Car insurance claim: 5 things you need to know about it

·         

What to note about at-fault car accident claim.

If you had an at-fault accident, you can file a claim about it. However, note your next insurance premium will reflect the price of the claim, because, your premium is band to increase greatly for an at-fault claim filed.


·         Claims that are classified as comprehensive insurance claim.

Any damage made to your property by of the following; a fire, theft, deer and vandalism is considered a comprehensive insurance claim.

However, damage caused by a vehicular collision is not consider a comprehensive insurance claim. Such claim would be decline under comprehensive claim.


·         What you can  do after a total loss accident?

first, Contact your insurance agent.

Contacting your auto insurance company is the first step you need to take in other to progress with the filing of your insurance claim to get your money as fast as possible.


·         After you file an insurance claim, you might either repair or not repair you car by yourself.

If you want to continue with full insurance coverage on your car, you do need to get the repairs completed by yourself.


In contrast, if you do not want to carry a full insurance coverage anymore and no loan on the vehicle then it’s your choice whether to make the repairs or not.


·         How multiple insurance claims are handle.

  Many  insurance companies  will non-renew your policy for a multiple insurance claim within the contestability period of three years.



 If your claim is a comprehensive claims, you can be surcharge by some auto  insurance company. Even if you are filing  multiple insurance claim within the contestability period.

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Insurance terms you need to known

ACTUARY:

A person who calculate rates, reserves, dividends and other statistical variables in an insurance company.

Agent: 

 A  person who sells and services insurance policies.

Annuity;

An agreement by an issuer to make periodic payment that continue during the survival of an annuitant or for a specific period.

BOUND:

Is the name an insurance is called after the insurer and the insurance company had seal an insurance deal. (accept insurance)

Benefit periods;

In health insurance, the number of days for which benefits are paid to the named insured and his/her dependents.

brokers

insurance salesperson that search the marketplace in the interest of clients, not insurance company.

Causality insurance

Insurance policy concern with loss resulting from  injuries,  damage to property. Insured against crime e.g= robbery, burglary, e.t.c.  includes aviation insurance and machinery insurance.

 Claim

A demand made by the insured. Or the insured beneficiary. For payment of the benefits as provided by the policy.

Collision insurance

Covers physical damage to automobile of  the insurer.

Comprehensive insurance.

Auto insurance coverage, providing protection in case of physical damage cause by contact with another inanimate objects and theft of the insured car.

Deductible
A deductible is the amount of money you have to pay  an the insured person, before your insurance company  covers the rest of the payments.

UNDERWRITTING

It Is carried out by the insurer. It is a  phenomenon of determining the probability of a risk taking place and the likely cost of a risk if it actually took place. All this information  gives an insurer the estimate in other to give his client an insurance quote. 

INSURANCE CONTRACT:
Just as the name implies, an insurance contract is a legal document that outline all the insurance coverage, features, conditions and limitations of an insurance policy.

INSURER:

Simply put, insurance companies are otherwise known as insurer, they are companies that takes responsibility for loss and provides compensation for it’s clients in the event of loss, as a return for an insurer whom had been paying his Premium.

INSURED:

A person who purchases an insurance  coverage from insurance companies. He  is entitled to receive compensation in the advent of any loss on the belongings he had insured.

 INSURANCE  ENDORSEMENT:

It’s an attachment to an insurance policy to thwart  the policy's coverage or terms.

INSURANCE UMBRELLA POLICY:

When an  insurance coverage is insufficient to cover a loss, an umbrella policy is meant to cover losses above the limit of an underlying policy or policies.

Insurable Interest:

Before an insurance company takes the risk to insure anyone, there must be evidences from the insure  that if a loss should occur it would have a greater economic impact. This will stimulate an insurer to take the risk of insuring such property/equipment.

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Here Is The Filling Procedure For An Auto Damage Claim

It is one thing to have an insurance cover, it is another thing to know how to file a property damage  claim. A property damage claim can be either to your insurance agent or the other parties insurance agent.  In this article, you will learn  a step by step procedure to filling auto damage claim.

Filling Claim For At-Fault Damage

1. Give  your insurance policy to the owner of the damage automobile.

2. Obtained detail information of the damage vehicle. 

3. You might take a photo of the damage motor for future reference incase of dispute.

4. Contact your insurance agent for the claim .If both of your cars yours and the other person’s car was damage in the process, your insurance company will move to action to repair your damage vehicle depending on insurance cover, meanwhile, while  your insurance company will have to notify and call their attention of the owner of  the damage property before paying for his property damages.

5. You will need to pay your deductible in other to carry out repair on your car. But , you are not required to pay any deductible to carry our repair on the other person ‘s damage vehicle .The most determine factor is the kind of coverage you opted on your car insurance policy.

