Frequently Asked Questions
Why did my auto/home insurance rates go up?
Insurance rates are based on many things such as: age, driving distance to work, claims history, driving record and also your credit based insurance score.
What is “Replacement Cost” coverage?
This is insurance coverage protection that pays the cost to restore or replace damaged or destroyed property with like kind and quality up to your policy coverage limit.
What is a “Deductible”?
It is your out-of-pocket expense before the company makes a payment on a covered loss.
Does my policy cover me against “Flood Damage”?
No. Flood is not a covered peril on a homeowner’s insurance policy. It can be purchased thru the National Flood Insurance Program. www.fema.gov/business/nfip
What is the difference between “Comprehensive” and “Collision” automobile coverage?
This coverage is also known as “physical damage” coverage under your personal auto policy. Comprehensive automobile coverage is “all risk” physical damage protection for automobiles, except for loss by collision or upset. Collision or Upset coverage results from the striking of another object or by a moving vehicle.
What are my payment options?
Most insurance companies offer payment options for the payment of your insurance premiums on annual, semi-annual, quarterly or monthly terms. Some will offer these options by billing you direct or electronically transferring the monies from your account.
What is “Identity Theft” and do I need this coverage?
It has been called the fastest growing crime against consumers in the U.S. It affects up to 500,000+ people each year. It costs millions of dollars. It’s “identity theft” and it could happen to you. Identity thieves steal personal identifying information like social security, credit card, and drivers license numbers. They then use it to obtain credit, money, goods, services and other property. An identity thief can accumulate bills – in the victim’s good name – on credit cards and similar loans the victim doesn’t even know about until notified by the lender, collection agency or police.
What is “Uninsured Motorists” and “Underinsured Motorists” insurance coverage?
Under the auto insurance policy, it is protection for “you” the insured and passenger’s in your covered automobile against bodily injury caused by the negligence of an uninsured or underinsured motorist.
What is “Medical Payments” coverage on an automobile policy?
This is insurance protection to pay the cost of medical care to an injured party, in your vehicle regardless of whether the policyholder is liable, up to the policy coverage limit.
What is an “Umbrella” and do I need this Insurance Policy?
This is an additional form of liability insurance protecting policyholders for claims in excess of the limits of their primary Automobile, or Homeowners insurance policies and for some (few) claims excluded by their primary policies. Most “Umbrella” policies are subject to a deductible. This additional policy coverage should be discussed between you and your insurance agent.
Are “GPS” (Global Positioning Systems), DVD’s or other auto accessories covered by my auto policy?
This varies by company. Please consult your agent with any coverage concerns.
Why do insurance companies care if I own or have a dog, trampoline or rare pet?
Homeowner’s policies include liability coverage, which protects the insured if they are held responsible for a third parties injuries or property damage, up to the limit of coverage. Owning a dog, trampoline or rare pet increases the company’s exposure.