Should You Let Your Policy Auto-Renew?

Automatic renewal is an easy way to ensure the continuation of your insurance coverage through the years. You shouldn’t, however, allow an automatic renewal to result in a total lack of oversight in your insurance policy coverage options. Before your policy auto renews, ask yourself the following 3 questions. If you answer any of them with a, “no,” then some adjustments may be in order.

1. Are your limits still adequate?

The coverage limits you set when you initially applied for your insurance policies may be accurate based on the value of the insured property and expense of potential liabilities at the time you took out the policy, but over the years, liability-covered expenses such as medical payments and lost wages can increase and your property can grow in value. If you do not increase these limits before your policies auto renew they will not be providing coverage that you desperately need.

2. Are all insurable incidents covered?

When you initially take out insurance policies you may opt out of certain coverage options; for instance, you may decide to only purchase the state-required auto coverages and opt out of something that could better protect you such as uninsured motorist coverage. Over the years these decisions may come back to haunt you as you find the insufficient coverage taking a bite out of your savings. Instead, adjust your insurance coverage before your policies auto renew, thus ensuring that you have as complete coverage as possible.

Of course, you may have opted out of some coverages because you didn’t need them at the time you applied for insurance. For example, when you initially take out your home insurance policy your house may not have been in an area considered a non-flood zone, but after a few years your neighborhood might have been reclassified. Since home insurance doesn’t cover flood damages, you could be leaving yourself completely exposed by not addressing this reclassification.

3. Can you afford your deductibles?

When you auto renew your insurance policies you are accepting your deductibles as-is. But you may find that you actually can't afford the same deductible now that you could a few years ago when your other financial burdens were lighter. Monitoring your deductibles and adjusting them before your policies renew can lighten your self-insurance burden and allow your policies to work harder for you.

If your policies are getting ready to renew, or you simply want an insurance review to help ensure that your family and assets are fully protected by your Chicago Auto Insurance, give us a call at Oxford Insurance today!

What Does Commercial Auto Insurance Cover?

If you own a business and use a car—whether personally owned or owned by the business—for any business purpose, then you need to consider commercial auto insurance coverage. Even if your employees simply run errands for you in their own vehicles, commercial auto is a policy you must have.

A commercial auto insurance policy has the ability to cover the same types of incidents that a personal auto insurance policy can cover, but it does so when the accident occurs during a business activity. The reality of what your commercial policy will cover depends on how your policy is designed. Some of the coverage protection you may have includes:

Bodily Injury and Property Damage Liability

Since bodily injury and property damage liability are required by almost every state, it is likely that your commercial auto insurance policy provides this coverage. This will pay for injuries and property damage done to others during an accident. You may have a deductible and, for bodily injury, a limit for a single-person injuries along with an aggregate limit for multiple injured individuals.

Comprehensive

Comprehensive coverage is optional and it covers damages due to many non-collision sources such as nature, vandals, thieves and even certain civil disturbances. This kind of commercial auto insurance protection is extremely important because it protects the value of your vehicle for you so that your business won’t be interrupted after an insurable incident.

Collision

When you have an accident and you hit another vehicle or object, including a telephone pole, mailbox or other structure, collision coverage is what you will rely on when making an auto insurance claim. Collision covers the damages to your car, but not any liability you may have to another person’s property.

Uninsured Motorist

While insurance may be required in your state, there will always be non-compliant drivers who skirt the law and operate a vehicle without coverage. These individuals may be on the wrong side of the law, but it is you who will suffer if you are in an accident with them. Uninsured and under-insured motorist coverage on your commercial auto insurance policy gives you a resource for your accident expenses if the at-fault driver does not carry any, or enough, insurance.  Without this coverage, you may have to sue the other driver or, if they do not have any resources, pay out-of-pocket for damages.

Commercial auto insurance coverage is necessary for every individual who drives a personal or company vehicle at any point for any business purpose. If you are ready to begin shopping for Chicago auto insurance, give us a call at Oxford Insurance Group.

Reducing Accident Risk by Driving Smart

When trying to preserve your life and your money, one of the best things to do is reduce your daily risk exposure. By keeping yourself, your family and your property safe you will reduce your overall expenses and make your life much easier—especially when you reduce your risks of a car accident. The easiest way to do this is simply by driving smart.

