Since the Los Angeles fires you may have read that some homeowners are having difficulty with their property insurance claims. It has been reported that if you fail to notify your insurance company that your home is titled in a trust and not named as an additional endorsee on the home insurance policy, in the event of a claim your insurer might deny coverage.
For anyone who owns a home in California, it is usually a good idea to have it retitled into the name of your trust for probate avoidance. This can save your estate time and money in the event you pass.
So, if you have had your deed recorded in the name of your trust, contact your home insurance company about having the trust listed as an additional endorsed on the policy. If there was a claim, and you pass away, the claim check would be paid to your trust vs. your estate, to avoid triggering a possible probate. Also, if you become incapacitated or pass, your successor Trustee will be able to communicate with your insurance company if the trust is listed as an additional endorsed.
While this is on your mind, it is also a great time to revisit your assets to make sure they are either titled in the name of your trust or you have proper beneficiaries designated on your accounts. After all, the best way to avoid the cost and time of probate is to make sure you have titled your assets in your trust.
Note: The Senior Resource Services (SRS) office hours for drop-in assistance are Monday, Wednesday, and Friday from 10 a.m. to noon. The SRS office is in the Cribari Center across from the Post Office. You may also leave a message at 408-239-5253. The purpose of SRS is to provide education and general business and financial information. All assistance is free and confidential. You should ask your professional advisor about your individual situation.
