Home owners
Automobile
General
Commercial
Claims

 

 

 

Home owners -

1. When and why do I have to replace my oil tank?
The normal life expectancy of an oil tank is 15 years for an out door one and 20 years for an indoor one.
2. What type of wiring do insurance companies require?
If a house is 25 years old or older, companies look for at least 100-amp entrance. All houses have to be at least 100 amps.
3. When should my roof be replaced?
Depending on the warranty of your shingles and if the house is over 25 years old - the shingles should be replaced. The normal life of shingles is 25 years.
4. When should my pipes be replaced and what should they be made of?
Pipes should be made of copper and drain piping should be made of plastic ABS- cast iron pipes are not allowed.
5. What are floaters and what kinds are there out there?
Any personal belonging i.e. ornaments collectibles, musical instruments, jewelry, sporting items, etc added to a homeowners policy.. These specific items would be covered worldwide and all risk with a lower or no deductible.
6. How does inflation affect my insurance policy?
Inflation is a form of protection that safe guards the insured so he/she will have adequate limits in place so that if something does happen the insured's replacement cost would be in line with the general building construction index. Inflation usually increase the building limits annually and the premium would increase accordingly to pay for the increase in coverage.
7. What is the deductible? Give me the price of my home insurance coverage with some different deductibles.
The higher the deductible (the portion of a claim that you have to pay), the lower the premium. Compare the premium with different deductibles, and then decide whether the lower premium is worth the higher amount you would have to pay out of pocket if you had a claim.
   
 

 

 

Automobile -

1. Does having a beginner's license mean that I don't have to be added on to the policy?
Yes, you are not charged as an occasional driver on the automobile policy, but once you are licensed, there is a premium.
2. What does a lapse of insurance have to do with the amount of premium I pay?
If you do not have continuous insurance, you may be ineligible for the lower rates.
3. What are the provincial limits for 3rd party liability?
All provinces have enacted Financial Responsibility Laws that require that motorists be able to establish their financial ability to pay losses up to a certain minimum dollar amount. In Nova Scotia automobiles must carry a minimum of $500,000.
4. Why do insurance companies sometimes ask for medicals for over 70 year old drivers?
A doctor would know best whether or not a person is fit to drive. At age 70 a person is more prone to having mental deterioration (slow reaction time and lack of attentiveness), failing eyesight, and other medical conditions. In some cases drivers may not be able to meet the demands of driving physically and mentally.
5. Why are older vehicles more difficult to insure for new business? Mechanical fitness is the main reason.
6. How are the rates I pay for collision and comprehensive insurance determined?
-Most insurance companies now use what they call CLEAR rating. Under the CLEAR(Canadian Loss Experience Automobile Rating) system, devised by the Vehicle Information Center of Canada(VICC),rates are based, not on price, but on the experience and risk associated with the make and model of each vehicle. Separate rate groups are assigned for accident benefits, collision and comprehensive /specified perils. VICC takes several factors into account when coming up with a rate group: claims and vehicle characteristics, such as weight to horsepower ratio, wheelbase, body style, price, etc. Each year, VICC reviews the rate groups, factoring in new claims data, and adjusts rate groups accordingly. Also, statistics have shown that some vehicles are more susceptible to theft than others.
7. What is collision?
Collision coverage provides an insured with physical damage protection on their vehicle. Collision includes collision or upset caused by collision with another object or by upset
8. What is comprehensive insurance?
Includes and or excludes certain coverages such as fire, theft, glass breakage. Does not include collision.
9. Who is covered in my auto policy?
To avoid the risk of nullifying your insurance contract, all licensed drivers in your household and the true prinicipal driver must be declared. Any licensed driver driving with your permission is covered under your auto policy, And remember- your insurance goes with your car, so if you lend your car, you also lend your insurance. Don't do it lightly-if the person who is using your car causes an accident, it will go on your insurance record and your premium (what you pay for your insurance) may increase as a result.
10. What is my deductible? What do you recommend?
Collision and comprehensive coverages have deductibles (the portion of the claim that you have to pay). Ask how it will affect your premium if you choose a higher or lower deductible. But don't choose such a high deductible that you couldn't pay it out of pocket if you had a claim.
11. What is Third Party Liability?
Imposed by law this coverage covers the insured, if he/she causes bodily injury or death of any person or damage to property, up until a stated limit. All provinces have enacted Financial Responsibility Laws that require that motorists be able to establish their financial ability to pay losses up to a certain minimum dollar amount. In Nova Scotia automobiles must carry a minimum of $500,000.
12. What are accident benefits?
This coverage is a form of no fault insurance. The coverage is compulsory in all provinces except Newfoundland. Accident benefits paid by automobile policies may include Medical Payment, Funeral Expenses (except Saskatchewan), rehabilitation, Disability Benefits and Dismemberment Benefits.
13. What is Sef#44?
When a motorist responsible for bodily injury or death to persons insured by this endorsement (1)- does not have enough insurance, or (2)- is uninsured, this endorsement increases the Third Party Liability limits available to those insured's to the same limits as purchased under their own policy. The limit of coverage is the difference between the liability insurance limit of the insured's policy and that carried by the motorist at fault. Ex. You have 1,000,000 liability limits and the motorist that hit you (at fault) has the minimum of $500,000. If damages are more than $500,000, the difference would be paid under your own policy up to the limits of the policy, in this case up to $1,000,000.
14. What is Sef#20/27?
Sef#20- When there is a loss to the automobile which results in its loss of use to the insured, the insurer agrees to pay all reasonable expenses incurred for: rental of substitute vehicle& taxicabs or public transportation. Sef#27-provides coverage for loss or damage to certain types of non-owned automobiles which are leased or rented to insureds in their own name. Provided that their own vehicle is not being used.
 

 

 

 

 

 

 

 

 

General -

1. What kind of discounts do I qualify for and how much are they? Homeowners - These vary from company to company. This is a list of discounts that may be offered. Mature citizen, No claims credit, mortgage free discount, Alarm credits (central Monitoring system), Multi-line & Multi-policy, New Home, Preferred Heat, Neighborhood watch.
Automobile- Multi-policy, Multi-lines (auto&property), Mature, Occasional Driver under 25 years away at University, Clergymen, farmers(full-time).
2. Why are premiums going up?
- The cost of claims has been on the rise in Atlantic Canada for several years. Industry claim costs have increased by more than 30% in the past year alone. Premiums are going up to off set the losses paid out by the insurance companies.
 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial -

1. Why is it important to have vehicles that are used for business rated as commercial rated vehicles?
Vehicles are rated according to the exposure of the vehicle. Ex. - a vehicle driven to and from work would have less exposure to risk than a delivery vehicle because the delivery vehicle is on the road more.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Claims -

1. When do I have to report an accident or claim to the insurance company? If you need to file a claim, your first move should be to either call your insurance broker or Claims Assist number open 24 hours a day, seven days a week, 365 days a year and is toll-free from anywhere in North America.
2. Is there anything I should carry with me or do so that if a claim happens things may be easier?
In case of an accident here are some suggestions-Should have Third Party -Owner's name, Drivers Name, date and time of accident, location of accident, address, daytime phone number, Insurance company Policy number, types and makes of vehicles involved, Any injuries, Police file #, Any charges Laid?, License Plate numbers, Witnesses names and day time phone numbers.
Do not admit Fault & if injured proceed to the nearest or seek immediate medical advice and call our office.