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I have approximately 10 years in the manufacturing environment. Currently I analyze system specifications and test documents of various Government contractors to ensure contract and ISO standards are met. At Sharp I was a unit manager in-charge of 50 employees in the manufacturing of televisions and I was instrumental in successfully completing their first ISO audit. At Elo TouchSystems I redesigned/retrofit TouchScreens to computer monitors and televisions. I helped to open Heil-Quaker, a manufacturing plant for the production of air-conditioners. Before that I worked at Ford Glass Plant in the fabrication of auto-glass. sfreeland I'm 42 years old, from South Carolina, USA. | |||||||||||||||||||||||
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EDUCATIONAL EXPERIENCE 1990: B. S., Electrical Engineering, University of Tennessee LICENSE Engineer-In-Training (EIT) for the State of Tennessee certificate number 13176 and was issued on 6/15/90 PROFESSIONAL EXPERIENCE I have over 16 years of combined industry and construction experience and have over 3 year of experience providing Navy Information Systems Security (INFOSEC) engineering support. Prior to receiving my degree in electrical engineering, I amassed 10 years of combined experience in industry and construction. I then spent 5 years working alternately as a researcher, monitor engineer, and contractor, before working 1 year as a production manager. 1996 - Present: Engineer, Command, Control, Communications, Computers, and Intelligence (C4I) Plans Division, Integrated Systems Control, Inc. I perform research, development, and complex system engineering design and analysis. I provide program management support to Space and Naval Warfare System Center (SPAWARSYSCEN) Charleston (SSC-C) for budget and documentation development for INFOSEC products and Network System Security (NSS). I assess the soundness of proposed products, system designs, and technical specifications and also procure bids on engineering assessments and functions. 1994 - 1995: Production Manager, Sharp Manufacturing Company of America (SMCA). I directed 50 personnel in the production of 1,200 units per shift when I started at SMCA. I increased production to 2,500 units and reduced personnel to 20 employees. I implemented procedures and ensured employee awareness of television quality, which resulted in passing an ISO9000 audit. I was instrumental in reducing the in-house reject rate from 48 percent to under 5 percent. 1994 - 1994: Engineer, Elo Touch Systems. I evaluated the feasibility and cost of installing touch screens in various monitors and televisions for custom projects and future standard projects, and coordinated product development. I coordinated safety requirements with regulatory agencies and vendors; and coordinated design reviews, prototype development, material specification, and manufacturing training for product release, acting as a technical liaison to Elo staff and the customer. I also prepared engineering packages for use on the production floor. 1990 - 1993: Research Assistant, University of Tennessee. As a research assistant, I used HVAC techniques with high wattage and microwave power supplies to implant materials. I installed, upgraded, and detected leaks in the Multimode Microwave Cavity. I prepared monthly project reports and engineering drawings as needed and designed, built, and tested silent AC and DC magneto-hydro-dynamic motors. I also taught plasma science and assembly language labs. 1985 - 1990: Self-Employed. During this period, I repaired computers, video cassette recorders, tape players, televisions, and homes while attending the University of Tennessee. 1976 - 1985: I worked for Heil Quaker as a production worker. I was promoted to repairman, then supervisor, and ultimately to foreman over the press and weld department. I also worked for the Ford Glass Plant and was a freelance carpenter. | |||||||||||||||||||||||
Saving and Investing for the family | ||||||||||||||||||||||||
Investments that suit you at age 30 may not be the right way to go at age 40, 50, or beyond. As you move through the cycles of life, you will need to adjust your investments to ensure that you can continue to reach your goals. When young, the best investment strategy is also the riskiest: Devote most of your assets to stocks or to mutual funds that buy stocks. Stocks historically have been the best-performing investments, but they are also uncertain in the short term. Some experts even urge the young to leave none of their assets in cash but resist the urge to sell no matter how high or low the stock goes. When you try to time the market you have to be right twice, getting in and getting out at the right time. If you can't stomach throwing all your money into a wild market, consider 65% stock, 30% bond, and 5% cash investment. Even more conservative would be splitting assets evenly among the three categories. Remember, if the stock market goes up or down, don't panic. You have 40 years to recover. | Couples in their 40's who began a college-investing plan when their children were young can generally afford to be more aggressive, investing as much as 80 % of their money in stocks and stock mutual funds. You might leave half of your portfolio in large-company stocks and mutual funds, and put the other half in a sector fund, such as technology or health care. You're old enough to have extra cash you need to take such a risk, but young enough to hold such investments for the long-term gains. If you're conservative try 30% stocks, 