Why You Should Not Save Money on Home Insurance in Cincinnati?

Don’t fall for the trick of purchasing cheap home insurance Cincinnati.

The biggest mistake you could make is reducing coverage to save money on your insurance. You could inadvertently save a small amount of money now, but cost yourself tens of thousands of dollars later.  

Call the Cincinnati homeowners insurance experts with Pathway Insurance at 513-662-7000.

We can help you design a homeowner’s plan that takes a balanced approach between reducing cost, and not reducing benefits.  Or for an online insurance quote click: Home insurance Cincinnati.

Why Saving Money On Insurance Can Cost You Money?

Isn’t it true that every single insurance company advertising on television tells pretty much a universal story on how important it is for consumers to save money on insurance? It’s true.

However what companies typically do not advertise is how insurance can save you financially in the event of a catastrophic claim.

Consumers have been misled into believing that the only thing that matters is the price you pay for the insurance, this is far from the truth.

Why?  Insurance is far more complicated than the price you pay for it. ™

This Is How Insurance Is Different between Companies

There are 4 specific factors or elements on insurance that consumers need to understand and take into consideration before they make a decision to change to another insurance company.

Each one of these areas can have an impact on you financially. What are the four factors?

1. Insurance policies are not identical
2. Claims reputation differs between insurance companies
3. Insurance endorsements can add or take away coverage from your policy
4. Are you given insurance education by your company? (Knowledge is power.)

Let’s discuss the first area, which regrettably is one of the most important factors that consumers pay absolutely no attention to because we have not been taught that it is something that’s important for us to pay attention to. But it’s an area that could literally cost you tens of thousands of dollars out of pocket if you have purchased the wrong insurance policy.

Did You Know Homeowners Insurance Policies Are Not Identical?

Certain insurance companies by means of television advertisements have attempted to subtly convey the opinion that the only difference between insurance policies is the price that you pay for that protection. That is absolutely not the truth, here is the reason why.

There can be many major differences in home insurance protection and coverage between companies. So you can have the same property coverage limits and deductibles on your homeowner’s insurance policy, but the claim results can turn out completely different between company to company, because of the language in the insuring agreement of the insurance policy itself.

In a new book that I am publishing, I will give actual examples of how a particular homeowner’s claim could be covered with one insurance policy, but would be denied by another insurance policy.

First Thing You Need to Know about Insurance

When you are looking for Home Insurance Cincinnati, the very first thing that you have to understand is that insurance policies are not identical. There can be significant differences between insurance company policies that could cost you a large sum of money if you are not aware of those differences.

In a future article we will discuss why the claims reputation of your insurance company is important.

If you are unsatisfied with your current insurance carrier why not give us a call? We offer the most competitive rates on Home Insurance Cincinnati. Our office number is 513-662-7000 or you can receive an online home quote by clicking on:  Home insurance quotes Cincinnati.

The insurance industry is not unlike other industries when it comes to employee turnover. It happens, some people with the best intentions want to become an insurance agent and find out six to twelve months later this is not what they want to be doing as a career and they quit. (Or they get fired because they could not sell enough insurance policies to survive.)

Why is that bad for you as the insurance buyer in Cincinnati? And more importantly why is it important to choose an insurance professional with years of industry experience to care for your insurance needs?

Because of the constant, nonstop advertising we see from companies like GEICO, Progressive Direct, Safeauto, Esurance, Allstate and Nationwide insurance in Cincinnati.  Insurance shoppers in Cincinnati have been programmed or trained to think that the price you pay for your insurance is the most important factor that you should take into consideration when making a buying decision for your insurance needs.

The price you pay for your insurance should only be one factor in your decision making process.

Insurance policies come in a variety of different features, benefits, and coverage enhancements. Insurance policies are extremely complicated financial contracts that sometimes require interpretation from the judicial system (by means of a lawsuit) for understanding.

For instance, if you choose the wrong coverage amount or options you may cause yourself some serious financial harm if you have a claim.  In addition you could violate a coverage restriction on your policy and find yourself (after the claim happens) having absolutely no coverage for something you thought you were covered for.

An insurance agent who is new to the business is not likely to have the knowledge, understanding, or experience to be able to provide real-world practical advice.  Insurance policies are extremely complicated financial contracts between you and the insurance company.  The insurance company will only pay up to what the contract allows for.  They will not modify the restrictions of coverage if you violate terms of your contract even if you did so innocently.    (Read about the 231 ways your insurance company can legally refuse to pay your car insurance claim)

Probably the most important question you need to ask someone before you buy a policy with them is this:

1. How many years of experience do you have offering insurance in my area?

If you were to purchase insurance from an agent with limited experience how can you be absolutely sure what they are telling you is accurate?  How can you be sure they even know what they are selling you?

Insurance policies are very complicated financial contracts as I mentioned previously so it’s important you choose an agency where knowledge and understanding of policy language is more important than the price you pay for the insurance.  

Would you not feel more comfortable working with an agency that has broad experience in insurance matters, or would you prefer to leave your financial interests with an agent or company who is limited in experience?

While it is true that no agency or individual agent is perfect, we firmly believe here at Pathway Insurance that educating our Cincinnati clients is more important than a cheap insurance price with no advice.™

Why not take the time to consider allowing our local Cincinnati-based insurance agency to care for your insurance needs?  Click Here to start that process. Or feel free to contact me directly by calling 513-662-7000 or sending a quick email to jack@pathwayinsurance.net

Just for clarification, you probably do not want to assume that if you are working with an agent or agency that has many years of experience that they are an expert on insurance matters.  I will discuss that in our next article.