The Difference Between Insurance and Bonds—And Why Businesses May Need Both

Posted on March 28, 2025March 19, 2025 by admin

When running a business, managing risks is as important as making profits. That’s where insurance and bonds come into play. While they might seem similar, they serve different purposes—both of which can be essential for protecting your company. At The Insurance House, serving the greater Tucson, AZ area, we help businesses understand these differences so they can make informed decisions.

Understanding Insurance

Think of insurance as a safety net. It’s designed to protect your business from unexpected financial losses due to accidents, lawsuits, property damage, or other covered events. When you purchase an insurance policy, you pay a premium; in return, the insurer agrees to cover certain risks. If something goes wrong—like a fire, theft, or an employee injury—your insurance helps cover the costs, keeping your business financially stable.

Defining Bonds

Bonds, on the other hand, are more like a promise. They provide a guarantee that your business will fulfill its obligations. Common types include surety bonds, which ensure a contractor or business will complete a project as agreed. If they fail to do so, the bond compensates the affected party. Unlike insurance, which protects you, bonds protect the people you do business with.

The Need for Both Insurance and Bonds

Many businesses, especially those in construction, contracting, or professional services, require both insurance and bonds. Insurance safeguards your assets and operations, while bonds build trust with clients by guaranteeing your commitments. Without them, you could face financial risks or even lose out on contracts.

If you’re unsure what coverage your business needs, The Insurance House, serving the Tucson, AZ area, is here to help. Contact us today to find the proper protection for your business!

Protecting Your Assets: How Umbrella Insurance Shields Tucson Homeowners and Renters

Posted on February 28, 2025February 18, 2025 by admin

Whether you’re drawn to Tucson, AZ by the stunning views of the Santa Catalina Mountains or the dry desert heat, protecting your assets is crucial. Regardless of whether you’re a homeowner or a renter, you may have more assets than you realize. With the assistance of agents at The Insurance House, you can secure umbrella insurance that offers incredible peace of mind.

Ensuring All Assets Are Protected

Both homeowners and renters have assets. These include items like your furniture, valuables, and even your vehicles.

It’s important to have all of your assets protected. Just as you use an umbrella to shield yourself from the rain, an umbrella policy protects everything you own.

You may file an insurance claim with your auto, homeowner, or renter’s insurance. But if your coverage isn’t sufficient, you could end up paying a significant amount of money out of pocket.

Umbrella insurance covers the difference. It reduces or eliminates the amount you’d have to pay once your standard policies are exhausted.

Accidents happen. With the right policy, you can move forward without stressing about the costs.

Get a Custom Quote Today

When you want to ensure you’re shielded from the costs of replacing or repairing any of your assets in Tucson, AZ, the right umbrella insurance policy makes a big difference. At The Insurance House, we’ll discuss the various policies that you have in place to cover you, your home (whether you rent or own), your cars, and any other assets that you may own.

From there, we’ll discuss the coverage your umbrella insurance should provide. We’ll then provide custom quotes designed just for you, giving you total control over how you protect your life.

How Does Auto Insurance Work When You Borrow Someone’s Car?

Posted on January 24, 2025January 21, 2025 by admin

Borrowing someone else’s car is a convenient way to get from point A to point B when you don’t have a vehicle. This can make it easy to continue living your life if you are in an accident or your car is at the shop. However, driving a vehicle without proper coverage can lead to several problems. Learn how auto insurance works when you borrow someone’s car to ensure you don’t lose your license.

Permissive Use

Most insurance policies have a "permissive use" clause. This means that someone who only uses the vehicle occasionally is still covered if they are in an accident. Their insurance should kick in up to the coverage limits, and you shouldn’t lose your license for driving without insurance. However, ensuring the other person has the necessary coverage is crucial.

Strict Exclusions

While many companies have a permissive use exclusion, some refuse to cover drivers not listed on the auto policy. This exclusion also applies to family members or spouses not listed on the policy. Ask an agent at The Insurance House if other people will be covered when driving your car.

Vehicle Use

Many Tucson, AZ auto insurance companies have specific policies for certain uses. For example, people who use their vehicle for ridesharing apps like Uber may need special coverage. Many owners must have commercial auto insurance if they use their vehicle for anything other than personal use. If the person borrowing your car uses it for something your insurance company hasn’t approved, they might not be covered.

Get Coverage in Arizona at The Insurance House

Whether another person’s auto insurance policy covers them depends on the policy limitations and what the person uses the vehicle for. Contact a professional at The Insurance House to learn more. We currently serve the Tucson, AZ, area.

Boat/Watercraft Insurance is Protection In and Out of the Water

Posted on December 23, 2024December 17, 2024 by admin

Arizona is renowned for its climate, warm weather, and outdoor activities, including many water-related adventures for many residents. Boat and watercraft owners must protect their vessels both in and out of the water. That’s why boat owners from in and around the greater Tucson, AZ, area turn to the professional and friendly team at The Insurance House for all their boat/watercraft insurance needs, questions, and solutions.

