Key Terms for Understanding Auto Insurance

Most people shopping for auto insurance go through the challenge of understanding the different terms used. It is even harder for people to buy insurance for the first time as the words are foreign to them. To help you understand, Paragon Independent Insurance Agency of Plano, TX takes you through some key terms you should know.

At Fault

At-fault refers to the person/ party responsible for an accident and liable for any harm caused. If you are the one that caused an accident, automatically, you are responsible for all the resulting costs of property damage and injuries. 

Damages

Most people confuse damage with damage, but the two have different meanings in insurance. Damage is the resulting destruction caused after an accident, while damage is the money that the party at fault is required to pay for the destruction of property and the injuries caused. Often, after the liable party is sued, they will pay damages or compensate the person harmed in the accident.

Liability

Liability is the legal responsibility befalling the party that caused property damage or bodily harm during an accident. The party at fault for the damage is required to pay for the costs of repair and the medical treatment of the injured party.

Coverage

This term is used to refer to the different protection offered by an auto insurance company. It includes items covered under a policy, such as liability coverage, comprehensive coverage, and underinsured/ uninsured coverage.

Premiums

The amount of money you need to pay for your auto policy is referred to as premiums. They are paid in monthly installments or annually and the insurance company will determine the premium you pay.

Claim

This is a formal request to your insurer asking for payments depending on your policy terms.

If you reside in Plano, TX, and want to learn more about auto insurance, contact Paragon Independent Insurance Agency. We are ready to answer any questions you may have.

Is It Time to Update Your Auto Insurance?

When you own a vehicle in Plano, TX, you know that maintenance is vital. That’s why you carry out scheduled maintenance as per your manufacturer’s recommendations. To even up your game, you undertake car mods to ensure that your ride remains in tip-top condition. Unfortunately, many motorists shun the idea of upgrading their auto insurance until something unfortunate happens. If you are wondering when it’s a good time to update your auto insurance, stay on as Paragon Independent Insurance Agency shares tips. 

Here are some situations to signal that you need to review your auto insurance:

  • Teen driver: If you would like your teenage son or daughter to drive your car, you need to adjust your auto insurance. Teenagers carry an added risk when driving. As such, you need proper insurance to protect them. To note is that your teen’s academic performance, completing a defensive online course, and installing anti-theft devices affect your auto insurance rate. 
  • Changing vehicle use: If you want to use your personal vehicle to run commercial errands, you need to update your insurance to commercial auto insurance. Otherwise, your insurer won’t compensate you for accidents that occur when carrying out commercial activities using personal auto insurance. 
  • Moving to a different residence: Change of locality affects your auto insurance rate. Depending on how the accident or theft-prone your area is, your insurance rate can either go up or down. 
  • New vehicle: Suppose you have acquired a new car using a car loan. While your financier might allow you to transfer your current auto insurance, you have to upgrade it to your financier’s requirements. Most likely, your financier would want you to add more coverage options. 

As you can see, there are many reasons to review your auto insurance. If you are unsure whether it’s time to update your auto insurance, please talk to the Paragon Independent Insurance Agency of Plano TX, for more information.

How can auto insurance in Plano protect me?

Those that are in the Plano, TX area will find that owning a car is a practical necessity. Those that do have a car here will be able to get around the entire Dallas TX metro area much more efficiently. While there are plenty of advantages that come with owning a car, there are responsibilities as well. One responsibility that all people have is the need to get auto insurance. This coverage can protect you in many ways. 

Insurance Will Protect Car

One of the reasons that people in Plano should always get a car is that it will provide them with protection for their vehicle. If you have bought a car, you will want to know that you can drive and enjoy it for a long time. With a full auto insurance plan that includes both collision and comprehensive protection, you will know that you are properly covered and protected at all times for many risks that could result in a loss.

Insurance Gives Liability Protection

You will also want to get an auto insurance plan because it will provide you with liability protection. If you decide to drive a car there will always be a chance that you could cause an accident. If this does occur, you will need to pay for any damages that you cause. Fortunately, when you get an auto insurance plan, you are going to receive liability protection to mitigate this risk. 

Getting an auto insurance plan in the Plano, TX area is always a good idea. As you are looking for a new plan here, the Paragon Independent Insurance Agency is a great company to reach out to. When you call Paragon Independent Insurance Agency you can learn a lot about your options and they can help you choose the right policy that meets your needs. 

I Rear Ended My Other Car, Now What?

It sounds crazy, but it happens: People running into their own cars. If you own more than one vehicle and they’re both covered by the same provider, you might wind up dealing with this situation if you make a careless turn coming into the driveway. So what happens next?

