Purchasing Insurance: Choosing an Agent vs. Online Insurance

These days you can buy nearly anything online, even your insurance.  Although it may seem like you are saving time and money by obtaining a policy online, it may not be so convenient later.

One of the biggest advantages of working with an agent is that they have time to sit down and talk with you, in turn allowing you to establish a one on one relationship.  Just one visit with an agent can prove to be beneficial in respect to knowing what your options are and choosing the best possible coverage that fits your needs.  In addition to this, based on your answers to a few simple questions, an agent is able to find possible discounts that you may be qualified to receive.  Purchasing insurance can sometimes be stressful and an agent can alleviate some of that stress, if not most of it just by understanding and being able to relate to you.  After all, we are human and it’s comforting to know that someone has your best interest at heart.

Ben Franklin said it best, “Time is money”. Although an online agency provides you with a phone number where they can be reached, you may not be able to speak with a live person. I’m sure that we have all experienced the downfalls of 800 numbers and the “customer service” they provide.  One could spend 30 minutes or more being looped from one automated message to the next only to reach a live person who ends up transferring you somewhere else. Being able to reach your agent by phone without having to guess which automated option to choose can save you both time and aggravation.

One final advantage to working with an agent who is local is that they can work with you in regards to your coverage.  They can adjust your limits and/or deductibles without sacrificing the important coverage that you need resulting in a policy that is tailored just for you and your pocketbook.   Online agencies give you the freedom to choose the coverage you want according to what you can afford, but an agent can recommend coverage that will protect you and your family all while keeping you within your budget.

For example, the required liability coverage amounts in the state of Arizona are 15/30/10.  Sure, you may get a huge savings up front, but will you pay for it in the end?  If you cause an accident which results in bodily injury more than $15,000 or property damage more than $10,000, you are financially responsible.  Just to give you an idea, according to the National Safety Council, the average cost of injury in a car accident is $61,600 and the average price of a new vehicle is a tad over $30,000 according to Forbes.  Saving a couple of dollars by reducing coverage could cost you thousands in the long run.

With all of the decisions that you make in life, don’t let choosing the right policy overwhelm you when you have an agent right who is right around the corner.  Make an appointment today by calling us @ 480-288-5900.  We can help you protect what matters most!

 

Specialty Insurance for Your Personal Life

Are you adequately insured? (image via wikipedia)

Most of the time when people talk about specialty insurance, they are talking about insurance coverage that provides companies with specialized protection based on their industry or on specific risks they are face.  However, there is also a side of specialty insurance that is all about covering personal interests.  Many people believe that their auto, renter, or homeowner’s policy provides coverage for these specialty risks and depending on the policy, it might.  But in many cases these specialty items actually indicate a gap in coverage that leaves them open to liability claims and property loss.  To help you understand if you have any of these specialty risks, here is information on some of the most common types of specialty personal coverage.

Boat/Watercraft Insurance

If you own a boat, you may have some coverage under your existing homeowner’s or renter’s policy.  Many companies will provide limited coverage for small boats like canoes as part of their base homeowner’s protection but it would be a mistake to assume any and all watercraft related risks are covered this way.  Even if minimal property coverage is included in your homeowner’s policy, it is unlikely that liability protection will be included.  Additionally, if you have a boat with an engine that can go more than 25 mile per hour, you may need to obtain additional coverage.

Flood Insurance

While most homeowner’s know that damage caused by floods is not covered by their homeowner’s insurance policy, there are still many homes that remain unprotected against this specialized risk.  Additionally, flood damage is also excluded from most renters insurance policies which means that even renters need to secure this specialty protection, especially if they are in a flood zone.

Earthquake Insurance

Damage from earthquakes and other natural disasters is generally excluded from personal insurance coverage which means it must be purchased separately in order for you to be protected.  Most earthquake policies or riders carry a much larger deductible than other personal policies.  If you live in an area where earthquakes happen often, having this insurance is critical to protecting your financial future.  But remember, earthquakes can happen almost everywhere and in areas with low risk, the cost of adding this coverage is often minimal.

