Automobile Insurance
One type of insurance required by law is automobile
insurance. Auto insurance covers accidents, theft,
vandalism, or other damage caused to your car. It
typically covers liability if you were to cause a car
accident, collision, comprehensive (if you hit a deer, for example),
medical expenses for you and passengers involved in an accident, roadside
assistance, and rental reimbursement. When applying for coverage,
insurance companies evaluate risk to create rates, considering factors like
age, gender, location, vehicle type, marital status, accident history, driving
record, annual mileage, and credit score.
When looking to improve your rates, first address the risks that an
insurance company evaluates when determining premiums. While factors
such as age and location cannot easily be changed, look into driving a car
with a good safety rating, taking a safe driving course, or investigating
alternative methods to get around, such as public transportation, to lower
the number of miles you put on your car each year.
Life Insurance
Unlike buying a homeowners or auto insurance policy,
there is no “right” time to buy life insurance. Life is
unpredictable and tragedy can strike at any time. It is best
to be prepared by being proactive. Many companies offer
life insurance plan options when you are hired, making this an optimal
time to sign up. If you are single without children, you may want to hold
off on putting a large amount of money toward life insurance. Otherwise,
there are many variables to consider when deciding on a life insurance
policy that is right for you.
Life insurance falls into two levels, term or whole life. Term life provides
coverage for a specific period of time, such as one year, 10 years, or up
to 30 years. If you are under the age of 80, you are eligible for term life.
If you die during the term, your elected beneficiaries will get a payout. If
you die after the term expires, there is no payout available. Term is often
the least expensive way to purchase a substantial amount of coverage for
beneficiaries. The greatest difference between term and whole life is that
whole life covers an individual for an entire lifetime. Whole life typically
has fixed periodic premiums based on the assumption that the person will
retain the policy throughout his/her entire life, with a death benefit that
remains level.
Bundling
We often purchase auto, home, and life insurance at
different points in our lives, finding insurance providers
piece by piece until we are fully covered. Many of us
often do not reevaluate our policies and rates, when
doing so could ultimately save us money. Bundling allows for all insurances
to be purchased through the same company, providing discounts on
premiums and the added convenience of paying one single bill to one
provider. To ensure you are getting the best rates on bundled insurance,
be sure to shop around and compare packages. Some insurers may offer
discounts, but with lower coverage. Be sure you are receiving all of the
coverage you think is necessary to cover your auto, home, and life policies.
Umbrella Policy
Still feeling unprotected in some way? An umbrella
insurance policy could be exactly what you are looking
for to feel comfortably covered. Umbrella insurance
provides extra liability coverage to protect against
major claims and lawsuits. This additional coverage kicks in once your
other policy coverage is exhausted. In addition, coverage for claims such as
false arrest, libel, and slander or for rental units is included in this type of
policy. Umbrella insurance goes above and beyond in providing coverage
for injuries, damage to property, and certain lawsuits. Policies are typically
available in million-dollar increments, giving you an idea of whether you’d
fit into the category of individuals who would benefit from having this
type of coverage. Individuals often decline umbrella policies because they
don’t feel that they need that level of insurance, but keep in mind how costs
can add up with any accident, including lawyer fees, medical bills, and
damages, among other costs.
Benefits of a Local Agent
vs. Online Quotes
You are probably ready to do some
research into policies with all this talk
about insurance. You have two options:
finding a local agent or getting quotes
online. Shopping online can allow for quick and convenient access to rates
through a variety of different insurance providers, but the waters are murky
when figuring out which plans are right for you and your family. Local
agents are, first-off, local. They are familiar with the community and what
policies would be best for your locale. Want to make sure you are getting
the best deal? There are also independent agents who can shop around
for you to find more competitive rates. Having a