FAQ and General Infomation Questions
FAQ and General Infomation Answers
AUTO INSURANCE INFORMATION
- Do I need auto insurance?
- It depends where you live. Most states require you to carry auto insurance
if you own a car. In most others, must able to pay for damage from an
accident out of your own pocket. A professional insurance agent can
explain which coverages you need (different states have different requirements)
and how the various coverages differ.
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- What do all those terms
mean on my auto policy?
- If you have any questions about any of the terms below or on your
policy, contact us we are a professional insurance agency and can help
you answer most questions.
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- Bodily Injury Liability:
- If you injure someone in an auto accident and are legally responsible,
this coverage pays for your legal expenses and damages.
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- Collision:
- If your vehicle is damaged in a collision, this coverage pays for
the cost to fix or replace it with one that is similar, regardless of
who is at fault. Lenders usually require you to carry collision.
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- Comprehensive coverage:
- If your vehicle is damaged from incidents such as vandalism, broken
glass, hail or contact with an animal, this coverage pays to repair
or replace your vehicle with one that is similar. If you lease or have
an auto loan, your lender will most likely require this type of coverage.
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- Deductible:
- This is the amount you must pay before your policy kicks in. Generally,
the higher the deductible, the lower the policy premium.
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- Liability coverage:
- This pays for bodily injury or property damages. Most states require
you to carry at least a minimum amount of liability coverage. You can
get additional liability coverage by purchasing a personal umbrella
policy. Talk to your agent to learn more about this type of policy.
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- Medical Payments:
- This coverage pays for necessary medical and funeral expenses for
you or your passengers. It also protects you if you are injured as a
pedestrian.
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- No-fault insurance:
- Not every state has no-fault, and systems vary quite a bit from state
to state. In general, no-fault insurance quickly pays for financial
losses from minor accidents. Under a no-fault system, your insurer will
pay medical expenses and lost wages caused by an accident, regardless
of who was at fault. This system saves time and money that would otherwise
be spent in court, as there are limits on the right to sue and, in some
states, on what you can collect.
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- Personal Injury Protection
(PIP):
- If you are injured in an accident, this coverage pays for medical
services, loss of wages and loss of services incurred by you or members
of your family.
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- Property Damage Liability:
- If you damage someone's car, a street sign, house or building during
an auto accident, your property damage liability coverage pays for those
damages. This coverage does not pay for damage to your own property.
It also pays for your legal defense and damages assessed against you.
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- Uninsured Motorist Coverage:
- If you are injured in an accident and the person at fault does not
have insurance, this coverage pays for your bodily injury damages. Some
states require you to carry this type of coverage.
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- Underinsured Motorist:
- If you are injured in an accident and the person at fault does not
have enough insurance to pay your medical bills, this coverage provides
you with extra protection for bodily injury or death.
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- If my car is old, do
I still need full coverage?
- It's up to you. A professional insurance agent can help you decide.
"Full" coverage typically includes both liability and physical damage
(collision and comprehensive) coverages. If you would replace, rather
than repair, your damaged vehicle, physical damage coverage is probably
not necessary. At some point, a vehicle loses enough of its monetary
value to make the collision and comprehensive premiums unreasonable.
Even old clunkers, however, can cause tremendous monetary damage to
others in a crash. That's why, even if you decide not to carry physical
damage coverage on your vehicle, you are required to carry liability
insurance.
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- What determines my auto
insurance rate?
- Actuaries assess the risks for driver categories based on a variety
of criteria, including age, gender, driving record, the type of car
you drive, and the number of miles driven for business, pleasure or
commuting. In addition, certain makes and models of vehicles fare better
in accidents, and are less prone to theft than others -- resulting in
lower premiums. When shopping for a new vehicle, be sure to compare
premium rates. You could save hundreds of dollars (or pay more than
you expected), depending on your selection.To get the best rate, be
sure to ask your insurance agent if you're eligible for any premium
discounts. Many insurers offer a discount if you remain claim-free for
a certain number of years, or if you insure multiple vehicles with the
same company.
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- What should I do if
I'm in an accident?
