Storms that are very bad can do a lot of damage to your home. The same thing can also happen to your car. What can you do when storms get worse? Look over your insurance plan. Ron Berry, senior vice president of the Council of Better Business Bureaus, says, "Too often, people don't realise they don't have certain types of coverage until they try to make a claim."
In fact, according to ISO's Property Claim Services (PCS), the recognised authority on insured property losses from disasters in the United States, the number of claims for vehicle losses caused by severe storms nearly doubled in the first five years of this century.
The Insurance Information Institute (I.I.I. ), a non-profit group, says that comprehensive coverage will pay for damage caused by fire, falling objects, storms, acts of vandalism, animals, and floods.
The deductible for most comprehensive insurance is between $100 and $300, but you may want a higher one to lower your premium. If your windshield is broken or cracked, your comprehensive insurance will pay you back.
But Carolyn Gorman, vice president of the I.I.I., says that even if you have full coverage, it doesn't always mean that it will meet your needs. "For example, you may be surprised to learn that after a storm, your auto insurance does not automatically cover the cost of a replacement rental car while your car is in the shop getting fixed or while you wait for approval for a new car."
She also said that a person could rent a replacement car for up to $1,000. "For just a few dollars a month, rental reimbursement coverage will pay for a rental car while your car is being fixed or while you wait for approval for a new car. One day of car rental can cost more than a full year of rental reimbursement coverage "Gorman said.
If a storm does damage to your car:
Know what your insurance will pay for. Don't wait to find out that it doesn't cover everything or that it won't pay for a rental car or roadside assistance if you need it.
Damage should be reported as soon as possible. If your car can't be driven, your insurance agent or claims centre may be able to save you time and money by towing it straight to the repair shop and giving you a rental car instead.
Know your deductible and any other extra costs before you give the go-ahead for work to be done. Expect your insurance adjuster, claims representative, or repair shop appraiser to go over the damage with you and explain the process, including whether original or generic auto parts will be used.
