This month I want to advise on a couple of things that are becoming more evident to me in today’s world and industry. I want to also give a brief update on Turner & Hamrick offices.
The first advice that I want to give, based on a change in the industry, is that customers need to consider buying higher limits than one million in coverage for liability coverages, such as general liability and commercial auto liability. In the past, my experiences were that most claims were settled within the insurance limits that an insured had, regardless of the severity of the claim. However, now we are seeing more and more claims settled for more than coverage limits. Therefore, it’s becoming increasingly important to consider the net worth, or attainable assets, of a business entity before deciding on the amount of coverage limits you need. No longer is the standard one million dollar limit adequate to cover your insurance needs. Lawyers are relentless and our society is trained to try to “hit the lottery” when in an accident. Therefore, please consider higher limits when necessary.
Additionally, when purchasing insurance, I recommend not falling into a trap that sounds like, “Give me your business! I can save you money!” Of course it’s important to get the best price available for the coverage needed. It is just as important to have the coverage you need when the time comes that you have a claim. Perhaps even more important, consider consistency in coverage, pricing, and quality service when choosing an agent. Agents are at the mercy of the insurance marketplace in the area of pricing sometimes, but consistency in performance relative to the industry marketplace is what should be highly considered when choosing an agency. Just like trying every new health fad, insurance fads can be detrimental to your long-term financial health.
Lastly, and separate from any words of wisdom, I want to mention and update all that we have moved our Montgomery office to the Offices of Midtown, off Perry Hill Road and just north of the I-85 exit. If you are in the area, we would love to have you stop in and see us! Also, if you are traveling down US Highway 231 near Troy, stop in that office as well. Our staff loves to see our insureds!
Thanks for letting us be involved in your insurance buying decisions. We appreciate your business!