A few days ago when my automobile insurance renewal policy arrived, I did my usual — clipped out the liability identification cards, glanced at the total premium and reached over to file it away.
And then I thought, “Hmmm . . . think I’ll take a quick look through.”
And I’m glad I did. For I found some new Additional Coverages included (for no additional premium), an exclusion pertaining to personal vehicle sharing programs and a potential bonus reward program that can be used to offset physical damage deductibles or a subsequent surcharge following a loss.
I’ll admit that reading any insurance policy can be dull, if not downright daunting. Yet failing to stay informed of specific coverage provisions could lead to major surprises or missed opportunities.
Here are a few nuggets I found in this year’s renewal policy:
- Replacing a deployed airbag – There’s coverage for the cost of repairing or replacing a deployed airbag on a covered vehicle, without a deductible applying, as long as the policy provides Other Than Collision coverage for that vehicle.
- Lock replacement – The company will pay for lock replacement on a covered vehicle — again, without a deductible – if my keys are lost or stolen as long as the policy provides Other Than Collision coverage on that vehicle.
- Brand new vehicle – If I sustain a total loss to a new vehicle within the first year following its purchase, the resulting payment will not include depreciation or normal wear and tear.
- Pets – There’s some limited coverage available for my dog or cat for injuries or death sustained while they occupy my vehicle.
- Vehicle sharing program – Should I be considering letting my vehicle be used in a ride sharing program, I’d be very wise to think again, for the policy would provide no coverage in the event of a loss sustained while the vehicle was being used as part of such a program.
Who knew that reading an insurance policy could be so enlightening? As you can see, much of what I discovered is coverage I didn’t know I had or things I will keep in mind before paying out-of-pocket in the future. But learning what’s excluded, such as the last bullet above, is equally important. Knowing what is not covered under the current policy can help avoid unpleasant surprises down the road.
What interesting and important details might your policy contain? We encourage you to have a refresher look at your policy soon. And now may also be a great time to comparison shop, for both premiums and coverages.
Have questions about your automobile insurance? Talk with your agent or give us a call. We’re always here to help.
image credit: Adam Cocke