Jacques Wong
Q&A by Jacques Wong
Can I avoid the penalties of a short rate cancellation?
First, lets have a quick refresher on the difference between the two types of cancellations: pro rata and short rate (we'll ignore flat...
What should I look for in an insuring clause?
Let's first take a look at what an insuring clause is. An insuring clause is one of the most important—if not the most important—elements...
Should I work with an insurance agent or a broker?
First, lets start off by talking briefly about the differences between an insurance agent and an insurance broker. The key difference is...
What is the difference between a captive agent and an indepedent agent?
You can think of your insurance agent as your insurance salesperson. In general, their job is to work with you to help you understand your...
Is the date of inception of the insurance policy different than the effective date of the policy?
The date of inception and the effective date of the policy are terms that generally refer to the same thing. They refer to the date at...
When does an insurer reassess a policyholder's exposure?
There are a few common scenarios in which an insurance company might reevaluate a piece of business and make adjustments.Have you ever had...
What kinds of insurance policies have a guaranteed insurability option?
First, lets start by talking about what "guaranteed insurability" is. Having a guaranteed insurability option on your insurance contract...
Is flat cancellation an option for every insurance contract?
Let's start this off by first talking about what it means to flat cancel an insurance contract. To flat cancel an insurance contract means...
Are there ways to reduce my premium if I am deemed a substandard risk?
The easiest ways to reduce your premium despite being deemed a substandard risk is to either increase your deductible or reduce your...
How do tenant's improvements and betterments affect my insurance coverage?
Clients who are concerned about this problem generally fall into one of two categories: building owners and tenants. The likely concern...
What kind of renovations count as tenant's improvements and betterments?
To put it simply, tenant improvements and betterments are all renovations that are paid for by an insured who does not own the building or...
Why do life insurance policies have aviation exclusions?
First, let's talk a little bit about how aviation exclusions work in a life insurance context. It works in different ways depending on your...
Are there any exclusions in vandalism and malicious mischief (VMM) insurance policies?
Like the name implies, vandalism and malicious mischief (VMM) policies cover losses caused by vandalism. They are a default feature of most...
Is my car still considered a personal passenger car if I sometimes use it for work?
The short answer is "yes." But it depends on a few factors, like how often you use it for work, distances traveled, and the type of work...
How do insurance companies calculate exposure?
Different insurance companies will have their own ways of calculating risk exposures and it will vary for different types of insurance....
Do I need proof of purchase for stolen items to file a burglary insurance claim?
To put it simply: no. You only need to show proof of ownership to have a valid claim. For example, if you received a gift from a friend and...
How are partial loss insurance claims handled?
A partial loss refers to property that has been damaged but is still functional. Despite the differences between them, insurance claims on...
How should I insure a vacant building?
Let's start by going over what "vacant" means. A vacant building is one that is without regular occupants and whose former occupants have...
Does the way I pay for my insurance affect my premiums?
In some sense, yes it does. There is no difference in premiums paid for choosing different payment methods (cash, check, credit card)....
Does changing my insurance company affect my credit score?
Under normal circumstances, changing insurance companies will not affect your credit score. People and businesses change insurance...
Will I have to pay more for an insurance policy because I'm young?
In general, the answer is no. However, there are situations where premiums may be higher due to factors incidentally related to a...
Why does my business get audited by my insurance company each year?
Insurance companies audit the businesses they insure for a variety of reasons, most of which are entirely benign so there's no need to...
Does my credit rating have any effect on my auto insurance premiums?
There are many things that play a role in determining your car insurance premiums and some factors vary by company and jurisdiction....
What is an independent insurance agent?
To put it simply, an independent insurance agent is someone who works for you. Your independent agent will help you determine what kind of...
Should I get replacement cost or actual cash value coverage for my property insurance?
First, let's talk about the main difference between the two: actual cash value factors in depreciation, whereas replacement cost does not....
What is a waiver of subrogation?
First, let's define subrogation: subrogation is one of the fundamental concepts in insurance and it means to "place oneself into the shoes...
Do my commercial property premiums have anything to do with my building's ISO rating?