  • If you have a liability-only policy, nothing happens. Your insurer will cover the damages if you hit someone else’s car, but not if you run into your own vehicle.
  • If you have comprehensive and collision, you’re covered. In this instance, it works just like if you ran into a tree or something. Sure, it’s technically your own fault, but that’s what insurance is for. The question is whether it’s worth paying the deductible.
  • If someone is injured, your PIP may cover it. Suppose you get whiplash running into the old truck in the driveway. Your Personal Injury Protection should cover you.
  • If you decide to cover the damages yourself, no problem. You’re only required to report accidents to your insurer when you want to make a claim, or when someone else has suffered losses. If you run into your own car in your driveway, there’s no law against saving yourself the embarrassment and keeping this "just between us." Just tell the mechanic "I don’t want to talk about it" when they ask what happened.

Most accidents in Plano, TX actually happen near the home, so this might not be as weird as it sounds. If you have any questions or you’re looking to get covered, get in touch with Paragon Independent Insurance Agency. Whether you’re covering one car or several, Paragon Independent Insurance Agency can get you the coverage you need.

Does your auto insurance cover you in a rental vehicle

It happens to almost everyone, you need to drive a rental car. They are going to be asking you a lot of questions either in person or online. More than one of the questions will have to do with insurance. The good news is if you are online you have time to do your research before you make the final decision. At Paragon Independent Insurance Agency Plano, TX, we have more than 50 years of combined experience. The entire team places the needs of our customers first and does everything possible to meet their needs. 

There is no one simple answer to the question "Does your auto insurance cover you in a rental vehicle". The only answer is maybe. A lot will depend on who your carrier is and the type of insurance that you have on your vehicle. You have liability insurance on your auto policy and that will cover you even in your rental vehicle. But the other coverage is not so cut and dry. Be sure to read your policy and if you have questions, call your insurance professional and get the low down. What you need to consider if you have comprehensive and collision coverage is the value of your personal car versus the value of the rental vehicle. 

The rental company will offer you a variety of coverage options. One of them will be liability coverage. As long as you are comfortable with the amount of liability protection you have on your personal vehicle you can decline that coverage. If you don’t have collision and comprehensive coverage the collision damage waiver that the rental company provides will give you that protection. If you have home or renters insurance you can refuse the personal effects coverage. 

Contact Paragon Independent Insurance Agency in Plano, TX when you have questions about your auto coverage. 

Auto Insurance Variables That Texas Drivers Should Think About During The Winter

Paragon Independent Insurance Agency serves the Plano, TX community. We believe that our clients’ needs come first. We proudly serve as an independent agency. We have established long term relationships with multiple carriers throughout the South.

Auto Insurance Variables During The Winter

Auto insurance allows you to protect one of your most prized possessions. The policy covers your vehicle if you are involved in an accident with another vehicle or object. You are also covered if someone tries to steal or vandalize your vehicle. Liability coverage protects you if you are responsible for your vehicle causing damage to someone’s property. As the weather starts to change in Plano, TX, it’s important that you have a safety net. Here are some variables to think about while you are driving during the winter.

Slick Roads

The primary danger to consider while you are driving in the winter is the slick driving conditions. During cold temperatures, the rain can turn to ice or snow on the road. This increases the chances of you being involved in a collision. Make sure that you are driving at a steady pace. Do not drive fast during slick conditions. Try to have your tires checked, as well as your headlights and taillights before the start of winter. This will decrease the likelihood that you will be involved in a serious collision.

Prepare For Emergencies

Consider amending your policy so that you will be protected if your engine fails or you have a flat tire. You can seek emergency towing services or roadside assistance. Get a tune-up and make sure that you have a fresh batch of antifreeze in your vehicle.

Paragon Independent Insurance Agency Will Help You Cover Your Vehicle

Visit our website to learn more information about auto insurance.

Who needs auto insurance in Plano?

The Plano, TX area is a great place for anyone to work and live. If you are going to live in this area of Texas, you will undoubtedly need to have a car as it will make it a lot easier for you to get around. When you are looking for a car, you should also consider your insurance needs. There are many situations when you will need to have auto insurance in Plano.

When Taking out a Loan

One situation when you will need to have auto insurance is when you are going to take out a loan. Those that are purchasing a car may need to finance the purchase with a loan. No matter who provides the loan, there are bound to be insurance requirements. Most of the time, you will need to have a full collision and comprehensive policy as it will provide great protection for you and the lender’s collateral.

