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“Insurance Savings Advice & Tips On How To Save Money On All Your Insurance Needs”
“Insurance Savings Advice & Tips On How To Save Money On All Your Insurance Needs”
MISCELLANEOUS INSURANCES
MISCELLANEOUS INSURANCE MONEY SAVING TIPS
Insurance Coverage Provided By Credit/Debit Cards
Private Mortgage Insurance (PMI)
Electronics & Appliance Warranties
Insurance Coverage Provided By Credit/Debit Cards
Credit and debit cards often offer several types of insurance coverage when they are used to purchase a product or service.
1. Many credit cards provide extended warranty protection for your purchases bought with the credit card. This protection will usually double the initial warranty on the item purchased up to an additional one year of warranty protection. Either call up the credit card company to see if this coverage is available and how it works, or refer to your credit card benefits guide.
2. Credit cards often will provide coverage for theft or damage to any purchases you made with the card, for up to ninety days under certain conditions. If covered, they will either repair or replace the item free of charge. Check with your credit card company.
3. Most credit cards offer coverage in case a rental car you are driving (and was rented using your credit card) is damaged or stolen. This coverage is effective if you do not purchase the collision damage waiver from the auto rental company, and is secondary to any other coverage you may have. There is generally no deductible, so even if your own insurance policy covers any damage sustained, the credit card coverage will pay for your deductible. In addition to paying claims for damage to the vehicle, the availability of this coverage saves the cost of buying the collision damage waiver from the auto rental company.
4. Often credit cards offer travel accident insurance and baggage delay insurance, when traveling on a common carrier such as a commercial airline, train, etc. Travel accident insurance is often $100,000 or greater.
Private Mortgage Insurance (PMI)
If your down payment on your home is less than 20%, most lenders will require you to purchase Private Mortgage Insurance (PMI). PMI provides for payment of your mortgage if you default. If you have a good payment record, when your mortgage balance becomes less than 80% of the purchase price of the house or the appraised value at time the loan was obtained, whichever is less, you can request the mortgage provider to remove the insurance, and reduce your monthly payment by the amount of the insurance premium. In any case, under today’s regulations, when the mortgage balance gets to 78% of value, the mortgage provider must remove the insurance, if you are current on your loan.
Sometimes home buyers or home sellers (in order to improve the salability of their
home) purchase a home-
When moving your household goods, make sure your moving company is insured and that your belongings will be insured for loss or damage. Loss and damage insurance will probably cost extra, but you should not skimp in this area. Make sure the coverage is replacement cost coverage that will pay the full cost of replacing the item, not it’s depreciated value.
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