In my experience, not that many people, outside of those in the insurance industry, really understand their Connecticut insurance policies. From talking with clients and prospective clients, I find that many people don’t even look at those documents sent by their own insurance companies that are labeled “Important Insurance Documents: Please Read”.
This series of blog posts, Insurance Straight Talk, is designed to provide some basic understanding of important Connecticut insurance issues. Important to you and your Connecticut family.
To begin, what is insurance? And why should you, or why do you have to, carry it? We’ll get into what limits another day.
Insurance is a risk mitigation vehicle. Simply stated, it’s mechanism that transfers the financial risk from one party to another. In other words, you pay a premium to your auto insurance company, say $1,400 a year. And the insurance company gives you a promise. A promise that if you are liable for someone’s bodily injury or property damage, they will come to the rescue, up to the limits you have selected, e.g., $300,000.
Aside from the fact that most states require you to carry insurance to be in compliance with Connecticut state law, it’s a good idea to carry insurance because you have assets to protect. It could be a house, and your equity in the house; it could be other personal property; it could be investments, savings, retirement, or future earnings.
If you have any questions about your personal insurance program or would like to make sure that you have the best coverage at the most competitive rate available, gives us a call at 860-529-1737 or email us at firstname.lastname@example.org.