• Observe basic traffic laws: Traffic laws were developed to promote the safety of everyone on the road. Without these measures, people could drive whatever speed they wanted, stop and go when they pleased, and act in a way that leaves you at risk. By following speed limits, observing traffic lights and signs, avoiding texting and complying with other basic traffic laws, you reduce your risk of accident immediately.
• Leave early: When you have an appointment, it’s a good idea to leave the house as early as possible in order to avoid traffic and stress. When you rush to make it to an appointment on time you may make poorer driving decisions in your desire to get to your destination quickly.
• Don’t follow close: Tailgating is a great way to have an accident no matter what time of the night or day that you drive. Generally, it’s a good idea to follow the three-second rule, as that will leave enough room between your vehicle and the one ahead. The three second rule means that you can count to three (using the one-one-thousand method) before passing the same spot as the vehicle in front of you.
• Minimize distraction: Everyone knows that cell phones can be distracting to drivers, but so too can food and drinks, the radio, and other passengers. As a driver, it’s up to you to control your environment. Understand what distracts you while you drive and make sure to adjust the environment so that you can reduce your likelihood of being distracted.
• Learn defensive driving: Not every accident that can occur is your fault, so it’s helpful to also learn how to drive defensively and avoid the mistakes of other drivers. Not only can a defensive driving course keep your car and family safe, it can also save money on your car insurance.

As a driver, you are in charge of your vehicle. Take control and reduce the risk of accidents and claims by driving smart. For Chicago auto insurance quotes or to find out if you need to increase your coverage, give us a call at Oxford Insurance Group.

Why A.M. Best Ratings Matter

Insurance agents can choose between many different carriers for the products they sell. The insurers they choose aren’t just selected because they have affordable rates or generous underwriting standards; they are chosen because they have been assigned good ratings by A.M. Best.

With new insurance options entering the field every day, it’s more important than ever that you and your agent work to find an insurer with an A- or higher A.M. Best rating that can provide the coverage you need at a price you can afford.

A.M. Best Ratings: Assurance of Financial Security

When you buy an insurance policy, you aren’t just making a one-time purchase that you can walk away from with tangible goods; you are making payments on a promise. Insurers make promises to policyholders that they will pay claims out when they are valid and fall under all the conditions of the policy. How do you know an insurer will be able to afford to pay your claims, should you have them though? Furthermore, how do you know they’ll even be around that long? Without a high A.M. Best rating, you really don’t. A.M. Best measures the financial strength of the insurers you’re thinking about doing business with and assigns them a letter rating based on that measure.

In order to assess financial strength and longevity, they evaluate the company’s balance sheet, profile and performance. The balance sheet discloses their assets and liabilities, which can offer indications of the health of the company and the effectiveness of its management.

A.M. Best: Identifying Insurers You Can Trust

Not only can an A.M. Best rating give you the peace of mind you can only have when you know your insurer is capable of fulfilling its promises, but it also shows you that you are doing business with a company you can trust. When you enter into a long-term agreement as important as one for insurance coverage, one that’s meant to make you whole after a disaster, total loss of home, car or life -- doing business with a company that you can trust is more than just important, it’s necessary.

When you work with Oxford Insurance, you can be assured that we only use the top rated companies to help you make the best decisions for the financial future of your Chicago Auto Insurance. Give us a call to get started.

Reasons to Change Insurance Agents

The relationship you develop with your insurance agent is one that will go through many different life-changing events including adjustments in your budget and the shuffling of your priorities. Like other intense, long-term relationships, you need to continually evaluate whether or not the relationship is still working the way you want it to before you move forward.

When you consider your relationship with your agent in terms of future viability, here are some examples of indicators that it might be time to make a change.

• Your agent no longer seems invested in helping you protect your assets. Your agent should reach out to you on a regular basis to ensure that your financial situation and assets haven’t changed. They may reach out through emails, postcards or phone calls, but there should be some regular communication.
• Your agent can’t compare rates. Insurance agents that are tied to a single insurer have less ability to service your needs than those who can explore the benefits and premiums of multiple carriers. If your agent is restricted to just one insurer, you might not be getting the best deal and benefits.
• Your agent doesn’t educate you. Agents are knowledgeable professionals in their industry, and good agents want their clients to benefit from that knowledge. They share information with clients during in-person meetings, in blog posts and articles and through newsletters.
• Your agent is inaccessible. Insurance agents have a lot on their plate, but good agents always manage to find a way to make time for clients. They should have a knowledgeable staff on hand to answer your calls and emails, and if you need to speak directly to the agent, they should return your call or email promptly within a few business days, unless they are away. An agent who never returns your calls, has no staff available and ignores your emails may not be a good fit for your financial future.
• Your agent’s always in a hurry. It is always a challenge to fit everything into a busy day, and there may be times when your agent has to call you back between appointments to answer a quick question. If your agent is always in a hurry, however, or makes you feel uncomfortable about taking up his or her time, then it’s going to be difficult to make sure you get all your insurance questions answered and needs met.

An insurance agent is an amazing partner to have on your financial journey. But it’s a good idea to take the time to find an agent who understands you and what you need, and is invested in making that happen.

Contact an agent at Oxford Insurance to ensure your agent and your Chicago Auto Insurance are right for you.