Insurance often gets a bad reputation that’s undeserved. Nobody likes paying for protection when the service seems remote, intangible and unlikely to pay off until some time far in the future–right? No, that’s wrong. Smart people have used insurance for centuries to protect their financial interests. In today’s economy, three of the major financial risks people face are their cars, their residences and their potential liability in certain situations.
That’s why protecting yourself with auto insurance, renters insurance coverage and general liability insurance coverage is so important. Your insurance agent can be a trusted partner who works hard to protect your financial interests. Understanding the risks and rewards of insurance protection can change your whole attitude about insuring your family’s financial well being.
Most people spend more on their cars than any other single investment they make in their lifetimes. Insuring your vehicle can protect you from theft, vandalism, damage from fender benders and medical bills and property damage that result from catastrophic accidents regardless of who is at fault. If you get a car loan, the lenders require car insurance to protect their investment until you’ve finished making payments. It’s just as important to protect your investment if you pay cash for a new or used car. Vehicle insurance offers the following protections from risk:
- Protecting the equity you’ve built toward car ownership
- Paying medical bills after an accident
- Covering the costs of repairs, vandalism, theft and natural disasters
- Defending your financial interests from accident liability and lawsuits
- Providing peace of mind when traveling or commuting
- Paying expenses caused by the negligence of uninsured motorists
Types of Car Insurance
Car insurance includes collision, comprehensive coverage and liability policies. Liability coverage protects you from the financial costs of accidents that are your fault. You can be held liable for bodily injury and property damage, and if you’re not insured, you might have to pay these costs out of your home’s equity, retirement savings and other resources that you own such as business property. Most states require liability car insurance within certain coverage limits. Uninsured fees can be assessed for people who don’t get insurance, and these fees don’t provide any risk protection.
Collision coverage protects your car from damages, and it usually is the most expensive part of policies because cars are expensive to repair or replace, and car damage is quite common. Comprehensive coverage protects you from theft, vandalism and damages incurred in accidents with uninsured drivers. Personal injury protection, or PIP coverage, can help with long-term rehabilitation expenses and lost wages. PIP isn’t accessible everywhere, but it can provide extra financial protection where available.
Comparing Insurance Quotes
For any type of insurance, it’s important to know how to compare premiums. There might be deductibles, which are out-of-pocket expenses that you must pay before your insurance coverage will begin. The higher the deductible, the lower the monthly premium will be and vice versa. When comparing policies, compare policies with the same coverage limits, deductibles, etc.
Insurance for Renters
Insurance coverage for renters helps to cover your personal possessions, which is increasingly important today because most people own a lot of computer equipment and electronic devices. These electronics can be very expensive to replace, and they are big targets for thieves, burglars and fair-weather friends who might just pocket an expensive iPhone while visiting your home.
Your personal property can add up to a lot of money–especially if you have to replace everything after a burglary or a fire. Insurance can help you replace furniture, electronics, art, personal possessions and even clothing. Policies that provide cash value protection will pay for replacing items at their current replacement value at today’s prices even if you bought the products years ago. Some special items–such as jewelry, coin collections and antiques–might have limited coverage under a standard policy and need a policy rider to protect them at their full value.
You might be able to combine your rental insurance policy with a policy to protect you from liability in your rental home. If someone is injured in your home, you could be held liable if negligence is involved. If your kid throws a ball through a neighbor’s window, you can certainly be held responsible for damages and property damage. A liability policy for your rental can protect you from these costs.
Rental insurance can also protect you in situations where you wouldn’t normally qualify for protection. If you rent your apartment and there’s a fire, the landlord’s policy won’t offer you any assistance. However, insurance for renters could help you find and fund alternative living arrangements after a fire or natural disaster.
General Liability Insurance
More and more people own businesses or work at self-employment jobs. The internet has made it easy to work for yourself and use proprietary apps to find full- or part-time jobs. General liability insurance is business coverage that protects you from liability if your business or employees cause bodily injury or property damage. The coverage also protects against liability for slips, falls and accidents on your property and the associated medical expenses. This insurance can also protect against the costs of damage to rental property and injuries caused by products that you sell.
General liability is often combined with other types of business insurance such as property insurance, disability coverage, worker’s compensation and others. Contractors often require that any subcontractors working for them have a valid liability policy in force. If you don’t own business property, you can still get general liability coverage.
Costs of Business Insurance
The costs of any business insurance depend on your business reputation , years of experience and claims history. People who need liability insurance the most include engineers, architects and providers of professional services such as health-related service providers. Each of these businesses could generate big liability risks, so getting adequate coverage is essential for protecting your personal finances.
Building a Better Future with Insurance
You can often save money by bundling insurance coverage. That’s especially true when bundling car and renters coverage or business liability and other types of insurance. Regardless of your needs, establishing a good working relationship with an insurance agent is a good practice that can generate big savings over the years and ensure that you always receive excellent risk-mitigation advice.
If you are interested to know any information about our Insurance coverage in Carrollton, Lewisville or near this city please call us 972-492-8500