“I should have kept my mouth shut and never said anything”. That’s a phrase that I hear often from prospective clients and from existing clients. In fact, it’s something that one of my existing clients just said to me last week. He told me some things that led us to need to write him a new policy with a different company in order to get him sufficient coverage, and it was a little bit of a pain. As we were going through the process, that’s what he said to me.
So it got me thinking. I know a lot of you probably have the question when you deal with insurance companies, or with your insurance agent, you have the question of what should I tell the insurance company? Are there certain things that I should tell them and certain things that I should not tell them? So I wanted to come at you today with an answer to that question.
Here’s my answer- When you’re speaking with your insurance agent or the insurance company, you should tell them everything. Why do I say that? Most people probably have the mindset that the more I tell them, the more the insurance company’s going to charge me. That’s not the case and that’s not the reason for my answer. I’m not just trying to make more money. Here’s the thing, and it’s not your fault, the insurance companies have done this to themselves, they have made insurance about how much can you save, who can give you the lowest rate. They’ve made insurance nothing but a money game and who can get the cheapest rate monthly.
That’s not what insurance is about. Insurance is not trying to find the lowest monthly rate. Insurance is about being properly covered so that when something happens there’s no surprises and you’re covered sufficiently. There’s only one way that insurance companies can cover you sufficiently. That’s if you disclose to them everything. What do I mean by that? When you get a a teenage driver, when when your son or daughter turns 16, they get a license, they start driving, you should disclose that to your insurance company. If you are using your vehicle for any type of business use, Uber, Lyft, anything, you should disclose that to your insurance company. When you make additions to your home, you should disclose that to your insurance company. If you add a diving board to your pool, you should disclose that to your insurance company.
If the insurance company doesn’t know about it or if your insurance agent doesn’t know about it, then when the time comes where something happens, who knows if you’re properly covered? But if you tell them everything and they can make sure that everything in your life matches the coverage that you’re getting. That way there’s no surprises when an accident occurs and you call your insurance company. You’re not sitting there praying and hoping that you’re covered. But if you’ve told them everything, if you’ve disclosed everything, if you’ve gone through your checklist, you don’t have to worry. You can sleep at night.
Here’s my challenge to you guys, and here’s what we focus on in our agency. Of course, we try to find you the best price. Who wants to pay more when you don’t have to? But instead of focusing on that monthly price, focus on getting the correct coverage. Make sure that you’ve disclosed everything, make sure you understand what your coverage is, what it means, what you have, instead of focusing solely on the price. Call your insurance agent up tomorrow. Talk with them, make sure that they understand what’s going on in your life, how you’re using your vehicles, how your home is covered, any improvements you made to your home. Talk to them and make sure that you’re properly covered.
Listen, we have enough stress in our lives. You don’t need to add to that stress by having the uncertainty of not knowing what’s covered and what’s not covered. So that’s the long answer. What should I disclose to my insurance company or insurance agent? Short answer is everything.