Beat the Heat!!

As the hazy, lazy days of summer approach, we all do what we can to stay cool. To help your house conserve energy and stay cooler, consider the following:

• Make certain airflow to your outdoor air conditioning unit is not blocked by shrubbery or other obstructions.


• Keep draperies, blinds and shades closed during the hottest part of the day.


• Keep windows and doors tightly closed when operating air conditioning equipment.


• close closet doors in air conditioned rooms.


• Close all openings into the attic from Air-conditioned areas.


• Turn off unnecessary lights and computers when not in use.


• Check your air conditioning or furnace filter regularly and clean or replace it as needed (usually every 2 to 3 months)


• Plan cook-free meals of cold cuts, fresh vegetables, fruits and salads. This will keep the use of the oven to a minimum.


• Do your cooking, showering, washing, clothes drying and ironing in the morning or evening, when temperatures are cooler.

Information provided by American Electric Power Co.

We hope your enjoy your summer and hope you contact Mars Insurance for your insurance questions.

Attention Automotive Repair Industry........

The United States Environmental Protection Agency has made a new rule, National Emission Standards for Hazardous Air Pollutants (NESHAP) (Subpart HHHHHH) that mandates by January 10, 2011, those that engage in spray applications to motor vehicles must comply. The primary focus is to limit the amount of heavy metal (chromium, lead, manganese, nickel or cadmium) that is emitted due to spray applications. These standards mandate a spray booth that contains and filters the emissions form spray operations, as well as spray guns that comply and training to the operators of the equipment. The point of this regulation is to protect the environment, but it does mandate the use of an approved spray paint booth. A summary of these regulations my be found on the Internet at http://www.epa.gov/ttn/atw/area/paint_stripb.pdf and http://www.epa.gov/ttn/atw/area/autobodybs.doc.

Insurance companies will also be looking to see that you have complied with the new rules.

Mars Insurance is here to help you plan ahead with your business so that you may comply with regulations.

Reconstruction versus New Construction

Information provided by Marshall & Swift/Boeckh

With the changes in the insurance regulations and with the rising insurance costs, many individuals are looking for ways to ensure that their homes are protected while also reducing their insurance costs. However, what you don't realize is that some of the ways to reduce your insurance costs is placing you at risk.

Today, many reasons individuals get property valuation is due to re-financing, a new mortgage, home equity line of credit, establishing a selling price and for insurance purposes. However, the way property valuation is calculated can vary depending on its ultimate and methodology.

Whether properties are insured adequately depends on the type of replacement cost estimate they depend on, the coverage they purchased, and that magic ratio. Insurance to Value (ITV). The ITV estimating methodologies are designed to calculate property estimates that represent the fullest exposure and insurance carrier may experience in the event of a loss.

Because Reconstruction Cost is more comprehensive than Replacement Cost New, it is a better representation of what a carrier may expect to pay following a loss, and thus the most reliable method for determining Insurance to Value at the policy inception or renewal.

The distinctions between Replacement Cost New valuations and Reconstruction Cost valuations are important to understand because a carrier's goal is to provide the homeowner with an equitable and fair settlement. Additionally, because policy and settlement terms are frequently subject to negotiation and court interpretation, it is essential that carriers receive premiums based on the fullest exposure on each building - the building's Reconstruction Cost.

Research shows the the actual cost to reconstruct a building after a total loss is on average greater than Replacement Cost New (Appraisal). This is because Replacement Cost New valuations do not include costs arising out of current building codes or from a variety of costs and fees which were presented above and these are commonly present in total losses.

Have questions? Call us! We'll help you understand.