Below are some of our frequently asked questions. If you have any other
questions or concerns, please feel free to contact us.
| What is the difference between full and limited tort?
Full tort allows a motorist and policyholder to retain unrestricted rights to bring a lawsuit against the negligent party in an automobile accident. Limited tort allows drivers to save on their premiums by waiving their right to recover certain damages, such as payments for pain and suffering.
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| Am I covered if I rent a car?
Your personal auto liability coverage will follow you as you are driving a rental car in the US, its territories and Canada. If you carry collision coverage on one of your vehicles, the collision deductible will also apply to the rental. However, your insurance will not pay for loss of use or dismissed value on the rental vehicle if you have a claim in the rental. Therefore it is always good to read the rental agreement. To be absolutely safe, we recommend you purchase the additional coverage the rental company offers.
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| If I allow someone to borrow my car am I covered?
Yes. Personal Auto insurance follows the car. So if the friend that borrowed your car has an accident your policy will pay. If the friend lives in your household they need to be listed on your auto policy
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| If I have comprehensive and collision coverage on my auto policy, what do they cover?
If you purchase comprehensive coverage your auto will be covered for damage done by vandalism, theft, flood, fire, hail, animals, and glass breakage. Collision coverage covers damage to your car when your car hits something or is hit by another vehicle. These coverages pay to fix your vehicle minus your respective deductible.
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| What does underinsured motorist and uninsured motorist coverages mean?
Underinsured motorist coverage protects you when the responsible driver does not have enough insurance to pay for the bodily injuries they cause. Uninsured motorist coverage protects you when the responsible driver carries no liability insurance.
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| What is the difference between stacked and unstacked uninsured and underinsured motorist coverages?
Unstacked coverages protect up to the stated limits on the policy. Stacked coverage allows the uninsured and underinsured limits to be multiplied by the number of vehicles on the policy. For example, if you choose stacked coverages with two insured vehicles your $100,000/$300,000 coverage is increased to $200,000/$600,000.
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| What is replacement cost coverage?
Replacement cost is the price or cost it will take to rebuild your house in the same spot, same size, and same quality of construction at today's costs. Replacement cost coverage is also available for your personal belongings by endorsement. If you have a claim and your personal belongings are damaged, with replacement cost coverage you would be able to replace that property with new property of the same like, kind and quality at today's prices.
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| Will my rates go up if I turn in a claim?
Your rates will not be surcharged for turning in one claim. However, if you have a second claim in a five year period, PA homeowners insurance companies have the right to surcharge your policy. The surcharge will remain on the policy until the oldest claim is five years old. In some cases, it is better to just pay small claims out of your pocket rather than risk being surcharged for a second claim. Always talk to your agent to discuss your options.
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| I have a $10,000 diamond ring, do I need to do anything special on my homeowners policy?
You would have coverage for the ring the same as you have coverage on all your other personal property. However you have to keep in mind there is typically limits as to how much your policy will pay if the ring is stolen. It's best to schedule this piece of valuable jewelry on your homeowners policy. This would give you broader coverage and guarantee coverage up to the $10,000 value for all covered perils. If you have special items that need specific insurance call your agent to discuss.
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| What is the difference between each type of life insurance?
1. Term Insurance- This type of policy covers you for a term of 10,20, or 30 years. It pays a death benefit only if you die in that term. Term insurance generally offers the largest insurance protection for your premium dollar. Generally the premium and death benefit are designed to remain level. 2. Return of Premium- This type of policy covers you for a term of 20 or 30 years. It pays a death benefit if you die within the term. However, if you are still living after the term, you get all your money back (except riders). The cost is usually more than term but less than whole life. 3. Whole Life Insurance- Covers you for as long as you live if your premiums are paid. You generally pay a level premium for as long as you live. 4. Universal Life Insurance- Flexible policy that allows you to vary your time and premium payments. The premiums you pay (less expense charges) go into a policy account aht earns interest. If your yearly premium payment plus the interest your account earns is greater than the charges, your account value grows.
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| How much life insurance do I need?
Here are some questions to ask yourself: 1.How much of the family income do I provide? If I were to die early, how would my survivors, especially my children get by? Does anyone else depend on me financially, such as a parent, grandparent, brother or sister? 2.Do I have children for whom I’d like to set aside money to finish their education in the event of my death? 3.How will my family pay final expenses and repay debts after my death? 4.Do I have family members or organizations to whom I would like to leave money? 5.Will there be estate taxes to pay after my death? 6.How will inflation affect future needs?
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