The Insurance Informant

As we are in the final week of 2021, our team at The Insurance Informant, LLC has taken some time to reflect on our second year. It’s hard to believe that two years have gone by since our website and social media platforms officially launched. Throughout that time, there were plenty of ups and downs, early and late nights, and shifts in our plans. But through it all, we could not be more proud of everything that has been accomplished.

Homeowners insurance is essential for individuals getting a mortgage to help pay for your home since one of the conditions to that mortgage will be homeowners insurance. So, the question truly is, how much homeowners insurance do I need? After all, your home is likely your largest investment and you want to ensure you keep it safe?

Sometimes, traditional insurance may not the most appropriate way to manage risk. When that is the case, a healthy alternative is parametric insurance. Parametric insurance will pay the policyholder based on certain measurements/indices whereas traditional insurance compensates the policyholder if a covered loss (as defined in the contract) occurs. To illustrate this contrast, in a certain parametric policy covering property, a different amount could be paid for each level of a severity index for the hurricane in addition to other criteria being met such as relative location to the storm.

Imagine your car suddenly is involved in an accident. While filing a claim, you may think that the insurance company will take care of all the damage. However, what if the insurer stops insuring you for this accident? Is this happening? They may have discovered that your current situation does not match with the policy conditions set by them. Therefore, your claim is denied, and your auto insurance is invalidated. Understanding the factors that contribute to this invalidation is important to help ensure that you will not be marked by the insurer as a fraud or liar.

A common misconception amongst young people is that they do not need life insurance. This might be because they do not anticipate needing it any time soon, or they have other payments such as car payments or mortgages that take precedence over other expenses in their lives. Like most insurance, it could be beneficial to purchase life insurance before you have an inherent need for it. Here’s why you should start thinking about life insurance sooner rather than later.

Dogs have been companions to humans for many millennia. Although dogs hold a special place in our hearts and are often considered a member of our family, dogs are legally classified as the owner’s property. Because of this, we become legally responsible for   the actions of our dogs. For example, if your dog injures someone on your property, or causes any damage to the property itself, you may be required to pay medical bills or expenses as a result of civil suits. Therefore, it is important to notify your insurance company of the presence of your dog. Some breeds, when added to your homeowners insurance, could cause the premium to increase - especially if the dog is of an aggressive breed.

It is a common belief that the color of your automobile has a direct impact on the cost of your auto insurance. People usually think of that bright, flashy red car zooming down the road as undoubtedly having higher insurance rates than the relaxing white car strolling beside it. But is this truly the case? How is your premium actually determined, and is the color of your vehicle truly a factor in a company’s final premium calculations?

A wedding day is often one of the most memorable moments of life. With all of pressure to plan and execute the perfect day, it may become almost as stressful as it is exciting. In addition to relieving some stress, wedding insurance can be very practical. For many couples, weddings are significant investments with several risks that are out of your control. Luckily, purchasing wedding insurance can make you eligible for reimbursements for incidents that result in cancellations or postponements, in addition to covering specific damages that occur during the big day.

Finding the right auto insurance for a college student or a young driver can be a daunting task due to traditionally high rates. Did you know that drivers 15 to 20 years old are involved in 20 percent of all crashes? [2] This is one of the reasons why most auto insurance rates for young drivers are extremely expensive. On average, a six-month auto insurance policy for a college aged student with no prior accidents is $1,725[1]. In addition to price, there are many factors that have to be considered when picking the right auto insurance policy for young drivers.

If you have people who count on you for any kind of financial support, then you more than likely would benefit from purchasing life insurance. Oftentimes, people tend to drag their feet over applying for life insurance due to multiple reasons. One common concern is the general anxiety associated with the medical exam. This anxiety could be because people simply don’t understand what the exam is and how it is carried out, or because they know that they are not in the ideal physical health and worried that will cause their premiums to be extremely high. General nervousness over what the exam is shouldn’t be enough to deter you from applying for life insurance. Throughout this article, you will learn all about what the exam is, the process of the exam, and tips to better prepare for the exam in hopes that you get the lowest rates possible for your overall health.