LARSEN INSURANCE AGENCY - Frequently Asked Questions

If you are not listed as an additional driver on someone else's car insurance, but the car has full coverage, what happens if you get into an accident while driving the car?

10/7/2022

Auto insurance follows the car not the driver, per se. So the car insurance the owner has would pay for the damages done, no matter who was driving at the time (assuming permission was given). Now the insurance company paying the claim would want to know why that person was using the vehicle and whether or not that driver needs to be added to the auto insurance policy.

What does comprehensive coverage on an auto insurance policy cover? Does it cover theft of personal property in or around your vehicle, such as a laptop?

10/7/2022

No. Personal property - a stolen laptop, missing luggage, fire in your apartment/house - all personal property is covered by homeowners insurance or renters insurance. Auto insurance has nothing to do with your personal property.

Q- Why would home insurance not cover my recent repairs?

9/27/2022

Probably a maintenance issue and not a sudden and accidental loss.
Our past UNCOVERED losses:
80 year old chimney came crashing down. Lacked mortar between brick, lacked maintenance.
40 year old boiler stopped. No water was getting into it and it seized up, lack of maintenance.
Leak behind a shower wall for 6 months. You never saw water on floor or basement? Lack of maintenance.
Insurance is NOT for the upkeep of your home. It is for sudden and accidental loss. A 60 mph wind blows shingles off your roof. A tree falls and damages your garage. A 2nd floor bathroom pipe bursts and there is damage to the 1st floor walls, ceilings and flooring……that is what homeowners insurance is for.

Q- How much can business insurance really protect you?

9/27/2022

Liability wise 100%! Our claims have been for a hairdresser burning someone’s scalp - $125,000. A slip and fall at a rental property - $50,000 paid. A gas company meter reader falling down basement stairs at a landlord’s property - $75,000. A broken tooth at a restaurant - $14,000 paid out. Would you want to pay these in cash if they were your business without insurance? Actual claims paid through my insurance agency.

I would not own a business without business insurance.

Q-Can you be forced to sell your home to pay for a judgment in New York?

9/27/2022

Yes and no. The no part - you cannot be forced to sell your home in a judgement. The yes part, it becomes a lien on real property in NY state, so payable upon the sale and/or refinance of your home. Cannot be forced to pay but you will pay this to get a clear title to sell when you are ready!

So you must pay eventually but being forced to sell - NO.

Do the ultra wealthy still carry things like car insurance or does there come a point where you can just be self insured?

3/28/2022

A- Insurance is a state-by-state run industry and only 2 states do NOT REQUIRE auto insurance - I believe Tenn. and NH. All other states this is MANDATORY to have car insurance to protect the public from reckless, negligent drivers. So most High-Net-Worth people would carry very high liability limits and very high deductible but self-insure…NO!

Asking for your version of the car accident!

3/4/2022

Q - Why would an automotive insurance company keep contacting me about an accident instead of going through my insurance company when they know my agent? I'm sick of telling them I don't wish to talk to them and to contact my insurance company instead.

A- They want to know your version of what happened to see if it agree’s with the other parties version. They want to make sure who’s fault it was and which company is going to pay what % of the claim. Since your agent wasn’t at the scene, they cannot know what happened, you must tell them either on the phone or in a written description of what happened.

Whose insurance covers a car if it gets stolen while someone else is driving and they have insurance?

2/25/2022

Insurance follows the car, not the driver. So whomever owned the car it is their claim. But, as previously stated, they must have had comprehensive coverage on the car to have a claim. Liability only coverage will do no good in the event of a theft.

What is no-fault insurance?

2/22/2022

No-fault insurance is a type of auto insurance coverage that pays for your and your passengers' medical bills if you're hurt in a car accident - regardless of who’s at-fault. No-fault has nothing to do with who pays for car damages, only for medical insurance.

Does getting home insurance quotes affect your credit score?

2/22/2022

No. The homeowner insurance companies get a credit range you’ve been placed in, they do NOT get your credit score at all. No hit is placed on your credit report and is just 1 factor insurance companies use to determine homeowner insurance rates.