A: When you apply for an insurance policy, you will be asked a number of questions. For example, the agent might ask you your name, age, gender, address, etc. In addition, you will be asked a number of other questions which will be used to determine how likely you are to make a claim. When an insurance company is deciding whether or not to offer automobile insurance to a potential customer, it will want to know about the person's previous driving record, whether they have any recent accidents or tickets, and what type of car is to be insured. Insurance companies have different programs for different customers. Adults with good driving records will generally pay less for auto insurance than will a young driver with traffic tickets. In order to determine which program you qualify for, an insurance company needs basic information about you. In addition to your age, gender and driving experience, information about the vehicle you drive, and how you drive it, is also needed to determine a fair price. For example, a large luxury car costs more to repair or replace than a sub-compact; and, someone who commutes 30 miles each way is more likely to be in an accident than someone who rides the bus to work and drives only on weekends.

A: By using an agent to purchase insurance, the policyholder receives more personal service. An agent with whom there is direct contact can be vital when purchasing a product and absolutely necessary when filing a claim. A local, independent agent is able to deliver quality insurance with competitive pricing and local personalized service.

A: Most states have insurance laws that require drivers to have at least some automobile liability insurance. These laws were enacted to ensure that victims of automobile accidents receive compensation when their losses are caused by the actions of another individual who was negligent. It is often the case that the cost of repairing the damages to an older car is greater than its value. In these cases, your insurer will usually just "total" the car and give you a check for the car's market value less the deductible. Many people with older cars decide not to purchase any physical damage coverage.

A: Collision is defined as losses you incur when your automobile collides with another car or object. For example, if you hit a car in a parking lot, the damages to your car will be paid under your collision coverage. comprehensive provides coverage for most other direct physical damage losses you could incur, including theft. For example, damage to your car from a hailstorm will be covered under your comprehensive coverage.

A: A number of factors can affect the cost of your automobile insurance—some of which you can control and some that are beyond your control. The type of car you drive, the purpose the car serves, your driving record, and where the car is garaged can all affect how much your automobile insurance will cost you. Even your marital status can affect your cost of insurance. Statistics show that married people tend to have fewer and less costly accidents than do single people.

A: There are a number of things you can do to lower the cost of your homeowners insurance. The easiest thing to do is get a comprehensive review of your policy and needs from your local agent. It is not surprising to find quotes on homeowners insurance that vary by hundreds of dollars for the same coverage on the same home. When you shop, be careful to make sure each insurer is offering the same coverage. Another way to lower the cost of your homeowners insurance is to look for any discounts that you may qualify for. For example, many insurers will offer a discount when you place both your automobile and homeowners insurance with them. Other times, insurers offer discounts if there are deadbolt exterior locks on all your doors, or if your home has a security system. Be sure to ask us about any discounts for which you may qualify. Another easy way to lower the cost of your homeowners insurance is to raise your deductible. Increasing your deductible from $250 to $500 will lower your premium, sometimes by as much as five or ten percent.

A: The typical homeowners policy has two main sections: Section I covers the property of the insured and Section II provides personal liability coverage for the insured. Almost anyone who owns or leases property has a need for this type of insurance. Usually, homeowners insurance is required by the lender to obtain a mortgage.

A: Covered losses under a homeowners policy can be paid on either an actual cash value basis or on a replacement cost basis. When "actual cash value" is used, the policy owner is entitled to the depreciated value of the damaged property. Under the "replacement cost" coverage, the policy owner is reimbursed an amount necessary to replace the article with one of similar type and quality at current prices.

A: There are a number of factors you should consider when purchasing any product or service, and insurance is no different. Here is a checklist of things you should consider when you purchase homeowners insurance. Determine the amount and type of insurance that you need. The coverage limit of your house should equal 100% of its replacement cost. If your policy limit is less than 80% of the replacement cost of your home, any payment from your insurance company will be less than the full cost to replace your home -- you'll have to pay the rest out of your own pocket. Also, decide if the personal property and personal liability limits are adequate for your needs. Determine which, if any, additional endorsements you want to add to your policy. For example, do you want the personal property replacement cost endorsement, an earthquake endorsement or a jewelry endorsement? Once you have decided on the coverage you want in your homeowners insurance policy, consult us. We will be able to help you determine if there are any gaps in coverage you might not have been aware of, explain the details of the policy's exclusions and limitations as well as recommend an insurance company that will live up to your expectations.

