In 2017, 6 percent of homes with insurance filed a claim.
When you’re working hard to build a solid financial foundation for yourself, you want to make sure you’re protected in the case of any unforeseen events.
When it’s time for you to get insurance, whether it’s home, auto, or life insurance, it’s important to understand as much as possible about your specific policy.
Here are five questions you should ask your insurance agent to learn more.
1. What Is a Broker?
An insurance broker sells insurance to individuals or businesses and makes money off of the commissions.
Your insurance broker is there to help you assess the types of risks you face and how much insurance coverage you should have.
2. What Is My Deductible?
Your deductible is the amount of money that you pay before your insurance starts to pay. You’ll want to know how much your deductible is in case you ever need to make a claim.
It’s possible to lower your premiums by choosing a higher deductible. Be careful here, though. If you ever need to make a claim, you could regret not just paying a higher premium.
3. What Are My Premiums?
Before signing on to an insurance policy, you’ll want to know how much you’re paying per month.
Your premiums will be calculated based on a number of common factors. For auto insurance, they will look at the type of car you drive, the cost of the car, and the safety record as well as how much coverage you choose. For home insurance, they will look at a number of different factors like how much coverage you choose, the location, the neighborhood, and the condition and age of the home.
4. Are There Any Exclusions in My Insurance Policy?
It is likely that your policy won’t cover specific types of natural disasters. Flooding and earthquakes, for example, are often excluded from home insurance policies.
You should take into consideration how likely certain disasters are where you live, and talk to your insurance broker about whether or not you’ll be covered.
5. What Is the Claim Process Like?
It can be good to get a sense of what your insurance agency’s claims process is like. You should feel free to ask them how a claim is filed and how long it generally takes to get reimbursed.
It’s important to look for an agency that’s communicative during the claims process. Consider choosing an insurance company that has 24/7 customer service, such as Anderson Insurance Agency.
Your Insurance Agent Is There to Help You
Don’t be shy about asking your insurance agent questions you have about their agency and your policy. Having a policy that has enough coverage and suits your needs is absolutely essential.
Did you find this article about questions for insurance brokers helpful? If so, be sure to check out the rest of our blog for more informative content!