Archives for coverages

1910 Model T FordWhen Henry Ford launched the Model T he famously said, “Any customer can have a car painted any colour that he wants so long as it is black.”

These days none of us – including our customers – accept such a limitation. Fortunately, when it comes to property insurance, you don’t have to try to shoehorn your customers into a narrow range of options.

iMGA Texas Personal Property Means Options

Form Options

On iMGA Homeowners and Dwelling policies you have the opportunity to offer the widest possible range of form options – from an HOA or TDP1 basic named-perils policy with Actual Cash Value coverage to the HOB or TDP3 broad-form open-perils policy with Replacement Cost coverage.

But your options don’t stop there.

Coverage Options

Once you’ve selected the Form, you can still tailor the options. With iMGA – unlike most companies – you’re not forced to buy 20% loss of use coverage – or limited to only that amount, and the same goes for Contents and Other Structures coverages. On each of these coverages you can either offer your customer the opportunity to reduce the cost of their policy or to increase their coverage to properly protect their specific risk.

Coverage Types

In addition to Forms and Coverage limits, you can also offer coverage type variations. If a roof is too old you can still cover the dwelling with Replacement Cost while offering Actual Cash Value coverage on the roof. If the roof is too old or doesn’t qualify for some other reason, you can still cover the dwelling and have the roof coverage limited to Fire and Lightning Only.

On iMGA Renters policies you can decide whether to offer Replacement Cost on contents or not.

Optional Coverages

In addition to the Form and Coverage type options, there are also additional coverages you can offer your iMGA clients, such as scheduled guns, business personal property, business liability, theft coverage on Renters policies, and much more.

So fortunately you don’t have to limit yourself – or your clients – to just one option. You can truly tailor their coverage to exactly what they need. At iMGA we’re proud to be able to help.


If you’re a Texas independent insurance agent who’d like to be able to offer more options on personal property insurance, please tell us more about yourself.

Texas Homeowners FormSome companies have a “take it or leave it” or “one size fits all” approach to everything they do. At iMGA we know your clients have unique situations that require a range of options.

We’re happy to provide a variety of Homeowners coverage policy forms to help you in meeting as many of those situations as possible. When quoting an iMGA policy you’ll be able to choose between offering an HOA, HOA+ or HOB policy.

Here are the main differences between those and some of the reasons you might choose one over the other:


The most basic coverage is provided by the HOA policy. Its coverages are on an Actual Cash Value for specific named perils and is the most appropriate policy for older dwellings or dwellings that do not qualify for some reason for Replacement Cost coverage, or for your clients who simply want the lowest cost option. The named perils covered by an HOA policy include:

  1. Fire and Lightning
  2. Sudden and Accidental Smoke
  3. Windstorm, Hurricane and Hail
  4. Explosion
  5. Aircraft and Vehicles (unless vehicle damage caused by insured or occupant)
  6. Vandalism and Malicious Mischief
  7. Riot and Civil Commotion
  8. Theft


Customers who do need or want and qualify for Replacement Cost coverage on their dwelling but do not qualify for an HOB (or wish to save some money by reducing some coverage) are ideally suited for an HOA+ (HOA Plus) policy. HOA+ policies cover a wider range of named perils than an HOA policy and generally cover the Dwelling for Replacement Cost (there are specific conditions under which the dwelling’s roof coverage might be reduced to Actual Cash Value, but those are the exception not the rule). The named perils covered by an HOA+ policy – subject to conditions, limitations and exclusions – are:

  1. Fire and Lightning
  2. Sudden and Accidental Smoke
  3. Windstorm, Hurricane and Hail
  4. Explosion
  5. Aircraft and Vehicles (unless vehicle damage caused by insured or occupant)
  6. Vandalism and Malicious Mischief
  7. Riot and Civil Commotion
  8. Theft
  9. Accidental Discharge or Overflow of Water or Steam within a plumbing, heating or air conditioning system or household appliance
  10. Sudden & Accidental Tearing Apart, Cracking, Burning, or Bulging
  11. Vandalism and Malicious Mischief
  12. Vehicles owned or operated by an insured or by tenant
  13. Fall of trees or limbs
  14. Weight of Ice, Snow, or Sleet
  15. Freezing of plumbing
  16. Collapse (subsidence not covered)
  17. Landslide (subsidence not covered)
  18. Breakage of glass

iMGA HOA+ policies ALSO cover the following (subject to conditions, limitations and exclusions):

  1. Water backup
  2. Mold remediation
  3. Foundation damage


Customers who qualify for an HOB have the option of buying this broadest coverage policy (though they may not always choose to for cost reasons). The HOB policy generally provides replacement cost coverage on the Dwelling (there are specific conditions under which the dwelling’s roof coverage might be reduced to Actual Cash Value, but those are the exception not the rule). The HOB policy is an “open perils” policy, meaning its language is flipped around and instead of listing the specific perils that are covered, it lists only the things that are NOT covered.

