Posted on

The Exciting Life of an Agent

When people think of insurance, they think of a stuffy office with an agent who sits at a desk and does nothing more than take their money and fill out an endless barrage of forms full of legal terms no one underst ands. In some cases, that may be true, but there are some agents who prefer not to confine themselves to the office. They underst and how important it is to meet the people they serve and interact with them in their own environment. Customers appreciate that and are more likely to buy from an agent who is willing to meet with them on their terms.

Residents who live in Southern California and along the coastline live diverse lifestyles. No matter where they go, agents are bound to see something they will not see anywhere else. Insurance agents are likely to encounter just about anything they can imagine over the span of their career.

Small surf shops to Beverly Hills boutiques, people from every walk of life need insurance of some type. Homeowner’s, auto, life and commercial, an insurance agent has to meet the needs of the people they serve even if that means meeting them at home or wherever it’s convenient. A beach side meeting with a client can offer a beautiful view, as well as a few hours of much needed sunshine and relaxation.

An agent who is willing to help a busy livestock rancher by meeting them at home will be more of an asset than one that makes him leave his duties. The farm is his job and it has to be treated like any other place of employment. An insurance agent that is ready to pay him a visit and share that wonderful "country air" is more likely to earn the man’s respect than one who takes offense to it.

California is a never ending kaleidoscope of individuality. One day an agent could be meeting with an up and coming actor, while the next day they may be called to file a claim for someone who was involved in an accident in the suburbs. With such a vast amount of diversity, it’s to the agent’s benefit to keep track shoes close at h and. The environment can be just as diverse as an agent’s clientele.

An agent must be adaptable to their surroundings. People want to be able to trust the agent they choose. Agents who can maintain a mixture of complete professionalism and a down to earth personality will do well when working with clients from all walks of life. Unless an agent specializes and chooses to cater to only a select group of individuals, their client base can include individuals from professional athletes to pig farmers.

For agents who like the thrill of meeting new people, a diverse clientele allows them to experience a wide range of personalities. They aren’t confined to the normal 9 to 5 grind and can work in an environment that is constantly changing and providing new opportunities. An agent life doesn’t have to be boring. It can be as exciting as they want it to be.

Posted on

Don’t Laugh, You Do It Too!

I’m generally not in the habit of paying for something I can’t see, feel, hear, read, eat, wear, etc. But that’s exactly what I’m doing and the really strange part about it is that I continue to do it each month! Is there something wrong with me? Who in their right mind would do such a thing? I’ll tell you who – any person with a driver’s license (although there are some that try to get around this requirement – but that’s another story). The big bad word here? Insurance. Yep, that’s the culprit – the idea of our getting a policy on the chance that something "might" happen. So, if that holds true, should I go out and buy a new bathing suit just in case someone invites me on a cruise to the Bahamas? Should I get a new dress in case there is a wedding invitation in the works? No, I buy something when the situation calls for it, not when I think it just might happen.

Insurance is one of the few things we are forced to buy whether we need it or not. It’s an odd concept, this buying something "just in case." It’s similar to when we buy any kind of appliance or electronic gadget and the salesman asks if you want to purchase the extended warranty. You then think to yourself, "Am I buying such an inferior product that I am going to use it?"

Oh sure, it’s great to have when you need it. There’s no denying that. But just think for a minute, and add up all the money you have spent on insurance premiums over the years. Wow, money out the window! Don’t get me wrong – I feel secure when I am out on the road and I see all these other clowns who think they can drive. It is a good feeling to know I am protected should one of them do something crazy.

I remember when I visited California and l anded at LAX. The sun was shining so bright and it was a glorious day. I decided once I got settled, it would be the perfect time for a drive along the Pacific Coast Highway. I had always heard how scenic it is and wanted to find out for myself.

Once in my rental car, I began my voyage into unknown but exquisitely beautiful territory. The only shameful part was that I wanted to keep stopping to take pictures of the incredible views in this part of the country. I would never reach my destination at this rate. With its steep drop-offs and no guardrails, this is driving to pay attention to! But as I approached one particularly dangerous curve in the road, I noticed the red and blue flashing lights and slowed down to see a crash of two cars obviously going too fast for their own good. I slowly passed the accident scene but thought it would be in poor taste to yell out, "Hey, I hope you threw your money out the window too!" Judging by the vehicle damage, I hope they did!

