Insurance Mistakes That Could
Fear is an important motivator when
it comes to buying insurance. We all
worry about what could happen to
assets like cars or homes, so we buy
insurance to help us maintain financial
stability if something bad should
When we pay annual premiums
over and over again, we expect our
insurance policies to perform for us
when we need them. Unfortunately,
the outcome isn’t always what we
anticipated and usually it isn’t because
something is inherently wrong with
the policy, but rather, it results from
Here are a few of the most common
Purchasing Inexpensive Insurance.
Insurance products often follow the
trusted saying of “you get what you
pay for.” Saving money by purchasing
the cheapest policy you can find may
not necessarily be your best option.
Initially, those low premiums seem like
savings; but if a loss isn’t paid because
a peril isn’t covered or a loss exceeds
your policy limits, then those expenses
come out of your pocket instead. We
will always recommend options that
we perceive to be your “best insurance
value.” We define your “best insurance
value” as the policy with an affordable
premium that includes quality coverage
that is provided by a trusted and
financially strong insurance company.
Paying Too Much Premium.
may be able to reduce your premiums
by eliminating coverage you don’t
need or increasing your deductible.
Submitting claims because you have a
low deductible can cost you a claims-
free premium discount or cause your
insurance company to drop you, so
consider increasing your deductible
and receive a significant premium
discount. Also, make sure you’ve talked
to us about applying for any premium
saving discounts you may be eligible
Not Paying Premiums On Time.
Failing to pay your premiums on time,
or not at all, can cause your coverage
to cancel during the policy term or
upon the expiration date of the policy.
From our perspective, it really doesn’t
get any worse than that! To avoid any
disruption of coverage, please pay your
premiumwhen you receive the first
premium notice or set up automatic
payments through your bank or insurer.
Personal Insurance News
Condominium Unit Owners
They’re one and the same. Keeping clients
certain and safe since 1989. Let us show you
peace of mind.
George C. Schmelzle, CPCU, ARM, AAI
IRMS President / Risk Manager
- Business Insurance Division
Not Reviewing Policies.
assumptions about what is covered can
burn you. All policies have limitations,
so never assume all situations and
all possessions are covered. Please
review your policies and endorsements
carefully when they come in and let us
know immediately if something doesn’t
look right. When in doubt, ask us just
to be sure!
Not Reporting Changes.
inform us about changes that could
affect your insurance needs in a timely
manner could lead to a disastrous
situation. If you make improvements
to your home, buy a new car, or
experience any other “change” that may
affect your insurance program, let us
know as quickly as possible so we can
add coverage to your policy before the
coverage becomes necessary.