"I never heard of a personal property inventory. What a great idea!" That was often the response I received seven years ago when I told people about the new business my husband and I started. Then, unfortunately, most people would ask, "Why would I need one; I have insurance?"
First, of course - the good news!
This industry has grown very slowly over decades, and is now becoming acknowledged as a viable and beneficial - if not essential - business. One key reason for the acceptance of this service is public knowledge of the importance of having an inventory of one's belongings.
The number one reason people are aware of this need is their insurance agent tells them to create an inventor of their belongings. Many companies even give a worksheet to their policyholders.
As the boomers are reaching retirement age, and begin their estate planning, they see the value in having this information. If a disaster happens, and there is no document to help remember, the chances of receiving an equitable settlement from the insurance company is very low. Having an inventory will help ensure their estate is worth every penny is it worth now. Without proper financial recovery from a disaster could mean less money (if any) that remains for the children or grandchildren. If you can't recover properly from a disaster, you'll most likely withdraw funds from a retirement fund.
Another reason the inventory service sector is growing is that these boomers want the inventory now so their adult child/executor will not need to compile the information after the parent dies. It's a great gift to the executor to have already had the inventory created.
And the bad news
This isn't bad news for the inventory providers. It's really bad news for the general public and business owners. There are still not enough people who know how their insurance process works. This means that there are a large number of people who believe they will just get a check in the mail for the amount of their insurance. Ask any insurance agent, and they'll tell you that you need to complete a claim form, itemizing each item you want reimbursed for, when you bought it and how much you paid for it. That includes even items in a junk drawer.
The same is often true for a divorce. When you're determining value of household items, having a list created prior to "issues" will certainly be a benefit when it's time to split possessions.
So, the good news is that more people are learning about the need for an inventory, and more are creating one or hiring a professional service to do it for them. More are learning the "why" they need an inventory. The bad news is there still are not enough people and businesses with this information. Until everyone learns of all the reasons for this valuable document, people will continue to face the daunting task of creating a list of belongings after the disaster hits. And that means people and businesses will continue to receive only dimes on a dollar from their insurance company.
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