Posted on

Universal Life Insurance

My introduction to the concept of life insurance came years ago before the Internet made it much easier to educate yourself on all of the intricacies and issues of selecting and buying insurance. As a new father, I read an article in one of the magazines about the importance of life insurance. Coming from a blue collar family, I had never really been exposed to this as a basic financial planning requirement.

At any rate, the article motivated me to check out the issue and I started in the yellow pages. For the youngsters, those are big, cumbersome books printed on yellow paper with all the phone numbers listed. Today I guess strong men still tear them in half, but back then they were an important resource. My search produced several companies I had heard of and I called three of them to get in touch with an agent.

Over the next few months I became somewhat knowledgeable on the ins and outs of life insurance. I learned about term and whole life, cash value, and even a then-new affordable option called universal life. Money, of course, was pretty tight at that time but the wife and I figured out an amount we could afford monthly and started the process of choosing a policy.

I was pretty new to sales myself, but one of the agents filled the bill of the classic professional insurance salesman. I still smile thinking about him. He had a pitch that was as polished as a classic automobile’s paint job. He was confident without being arrogant and it was quite evident he expected to sell us as large a policy as we could afford.

In the end, it came down to him with a whole life policy and another agent that offered both term and universal life insurance options. The older pro simply dismissed both as unworthy options for a young family. Cash value was his theme and he wanted us to buy a policy that would help pay for the new baby’s education when the time came. (Of course, back the, an education at a good college was an unbelievably huge financial burden of around $5,000 for all four years. When the time came, I think we spent that amount just on four years of pizza).

Since that time, I have learned about residual incentives and all the other insights to insurance sales. Back then, however, it was a struggle to dismiss the fatherly insistence of the Pro over the clear advantages presented by the younger agent. Finally, however, we settled on the more flexable universal policy. Well, when I called our whole life guy to let him know, he absolutely insisted on a meeting before he accepted my no.

It was impossible to not grant a final sit down so he came over and we spent an hour or so reviewing all the facts and information again. When he finally accepted that I wasn’t going to be swayed, he sighed in a very sad manner, pulled out a sheet of paper and slid it to me across the table. When I asked what it was, he explained that he almost never lost a sale but when anyone failed to follow his advice, he asked them to sign this letter. It allowed him, he said, to come back to any new widows and explain he had done his best to make sure they were provided for, but the fault was with me, not him.

To this day, when I encounter or think of a truly persistent salesman, I remember our insurance pro and smile.

Posted on

Do You Really Need Pet Health Insurance?

You love your pet. You want to do what’s best for your pet, including giving him access to the best veterinary care you can afford. You’ve heard about pet health insurance. However, this type of pet insurance may not be appropriate for all pet owners. Fortunately, there are many insurance companies offering competitive rates so you can take your time in deciding whether or not pet health insurance is for you.

Species of Pet

Pet health insurance is often limited to dogs, cats, birds and horses. Horses may qualify for equine insurance or livestock insurance rather than pet insurance, depending on the individual insurance company. Some companies will cover both horses and more traditional pets like dogs and cats. Few companies cover pet reptiles or more exotic pets like tigers and lions. If you have one of these pets in a place where it is legal to keep them, check with zoos and circuses to see what insurance company they use.

Number of Pets

Do you have more than one pet? If you do the chances are good that you can get a discount for signing up multiple pets with the same insurance company. That helps you save money.

Check Total Costs

Pet health insurance is a lot like people health insurance. You do not just pay your monthly or annual premiums and you don’t have to worry about paying anything else. You will. You need to determine if you can afford the total costs of a pet insurance plan, including deductibles, limits and an increase as your pet ages.

