For many decisions it’s nice to be able to look to our friends for recommendations and advice. Aww… isn’t it nice to have friends there to help you out? Yes, but when it comes to insurance coverage it’s better to have good insurance advice from a professional.

Here are some common insurance tips given, that are completely wrong!

Our insurance agent’s help client’s understand their insurance coverage and clear up common misconceptions about coverage all the time. Here is some good ‘ole insurance knowledge.

Avoid insurance advice that sounds like this:

1. Don’t Buy A Red Car Because The Insurance Is More Expensive.

Have you ever heard certain colored vehicles are more expensive to insure? It is not true!

There may exist a correlation between car color and insurance cost, but it is not because the color of the car caused higher premiums. If there is a correlation the relationship between a red car driver and their driving record is what should be investigated.

We discussed the factors which most influence the cost of car insurance and how you can control finding the best price on your car insurance coverage. Most factors are controllable but most take time to convince the insurance company of your safe driving and responsible habits.

Your car insurance costs can fluctuate due to many factors, but shopping your insurance no matter what color your car can save you some green!

2. “All-Risk” Insurance Coverage Means EVERYTHING Is Covered.

Upon hearing “All-Risk” insurance coverage an insured client could easily make the assumption, they are protected with coverage for any losses. The reality of “All-Risk” insurance coverage is it is a type of insurance policy that covers claims from any peril not specifically excluded in the contract. It is opposite of “named peril coverage” in which the policy states the specific covered losses.

During the insurance policy underwriting process, risks are determined to establish premiums and coverage needs and if a risk is too great to be covered under the standard premium, or even to be covered at all, it can be excluded from coverage.

Common exclusions might include:

  • Water damage caused by flooding.
  • Damage caused by earth movement.
  • War.
  • Other natural disasters.

This is not to say you can not insure your home or property against such perils, but by having an “All-Risk” insurance policy, you are not guaranteed protection against every risk exposure.

3. Your Home Only Needs Flood Insurance If You Are In A Flood Zone

25% of flood insurance claims last year were from homes not considered to be in flood zones. Flood zone is a good measurement tool of the chance flood may occur and in flood zone’s the additional insurance coverage may be required.

You shouldn’t necessarily add flood insurance if you don’t consider it necessary, but even if you are not considered to be in a flood zone doesn’t mean you won’t face floods. How do you know if your home is in a flood zone? Are insurance agents can advise you about the risks your home faces and give you proper guidance to make a good decision.

Flooding is the second most common natural disaster in the United States don’t be quick to assume it won’t happen to you.

4. You Car Insurance Will Cover Your Property Inside Your Car If It’s Stolen.

If your car is stolen, no matter if you are at fault or not, your car should be covered. Your auto insurance policy however does not extend to cover your personal property commonly found and left in cars such as, cellphones, purses, money, laptops, G.P.S. navigations, or even that flat screen T.V. you have been lugging around. Most of those items are able to be insured through your homeowners insurance policy and are still insured even if your property is not at home! A separate claim will need to be filed for the personal property and the stolen car.

Most break-in’s can be prevented by hiding your personal property and not giving any car thieves any reason to target your vehicle. The summer is the most active time for car theft, but by adopting new practices you can minimize your risk and the right coverage can protect you against the worst.

Our Insurance Agency Has Some Good Advice To Give

At Southern States Insurance nothing is more important than helping our clients succeed. Your success is important to us and our agents know you can’t succeed without good insurance and solid guidance.

Our independent insurance agents would love to take the time to get to know you and better, understand the risks you face and what our company can do to protect you and mitigate your risks. Our insurance agents get to know our customers and have the experience in the industry to give the best insurance advice possible in almost every circumstance.

Promise us this:

When you need insurance advice, you call our Georgia insurance company and together we talk it out!

Your friends may have a lot of good advice on numerous topics, but insurance is specific to each individual and the coverage you need may vary per your circumstances. Let us give you the insurance guidance you need to succeed and pair you with the best insurance coverage.