Insurance Smarts

Slumping Economy Means more Uninsured Motorists

2008-12-18T12:10:00.000-08:00

A recent survey from the Insurance Research Counsel states that hundreds of thousands of driver have let their insurance lapse because of financial hard times. As the jobless rates climb, so will the number of people choosing to go uninsured. The story is the same, “which bill do I pay the insurance or the electric?”

The trend is bad news for everybody on the road. If you're hit by an uninsured motorist, you may have to sue to recover costs, and many uninsured motorists have few assets. You can protect yourself by carrying uninsured-motorist coverage -- almost half of states require the added coverage -- but this may boost your premium.

Many of the people on the road are either uninsured or underinsured, and so you have to protect yourself. Your odds of being in an accident with an uninsured driver are substantial.

One of my clients had a down turn in his business and reduced his coverage to a bare minimum to save costs. Against my advice, he cancelled all covergaes except liability. As you can probably guess, he was hit by an uninsured driver, who then fled the scene. In tough economic times, he now has substantial damage (in excess of $10,000) that he has to pay. To make matters worse, he was injured.

Motorists driving without insurance also face risks. If you are found at fault for the accident and a judgment is awarded, a court could order liens on you assets. If you don’t have attachable assets, you could be set up on a court ordered “payment plan.” Also, driving without insurance is illegal in 48 states and the District of Columbia.

It’s an ugly situation, so before you decide to let all you policies lapse, talk to you agent. There are often things that can be done to ease the financial pressure without sacrificing your long term financial future.

Gadgets! Gadgets! Gadgets!

2008-12-09T19:52:00.000-08:00

I saw this in Forbes and thought it was interesting…From Bluetooth to Blackberrys, from Widgets to Wifi, the way we live, work and play is being transformed by technology.

• 82% of cars in 2009 will be equipped for Bluetooth wireless communication.
• 14 million subscribe to Blackberry.
• 31% of cell user’s text message daily.
• 160 million I pods have been sold worldwide.
• 4141 Widgets are on Yahoo.
• $500 million in projected sales of GPS devices by 2015.

Put Identity Theft Protection on Your Shopping List

2008-12-03T12:41:00.000-08:00

Last month, someone in Newark, New Jersey got my debit/visa information and nearly emptied my account. Fortunately, my bank, Bank of America, caught it and put an end to their evil plan. But it got me thinking; we should all take extra care during this time of year.

The craziness of the holiday shopping season creates ample opportunity for crooks bent on stealing your credit cards or financial information. People become tired, the stores are crowded and so it’s easy to become less guarded about personal information such as driver’s licenses, personal checks, social security numbers and credit cards. Thieves can take this information and empty bank accounts, open credit cards and even establish phony insurance policies.

I did a little Google searching and found that nearly 8.5 million Americans had become victims in 2005 alone.

Here are some tips that may help:

• Keep the amount of personal information in you wallet or purse to a minimum.
• Guard your cards; don’t let people see them
• Always take your receipts and don’t throw them in a public trash
• Only buy from reputable on-line retailers
• Order a copy of your free credit report and make certain it is accurate
• Password protect your credit cards and bank accounts. (And use real passwords, not your kid’s name, or your DOB.)
• Monitor your accounts. Know how much money you have.
• Do not give you personal info out over the phone or online unless, you initiate the contact.
• Shred personal documents.

To irritate the crook even more, have the credit reporting agencies to put a fraud alert on your account. This way, they must notify you before opening a new account or changing an existing one.

Even if you do all those things, you may still become a victim. So, call your insurance agent for help. Some insurance companies include identity theft coverage as part of their homeowners’ policy, selling it as either a stand-alone policy or as an endorsement to a homeowners or renters insurance policy. This coverage gives you reimbursement for the expenses associated with the identity and credit restoration process including phone bills, lost wages, notary and certified mailing costs, and sometimes attorney fees (with the prior consent of the insurer). They may also include the added services of a fraud specialist to assist and guide victims through the process of restoring and protecting their identity. Contact your insurance agent or company representative to find out what kind of coverage is available. The cost is minimal ($25 per year at State Farm) and well worth the investment.

Now that you are protected, go out and spend some money and fuel the recovery!

“Is Our Home Fully Insured?”

