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Insurance 101: Frequently Asked Questions

What are the discounts that can be applied to an Auto Insurance?Homepage - Client Portal

Auto policy discounts may vary depending on your carrier/company, but the most common auto discounts are the following:

  • Multi-policy discount: May apply when you insure both your home and car with the same carrier.
  • Pay in Full Discount: May if you will pay your premium in full
  • Multi-car discount: May apply if you insure more than one of your vehicles with the same carrier.
  • Good driver discount: May apply if you have been accident-free for a specific period of time (Number of years may depend on the carrier)
  • Good student discount: May apply if the young driver in your family has good grades

What are the discounts that can be applied to a Homeowners Insurance?

Homeowner’s policy discounts may vary depending on your carrier/company, but the most common discounts are the following:

  • Multi-policy discount: May apply when you insure both your home and car with the same carrier.
  • Pay in Full Discount: May if you will pay your premium in full. This may also be applicable for mortgagee – pay premiums.
  • Protective Devices and Alarm Discount: May apply if you have an installed fire protective device such as
  • Fire distinguisher, centralized Fire Detection system or Sprinkler System and centralized burglar alarm.

Insurance Connections Northwest - Logo 700Who should I call to report a loss/claim?

  • We highly recommend calling us – your agency to file a claim or loss before calling the carrier for us to review your policy and you some advice and suggestions to proceed.

Some carriers will automatically open a claim report if you call them and ask some claim related questions even if you did not really mean to file a claim.

What are my Auto Insurance coverage for?

  • Bodily injury (BI) and property damage (PD) liability coverage – Pays for damage you cause to other people or their property.
  • Personal injury protection (PIP) – Pays for medical expenses and usually lost wages regardless of fault
  • Collision coverage – Pays for damage done to your car in a collision
  • Comprehensive coverage – Pays for damage done to your car in non-collisions (i.e., fire, vandalism, or theft).
  • Uninsured and under insured motorist (UM/UIM) coverage – Protects you if you are in an accident and the driver at fault does not have insurance.

Do I need an auto Insurance if I do not own a car?

  • If you rent or drive someone else’s car, then, yes, you need a non-owner auto insurance policy. That will provide you a basic liability coverage such as Bodily injury (BI) and property damage (PD) liability coverage, and that will pay the damages you cause to other people or their property in case of accident.Why are my rates going up?

What are the rating factors considered in my auto premium?

  • Accidents and ticket violation – Carriers can run your driving records on their systems and the more accidents and ticket violations you have, the riskier you are and that will result to a higher premium.
  • Age – While senior discounts may be available depending on your insurer and state, your rate is likely to increase once you reach 70 in many states. From a risk perspective, insurance companies often view senior drivers the same way they do teen drivers.
  • A lapse in insurance – If you are looking to reinstate a policy or start a new one and you are coming off a period of being uninsured, you are typically going to pay more for insurance.