Staten Island, NY 718-804-5812 Hauppauge, NY 631-336-2572

718-804-5812

631-336-2572

Some Of The Biggest Misconceptions About The Insurance Industry

 

People who are not involved directly in the insurance industry are subject to myths and misconceptions that can give a wrong impression. For those proactive people who want the truth and want to get away from misconceptions, we offer some responses to the biggest insurance myths that exist today.

Serious Diseases Cause Higher Premiums

This misconception is a holdover from the very old days when insurance companies did charge extra for people with pre-existing conditions, or those customers who developed serious medical issues such as cancer. These days, there are laws in place that prevent insurance companies from charging more for a customer based on their current or future health. The simple fact is that it is no longer possible for insurance companies to charge higher premiums to people with serious conditions.

Life Insurance Is Too Expensive

Many people put their families in tough spots by not having life insurance to cover burial expenses and any final bills they may have. One of the misconceptions about life insurance is that it is too expensive and only accessible for people with financial means. Term life insurance can last for many years and costs often less than $50 per month for a lot of death benefit coverage. If you do not have life insurance because you feel it is too expensive, then check out term life and see how inexpensive it would be to protect your family after you have passed away.

Only The Elderly Need Life Insurance

Perhaps the most dangerous misconception people have about life insurance is that it is only for the elderly. Meanwhile, a young couple with a lot left to pay on their mortgage and young children to care for gets into a car accident and dies. That young couple, and every young couple in the country, should have planned for the future with life insurance that could protect every aspect of their growing family and life.

My Homeowners Insurance Covers Everything

The homeowners who have no experience with natural disasters are usually the ones who have misconceptions about their home coverage. A basic homeowners policy anywhere in the country often does not have flood or earthquake coverage. If you live in an area where your home could be damaged by a flood or earthquake, then you need to talk to your agent about adding riders to your policy that will help protect your home.

I Have A Small Car So I Will Pay A Lower Premium

Car insurance premiums are based on the potential for injury and damage, and not on the size of a vehicle. A mid-sized sedan or minivan is cheaper to insure than a small car because the potential for injury when you get into an accident with a small car is higher than a minivan or mid-sized sedan.

As a consumer, you should always want to educate yourself on the truth about the products you are looking to buy. If you are getting ready to buy insurance of any kind, then you should not assume that you already know the answers to your questions. In most cases, you are hanging on to misconceptions that could cause you to make bad buying decisions.


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Staten Island Location

201 Edward Curry Ave,
Staten Island, New York 10314
Tel: 718-804-5812
Fax: 718-370-3110

Email: info@tceins.com


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Long Island Location

490 Wheeler Road, Ste 251,
Hauppauge, New York 11788
Tel: 631-336-2572
Fax: 631-761-6486
Email: info@tceins.com