Stay Covered On Dry Ground or the Deep Seas with Boat/Watercraft Insurance

Boating safety is a serious issue, and when the rules of the waterways are followed, it makes our boating experience everything we hope for – and oftentimes more. However, when irresponsible or reckless boaters ignore those boating safety rules, the water can also be a scary and costly place. Fortunately, with the right boat/watercraft insurance solutions, you can keep yourself and your boat safe from accidents that happen out of the water, too. That’s why it’s important to work with an agent who can help you get the protection you need, regardless of where turbulent waters arise.

Find Boat/Watercraft Insurance Solutions in Tucson, AZ

If you own a boat or other watercraft and have questions about insurance or need coverage for your seaworthy vessel, we can help. Our knowledgeable and experienced team at The Insurance House has helped keep many boats and their Tucson, AZ owners afloat with the right boat/watercraft insurance plans. Contact us to learn more and schedule an appointment to stay safe all year round, in or out of the water, with the right insurance solutions at The Insurance House today.

Do I Have to Get Flood Insurance When Buying a House?

Posted on November 20, 2024November 18, 2024 by admin

When buying a home for the first time, you’ll quickly learn that many types of insurance can protect residential structures. Homeowners insurance is only one type of insurance you may need. You may also be required to get flood insurance.

If you have questions about flood insurance, the professionals at The Insurance House servicing Tucson, AZ can help. We provide a range of insurance types, including flood insurance. We’re here to help! Here’s what you need to know.

What Is Flood Insurance?

Flood insurance is a type of insurance that can help you during the recovery after a flood occurs. The National Flood Insurance Program (NFIP) is managed by the federal government and is delivered to homeowners through private insurance companies. You can get flood insurance through your agent at The Insurance House.

Who Needs Flood Insurance?

If you have a government-backed mortgage and live in a high-risk flood area, you must get flood insurance to keep your mortgage. Even if you aren’t required to get flood insurance through your insurance provider, you can still benefit from flood insurance if you live in a high-risk flood area. Having flood insurance can give you peace of mind and also help pay for the recovery when a flood occurs.

Do I Have to Get Flood Insurance to Get a Mortgage?

Your insurance lender will let you know if you need flood insurance to get a mortgage. At The Insurance House, servicing Tucson, AZ, we can help you get the policy you need to buy the house you want. Are you interested in flood insurance for your new home? Call us today to get started with your flood insurance policy.

Life Insurance Coverage for Your Memorial and Burial

Posted on October 21, 2024October 16, 2024 by admin

Life Insurance: Covering Your Memorial and Burial Costs

Your life insurance policy can cover the cost of your memorial and burial. Consider your preferences, then choose insurance coverage terms that allow your loved ones to adequately handle your memorial and burial plans.

Planning for the Inevitable

It is never too early to plan for an unexpected death. It may not be something you want to face, but preparing for the inevitable will prevent your loved ones from being liable for expenses they cannot afford. Handling the preparations yourself will ensure that your final wishes are handled precisely as you want.

Memorial and Burial Preparations

Consider the potential cost of your memorial and burial. The total cost that will be expected should be reflected in your life insurance policy. During the planning phase, choose the officiator you will use to oversee the memorial and burial. Select the casket and other items that will be needed for the memorial and burial. Outlining each of these things in your insurance paperwork will prevent any uncertainties that your family members could be faced with. Your family members who are responsible for the memorial and burial will be reassured that they are following your wishes exactly as you have outlined.

Reviewing Your Insurance Documents

Review the life insurance documents that you have prepared. These documents should be reviewed soon after you purchase your life insurance policy. If you decide to make any changes to your memorial or burial plans, these changes should be indicated in your insurance documents.

Get a Life Insurance Policy in Tucson, AZ!

Preparing your life insurance policy will require the help of a licensed agent. Please schedule an appointment with one of our agents from The Insurance House. An agent who serves the Tucson, AZ region will get your life insurance documents ready.

Fulfilling Arizona’s Legal Requirement for Bond Insurance

Posted on September 30, 2024September 24, 2024 by admin

Guard Your Construction Business in Tucson, AZ with Adequate Bond Insurance

At The Insurance House, we assist your Tucson, AZ construction business in fulfilling Arizona’s legal requirement for bond insurance. The Arizona state government mandates general and specialty contractors to procure bond insurance. It sets monetary criteria for the bonds and necessitates a policy per license, signifying that a construction company with multiple licenses would need to purchase more than one bond insurance policy.

The Basics of Bond Insurance in Arizona

Also known as a surety bond, bond insurance reduces the risk for those who employ contractors, guarding against the possibility that the contractor might not complete the job or pay all debt associated with the project. A licensed contractor can advertise that they are “licensed and bonded,” a prominent selling point attracting more business. Hence, bond insurance is vital for gaining a competitive edge.

State Requirements for Contractors

The amount of bond insurance a contractor needs to purchase varies with their construction specialty and annual gross revenue. For instance, a residential general contractor (GC) earning more than $750,000 in annual gross revenue needs a bond for at least $15,000. On the other hand, a commercial specialty contractor, such as a master carpenter, earning between $150,000.01 and $500,000 in annual gross revenue, needs a bond for a minimum of $7,000. The Arizona Registrar of Contractors provides a matrix specifying the qualifiers and minimum bond amount needed.