When Driving on a Public Road

You are also going to need to have auto insurance whenever you want to drive on a public road. Anyone in Texas will need to meet the minimum liability auto insurance levels in order to drive legally. This will help to ensure that you are able to pay for damages caused in an accident and it ultimately protects all drivers on the road. If you do not have this auto insurance coverage, you could be penalized.

There are many situations when someone will need to have auto insurance in the Plano, TX area. If you are shopping for auto insurance here, you should call the Paragon Independent Insurance Agency. The team at the Paragon Independent Insurance Agency can help you understand your needs and options. This will make it much easier for you to choose a policy. 

3 Reasons to File an Auto Insurance Claim

Filing an auto insurance claim in Plano, TX can be confusing, especially if you don’t know very much about your policy. Paragon Independent Insurance Agency is here to provide you with a few common scenarios so you have an idea of when it’s appropriate to go through with the process. 

1. When Another Party Is Involved 

If you drive your car into a brick wall and you only damage your car, you might not file a car insurance claim if you have liability only. However, as soon as the collision involves someone else, you should file a claim with your insurance carrier. Even if the accident was minor, the repairs may end up being a bigger deal than you realize. 

2. If Someone Was Injured 

Similar to the above, if someone was injured during the accident, it’s vital to file a claim. It’s even more important to keep as many details as possible about the accident on hand. From written descriptions to photos, the more information, the easier it will be to determine the outcome of the situation. 

3. When Your Car Is Stolen 

Every policy differs, but theft is generally covered for most policies. If your car has been taken, you should file a claim with your insurance company alongside a police report in Plano, TX. You should consider getting a GPS tracker for your car to make it easier to track it down in the case it’s taken. 

Paragon Independent Insurance Agency knows that policies aren’t always clear based on the language in your contract. If you have questions about when it’s appropriate to file a claim and what your policy covers, give us a call today to start the conversation before something happens instead of after. 

Do Any States Require Comprehensive & Collision Auto Insurance?

If you live in Plano, TX, your state does not require you to carry any auto insurance besides liability protection. And this applies pretty much wherever you live, except for New Hampshire, where you are free to drive without insurance (though you do need to be able to pay for liability costs should you cause an accident). There are also a few states like Mississippi where you can skip insurance if you are willing to pay a fee to the government. This fee is usually more expensive than insurance, so insurance is effectively mandatory in these states anyway.

The states vary on how much insurance you are required to carry, but none of them require that you carry comprehensive and collision. This is because comprehensive and collision are an investment into your own property. We are required to carry insurance so that other drivers are covered for any damages that we cause. When it comes to our own damages, we’re free to use our own judgment.

Skipping comprehensive and collision isn’t a great idea, of course. But the only entities that can require that you carry it are lenders for car loans, cosigners, and other people or companies with whom you have entered a contract. In which case you are contractually obligated to carry insurance, but not by state law, and the matter would be handled in civil courts if you were to skip out on your insurance payments.

If you are still looking for an insurer to cover you in Plano, TX, get in touch with Paragon Independent Insurance Agency, and let’s see what we can do for you. You can call us or contact us through the Paragon Independent Insurance Agency website.

Auto Insurance Add Ons To Consider

Auto insurance is by no means a one size fits all form of insurance. Even if you were to own the exact same vehicle as your neighbor the insurance you need is not the same. That is why you need to shop around for your auto insurance coverage in order to find what works out best for your particular vehicle needs. Here at Paragon Independent Insurance Agency, we aim to assist drivers living in greater Plano, TX. These are some of the auto insurance add ons you should consider. 

Road Side Assistance

This is a valuable form of auto insurance you may want to consider. If your vehicle breaks down and you need a tow, fresh battery, new tire, or other help, roadside assistance is there for you. 

Vehicle Upgrade

Have you upgraded your vehicle lately? Perhaps you’ve gone all-in on a new stereo system or you’ve lifted your truck and installed new wheels and tires. You may want to consider protecting these upgrades so you don’t need to pay out of pocket in the event of vehicle damage. 

Tire Insurance

Find yourself constantly replacing tires? You can opt for tire insurance to help cover the cost of replacements. This can save you a considerable amount if you are regularly replacing your tires. 

Insurance Coverage For Your Vehicle

It doesn’t matter if you’ve gone all out with your vehicle upgrades or you’ve wanted to make sure you’re protected when a battery dies, there are all kinds of auto insurance add ons you should consider. Here at  Paragon Independent Insurance Agency, we aim to provide you with all the coverage options you need. So, if you want to learn more about insurance coverage add ons for your vehicle and live in Plano, TX, give us a call at your earliest convenience.