How to Endorse Auto & Homeowner Insurance
Auto and homeowner insurance policies that do not include endorsements could leave people underinsured and lacking coverage on their assets. Endorsements, also known as riders, are additions and changes to a policy to tailor the insurance to fit the specific lifestyle and financial situation of the insured. When people make changes to their house or car, or buy expensive items, adding an endorsement ensures these items are protected against specific perils and insured to their appraised value.
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Instructions
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Determine what items your current insurance policy covers and its limit amounts. You can do this by reviewing your policy. Also notice the individual perils the materials are protected against. For example, your personal property may be insured against theft; if personal property is damaged or lost, however, you may not have coverage. Fully understand what you are insured against and under what conditions.
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List your possessions not covered in your current insurance policy. Consider whether or not you made additions to your home or auto. For instance, if you give permission to someone to drive your car on a recurring basis, then you should request an endorsement to add that person to your policy. Also, if you added equipment to your vehicle beyond factory installation, then it is vital to add that information to your policy for extended coverage. Review your personal property for any new purchases and list expensive jewelry, collectibles and furs. List home improvements and upgrades that may affect your property value, too.
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Document expensive items. Take photographs of the items and obtain appraisals for them. Gather receipts and records of repairs to your home and upgrades to your auto.
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Inform your insurance agent about changes to your assets and lifestyle. Depending on the dollar amount of the adjustments, your insurance agent may request to verify receipts, appraisals and photographs via fax or mail. In some cases, the agent may require you to take your car or other item to the office for inspection.
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Confirm insurance policy changes. After your insurance agent adds endorsements, check that your policy was updated with the requested endorsements, and verify the policy limits and special conditions assigned to each item. Retain your endorsement certificates for verification and proof of coverage in case you file a claim.
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Tips & Warnings
Review your insurance policy annually to determine whether or not you are fully covered and if you need to add endorsements.
Request your insurance agent to explain the auto and homeowner policy endorsements available to you. Each insurance company is different and offers various endorsements that can be added to a policy.
References
- Photo Credit grand old London house with old fashioned car image by hazel proudlove from Fotolia.com