2008-11-24T12:47:00.000-08:00

In Southern California, during the wildfires, this question was asked many times. And the answer is that 40% probably were, while 60% were underinsured by an average of 20%. So, as you can imagine, there were some nervous people in So Cal when the temperature rose and the Santa Ana winds blew. To make sure you are fully covered, follow these simple steps:

1) Know how much is your home is insured for. You can find this information from the Declarations Page (it comes with the policy) or call your agent.

2) be aware that the replacement costs are about $200 to $250 per square foot.

3) To be fully reimbursed, document what you own. In cases where there is a dispute, documentation always wins. Keep receipts, photos and videos of your stuff. I made a documentary called “All My Shi*.” I went from room to room with a video camera narrating, “This is the couch I bought at Pier One in 2005 for $800….” Not stuff for the Academy, but it works. Once you’ve done that keep the video at your office or in a fireproof safe.

4) In the event of a disaster, call your agent and he or she will be able to help you get sorted out with emergency funds for hotel rooms, clothes and food.

The claim process can be scary, so lean heavily on your agent for guidance. But the best way to be prepared for a claim is to be certain your coverages is current. Spent 30 minutes a year with your agent and review your policies. Not only with you sleep better knowing you are adequately covered, but your agent is usually good for a cup of coffee and a cheesy keychain.

Guest Blogger: Stacia Deutsch

2008-11-10T10:23:00.000-08:00

It was an amazing week. This week, I bought insurance. For most, this wouldn’t seem like such a big deal. Covering your house, your car, your family against some catastrophe hopefully will never occur is a rather mundane necessity. But for me…this simple act of holding insurance papers in my hand was an amazing moment. One of those that instances that you tuck away in your memory file…never to forget.

I am divorced. Having been married for most of my adult life, there are a few things I never actually did for myself. Sure, I managed the house, the kids, the daily ins-and-outs of a job and family, but there were a few things that remained in “his” domain. It seems a little sexist in light of gender equality, but did I really need to be the one to roll the trash cans to the curb? File the taxes? Or obtain the insurance? No. Those were his tasks… I stepped back and was never involved.

Now, things have changed. I remember the day I first pulled those trash cans to the curb myself. I felt the pang of failure that our relationship hadn’t weathered the tests of time, but I also felt resolute, that feeling of accomplishment when you know things are going to be okay and that you will be survive whatever is to come. Pretty big feelings for such a tedious task.

I am forty years old and for the very first time in my life, I have now arranged for my own insurance. I got the papers this weekend and have not stopped smiling. I will forever thank State Farm Agent, Jim Seilsopour. He understood that this was a big moment for me. I might have a master’s degree, but I didn’t have the right vocabulary. He explained the coverage in terms I could understand. He explained umbrellas and liability. Jim asked me questions about MY home: Did I have an alarm system? Sprinklers? Was MY community gated? We talked about MY car, the one I use to take my family where they need to go. Jim made sure everything was protected.

When I took those papers from him, held the folder that said State Farm blazoned across the front, I had an indescribable feeling well up inside me. I had taken another step in my independence. It was a combination of strength and power mixed with security and protection. I must admit that buying insurance was an even better feeling than pulling out the trash cans…

If I feel this great about insurance…I can’t help but wonder how I will feel when I finally pay my own taxes for the first time?

Are Your Important Employees Covered?

2008-11-02T14:02:00.000-08:00

As a successful business owner, you know that everyday operations hinge on that employee who knows the business better than anyone but you. You know, the one that has been with you longer than nearly anyone else.

It takes time to build a business and hire and train quality employees. Most smaller businesses have those indispensable employees with skills that are critical to its success. If something should happen one or more of your key employees, will you be prepared?

The death of any employee is tragic. However, when a key employee dies, the loss is financial as well as personal. Finding and training the right person to replace your lost employee can be costly.

A life insurance policy on key employees can help cover the expense associated with finding, attracting and training a new employee. It can also assure creditors and customers that your business will continue.

Premiums for a life insurance policy can be only a small fraction of the death benefit while that death benefit may be received free from federal income tax.

Your business is an important part of your life. Each of your employees is important to the success of your business. Make sure your business will survive the loss of your best and brightest employees.

Embrace Life, No Matter What

2008-10-26T09:53:00.000-07:00

Have you ever heard, “If I had only had more time.”

As people grow older, some may have regrets about all the things they did not do. Not taking an exotic trip or missing visits to family members might top the list. Your list might even include “not running a marathon.” One of the biggest regrets may be not telling a loved one how much you care.

