How can I lower my homeowner premium?
Insurance companies often award lower rates to homeowners who guard against
theft, accidents and other losses. They also may provide discounts for
multiple-customers (home and auto). Here are some things you can install in your
home that generally qualify for lower premiums:
- Dead bolts and window locks
- A security system with outside signal
- Smoke detectors
- A sprinkler system for fire
- A fire alarm that alerts the local fire department
What records are necessary to substantiate a homeowner claim?
You should keep a booklet detailing items or a video of your personal property.
Having an inventory record at the time of loss could save you thousands of
dollars because no one remembers everything, and forgotten items will go
unclaimed. Keep your records in a safe deposit box or with your insurance agent.
What questions should I be prepared to answer when applying for an insurance
Anyone who applies for an insurance policy is asked a number of questions. For
example, the agent will ask you simple questions such as your name, age and
address. But you will also be asked a number of questions that determine what
type of risk you are. For example, for auto insurance, the agent will want to
know about your previous driving record, what type of car will be insured and
various other types of information.
The answers to the questions will determine which rate to charge you, whether
you should be offered insurance at the high-risk driver rate or the low-risk
driver rate, for example.
What can I do to lower my auto premium?
Talk to your insurance agent about available discounts such as multi-car,
renewal, claim-free, student discounts, driver training, defense driver course,
anti-lock brakes, air bags, anti-theft devices, and auto/home discounts. Also
ask how much you can save by increasing your deductibles.
What is full coverage?
The term “full coverage” refers to the legal amount or most commonly requested
coverages, typically including bodily injury, property damage, uninsured and
underinsured motorist, damage to a covered vehicle, and any other coverage
Am I covered when I drive someone else’s vehicle?
Coverage varies from state to state and you should consult with your insurance
agent for details. In general, you are covered for liability to third parties
unless the owner is a resident of your household or you use the vehicle
regularly. In some states, you are not covered for damage to a borrowed vehicle.
When I rent a vehicle, should I buy the insurance coverage?
If you have auto insurance protection on your personal vehicles, you do not need
to buy extra insurance.
When my child gets his/her driver’s license, should I add him/her to my
Yes. All licensed drivers in the household need to be listed on the auto policy
unless they have their own auto insurance.