Insurance – Multiply Policies – Multiply Savings

In today’s economy many people are choosing to obtain their insurance coverage through different carriers for the various needs in theirs lives. For example, they may choose one carrier for their home, another for auto, another for boat, motorcycle, life, etc… The frugal shopper understands that there is a much easier way to put more money back in their wallet. Most carriers today provide Multi-Policy-Discounts. If you package all of your policies together and work with one carrier you will generally net an overall savings on your insurance bill. One line of coverage may be more expensive than what you could purchase elsewhere, but the bottom-line is what really matters, isn’t it?

The Multi-Policy-Discount can range from 10- 25% on the auto insurance and up to 45% on home insurance. To make it even more attractive, many of the companies today will stack the deductibles for maximum savings.

Another great tip regarding this is to review your insurance every three years at a minimum. Meet with several companies with your entire package to see if the market has anything better to offer. If you get some huge savings, discuss with your current agent, many times they can offer ways to keep your business. 

Life changes rapidly these days, don’t let your insurance lag behind your needs. Consider your insurance package with every major event in your life: home purchase, car purchase, wedding, baby, job change, etc. If it affects your life, it probably has an affect on your insurance.

Life Insurance Awareness

Life Insurance is the forgotten insurance.   Many consumers don’t think about it until it’s too late for action.   Unfortunately, protecting our families, businesses and lifestyles with Life Insurance has trouble working it’s way on the list of the many priorities in our live and finances today.  We’re basically working paycheck to paycheck.   Currently in the US, nearly 34% of the households have no life insurance coverage, and the number is rising. 

There are some options for everyone though.   There is a misconception that coverage costs too much and we allow that to paralyze us from taking action to even speak with an agent.   A perfect option for these tough financial times is straight Term Insurance.   You will find it affordable and can start as building block to protect your most valuable asset – YOU.    

Auto Insurance – You Get What You Pay For!!

Today, you see many advertisements for “low cost” auto insurance that range from a guaranteed low price per month to building your own policy, the way you want it.    It is understandable that based on the current state of the economy that we all want to save money, but take the time to understand what you are getting for your money.  

Regardless of the carrier involved, you are not buying proof of insurance, you are buying a promise to pay later in the event you are involved in an accident.   The insurance company is promising that they will pay for your damages and liabilities up to your policy limits when and if you are involved in an accident.   

Helpful ideas:

• CAN THEY PAY?Know who you are doing business with and if they are financially strong enough to live up to their end of the bargain.  
• DO THEY PAY?What is their customer satisfaction ratings in regards to paying their claims?   You can find this information by visiting the Texas Dept of Insurance website. 
• HOW MUCH DO THEY PAY?  This is where you, the consumer, needs to take the time, up front, to understand your coverages.   A licensed insurance agent would love to meet with you face to face to explain all of the coverages and how they apply.    This could be the best investment you ever make, and all it takes is time.  

Auto Insurance Today

Auto Insurance—

Consumers should take the time to review their auto insurance to make sure they don’t have gaps in regards to coverages and limits of coverages. Many people make the decision to purchase auto insurance based on cost and remaining legal in their state.

Liability Limits- damage that you cause to someone else, body or property

The state of Texas requires that drivers carry minimum limits of –
$25,000 per person/ $50,000 per occurrence for bodily injury
$25,000 per occurrence for property damage

A stay in the hospital can range from $850 per day and up based on the severity.

National Automobile Dealers Association report that the average price of a new car in 2010 is $28,400.

Uninsured/Underinsured Coverage – protects you, people in your car or your property that is damaged by an uninsured or underinsured driver

The state of Texas requires the same minimum limits as liability or signed rejection of the coverage.

TexasSure estimates that 20% of the vehicles in Texas are uninsured. These drivers cost the rest of us over $1 billion each year in additional insurance cost. TexasSure was begun by TxDMV in 2008 to help curtail this practice. This is a verification system that allows law enforcement officials to confirm insurance coverage.

Personal Injury Protection –pays medical, funeral, lost income and some other expenses for injuries sustained in an auto accident.

The state of Texas requires minimum limit of $2500 per person or signed rejection of the coverage.

Full Coverage- refers to Comprehensive and Collision coverage. Collision covers your vehicle for damages sustained in an accident. Comprehensive refers to all of the other ways your vehicle can be damaged such as vandalism or theft. This coverage typically includes a deductible amount ranging from 0 to $1500.

This coverage isn’t required by the state, but is required by a lien holder or financing company.

Rental Reimbursement- provides replacement vehicle while your vehicle for repairs that are covered by your auto policy

Towing/Roadside Assistance-provides towing service and roadside assistance for accident and non-accident occurrences such as dead batteries, lockouts, out of gas etc. The extent of coverage varies by carrier.

Home Insurance-Know what it covers?

We are about a month into the 2010 Hurricane Season.  Luckily, Houston has made it unscathed so far.    This would be great time to understand your policy.   Know how it works before you need it. 

A few tips or questions:    What is the deductible associated with a wind related claim?    Is that deductible the same if I get damage from named storm?  Does my policy cover damage caused by wind-driven rain?  What about my contents?  If I have a total loss, what will my insurance policy pay?   Do I have coverage for incidental living expense associated with a loss?   How am I covered if my car is damaged in a hurricane?    Should I prepare a contents inventory? 

These are good questions to begin a discussion with your insurance agent.    Most agents would be happy to speak with you about your coverage.   They want you to be properly protected as well.