30% bonds, and 40% cash. If moderately aggressive try 55% stocks, 35% bonds, and 10% cash. With children on their own and retirement around the corner, people in their 50's generally start cycling more of their assets into bonds and cash. If you're conservative try 25% stocks, 30% bonds, and 45% cash. If moderately aggressive try splitting assets evenly among the three categories. A more common way for aggressive investors to allocate assets at this stage of life is to leave 50% or more in growth stocks and growth funds, with the rest in cash or bonds. For people in their 60's that aren't working, it makes sense to invest in fixed-income securities, which have a regular, predictable payout schedule. However, you will need to generate enough income to live on. So get your plan in place now so you don't outlive your assets. People who are comfortable with stocks might leave half of their money in them, and those who are even more secure can devote up to 75% of their portfolio to stocks. If you're conservative try 20% stocks, 30% bonds, and 50% cash. If moderately aggressive try 50% stocks, 25% bonds, and 25% cash. Once you know what you want, decide how much it will cost. Create a time line. Then look at your three-year goals, five-year goals, and so on. Keep your money for three years and less away from the stock market, where volatility can wipe out your investments right before you need them. Focus on the 95% of the money you spend, rather than the 5% that you invest. Anyone should be able to find an extra 10% in their budget. If you gross more than $12,000 per year then that is $100 or more per month. Keep track of your spending for two months. You may be surprised. Before you make any stock-market investments, make sure you're prepared for life's little emergencies. Do you have health insurance? Do you have disability insurance? Do you have life insurance if you have dependents? Have you created an emergency savings account? These things are required so that you don't interrupt your long-term savings. The emergency money should be kept in a credit-union or bank savings account. Most experts recommend three to six months living expenses in these account. Once you have the basics covered then put your investing on auto-pilot. The best way to make sure you pay yourself first is either through a payroll deduction at work or a monthly transfer from your checking or savings account. By contributing the same amount of money each payday you buy fewer shares when prices are high and more shares when prices are low. This is called dollar-cost averaging. The usual result is a lower average cost per share. Retirement plans are the best way for most people to start an automatic investment plan. Many employers match a certain percentage that the employee contributes. By contributing the employee gives their self a pay raise even if they can not enjoy fruits till retirement. Once you have maximized your contribution to a 401 (k) plan, consider an individual retirement account (IRA). The traditional IRA allows an annual, tax deductible $2,000 contribution that grows tax-free until withdrawal, if your income is less than $60,000 for couples, and $40,000 for singles in 1998. These figures will rise over the next couple of years to $100,000 for couples; $60,000 for singles. The ROTH IRA may be even a better deal. It is funded with after-tax money, but you'll never pay taxes on the money or the account's appreciation. There is also no minimum age when you must begin withdrawing your money, as there is with a traditional IRA. Therefore, your money can grow tax-free until you die. And you can continue to contribute as long as you have $2,000 in earned income, no matter what your age. Single taxpayer can make a full $2,000 contribution if adjusted gross income (AGI) is $95,000 or less (partial contributions are phased out between $95,000 and $100,000), and married couples can make combined contributions up to $4,000 if AGI is $150,000 or less (partial contributions are allowed up to $160,000 AGI). Once retirement plans have been taken care of then go for mutual funds that have performed well over the long term. Mutual funds pool money of many investors to invest in anything from safe money-markets to the riskiest stocks. Whatever a fund has done in its best year assume it can go down by the same amount in its worst year. You should also make sure the fund manager who has set the track record is still there, and that the fund's objectives match your own. Then try to stick with no-load funds-those that charge no sales commission-that have low expense ratios. The average fund has an expense ratio of 1.5% but try to find something closer to 1.0%. Several top-rated funds allow you to enroll in an automatic investment plan for $100 a month or less. If you want to invest in individual stocks then start with Dividend-ReInvestment Plan (DRIPs) or a Direct Enrollment Stock Program (DESP), which allow investors to buy shares without commissions. Some plans require investors to buy the first share through a broker, but many companies now allow you to buy the first share directly. DRIPs are usually offered when a company pays a dividend and DESPs are offered by companies who do not pay dividends. The companies maintain an account in your name and send direct to you a regular statement, usually showing year to date transactions. Shares can be bought, sold or certificates issues by corresponding to the company directly. DRIPs and DESPs have 2 basic principals: 1. DRIPS offer the option for investors to purchase stock direct from the companies, saving on commissions for the investor and providing the companies access to additional capital from new shareholders. 