Motorcycle Insurance

Riding a motorcycle, just like driving a car, carries certain risks and responsibilities and most states require drivers to carry a certain amount of insurance.  However, your motorcycle is not always automatically covered under your existing auto policy.   A motorcycle insurance policy protects you from property loss or damage if something happens to your bike and with liability coverage in the event you are responsible for causing damage to something or someone else.   In addition to this base coverage, you may also need to add coverage for accessories or specialized equipment.

Recreational Vehicle Insurance

Like other types of specialty coverage, recreational vehicle insurance provides additional protection from risks specific to your RV.   This type of insurance goes beyond what is covered by auto policies, property damage and liability coverage, and often offers additional protection from breakdowns and travel related risks.

If you are concerned that you have a specialty risk that may not be covered by your existing policies, talk to your insurance agent.  They can walk through the details of your policies and help you determine if you need additional coverage and which type you need.

Related Articles:

• Insurance 101: Insuring Your Recreational Vehicles (canyonlandsagency.com)
• Motorcycle Insurance 101 (canyonlandsagency.com)
• The Case for Earthquake Coverage (canyonlandsagency.com)

 

Be Alert! Boating Safety Saves Lives

Be safe on the lakes this summer (image via macbiff on Flickr)

Summer is here which means the temps are high, the skies are clear, and people across the state can’t wait to take their boats out every chance they get.  We may not have as many options for boating and water sports as some other states, but our lakes and waterways have some of the highest activity levels in the country.  Unfortunately, with so many boats and watercrafts in the water, accidents happen.  Even seasoned boaters need to refresh themselves on safe operation and common sense safety precautions.   Despite having few lakes and waterways, in 2010 Arizona ranked thirteenth in the nation for both the number of boating accidents and the number of boating injuries.

Here is a picture of Arizona’s Boating accidents in 2010 based on the information provided in the 2010 Boating Safety Report.

• In 2010, there were 142 watercraft accidents on Arizona’s waterways.
• Those 142 accidents involved 197 vessels, causing 89 injuries and 6 fatalities.
• The 142 accidents resulted in almost $500,000 in damages.
• The most common causes of boating accidents were operator inattention, operator inexperience, and passenger/behavior.
• 34% of all accidents in 2010 involved colliding with other vessels.
• Open motor boats and personal watercraft like jet skis were the type of vessel most commonly involved in an accident, accounting for 43% and 40% of all vessels respectively.
• Watercraft spanning 9’ to 11’ in length accounted for the highest number of vessels (37%) involved in accidents.
• The majority of accidents (42%) happen between noon and 4PM on clear, calm days.
• The most dangerous days are Saturday which saw 35% of all accidents and Sunday, which saw 27%.
• The most dangerous month for boating was May which saw 22% of the accidents for the entire year.  July was a close second with 19% and third by June with 18%.
• Most accidents, nearly 76%, involved operators from either Arizona or California.
• The Middle Colorado River span, which goes from David Dam to 1-40 was the most accident prone waterway in the state.  There were 29 accidents on this span which accounted for 20% of the annual total.
• The most dangerous waterways, those resulting in the highest ratio of casualties per accident were the Verde River with an average 3 casualties per accident, Parker Canyon Lake and Lake Mary which both averaged two casualties per accident, and Bartlett Lake and the Upper span of the Colorado River which both average 1 casualty per accident.
• The most deadly waterways were Verde River which only had one accident but that resulted in three deaths and Parker Canton Lake which also only had one accident but that resulted in 2 fatalities.
• Since 1998, the numbers show that almost half of all fatal boating accidents in Arizona involve alcohol.
• In 2010, law enforcement officials arrested almost 300 people for operating a watercraft under the influence.

