Dispelling 4 Myths About Insurance Claims

Insurance Claims Myths in San Diego, CA

Insurance claims can be frustrating and stressful because they are typically filed after something unfortunate has occurred in your life, such as an auto accident or a home burglary. Navigating the claims process can be difficult, and some of the information you’ve heard from other people may be untrue. Many myths about insurance claims exist, and the insurance experts at American Tri-Star in Vista are here to dispel a few of them.

Myth #1: You Can Pad Losses When Filing a Homeowners Insurance Claim

Many homeowners are tempted to pad their claims out of fear their Vista home insurance agency will lowball them. For example, they may say their stolen TV was 60 inches when it was only 47 inches. Keep in mind insurance adjusters investigate claims every day and have probably seen every trick in the book. If an adjuster suspects something is out of line, he or she will scrutinize your claim even closer and view any subsequent claims with suspicion.

Myth #2: You’re Not Covered If a Friend Driving Your Car Is in an Accident

In most instances, the policy covering the vehicle is considered the primary coverage, regardless of who was driving. This means your Vista auto insurance agency will be primarily responsible for any damages resulting from the accident. However, the driver may still have some financial responsibility if your insurance does not cover all of the damages.

Myth #3: Beneficiaries Must Pay Income Taxes on Life Insurance Proceeds

In most cases, life insurance proceeds are not taxable and do not have to be reported to the Internal Revenue Service. Life insurance is an excellent way to provide your family with tax-free money to cover funeral, living, and even education expenses in the event of your death.

Myth #4: Comprehensive Auto Insurance Covers All Situations

The word “comprehensive” may lead you to believe otherwise, but this type of insurance only covers damage from events other than collisions, including:

  • Theft
  • Fire
  • Vandalism
  • Weather damage
  • Hitting an animal

However, you can easily secure cheap car insurance in Vista that also includes collision coverage.

If you have additional questions about insurance claims, reach out to American Tri-Star. When securing your insurance needs through us, you’ll have agents you can trust who can walk you through the claim process should you ever need to file one. Give us a call today at 760-758-1600 to learn more about our auto, RV, motorcycle, and homeowners insurance.