Get Advice on Your Insurance Coverage
Feb. 20, 2007 — -- Below you'll find insurance advice for consumers and links to Web sites for more information about insurance regulations in your state.
Advice for Consumers
(From the Consumer Federation of America)
1. If possible, don't do business with a company that has a history of anti-consumerbehavior. When purchasing or renewing a homeowner's policy, consumers can contact their state insurance departments to get information on companies in their areas that have sharply raised rates and cut back in coverage in recent years.
2. Carefully review policies at purchase or renewal to determine whether high out-of-pocket costs will be imposed. Consumers should look for special deductibles for wind damage, anti-concurrent causation clauses, limits on replacement costs, and other restrictions on coverage.
3. Consumers who live away from coastal areas should actively shop for bettercoverage and rates. Because insurance companies are overcapitalized, they are lookingfor new business in lower risk areas. Rate decreases and better coverage are possible.
4. Demand thorough oversight of insurer actions by state regulators. If consumers have a problem with rates or coverage, they should file an immediate complaint in writing with their state insurance agency and follow up for a response. Consumers should also contact insurance regulators to find out what they are doing to require that rates are fair and reasonable and that insurers are not unjustifiably withdrawing coverage.
Where to Go for More Information:
The National Association of Insurance Commissioners has helpful information on its Web site. Check the links below:
Other Web sites to check:
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