Frequently Asked Questions
I see on my home policy that I have a certain amount of coverage for “other structures” listed. I don’t have any detached structures on my property. Am I being charged for this coverage?
The “other structures” coverages is an automatic percentage of your “dwelling Coverage” which may be used to cover a loss for a detached structure on your property; for example, a shed or a gazebo. There is no additional charge for this but it is provided under the policy as part of the dwelling coverage.
Why do I need to do the audit if I am no longer with that company?
Payrolls/sales are “estimated” when a policy is written or renews. The audit adjusts these estimated figures to the actual figures.
Why do I need so much insurance on my home? I would NEVER be able to sell it for that!
Insurance on your home provides for “replacement value” not sale. In the event of a loss, we need to be sure that the amount of insurance you purchase will cover the cost to “rebuild your home of like kind and quality to current building code”. Materials and labor fluctuate in cost and building codes can dictate a value you need to be prepared for. In addition, companies mandate we utilize their software and rates to determine the replacement cost.
Why does my credit score impact my auto premiums?
Credit, in addition to other factors, impact your auto premiums. Driving activity, claim activity, payment history, length of time and limits of coverage you have all dictate the rating or tiering of your policy. The majority of carriers utilize the same rating factors; they prioritize them differently. Credit/payment history identifies you as a good bill payer and a better risk thereby improving the bottom line premium you may be charged. Combined with the other data, we, as the agent, are given an “insurance score”, not your credit score.
Why do I need to change my policy if I am now renting my home vs. living in it?
Landlord policies or dwelling fire policies provide property insurance coverage for any physical damage to the structure of the home. Personal property coverage is available if you provide items such as a stove, fridge, washer, dryer, etc. in the home for the tenants use. Loss of rental income coverage is available in the event you are not able to rent out the property while it is being repaired or rebuilt due to damage from a claim. The policy also includes liability coverage; this would cover the tenant or their guests if they get hurt on the property.
What is a waiver of Subrogation?
The Waiver of Subrogation prohibits the insurer from attempting to seek restitution from a third party who causes any kind of loss to the insured. This type of arrangement is allowable under certain circumstances where the insured could be held liable for a claim that is paid.Basically you are giving up your right and the right of your insurance company to go after the party that you are doing a job for – even if they are responsible.