What does "perpetual" mean?

The dictionary defines perpetual as never ending or changing, just like our perpetual insurance. The policy you purchase has no expiration date and is in effect until the policy is cancelled.

Is this a "real" homeowners policy?

Absolutely. The perpetual homeowners policy can offer you similar, if not the same coverage you have now. We can include endorsements to fit your personal insurance needs, including valuable articles floater, water/sewer back up coverage, and many more.

What is a "deposit"?

That is what we call the payment that you make for your perpetual homeowners policy. It is referred to as a "deposit," because it is deposited with us while you have our insurance and becomes fully refundable to you at the time of cancellation of the policy.

What do you mean by "fully-refundable"?

Every penny you have given to us to buy insurance will be returned to you, in full, no matter how many claims you may have had during the time you are insured with us.

What is a "guaranteed fixed rate"?

When your policy is first issued, we arrive at your deposit amount using the current rate or rate per thousand. When we use the term "guaranteed fixed rate", we're saying we guarantee that rate for the life of the policy. So when you need additional dwelling coverage, that charge will be based on the original rate, no matter how much rates have increased or how long ago the original policy was issued.

Is there a penalty for "early withdrawl"?

No. Baltimore Equitable is not a bank and this is not a Certificate of Deposit. Whenever your policy is cancelled—whether it's been effective for one day or 50 years—your deposit is refunded in full.

What happens to the money I have deposited if I die?

Everything you have paid to Baltimore Equitable is transferred to any remaining named insured on the policy (your spouse, a co-owner, etc.) If you are the only named insured on the policy at the time of your death, the funds will be refunded to your estate. You should check with your estate planner to ascertain how your deposit would be handled when your insurance is no longer needed.

Will I ever have to pay an additional deposit to Baltimore Equitable?

If the cost to rebuild your home (not the cost to re-buy it) remained the same, you would never need to pay for insurance coverage again.

Unfortunately, we all know this will not happen. More than likely the cost to rebuild your home will increase over the years that you own it. When you need to increase your coverage, all future payments will be based on your original rate per thousand—not the rate new clients are charged—and those payments are added to your deposit on hand and are fully refundable at the cancellation of your policy.

Do I have to own a home to get a perpetual policy?

No. Baltimore Equitable can write a perpetual policy for a condominium or an apartment.

What happens when I sell my house and move to another location?

If that other location is in Maryland or Pennsylvania and you wish to continue with the perpetual policy at that location, we simply write a new policy on your new home, condominium or apartment. When you cancel the old policy, you may use that deposit to pay for the new policy. If the new policy costs more (because of higher coverage needs), then you will owe us the difference. If the new policy is less (because of a downsizing), we will refund the difference between the old and the new deposit.

If you move out of state or do not wish to continue with the perpetual policy, we will cancel your old policy when you no longer need that coverage and refund, in full, the deposit