Frequently Asked Questions
10 Most Common Insurance Questions
Do credit scores affect premiums ?
Yes they do. According to regulatory associations, there is a direct correlation between credit scores and individuals getting into accidents, and cancellation policies due to non-payment. Therefore, premiums are higher for lower credit scores.
Every time I rent a car, I’m asked if I would like to purchase rental car insurance. Is this something I need or does my existing insurance cover the rental ?
All insurance carriers cover rental cars differently. Some may give a small amount of coverage and some do not. Don’t assume the car is covered; give us a call to find out for sure.
If my garage burns down and my car is in the garage, is my car covered under my homeowners insurance or car insurance ?
Your homeowners insurance does not cover the loss of your car, even though it was, “in your house.” You typically must have a form of comprehensive physical damage coverage on your automobile insurance policy for it to be covered.
I've inherited valuable jewelry, if my home is broken into and it is stolen, will the jewelry be covered ?
Basic homeowners policies have limited coverage for jewelry. Depending on the value of the jewelry, you may want to purchase a Personal Articles floater, which provides additional coverage for jewelry higher in value. Contact your InsureLine Insurance Broker to see how much is covered under your basic policy.
What factors should I consider to determine if I am getting good value for my homeowners insurance premium ?
It is a fact that most homes are underinsured. Ask us anytime about what is covered under your policy as well as optional coverages, like flood, earthquake, fire, etc. Then choose a deductible that’s right for you. The higher the deductible, the lower your premium. A high deductible is fine, but make sure you have the money for out-of-pocket expenses if something should happen.
What is NOT Covered on my Homeowner Insurance Policy ?
Every homeowners policy is unique, but in many cases, you need extended insurance to cover things like by-laws, Earthquake, Flood, and Intentional Acts. These optional coverages do not come standard on most policies. Also, standard wear and tear is not covered and typically isn’t coverable.
How is condo insurance different from homeowner insurance ?
When you purchase a condominium, you are not purchasing the building; you are purchasing a unit inside the building. You are also most likely a part of a condo corporation that fixes external structural damages. Homeowners insurance covers the structure as well as the contents inside the home.
What is the difference between general and professional liability insurance for my business ?
General liability protects you against claims for bodily injury and property damage, such as someone tripping over a cord in the office and falling. Professional liability is insurance that protects you and your staff against negligence claims relating to your delivery of professional services; for example, offering what someone perceived as bad advice.
What basic insurance do I need for my small business ?
You may need one or more of the following, depending on the type of business:
- Property Insurance
- Liability Insurance
- Business Vehicle Insurance
- Workers Compensation Insurance
- Errors and Omissions Insurance (E&O)/Professional Liability Insurance
- Employment Practices Liability Insurance (EPLI)
- Directors and Officers Liability Insurance (D&O)
- Business Identity Theft Insurance
I own a home-based business, do I need insurance ?
An extremely small business, such as a business operated by one or two people out of a home, may not need workers compensation insurance, but it often needs more property and liability insurance than is provided in a typical homeowners policy.