Common Insurance Questions
With so many different insurance products on the market, not to mention the myriad choice of carriers and brokers, many people get overwhelmed when trying to determine the best insurance products for both their peace of mind and financial security.
DPM Insurance Group’s brokers and support staff undergo extensive professional training to help you determine the best products to ensure you and your family or your business are adequately protected. In the course of that, we are reminded every day that while this is what we do professionally, not everyone is well versed on how insurance works. While this is by no means an exhaustive list, here’s answers to some of the more common questions we field on a day-to-day basis.
How do I know I’m getting good value for my homeowner’s premium?
It’s the unfortunate truth that a large number of homes are under-insured. During your annual renewal, you should ask your broker questions about what is covered under your basic policy as well as optional coverage for specific situations. Once you’ve determined coverage that’s best for you, you’ll have to choose a deductible. The higher the deductible, the lower your premium will be – but remember, should the time for a claim come, you’ll want to ensure you’ll have the cash to cover that deductible comfortably.
Every time I’m on vacation and rent a car, I’m asked if I would like to purchase rental car insurance. Is this something I need or does my existing insurance cover the rental?
The simple answer is that it depends on your insurance carrier, and the policy you chose. Some policies may provide limited coverage while others provide none at all. If you’re headed off on vacation, don’t assume your rental car is covered; a quick call to your broker before you leave will give you the answer you need.
My grandmother left me valuable jewelry in her will. If it’s stolen or destroyed in a fire, is the jewelry covered?
Most homeowner’s policies will have limited coverage for things like jewelry. If your jewelry is quite valuable, you might want to add a floater to your policy which provides additional coverage. The same goes for valuable, specialized equipment that might be tied to a hobby. You should check with your broker to see how much is covered under your basic policy.
If my garage burns down with my car in it, is the car covered under my homeowner’s insurance or car insurance?
In this type of situation, your homeowner’s insurance policy will not cover the loss of your car, even though it was technically, “in your house.” Comprehensive physical damage coverage on your automobile insurance policy would be needed to repair or replace that vehicle.
I own a home-based business; do I need special insurance?
A business operated by one or two people out of your home should, at the very least, consider carrying more property and liability insurance than is provided in a typical homeowner’s policy. Depending on the kind of business you’re operating, you may want to consider one or more of the following: errors and omissions insurance, sometimes known as professional liability insurance; employment practices liability insurance; directors and officers liability insurance; and business identity theft insurance. Again, a consultation with your broker is going to help you decide what type of policy best fits your specific needs.
At DPM Insurance Group, your security is our responsibility.