The Process of Buying of Insurance and Why it’s Important
Insurance is not a commodity, it's a contract.
What if a real estate agent said he could sell you a house in five minutes or if you met a financial advisor that said he could invest your money in ten minutes, would you be comfortable enough to do business with them? The same is applicable to purchasing insurance. Your insurance agent is to assist you in getting the right coverage for your insurance needs and that takes careful planning, asking the right questions and picturing all the potential scenarios that could become insurance headaches down the line.
Not having the proper insurance coverage on the car you drive daily can have significant impacts on your finances and future. Picture not having the right insurance policy and being caught up in an accident you caused. It could lead to multiple issues and depending on the severity of the impact, it could be a path to financial problems. Having the proper coverage is what saves you from third party invasions that could be unwanted burdens to deal with.
Think of insurance in 3 buckets.
Damage you do to othersDamage done to you by othersDamage to your personal property
Damage you do to others for example is liability insurance. It’s when you damage someone in a car accident and they sue you. This is when the details of your coverage matters. While all policies might look the same, the language is typically different per policy and that’s what mostly holds weight legally.
The language in your insurance policy is what dictates what is going to be done and that’s why it’s extremely important to have an Insurance agent who carefully plans to provide you with the right coverage. Our insurance policies are contracts and while many don’t read them line for line, it’s important to know that every sentence in that contract matters.
Insurance is not a commodity! It’s a contract that helps you protect your assets and that’s why we as independent agents have the liberty and opportunity to find the best carrier for your insurance needs. Working with many carriers gives us the flexibility to search for the best options of optimal coverage for our clients. Other non-independent or captive agents are restricted to providing insurance coverage only from their parent company or affiliates and that limits them from using other carriers that might provide better coverage.
In conclusion, remember to have your agent review your policy for all possible scenarios and explain how your coverage works to make sure you have the right coverage for your family, your properties and your business. Understanding your plan before any unforeseen circumstances happen goes a long way when something does happen.
We always take the time to ask our clients the right questions and go over recommended plans with them. They appreciate this and the feedback we get is overwhelming. If you know of other ways how people have been affected with the wrong or right coverage feel free to share with us, we like to hear of different ways insurance coverages have affected business and families.