Question 1

Can I get multiple insurances for the same thing?

Accepted Answer

Yes, you can often have more than one insurance policy for the same thing to provide additional coverage if you wish. However, you cannot file the same claim under each policy, which would be insurance fraud. Note that you must check with your first policy’s terms to ensure that having a second insurance policy from another carrier will not violate your contract.

Question 2

What is an insurance premium?

Accepted Answer

An insurance premium is an amount you pay for your policy, which may be monthly or annually, depending on your choice. The insurance company sets your policy’s premium amount based on what you’re insuring, how much risk it carries and any discounts you have, among others.

Question 3

How much is insurance?

Accepted Answer

How much your insurance policy costs depends on many factors dictated by the type of coverage. For example, your home insurance costs will be influenced by the value of your home, your location, how much coverage you need and other factors.

Question 4

What is term life insurance?

Accepted Answer

Term life insurance is a type of life insurance designed to only cover you for a set period of time, such as 5, 10 or 20 years. Term life policies are often purchased by younger individuals who are healthy and don’t necessarily “need” coverage but want to take advantage of the policy's affordability.

Question 5

What is mortgage insurance?

Accepted Answer

Mortgage insurance is a policy designed to protect the mortgage lender if the borrower defaults on their loan. Mortgage lenders often require this type of coverage if a home buyer purchases a residence with a down payment of less than 20% of the property's value.

Question 6

How much is car insurance?

Accepted Answer

The cost of car insurance depends on many factors, including your location, the coverages you select, any discounts you may qualify for, your credit score and history, your age, the value of your vehicle and more. The current national average rate for car insurance is $1,424 annually or about $119 per month.

Question 7

What is comprehensive insurance?

Accepted Answer

Comprehensive insurance is an optional coverage under auto insurance that protects against threats “other than collision,” including fire damage, theft, windshield breakage, accidents with large animals like deer and more. This coverage is most often optional.

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