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Frequently
Asked Questions
How
Much Auto Insurance Do I Need?
Auto
insurance includes several types of coverage in one policy. Typically, your policy will include some combination of comprehensive,
collision, medical, liability and uninsured motorist coverage. Your specific needs depend on your situation.
Liability pays for the damage you cause to others if your car is involved in an accident. It also
protects you from being wiped out financially if you are sued following an accident. The greater your assets, the more you
stand to lose. If you have substantial financial resources, you may need liability coverage that exceeds the coverage that
you'll get from an auto insurance policy. In that case, a Personal Umbrella can provide the extra liability
protection you need.
Collision
covers damage to your car from an accident. Our agency can help you decide whether or not to carry collision coverage
by balancing the cost of collision insurance with the value of your car. It might not be worth paying $200 a year for collision
insurance if your car is worth $1,000. But if your car is worth $10,000, you probably want this coverage.
Comprehensive coverage
pays for your car if it is stolen, vandalized or damaged in some way other than in an auto collision.
Medical coverage provides for
medical expenses to you and your passengers that are the result of an accident. The way you use your car may make a difference
in the amount of medical coverage you need. For example, we might suggest more coverage for a parent who regularly takes a
carload of kids to school than for a driver who expects to drive mostly alone.
How Much Home Owner's Insurance Do I
Need?
The cost to rebuild your home is its replacement value. This
can be very different from the estimated market value or actual purchase price. In most cases, it costs more to rebuild the
home you own than to buy a new one. We'll work with you to estimate the replacement cost for your
home and to adjust your policy limits as needed. It is critical that you provide us with accurate, updated
information about your home and contents, especially when you make additions or improvements.
How Will I Know If I Am Underinsured?
Here are some steps you can take to reduce the
danger of being seriously underinsured:
If
you have questions or concerns about the limits in your policy, ask us to show you how those amounts were calculated. This
will also give you an opportunity to make us aware of any overlooked information.
Read your policy. Certain property, such as jewelry, and certain perils,
such as earthquake or flood, is better insured separately. Knowing what is covered and for how much will help you insure properly.
If there is anything in your policy you don't understand, contact us at 619.563.0130 and ask for an explanation.
At each annual renewal of your policy, you receive
a new Policy Declarations page showing limits of coverage and optional coverages. Review this information. If you do any significant
remodeling or add a family room, extra bedroom or bathroom, etc., tell us about these changes so your coverage limits can
be adjusted to cover the improvement.
Consider
carefully whether your policy provides all the protection you need. Does it provide coverage for extra costs resulting
from building code changes? Does it automatically increase coverage limits annually to keep pace with inflation? Does it provide
additional funds if the cost of rebuilding your home exceeds the policy limits?
Does your policy include replacement cost coverage for contents (clothing, furniture, appliances,
and other personal property inside your home)? If not, you can add it by endorsement. The cost is small, the protection valuable.
Replacement Cost Coverage pays for losses to your possessions at the cost of brand new items. Without this option, a covered
loss to your personal possessions would be depreciated by their age and condition, reducing the size of your claim settlement.
If you have an art collection, antique furniture, jewelry,
or other valuable possessions, talk to us about supplemental coverages to adequately protect your investment in these
items. The cost is modest for the extra protection.
Consider
whether you should have more coverage for personal property (contents) than your policy provides. Personal property coverage
is usually 70% of the coverage limit for the structure. Your limit may be lower than 70%. Supplemental protection is available
for a small additional premium.
Prepare an inventory of
personal property items, update it periodically, and keep it in a safe place outside your home, such as a safe deposit box
at your bank. It will save you hours of time trying to list everything damaged or destroyed if you need to make a claim. It
will also help ensure you don't forget some items. We can advise you on ways to simplify the job of preparing a personal
property inventory such as videotaping each room with descriptive information on the sound track.
What Are My Liability Risks?
Besides making sure you have enough protection to cover possible damage to your own home and contents, you should also evaluate
your exposure to liability risks. These result from damage to the property of another, or injury to a person, not a member
of your household, for which you can be responsible. The bottom line is that if you have any appreciable assets, you are exposed
to the risk of being sued. Even if you ultimately prevail in court, your legal fees and the months or years of worry and uncertainty
can be a terrible burden on you and your family.
Please feel free to contact us:
Ph: 619.563.0130
Fx: 619.563.8848
License #: 0726701
Info@websteragency.com
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