Miami Home and Auto Insurance: Umbrella Liability Insurance

Your Miami home and Miami auto insurance policies do not have unlimited benefits. In order to control the amount of risk these policies are exposed to, and in order to determine a meaningful premium, insurance companies must place limits on your coverage. These limits put a cap on the amount of benefits that can be paid out to you or anyone you are liable to through an insurable incident.

But just because an insurance company has declared a limit to your benefits doesn’t mean there is a limit placed on the amount of money you could be liable for if someone is injured at your home or in an auto accident in which you are determined to be at fault. It also doesn’t put a cap on the amount of personal property damage you may be liable for. So what happens to any amount that exceeds the insurance company’s limits? The insured must pay for that out of his or her own pocket.

Naturally, this strikes fear in the hearts of many who realize that there could be no upside limitation on the amount of money they may need to pay to another party in liability damages. But there is another resource that could help protect the wallets of many: umbrella liability insurance. 

Umbrella liability insurance is a supplemental insurance policy that can add an additional $1 million or more in coverage above and beyond your home or auto policy limits. In essence, umbrella policies fill the gap that’s left by traditional home and auto policy limits. 

With up to $5 million in additional coverage available, umbrella policies create a very generous cushion between your insurance policy limits and your wallet in the event that you are ordered to pay an expensive claim. These policies can prevent the liquidation of your personal assets in an effort to comply with a judgment to pay and best of all, umbrella policies are affordable. Because they aren’t responsible for the first $1 million or so in damages, they do not have high risk of claims, so they can be priced competitively.

Whether a liability claim comes from an accident or preventable oversight, you may be found liable for a great deal of money that your insurance policy won’t cover. An umbrella liability insurance policy can provide the additional layer of protection you need at a price you can afford.

Make sure you have the best rate for your Miami auto insurance with Allstar Direct Insurance & Financial Services today!

Miami Auto Insurance: 5 Things to do Before Buying a Used Car

Since new cars can lose more than 15 percent of their value once they are driven off the lot, buying a used car is often a smart financial decision to make. But that doesn’t mean you don’t need to do any research before making the purchase. There are five important things you should do before you sign the papers and commit to buying a used car.

1. Talk to your insurance agent. Your Miami auto insurance agent can give you some guidance in deciding which type of car would be the most affordable as far as your insurance policy is concerned. This can be based on safety features, popularity with thieves and other factors. 

2. Get a Carfax report. A used car has a secret life in the past that it can never tell you about—but that doesn’t mean you shouldn’t want to know about it. Carfax has a series of free and paid reports that will show you the history of your car with its previous owner or owners. This will help ensure that you don’t buy a lemon or a vehicle that may have been mechanically compromised in a way that is not completely corrected through repair or replacement. 

3. Compare safety options. Not only will a car with front and rear airbags, anti-lock brakes and automatic seatbelts help keep you and your family safer, it will also reduce your insurance premiums. Because used cars can be decades old, you cannot take for granted that the one you consider buying will have the safety features you want. Make sure you research what options are available in used cars of different years and different models so that you can better focus your search. 

4. Research car values. Before you spend money or get a loan for a used vehicle, make sure that you are paying a fair price based on its Kelley Blue Book value. Don’t trust that the company selling it is being completely fair; do your own research and, if necessary, get ready to haggle.

5. Take the car to your mechanic. Your mechanic can tell you whether or not a used car you are about to buy is worth purchasing or if it’s better left in the lot. He or she may charge you a small fee to give the car a look, but it would be well worth it to avoid potential repair fees beyond the basics that any used car buyer should expect.

Used cars may be a fiscally responsible choice, but it is still a big decision to make when buying one. Put the time in and do your research so you can drive off the lot with full confidence, an insurance policy you can afford, and an intact wallet.

Make sure you have the best rate for your Miami car insurance with Allstar Direct Insurance & Financial Services today!