Insurance Buying new Kubota, Now I Have a Insurance Problem

[TonyV]

I have Allied as my homeowners insurance....they didn't even blink when they were requested to list Kubota as a loss payee. I agree with Junkman...it seems your agent is either uninformed or unwilling, but I suppose this is something that could also come under the heading of company policy as well. If the agent is unwilling to budge on this, tell him your gonna switch to another insurance company and see if he doesn't change his tune....and if he doesn't, then do it...its easy enough done, and you'll probably find a better rate to boot. With the cost of home owners insurance these days, it pays to shop it around every few years, same with auto insurance.

On another note, I live in a 120 year old farm house and Allied (originally I had Farmers, who then sold the policy) is the only major company that would give me home owners insurance. And now that I find that they did not have an issue with the loss payee deal, I'm doubly pleased with them, and there rates are competitive. You may want to give their local agent a call if all else fails. (I'm in no way affiliated with Allied except as a happy consumer. /forums/images/graemlins/wink.gif )

...Tony

 

[Stoner]

When you purchased the Kubota you finance the item and Kubota had you execute a security agreement and financing statement in accordance with Article 9 of the UCC. The purpose is to put all third parties on constructive notice that there is an encumbrance on the tractor. Another words you cannot sell the item and convey clear title until Kubota is paid off. When purchasing homeowners insurance you do not have to disclose to insurance company that there is an encumbrance on the tractor. Frankly it is none of their business. As one of the other posters stated that Kubota is only interested in the payments or “money”. Your salesman is incorrect that Kubota needs to be listed as a lost payee on your homeowner’s policy. He is confusing the homeowner’s policy with a motor vehicle insurance policy where it is common that the insurance company is listed as lost payee if the motor vehicle was involved in an accident. Your insurance agent should be able to include the lawn tractor under your personal property; this would be especially so if you store your lawn tractor in the garage which is part of the dwelling. I am an Attorney and a Chevrolet Dealer.

 

[coveredbridge]

I agree with stoner. When I bought my kubota, they wanted my homeowners policy number to prove to kubota that I had insurance. I got the impression it was more of a liability than a casualty issue. Anyway, I gave them the number, and I never heard anymore about it. If they had been added to the policy as a loss payee or additional insured, I'm sure that Travelers would have sent me a copy of the endorsement.

It almost makes me wonder if Kubota isn't intentionally confusing things to try to sell their own insurance, because it seems they never fail to offer it as an alternative when the buyer isn't sure if he has "coverage"?

I would give them the policy number and forget about it. I'll bet you never hear anymore about it either.

 

[Junkman]

</font><font color="blue" class="small">( ................He is confusing the homeowner’s policy with a motor vehicle insurance policy where it is common that the insurance company is listed as lost payee if the motor vehicle was involved in an accident.................
I am an Attorney and a Chevrolet Dealer. )</font>

I always thought that the insurance company paid the claims. /forums/images/graemlins/confused.gif /forums/images/graemlins/confused.gif /forums/images/graemlins/confused.gif /forums/images/graemlins/confused.gif /forums/images/graemlins/confused.gif /forums/images/graemlins/confused.gif

I'm not an attorney, but I did stay at a Holiday Inn last night... /forums/images/graemlins/grin.gif /forums/images/graemlins/grin.gif /forums/images/graemlins/grin.gif /forums/images/graemlins/grin.gif /forums/images/graemlins/grin.gif Junk..........

To help clarify this post, a loss payee is the name of the company that has a financial stake in the value of the property. An example of this would be the mortgage holder if it is a home, or the lender if it is a tractor or automobile.
The definition of additional named insured is a person or entity that the insurance company would defend and pay any liability that that additional person would be financially liable for in any action that they were deemed to be at fault. Many times the policy will include these additional people as "family members of the household" and not by specific names. If that person wasn't a family member.... ie..... you own the home with another person that you are not related to by blood or marriage,... they would be listed as "an additional named insured" by listing them specifically by name on the declaration page of the policy. This is quite easily confused when talking about insurance. Kubota would be a loss payee.... your live in partner would be on the face of the policy as "an additional named insured". Your wife would be listed also if her name were listed as an owner along with you on the deed to the property on your home owners policy. It is quite common for people that own a small business, and have a business owned car to have themselves listed as "an additional named insured" along with the name of the business that owns the vehicle. This is where a good relationship with a insurance agent is important. He/she will make sure that your rear is covered properly for all events.
Generally speaking, most insurance companies don't charge extra for a loss payee endorsement. They do sometimes charge extra for an additional named insured, since they are taking on additional risk of a second person.

 

[Stoner]

Junkman I liked your post. Pretty sharp.

 

[TonyV]

The point of the matter is that Kubota wants a guarantee that if some catastrophe occurs that wipes out the tractor that they would receive payment directly from the homeowners insurance. Otherwise, if your pole barn were to burn down, for instance, with the tractor a total loss, unless otherwise advised, the homeowners insurance is going to cut a check directly to the homeowner for all losses incurred. If I were Kubota, and/or providing financing for a tractor, I'd want the same protection. As a matter of fact, before I knew about the financing incentives that Kubota was offering, I approached my credit union for the loan. Guess what....they wanted the same guarantee....to be listed as a loss payee.

...Tony

 

[hobbyfarm]

</font><font color="blue" class="small">( Junkman I liked your post. Pretty sharp. )</font>

Ahhhhh!
Junkman's almost patented way to kill the thread. /forums/images/graemlins/grin.gif /forums/images/graemlins/grin.gif /forums/images/graemlins/grin.gif



Junk,
you know we love you man------ /forums/images/graemlins/cool.gif /forums/images/graemlins/blush.gif /forums/images/graemlins/grin.gif

 

[ericbx1500]

As I type this im looking at my paperwork from my dealer. I purchased my tractor 2 week ago. They gave me a form to fill out, which I faxed back to show proof of insurance. They of course wanted agents name, policy number and company. When my tractor was dropped off my paper work had this form in it. The heading on the form says agreement to provide physical damage insurance. In the first paragraph it says I have arranged for the required insurance through the insurance company shown below and have requested my agent to note Kubota credit corp. interest in the equipment and endorse the policy with a loss payable endorsement in favor of Kubota credit corp. My dealer nor Kubota never said a word to me that I had to call my agent to add them as a loss payee. One thing I did do was call my agent (allstate) before I bought the tractor and asked if this tractor would be covered and he said I’m covered as long as it’s used for personal use no additional insurance required. /forums/images/graemlins/grin.gif

 

[ArkCivEngr]

I would have to agree with Bill. I ran an elm root through the radiator on my L3400, and the bill came out to about $880. Thanks to the Inland Marine policy ($140 per year) I have with Farm Bureau, I'll only be out $120.

Talk about dodging a cannon ball! /forums/images/graemlins/ooo.gif

 

[ksmmoto]

I had insurance on my Kubota through a rider on my State Farm Homeowners. I dropped the policy to get commercial insurance through Auto Owners. Kubota sent me a letter soon after that they was notified of the policy cancellation and they needed proof of insurance. I had my Auto Owners agent fax them proof and all is well now.

ksmmoto