The HOB policy (subject to its conditions, limitations and exclusions) protects your dwelling from all perils EXCEPT FOR:

  1. Earth Movement
  2. Ordinance or Law (some coverage may be provided in your policy)
  3. Water Damage (some coverage provided in your HOB policy)
  4. Power Failure
  5. Neglect
  6. War
  7. Nuclear Hazard
  8. Intentional Loss
  9. Government Action
  10. Mechanical Breakdown
  11. Collapse (some coverage may be provided in your policy)
  12. Patios, footings, floors, roofs, ceilings)
  13. Mold, Fungus, or Wet Rot (some coverage may be provided in your policy)
  14. Smog, Rust, & Corrosion
  15. Smoke from Agricultural Smudging & Industrial Operations
  16. Dispersal, Discharge, Seepage of Pollutants
  17. Animals own by Insured
  18. Birds, Vermin, Rodents, Insects
  19. Wear & Tear, Deterioration
  20. Settling, Shrinking, Bulging, or Expanding (of bulkheads, foundations, pavement)

iMGA HOB policies also provide specific limited coverage the following (subject to conditions, limitations and exclusions):

  1. Water backup
  2. Mold remediation
  3. Foundation damage

ALL iMGA Homeowners policies also add Personal Injury Liability coverage at no additional charge.

At iMGA we make it easy for you to customize our products to provide the best combination of coverage and price possible for your clients – and our friendly staff is available to answer any questions you may have.

If you’re a Central or West Texas insurance agent and need a market that really understands the Texas personal property market – contact us.

We are amused by large insurers spending their time and money advertising how claims caused by mayhem are covered by their policies. The ads truly are funny, but we laugh because we have yet to see a scenario advertised that would not be covered by most any auto policy.  So, we’re left asking “where’s the beef”?

Well, we have been listening to our agents, and based on your input we put some serious beef into rental dwelling policies. Our new Longhorn Dwelling program includes coverages and options that have all but disappeared from the rest of the market especially when combined into a single policy.

Here just a few of these additional coverages that are now available to your clients.

Available on any new Longhorn Dwelling policy:

  • TDP1 and TDP3 Form options
  • $500 deductible option
  • Up to 2 owner-occupied dwellings on a single policy
  • Mortgagee or Direct Bill options, with up to 9 monthly installments

Available on all Longhorn Non-Admitted Dwelling policies:

  • Up to 9 tenant-occupied dwellings on a single policy
  • No deductible for Fire and Lightning claims
  • Optional deductibles up to 5%
  • Automatic hail resistive roof credits without documentation
  • Corporate named insureds, partnerships, and LLC’s eligible
  • A new TDP1 Plus package option that includes replacement cost and additional extended dwelling coverages
  • Optional extended vacancy clause – up to 3 months’ vacancy coverage without cancellation or rewrite
  • Optional liability and medical payments coverage available on properties up to 100 acres
  • Slide, diving board and trampoline liability buyback options available
  • Owner occupied mobiles homes eligible (depending on age)
  • Rewarding new credits:
    • Senior/Retiree
    • Age of Roof
    • Age of Dwelling
    • Fire and Burglar Protective Devices

Available only on Longhorn TDP1 policies:

  • Coverage for tenant-occupied mobile homes

Available only on Longhorn TDP1 Plus and TDP3 policies:

  • Vandalism & Malicious Mischief automatically included
  • Limited foundation and water back up automatically included
  • Limited mold coverage automatically included

Of course we can’t possibly list all the options or terms and conditions here, so be sure to quote a Longhorn Dwelling program policy as soon as possible and see for yourself just how much beef is really there.

