Motorcycle Insurance

Make It Simple- Motorcycle Insurance  

This is our fifth installment in the Make It Simple series. Have you tried to read your insurance policy and just given up? Even your motorcycle policy can be very confusing! Let me try to simplify it for you.

Every policy (regardless of type) should have a Declarations Page, commonly referred to as the “Dec Page”. This page “declares” who you are, what property you have insured, your coverage choices and how much you are paying for this policy period.

Similar to Auto insurance, there are 2 types of coverage on your Motorcycle insurance policy; Coverage that protects the other party and coverage that protects you.

COVERAGE THAT PROTECTS THE OTHER PARTY

Bodily Injury Liability: protects you from having to pay medical costs, lost income and funeral expenses of other people involved in an accident that is your fault.

Property Damage Liability: Protects you from paying for the repair or replacement of the other person’s property.

There is no deductible for liability coverage. You have many amount options for this coverage. The state minimum in Texas is $30,000/$60,000/$30,000. This means you are covered for $30,000 per person/$60,000 per accident and $30,000 for property damage. I would suggest liability in higher limits than the state minimum. If you cause an accident and the liability claim is 75,000, if you have state minimum coverage, you will pay the additional $15,000 out of pocket. It is not expensive to increase your liability limits. Ask your agent to explain your options.

COVERAGE THAT PROTECTS YOU:

Uninsured/Underinsured Bodily Injury: covers your injuries (or death) in case the responsible party has little or no insurance. It also covers anyone riding on your motorcycle.

Uninsured/Underinsured Damage: covers damage to your motorcycle or property in case the responsible party has little or no insurance.  There is a state mandated $250 deductible in Texas for Uninsured/Underinsured motorist coverage.

Medical payments: covers medical or funeral expenses if you or anyone on your motorcycle is injured in an accident.

Personal Injury payments: covers medical or funeral expenses and possible lost wages if you or anyone riding on your motorcycle are injured in an accident.

Collision Coverage: pays for damage to your motorcycle if you hit another car/motorcycle or something else (like a tree or a building).  You must pay a deductible. Deductible amounts determine the cost of this coverage. The higher the deductible, the lower the premium.

Comprehensive Coverage: (also called Other than Collision) pays for damage to your motorcycle if something other than a collision occurs. This could be fire, theft, hit by an

Animal (yes, the animal hit your motorcycle!) The same type of deductible rules apply to Comprehensive as they do to Collision. They are two different deductibles though.

Optional Coverages that protect your motorcycle:

            Towing: pays for towing and some basic roadside assistance, depending on the carrier and towing option you choose.

            Trip Interruption: pays for lodging, alternative transportation and food while the motorcycle is being repaired in the event of a breakdown or covered loss that is more than 100 miles from home.

            Rental Reimbursement: pays for the cost of renting a car while yours is being repaired after an accident.

            Loan/Lease Gap Insurance: pays the difference between what you owe and the total value of your motorcycle if it is totaled in a claim. 

            Accessory Coverage: covers customer parts and equipment. You must have Collision and/or Comprehensive coverage as well.

             

So there you go. There are many factors in Motorcycle insurance, but they don't have to overwhelm you. If you have any questions, please contact your agent. That is what they are there for. If they cannot answer your questions, please contact us. 

   If you have questions about your home, auto and commercial insurance, please call Brockman Premier Insurance at 877-987-8683 or email us.

Visit our Website for more insurance tips and information.

Renters Insurance

Make It Simple- Renters Insurance

This is our fourth installment in the Make It Simple series. Have you tried to read your insurance policy and just given up? It can be very confusing! Let me try to simplify it for you.

Every policy (regardless of type) should have a Declarations Page, commonly referred to as the “Dec Page”. This page “declares” who you are, what property you have insured, your coverage choices and how much you are paying for this policy period.

Similar to Homeowners insurance, there are 2 types of coverage on your Renters insurance policy; Coverage that protects the other party and coverage that protects you.

Coverage that protects the other party:

Personal Liability: Covers you if someone is injured on your property due to your negligence.  It may help pay for treatment of their injuries and your legal costs.

Guest Medical Payments: May provide reasonable and necessary medical expenses to a guest on your property injured in an accident.

 

Coverage that protects you:

Personal Property:  This is your contents on the property. This can be written as Actual Cash Value (ACV) or Replacement Cost (RC) coverage. ACV coverage means your belongings are covered at the amount it would cost to replace them minus depreciation. So if you have a 5 year old tv that is stolen, you will receive the amount it would cost to replace the tv 5 years ago.  RC coverage means your belongings are covered at the amount it would cost to replace them at the time of the claim. So if you have a 5 year old tv that is stolen, you will receive the amount it would cost to replace the tv at todays cost.

Loss of Use:  May provide reimbursement for reasonable increases in living expenses (such as a hotel room or apt) due to a covered loss, if your rental home is uninhabitable.

Deductibles:  is the amount you pay out of pocket when you file a claim for a covered loss. You will have several options to choose from for your deductible. If you have a $500 deductible and a $6,000 loss, the insurance carrier would pay you $5,500 for the claim. A higher deductible will generally                                                             mean a lower premium and vice versa.

Additional coverage: You may be able to add optional coverage such as extra jewelry coverage or Identity theft restoration or increased coverage for business property.

For Parents of college students:  if you have kids living in dorm, remember- personal property coverage  on your home insurance policy will extend to the dorm. But it only covers up to 10% of your personal property coverage amount. A renters policy is an inexpensive way to make sure you child is covered at school!

    If you have questions about your home, auto and commercial insurance, please call Brockman Premier Insurance at 877-987-8683 or email us at  brian@brockmanpremier.com.
Please visit our website for more insurance tips and information.

Flood Insurance

Make it Simple- Flood Insurance

   Our next installment in the Make It Simple series is Flood Insurance. Consumers are rarely required to carry flood insurance unless they are in a Flood Zone. Then their mortgage house will most likely require they carry a flood insurance policy. But you should talk to your agent and make sure you know if you should have a flood policy or not, regardless of which zone you are in. 

   Your flood policy has a Dec page, just like every other insurance policy. It will “declare” who you are, what property you have covered, the insurance limits you have chosen and how much you are paying.

   Flood Insurance is backed through the federal government under the Federal Emergency Management Agency’s (FEMA) National Flood Insurance Program regardless of who you buy the policy from. There are various levels of coverage and deductibles to choose from. You will have a separate deductible for both the building and the contents. Unlike Home and Auto insurance, Flood insurance only covers You. There is no “other party” liability in flood coverage.

Building Coverage: This covers physical damage to your home due to rising flood waters, keeping in mind- two properties, or two acres, have to be flooded for flood insurance to pay out. This covers the building and its foundation, electrical and plumbing systems, a/c equipment, furnaces, walls, flooring… etc. The amount of building coverage should be based on your dwelling/replacement cost amount on your home insurance policy. The flood cannot be higher than the home insurance amount. It usually caps at $250,000 for residential homes.

Contents Coverage: This covers physical damage to personal property such as clothing, furniture, electronics, certain valuable items, such as artwork (up to $2500). It will not cover currency or precious metals.

Deductibles: The Building and Contents coverage have a separate deductible. The higher the deductible, the lower the premium, but the more you will pay out of pocket in the case of a claim.  

  That’s basically it for Flood coverage. It is a simpler Dec page than home and auto with fewer coverages to understand. But please make sure you do understand what it will and will not cover and how much coverage you need to have. 

   If you have questions about your home, auto and commercial insurance, please call Brockman Premier Insurance at 877-987-8683 or email us at brian@brockmanpremier.com.
Please visit our website for more insurance tips and information.