Comes With Adopted Pet

Some animal shelters will offer pet health insurance for a limited time after you adopt a new best friend. Take advantage of this offer, even if it only covers the pet for one year. This will help cover any health care cost from accidents, which are most likely to happen to newly adopted pets unused to their new homes and may be prone to w andering. Some health problems do not show up until a pet reaches sexual maturity so if you have a puppy, kitten or foal, insurance is a good way to help cover medical costs should your pet develop one of these conditions.

No Pre-Existing Conditions

The time to get pet insurance is before your pet is diagnosed with a major illness like cancer. Most pet insurance companies, like human health insurance, will refuse to cover pre-existing conditions. If you do have trouble paying for an expensive treatment for a beloved pet, ask your vet about taking out a loan to cover costs. Many vets are willing to work with good pet owners about payment amounts or payment plans. It doesn’t hurt to ask.

Age of Pets

Unfortunately, it’s very difficult to get good health coverage for older dogs and cats. Some companies have age limits and some will refuse outright to cover older pets. Usually, the younger the pet, the better your chances for getting your pet approved. If your dog or cat is already elderly, your best bet is to set aside $10 or $20 each week to pay for any emergency veterinary expenses.

Posted on

Driving Me Crazy

Until a couple of years ago, I could not underst and the term uninsurable. You see I am a pretty good driver. The last time I was ticketed for a moving violation, I was a freshman in college. So, even when I was young, my rates were low, at least for being a male. I could never quite fathom what it would take for a person to be uninsurable as a motorist. What would it take? Would a couple of speeding tickets totally disqualify you? Maybe if you had several speeding tickets and a couple of accidents, it would disqualify you.

I found that they have policies for almost any situation. You have to be a pretty terrible driver to be considered uninsurable. Well, a couple of years ago, I met a person that never met a school speed zone she didn’t feel the need to challenge. She had this uncanny knack of winding up in the crosshairs of the police. She actually was charged with drunk driving, when she hadn’t even taken a drink. She is a borderline narcoleptic, so she falls to sleep at the drop of a dime, anywhere. Obviously her driving behavior made it seem as if she was inebriated.

She has totaled a car and received so many tickets that her licensed was suspended. You would think that would qualify her for the designation, uninsurable, right? Nope! There were still companies willing to insure her.

You would think that at some point, the risk would be so great that the proposed premium would not make since, but some kind of way there seems to be an insurance company that doesn’t mind assuming exceptionally high risk.

Personally, I would not take the chance of insuring this person. I don’t believe in luck, so that means that her driving ability sucks, or her decision making sucks, or maybe it’s both. I guess this is why I am not running an insurance company.

This takes me back to the term uninsurable. It seems that it’s another one of those insurance related anomalies. My insurance agent or broker could not explain to me in a way that met my expectation. As far as accidents are concerned, as long as you don’t have three or four in the same week, they are not that scary to insurance companies. It seems that the numbers say that at some point you will have an accident. These same numbers say that those that have recently been in an accident are less likely to be in another one within in a certain time frame. So, a person that has just had an accident is less risky to an insurance company than, well, me. According to the numbers, I am due for an accident any time now. Wow, that makes me feel great.

As I me ander through the maze of the insurance conundrum, I have been dubbed a risk because I have no tickets and no accidents and that defies statistics. On the other h and, my female friend who seems to be constantly looking for a ways to tear up her vehicle is considered a viable risk. I am so glad that I don’t live my life by numbers.

Oh, by the way, I still haven’t figure out the wholr uninsurable thing.

Posted on

Communication is Important When it Comes to Insurance

Everybody knows how important it is to obtain proper insurance for their vehicles. If you don’t know how much coverage to get, you can talk it over with a trusted family member or friend or even with your insurance agent when comparing plans.

But once you get insurance, the next important thing is to remember to pay your bills on time, every time! Even if your insurance company has a little wiggle room in terms of late payments, it’s prudent to pay your bills on a timely basis.

Some people find that it’s a good idea to put reminders about their recurring bills on a calendar above the desk where they do their payments. This was one of the solutions that my good friends decided to use after they went through an amusing sequence of events concerning their auto insurance bill.