A: [Note: this answer is based on standard HO-3 policy.] The dwelling and other structures on the premises are protected on an "all risks" basis up to the policy limits. "All risks" means that unless the policy specifically excludes the manner in which your home is damaged or destroyed, there is coverage. The policy limit for the dwelling is set by the policy owner at the time the insurance is purchased. The policy limit for the other structure is usually equal to 10% of the policy limit for the dwelling. Losses to your personal property are covered on a "named perils" basis. "Named perils" means that you have coverage only when your property is damaged or destroyed in the manner specifically described in the policy. The policy limit on the coverage is equal to 50% of the policy limit on the dwelling. Limits for the coverage for the additional expenses that the policy owner may incur when the residence cannot be used because of an insured loss are equal to 20% of the policy limit on the dwelling. The coverage limit on personal liability is determined by the policy owner at the time the policy is issued. The coverage limit on medical payments to others is usually set at $1000 per injured person.

A: Personal property (except property that is specifically excluded) is covered anywhere in the world. For example, suppose that while traveling, you purchased a dresser and you want to ship it home. Your homeowners policy would provide coverage for the named perils while the dresser is in transit—even though the dresser has never been in your home before.

A: The standard insurance policy does not pay for direct damages caused by "earth movement." "Earth movement" is a much broader term than earthquake. It includes earthquake, volcanic activity and other earth movement. This coverage may be available by endorsement for an additional charge. If you live in an area that is more likely to have an earthquake, you'll pay more than if you live in an area that is unlikely to have an earthquake. We can help you weigh the costs and benefits of this coverage before you decide to purchase.

A: Primary Liability Insurance coverage protects you from damage or injuries to other people as a result of an accident involving your truck. Coverage is mandated by state and federal agencies and all trucking companies are required to verify proof of coverage. Coverage limits range from $40,000 to $1,000,000.

A: Physical Damage Insurance provides coverage for your truck and/or trailer. This coverage guarantees the repair or replacement due to damage resulting from a collision, fire, theft, hail, windstorm, earthquake, flood, mischief or vandalism to your owned vehicles.

A: Motor Truck Cargo Insurance protects the transporter for his responsibility in the event there are damages to or lost freight that he is hauling. This type of policy is purchased with a maximum load limit per vehicle. Coverage limits can range from $10,000 to $100,000; additional limit options are available by request.

A: Trailer Interchange Insurance is coverage for the legal liability of truckers for loss or damage to non-owned trailers and equipment, which are in the insured's possession under written trailer interchange agreement.

A: Non-Trucking Liability Insurance, also known as "Bobtail Coverage," provides limited liability coverage for owner/operators who are permanently leased to an ICC-regulated carrier. This coverage provides limited liability protection when the owner/operator is not on dispatch, nor pulling a loaded trailer.

A: Any vehicle operating for hire in interstate transportation of regulated freight or passengers must have operating authority. Interstate Operating Authority is issued by the former Interstate Commerce Commission (ICC), now maintained by the Department of Transportation (DOT), not the Office of Motor Carrier Safety Administration (FMCSA) which is under the auspices of the Federal Highway Authority. Unlike many other regulations governing interstate operations, there is no minimum weight threshold that requires compliance.

A: Interstate commerce is trade, traffic or transportation involving the crossing of a state's boundary. Either the vehicle, its passengers or cargo must cross a state boundary, intent to cross a state boundary, to be considered an interstate carrier. Intrastate commerce is trade, traffic, or transportation within a single state.

A: The definition of an "authorized for-hire" carrier is a person or company that provides transportation of cargo or passengers in exchange for compensation. If you are a for-hire carrier, in addition to a USDOT number, you will also need to obtain Operating Authority in the form of an MC number.

A: Common carriers provide for-hire truck transportation to the general public. Common carriers must file both liability (BI & PD) insurance as well as cargo insurance. Contract carriers, provide for-hire truck transportation to specific individual shippers, based on contracts. Contract carriers must only file liability (BI & PD) insurance. Brokers arrange for the truck transportation of cargo belonging to others, in exchange for compensation. Brokers utilize third-party for-hire carriers to provide the actual truck transportation, and must file either a surety bond or trust fund agreement.

A: Private motor carriers are the people who provide transportation of property or passengers by commercial motor vehicle, and is not a for-hire motor carrier.

A: No. A contract carrier cannot broker loads without first applying for, and receiving, a license to operate as a broker of freight.

A: Temporary Operating Authority is only issued for national disasters or other Emergency situations.

A: Both of these forms are used to make liability insurance filings with the FMSCA. We do not provide these forms; the insurance company responsible for the filing these forms maintain their own supplies. In fact, many insurers can now do so electronically.

A: If you have the MC number, USDOT number or name to search by, you can easily check safety ratings at http://safer.fmcsa.dot.gov.

A: The best way is to call the FMSCA toll-free at 1-800-832-5660 to correct the information.