- To ensure people's safety, reduce the possibility of further damage
and expedite the claims process: · Provide reasonable aid and comfort
to injured individuals.Warn other drivers of the situation with emergency
signals -- flares, flags or raised hoods. · Call police and appropriate
emergency vehicles. · Unless it poses inevitable danger to others, do
not move your vehicle until the police arrive. · Get details about other
vehicles involved, including names, license plate numbers, insurance
companies, vehicle makes and models. · Record accident information,
such as date and time, exact location and road and weather conditions.
If possible make a diagram of the situation and take photos. Some drivers
keep a disposable camera in the glove compartment. · Exchange names,
phone numbers and license plate numbers of witnesses. · Do not admit
responsibility or discuss who was at fault. · Take photos, if possible.
Some drivers keep a disposable camera in the glove compartment. · Notify
your insurance agent or contact claims department to report your accident
directly.
Our toll-free claims reporting number is: 1-800-300-1686.
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HOMEOWNERS AND RENTERS
INSURANCE
- What does homeowners
insurance cover?
- In general, homeowners insurance pays to replace or repair your home
and personal property. Compensation for damage from fire, lightning,
wind and theft, as well as more specific events, such as bursting pipes,
falling objects, smoke damage and building collapse is usually included.
Homeowners insurance also provides personal liability protection and
medical payments. And, it usually pays for living expenses if your home
becomes uninhabitable.Most insurers offer optional coverages to insure
valuable personal property such as jewelry, furs and silverware that
exceed the policy maximums. These separately insured items are called
scheduled items.
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- If I rent, does my landlord's
insurance cover my property?
- You want to insure what you own. You own the contents in your apartment;
your landlord owns the building. Renters are responsible for insuring
their own personal belongings against damage or theft. Proper coverage
also protects you against specified damages, such as if a visitor to
your apartment slipped, fell and filed a claim against you. Your landlordís
insurance policy covers damage to the building, including walls, ceiling
and plumbing.
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- What does condominium
insurance cover?
- Condominium insurance includes personal property and liability coverage,
similar to homeowners and renters insurance. It may also offer protection
against condominium association losses and coverage against losses you
might incur if you're making improvements to your condo.
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- What do I do if I have
a claim?
- Call your agent or Claims department. · Try to prevent further damage
and save all receipts from any expenses you incur. · Don't start major
repairs until an adjuster can see the extent of the damage. Most insurers
will advance you the necessary funds to obtain temporary shelter, food
and clothing, should your home be uninhabitable. Or, if you can continue
to live in your home, but are without working major appliances, your
policy coverage should provide for them.
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- What will an adjuster
need from me?
- You'll first need to complete a questionnaire via phone or mail. The
more information you have about the damaged item(s), the better. If
you can, be prepared to describe the object, when you bought it, and
how much it would cost to replace or repair.Don't throw out any damaged
items, as the adjuster will want to see them. If the damage is structural,
write down all the things you'd like to point out to the adjuster, so
you don't leave out anything important.
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- Does homeowners insurance
cover flood damage?
- No. You need to purchase a separate flood insurance policy through
the Federal Emergency Management Association's National Flood Insurance
Program. Your insurance agent can help you obtain a flood policy. Homeowners
policies do, however, cover other kinds of water damage. For example,
water that enters the home through a hole in the roof or broken window,
if those situations are covered by your policy.
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PERSONAL UMBRELLA
LIABILITY
- What is personal
umbrella liability insurance?
- Basically, this type of policy gives you more coverage once the limits
on your home or auto policy are reached. Personal umbrella also provides
special coverages for activities or events not covered by most standard
polices, including events such as renting a boat or hosting a gathering
at a public park.An umbrella policy can be an important defense to protect
your assets and future earnings from financial devastation.
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- Why would I need
a personal umbrella policy?
- In today's lawsuit-happy society, large corporations and wealthy individuals
aren't the only ones that get sued. You, too, could be hit with a high-priced
judgment, and your home and auto policy limits may not be high enough
to cover a large settlement or your legal defense. A personal umbrella
policy provides another layer of insurance protection to protect your
assets.
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