One thing is for sure: The more you enjoy life and prepare for the unexpected, the fewer regrets you may have.

While no one can possibly do everything on a lifetime to-do list, there are plenty of ways to show people you care. One way is to make sure your family has the financial means to continue living their current lifestyle if you are no longer around.

Life insurance is one way to do just that. A strong economic foundation includes adequate life insurance coverage; enough to cover a mortgage, college tuition or outstanding debts.

There are many online sites, including statefarm.com®, that provide calculators to determine your life insurance needs. A qualified insurance professional can help you choose a policy to meets your needs and fit in your budget. Once a policy is in place, you can revisit it, especially during different life events, to make certain the coverage is still appropriate.

Knowing you have provided for your loved ones will give you peace of mind so you can enjoy doing the things you’ve always wanted to do. It may not mean training for a marathon -- but, then again, it might.

Condominium unit owners need property insurance

2008-10-20T08:24:00.000-07:00

You finally decided that your residence should be a condominium. Condos can be an appropriate choice for a number of reasons - fewer maintenance worries and no yard work are only some of the benefits. But what about insurance on your property?

In most cases, homeowners insurance differs from condominium unit owners insurance. Homeowners insurance protects the building structure and the items inside, whereas condominium unit owners insurance protects the items you keep within your unit. Also, unit owners insurance may be needed to protect any additions or alterations you have made to your unit.

Know your responsibility. The condominium association insures the building structures and the common areas, like the club house or the swimming pool with the master policy. But master policies vary widely and it’s important to read the bylaws and know what is covered by your association and what items are your responsibility to insure.

As a unit owner, there are several insurance coverage options to consider:

· Personal property - protects personal items such as clothing and furniture.

· Building property - protects the additions or alterations you made to your unit.

· Loss of use - coverage for the necessary costs to maintain your standard of living after a major fire, tornado or another insured catastrophe.

· Personal liability - protects you if someone makes a claim or brings a lawsuit against you for bodily injury or property damage for which you or a member of your family are responsible.

· Rentals: If you own a unit that is rented to another party most of time, ask your insurance agent about any special insurance coverage arrangements.

Learn to protect your personal property while living safely within your condominium community.

Be Fire Wise about Wildfires

2008-10-12T12:31:00.000-07:00

Wildfires are the most destructive natural disaster on Earth. We've all seen the pictures. The wildfires that plague our neighboring states, burning up debris and houses that stand in their path … that lash of orange flame that begins as a spark and ends in a fire out of control. If you live in foothills, grasslands or mountains, you are at risk!

Each year thousands of wildfires burn across millions of acres of land, mostly west of the Mississippi River. In 2004, it cost nearly $890 million to fight these fires, according to the National Interagency Fire Center (NIFC). Fires play a vital role in nature, helping revitalize forests and prairies by clearing out underbrush, dead trees and other debris.

However, more and more people are moving into areas that were once considered remote, where wildfires now pose greater risk to homes and personal safety. In the past decade, NIFC indicates that annually on average more than 2,600 homes were damaged, more than 100,000 fires were reported and approximately 4 million acres burned.

Wildfires are often started by lightning. But more – four out of every five fires – are started by people, according to FEMA. In the past few years, new techniques have been developed to help combat these devastating fires.

Controlled or prescribed fires are used in many places to remove the fuel that feeds a fire. Areas close to homes are given extra attention in an effort to keep the fire away from buildings. There are also things homeowners can do to help protect their property, possessions and family:

Install fire detection and sprinkler systems inside your home.

· Use fire resistive building materials outside your home.

· Create a "defensive space" of at least 30 feet by removing dry grass, brush, dead leaves and downed trees.

· Maintain an emergency water supply.

· Provide ready access to your home and be sure your street name and house number are identifiable.

· Practice emergency preparedness in case you need to evacuate the area.

Be sure your family has a plan of how to escape a fire. If you are caught in a fire, stay low to the ground where the smoke is not so heavy. Never hide during a fire – always get out of the house. And once out, do not go back inside. Alert emergency personnel if someone is trapped inside.

We can live in forested areas, as long as we understand that there are risks in doing so. If a fire does flare up in your area, remain vigilant to changing conditions and follow instructions from emergency personnel.

For more information on this and other safety related matters, please visit statefarm.com

Home-Based Businesses Need Business Insurance

2008-10-06T10:43:00.000-07:00

The dream of owning a business is becoming a reality for thousands of people each year. For many of these would-be captains of industry, that means starting the operation at home. However, your enterprise may be in jeopardy if you don't have business insurance.

