AUTO & HOMEOWNERS INSURANCE
How is auto insurance defined?
Auto insurance is an agreement between the consumer and the insurance company that gives you protection against financial loss when you have an accident. You agree to pay the premium and the insurance company agrees to pay your losses as defined in your policy.
Auto insurance property, liability and medical coverage:
Property coverage can or may pay for damage to or theft of your car.
Liability coverage can or may pay for your legal responsibility to others for bodily injury or property damage.
Medical coverage can or may pay for the cost of treating injuries, rehabilitation and sometimes lost wages and funeral expenses.
An auto insurance policy is comprised of six different kinds of coverage. Most states require you to buy some, but not all, of these coverages. If you're financing a car, your lender may also have requirements.
Most auto policies are for six months or a year. Your insurance company should notify you by mail when it's time to renew the policy and to pay your premium.
Why do you need auto insurance?
It's really all about protecting yourself financially.
If you're in an accident or your car is stolen, it costs money, often a lot of money, to fix or replace it.
If you or any passengers are injured in an accident, medical costs can be extremely expensive.
If you or your car is responsible for damage or injury to others, you may be sued for much more than you're worth.
Not only is having insurance a prudent financial decision, many states require you to have at least some coverage.
Questions to ask your agent
Our independent Agent is an advocate for helping you find auto insurance that you feel meets your specific needs. Here are a few things to consider as you prepare for the discussion:
How much can you afford to pay if you get in an accident? (To keep premiums low you may want to have a higher deductible and be willing to pay more for repairs.)
What is the insurance company's level of service and ability to pay claims?
What discounts are available? (Ask about good driver, multiple policy and student discounts.)
What's the procedure for filing and settling a claim? (Ask who to call and what happens after you file a claim.)
It's always a good idea to talk to your independent agent when considering home insurance. Your agent will be able to help you create a custom package according to the coverage options you select.
What is Homeowners insurance?
Homeowners insurance offers financial protection against disasters. A standard policy insures the home itself and the things you keep in it.
Homeowners insurance is a package policy. This means that it may cover both damage to you property and your liability or legal responsibility for any injuries and property damage you or members of your family cause to other people. This includes damage caused by household pets.
Damage caused by most disasters is covered but there are exceptions. The most significant are damage caused by floods, earthquakes and poor maintenance. You must buy two separate policies for flood and earthquake coverage. Maintenance-related problems are the homeowners' responsibility.
Why do you need homeowners insurance?
It is really all about protecting yourself financially if something unexpected happens to your home or possessions. That's important because chances are your home is likely one of your largest investments.
If your home was destroyed by fire or damaged by a natural disaster, you'd need money to repair or replace it.
If a guest in your home is injured, liability protection and medical coverage help pay expenses.
If you are a victim of theft and vandalism, it can reimburse you for your loss or pay for repairs.
If you are still paying for your home, your lender will require insurance.
It is important to know that homeowners insurance is meant to cover unexpected damage, not routine maintenance. Ask your agent to talk about what is covered and be sure to read your policy so you know exactly what's included and what is not.
Things to consider and questions to ask your agent
Here are few things to discuss with your agent that will influence your decisions.
How much will it cost to rebuild my house and replace my belongings if they are damaged or destroyed? (Ask your agent to talk you through your home's features and the things you own so you can make an informed decision about coverage.)
Does the insurance company have a good reputation for customer service? Is it known for paying claims fairly and promptly?
What discounts are available? (Ask about multiple policy, security system and fire resistance discounts.)
What's the process for filing and settling a claim? (Ask who to call and what happens after you file a claim.)