In 19 years as an insurance agent, I’ve forgotten more about car insurance than most people know. As a result, I over think topics for the blog. In reality, we all need to get back to the basics when it comes to insurance. As a result, my next few blog posts will cover will help you in building a foundation to help your family remain safe and secure through out your life.
A Holistic Approach to Personal Insurance
Generally, we look at our insurance in silos. It goes something like this. Get the auto insurance bill, check that rate. If it increases, shop for another one or look around for better car insurance. Need renters insurance, go to the people that gave you a flyer at the leasing office. You need homeowners insurance, ask your mortgage broker. While you may have cheap insurance, beware of gaps in coverage.
In 2014, Take a more holistic approach to your insurance and get to know an agent that understands you. Think of your insurance portfolio as a puzzle. How do you put that puzzle together so that the picture makes sense when you file a claim? Will your personal injury protection cover out of pocket medical expenses after an accident? Can you confirm that type of information by rate sniping your insurance?
Auto Insurance is more than you think.
I officially declare war against all insurance agencies in Texas that specialize in nothing but minimum non-standard liability only policies. From there, I’ll just bite my tongue. If you bought your car insurance from a store front that has a sign in the window stating something like the following:
Liability starting at $39 per month… No License, No Problem…
The policy that many of these non-standard specialists sell is an inferior policy to one you would have gotten from Travelers, The Hartford, Safeco, Progressive; the list goes on. So when that guy comes on TV and scares you into thinking your credit is too bad to get a preferred rate, remember the U.S. Government has shaky credit too.
Seriously, your auto insurance has more than just the limits listed on the declarations page. Your standard auto insurance policy has lots of hidden goodies their non-standard companions change, reduce, or remove altogether. Two examples include coverage extending to rental vehicles, and having automatic coverage on newly acquired vehicles. So the next time you’re shopping for auto insurance, ask a few questions about the coverage you might be missing. If the agent can’t answer your questions, find one that can.
The Foundation Endorsement is a must.
Millions of Texas homeowners are unknowingly exposed to major loss due to a slab leak. Imagine this, after 10 years in your home, you’ve consistently gotten water bill ranging from $30-$50 per month. Then all of a sudden, poof! You get a $500 water bill. When you call the plumber, he says that you have a broken pipe underneath or inside your home’s foundation.
The costs of accessing and repairing damage of this nature can range from $1000 for a bare floor with stained concrete to thousands if you have hardwoods, or tile, or any other special flooring. The harsh reality that many Homeowners in Texas have had this experience but purchased insurance without this coverage is almost criminal.
So, if you’re like most Texas homeowners with a slab foundation on a ground, get a quote for the foundation coverage. The $100 a year over 50 years in your home will save you thousands if you ever use it.
You mean Obamacare doesn’t cover life insurance?
I just said the L word; no pun intended. First off, the federal government only pays $255 in survivor’s benefits. If you love your family and you want to be buried somewhere other than the backyard, get life insurance. I’m not referring to the old kind where the guy drives by your house and picks up your cash payment and pays out $5000 when you die. I’m talking about the new kind, that term life insurance that’s cheap, it’s got all kinds of riders and attachments. I’m talking about the new kind that helps build up tax free cash and gain stock market like interest.
Regardless of what kind suits you, that should be a part of everyone’s portfolio. The life insurance industry has evolved from the old debit agent to online life quotes, purchasing through e-signature. With the cost availability of medical and policy requiring no medical, life insurance is a no-brainer. Thank modern medicine for helping us live longer.
Put it all together – Insurance is a no-brainer right?
Now all you have to do is take the auto, homeowners, life and health insurance and put them all together and make that puzzle fit together. You have two options, you can call GEICO for your car insurance or call their insurance agents that help them with their auto, home, life, and health insurance. Odd are, if you a that agent needs help on his life insurance or homeowners insurance, he’s probably going to call me.