You need business insurance because most homeowners policies place limits on business-related exposures. For instance, a copier or fax machine used for business and damaged in a fire may not be fully covered because it is considered business property.

Also, the homeowners policy does not cover business liability, loss of income, exterior signs and many other important items. If a client were injured at your home while conducting business, your homeowners policy would not apply. Anyone who operates a home-based enterprise and does not have the proper insurance coverage is putting his or her business and personal assets at risk.

Business insurance may provide many or all of the coverages listed below:

· Accidental direct physical loss coverage for business personal property.

· Broader off-premises property coverage Loss of income coverage

· Extra expense coverage

· Contractual liability coverage

· Liability of employees while acting within the scope of their employment.

Many entrepreneurs start their businesses on shoestring budgets and try to cut corners by keeping expenses at a minimum. But when you consider what you get, business insurance becomes a tool you can't afford to work without.

Do You Have a Plan For Your Employees?

2008-09-21T08:17:00.000-07:00

If you are self-employed or the owner of a small business, you probably understand the difficulties in finding and keeping qualified employees. There are many factors that an employee will consider when deciding where to work. One that may be overlooked is the availability of a tax-qualified retirement plan.

According to a recent survey by the Employee Benefit Research Institute (EBRI), 25 percent of small business owners stated the most important reason for offering a retirement plan was recruiting and retaining employees. Another 19 percent said the positive effect on employee attitude and performance was the most important reason they offered a plan.

The Simplified Employee Pension (SEP) and Savings Incentive Match Plan for Employees (SIMPLE) plans are two tax-qualified plans available to employers. If a plan is considered tax-qualified, contributions are not subject to current federal income tax; all earnings grow tax-deferred until withdrawn; and taxes are payable by the participant when benefits are actually received, generally at retirement when the participant may be in a lower tax bracket and entitled to an additional standard deduction at age 65.

Unfortunately, a number of employers are unaware of the tax-qualified retirement plans available. The 2003 Small Employer Retirement Survey conducted by EBRI indicated that 47 percent of business owners had not heard of SEP plans while an additional 26 percent had heard of them but knew little about them. The numbers for SIMPLE plans were 32 percent and 20 percent, respectively.

An advantage of the SEP plan is the ease in establishing and maintaining the plan. Any business with one or more employees, including the owner/employee, may set up a SEP IRA. The plan may be set up by completing IRS Form 5305-SEP and no employer tax filing is required.

As an employer, you decide each year:
1. Whether you will contribute to the plan, and
2. If a contribution will be made, the amount of the contribution to each employee’s SEP IRA. Employees are immediately 100 percent vested in the SEP IRA proceeds.

A SIMPLE IRA is a salary reduction plan with little administrative paperwork. If you have 100 or fewer employees in your business, you are eligible to begin a SIMPLE IRA by completing IRS Form 5305-SIMPLE.

SIMPLE IRAs are funded by employee salary reduction contributions and employer contributions. You, as the employer, can either match the employees’ contributions dollar for dollar up to 3 percent of their salaries, or contribute 2 percent of each eligible employee’s salary. Eligible employees are immediately 100 percent vested.

Employees may take withdrawals from a SEP or SIMPLE IRA at any time. However, they will generally be subject to a 10 percent tax penalty if they are under age 59½ at the time of the withdrawal. The tax penalty increases to 25 percent for SIMPLE IRA withdrawals made during the first two years the employee participates in any SIMPLE IRA.

Finding qualified employees that will stay on the job can be difficult. Fortunately, there are retirement plans available to make your business more attractive to job seekers. Speak with a qualified investment professional to discuss which plan may be appropriate for you.

Let's Talk Life Insurance For Businesses

2008-09-14T18:39:00.000-07:00

As a small business owner, you do your best to attract and keep the best employees. One benefit you can offer that may set you apart from other employers is group life insurance coverage.

Providing life insurance coverage for your employees may sound like an expensive proposition, but in reality, the coverage can be very affordable. The national average monthly premium for coverage is $.25 per $1,000 in coverage. Premiums for up to $50,000 coverage for your employees are deductible from your federal income tax and not taxable to your employees.

In addition to the benefit of providing affordable coverage to your employees, there may be other advantages to offering group life insurance. Having group life coverage may help to reduce employee turnover, reducing the costs associated with hiring and training new workers. Benefits such as group life have also been shown to improve morale and loyalty among employees.