My friend Max had recently married his girlfriend of two years, Beverly. The happy couple began the process of combining their bank accounts and setting up insurance for their homes and vehicles.

As a new married couple that had never shared bill paying before with anyone, Max and Beverly played it by ear, as he told me over lunch last week. One month he would h andle the bills, usually doing them while watching one of the late night talk shows, since doing paperwork was such a boring chore for him.

Another month Beverly would pay the bills. I guess I figured that one of them would wind up liking bill paying more than the other, or would prove more responsible and take over the job permanently. After all, that’s how my wife and I settled on h andling this chore. I had been taking a lot of overtime because we were saving up money to convert a guest room into a nursery for the baby we were planning to have.

My wife, Alice, wound up having to do the bills more and more frequently because I was spending so many late nights at the office, and since she was better at math than me and much more responsible, she wound up taking it on permanently, while I was in charge of taking care of all household repairs, putting out the trash and mowing the lawn. I figured Max and Beverly would eventually settle on one person paying the bills in their family soon enough.

Little did they know that the decision would soon be forced upon them quite dramatically!

As Max continued telling me the story over lunch, he has forgotten to pay the quarterly car insurance bill and wound up putting it in the mail about 10 days after it was due. He had a vague idea that there was a grace period, and he was pretty sure that he sent it in with enough buffer time. However, the next day he experienced severe pain in his abdomen, and had to go to the hospital for an emergency appendectomy.

He went in on a Wednesday and they performed the operation in the late afternoon. Max came out of anesthesia and was fine a few hours later. Beverly went home to change and grab some clothes and other items for Max. She grabbed the mail and saw a “Past Due” mark on the insurance envelope.

Beverly grabbed her checkbook and wrote a check on the spot for what looked like an extremely overdue car insurance bill, and then stopped at the post office to drop it off on the way back to the hospital.

She didn’t bother telling Max about the bill, as they were focused on finding out when he might be released.

About a week later, Max was feeling up to going through the family finances and discovered that he and Beverly had accidentally double-paid their car insurance bill. “Well,” he said to her, “when you pay the bills next month, you don’t have to worry about sending a check to the insurance company. It’s paid up a month in advance.”

At this point, they decided to let Beverly take over paying the bills, as she is allergic to being late for anything. Max has now healed completely, and he and his wife have yet to make another late payment on any of their bills.

Posted on

Auto Insurance

When you are young, insurance does not matter to you. Not really. It is this thing your parents have, and that they pay for every month–often kicking and screaming. When you were a kid, you tended to hear your parents cursing their insurance agent over the premiums, not to his or her face, of course, but behind closed doors.

Your mom heard that Sara’s dad paid a much better price for their homeowners insurance than your parents did, and your mom was mad! Why couldn’t they get that deal? They argued about changing plans, changing agents, changing zip codes. Insurance sounded awful, and you had no idea what it really was. Home insurance, life insurance, health insurance, car insurance. Ah yes, car insurance. That’s where you started to pay attention, because one day you’d be driving that car.

And then one day you got your license and all hell broke loose. You remember that well, don’t you? Your parents complained about the price of their premiums doubling. You had no idea what that meant, and you didn’t really care, as long as you weren’t paying for it.

But then you moved out and had to start paying for car insurance on your own, and what an eye opening experience that was. Maybe you had to get a job, maybe you had to get a second job just to pay for your car, car insurance and gas. Whatever it was that you had to do, you remember that it definitely made you realize the value of that automobile! Perhaps you considered biking it or taking the bus, just so you could get rid of your car…but then you decided a car equaled freedom so you’d just have to keep going to work.

We all remember what that was like. The open road, your friends in tow…just heading to the mall, or nowhere. Maybe you grew up in a town ( and a time) where ‘cruising’ was a thing to do on the weekends…driving around aimlessly, just showing off the fact that you had a car?

And now, years later, you are the parent. You have the teenager that is about to go out and get his or her license. And you are dreading it, because now it has come full circle! You are your parents! Now it’s you that are about to put that ‘under 25’ driver on your auto insurance policy and you know what is going to happen to your premiums. You remember those arguments (discussions?) your parents had when they were putting you onto their insurance policy.