2. DRIPS plans accept optional cash payments to add to their dividend payout, either by check or via monthly automatic electronic bank debits, in as small amounts as $10 to as much as $10,000 per transaction. Reducing transaction costs increases the growing power of your investments. Making regular optional cash contributions (no matter how small) also increases the growing power of your investments. Directly investing with companies, rather than through a broker, increases your power of control over your investments. Selecting your own investment vehicles increases your power of motivation as you watch stocks of your choosing increase in value. Being a long term investor adds to your power of piece of mind as short term actions of volatile markets are "ridden out". One of the oldest methods of longer term accumulation of wealth has been to purchase an equity which pays a dividend, to reinvest that dividend back into the same company and to make regular additional cash contributions. Over the longer term, it is possible to double or triple the number of share you own by just reinvesting the dividends. Most companies usually charge a small fee for their services, but it is much less than a securities broker's commission, so more of your money is actually invested in the stock. This approach to building financial wealth is successful for both the small, and not so small, investor. The major advantages of DRIPs are the ability to purchase equities in small (as little as $10) or large (as much as $10,000) dollar quantities. Just like a mutual fund, dividends are reinvested in company shares, and many company's plans are now adding automatic investment plans as well. DRIPs are a great way to take advantage of dollar-cost averaging, but holding too much of your assets in one stock is risky. A good DRIP portfolio should have companies in different sectors: technology, health care, and financial services. But don't buy a company just because it has a DRIP. You want to buy a company that's going to go up and has a DRIP. DRIPs also allow investors to make optional cash purchases, anywhere from biweekly to quarterly, without going through a broker. With DRIPs you may have to wait several weeks to sell your shares but that shouldn't be much of an issue, because DRIPs are for long term investors. You may additional information on the World Wide Web at the following locations: www.netstockdirect.com Buy shares from companies direct with no commissions www.sdinews.org Buy shares from companies direct with no commissions (800-473-4639) www.noload-stocks.com Buy shares from companies direct with no commissions www.ustreas.gov Buy treasuries direct from the Government www.powerinvestdrips.com DRIP advisory (847-446-4406) www.moneypaper.com DRIP list (800-388-9993 ext. 301) www.enrolldirect.com DRIP prospectus and mutual funds (800-744-4117) www.better-investing.org National Association of Investment Clubs (Buy shares from companies direct with no commissions or Join/form an investing club 248-583-6242) The Internet offers a host of online brokers whose low costs are inline with the cost of investing with DRIPs. However, some online firms require minimum accounts, and customer service may not be adequate for your needs and you will have to do a lot of homework. You may additional information on the World Wide Web at the following locations: www.etrade.com E*Trade with commissions < $20 and minimum balance of $1,000 www.msiebert.com Muriel Siebert with commissions at $25 and no minimum balance www.mydiscountbroker.com Sovereign Securities trades at $12 and no minimum balance The risk of the stock-market may be offset with a guarantee back by the U.S. government, Series EE savings bonds. You pay half the bond's face value and redeem the full face value in a maximum of 17 years. You also normally earn interest between 4% and 6%on these bonds. If interest rates are high, you'll reach the face value sooner than the 17 years. You need to hold on to a savings Bond for at least six months. After that, you can redeem it for your original investment plus interest. If you redeem it before five years, you'll pay a three months' interest penalty. You defer taxes until you redeem the bond; at that time, you only pay federal tax since savings bonds are exempt from state and local tax. Also, with Series EE bonds if your income is below an inflation-indexed maximum you do not pay federal tax if used to fund your child's education. The new I Bonds are adjusted semiannually for inflation to insure your investment retains its buying power. You may additional information on the World Wide Web at the following locations: www.publicdebt.treas.gov Free downloadable software providing current values & yields for bonds www.savingsbonds.com US savings bond and investor information Paying an extra $100 a month on your mortgage you can cut years off your payment schedule and save thousands on interest charges. Early mortgage payoff is controversial with many experts advising against prepayment because it is the cheapest loan you'll ever get and provides a great tax advantage. However, paying off the house offers a level of security not found in other investments. You are no longer tying up your money in an illiquid investment, however, you will need to generate income when you retire, so you always need invested assets. Discerning the different mutual fund classes is not that hard. A is for "all at once". B is for "back-end". C is for "constant". M