Once again State Farm insurance is front page news in the Dallas Morning News on September 13, 2011. The article by Terrence Stutz reports on the filing State Farm made to the Texas Department of Insurance for a proposed new system of deductibles for homeowner insurance coverage that would eliminate dollar limits and require customers to shift to a deductible of 1 percent of the home's insured value or optional higher percentages ranging up to 5 percent.
For example, many policyholders who now have a $500 or $1000 deductible will soon be subject to a 1 percent deductible on property damage or losses. On a home insured for $200,000, that means the deductible will jump to $2,000
State Farm has also filed notice of an average 10 percent increase in homeowners rates...
"Under the percentage system, many homeowners would shell out more in a claim"
To read the entire article follow the link to The Dallas Morning News:
Additional information can be found at Insurance specialist, Insurance information Portal:
Tri-Star Insurance Professionals, Inc. represents many of the leading homeowner insurance companies. If your current carrier is forcing you to a mandatory percentage deductible, call Tri-Star Insurance Professionals today at 214-387-0600. One of Tri-Star's representative can provide you with a company which will let you have a dollar based fixed deductible for your Clause 2 "Other Perils" deductible.
Here are a few examples of current Tri-Star Insurance carriers that offer a dollar based clause 2 deductible:
For Comparison Quotes from Tri-Star Insurance Click below:
State Farm is the subject of a front page article in the Dallas Morning News by Terrence Stutz of the Austin Bureau.The article states that State Farm is charging "well above" average rates for homeowners insurance in Texas. It also stated that of the 27 largest insurance companies doing business in Texas, State Farm, is the only company with a less than A, AM Best rating. State Farm is currently B++.
We have provided the link to the Dallas morning news article but you might need to be a registered subscriber to access it in it's entirety.
The bottom line for consumers, is to shop around and compare rates for your insurance.The Article does suggest that consumers use a site that is a state-run website to compare insurance companies. We agree and often refer people to the "Help Insure" website. You can compare coverages and premiums with many companies offering policies in Texas. Unfortunately, not all companies are listed.
Here are the Shopping tips listed on the Texas Department of Insurance website.
Shopping for insurance is similar to shopping for any major item. It’s best to compare companies and products to find the best price, quality, and customer service.
This publication provides tips that can help you get a better deal on auto, homeowners, and renters insurance.
Know Your Rights
All auto and homeowners policies in Texas must include a Consumer Bill of Rights. The bill of rights explains your legal rights and responsibilities. Read it carefully. You may also view the bills of rights for both types of policies on the Texas Department of Insurance (TDI) website
Quick Tips to Help You Shop
- Determine what coverages you want and need. For instance, if you have valuable car stereo equipment or if you need more than basic coverage for jewelry, collectibles, or other valuables, you might need endorsements that change or add coverage. Endorsements that add coverage will increase your premium.
- Consider factors other than price, including a company’s financial rating and complaint index. The financial rating indicates a company’s financial strength and stability, and the complaint index is an indication of its customer service record.
- Buy only from licensed insurance agents and companies. Most licensed companies must belong to a guaranty association that pays claims for members that become insolvent. You can learn a company’s financial rating, complaint index, and license status by calling the TDI Consumer Help Line or by visiting our website
463-6515 in Austin
- Include independent agents in your search. Some agents only represent a single company or company group. Independent agents typically represent several companies and can give you multiple quotes at one time.
- If you buy insurance over the Internet, take the same precautions as you would for any insurance purchase. Many legitimate companies have websites that allow you to purchase insurance online that make shopping for insurance easy and convenient, but also provides the anonymity that allows illegitimate companies to flourish. Be especially cautious of insurance that’s offered through unsolicited e-mails.
- Answer questions truthfully when you apply for insurance or ask for a rate quote. Wrong information may result in an incorrect price quote, rejection of your insurance application, or cancellation of your policy.
- Consider higher deductibles. Your policy will probably have deductibles. A deductible is the amount you have to pay out of pocket on your claim before the insurance company will reimburse you for your loss. The higher your deductibles, the lower your premium. Choose the highest deductibles you can afford.
- Ask about discounts. Insurance companies may offer policy discounts that will lower your premium. Ask your agent what discounts the company offers.
- Make sure you have uninterrupted coverage. Never cancel an existing policy until you get your new policy or a written binder. A binder proves you have coverage until the company issues your policy.
- Don’t pay cash to an individual agent. Pay with a personal check or money order made out to the insurance company or agency. Get a receipt for your premium payment.
- If a company turns you down, keep shopping. Different companies have different criteria for accepting customers
Tri-Star Insurance Professionals represents several of the leading insurance companies. You can get Home & Auto quotes from several of our companies with one entry on our website.
Click the following logo to shop with our carriers.
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