Frequently Asked Questions

FAQs About Home Insurance

Tony offers home insurance, auto insurance, and Property and Casualty insurance services.

Tony meets clients at their preferred location or over Zoom to review coverage, identify gaps, and provide solutions at no cost.

Tony is an independent agent who educates clients on coverages, offers multiple carrier options, and advocates for their best interests.

Tony aims to be the go-to insurance agent, ensuring clients feel well taken care of and well informed.

Coverage options include:

  • Replacement Cost Coverage: Ensures your home and belongings are replaced at today’s cost, without considering depreciation.
  • Actual Cash Value Coverage: Covers the depreciated value of your home or belongings.
  • Additional Endorsements: Such as service line coverage, water backup coverage, and more.

The coverage amount should reflect your home’s replacement cost, which is based on:

  • Home specifications (square footage, finishes, and updates).
  • Labor and material costs to rebuild.
  • Insurance carriers’ estimates, which may vary but should be close. Ensure your replacement cost estimate is accurate to avoid being underinsured.

Specific risks vary by area but may include:

  • Tree root invasions: Consider service line coverage.
  • Flooding: Standard policies typically exclude flood coverage; a separate flood policy is recommended.
  • Natural disasters: Earthquake and hurricane coverages often require separate policies or endorsements.

Key factors include:

  • Home’s age and updates to electrical, plumbing, and heating systems.
  • Type of plumbing and electrical (e.g., galvanized pipes or knob-and-tube wiring).
  • Pets and their breed (some breeds may lead to surcharges or exclusions).
  • Credit score or insurance score.
  • Protection class, which reflects the fire department’s response time and resources.

Yes. Bundling home and auto insurance often provides discounts, typically up to 25%. Additional savings may apply if you add life or umbrella insurance policies.

Claims vary based on complexity. The process includes:

  1. Reporting the claim to your agent or carrier.
  2. Assessment by an adjuster.
  3. Approval and payout. Reimbursement timelines depend on the nature of the claim and any required investigations.

Yes, most policies include “loss of use” coverage, typically up to 20% of your dwelling’s coverage limit. This covers costs like renting temporary housing while your home is repaired.

Common exclusions include:

  • Flood damage (requires separate flood insurance).
  • Water backup from sewers or drains (add as an endorsement if needed).
  • Wear and tear on appliances or equipment.
  • Specific limitations on valuables like jewelry, electronics, and artwork.

Review your policy:

  • Whenever you make home renovations or additions.
  • Annually, to account for changes in labor and material costs.
  • Post-significant events like disasters that might affect replacement costs.
  • Replacement Cost: Covers the cost to rebuild or replace items with new equivalents.
  • Actual Cash Value: Pays the depreciated value of items or structures at the time of loss.

For items like jewelry or collectibles, consider scheduling them with an agreed value endorsement. This ensures:

  • Coverage for mysterious disappearance or theft.
  • Payouts reflecting the insured value rather than a replacement piece.
  • Higher deductibles lower premiums but increase out-of-pocket costs during a claim.
  • Lower deductibles increase premiums but reduce upfront costs at the time of a loss.

Yes, personal liability coverage typically starts at $100,000 and can go up to $1,000,000 or more. It protects against lawsuits for injuries sustained on your property.

Possibly. Coverage needs depend on the type and extent of business conducted. Discuss specific risks with your agent.

Lenders often require:

  • A deductible below a certain limit (e.g., $2,500).
  • Dwelling coverage equal to or exceeding the outstanding loan balance.

Add vacant land to your home policy with an extended liability endorsement to protect against potential lawsuits (e.g., injuries to trespassers).

Condo insurance depends on the association’s bylaws, which specify your responsibilities (e.g., paint-in vs. drywall-in coverage). Ensure your dwelling value reflects these obligations.

  • Standard policies may only cover damaged sections, leaving mismatched materials.
  • Consider an “undamaged siding or roofing endorsement” for uniform replacements.

An umbrella policy provides additional liability coverage beyond your home and auto policies. It’s affordable and covers significant risks, such as:

  • Auto accidents.
  • Dog bites.
  • Swimming pool injuries.
  • Excess medical or legal costs.

Yes, notify your agent. They will rewrite your policy based on the new property’s specifications and cancel the old policy at the appropriate time.

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FAQs About Auto Insurance

Tony offers home insurance, auto insurance, and Property and Casualty insurance services.