is for "middle of the road". To put it simply, if you are buying a new car your share class decision is how you plan to pay for it. An A share is like paying cash, B share is getting a loan, and the C is like a lease. The A class mutual fund is traditionally an up-front load where typically 3 to 6 percent comes off the top to pay the broker or planner who sold you the fund. It doesn't affect the performance of the fund but you do put fewer net dollars to work. The A class is usually the lowest expense ratio among the share classes. The up-front commission may be a pain, but if you expect to own the fund for at least seven years, this is typically the most cost-effective and best-performing option. The B class mutual fund carries a sales charge that you pay only if you sell the fund during a set period of time. Each year, that charge shrinks until it disappears after four to seven years. During that time, each year you pay an increased fee (known as 12b-1 fee) for the sales and marketing of the fund, which raises your expenses. In most cases, B class will automatically convert to A class once the sales charge finally disappears. But be certain that the change happens or you'll pay higher costs forever. The C class neither have up-front or back-end charges. The trade off is a heighten expense ratio that you will likely pay for as long as you own the fund. The M class has smaller front-end load than the A class and a smaller 12b-1 fee that the B and C classes. Typically it is more costly than either A or B classes. Here are five good reasons to sell, or at least re-evaluate, your fund holdings. 1. Your circumstances change. Your asset allocation (the way you divide your investment money into stocks, bonds, and cash) was determined by your investment time frame and risk tolerance. Both change over time. As an investment goal draws near you become less aggressive putting less assets in stocks and more in bonds and cash. Re-evaluate your goals and investment time horizon periodically to see if they still match your asset allocation. 2. You need to rebalance. Even if your time frame hasn't changed, that asset allocation you set up to achieve your goals can easily get out of balance. If a certain sector has done well that you were invested in then you will have a larger percentage of your assets invested in it than you intended. Take some of your winnings off the table and reallocate to underperforming sectors. 3. Your fund's portfolio manager leaves. Your decision to buy an actively managed fund was at least partly due to confidence in the ability of the fund's manager and the past performance of the fund. When the manager leaves the fund, it's time to rethink your investment in the fund. This isn't an automatic sell. It should put your fund on the watch list. Watch the fund closely over the next two years, looking not only the at the performance but also how it is managed. Read the quarterly and annual reports to see if you agree with the new manager's style. 4. The fund has changed. If your balanced fund is soundly beaten by other balanced funds over an 18 to 24 month period, you may have good reason for selling. Make sure that you are comparing apples to apples. However, a recent study by Charles Schwab found that the best returns normally come from the bottom quartile of performance (funds that were outperformed by 75% of their pier group). What are the two worst reasons to sell? 1) The market has gone down, 2) You think the market will go down. Strange as it may seem you really want the market to go down. If you need your money soon you should not be in the stock market. If the market goes down you can buy shares at a lower cost and with greater potential for appreciation. Only God knows what will happen over the short term. But it is a good bet that over time stocks will outperform other kinds of investments. In general, the market moves up a little over two thirds of the time and it moves fast. If you sell because you think the market will go down, and you are right, how will you know when to buy again. Miss an upward move and a great opportunity has past. Building a savings foundation 1) Keep an eye on your goal. You're not investing for bragging rights at cocktail parties. Write down your goals, approximately what they cost, and how much time you have to reach them. Then sort your goals by how much time you have to achieve each of them (i.e. short term-emergency fund; midterm-new car, new house; long term-kids college, retirement). 2) Review your portfolio. Does your investments add up to your goals? Do your midterm investments risks any of the principle, and can you handle the risk? If your satisfied relax. If not proceed to step three. 3) Consider your choices. Cash, bonds, and stocks have distinct characteristics that make them act in fairly predictable ways - even in volatile times. a) Cash Investments (checking, savings, money markets, and Treasury bills) are safe and available, but produce yields of only 2 to 6 percent. b) Bonds (high grade Government or corporate) provide stable returns and are very attractive in volatile markets produce yeilds of 5 to 8 percent. c) Stocks rise and fall and make people nervous. However, over long periods of time, they rise by 10 to 12 percent annually. This is much better than bonds or cash. Therefore, some people see the bear market as a buying opportunity snapping up stocks or funds that weren't available earlier. 