Frequently Asked Questions

You Have Questions, We Have Answers

• How Do Deductibles Work In An Insurance Policy?

  A deductible is the amount you pay out of pocket to your insurance company that will then result in coverage for accidents or natural disasters. Higher deductibles will lower your monthly premium payments. Once you reach your deductible, you won’t have to pay anything for a bill, car, or home repair. A deductible is put in place to help avoid unnecessary claims, which will keep premiums lower for everyone.

  For example, if you have a deductible of $500 and you get in a car accident that results in $2,000 worth of damage, the insurance will pay $1,500 to cover the repairs, and you will pay the $500 that is your deductible.

• What Is Uninsured Motorist Coverage?

  Uninsured motorist coverage is something that can be added to your auto insurance policy. When you are involved in an accident with a motorist who doesn’t have insurance, it won’t leave you paying the full amount for injury or car repair. When the uninsured motorist is at fault, those with UM coverage can let their insurance company cover the damages. This is typically a low-cost insurance type that can help protect you from risky damage.

• Should I Package My Home And Auto Insurance With The Same Insurance Carrier?

  While you can bundle them together, it may not be the best option for everyone. Bundling home and auto insurance could offer discounts of up to 25%. Since you are working with only one company, you may have limited flexibility and may not be able to negotiate rates. If you like having one point of contact, and simple billing options, bundling with one company will be a great option for you.

• Will I Have To Pay More For Insurance Because I Am Young?

  Depending on the type of insurance, young people should not have to pay a different price than anyone else. However, auto insurance is the one that is often affected depending on your age. Teen drivers are often seen as higher risk for insurance companies because they have less driving experience, are easily distracted, and are more prone to making rash decisions. Due to the trends in data, teens and those over 70 may have to pay higher rates to insure their vehicles.

• Do I Need More Than The State Minimum Coverage For Auto Insurance?

  Some states require that you have auto insurance, business insurance, workers comp insurance, and contractor insurance. While minimum coverage can be expansive, if you only purchase the minimum, you are putting yourself at higher risk. Without insurance, you could have gaps that could cost you thousands of dollars in damages. There is no real way to plan for emergencies or estimate how much you will need to pay. Having more than the minimum insurance your state requires will bring you peace of mind.

• How Does Auto Insurance Work?

  Auto insurance protects you from the financial losses that come from accidents, theft, or vandalism. It typically includes liability, collision, and comprehensive coverage.

• What Impacts Auto Insurance Premiums?

  • Drivers age, gender, and experience
  • Driving history
  • Past accidents
  • Vehicle make and model
  • Age of vehicle
  • Types of coverage
  • Deductible amount
  • Location
  • Mileage on vehicle
  • Vehicle purpose
  • Credit score
  • Multi-policy discounts
  • Weather risks
  • Crime or theft rates

• Can My Insurance Premium Increase After An Accident Or Claim?

  Yes. Insurance premiums are often based on your perceived risk to the insurance company. After a car accident or claim where you are at fault, your insurance company may charge more to insurer your estimated risk.

• Why Do I Need Homeowners Insurance?

  It is impossible to prepare for every natural disaster, break-in, or other damage to your home. Having a comprehensive homeowners policy protects the structure as well as all of your belongings. Homeowners insurance will give you peace of mind about all of your valuables, and furniture, and limit the high cost of repairs.

• What Is The Difference Between Actual Cash Value And Replacement Cost In Home Insurance?

  Because your home value doesn’t remain the same as time passes, insurance companies will need to adjust the amount they pay you when your home has become damaged. Actual cash value reimburses the current market value of the damaged or stolen item while considering how the value has depreciated over time. Replacement cost coverage does not factor in depreciation and pays the current market price.

• When Do I Need Workers Comp?

  If you are an employer or an employee, you should consider workers comp insurance. Having insurance protection “just in case” will save you from legal trouble down the line.

• What Is Professional Liability?

  This coverage protects professionals against claims of negligence, mistakes, or failure to deliver services. It is also called errors and omissions insurance as it will protect them from lawsuits over mistakes and prevent financial losses to their business. This is best for doctors, lawyers, consultants, and contractors.

• What Endorsements Do I Need On My General Liability?

  Common endorsements include additional insured, waiver of subrogation, professional liability, Blanket AI, Scheduled AI, Primary Non-Contributory, etc.

• What Is Insurable Interest?

  Insurable interest refers to a legitimate financial or personal stake in the insured item or person. You will suffer a loss if the insured property is damaged or a person experiences harm. If you have insurable interest in your home, car, or business, they will be covered by insurance.