Making Our Waterways Safer

Education is the best way to decrease the number of accidents and save lives on our lakes and rivers.  Although boater safety training is not mandatory in Arizona, it is provided by the state.  There is an 8 hour core boating safety class offered at several locations.  Additionally, in an effort to reverse the growing trend of paddle craft related fatalities, Arizona is one of the first states to create and provide a boating safety course specifically designed around safe operation of paddle craft.  You can find a schedule of the classes being offered here.

With the July 4^th holiday and summer vacations upon us, the lakes and rivers will be full of those celebrating the holiday.  If you or someone you love will be boating, please take all precautions to follow the rules of the waterways, don’t operate a boat if you’ve consumed alcohol, and ensure everyone onboard has a lifejacket accessible to them.

Related Articles:

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Insurance 101: Insuring Recreational Vehicles

Is your vacation insured properly? Read more to learn about RV Insurance (image via _escalade328s_ on Flickr)

The summer season is fast approaching and if you are planning to head out on the open road for a family RV adventure, make sure you take a couple minutes to ensure you have the insurance coverage you need before you leave.  Many people share the common misconception that adding their RV to their auto policy provides them with adequate protection during their trip.  While your auto policy may offer some of the coverage you need, it won’t protect you completely which is why it makes more sense to invest in an RV insurance policy.  Buying a separate policy ensures you have all the coverage you need to keep your trip on track and protect yourself while you are on the road.

What is the Difference between Auto Insurance and RV Insurance?

The primary differences between auto coverage and RV coverage result from the primary differences between your car and your RV.  An RV is more than just an RV; it is a house on wheels.  This means you need more coverage than you have on your car in order to cover potential losses that you are open to with an RV that you wouldn’t be with a car.

You keep significantly more property in your RV than you do in your car, some of which can be valuable like laptops, televisions, and other equipment.  When your house on wheels is parked at a campsite, the area around it can be considered your “yard” which makes you liable for things that happen there.  There isn’t really a situation where your car could be thought to have its own yard.  If your RV is damaged while you are on the road, you will need somewhere else to stay just like you would if your house was damaged.

If you are traveling with only your auto policy, the loss of your property, your liability for the campsite, and the expenses related to staying somewhere other than the RV won’t likely be covered which means you will be paying out of pocket.  That might break your vacation budget and force you to cut your trip short.

Common RV Coverage’s

There are several different types of RV coverage available from most insurers, although they may call the coverage by a different name.  Here are the most common coverage types:

• Bodily Injury – Covers you if there is an accident where you are liable for someone else’s injuries including medical bills, lost wages, and other legal obligations relating to the injury.
• Uninsured/Underinsured Motorist—Covers the cost of repairs when you are involved in an accident and the driver at fault doesn’t have insurance or doesn’t have enough insurance to cover your losses.
• Property Damage— Covers the repair or replacement of damage done by you or your RV to other people’s property
• Comprehensive – Covers damage or losses to your RV and/or personal property from all covered threats except collision.  This includes things like theft, vandalism, and weather.
• Collision – Covers the cost of repair or replacement of the RV and all components if it is damaged in a collision.
• Vacation Liability— Covers your liability for bodily injury and property damage while on a vacation site or camp site.
• Towing & Labor—Covers the cost of towing by a tow truck capable of handling the RV.
• Roadside Assistance—Covers the cost of roadside assistance when you break down or run out of gas.
• Emergency Expense – Covers your costs to live outside the RV in the event it is damaged and needs to be repaired.  Generally includes lodging, meals, and travel.
• Personal Effects Replacement Cost – Covers the expanded personal property you are likely to have in the RV against loss or damage.
• Full Timer’s Package – Provides a package of coverage’s that usually includes liability, coverage specific to when the RV is parked and being used as a residence.

Purchasing RV insurance protects you no matter what comes your way and gives you the peace of mind to sit back, relax, and enjoy your vacation.

Related Articles:

• RV FAQ’s and Tips (changingears.com)
• RV Insurance (progressive.com)
• The Advantages of RV Insurance (insureme.com)