What Makes a Great Insurance Agent?

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What Makes a Great Insurance Agent?

When you are shopping for any type of insurance, you are going to want the help and advice of someone who understands the insurance business and who is truly interested in helping you protect yourself rather than making the most money. Unfortunately some insurance agents are in the business for their own benefit and will not tell you when you are paying too much or are buying insurance that you simply don't need. I am a former insurance agent, and I have seen the best and worst. This blog is about noticing red flags when it comes to sneaky insurance sales people and about finding the signs of a truly good agent.


Choices You Will Have When Buying Homeowner's Insurance

A lot of people find that buying insurance is not an easy process, as there are a lot of questions to answer and decisions to make. As you prepare to buy a policy for your home, you will also have choices to make, and here are four different ones that an agent will likely ask you to make.

The amount of coverage you have

One choice you will have is the amount of coverage you want for your house and for your belongings. You should make sure you have at least enough coverage to pay the balance of your loan; however, it is better to have enough coverage to replace your home if you lose the entire thing. Additionally, you will get to choose the amount you want for coverage on the personal belongings you own. A lot of insurance companies use a percentage to calculate this since it is hard to know exactly how much everything you own costs, but the choice is yours to make ultimately.

The endorsements you add

Endorsements you add to the policy refer to extra types of coverage you want. An example of this is adding an endorsement to cover a diamond necklace you own. Because a regular policy will not cover the full value of a diamond ring, you can add an endorsement that will.

The deductible you select

You will also have the choice of the amount you choose for the deductible, and this is an important choice to make. If you want lower premiums, you would benefit by choosing a higher deductible. If you want to pay less when you file a claim, you would want to choose a lower deductible.

The valuation method used

You might also have the choice in the valuation method the insurance company uses, and the two main options are actual cash value (ACV) and replacement cost. The option that gives you better coverage is the replacement cost method, which reimburses you for losses based on the amount of money you would have to spend to replace your things. The ACV method only compensates you the amount your goods are actually worth at the time of loss, which means it factors in depreciation.

Having choices allows you to get a homeowner's policy that is exactly what you need and want. If you are ready to get a quote, contact a home insurance company to begin the process and to find out answers to any questions you may have. 

For more information, contact a resource like ALTRE Insurance Agency Inc.