Home and Auto Insurance Advice: Interview w/ an Agent


my name is Ryan scullen and I’m the owner
of spelling and Sharon and worlds in Ohio I’m an independent agent as an
independent agent I have multiple companies so I don’t just have one
carrier that I can compare your insurance with by having multiple
companies we’re going to be able to find the best fit for you and your situation the biggest difference between a captive
agent and independent agent is most captive agent just represent one company
where independent agent like myself represents multiple companies now I’m a
little biased I have been both I’ve been a captive agent NAM independent to me as
an independent it just allows me to better take care of my customers when I
was a captive I had one company so of a customer recall complaining about their
rates where they had a concern with the company I had no other options I can
only quote them with the same company they’re already with now that I have
multiple companies the same situation happens I can we quote them with
multiple companies and find a better better option for them I think there’s a lot of value and have
a local agent whether it be a captive agent or independent agent um the
biggest thing is the relationship you know for me personally I get very
annoyed and frustrated when I call any call center for anything and I have to
tell the same story to you know two or three times during one phone
conversation so having a local agent you know they should know quite a bit about
you about your situation and make recommendations based on that and
they’re gonna know the area you’re living in so you know if you’re calling
a call center in a different state they’re not going to be familiar with
the specific things that are going on in your area if someone injured at your home the
first coverage it will will kick in will be your guests medical payments coverage
usually the limits for those are pretty low on a home insurance policies you may
have somewhere between 1,000 and 10,000 dollars for medical payments and that’s
designed to pay if somebody is hurt at your residence regardless at fault
pretty much no questions asked the insurance company is gonna pay them you
know a thousand or ten thousand interview limits are and hope that
prevents that person from suing you if they decide to sue you for more or their
injuries are much more than that then you have your personal liability
protection most common for personal liability that we see is probably a
limit of around three hundred thousand or maybe five hundred thousand which is
a good amount of coverage but if you’re looking for more you can definitely look
at adding an umbrella policy which would be a million dollars and coverage on top
of that and would cover you for both your home and auto insurance the
umbrella policies are relatively inexpensive but just for you and a
spouse maybe two to three hundred dollars per year obviously if you have
young drivers that could affect that premium as well that’s a great question this the
question we get a lot customers are wondering why the replacement cost is so
much higher than the purchase price or what they feel the value for their
houses the replacement cost in the value of your house are two totally different
things and the numbers can be you know significantly apart the replacement cost
what the company is looking at is they want to make sure that they are able to
rebuild your home as a brand-new house without depreciating your home the
actual cash value or the value of your home is looking more like what the sale
price would be the value of your home then sometimes be based on other factors
besides just what it would cost to rebuild your home so to give you an
example you could have the same home I’m talking about the area I live in the
Cleveland area the same home in Cleveland the value might be different
than the same home would be in a suburb near Cleveland like Berea or
Strongsville um however the replacement cost for a home between Cleveland Berea
and strong so it’s probably gonna be relatively the same because the cost of
building materials in that ear area is gonna be pretty much the same so again
with replacement cost you’re looking at what it would cost to actually rebuild
your house but the actual cash value you’re looking at may be what the house
would sell for on the flip side of that though when you’re looking at the
replacement cost they’re not including the land the insurance company expects
the land is still gonna be there so yes they are going to rebuild your house but
the land for the most part should still be there as far as uninsured motorists there
should be coverage on your policy for that unless you specifically told your
agent to remove uninsured motorist and underinsured motorist coverage there
should be a limit on your policy for those coverages it’s very common for
those limits to be the same as your liability limits so if you have
liability limits in the amount of $250,000 per person and $500,000 per
accident it’s very likely that that could be the same limits for your
uninsured motorist and underinsured motorist coverage unless you asked your
agent to reduce those coverages so they should be there on your policy for you
to protect you in that situation obviously when you add a young driver to
your paw see your premiums are going to increase
and that increase could be shocking if you used to just paying for insurance by
yourself or paying for insurance for yourself and your spouse adding a driver
we’re going to significantly increase that premium adding a young driver the
good news is there are some ways to lower that premium probably the most
common one the one most people are aware of is the good student discount if your
student has a 3.0 grade point average or higher or B average they’re likely going
to qualify for the good student discount I sell for multiple companies every
company that sell for has that same criteria a 3.0 grade point average or
higher but if they do definitely reach out to your agent and see if that
discount is available for you another common discount is the student
away at school discount this is gonna be for a college student so if you have a
students away at school and that school is a hundred miles or more away from
your home there’s a chance that may qualify for the discount now the
criteria here is they can have a vehicle with them at school insurance company is
the reason why they give this discount they assume that if your student does
not have regular access to a car they’re gonna be less likely to have an accident
so if they have no car at school they’ll probably qualify for
um a lesser-known discount is the driver training discount so in Ohio and
probably most states it’s required for a driver under the age of 18 to go through
driver’s ed some not all some companies do offer a discount for drivers training
so if your car if your student went through drivers training reach out to
your agent and steal that’s a discount available to you for the most part i always recommend
adding the rental car reimbursement for car insurance a lot of times it cost
thirty maybe forty dollars for the whole year so you talking maybe three four
hours a month if that’s the case for your policy and it’s thirty dollars for
the year I would definitely recommend adding it because you could be without
your car for two or three weeks at a time and to pay for a rental car for
that longer period of time can be very expensive so depending on your policy if
you’re only paying $30 per year or forty dollars per year for rental car
reimbursement I would definitely recommend adding that to your policy now
I have seen situations where the cost for rent a car reimbursement would be
based on your driving record so your overall insurance policies be based on
your driving record I’ve seen situations where the rental car coverage in
particular has increased because the customer’s driving record is poor in
that case if you’re paying maybe $200 a year for rental car reimbursement you
may want to reconsider but if you’re only paying thirty forty dollars I would
definitely recommend adding it so a question I get a lot from my
customers when they go to rent a car is should I add the insurance that the
rental car company is offering me it’s a tough question and it’s it’s a lot of
time it’s gonna be a case-by-case situation so your car insurance will
cover that rental car exactly the same way as would cover your car so if you
have a if you have full coverage with $500 deductibles for collision a
comprehensive that coverage will extend to the rental car one thing to think
about though is do you really want to pay five hundred five hundred dollar
deductible to fix somebody else’s car so that may be one reason to pick up the
rental car insurance another one is rental car companies can
charge you what’s called loss of use so if you damage their car where they can’t
rent that car out for let’s say a week or two weeks they can and probably will
charge you the fair rental value for that car most insurance policies will
not cover the loss of use but for that reason you may want to consider adding
the rental car coverage now on the other side the renter car insurance can be
very expensive is it worth paying $30 a day just to
cover that loss of use or maybe do not have to pay your own deductible that’s a
question you have to answer yourself but those are some of the things you can
consider when deciding whether or not to add the rental car coverage for
insurance

Paul Whisler

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