FAQs
General FAQs
- Question: Why choose an independent insurance agency?
- Answer: Buying insurance is not like buying a commodity. Choosing the wrong agency could cost you money, time, service and protection! Insurance is an important safety net for your family, your home, your car, your business.... Don't treat the purchase lightly!
- Why work with a company that will only sell you their product when you can choose an Independent Insurance Agent?
- Question: What are the advantages to using an independent agent to purchase insurance?
- Answer: By using an independent agent to purchase insurance, the policyholder receives more personal service. An agent with whom there is direct contact can be vital when purchasing a product and absolutely necessary when filing a claim. A local, independent agent is able to deliver quality insurance with competitive pricing and local personalized service.
Auto FAQs
- Question: What does Auto Insurance Cover?
- Answer: Auto insurance is divided into several different types of coverage:
- Liability covers damage to other people's property and injuries you may cause while operating an automobile.
- Collision covers damage to your own vehicle in an accident.
- Other than collision covers fire damage to your vehicle, break-ins, vandalism or theft, as well as natural disasters (earthquake, hail, hurricane, flood, etc.-unless the vehicle is overturned, then it is considered a collision).
- Medical payments insurance guarantees emergency and related medical payments, usually in the range of $1,000 to $10,000, for you, your passengers and other parties, regardless of who is at fault. It also covers you and members of your household in any accident involving an automobile, whether you are on foot, in a friend's car or riding a bicycle, etc.
- Uninsured motorist (UM) and under insured motorist (UIM) coverage protects you and your passengers if injured in an accident with drivers carrying insufficient liability coverage.
- Extra coverages include expenses for towing, labor and temporary replacement vehicles, etc. These are generally defined as add-ons or endorsements to your policy.
- Question: What factors can affect the cost of my automobile insurance?
- Answer: A number of factors can affect the cost of your automobile insurance -- some of which you can control and some that are beyond your control.
- The type of car you drive, the purpose the car serves, your driving record, and where the car is garaged can all affect how much your automobile insurance will cost you.
- Even your marital status can affect your cost of insurance. Statistics show that married people tend to have fewer and less costly accidents than do single people.
- Question: If I rent a car on vacation, do I need to select the rental car insurance?
- Answer: You normally would have the same coverage that you have on your personal auto policy. However, the car rental company's contract states that regardless of fault, you may be responsible for the replacement of that vehicle and it's loss of income. Your auto policy settles a loss on an actual cash value (less depreciation), and the rental car company is looking for the replacement value of the car, and there can be a difference. This difference is not covered by your own auto polcy. Your own auto policy does not pick up the loss of income for that rental car should it be damaged in an accident, and be unable to drive. Rental car coverage under your personal auto policy is only good in the continental US and Canada. No coverage is provided in Mexico and outside the United States.
- Question: If I lend my car to a friend; is that covered under my auto insurance policy?
- Answer: Whenever you knowingly loan your car to a friend or an associate who does not live in your household, he or she will be covered under your policy. In fact, even if you don't give explicit permission each time a person borrows your car, someone is still covered under your policy as long he or she had a reasonable belief that you would have given permission to borrow the car.
Home FAQs
- Question: What are some practical things I can do to lower the cost of my homeowners insurance?
- Answer: There are a number of things you can do to lower the cost of your homeowners insurance. The easiest thing to do is get a comprehensive review of your policy and needs from your local agent.
- It is not surprising to find quotes on homeowners insurance that vary by hundreds of dollars for the same coverage on the same home. When you shop, be careful to make sure each insurer is offering the same coverage.
- Another way to lower the cost of your homeowners insurance is to look for any discounts that you may qualify for. For example, many insurers will offer a discount when you place both your automobile and homeowners insurance with them. Other times, insurers offer discounts if there are deadbolt exterior locks on all your doors, or if your home has a security system. Be sure to ask us about any discounts for which you may qualify
- Another easy way to lower the cost of your homeowners insurance is to raise your deductible. Increasing your deductible from $250 to $500 will lower your premium, sometimes by as much as five or ten percent.
- Question: Why would I want to buy renters insurance?
- Answer: If you live in an apartment or a rented house, renters insurance provides important coverage for both you and your possessions. A standard renters policy protects your personal property in many cases of theft or damage and may pay for temporary living expenses if your rental is damaged. It can also shield you from personal liability. Anyone who leases a house or apartment should consider this type of coverage.
- Question: Why do some apartment complexes require tenants to have renters insurance?
- Answer: Owners of apartment complexes buy insurance policies for their liability and to cover their buildings and personal property. However, these policies do not cover any of the tenant's property or liability. By requiring their tenants to have renters insurance, the apartment owner is assured that the tenants will not mistakenly believe the apartment complex owner's policy will provide coverage for a tenant's property or personal liability. Although this type of requirement benefits that apartment complex owner, there are benefits to the renter as well. We recommend that you purchase renters insurance regardless of what your landlord requires.
Umbrella FAQs
- Question: What is a personal umbrella liability policy?
- Answer: The personal umbrella liability policy is designed to increase your liability protection. This single policy acts as an "umbrella" over all of your other personal liability policies -- home, auto, boat, RV, etc. -- so you have a higher personal liability limit than what would otherwise be available. In certain circumstances, an umbrella policy may provide personal liability coverage that is otherwise excluded from your other policies. For example, an umbrella policy provides coverage anywhere in the world, whereas your auto policy usually provides coverage in the US and Canada only.
Commerical Lines FAQs
- Question: What is a Business Owners Policy?
- Answer: Small business owners often purchase a business owner's package policy. This policy covers major property and liability exposures as well as business interruption insurance. Property coverage under a BOP generally includes owned or leased buildings and the contents of such buildings such as inventory, supplies, fixtures, machinery, etc. Insurance can be bought based on the property’s actual cash value (its replacement cost minus depreciation), its current replacement cost or another agreed-upon amount, such as an appraisal.
- Liability insurance covers your business if it is sued for injuries or property damages to someone else caused by the business. The policy may also cover attorneys’ fees and other costs associated with defending against a lawsuit.
- Business interruption coverage can pay for your loss of income plus your continued expenses following a covered property loss.
- Question: What does a Builder’s Risk Policy cover?
- Answer: Builders' risk insurance is special coverage insuring property during the construction process. This includes hazards to the structure as completed to date. The amount necessary and advisable depends on the builder’s location, project size, development type and risk exposure. We provide a comprehensive package specifically designed to protect your development.
- Question: What is a Surety Bond?
- Answer: A surety bond is a contract guaranteeing the performance of a specific obligation. It is a three-party agreement where one party, the surety company, answers to a second party, the owner, creditor or obligee, for the third party’s debts, default or nonperformance. Contractors are often required to purchase surety bonds if they work on public projects. The surety company is then responsible to carry out the work or pay for the loss up to the bond penalty should the contractor fail to perform.
- The Essex Agency Inc has a wealth of experience developing specialized construction surety bonds. Let us offer you the strongest protection through our surety bond industry relationships we have developed over the years.