Reasons You Buy Car Insurance

by Administrator 11. November 2014 06:33

Car insurance is an essential purchase if you have recently purchased a car. There are a number of reasons why you should get your four-wheeler covered against any unexpected damage or theft.

Some of these reasons are:

  • Legal requirement: You must carry a valid car insurance policy to avoid being penalized for violation of the law. The consequences for such offenses may include hefty fines, confiscation of your car or losing your driving license. It is required by law to possess valid car insurance.
  • Your car is a big investment: After your home, your car is probably the biggest investment that you would have. Buying an insurance policy is a way to protect that asset of yours from any accidental damage or theft. Moreover, an insured car gives the much needed peace of mind to the owner. 
  • Personal financial protection: In case your car is damaged an accident, you might need to bear many more overheads apart from repairing costs. These may involve property damage, medical bills etc. All these can put you under a lot of financial strain. Having a car insurance policy can help you by providing coverage against these unforeseen expenditures.
  • Protection from lawsuits: You must also have a car insurance policy to protect yourself from potential lawsuits. If you cause an accident and do not have an insurance policy, you are likely to be sued by the other driver.
  • Required by lenders: Some people also need to get car insurance as it is required by their lender. If you are getting your vehicle financed, the lender might require you to have an insurance coverage. This will protect the lender from any loss in case you damage your car that has not yet been paid for.
  • Addition to health insurance: Drivers may not have a health insurance policy to cover the medical bills for the injuries that they might suffer in an accident. Most car insurance providers also provide coverage for the treatment costs borne by the injured car driver and passengers. 

If you want to buy the best and affordable car insurance policy in Killeen, TX, contact Shawn Camp Insurance Agency, Inc. We offer a wide range of insurance policies with coverage options perfectly tailored to your needs and circumstances. For more information, feel free to call us at (254) 526 – 0535.

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Beginner's Guide To Auto Insurance

by Administrator 20. October 2014 12:08

Auto insurance is a compulsory purchase when you buy a car and some auto companies do not allow their customers to take the car from their agencies without proper insurance. Buying auto insurance for the first time may be a confusing task; however with proper guidance and information, you can buy the best and the most affordable car insurance. Here is the beginner’s guide that will surely help you buy the best insurance plan.

Most of the auto insurance buyers often consider the price as the main deciding factor which is not the case. Before you pick an insurance package you need to consider various other factors than the price. Some of the common types of auto insurances are:

  • Liability insurance: Liability insurance covers the damages that are caused to others if in case you are found to be at fault. This may cover bodily injuries as well as property damages.
  • Collision insurance: This type of auto insurance covers damages to your car according to its blue book value.
  • Comprehensive Insurance: This insurance covers all damages to your vehicle that are not caused by collision. This includes vandalism, theft, natural disasters, fire, etc.
  • Personal Injury Protection: This type of auto insurance covers medical expenses in case, you are injured and sometimes, it even pays for your lost wages if you are not able to work due to your injuries.
  • Uninsured or underinsured insurance: It covers your losses if someone who is not insured hits you or is not sufficiently insured to cover the damages.

Another thing that you need to consider while buying auto insurance is the condition and the type of your vehicle. You should ensure that the auto insurance covers you as a driver. You should not rush into the decision but take your time to find the most appropriate insurance coverage. It is always beneficial to have quotes from different insurance providers so that you can compare and take the right decision. It is crucial that you include fire damage, damages caused by accidents and theft damage in the auto insurance policy as this pays for any repairs and replacements if the need arises. You should make sure that your driving record is clean as it affects your premium payments. The insurance providers may also consider the age and occupation of the car owner while offering insurance packages.

The insurance companies can offer you attractive packages to lure you into buying one; however, it is essential that you rely on your instincts and choose a plan carefully.

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Fixing an Anemic Insurance Portfolio

by Administrator 11. July 2012 11:35

Insurance is a product that is meant to provide protection to policyholders and their families over the years. A properly developed insurance portfolio provides adequate protection for the policyholder’s property and risks while also sheltering them from too much in self-insurance liabilities.

If one isn’t careful about how they design their insurance portfolio, they could end up with a placeholder plan that provides a significantly false sense of security and very little real protection. 

