You work hard to be a safe driver and responsible homeowner. You were smart and chose an independent agent to help you find just the right insurance to protect your assets and future income. It only makes sense that you would expect to rely on that coverage if you ever experience a loss. While it is true that auto, home, and other types of insurance is there to save you thousands or even hundreds of thousands of dollars in possible damages, not all losses are claims-worthy. Continue reading and we’ll explain some of the reasons you might want to reconsider filing your next insurance claim.
You Might Put Your Coverage at Risk
Here at The Homewood Insurance Agency, our number one priority is making sure you have access to right coverage to protect you against the ‘what-if’s’ in life. Part of that plan includes finding your coverage from some of the most reputable insurers in the state. When you have a claims-free record and a safe driving history, you can choose from nearly many different insurers. On the other hand, a spotted claims history could disqualify you from coverage with many carriers.
Imagine finding out that your policy has been canceled or will not be renewed because you made a few too many small claims against your comprehensive coverage for things like minor hail damage or a cracked windshield. Unfortunately, insurers often look at the number of recent claims you have had, perhaps even more so than the total amount of the claims. In most cases, it’s not worth losing quality coverage for the sake of saving a few dollars.
You Might Put Your Cost of Future Insurance at Risk
Money isn’t everything when it comes to finding the right insurance. However, it doesn’t mean you should pay more than you have to for the coverage you need. Unfortunately, that is exactly what filing a claim can do – raise your rates. Every claim is unique and will carry different weight with different insurers, but one study found that making two claims of just $2,000 each in one year could easily double your auto insurance rates. Not only can your rates rise due to higher risk, but you could also lose any claims-free discount you may have been receiving.
Considering higher rates can stick around for several years, it pays to do the math. If your vehicle or home is a total loss, or if you face a large liability for someone else’s property damages or injuries, filing a claim is obviously the right choice. Passing off the bill for a $750 windshield repair to your insurer, however, might not be worth the long-term cost – especially after you factor in the cost of your deductible.
Should I File a Claim?
No one knows your insurance company quite like your independent agent. Here at The Homewood Insurance Agency, we encourage our customers to look to us for much more than a new policy. We provide continued service and support, which includes assistance with filing new claims. We can help you determine if a particular claim could cause your rates to rise in the future or even put you at risk of cancellation. Our job is to consider what is in your best interest.
If you do not yet have an independent agent, there is no better time than now to find out how The Homewood Insurance Agency can assist you with your insurance needs. Contact us today for more information or to request your free quote. We look forward to serving you soon.