Insurance Mistakes You Don’t Want To Make

Insurance is a “must” have in today’s world…you need to protect yourself from liability, from natural disasters, from health problems, from financial disaster, and most importantly you want to protect and insure the future of those you love the most – your family.

Sure, there are some types of insurance you can skip altogether, and there is insurance coverage you are required by law to have, such as liability for your car, that you can cut corners on, but is that a responsible choice to make?

What mistakes could you avoid when buying insurance coverage?

1. One of the biggest mistakes you can make, and many people do, is to purchase the “bare minimum” coverage. You may think you’re saving money on the premiums, but it could cost you so much more in the future in out of pocket expense. On the other hand you actually can over insure, which is a big mistake also. Either way can cost you more money than is necessary to spend. Sometimes it’s a fine line between over and under insuring. This is where you could use some expert guidance.
2. We all like to compare prices, but price alone shouldn’t be the determining factor for which policy or insurance company you choose. Check out the agency you are considering to determine their stability, customer service record and definitely check the reviews from their customers…it’s so easy to do online.
3. Many people who rent their home or apartment fail to purchase Renters’ Insurance because they think the landlord will have to have insurance so they don’t need it. Big mistake…the landlord’s insurance will only cover the structure itself…which means none of your possessions will be insured in the event of a disaster. The sad thing about making the mistake of not getting Renters’ Insurance, is that it is so inexpensive.
4. Another big mistake consumers make is not understanding  what it is they are actually buying; are you under insuring, over insuring, getting the coverage that you need for your situation in life such as…
   • Should you carry collision on an older car?
   • Do you have the right balance between your deductible and your premium? Is your deductible too high or too low?
   • Should you have under insured motorist coverage?
   • Do you understand the difference between Cash Value and Replacement Cost for when you are ready to make a claim on damaged or destroyed property?
   • What is an Umbrella Insurance and should you be carrying it?
5. Many people make the mistake of of not keeping a current inventory of the possessions in their home, and then, if sadly the time comes that some type of disaster strikes and and their possessions need to be replaced, not only will they not have a record of what they had, but they may not have enough insurance for replacement.
6. Life changes from year to year, and so do your insurance needs. What life events have you had? Don’t neglect reevaluating your insurance policies regularly to make sure they are appropriate to where you are in life…do you need to buy more or is it time to cut back?

Choosing the right coverage can be a bit confusing, that’s why it’s so important to have an insurance agent that you know and trust will guide you in the right direction.

Give us a call at Whitcomb Insurance  we would be happy to sit down with you and help you decide which options are best for you, and answer any questions you might have. You can count on us to be totally honest and up front with you!

Contact us or give us a call at 425-391-8731.