Insurance Myth: You've Got Insurance To Pay EVERY Claim

Insurance Myth: Insurance is there to pay for every claim or accident...
Truth: Insurance is meant for catastrophic losses.

Small claims and accidents that could have been paid out of pocket will usually come back to haunt you in the form of higher premiums...or worse, non-renewal. This is something that is prevalent with homeowners policies and Preferred auto companies.

Also, a lower deductible may make it possible for you can make more claims-- but you pay the price. Literally. If you can pay for the loss or damage without a financial hardship then pay it.

Something to keep in mind...depending on your policy, you may not have the coverage to pay your claim! For example, you're driving down a rural road and hit a deer; you don't have comprehensive or collision coverage and there's considerable damage to your vehicle. In this case, you're out of luck.