The MOST Important Policy You’ll Use

In our first ever Let’s Talk Insurance podcast, Janet explains why life insurance is so important. To learn more about Farmers life insurance policies and coverage visit,

https://www.farmers.com/life-insurance/

For the same reason everything is–inflation. Inflation of home materials and car parts, plus labor shortages, which create manufacturing delays, are all a ripple effect leading to increases in insurance premiums.
Think about it: if it costs more to make and deliver your car parts, your insurance has to reflect that increase for replacement cost so that if you have an accident, you’ll be covered. The same with your home. Home insurance premiums are going up everywhere due to the increased cost of labor and construction materials thanks to supply chain issues and record-high inflation that started in 2020.

Other rate factors include:
Natural disasters-floods, tornadoes, wildfires
Post pandemic travel increase-more people on the road
Supply chain bottlenecks
Distracted driving
Increased theft levels

What can you do?
Call your insurance provider to make sure you have the correct coverage and ask if there are any discounts you might qualify for. In some circumstances, discounts and/or bundling can help off-set these rate increases.

For additional information:

https://www.farmers.com/learn/insurance-questions/why-did-my-car-insurance-rates-change/

What is a permissive driver? Someone who you give permission to borrow your vehicle, but they are not listed on your policy. 

Do most auto policies cover permissive users? Most policies come with permissive use, but always check with your agent. It’s also recommended that the borrower of your vehicle carry their own insurance too. 

How does it work? Permissive use coverage is designed for occasional, short-term borrowing. “Occasional borrowing” does not equal “regular use”, espciallly if the borrower does not  live with you. However, if a driver uses your car on a “regular basis” it’s best to add them to your policy. An example would be, if your friend needs to borrow your pickup truck for a day or two to haul something, they would be considered a permissive driver and covered in case of an accident. On the other hand, if your friend moves in with you and drives your pickup often, they would need to be added to your policy. 

For more information:

https://www.farmers.com/learn/insurance-questions/what-if-a-friend-crashes-my-car/

https://www.farmers.com/learn/insurance-questions/does-my-auto-insurance-cover-anyone/

Welcome to Janet Smart Agency! We are a one-stop-shop for all your insurance needs. From life and business to auto and health insurance, we cover it all. Plus we even partner with Rocket Mortgage! Check out our video to learn more!