1) Have all drivers listed.

Check your policy carefully on each renewal to make sure that all licensed operators of your vehicle are listed and shown on the policy.

For example – The vehicle and insurance is shown in the husbands name yet no where on the policy is the wife’s name even mentioned though she has driven for 25 years accident free. What if another car was bought for her and she has no previous insurance experience to confirm? Under age drivers(25 yrs old) might be another
area of concern. People might believe they are saving money by not showing them as operators? What happens when they do get their own vehicle and can not provide accident free insurance experience – high rates or no coverage available.

2) NSF Payment Cancellations.

Be responsible on payments for your auto insurance. Cancellations for non payment, non sufficient fund cancellations can be very negative and costly to you. It may even limit what insurance company you can place your insurance with.

3) Depreciation – what may happen on a claim?

Being prepared and knowledgeable can make a big difference with the results of an auto claim.

For example- If your car tires are stolen and you report a loss under your comprehensive coverage your tires would not be replaced at full value. Such factors as age, condition, usage, wear and tear come into play. To protect yourself keep the original bill of sale and have written on it the actual mileage of the vehicle at the time of installation by the tire installer.

4) What can I do to keep the cost of insurance down?

Contact your broker and discuss how your use of the vehicle(s) at present is rated and how your insurance company classes are determined. A potential problem could arise at the time of loss if your use is not properly classified. Also, you could be paying extra money by being improperly rated.

5) What happens if I withhold information?

Figures released by the Insurance Advisory Organization (IAO) suggest that a significant percentage of both personal and commercial policyholders are not disclosing past claims to their insurers when arranging insurance. Whether the non-disclosure occurring is due to genuine errors, insufficient information being requested, or deliberately omitted, the real problem is that your insurance company may deny your claim because you did not disclose important information.