Below please find answers to frequently asked questions.

Q1.

My cousin and his family will be in town for an extended visit and I was wondering if it was OK to borrow them the extra car while they are here.

Answer:

You have the right to give someone permission to operate your vehicle. The company would want you to make sure they are a licensed driver with a normal driving record.

Q2.

My son just got hired at the local pizza place to be a delivery person. He will be using the family sedan for the delivery. Would my insurance company be OK with this exposure?

Answer:

Absolutely not, this is a commercial delivery exposure and not covered under personal liability coverage. If the company were to be notified of this exposure they would have the right to cancel the coverage completely.

Q3.

Can I carry “Collision” coverage on my vehicle without “Comprehensive”?

Answer:

Unfortunately the answer is no. You’re required to carry “Comprehensive” coverage if you want “Collision” coverage. However you can carry “Comprehensive” without “Collision.”

Q4.

What is an endorsement?

Answer:

An endorsement is a change to your insurance policy. It is made during the policy term and modifies your insurance contract.

Q5.

In reference to my auto insurance, I want just what the State of Minnesota requires to drive down the road. What coverage am I required to carry?

Answer:

The following coverage is what is required to be covered if you have liability only in the state of Minnesota: Bodily Injury, Property Damage, Personal Injury Protection, Underinsured Motorist, and Underinsured Motorist Coverage.

There are several different limit levels available for each coverage. I suggest you discuss your risk with your agent.

Q6.

During a bad storm the rain was wind-driven and ran down the foundation of my home seeping into my finished basement. Will my homeowners repair the damaged sheetrock and carpet?

Answer:

Water is excluded under the homeowners policy unless it enters through an opening in the roof or walls resulting from damage caused by direct force of wind. Some policies have an additional coverage called Water or Sewer back up. This allows limited coverage for the back up of the sewer or the claim that arises from the sump pump failure.

Q7.

If I have replacement cost coverage on my contents and they are stolen do I have to purchase the items in order to collect money from my homeowners coverage?

Answer:

If you do not purchase the items new again then you will receive the depreciated value of the items stolen. If you have replacement cost coverage on your policy and you purchase the items stolen, new, the company will reimburse 100% minus the deductible for like kind and quality items.

Q8.

I recently purchased an older home for $220,000. When I went to insure it with my agent they advised me that to be insured in the preferred program I would need to insure it for $300,000.

Answer:

The insurance industry uses the Marshall Swift Boech Guide as a tool to determine the cost to replace your home in the event of a loss, with the same square footage and amenities it currently has at the time of insuring it. This value can be more than the purchase price and also more than the assessed value for tax purposes. Marshall Swift Boech does a great job at reviewing building costs every six months. The costs are determined also by where you live (zip code). A preferred program requires you to be insured at a minimum of 90% of the determined replacement cost.