NOTE;

If you have an at fault claim filed, it will definitely reflect in your premium as it will scale high due to a recalculated  premium  renewal 

To avert this from happening  to you ,all you need to do is to purchase an accident forgiveness  previously to the time you had an accident.

• You are not at fault , Another property owner damage your car

In this instance when your property was damage by another person, there are two ways to file your claim, these are

1. When you know who damage  your  vehicle

2. When you don’t know who damage your vehicle

Filing claim: When you know who damage  your  vehicle

 Obtained the full details information about the insurance company of the person who cause damage to your vehicle.

Contact your insurance company for assistance.

You will not pay a dime from your pocket as long as the person whom caused you damage admits  he does &all claim handle by his insurance company  under is insurance coverage.            

                                   

Filing claim: When you don’t know who damage  your  vehicle

If this should happen to you, the options here include,

1. Paying  to cover the damage by yourself

2. Making use of a collision coverage on  your auto insurance policy.( In this case 3. your deductable will be applicable)

3. In the instance of damage to your home by a vehicle, your home owners policy would cover the damage and will not  required deductable

Your insurance agent and customer service representative could also be a source of helpful information for you in times of how to file an auto damage claim.

 

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Which type of life insurance policy should you choose?

Life insurance, its all about transferring any risk that could occur and that would have a direct impact on your life/living or existence. 

Have you been considering having a life insurance plan? And confused which life insurance plan would be perfect for you. Then, this article will walk you through the different available life insurance policies that you can choose from.

Below I discussed the different types of life insurance plans there are, read it through and see which of the plans that suits you the most, then you can go for it.

The different types of life insurance includes:

1. Whole life insurance

2. Term life insurance

3. Universal life

4. Variable life

5. Variable universal life

                                       Whole life Insurance. 

The whole life insurance policy is meant to be effective  throughout an  insure lifetime. Another name for  whole life insurance is  “cash value life insurance”.

whole life insurance is a permanent life insurance that has so many benefits.

One of the benefits include;  payment of a  the total tax-free death benefit to the insurance beneficiary at the time the policy holder passes away. whole life insure provides a policy cash value, which is made available to the policy holder while he’s still alive.

On the other hand, Whole life insurance is far more expensive than term life insurance.

                             Universal life insurance

It is related to the whole life insurance policy, only that there is a potential for higher earnings on cash value balance.

After the death of a universal life policyholder, his beneficiaries are entitled to receive a tax-free death benefit; this death benefit is calculated based on the amount of premiums paid in the duration of the policy. 

Universal life policies offer a high flexibility in the payment frequency, the amount of premium to be paid and the level of total death benefit to the beneficiaries.

Also, if a policyholder could maintain his contract for a year, the subsequent years after the first year a policyholder can either decrease, increase or skip his premium payments, provided the available cash balance is sufficient to cover all policy expenses.

                                Term life insurance

Term  life insurance is an insurance policy meant for a specific period of time such as  five, ten or twenty years  term.

Term life insurance is a temporary life insurance coverage, because, the insurance plan is for a duration of time not for life long as the whole life and universal plan .

In case a term life insurance policyholder should die at the time when the insurance policy is still active, his beneficiary is entitled to receive the total death benefits, which will be a tax free payment made to the beneficiary. 

                                                      Variable life insurance

Variable life insurance is also a permanent life insurance, which will be in effect till the death of the policyholder.

Variable life insurance premiums are fixed like they are with whole life policies, but cash value balances and death benefits fluctuate.

Variable life insurance cash value balances are invested in various tax-deferred subaccounts provided by the insurance company. The policyholder would make a selection from the various available investment types.

The risks associated with the subaccount performance will reflect on the policyholders death benefits.

As the benefit value will increase is the subaccount yields very well, and the benefits reduces if otherwise. 

The premiums paid by policyholders of variable life insurance are similar to the premium paid by universal life insurance policyholders.

Variable universal life insurance

Variable universal life insurance coverage is a combination of universal life and variable life insurance policy in one insurance contract.

Policyholders have flexibility in premium payments and frequency. Due to these  flexibility,   variable universal life policyholders  have to pay slightly higher premiums than both the universal and variable life policyholders. 

However,  the premium paid by variable universal life policyholders is lesser  than the  whole life policyholders premium.

With a variable universal life insurance plan, you can create a custom policy that suits specific insurance needs for the long-term. 

It is equally good to note that in a variable universal life insurance, both death benefit and total cash value can rise or fall over time.

In conclusion, having a life insurance cover is part of a wise financial planning, however be mindful of the different types of life insurance policies that are available. This different life insurance types differs in term of total death benefits, time frame, opportunity to take risk of having a cash value subaccount within the policy,.

It is now up to you to decide which type of life insurance would be appropriate for you based on your circumstance and needs.

  

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