Employees can name and change beneficiaries as needed. They may also feel more secure since funds are typically available almost immediately, if they die while covered under the policy.

Something your employees may need, at an affordable price. Contact your insurance agent today to find out more about group life insurance coverage.

Don't forget it's Life Insurance Awareness Month. No better time to make certain your employees are covered.

Do your employees need a 401(k)?

2008-09-07T11:22:00.001-07:00

With so much talk about Social Security and the need for retirement planning, there are a number of actions small business owners may take. Establishing a retirement plan for small business employees may sound like a huge undertaking. The reality is that setting up a 401(k) can be easier than you think.

A Safe Harbor 401(k) can be an appropriate solution for businesses with fewer than 100 employees. The Safe Harbor 401(k) Plan allows eligible employees to contribute a portion of their own salary to a retirement plan. Employers contribute either matching or non-elective amounts to the plan on behalf of eligible employees.
Both employer and employee enjoy federal tax advantages of contributing. Those advantages include:

· Employer contributions are tax deductible for the employer -- up to 25% of compensation of all participants.
· Employee elective deferrals are excluded from the employee's income for Federal Income Tax purposes.
· Tax-deferred growth potential is possible -- any investment earnings grow tax-deferred until withdrawn.

One attractive advantage of establishing a Safe Harbor 401(k) plan is that discrimination testing of employee elective deferrals or employer matching contribution limits is not needed. Additionally, each plan participant or beneficiary can request an easily understandable summary plan description within 90 days after they become eligible. A summary annual report may be requested each year within 7 months after the end of each plan year.

There are many reasons you may want to begin a retirement plan for your employees. The ease at which you can establish a Safe Harbor 401(k) could make it an appropriate choice for your small business.

September is Life Insurance Awareness Month

2008-08-31T13:50:00.000-07:00

If you were no longer there to provide for them, would your family be able to keep their home? Could your children attend college? If you answered ‘no’ to either of these questions, it may be time to look at your life insurance coverage.

September has been designated Life Insurance Awareness Month by the Life and Health Insurance Foundation for Education (LIFE). The Foundation is encouraging people to examine their life insurance policies to determine if they are adequately protected.

While your needs may vary, a Human Life Value study conducted by LIFE found that the average life value among U.S citizens was $803,788. A male’s value, meaning the economic value to others, was nearly $1 million, while a female’s value was over $660,000. While the life insurance need is not as high as those values, the average life insurance policy for males in the study was closer to $300,000 while women had $165,245.

Life insurance can be the foundation of a sound financial plan, especially given the continuing need after the death of a breadwinner. Think of it as a safety net should a wage earner die unexpectedly.

In addition to that, permanent life insurance may accumulate a cash value that can be accessed while you are still living. While any loans from a policy will accrue interest and diminish the cash value and any subsequent death benefit, the proceeds could be used for any number of reasons.

Life insurance can be one of the most important purchases you make. Take some time during Life Insurance Awareness Month to meet with your insurance agent and examine your life insurance needs.

Emergency – Are you Prepared?

2008-08-25T05:16:00.000-07:00

Every year we face possible disasters – wildfires, earthquakes, tornadoes, hurricanes and winter storms. If a disaster strikes your home, are you and your family prepared? Do you know where important documents, medications, and essential supplies are in case you have to evacuate? Do you and your family know how you would get out of your house, what you would do with your pets, where you meet each other if you get separated? Do you have a single point of contact you can call to let others know you’re safe?

If not, now is the time to prepare. Don’t wait until faced with a disaster to begin thinking about emergency preparations.

No matter what potential disaster you might face, there are basic items everyone should have in their emergency kit:

· Flashlight

· Battery-powered radio (don’t forget extra batteries)

· Non-perishable food items and a manual can opener

· Bottled water

· Medications

· First-aid supplies

· Important family documents in a waterproof container

· One complete change of clothing and sturdy footwear

These items should be in a backpack or other easily portable bag that is stored in a safe place for quick retrieval. Each family member should have their own kit. At least once a year rethink your kit and replace batteries, food and clothes.

In addition to an emergency kit, be sure your family has an evacuation plan and communications plan. Every member of your household should be fully aware of what to do and where to go in case of an emergency.

Additional information on being prepared for a disaster is available from emergency assistance organizations or at statefarm.com®.