4) Make the best move for you. If the market is down and you're comfortable with volatility, press on. You're pouring in a set amount of cash every payday. While the money might have bought 10 shares of MSF Fund earlier in the bear market, it might now buy 12 shares of MSF. When the market recovers as it always has, you'll be two shares richer. The new nondeductible Roth IRA, which permits tax-free withdrawals of all contributions and earnings, raise a question: If I have limited funds, does it make more sense to invest in a Roth or put the money into my employers 401 (k) plan? For most investors, the tax-free buildup of earnings makes more sense than a deductible IRA. But a 401 (k) plan usually includes a matching amount that the employer contributes to encourage participation in the plan. The tax-free but non-deductible Roth is less likely to win out over the extra kicker. Your best bet is to fund your employer's 401 (k) plan up to the amount necessary to get the matching contribution, then put your next $2,000 earmarked for retirement into a Roth IRA. If you have more to invest, return to the 401(k) and invest as much as you can up to the limit. Note that in addition to the tax-free earnings of the Roth IRA, you also get more control over your retirement assets than you normally would through the more limited options available in most 401 (k) plans. You can withdraw earnings tax-free from a Roth IRA after five years, provided you have reached age 59�. Does the five-year period start after each contribution? No. The Roth IRA time clock starts when you make your first contribution. 401 (k)s If you change jobs most plans allow participants to keep their 401 (k)s with their old employer until they retire, provided there's at least a $5,000 balance. Or they can transfer it to the new company's plan. But it is entirely at the company's discretion. If you leave the funds in your former employer's plan, you should know that you won't be able to make any additional contributions. But when you eventually do change jobs, don't rush into a transfer until you make certain the new plan allows transfers and offers plenty of investment choices. If you do elect to transfer into the new plan, don't do it yourself. The transfer must take place between the two trustees so there are no taxes or penalties. Absolutely never accept the check if it is written out to you. If you do, your employer has to withhold 20% for taxes, and you must replace the 20% from your own pocket within 60 days, the time allotted for the rollover. If you don't, it's considered a withdrawal, and you'll be hit with a 10% penalty. Another solution is rolling the money directly into an IRA. Again, the transfer should take place between the two trustees. If you keep this "conduit IRA," as it is called, separate from other IRA's and you don't add any new money to it, you'll be able to roll it into a 401 (k) plan in the future. In other words, don't mess it up by putting money other than what came from the original 401 (k) into this IRA. Tap Your 401 (k) � 76% of 401 (k) plans allow loans � 28% of participants in those plans have a loan � The average loan is $5,537 � The typical repayment period is five years � The typical interest rate is prime plus 1 percent Uncle Sam wants you to save for retirement. That's why he postpones taxes on money you put into your workplace 401 (k) retirement savings plan. And that's why he hits you hard if you try to take it out before you've retired. These penalties are meant to make you think twice before you raid your retirement cookie jar. Emergencies do happen, though. Withdraw or Borrow? If your plan allows it, you can get at 401 (k) money early in one of two ways: withdrawing or borrowing. Withdrawing doesn't require repayment; borrowing does. In either case, be prepared to meet tough standards laid down by both the government and your employer. Early Withdrawal. You may be able to get at your money by either of two methods: an "in-service" withdrawal or a "hardship" withdrawal. The in-service withdrawal is pretty straightforward and comes into play in the event of death, disability, or reaching age 59�. In these cases, the 10-percent penalty doesn't apply. Hardship withdrawals. These withdrawals are subject to the 10-percent penalty and might be barred. If the plan sponsor allows it, you'll have to prove you have a hardship, and the definition of that can get murky. In general, most employers will stick to four main criteria: purchase of a primary residence; to prevent eviction; major unreinbursed medical expenses; and college tuition. Under the hardship provision, you may pull out only enough money to satisfy the immediate need (plus taxes, of course). In theory, though, you could drain almost all of the money from your 401 (k). Penalties can pile up. In most cases, a withdrawal also makes you ineligible to make contributions to the plan for the next 12 months. So there is no buildup of retirement savings, no match from your employer, and no tax deferral of income. The bad news doesn't stop there, because you'll also lose all the growth you'd be getting if you left the money alone. That's why retirement planners sum up their advice on early withdrawals in one word: Don't. Look at all possible alternatives before you do anything rash. Here are some to consider: Borrow from your 401 (k). Many plans allow you to take out a loan against the amount you've accumulated in your retirement plan. This is tax-free. Based on the loan policy set by your employer, you can borrow from your 401 (k). But you can't borrow more than 50 percent of your portion of your account, and $50,000 is the most you can borrow. You'll have to repay the money within five years, although home purchases sometimes