July 4, 2020
Q: When purchasing automobile insurance what should I consider?
A: There are several things you should consider when purchasing automobile insurance that your independent agent will help you with. Here are a few:
  • Purchase the amount of liability coverage which makes sense for you.
  • Select the optional coverages you want.
  • Decide which company to purchase insurance from.
  • Don't base your decision solely on price. Other factors like service and claim response are extremely important in selecting the right insurance.
  • If your vehicle is not considered a personal passenger vehicle. i.e. box truck, straight truck, larger than a 350 or 3500 series pickup.
  • If the bed on the pickup is altered. i.e. Utility bed, no bed at all, flat bed.
  • If you use your vehicle to haul trailers for business.
  • If you travel out of state for business purposes other than a traveling salesman.
  • Of the vehicle is titled to a business or entity other than an indivual.
  • if you have Signage/Car Wraps etc
Q: Differnce between BUSINESS AUTO vs. COMMERCIAL AUTO ?
  • BUSINESS USE endorsement on personal auto policies pertain to limited uses such as outside sales calls, to/from jobs sites for managers. Light business use may include artisan occupations such as a craftsman or skilled worker, such as a carpenter. Consult your agent before assuming you will be covered.
  • Most insurance companies assume you are driving to/from your fixed place of employment.
  • BUSINESS USE DOES NOT include uses for towing, delivery of any kind, SIGNS or lettering that advertise your business.
  • The reasoning behind this decision is the vehicle is more likely to be involved in a collision since it is being driven more often than someone who works an 8 hr day in a fixed location.
Q: Does my insurance policy cover a friend if I loan him/her my car
A: When you loan your car to a friend or an associate, he or she will be covered under your automobile insurance policy, as long as they are not a member of your household.
If the driver is a household member, they will need to be added to have coverage. If they are a member of your household and WILL NEVER driver your vehicle(s) you may elect to exclude them by signing a "driver exclusion waiver" to avoid increase in premiums. Consult one of agents for more information.
note: not all companies will offer a driver exclusion.
Q: What is collision physical damage coverage?
  • Collision is the loss you incur when your automobile collides with another vehicle or a fixed object like a curb, fence, or pole.
  • Most claims fall into this category if they are not covered under comprehensive.
  • Most claims in this category are chargeable for three years, unless you are clearly not at fault. An accident report will usually be required to show who was driving and the details surrounding the accident.
Q: What is comprehensive physical damage coverage?
A: Comprehensive provides coverage for direct physical damage losses you could incur to your car from something like FIRE, THEFT, VANDILSM, ACTS of GOD/NATURE, including
Q: How can I lower my automobile insurance rates?
A: There are several things you can do to lower the cost of your automobile insurance.
One way is to look for competitive pricing. An independent agent works with many companies and can provide you comparative rates and insure that your are getting the same coverage.

Another way to lower the cost is to change your deductible. By raising your deductible you may lower the cost of your automobile insurance almost 10% You must be able to pay the deductible amount in case of a claim. You can also look for discounts that you may be entitled to. Some examples of discounts that may be available are: multiple cars under the same policy, carrying a homeowners policy with the same insurance company, different groups or associations.
Q: Why does my agent need to know so much information to get a quote?
A: Today's market pricing uses many types of data to calculate a rate or price for auto insurance. Basic info such as name, date of birth, address, vin# of vehicle must be input into our comparison rater software to determine who has the best rates for your situation. We may also need the # of miles to work for each driver, actual mileage of vehicle, purchase date, etc. We have over 50 company plans to choose from.

Additional drivers and vehicles will also change rate as well as drivers' violations and accidents. Youthful drivers can raise your rates dramatically until they have some driving experience behind them. Certain companies may not charge for permit drivers until they receive a permanent license.

The best advantage you will have is to let your agent know your intentions in the next 12 months so they can look at the whole picture. If you intend to purchase other vehicles or add other drivers, please let them know.

If you intend to use you vehicle for any business or commercial use, please tell your agent. Certain uses may not be covered unless a BUSINESS USE endorsement is added. Signs on personal auto vehicles is not recommended. This use is generally reserved for COMMERCIAL POLICIES. Towing of trailers with equipment used in business would also be a COMMERCIAL RISK.