What are some common insurance mistakes? |
Hurricane season starts on June 1, so now is a great time to take a look at your insurance policy and your coverage.
Hurricane season starts on June 1, so now is a great time to take a look at your insurance policies and your coverage. Here are five mistakes people make when it comes to insurance.
- Waiting too long to get coverage
There’s a 30-day waiting period and policies can’t be issued if there is a named storm anywhere in the Atlantic Ocean. - Not knowing what’s in your policy
Know what’s in your policy before a storm. In a coastal area you’ll need both wind AND flood insurance. - Missing out on what’s available to lower your insurance costs and protect your investment
In South Carolina, you can have a CSA, or Catastrophe Savings Account just as you can have a Health Savings Account with tax incentives. Take advantage of special storm grants and added home protection features that can help save on your premiums, minimize your damage and help you maintain your investment. For additional insurance information and storm checklists visit www.doi.sc.gov. - Not shopping around
A few years ago, South Carolina passed the Omnibus Act, which led to 15 new insurance companies writing policies in South Carolina. More competition means better value for consumers. Shop around for the best deal. - Not having an photo or video inventory of your belongings
It is simple to do. Providing proof of your valuables can speed up the insurance claim process and help you remember what you own when you need to. - Not taking your insurance documents with you when you evacuate
Sounds simple, but it’s something many people forget in the last minute rush to flee an incoming threat. It’s also a good idea to keep a copy of these documents at an off-site location other than your home. - Not knowing if your policy covers additional living expenses
If you’re unable to return home due to extensive damage, know if you’re covered for the additional living expenses that will come if you need to find temporary housing. - Not knowing if you’re covered for cash value or replacement value
There’s a difference and not knowing which one you’re covered for can lead to unpleasant surprises when you’re ready to replace your two-year-old flat screen TV and that sofa you’ve had for years. Cash value coverage factors in deprecation which may not give you enough cash to cover the replacement cost in today’s marketplace.
