Your home should be insured to a minimum of 80% of its replacement cost (RC) when written under the Standard Homeowner Program, 90% of RC when written under the Renovator or SHARP Programs and, 100% of RC when the Increased Coverage A protection (ML 11) endorsement applies. To establish an estimated replacement cost, please contact your insurance agent as they have tools available to assist you in determining the appropriate RC value for your home. You may find the replacement cost of your home exceeds its market value or, the amount for which you could sell your home. The rates charged on your homeowner policy are based on the replacement cost of the home; in other words, the amount to repair or replace damaged building items with like, kind or quality. To maximize your recovery in the event of loss, the amount of insurance carried should be based on the replacement cost of your home.

The above-ground pool would be considered part of the unscheduled personal property, Coverage C, and would be covered on a named perils basis under the homeowner policy. You may want to consider increasing the unscheduled personal property limits on your homeowner policy to include the value of this pool. In certain states, broader coverage is available for above-ground pools to cover such additional hazards as weight of ice or snow, earth movement, animal damage and, damage from sub-surface water. This coverage is available by adding Inland Marine coverage by endorsement to the homeowner policy to specifically insure the above-ground pool.

In-ground pools are insured under the Related Structures portion of the homeowner policy. The homeowner package automatically includes 10% of the dwelling limits for coverage under Related Structures. For example, if you are carrying $100,000 on your home, $10,000 coverage would apply to the swimming pool. Please keep in mind the 10% also would apply to other Related Structures such as, detached garages, storage sheds and the like, which are on your premises. It may be necessary to increase Coverage B to adequately insure these related structures.

From a liability standpoint, to protect visitors or guests from injury at the pool, you should observe the following guidelines:

• in-ground pools should be surrounded by at least a four foot high fence
• minors should be supervised at all times when around the pool
• above-ground pools should be equipped with a detachable ladder which can be removed when not in use to reduce the likelihood of unauthorized or unsupervised use of the swimming pool

To ensure the broadest coverage available for jewelry, the best means of insuring it is to add an Inland Marine floater to your policy. This will provide your jewelry with the broadest coverage available and will cover the jewelry item(s) from dollar one with no deductible.

The homeowner policy does not provide flood coverage. Preferred Mutual does participate in a program entitled "Write Your Own Flood" sponsored by the federal government. Please contact your agent for information about the "flood program."

Yes, your homeowner policy will pay to replace the windshield on the car.

The tenant or condominium unit-owner's policy has an exclusion of coverage for property damage to property rented to or occupied by an insured. As such the basic policy would exclude this type of loss.

However, there is specific coverage available for this type of loss by adding the ML 209, Waterbed Liability Endorsement, to your tenant or condominium unit owner policy. Please contact your agent to have this coverage added.

Yes, an endorsement for theft of building materials to provide up to $15,000 coverage is available under the homeowner program.

This is a good question. First, it is important to look at your homeowner policy to make sure that the amount of insurance provided will fully cover all your valuables in the event of a large loss such as fire. It is also equally important to take an inventory of the items in your home be it a written record, or by videotape. Leave a copy of this written record with a friend or neighbor that will help you fully recall the personal property that you have in your home. It is also important that this is updated on a regular basis.

The broadest homeowner coverage Preferred offers is the Form 5, Special Building and Contents Form. In addition to the coverage afforded by other Preferred homeowner forms, this also affords:

• Replacement Value Personal Property
• Personal Injury
• Ordinance or Law
• Refrigerated Food Spoilage
• Lock Replacement and More.

Ask your agent to quote your homeowner policy under Form 5, you will probably be surprised at the small-added cost for this added protection.

All losses involving "real property" must include both the named insured's as well as a mortgagee. The insurance policy specifically requires companies to protect the interest of the mortgage holder. Contractually the mortgagee has just as much right to be protected, as does the policyholder. Therefore it is very important to have the mortgagee endorse the check prior to submission to the bank for payment.

Most insurance policies that cover the policyholder for full replacement cost have a provision that the company can pay the actual cash value of the loss (replacement cost less depreciation) upon settlement. Once repairs are made or content items replaced, the depreciated amount may be given back to the policyholder by an additional payment. This practice is in place to guarantee that the loss damages are properly repaired or the content items are actually replaced, which is the main intent of insurance; to put you back in the same position you were in prior to the loss. Also, the underwriters are very interested to see that the risk is properly maintained and proper repairs are made.