A Closer look at 3 Popular Insurance Topics

Car Insurance
Will you get your cars actual value from your Car Insurance company? If you get in an accident and "total" your car, it's your insurance company's responsibility to provide you with an amount of money that would purchase an equivalent car. This doesn't always happen, unfortunately. Most insurers don't use the Kelley Blue Book or NADA standards to estimate values. They have their own formulas and will often consider quotes from various dealers that aren't always that attainable, and this isn't always a good indication of your specific vehicle's true worth. Every car is different, with things like condition, mileage, and repairs playing vital roles. If they choose to use one of these methods, you may want to present them with some local quotes of your own. It's recommended that you keep a documented vehicle history as well, so you can present repair and maintenance receipts if there's a dispute. Make sure the amount you and your insurer settle on includes sales tax for the purchase of your replacement automobile. This is often left out by insurers, and replacing your car should not come with additional tax costs.

ROP Term Life Insurance
Would you like Term Life Insurance that refunds your money if you don't die? Well now you can—it's called Return of Premium Life Insurance. One of the biggest objections to buying term life insurance is that people see themselves outliving the specified term and often think of the premiums as wasted money. The insurance industry has answered that objection with the recent introduction of Return of Premium term life insurance.

Return of Premium or ROP combines the benefits of traditional term life insurance with a return of premium feature. Simply put your family receives a lump sum death benefit if you die, otherwise if you win your bet with the insurance company and you live the insurer returns all your premiums. This money-back guarantee can be particularly comforting for those that believe death will not occur during the term of coverage.

Mortgage Insurance
Mortgage Insurance is insurance for the lender and is sometimes required by lenders on lower down payment loans. It's insurance that protects the lender in case you're unable to pay. Borrowers are able to purchase homes that they wouldn't otherwise be able to afford, due to high 20 percent down payment requirements.

Private Mortgage Insurance—PMI—is insurance on your mortgage designed to assure your mortgage company against non-payment should you not make your loan payments. Keep in mind that this insurance protects the lender, not necessarily you. Though it can provide you with the opportunity to get into a home with less than the standard 20 percent down payment. Private mortgage insurance is frequently called for by mortgage companies because of the larger number of defaults that come with minimal down payment mortgages. The good thing about PMI is that it allows borrowers to get into properties that they might not otherwise be able to purchase because of large down payment requirements.

The Money Alert is a well-known financial site covering insurance matters. Their popular Pet Insurance articles have been published by several publications throughout the United States. If you rent you can also visit The Money Alert dot com to learn about Renters Insurance and whether you need it or not.