General Questions

What's an insurance premium?

An insurance premium is the actual amount you pay for the insurance policy. Different insurance policies have different premiums. The amount of the premium depends on the kind of coverage you have (what kinds of things you want your insurance to cover), the amount of your deductible, and other factors.

What's a deductible?

A deductible is the amount of money you pay toward a covered insurance expense before the insurance itself kicks in. So if you have a $250 deductible for health insurance, you'll need to pay $250 toward your medical bills and/or prescriptions before your health insurance begins to pay the amount agreed to in your policy.

Do I have to pay my whole premium up front?

No. Most companies offer many payment options. You can pay your premium all at once, monthly, or make semi-yearly payments. Talk to an Instant Insurance agent to find out more.

How can I lower my premium?

One of the easiest ways to lower your premium – with almost any type of insurance – is to increase the amount of your deductible. So if you currently have insurance coverage with a $250 deductible, try choosing one with a $500 deductible and watch your rates change. You can try this by getting a quote online or asking one of our Instant Insurance agents to help you.

Life Insurance

What is life insurance?

Life insurance is a pre-determined amount of money paid out to the beneficiaries of your choice after your death. It can be paid out in one lump sum or over time, depending on the policy you choose.

Do I need life insurance?

Life insurance helps ensure your family's future after you're gone. If you have a family, have a mortgage loan or personal business debts, or would like your family to be able to afford funeral costs and taxes in the event of your death, life insurance may be the right thing for you.

What if I'm having problems getting covered?

At Instant Insurance, we guarantee that we can find a policy for you. Even people with multiple motor vehicle violations or health issues can get coverage. Talk to an Instant Insurance agent for help getting covered.

Do I need life insurance after I retire?

In general, yes. You'll want to make sure you have enough life insurance to cover your debts and final expenses (including funeral costs). If you have income you would have provided your spouse or dependents, you'll want to make sure this income is also covered under your policy. That way your spouse and any dependent children will be taken care of in the event of your death.

Do I need a financial advisor before I get life insurance?

You certainly don't need a financial advisor before you pick up a life insurance policy, but it doesn't hurt to have a good handle on your finances before deciding on the right policy for you. At Instant Insurance, you don't have to have 10K in the bank to have your own financial advisor. We provide limited financial planning services to all of our customers. Come into one of our stores or give us a call at 1-888-LOOK4INSURANCE for more information.

Health Insurance

What kinds of health insurance policies are available?

There are three major kinds of managed care plans: health maintenance organizations (HMOs), preferred provider organizations (PPOS), and point-of-service (POS).

What's the difference between a PPO and an HMO?

With an HMO plan, you select a primary care physician who'll refer you to specialists when you need care that they cannot provide. This primary care physician will coordinate all of your care. An HMO plan will not pay any portion your health care services received out of network.

In a PPO plan, you can choose to go to any health care provider within your network. Your network is decided by your health insurance provider. This plan will also generally provide partial payment for covered services you receive from outside of the network. You'll have more freedom to choose your care providers in this plan, but your premiums are going to be higher.

What's the difference between primary and secondary coverage?

Sometimes people choose to have two health insurance plans. This usually occurs when each member of a married couple has coverage through their employer, or when a person chooses to buy a policy in addition to one provided by their employer. In the case of duel policies, the primary insurer is usually the patient's own employer-provided plan or the plan they've designated as their primary plan.

In the event of a medical cost, the patient's primary insurance policy is billed first. If the primary insurer does not cover the full cost, then the health provider will bill the secondary insurance policy.

What should I do if I'm having problems getting health coverage?

If you're having trouble getting health care coverage, call us at Instant Insurance at 1-888-LOOK4INSURANCE and we'll have one of our agents look into getting you the right health coverage plan.

What's a "pre-existing condition"?

A pre-existing condition is any health condition you had before you applied for your insurance policy.

What's a co-pay?

A "co-pay" is a predetermined amount you pay toward your medical costs during each visit to a health care provider or whenever you pick up a prescription. The amount of the co-pay is determined by your insurance provider and varies depending on the type of medical service or prescription received, but it is generally anywhere from $15-$75. After your co-payment has been made, your insurance provider will pay any remaining costs. So if your office visit was $150 and your co-payment is $30, you'll pay your physician the $30 and your insurance company will pay the remaining $120.

Auto Insurance

Do I need auto insurance?

