being provided "at no extra cost."  That statement automatically made me question it knowing that insurance bubbas don't usually provide things "at no extra cost."

Secondly, the policy also discussed how Buzzy's now has Cyber Insurance which does cost extra.  This is coverage that Buzzy never had to have because he did not do anything online including credit card processing.  Conversely, I do a lot of banking and credit card processing online.  The Cyber Coverage costs $43 annually and while I did question the $1,000 deductible per incident, I did agree that the overall coverage and cost was worthwhile.

The third area of clarification I wanted to discuss involved the whole "named storm deductible" business.  Remember the churn a few years ago when Hurricane Irene struck us and some folks realized belatedly that their insurance policy had some exclusionary language in it?  Jesse Yeatman did a good job explaining all this in the following article from a 2011 issue of the Enterprise.
Fortunately, for my Buzzy's insurance policy, I don't have to worry about this as I have a fixed deductible no matter if the storm is named or not. 

Sure hope I don't need to pursue any of the above anytime soon.  Pay the premium and pray you don't need to use it. 

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