But don’t stress too much! It doesn’t have to eat you out of house and home anymore. If you shop around for the best rates, that will help. Also know that the type of car your son (or daughter? If you do have a daughter, lucky you! Lower rates!) drives reflects upon the premium. A pickup truck actually has lower premiums than a car, because less riders fit inside!

And if your child gets good grades in school, bonus! Many times you can get a discount based upon their grade point average! Score! There are options, there are solutions to the problem. Compare rates now and avoid ending up in tears each month.

Posted on

So, How is Your Auto Insurance?

"Oh wow!" Claire shouted. "Did you hit that deer?"

"I missed it by a mile," Sharon replied.

"Didn’t feel like it. The car moved."

"That’s just your imagination."

Claire looked in her side mirror for the deer. It staggered into the woods. She glanced over at Sharon. "So, how’s you auto insurance?"

Sharon pulled a face. "As little as I can get."

"You do know there are laws requiring a certain amount of coverage, right?"

"Liability only, and I have that, and full coverage if you owe anyone. This is paid off, so, it’s liability only."

Claire blinked and her eyes grew wide. "Are you kidding? Your car has to be worth thous ands!"

"Yeah, it has retained its value pretty well. But I’m a careful driver; I don’t need anything else."

Claire looked again in the mirror. "Well, if something happens, will you be able to replace it? Do you have the down-payment money saved up?"

"I told you; I’m fine. I’m a really good driver."

"You just hit a deer. Can you pay for the damage?"

"I did not hit that deer. The car is fine."

Sharon turned on her signal to pull into Claire’s driveway and slowed down. Suddenly, the vehicle behind her slid to a stop nearly hitting her as she turned.

"Hey, what was that about?" Sharon shouted at him when she got out of her car. "Weren’t you watching the road?"

"You didn’t signal. How was I supposed to know what you’re doing?"

"I did too. You just weren’t paying attention."

Claire cleared her throat, pulled Sharon out of the street, apologized to the man, and asked if he was alright.

"What was that about?" Sharon asked her after the man left. "I did signal."

Claire pointed to the back of Sharon’s car. "You probably did, but he didn’t see it. The tail light is broken and that back fender is crunched pretty badly."

Sharon stared at her damaged car. An antler was stuck in the hole where the tail light should have been.

"That looks expensive," Claire said. "So, you have a couple gr and to pay for it somewhere?"

" I’ll bet it’s a lot higher than that," Sharon replied with a cringe. "Maybe I can hit up my dad for it."

"Or, you can get a loan to pay for it once you have an estimate and then you will have to have full coverage insurance."

Sharon just glared at her.

Don’t be Sharon. Yes, if your vehicle is worth very little, as in, it cost more for full coverage than it is worth, then you should only have liability, but when it is worth enough that it would be hard to replace or repair it after an accident, you really should have full coverage.

Drivers with a good driving record qualify for discounts. If you have more than one vehicle on the same policy, you also qualify for discounts. Call your insurance agent and see how many ways they can find to save you money. It doesn’t have to cost an arm and a leg, but does give peace of mind.

Posted on

Is The Customer Really Always Right?

The person who came up with the saying that the customer is always right has obviously never worked in the insurance industry. Allow me to paint a small portrait for you. A young man, let’s call him Dave, purchases a new vehicle. He comes into the dealership to by that Corvette that he has always wanted. Dave is only 21, so how many of you know Dave was paying more for his auto insurance than he was his car note. Well, that is not what the story is about, so let’s get back to it.

He is NOT happy.
He is NOT happy.

Remember, Dave is only 21, not quite old enough to have graduated from college. Has anyone asked the question: How can Dave afford a Corvette? Last time I checked, the lower end models started out around $60, 000. Maybe you underst and where I am going with this, if not, hold tight, I will get there momentarily.

Dave has to take out a full coverage comprehensive insurance policy. This is important to remember.