Tony meets clients at their preferred location or over Zoom to review coverage, identify gaps, and provide solutions at no cost.

Tony is an independent agent who educates clients on coverages, offers multiple carrier options, and advocates for their best interests.

Tony aims to be the go-to insurance agent, ensuring clients feel well taken care of and well informed.

In Michigan, the minimum auto insurance requirements for bodily injury liability are:

  • $50,000 per person.
  • $100,000 per accident.

It’s highly recommended to opt for higher liability limits, as these provide better protection in case of lawsuits and help the insurance carrier defend you more effectively.

Optional coverages include:

  • Comprehensive Coverage: Covers non-collision incidents such as theft, vandalism, or falling objects.
  • Collision Coverage: Covers damage to your vehicle caused by accidents.
  • Custom Parts and Equipment Coverage: Protects aftermarket parts and modifications.
  • Rental Reimbursement Coverage: Pays for a rental car while your vehicle is being repaired.
  • Roadside Assistance: Provides services like towing and lockout assistance.

An umbrella policy provides additional liability coverage beyond your auto policy limits, typically in million-dollar increments. It’s especially recommended if you have:

  • Teen or inexperienced drivers in the household.
  • Significant assets to protect from lawsuits.

Under the no-fault system:

  • Each driver’s insurance covers their own vehicle’s damage and medical costs, regardless of fault.
  • Property damage liability covers damage to other people’s property (not their vehicles).
  • Claims paid under no-fault can still increase your rates, even if you are not at fault.

Yes, discounts may include:

Group Discounts: For membership in professional or alumni organizations.

Bundling Discounts: Combine auto with home or umbrella policies.

Safe Driving Discounts: For maintaining a clean driving record.

Vehicle Safety Features: Such as anti-lock brakes or airbags.

Yes, Michigan’s personal injury protection (PIP) covers:

  • Your medical expenses up to the chosen limit (unlimited coverage is available).
  • Passengers’ medical costs through their own PIP coverage or your policy if they don’t have one.

Uninsured and underinsured motorist coverages protect you by:

  • Covering medical expenses, pain, and suffering caused by uninsured drivers.
  • Supplementing insufficient liability coverage from the at-fault driver

Your personal auto policy may cover rental cars if:

  • You have collision and comprehensive coverage.
  • You’ve added endorsements for loss of use or diminished value.

Check with your agent to ensure adequate coverage.

Modifications like lifts or braking systems can be covered if listed on your policy. Work with your agent to:

  • Add custom parts and equipment coverage.
  • Specify the vehicle’s modified value to ensure proper reimbursement.

Michigan’s mini-tort law allows recovery of up to $3,000 for vehicle damage when you’re not at fault, but your policy doesn’t include collision coverage. This amount is paid by the at-fault driver’s insurance.

  • Most policies’ roadside assistance covers the insured vehicle.
  • AAA memberships, however, follow the individual, offering broader coverage regardless of the vehicle.

Strategies include:

  • Opting for higher deductibles.
  • Reducing coverage on older vehicles.
  • Maintaining a high credit/insurance score.
  • Bundling policies.

Children can remain on your policy if their primary residence is still your home. If they:

  • Move out permanently or sign a lease, they’ll need their own policy.
  • Are college students living in dorms, they can stay on your policy.
  • Pothole damage is considered a collision claim and may affect your rates.
  • Review the damage estimate before filing a claim to determine if it’s worth filing.

Adjusters use comparable vehicles’ market values to calculate payouts. If you disagree with their assessment, provide evidence of your vehicle’s specifications, such as:

  • Mileage.
  • Upgrades (e.g., leather seats, sunroof).

Work with your agent to negotiate adjustments if needed.

Comprehensive insurance covers non-collision-related incidents, such as:

  • Theft.
  • Vandalism.
  • Falling objects.
  • Natural disasters (e.g., hail).
  • Animal collisions (e.g., deer).

Yes, insurance scores based on your credit history significantly influence rates. Improving your credit score can lower premiums.

Exclusions may include:

  • Using your vehicle for rideshare services without proper endorsements.
  • Intentional damage.
  • Wear and tear.

How to Acquire Insurance

Reach out to Tony Pieh, an independent insurance agent, to schedule a consultation.

Have a conversation with Tony to discuss your home insurance, auto insurance, or property and casualty insurance needs.

Sit down with Tony to review different insurance coverage options, including those from multiple carriers.

Tony, as an educator, will guide you through the proposals to ensure you understand all available options fully.