Most owner-occupied Longhorn Dwelling policies will continue to be issued through San Antonio Indemnity Company. All other Longhorn Dwelling policies will be underwritten by Lloyd’s of London which is non-admitted in the State of Texas.  However, Lloyd’s of London is rated “A” by A.M. Best, and known the world over for their security and innovative insurance products.  For example, they insured Betty Grable’s legs and Bruce Springsteen’s vocal cords.  They also insure tens of thousands of Texas houses and have been doing business since about 1688, so they’re very solid. We’ll automatically include the appropriate notices with any renewals switched from SAIC to Lloyds, of course, so you wont’ have to do anything special with those.

We thank you for the opportunity to continue to provide you and your clients leading insurance products for rental properties.  We hope that we may serve you for years to come.  We promise to continue to innovate and improve our product offerings to earn that privilege.  We’re putting the beef back into insurance!

So please quote a Texas Longhorn TDP and let us know how we are doing.

Daniel Schwarcz, a University of Minnesota Law School associate professor and the author of an 88-page study scheduled to be published early next year in the University of Chicago Law Review, says homeowners policies differ “radically with respect to numerous important coverage provisions.”

Professor Schwarcz found that “all five companies with substantially less generous policies” use captive agents (like State Farm, Allstate and Farmers) but “two of the three carriers providing the most generous policy forms use independent agents”.

The study concluded that consumers are most likely to be harmed by potential differences in homeowners coverage “if those consumers do not have access to an intermediary that is informed about these differences.”  Also that “Captive agents… are substantially more likely than independent agents” to be unable or unwilling to offer consumers coverage alternatives.

In other words, it’s really important to have a good independent agent.

At iMGA we couldn’t agree more. We’re proud to offer fantastic coverage options most companies don’t, but that’s not helpful without great independent agents who care enough about their clients to make sure those clients are well covered.

Fortunately we have those – spread all over Texas.

Consumers: Find a great agent to work with on insurance for you home or rental dwelling.

Agents: Work with a company that appreciates the value you bring to your clients.

Mike Gibbs, our Director of Personal Lines, has prepared this comparison of the coverage differences between the Texas dwelling fire policy forms and the ISO policy forms. The comparison is available in two different formats:

  1. Dwelling Fire Comparison Presentation with Notes
  2. Dwelling Fire Comparison Table with Notes

As you’ll see the differences can be tricky, so it’s very important you work with markets that really understand property coverages. Fortunately, we happen to have some experts at iMGA standing by to help you! 🙂

…is that it’s mobile!

A MobileHome rolling down I-35 in Texas.

When the time comes for your insureds to move their MobileHomes, you can provide them the coverage they need thanks to the Trip Collision Coverage option in iMGA’s MobileHome product.

As with all iMGA policies and coverages, it’s EASY for you to provide Trip Collision Coverage for your clients. Simply choose “yes” on the Trip Collision question in the quote and/or application and they’ll have 30 days’ coverage for damage to their covered MobileHome caused by collision subject to only a $100 deductible.

If you’re a Texas MobileHome owner needing coverage for moving your home, please complete this form so we can get you in touch with the nearest independent agent that represents iMGA.

If you’re a Texas independent agent that doesn’t yet represent iMGA but would like to discuss the possibility, please complete this form.

Last week we heard the story of a customer who was unpleasantly surprised to learn that the theft of his computer equipment was not covered under the TDP1 policy he’d purchased to cover his home.

In this economy there is pressure to reduce costs as much as possible, but as an insurance professional you know how important it is to be sure your clients are covered – and understand the coverages they’re giving up if they choose to go to a cheaper alternative.

That makes extra coverages more important than ever. Like those automatically included in iMGA’s Non-Admitted Homeowners program:

  • Personal Injury coverage
  • Slab coverage (up to 15% of Coverage A limit)
  • $5,000 mold coverage
  • $5,000 water backup and sump overflow (on HOB only)
  • $2,500 business personal property coverage (with optional additional limits available up to $50,000)
  • $2,500 firearms theft coverage
  • $1,000 loss-assessment coverage (with a $250 deductible)

(And of course the iMGA Non-Admitted HOA/HOA+ and HOB policies include theft coverage automatically and also offer optional personal computer coverage limits up to $7,000 with only a $100 deductible.)

We’ve received a few questions about our forms and coverages lately. Since our mission is to make things as easy as possible for all our agents, we’ll post more information on additional coverages and coverage comparisons between the TDP1/TDP3 and HOA/HOA+/HOB on the web site in the next few days.

If you’re a Texas independent agent who doesn’t yet represent iMGA, apply to become an agent.

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