Seven months later, Dave, who is obviously no genius, finally does the math and realizes that he is paying twice as much for his car and insurance as he is for his apartment. He talks it over with his friend, let’s call him Evin, and the two of them decide that it would be cheaper to get a Camaro. The truth is Dave can’t afford that either, but that is not what this story is about, I digress yet again. Dave attempts to trade in his seven month old Corvette for a Camaro. Can anybody say “upside down”? By now Dave is becoming frustrated and desperation is beginning to set in. Finally the two geniuses decide that they will simply total out the car “accidently on purpose” and allow the insurance policy to pay for it. How many of you out there know this is highly illegal?

Obviously, Dave not only failed at math, but reading as well, because the policy clearly states what will happen if any fraudulent activity is detected; first thing would be denial of the claim. Dave calls his insurance agent to report the damage to the car. When the adjuster comes out the pieces of the puzzle just don’t seem to fit together. Not only can’t Dave add or read, he obviously sucks at lying as well. Final disposition: Claim denied! Only it’s not over, not from where Dave is st anding. The insurance adjuster is screwing up a perfectly good (did I mention illegal) plan. Dave is not having it. So, he calls his agent to complain. As nicely as possible, Dave’s agent explains the details of the case and implies that Dave might want to go sit down somewhere and be grateful that the police were not brought into the matter.

We have already ascertained that Dave is not the brightest light in the room, he doesn’t get the hint. What does Dave do next? He asks Evin for more advice. Evin says call her supervisor, no, call the company president. Really Evin? Has Evin ever heard of the word accomplice? I don’t need to tell you what happens to those two geniuses, but it definitely makes my point that the customer is not always right. I am starting to believe that someone in Dave’s family history coined that phrase.

Posted on

A Picture for the Future

Jennifer walked into her best friend’s kitchen and stopped. “Carrie, what are you doing?”

Snap. Snap. “I’m taking pictures,” she replied.

“I can see that. Why are you taking pictures of your jewelry?”

“Oh, I’m taking pictures of everything. I’m backing up my computer and all my financial records too.”

“Obsessed much?” Jennifer said laughing. She grabbed a mug of coffee and sat at the table. “So, spill. Why are you taking pictures and backing everything up.”

Carrie h anded her a cookie and sat down with her own cup of coffee. “Well, I just got an insurance rider for this jewelry and Doug’s collection of Civil War Memorabilia. I want to document all of our important items and even the not so important ones, like the televisions and the computer itself. I’m saving it all to a flash drive and locking in my fireproof/waterproof safe. It’s for my homeowners insurance.”

“Yep, you’re obsessed. I can’t imagine an agent told you to do that.”

“No, but he said it was a good idea. It’s important to document the serial numbers so in the event of a tragedy they can be more easily replaced, except for the jewelry and the collection of course. How will they know exactly what you have if you don’t have a record of it to show them? It’s also helpful if you get robbed. You’ll have a list of the items taken for the police.”

“You’ve really given this a lot of thought haven’t you?”

“Of course I have. I worry all the time about the ‘what if’. What if something happens to your house? Don’t you have that collection of first edition books? Are they worth more than the st andard replacement coverage you have for your belongings? You really should think about a separate rider for those you know.”

“I’m sure our coverage is just fine,” Jennifer assured her.

“Are you really? Have you read the policy?”

“No, why would I?”

“Jennifer, do you even know if you have coverage for the rising cost of building materials, or just the replacement value of your house when you bought it?

“Oh, I’m sure we do. I’ll ask Bob when he gets home.”

“I get a new copy of my policy every year and I read it to see if things are covered that we no longer have or need coverage for things that aren’t covered. You should do that too. Does Bob do that?”

“I don’t know,” Jennifer answered. “I should know it too though, in case something happens.”

“Now that’s a good idea. Oh, I need to get my gr andmother’s recipes copied onto the computer so I don’t lose those either.”

Your valuables your treasure

You don’t have to be as obsessed as Carrie, but knowing what is covered and what is not is important. Ask your broker for a copy of your policy if you don’t have one. Changes may have been made you need to know about. Ask if you have enough coverage and how you can get extra if needed. You don’t want to find you’re underinsured when you are already stressed by events.