Blowing Away Auto Insurance Myths

Ben Johnson of Bob Johnson Insurance in TN

Like a teenager eager to try a new video game, playing before reading the rules, many drivers buy insurance without really understanding what they’re buying. In the rush to feel “covered,” they can skip the details. That can lead to frustration.

Following are five insurance myths heard by some of the more than 13,000 claims people at Progressive, one of the country’s largest auto insurance companies:

Myth: I bought “full coverage” so everything’s paid for.

Reality: There is no such thing as “full coverage.” In most states, only liability insurance is mandatory. There are a lot of other coverage options out there, so select what you need and can afford based on your personal situation.

Myth: I need three estimates before my wrecked vehicle can be repaired.

Reality: Not necessarily. Very few insurers actually require this, although some might. If you decide to use a shop that’s in an insurance company’s “network” of pre-approved shops you may just have to get an estimate from that shop.

Myth: My insurance premium always increases if I’m involved in an accident.

Reality: It depends. Your rate can increase, decrease or stay the same. The information about your accident is combined with other information about you, your car and your driving history to determine your rate.

Myth: If I lend my car to someone and he/she crashes it, I’m covered.

Reality: Not so fast. If you or your friend don’t have optional physical damage coverages, damage to your vehicle generally won’t be covered.

Myth: If I buy a new car, my auto insurance company automatically knows; and my new car is covered.

Reality: No. Most insurance companies require that you notify them or your agent within a specified number of days. Generally, you have 30 days to add the new vehicle to your policy.

“Insurance can be complicated,” says Chuck Crist of Progressive. “It’s not something people deal with every day. So the more informed you are, the better choices you’ll make.”

To learn more, click here to contact Bob Johnson Insurance Inc. or call us at 865-922-3111.

3 Tips to Save Money on a Rental Car

Ben Johnson of Bob Johnson Insurance in TN

With vacation season in full swing, you may be in the process of planning an annual getaway. While most people spend lots of time looking for ways to maximize their budget, one costly decision is often left to the last minute — whether to buy the optional insurance offered by a rental car company.

Your rental car may already be covered.

“Deciding whether to buy ‘damage waivers’ or insurance at the rental car counter can be a confusing experience — especially if you don’t know if you’re already covered by your personal auto insurance policy,” said Rick Crawley of the Progressive Group of Insurance Companies. “Optional rental car insurance can cost between $7 and $25 per day, depending on the rental car company, vehicle make and model and type of waiver. Those daily charges can significantly add to the cost of your rental.”

Follow these three tips, courtesy of  Bob Johnson Insurance, Inc., to help you decide whether or not you should buy the coverage:

Consult with an independent insurance agency…

…like Bob Johnson Insurance, Inc. As licensed insurance professionals, independent insurance agents and brokers can review and evaluate your policies to find out if the coverage you have on your personal vehicle provides protection for you in a rental car.

Check with your credit card company.

Some credit card companies provide coverage at no charge if you use their card to charge the cost of the rental. However, some restrictions may apply so be sure to ask for a description of the exact coverages provided.

Take your personal auto insurance policy and details of your coverages with you to the rental car counter.

You may be asked a question that these papers can help answer — or, if you’re in doubt, you’ll have your agent’s name and phone number readily available. “We want people to have the information they need to make more informed decisions about car insurance,” said Crawley.

“Knowing whether you need to buy additional coverage can save you money and give you peace of mind so you can enjoy your vacation. Don’t start off your trip questioning your decisions — take control by talking with your independent agent or broker and knowing the answers to those inevitable questions.”

To learn more about all your independent agency can offer you, contact Bob Johnson Insurance, Inc. at 865-922-3111.

How to Keep Your Pet Safe on the Road

Ben Johnson of Bob Johnson Insurance in TN

Pet owners spend a whopping $40 billion on their furry friends each year. That’s enough to buy a gallon of gas for every man, woman and child in the United States 44 times! Insurance companies haven’t always viewed pets with the same passion as their owners. If you’re in an accident, generally everyone in the car – except your four-legged friend – is covered.

How an Independent Insurance Agent can Help

As an independent insurance company Bob Johnson Insurance is not limited to one company. We can check multiple companies to fit your needs. In this case, The Progressive Group of Insurance Companies can help.

The Progressive Group of Insurance Companies now recognizes Fido and Fifi as family members. A Progressive policy with Collision coverage now extends to cats and dogs. The coverage pays up to $500 if your dog or cat is hurt or dies as a result of a car accident.

And, best of all, the coverage is free.

“We know how much our customers love their dogs and cats. Many of us have pets, too, and we feel the same way,” said Geoff Souser of Progressive. “Progressive has a long history of product and service innovations that prove you can teach an old dog new tricks. Knowing that most people think of their pets as family members, it felt like the right thing to do.”

Progressive’s pet injury coverage is available in most states. To find out more, contact Bob Johnson Insurance, Inc. at 865-922-3111 or click here to contact us.

What to Do if an Accident Occurs

Be prepared with the right coverage before you need it.

With so many people on the road during peak vacation months, it may be a good time to brush up on what you should do in the event you’re involved in a crash. Here are some tips from The Progressive Group of Insurance Companies.

Preparedness starts before you leave the driveway:

If your phone does not have a camera, put a disposable camera and pen and paper in your glove boxCar insurance claims can be settled faster if there’s a good record of what happened. If you can take photographs or collect license plate numbers, or even names and phone numbers of witnesses, these can all help your insurance company establish facts faster.

If you are involved in a crash:

  • Move your vehicle out of the roadway, if you can. If your car is able to be driven, move it off of the road a safe distance. By getting off the road, you can help to avoid a second collision.
  • Turn on your flashers or your lights. You want to be certain your vehicle is visible to other drivers.
  • Check yourself and your passengers for injuries. If someone is injured, call 911 immediately.
  • Call local police to report the crash.
  • Call your insurance company to report the crash. The earlier your insurance company knows about the crash, the faster it can get to work to resolve your claim.
  • Start documenting what happened, if you can. If you’re able to do so safely, take photographs, make notes, ask witnesses for names and phone numbers. If you’re not able to do so safely, stand as far from the roadway — and the crashed cars — as you possibly can.
  • Exchange only your insurance company name. Do not discuss the details of your coverage with anyone at the accident scene.
  • Exchange vital information with the other driver(s). Names, addresses, phone numbers are all useful to your insurance company in settling the claim.

For other tips to keep you safe on the road and keep your insurance rates down or to find an independent agent, call Bob Johnson Insurance, Inc. at 865-922-3111 or click here to contact us.