10 questions you should ask about your car insurance policy

The insurance can be confusing. Personally, I think the industry has to do with ads that talk about everything, but what is really important for most clients and their families. What you really need to know? It seems that everything is a big secret. It will help you to understand the help demystify jargon and what really matters to you.

1. Cheap car insurance is good, right? - I know. I saw all the same commercials on TV that you have. Everyone is trying to out-shout each other say, they save you hundreds of car insurance. The price is important, but it is not everything. I often tell clients that it is something else as well as the purchase: you will always get what you pay for. If you are looking for a pair of sunglasses, and you've found a pair for $ 5 in the store - you would expect to get a couple of $ 5. Therefore, if they are lost or damaged, or not directly related to your face, you were okay with that, because you know that he bought a pair of $ 5 points. However, if you bought a pair of prescription designer sunglasses from your local optician for $ 200, you can expect to break something that will not be easy to scratch, and it would get very pleasant to wear. Essentially, you would expect to walk out the door with some exceptional value. The same goes for car insurance and everything you buy. Anyone can sell you a cheap cut-down policy. And that's exactly what you get.

Fact. Cheap is just that: cheap. Makes sure that the coverage you need at a price you can most important thing you can do, make, before you pay your next bill insurance.

2. What is the most important thing that I need coverage? - Most states have mandatory liability limits for a basic need: To promote the public good will! Responsibility is part of the policy, which pays for medical bills and property damage that you are legally responsible, if you are determined to be the fault for an accident, off. However, most of these restrictions were established in the 1970s, when the cost of health and property were much lower than they are now. (The average annual income in 1975 was $ 8,000 - My, how times have changed ...) the state has not kept rising to the required limits of liability in health care costs or inflation! When was the last time you heard of a claim for less than $ 1 million? If you have $ 15,000 to $ 30,000 in the lawsuit that? The size where you start to throw the rest of it Liability limits with the minimum requirements of the state are available all the way up to $ 2,000,000 for bodily injury or property damage. From a car accident Without adequate liability that you may encounter devastating financial claims to have someone badly hurt in a car accident.

Fact. Responsibility is the least expensive coverage on your policy and the most good for you. For less than $ 0.99 per day, you can do a lot more responsibility to protect your family from lawsuits and avoid the pain of bankruptcy.

3. What is full coverage? - There is no such thing as "full coverage." If the insurance company will sell you all the benefits that they had in their arsenal, it will still be things that are not covered. One example is the use of the vehicle for illegal activity. On the run from the police, drug smuggling or other illegal substances or people, and intentional criminal offenses are good examples of things that are not covered if your vehicle has been damaged or destroyed. In the 1989 film "Steel Magnolias", Shirley MacLaine character rammed his car into another vehicle, which beat her to the parking lot at the grocery store. During all this time, she says, "I have insurance!" The deliberate destruction of personal property is a real crime, and that would not be covered by insurance, I know.

There are really only two coverages usually can be bought, called the "All Mail".

Collision cover first. The clash is the only place in politics, you can find the money for repairs to your car, if you break it, and it is defined as your fault. In the No-Fault states like Colorado, if you damage your car in an accident, your insurance company is the only place you will find the means to fix your car, even if the accident was caused by another driver would.

Comprehensive coverage is the second of these layers and protect your vehicle before the collision, without the losses such as fire, wind, hail, theft, vandalism, falling objects, such as trees and rocks from the hills and shock animals.

Typically, banks make, they have to cover in vehicle financing, so that they (the banks) are protected against financial loss if you damage your car or destroyed during the note.

Advice. When is book value of the vehicle at the bottom of thousands, you can seriously consider, these coatings. There is a point where the value of your car, you can not justify paying extra to protect the residual value. Your agent can help you determine what. The value of your car and show you how much you spend to protect this value.

4. If I fall on my head physician, such as Blue Cross / Blue Shield, I really need uninsured motorist coverage? - If you are paying someone else's health insurance, why would you want to get the other insurance pay more for the same thing? In most cases, if the vehicles are covered by collision and comprehensive, and where you have health insurance for you and your family with a large health care provider does not matter if the insured person hits you and it hurts. You know, your medical bills in any case, your basic medical care are paid.