There are four things you can do to fix your insurance portfolio if you think it doesn’t provide sufficient protection:

  1. Increase your limits: If your limits are too low then you will not be reimbursed enough to make yourself whole after an insurable incident. Increase the limits on your insurance policies so that you have sufficient benefits.
  2. Decrease deductibles: If your deductibles are too high, then you will be self-insuring a large portion of your potential losses. Decreasing your deductibles can raise your premiums, but in exchange for a more protective insurance portfolio.
  3. Look for highly rated carriers: An insurance policy is only as good as the company that issues it. Your portfolio may be anemic for reasons you don’t expect—including that your insurance company can’t actually back their promise to pay you in the event of a claim. A.M. Best is an insurance rating agency that examines the financials of insurance companies and issues letter grade ratings to indicate how financially healthy a company is. Check out the ratings of your insurers and if you find them falling, consider changing to a more secure carrier.
  4. Add additional coverage: Insurance policies can have different options for coverage that supplement the main purpose. For example, a life insurance policy can be designed to also provide living benefits in the event that the insured is diagnosed with a terminal illness. A Texas auto insurance policy can be restricted to just the state-required coverage or it can be structured to include loss of use and comprehensive benefits to reimburse in the event of theft or vandalism. Understanding these options and including them in your policies will help beef up your protection exponentially.

If you are ready to explore the gaps in your insurance coverage and limits and give your anemic insurance portfolio a boost, give us a call at (800) 212-2641.

The Actual price of Car Insurance Fraud

by Administrator 25. May 2012 11:50

Fraudulent activities are an unfortunate reality. In the insurance industry, fraud frequently takes the form of overstated claims, the filing of several claims, filing a claim for an accident you weren’t really involved in, illegally registering cars in regions that make car insurance quotes less costly, and more.

Most people assume that when they commit these types of fraud, the only people they are hurting are the insurance executives. Of course, that fact alone is still not a good thing, but the suggestion that only those at the top get harmed by insurance fraud is wrong, because it is all consumers who must pay.

Increased Premiums

The worst fallout of auto insurance fraud is the increased premiums that it causes all insurance customers to pay. In order to cover the cost of the excessive or improper claims, the cost of investigating claims, and the changes in risk that are assumed by the claims, insurers have no choice but to spread the losses by raising the premiums for all policyholders. This means the typical customer ends up paying for the fraudulent activities of others.

Increased Paperwork

When frauds are attempted and found, or committed and later discovered, insurance companies realize that they must change their processes in order to try to prevent them from happening in the future. This means they will take great pains to have applications and claim forms that attempt to weed out potentially fraudulent activity. This increases your work, however, because all of their insurance policyholders will need to use this paperwork. It also creates an extra expense for the insurance company which is, once again, passed on to policyholders.

Increased Taxpayer Dollars

Some claims involve police and arson investigations. When the claims are fake, these investigations result in taxpayer dollars being wasted on paying the payrolls of those who must investigate them. This also ties up law enforcement officers when they could be out preventing actual crimes.

Insurance fraud is a problem that we all must consider, even if we are not guilty of committing it. We should take whatever steps are rational and safe within our own lives to make certain that those we know and love are not encouraged to commit fraud and that potential frauds are reported to the appropriate entities.

Give us a call at (800) 212-2641 to get your free, personalized Texas auto insurance quote today!

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Loss of Use—A Benefit Worth Keeping

by Administrator 29. April 2012 11:53

Loss of Use—A Benefit Worth Keeping

Often, when we think about insurance, we think about how it covers many of the damages that occur during a covered peril such as a fire or flood. But there are more consequences to the damages these incidents cause to your property than just the loss of your tangible goods and shelter, because by making your property useless, insurable incidents force you to find a substitute until your repairs are done.

Loss of use is a valuable part of a home or auto insurance policy that can keep you and your family safe and active, even after a total loss.

Auto Loss of Use

If you are in an accident and your vehicle cannot be driven until repairs are made, the world doesn’t stop spinning. You still need to get to work, bring your kids to school, run errands, and more. When you have loss of use benefits in your auto insurance policy, your insurance company will pay for a car rental to get you around while you wait for repairs to be completed. You will be permitted to rent a car that is in a similar class to your own and the rental can generally last until you are able to pick up your own car again.

Home Loss of Use

There are some insurable incidents that do not require you to evacuate from your home or apartment afterward—such as damages that are limited to just one, small area of your home and carry no health hazards through the rest of your dwelling. But sometimes it’s not safe to be home until repairs are done, such as after a fire. When this happens, a loss of use benefit in your renter’s or home insurance policy will pay for a hotel or temporary rental until it’s safe to go back to your house or apartment. Your policy will have limits, restricting the total benefit to a certain percentage of the total limit of your policy.

It’s hard to imagine just how stressful it is to lose the ability to live in your home or drive your vehicle—even if the loss is temporary. Add in the extra burden of having to foot the bill for a short-term replacement and your life has become even more difficult than it needs to be—unless you have loss of use coverage is available. If you aren’t sure whether your home, renter’s or Texas auto insurance policy has this generous benefit or you want to add it to your policy, give us a call at (800) 212-2641.

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