Insurance for New Contractors

The Registrar uses the terminology “contemplated gross volume (per license),” so new contractors merely need to estimate their expected earnings in their first year of doing business. A contractor who adds a license by completing training and an apprenticeship can estimate the anticipated income that their new specialty would contribute.

Per License Requirement

Arizona requires a separate bond for each specialty. This implies that an individual with a plumbing license and an electrician license would need two bonds. However, just like other forms of commercial policies, your insurance company can list these separate coverages together in one document.

Protect Your Construction Business Today

Contact The Insurance House to ensure your Tucson, AZ, contracting business remains compliant. We help you acquire the necessary bond insurance to operate legally in the state.

Getting More Liability Coverage in Umbrella Insurance

Posted on August 30, 2024August 20, 2024 by admin

As a homeowner and vehicle owner, you likely already possess home and auto insurance. While these two policy types are essential, they may not provide the level of protection you might assume. Each insurance policy offers various types of coverage, including liability coverage. However, sometimes, these policies don’t extend far enough to cover serious accident costs fully. That’s where umbrella insurance comes into play. Here at The Insurance House in Tucson, AZ, we can assist you in supplementing your existing coverage with an umbrella insurance policy, providing a higher level of protection.

The Benefit of Extended Liability Coverage

Your home and auto insurance policies both contain liability coverage, but often, it’s not adequate. Serious accidents can result in substantial medical bills and other costs, like lost wages. At times, your home or auto policy might not sufficiently cover these expenses. By adding umbrella insurance, you will increase the liability coverage across your insurance policies. You amplify your home and auto coverages from a single policy, creating a safety net for costlier accidents.

Overcoming the Aftermath of Accidents

Umbrella insurance is typically purchased substantially to ensure enough coverage for even the most serious accidents. If your home or auto policy is depleted after an accident, that’s when your umbrella policy steps in. This procedure keeps you from having to out-of-pocket any remaining balance after the initial policy has exhausted its coverage.

Securing Your Umbrella Insurance

An umbrella policy offers enhanced protection against severe accidents. When you’re ready to explore umbrella insurance options or purchase a policy, contact us at The Insurance House in Tucson, AZ.

How Often Should You Review Your Auto Insurance?

Posted on July 30, 2024July 22, 2024 by admin

Reviewing your auto insurance policy is critical to determining whether you need to implement any changes. If you reside in the Tucson, AZ, area, The Insurance House can assist you with this review and any updates you may wish to make. The frequency of your reviews can depend on your particular circumstances, including factors such as changing vehicles or adding a new driver to your policy.

Typically, you’ll want to engage with your agent to review your vehicle coverage any time you enact a change that will impact your policy. This includes adding or modifying vehicles or drivers. Still, it can also be significant if you relocate to a different place or begin parking your vehicle at a different location regularly. In addition, you should request your agent to review your coverage at least once per year or when your policy is up for renewal.

If you’re unsure about whether a review is needed, don’t hesitate to ask. Our professional and committed agents are available to review your policy and recommend any changes. Reviewing your coverage more frequently rather than not often enough is generally advisable, so don’t be reluctant to consult with an agent about any potential changes you may need. Asking questions is critical to ensure you secure quality coverage you can rely on for the long run.

Contact us today at The Insurance House if you’re in the Tucson, AZ area and looking for an auto insurance review. We can examine your policy with you, propose and implement any changes, and inform you of any other considerations you might want to take into account. This can help you feel confident in your coverage, ensuring your vehicle is adequately protected.

What Happens If My Boat Is Damaged on the Road?

Posted on June 28, 2024June 21, 2024 by admin

Summers in Tucson, AZ, practically demand that you spend time in the water, and if you’re a boat person, that’s even better. While you’re looking into boating options, you will probably have questions about coverage. One thing that we get at The Insurance House pretty often is what happens when a boat is damaged while being towed to the lake.

Auto Policy

Before we get into specifics, remember that every policy is different. Always check the details in your own policy before assuming any coverage.

With that said, in most cases, your auto policy will cover liability related to towing, even when you are towing a boat. So, if the boat causes damage or injury while you are towing it, your auto liability coverage still works.

Let’s be extra clear. The auto policy no longer covers the boat as soon as it is detached from your vehicle.

Another extremely important note is that an auto policy usually does not cover damage to your boat while you are towing it, even with comprehensive coverage.

Boat Policy

If you want coverage for the boat itself, that has to come from your boat insurance. Remember, there are many different kinds of boats and many different boat insurance policies.

You will want to specify that you tow your boat and that it needs coverage while on the road. The good news is that such coverage does exist and is rather common.

As long as you have such coverage, boat claims will pay out like any other policy. Submit the claim, and the insurance company will go through the red tape process. Then, you will get a payout. It will either help you fix or replace the boat.

The amount paid depends on the policy and the circumstances, but that is the gist of how boat coverage works while you are towing.

If you want to learn more about policies to ensure your boat’s protection, contact your representative at The Insurance House. We serve people throughout the Tucson, AZ, metro area.