5 Common Insurance Missteps to Avoid

5 Common Insurance Missteps You Should Avoid

There are many insurance missteps when you purchase insurance for the first time. EINSURANCE summarizes 5 common insurance missteps to avoid to help you find the best price for the right coverage. They are all very important and should be taken into consideration before you buy insurance.

1. Choosing Not to Insure.

Generally, you are self-insured if you choose not to carry an insurance policy covering risks, which automatically places you at risk when you experience accidents. If you want to know more regarding self insuring. Check our Should You Self Insure and How to Self Insure.

2. Not Shopping Around.

Shopping around will give you opportunities to see what other insurance companies have to offer. Insurance prices change quickly and you should capture the opportunity to save some money.

3. Insuring Home for Actual Cash Value Vs. Replacement Cost.

EINSURANCE recommends that you choose replacement cost because it gives you the full amount back for all of your belongings that are destroyed, stolen, or damaged. It is the most cost-effective option compared with actual cash value. Check more on Actual Cash Value Vs. Replacement Cost.

4. Not Reviewing Policy.

No matter what insurance you have, remember to review the actual policy periodically and negotiate with your insurance agents for more discounts.

5. Not Doing Proper Homework.

Check your policy requirements and terms carefully when you buy insurance to make sure they actually cover what you want to protect.

If you need insurance quotes to compare, or more insurance related information, please go to EINSURANCE.com.

About Dale Williams

Dale Q. Williams, MBA, is a well-respected financial executive whose experience spans from insurance to investment banking. Dale has first hand underwriting experience through working for one of the largest U.S. based insurance carriers, and advisory experience from working for several bulge-bracket and middle-market investment banks. Dale also received his MBA from University of Chicago Booth School of Business, with concentrations in finance and accounting.