get a longer period. And you have to pay a credible interest rate that's usually based on prevailing rates. If you're toying with the notion of simply not repaying yourself, bear in mind that the IRS may declare your loan as taxable income, and also may hit you the 10 percent penalty. "It's a much more favorable way to get at your money," says Kevin Weise, vice president of American Express Trust Company. "Request the loan, then pay it back over a period of time. You're effectively replenishing your account (you can contribute to the plan even as you repay if your employer allows it), allowing your money to get back into a tax-deferred investment and grow." Try alternatives. What about a home equity loan? Or cashing in investments that would be taxed anyway if you'll rolled up a profit, such as individual owned stocks, bonds, or mutual funds? At least you won't have to pay the 10-percent penalty. All of you job-hoppers consider this: if you have a loan outstanding and quit, then receive a distribution from your 401 (k), the IRS considers that a taxable distribution and will want its cut. Under those circumstances, you might consider leaving your 401 (k) plan with the old employer until you repay the loan. The ROTH IRA has several advantages over many other investments. After five years, contributions (not earnings) can be withdrawn for higher-education expenses without penalty or tax (you have already paid tax on these funds). With contributions of $2,000 per year, you can build funds faster than the Educational IRA, which is limited to $500 per year, and still be eligible for the Hope Scholarship Credit or Lifetime Learning Credit if you qualify. Furthermore, the Roth IRA is retirement money, which means it is protected when applying for financial aid. When purchasing homeowner's insurance, it is best to get replacement-cost coverage. This will ensure that your home and possessions will be covered no matter what the cost to replace or rebuild, even if that cost exceeds the face value of the policy. This coverage protects you from inflation, which each year makes it more expensive to replace your home or possessions. Unfortunately, a number of major insurance companies are beginning to restrict this guarantee, capping the coverage at 120% to 125% of the face value of your current policy. So when shopping for or renewing homeowner's insurance, make sure you accurately estimate the value of your home and its replacement cost. Inform your agent of any remodeling, and ask the agent to assess the replacement cost in person. If you have an expensive or older home, enlist a contractor to evaluate the cost of a complete rebuild, especially if you want it rebuilt in the same style. Insuring Your Condo Condo life seems to offer the best of both worlds: home ownership without the maintenance. Of course, when you buy a condo or co-op, you're sharing a building with other people, which can make buying the proper insurance a bit trickier. The Insurance Information Institute offers the following guidelines to make sure your home and investment are safe. First, you need two separate policies. A private policy will cover personal belongings, structural improvements, and living expenses should you be the victim of fire, theft, or other disasters the policy lists. This will also provide you with liability protection. The "master policy" is provided by the condo or co-op board, and it covers the areas that you share with the other owners, such as the roof, basement, elevator, and walkways, and usually provides some liability. "To adequately insure your apartment, it is important to know what structural part of your home is covered by the condo/co-op association and what is not," says Jean Salvatore, the institute's director of consumer affairs. By knowing where your responsibilities begin and the association's end, you not only make sure you are adequately covered, but also that you aren't paying too much. Read your association's bylaws and proprietary lease to determine who is responsible for what. The institute warns that some group policies only cover the original structure and fixtures. So if you or the previous make any structural changes, such as kitchen or bath remodels, you are responsible for that coverage. And in other situations, the association is only responsible for the walls, floors, and ceiling. Your in charge of securing coverage for kitchen cabinets, built-in appliances, plumbing, wiring, bathroom fixtures, etc. Also check out these coverages : � Unit assessment. This would cover your share of an assessment charge to all owners as a result of a covered claim. For example, if there is a fire in the lobby and all owners were charged the cost of repair, your share would then be reimbursed. � Umbrella backup. This coverage insures your possessions for damage from the backup of sewers or drains. � Flood and earthquake. If you live in these disaster-prone areas, the additional coverage is absolutely necessary, damage from either won't be covered without the separate policies. � Floater or endorsement. For higher-ticket items, such as jewelry or furs, insurance policies typically employ dollar limits. Check out your limits, and if you own valuables, look into getting additional coverage. "When purchasing insurance, it's important to find an agent who specializes in condo or co-op insurance," says Salvatore. "Also, don't forget to ask about all available discounts. You can reduce your rates by raising your deductible and by installing a smoke and fire-alarm system that
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