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Am I covered if I rent a car?

Most likely your policy provides physical damage and liability coverage.  You must have coverage for other than collision (comprehensive) and collision (commonly referred to as “full coverage”) on your policy for those coverages to transfer to the rental car.

Let’s review how this would work:  You are on vacation and the car is damaged, whether your fault or not.  You must turn in the claim to your own company and pay your own deductible to the rental car company.  The rental car company will charge your card for damages and daily rental fees until the car is fixed and the claim is settled.  If you buy the Collision Damage Waiver coverage from the rental car company, you report the damage, give them the keys and go.

Remember, your car policy never covers a rental vehicle in Mexico, Europe and some Caribbean countries.    Also, watch out for who drives the car.   The rental car company contract is voided if someone other than the designated driver is in an accident.  Call us with any questions on your detailed plans.


I lost my diamond ring. Is it covered?

Yes, but only if you scheduled your ring on your policy.  Scheduled means you list the item, pay a premium (usually about $1 per $1,000 of value) and provide a receipt and/or appraisal depending on the value of the item.  By scheduling your valuable jewelry items and watches you also get coverage if a stone falls out of the jewelry item.  The policy has maximum coverage amounts for jewelry claims for fire and/or theft too.  For the small additional premium you’ll be glad you scheduled your valuable jewelry and watches. 


My child just went away to college. Is there coverage for their belongings, computer, etc. At college?
Your homeowners or tenants policy has off premises coverage up to 10% of your contents coverage amount. If you have $100,000 of contents coverage on your homeowners policy, for example, you would have 10% or $10,000 off premises coverage anywhere the content item(s) are located: in a hotel room, college dorm, your car, etc. Computers are contents but we recommend special coverage be added to your policy. For a small additional premium, you get more coverage that you need especially for laptop computers. If you need a higher amount of off premises contents coverage, give us a call.


Why do I have to have uninsured motorist coverage?

This is a question that comes up quite often.  Unfortunately there are still a lot of uninsured drivers in Illinois or you could be hit by a driver from, or be in, a state that doesn’t have mandatory insurance.  An unlicensed farm implement doesn’t have to be insured under the mandatory auto insurance law.  Uninsured motorist coverage pays YOU for YOUR bodily injury caused by a driver with no auto insurance.  Another part of this coverage is underinsured motorist which pays for your injuries due to an at fault driver who has lower liability coverage than your own.


What does “replacement coverage” mean on my homeowners policy?

Replacement coverage means the company will pay you to replace with like kind or quality, be that a TV or a roof, without depreciation for age and wear and tear. The company pays the current price for a like kind and quality item.  What if you have a claim to an item that you don’t want to replace?  For Example:  A TV is not ever used and you really don’t want to replace it.  The company, in that case, will pay you the depreciated value of the TV.  They can’t pay you to replace something you don’t replace.  You need to have replacement cost coverage on the house and the contents.


Am I covered if I drive a vehicle I don’t own?

If you drive a vehicle that the owner lets you use on an occasion, the coverage in event of an accident goes with the vehicle owner’s insurance policy.

If you drive a vehicle provided for your regular use, the vehicle owner’s insurance may provide other than collision or collision coverage but in event of a lawsuit your policy will not cover you for liability. The vehicle owner’s policy won’t cover you either.  Vehicles provided for your regular use by an employer, relative, etc. are excluded from coverage on your own policy.

To provide coverage for a vehicle provided for your regular use, you can add an endorsement that will provide coverage.  This endorsement costs only a few dollars.

Be sure to let us know if you have a vehicle provided for your regular use.


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