Note. Insured to make an informed decision about whether or not you should perform motorist coverage, talk to your partner about the real risks have to do next.

5. I installed a love aftermarket wheels and tires and stereo in my car. Assured these products from my? - I know customers who spend a significant amount of money, "tune" your car. Some of the cost of more than $ 10,000 for accessories that make your car different. The general rule for determining these values ​​fall within your policy is simple. If they are installed in the same location as the factory material, you are covered. Wheels and tires, of course, will be installed in the same place, wheels and tires that came with the car from the factory. Stereo system can be installed in the same location as the factory stereo, but not a few accessories such as amplifiers and speakers, which are located in other places (under the seats, in the trunk of a car, etc.) are covered by your personal auto policy from any vendor.

Advice. When you add accessories to your car, ask your agent if they are covered or not.

6. Is My Tom-Tom GPS, cell phone or a radar detector detects when my car broke down, and they get stolen? - Your policy applies only to the car. Personal property was stolen from a car has never come under the vehicle policy. Only personal property policy, such as homeowners, tenants, manufactured, or home insurance covers your personal property in the car.

Advice. Generally most everything that is not included in the factory in the car, not included in your car insurance. Ask your agent works as its own policy in relation to your car to give you the best protection.

7. What is the cause of my car's claims should be banned immediately? - Car insurance, the same basic rules that they have to sketch in the policy. The main reasons for your claim to be denied: 1) driving without a license or a suspended license, expired 2) cover at the time of the accident, or 3), which recently acquired the car was not 30 on the policy in the - Day window as the car was bought.

Advice. Make sure you ask someone to drive you permit if their license is active and in fact, pay the premiums on time, and make sure that you add all new cars purchased in the policy, as soon as you can get in touch with your agent.

8. When my car was how much my insurance pay to cover the losses? - In general, cover most of the major insurance companies for your car, the "real value." The real cost is the residual value of the vehicle at the time of the accident, where he summarized. Each insurance company has its own system for evaluating vehicles. The closest you can to this speed by averaging the values ​​of your Kelly Blue Book on trade-in and private party. This will give you a great idea of ​​the average insurance you pay when you will make your car totaled. This is the highest value and the lowest cost to you as the owner of the vehicle. Some politicians, especially for classic cars, so insure the car to the specified value, or "agreed value." Most personal auto insurance policy does not. One car to the specified value

Advice. Check with your agent to find out what is the actual cash value of your car. Nobody likes sticker shock when they receive a receipt for the amount of the loss.

9. If I need new parts for your car, my insurance for the original equipment manufacturer (OEM) parts will pay? - In recent years, many insurance companies guarantee OEM parts. If the major automobile companies have not in a recession, many of them stuck assuming the parts were readily available. If insurance companies are facing a shortage of parts for vehicles of national companies that are now made in bankruptcy, and it changed to change the wording of its policy in order to protect themselves from lawsuits. Now it is the norm for the parts that are used to repair vehicles, is because they are more accessible and noticeable difference is in most workshops do the body seen.

Fact. Many insurers now restrict or prohibit the use of OEM parts in their estimates of repair.

Advice. To find out which parts will actually be used for the repair of your car, the best option is to ask your body shop, what role they want to use for the repair. If OEM parts are available, you can check whether they meet your insurance adjuster to cover the additional costs for the OEM parts.

10. If I'm in a car accident, then what is my family? - Most people believe that if they died in a car accident, her family received no benefit from the death of a car insurance policy. This is simply not true. Some suggest a slight advantage in their death payment for medical / personal injury protection, but most do not. Health insurance payments will be paid to the policy limits for medical bills.

Fact. Life insurance is the only way to ensure that your family gets a little bit of money if you die in a car accident.

Advice. Some insurance companies offer discounts on auto insurance if you reversed a life insurance with them, and. To make sure that you get the best deal, call your agent.

I know that the world of insurance can be confusing, but it is important to know the right questions to ask your agent so that you are in a better position to make informed decisions for you and your family are making. We believe that if you are properly informed on the insurance of real consumer advocate, your experience with our industry as a whole is much more satisfying for you.