|
|
|
Frequently asked
questions |
Since 1956 Comstock
Insurance Agency has served
the people of
Connecticut & Rhode
Island
|
| |
Why do I need to buy insurance?
What factors affect the insurance premiums?
Auto Insurance
Homeowners Insurance
Renter's Insurance
Business Insurance |
|
| |
|
|
|
|
| |
Why do I need to buy insurance?
-
Protects your
assets against attachment as a result of a court award.
-
Provides for
cost of defense when you are sued.
-
Allows you to
purchase such high value items as a car or a home by insuring the
collateral on behalf of the financial institution that lent you the
money.
-
Provides
financial security for your family in the event of your death.
-
Provides for
the health care of you and your family through systematic payments.
-
Allows you to
save for retirement while deferring interest payments to a time when
your income is lower, thus reducing your tax payments.
-
Allows you to
remain financially solvent when you're ill and can't work.
|
| |
What factors affect the insurance premiums I pay?
-
Claims activity
including such costs as medical care, auto body repair,
construction, legal defense, jury awards, claims adjustment, and
insurance fraud.
-
Overhead
including rent, utilities, employee salaries and benefits, office
supplies, equipment, and furniture.
-
Credit.
AUTO INSURANCE
How does where I live affect my premium?
Where you keep your car directly affects your chances of having an
accident or becoming a victim of theft or vandalism. The likelihood of
encountering these problems increases in larger, more densely
populated cities, while such incidents remain relatively low in rural
areas.
Additionally, the time and efficiency of police response and law
enforcement, local road and traffic conditions, and the quality of
local medical services can affect regional insurance rates. Some
insurers even factor in the litigation rates in a given area (how many
lawsuits are filed, go to trial, out of court settlements, and their
amounts).
|
| |
What happens when I loan my car to someone? Is that person covered by
my policy? Am I still covered?
Yes. Liability and coverage for Physical Damage (i.e. Comprehensive
and Collision) always follow your car. Plus, if the driver of your car
is insured, his/her policy will also be available to cover the cost of
damages and injuries.
The same rules apply when you borrow someone else's vehicle; your own
insurance follows you no matter whose car you're driving. But the
vehicle owner's policy is the key coverage in the event of an
accident.
|
| |
HOME OWNERS INSURANCE
Who decides on the type of insurance, the mortgage company or me?
You do. The mortgage company collects a set amount from you each month
in order to protect their investment. This money is put in escrow and
covers your insurance and taxes. However, the policy is still yours
and you might select the insurance you feel offers the best coverage
at the best rates.
What exactly does a Homeowners policy cover?
“Exact” coverage is impossible to define because there are different
policies and about 900 insurance companies writing Property/Casualty
business in the United States. However, 80% of Homeowners policies are
based on a standard form. All Homeowners policies cover two important
areas: Property and Liability.
Property insurance covers your structures and possessions. Personal
Liability, as its name implies, means you're legally obligated to pay
money to another person for actions caused by you, your family, or
your property. That liability extends to medical payments to others
for injuries caused by you or your family.
Are floods, earthquakes, and other natural disasters covered?
Most catastrophes are covered. Flood and earthquake damage, however,
are not covered by a standard policy and both perils are more
common than many people realize. We can advise you on such normally
excluded conditions as floods and earthquakes.
|
|
RENTER’s INSURANCE
How expensive is renters insurance?
Renters insurance is typically available for as little as $100 a year.
Does my landlord's insurance protect me?
Generally, no. The property owner's insurance covers the building
itself and seldom a tenant's possessions or liability. Clarify this
with your landlord before signing a lease.
|
|
BUSINESS INSURANCE
I'm just getting my business started. Do I need insurance immediately?
Yes. Your chance of suffering a loss begins with the first day of
business. If you suffer a loss and have no insurance or have improper
or insufficient coverage, your insurance agent can do little, if
anything, to help you.
Also, many states and local jurisdictions require businesses to have
insurance to begin operating. And if you rent space for your business,
your landlord probably requires you to obtain adequate insurance.
I
don't have any major business assets. Why do I need insurance?
Every business has some property. When you think about it, your
business is your property. Just like your home and your car, your
business needs to be protected from loss, damage, and liability. In
addition, your business is your source of income, so you need
protection from the potential loss of that income.
Does insurance coverage vary for different businesses?
It can. Many small businesses opt for package policies that cover the
major Property and Liability exposures as well as for a loss of
income. A common package policy used by many small businesses is
called the Business Owners Policy (BOP).
Generally, BOPs provide more complete coverage at a lower price than
separate policies for each type of insurance needed. We can help you
decide which policy or policies are right for your business. You can
also purchase additional coverage for perils or conditions otherwise
excluded (e.g., flood protection) as endorsements to a standard policy
or as a separate, second policy called a Difference in Conditions (DIC)
policy.
We can advise you of the best policy (or policies) to protect you and
your business.
|
|