Insurance 101 – FAQs

Insurance 101 – Frequently Asked Questions 

 

At Schirmer Insurance, we realize that most people outside of the industry aren’t very familiar with the ins and outs of insurance. Trying to find the right insurance can often be overwhelming and confusing; an information overload. Not to mention you put a great deal of trust in your agent! So, we put together a list of questions that our staff answers regularly to help you feel a little less in the dark: 

  

1. Which of my items/assets do I need to insure?

All of them! It is important to have insurance on anything you own in the event it is damaged, stolen, or lost. Insurance protects you from unforeseen events, such as natural disasters or theft, to prevent you from having to pay out of pocket for replacement costs.  

2. When should I obtain insurance? 

You should make sure you have insurance coverage as soon as a new asset/item is acquired, if not before. A lapse in coverage could cause higher premiums or even disqualification for future coverage. 

3. What sort of insurance policies are available? 

You can obtain insurance on just about anything. Types of insurance include home, car, boat/watercraft, renter’s, umbrella policies, inland marine (specific goods), flood, wind, hail, pet, life, liability, identity theft, and business, to name a few.  

4. What does homeowner’s insurance cover or not cover? 

Insurance on your home or condo includes property coverage and liability coverage. The property coverage includes the structure itself (dwelling), other structures such as a detached garage or shed, loss of use in the event you cannot reside in the home due to damage, and possessions inside the home.  

Liability coverage protects you from accidental injuries to others on your property including medical payments and incurred legal fees. Generally, homeowner’s insurance does NOT cover flood, earthquake, or normal wear and tear. Your policy will clarify what is all is excluded in more detail. 

5. What does car insurance cover? 

Car insurance protects you from the aftermath of a car accident. This coverage includes bodily injury incurred to a third party, property damage to another person’s vehicle or property, medical payments, uninsured motorists, and damage to your own car including transportation reimbursement. 

6. What does “umbrella coverage” mean? 

Umbrella policies provide additional insurance coverage above and beyond your existing policies. Often this applies to legal and/or court costs and is extremely helpful in the event you are sued by a third party.  

7. How can I have my insurance policy discounted? 

Different insurance companies provide various incentives to lower the premium on your policy. These incentives can include bundling your coverages, having continuous coverage with no gaps in your policies, paying the premium in full at inception date, level of education, a clean driving record, obtaining a quote in advance, etc.  

8. How will I know the type and extent of coverage I need? 

Our licensed agents will ask you questions to determine the specific type and amount of coverage you need for your assets. Everyone is different, therefore every insurance policy is different. It’s important that your coverage is tailored to your needs as well as your budget. Be sure and take time to consult with your agent on what coverage option is best for you.  

 

Call Schirmer Insurance Group today to consult with a member of our licensed staff on finding the right coverage that fits your needs! Learn more about our products here.