Are you financially exposed?

2008-08-18T08:01:00.000-07:00

Many people realize the need for life insurance but keep putting it off until it is too late. You may think that life insurance is confusing, expensive and complicated. You may think you don’t know enough to make the right decisions for you and your loved ones. Postponing this decision leaves you and your family exposed financially.

Assumption #1: I’ll always be able to buy life insurance.

You could develop a health condition that makes you uninsurable or could make life insurance too costly for you.

Assumption #2: I’ll get life insurance later when I’m older or have a family.

Life insurance may be needed at all stages of life. Whether married or single, male or female, with children or without, you may have financial obligations that need to be met. Life insurance provides financial security for you and your loved ones.

Assumption #3: My family and I are covered by the group insurance at work.

To meet the future needs of your family, you need to have 7 to 10 times your annual
income. Most group term insurance amounts offered by employers won’t meet this need. And, when you don’t work for that employer any longer, you usually lose that coverage.

Assumption #4: My husband has life insurance so I don’t need it.

Women often live longer than men but not always. There are countless stories of men who had to shoulder the family financial burden along with the emotional burden after their wife passed away.

Assumption #5: My family can cover funeral and burial expenses.

Burying a spouse or loved one is the most stressful time in a family’s life. Having life insurance can reduce financial concerns for the family.

Take the time now to review your needs and provide adequately for yourself and your family.
For more information or to review your current policy, please contact my office or an insurance professional.

Are There Gaps in Your Business Coverage?

2008-08-10T17:33:00.000-07:00

There are many types of insurance to cover your small business. From property insurance on your building or contents to coverage for your business vehicles, there is a policy to meet most of your needs.
While these policies on their own may provide enough coverage, you may be unaware of gaps. Most insurance policies place limits on the amount of coverage provided for certain items as well as the types of losses that are covered. These gaps could be significant depending on your situation.
Fortunately, insurance companies may offer endorsements that are added to policies and extend coverage to a type of loss or increase the amount of coverage available. For example, if your standard policy limits coverage for an outdoor sign at $500, an endorsement can be added if the cost of your sign exceeds that limit.
Coverage may also be extended to include the personal property of others, normally excluded in the policy language. This could be a much needed option for repair businesses or dry cleaners.
It is important that you look at the coverages provided by your business policy to determine if they are adequate for your needs. Your business insurance agent should be able to explain the limitations and what options could be added to increase coverage. You may want to start by making a list of questions applicable to your particular business.
You have worked hard to make your business a success. You owe it to yourself to have adequate coverage in place to protect what you have built.

Shopping for Auto Insurance

2008-08-07T10:09:00.000-07:00

Whether you’re a first time buyer of auto insurance or already have it but are looking for a better deal, you should be asking several questions.

First, is the person from whom you’re buying (your agent) a visible, established member of your community – someone you know and trust?

Second, is the company from whom you’re buying well known? What is its reputation? What about price? Because there are hundreds of companies competing for your business, prices vary – sometimes a lot. It may pay you to shop. Be sure the premiums you’re quoted are for equal amounts of coverage.

How about service? Price is important but saving money won’t mean much unless you get the service you need – when you need it. If possible, ask other clients of your prospective agent how they’ve been treated, especially when they’ve had a claim. Find out how the company handles claims. Is the method convenient for you, no matter where you have an accident?

How about solvency? Is the company you’re considering still going to be in business when you file your claim? Your state department of insurance has financial rating information on all of the companies that do business in its state.

Once you’ve decided on a company and an agent, there are more questions to ask:

How much coverage do you need? The required minimum amounts of liability coverage may not be enough for you. Consider your needs in light of your assets and income.

How much can you afford to pay if there’s a big judgment against you because of an accident?

What about deductibles? Deductibles lower your premiums – most commonly for collision and comprehensive coverages – but increase the amount of loss that comes out of your pocket.

How much additional risk are you willing to take in order to save?

Should you carry collision and comprehensive coverage? As your car’s value decreases, you might consider dropping these coverages and pocketing the savings on premiums. But consider if the savings are enough to offset the risk of footing the entire cost of repairing or replacing your car.

Auto insurance is not a generic commodity. It is a product that should be tailored to each individual. Your agent can help you answer these questions and help you tailor your auto insurance to your specific and unique needs.

Insurance Smarts

2008-08-06T21:23:00.000-07:00

Watch here for helpful tips regarding your insurance needs