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Shults Insurance Agency

3 Canal St
Fort Plain, NY 13339

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Insurance FAQs

Car Insurance

Q: I have an older car whose current market value is very low – do I really need to purchase car insurance?

A: New York State has insurance laws that require drivers to have at least some car liability insurance. These laws were enacted to ensure that victims of car accidents receive compensation, when their losses are caused by the actions of a negligent individual.

Often times the cost of repairing the damages to an older car is greater than its value. In these cases, your insurer will usually just "total" the car and give you a check for the car’s market value less the deductible. Many people with older cars decide not to purchase any physical damage coverage.

Q: What factors can affect the cost of my car insurance?

A: A number of factors can affect the cost of your car insurance-- some of which you can control and some that are beyond your control.

The type of car you drive, the purpose the car serves, your driving record, and where the car is garaged can all affect how much your car insurance will cost you.

Home Insurance

Q: What does homeowners insurance cover?

A: The typical homeowners policy has two main sections: Section I covers the property of the insured and Section II provides personal liability coverage for the insured. Almost anyone who owns or leases property has a need for this type of insurance. Usually, homeowners insurance is required by the lender to obtain a mortgage.

Q: What are some practical things I can do to lower the cost of my home insurance?

A: There are a number of things you can do to lower the cost of your homeowners insurance.  The easiest thing to do is request a comprehensive review of your policy from us!

Looking for discounts that you qualify for is one way to lower the cost of your homeowners.  For example, many insurers will offer a discount when you place both your car and homeowners insurance with them. Other times, insurers offer discounts if there are deadbolt exterior locks on all your doors, or if your home has a security system. 

Life Insurance

Q: How much life insurance should an individual own?  

A: "Rule of thumb" suggests an amount of life insurance equal to 6 to 8 times annual earnings. However, many factors should be taken into account when determining the right amount of life insurance for you and your family.

Important factors include:

  • Income sources and amounts other than salary earnings
  • Whether or not you are married and, if so, what is your spouse’s earning capacity
  • The number of individuals who are financially dependent upon you
  • The amount of death benefits payable from social security and an employer-sponsored life insurance plan
  • Whether any special life insurance needs exist - (mortgage repayment, education fund, estate planning need, etc.)

Q: What about purchasing life insurance for my spouse?

A: It is of utmost importance that the income-earning capacity of the primary breadwinner be fully protected, if possible, through the purchase of the required amount of life insurance. This should be done before purchasing life insurance on a non-wage-earning spouse. Life insurance on a non-wage-earning spouse is often recommended for the purpose of paying for household services lost due to this individual’s death. In a dual-earning household, it is important to protect the income earning capacity of both spouses.  

Renters Insurance

Q: Why would I want to buy renters insurance?  

A: If you live in an apartment or a rented house, renters insurance provides important coverage for you and your possessions. A standard renters insurance policy protects your personal property in many cases of theft or damage, and may pay for temporary living expenses if your rental is damaged. It can also shield you from personal liability. Anyone who leases a house or apartment should consider this type of coverage. 

Q: How does a renters insurance policy protect my personal property?  

A: A renters insurance policy provides named perils coverage. This means that the policy only pays when your property is damaged or destroyed by any of the ways specifically described in the policy. These usually include:

  • Fire or lightning
  • Windstorm or hail
  • Vehicles
  • Smoke
  • Vandalism or malicious mischief
  • Theft
  • Falling objects
  • Weight of ice, snow, or sleet
  • Accidental discharge or overflow of water or steam
  • Freezing
  • Sudden and accidental damage from an artificially generated electrical current

These are just a few of the most common insurance questions-- but please remember that our agents are always happy to answer any other questions that you might have!

 

 

 

 

 

 

 

Servicing these States

Our Partners
  • Allstate
  • Countryway
  • Eastern
  • Erie & Niagara
  • Fingerlakes Fire & Casualty
  • Foremost
  • Leatherstocking Cooperative
  • Mercury
  • Michigan Millers
  • National General
  • Progressive
  • Safeco
  • Travelers
  • Vermont Mutual