Most states require auto insurance. If you're leasing a car, check you leasing contract. Most leasing contracts will require you to have, at minimum, liability coverage. If you've bought a new or used car, you'll want to protect your new investment from theft and possible auto accidents. If you've financed your car, most lenders will also require you to have, at minimum, liability coverage.

How much auto insurance do I need?

The type and amount of auto coverage you need will depend on your individual needs. Most polices cover your personal liability in the event of an accident, the payment of medical expesnses up to a certain amount, coverage for damage to your vehicle, and uninsured motorist coverage which will protect you from losses caused by a driver whose insurance (or lack of insurance) can't cover the cost of the damage.

I bought a car that cost less than a thousand dollars. Does it really need to be insured?

In most states, by law, yes. You'll also want to think about what would happen in the event that an accident occurred in which you were found liable for the damage you caused to another person and/or vehicle. Who will pay for your medical coverage and/or the coverage of the other person involved in the accident? Auto insurance can protect you from potentially crippling medical and liability costs due to an auto collision.

Does my insurance cover injury to another person involved in an accident with me?

In most cases, yes. Check you individual insurance policy.

How do I get coverage for more than one car?

You can usually save more money on your auto insurance premium by insuring more than one car. Most insurance companies will let you insure up to 4 vehicles and/or drivers. Talk to your Instant Insurance agent about insuring multiple vehicles or drivers.

What happens if someone borrows my car? Are they insured?

Your liability coverage will cover whatever damage is caused by your vehicle – even if it's operated by someone else. This is also true if you borrow someone else's car. The car owner's coverage is always the primary coverage if there's an accident.

Renter's Insurance

Why do I need renter's insurance?

Renter's insurance is the best way to secure you belongings against theft and damage. This type of insurance covers most of your personal belongings – electronics, clothes, furniture, and more. If disaster strikes and you lose it all due to fire, water damage, or theft, renter's insurance will cover the value of your belongings up to a pre-determined amount. Check your policy for details.

Doesn't my landlord's insurance protect me?

No. Your landlord's insurance policy only covers damages to the physical property, not your personal belongings. If any of your belongings are damaged by fire, water, or theft, your landlord's policy does not cover you.

What does renter's insurance cover?

Renter's insurance usually covers damage to your personal property, including furniture, electronics, clothing, sports gear, etc. It will also cover your personal liability in the event that someone is injured while visiting you or if you cause any damage to others.

If I have a roommate, do we each need to have our own policy?

It depends on the type of policy you choose. Some companies will offer one policy for multiple people. Ask your Instant Insurance agent for more details.

What does "liability protection" mean?

Liability protection covers any damages you cause to others (or property belonging to others) which you are responsible for.

How much renter's insurance should I have?

Before you choose a policy, you'll want to make a list of all of your personal items and decide how much they're worth. In the event of theft or damage, the cash value of your items will be paid out to you in one of two ways:

1. Actual cash value:
   an amount equal to the cost to replace your items minus the reduction in the item's value over time.

2. Replacement cost:
   an amount equal to the amount you would pay to replace your lost or damaged items. Premiums for this type of payout tend to be higher, and there's a limit to the amount you receive.

Homeowner's Insurance

Why buy home insurance?

Homeowner's insurance is the best way to protect your biggest investment. It's not just coverage for your home, but also any outbuildings (like a storage shed or detached garage) and any personal items you own. If you've received financing for your home, you'll find that most mortgage lenders require you to take out a home insurance policy for, at minimum, the purchase price of the house.

How much home insurance do I need?

You'll need to determine the amount that you can afford to lose in the event of a disaster. If you can afford to pay a higher premium, your home insurance costs will generally be lower. Be sure you also take out enough liability coverage to protect you and your loved ones from financial harm if someone is hurt or something is damaged on your property.

What's the difference between personal property insurance coverage and property damage coverage?

Your personal property is everything you own – things that can be picked up and carried out of the house like clothing, furniture, sport equipment, and electronics. Personal property insurance coverage would cover the replacement cost of these items should they be damaged or stolen.

Property damage means damage to the physical property of your house and any outbuildings like a storage shed or pool. So property damage would cover any repairs or rebuilding you would have to make to the physical structures on your property in the event of fire, lightning, or windstorms (note that earthquake and flood insurance are covered under different kinds of policies).

Will my policy cover losses that happen outside of my home?

Check your policy. While some polices do allow for protection of your personal property while you travel, some may not. If you have an item stolen out of your hotel room – or even if you lose your luggage! – your homeowner's policy may cover the loss. If you're not sure, or want to find a policy that does, contact your Instant Insurance agent.