Your building's ISO rating most commonly describes the type of construction used in making it. There are six ISO types for construction...
Does my credit score have any effect on my insurance premiums?
In general, your credit score has no direct effect on your insurance premiums. However, depending on your insurer, there are two...
What is actual cash value?
Actual Cash Value (ACV) is one of the ways insurers determine the insurance value of something (find out How Auto Insurance Companies Value...
What does "replacement cost" mean?
Replacement Cost is one of the 3 methods of calculating something's value. The other two are Actual Cash Value and Book Value. Book Value...
What do insurance companies consider a pre-existing condition?
To give you a dictionary definition, a pre-existing condition is a health condition that existed before a person's health insurance policy...
What is a high deductible health insurance policy?
A high deductible health plan (commonly referred to as an HDHP) is a health insurance plan in which a high minimum deductible must be met...
What is co-insurance and what effect does it have on my health insurance?
Co-insurance in the health insurance context is a little different from, say, your regular commercial property insurance.The co-insurance...
Is flood damage covered by homeowners insurance?
To put it simply, flood damage, by itself, is usually not covered by your typical homeowners insurance policy. Flood, as a standalone peril...
How are my premiums affected by living in a flood zone?
To put it simply, living in a flood zone affects your flood insurance premiums by influencing your level of exposure to a flood-related...
Should I buy flood insurance?
Whether you need flood insurance or not depends on a few factors. It mostly has to do with the level of risk you're comfortable with taking...
Should I get long-term care insurance?
This is a question I hear a lot in my professional life and I think the answer depends on your level of personal wealth and the specific...
How is term life insurance different than whole life insurance?
The get a sense of how whole life and term life insurance policies differ, let's look at a few key features commonly seen in each kind of...
Will long-term care insurance cover the cost of staying in a nursing home?
This is a question insurance professionals hear a lot because many people are unclear about their long-term care coverage. The short answer...
Why do some insurance companies offer life insurance for children?
This is a very good question, and one that everyone asks as soon as they learn that there is such a thing as life insurance for children....
How much life insurance should I buy?
This is a very tough question that gets asked all the time. The answer depends largely upon two factors: whether you a primary provider for...
Do I need to get workers comp coverage for independent contractors?
This is a very common question that I get asked all the time by builders and general contractors. In general, the answer to the question is...
Can an employee sue my business if I have workers comp?
In short, yes, they still can. Workers Compensation is offered on a no-fault basis, meaning that the employee doesn't need to prove that...
Should I purchase a personal umbrella policy?
Umbrella insurance is an additional liability policy on top of existing insurance. It cannot be purchased as the primary policy. The...
What is personal liability insurance?
First, let's go over what liability insurance does. Liability insurance provides financial protection when someone is found legally...
Is debris removal covered by a homeowners insurance policy?
Yes, debris removal is typically automatically covered under a homeowner insurance policy (learn more about your coverage in Breaking Down...
Will homeowners insurance cover damage from a nuclear explosion?
The simple answer is: no, a homeowners insurance policy will not cover nuclear explosion because it is explicitly excluded by the wording...
Do I need to purchase insurance for my boat, or will my home insurance cover it?
In my work as an insurance salesman, I hear this question a lot. The short and easy answer to this question is a resounding yes! You will...
What kind of insurance will cover my jewelry for theft?
A standard home insurance policy will typically provide coverage for your jewelry, watches, gems, and furs (learn more in Breaking Down...
How does coinsurance affect my building insurance?
A coinsurance clause is a common clause in many policy forms that requires an insured to purchase a minimum amount of insurance based on a...
Does my homeowners insurance policy cover damage from hail?
The short answer to this question is yes, a homeowner policy will have windstorm and hail damage coverage. However, there are some...
Can I cancel my auto insurance at any time?
Good question. All the rhetoric you're probably getting from your broker or from the insurance company might make it seem like it would be...
Does my car insurance cover bodily injury and property damage?
Great question. A lot of people get confused by this because there are really two or more parts to your automobile insurance policy. The...
When should I file an auto insurance claim?
While there is no standard time, you should file an auto insurance claim as soon as possible if you are involved in a car accident or were...
