Q: Whose responsibility is it to notify Apple Valley Agency, and my insurance company, of any change in my mortgage companies?
A:
Yours. This is very important for three reasons:
- In the event of a loss the check will come in the name of the Insured and the Mortgage Company. The wrong Mortgage Company listed will delay payment of your claim.
- If your Mortgage Company pays your insurance premium out of an escrow account, the wrong Company will get the bill. There is a potential for payment not being made and a Cancellation Notice being issued.
- You will receive a letter from your current Mortgage Company stating they do not have a current insurance policy on
record. This letter can be disturbing as it states that the Mortgage Company will purchase an insurance policy, for your
home, if their office does not receive a copy. Quite often, these types of policies are very costly, and are lacking in many areas of coverage.
Q: Why is my credit score a factor in my insurance rates? A:
There have been statistical studies, which show that there is a direct correlation with credit rating and insurance claims. It
has been proven that the lower your credit score, the more likely there will be a loss. There are two theories: when money is
tight, your mind is preoccupied, or, the required upkeep and maintenance of a vehicle or home is neglected. There are measures
you can take now to improve your credit score. For additional information, contact Joan Larochelle:
joan@applevalleyagency.com.Q: If a vehicle is not registered to me, can I still take out an insurance policy on the vehicle?
A: No. The Named Insured on an automobile insurance policy must read the same as the vehicle's registration and title. Q: Do I need to notify the insurance agency if my teenager is now driving the vehicle?
A: Yes. Once your teenage driver receives their driver's license, they must be listed as an operator on your automobile insurance
policy, if they do not have an insurance policy of their own. In addition, they would be a listed operator on the policy regardless of the amount of time they spend driving a vehicle. Q: I'll soon be renting my own apartment. Is there insurance for that?
A: Yes. Renters insurance is a policy to protect your property and to protect you against liability. For example, if someone slips
and falls in your apartment, you may be held liable if there is an injury. Renters insurance would cover that accident. All your
possessions up to the monetary limits listed in your policy also would be covered for specified damages (both at home and when you travel).
If somebody sues for damages caused by you or your possessions (other than a vehicle covered by your auto insurance policy),
your renters insurance policy would cover the cost of the lawsuit -- both defending it and settling it, if necessary -- up to the limit of coverage chosen. |
