Does your auto policy cover you if your laptop is stolen out of your car? How about if you leave your car running while you run into a store and it gets stolen? Or you hit a pothole and it causes the frame of your car to bend?
Of drivers surveyed in Illinois, 51 percent believed their auto policy covers them if personal items are stolen from their car, when in fact that is covered under a homeowners or renters policy.
Only 34 percent of respondents thought they were covered if they left their car running and their car was stolen. And, while 62 percent of drivers knew they would be covered if a pothole causes the frame of their car to bend, 43 percent thought it would be covered under comprehensive, when in fact, it would be a collision claim.
A new survey commissioned by Allstate Insurance Company entitled, “Don’t Hope So, Know So,” asked drivers a series of questions about which coverages they currently have, and if those coverages would protect them in various accident scenarios.
The survey found that many consumers in Illinois were confused about the coverage they had, the type of insurance they carried, and how high their deductibles were.
In fact, 91% of drivers who initially felt confident in their auto coverage had their confidence drop by 17 points after taking the survey.
“These survey results underscore the need for Illinois consumers to be better educated about their policies and what they mean,” said Alice Byrne, Field Vice President for the Midwest Region of Allstate Insurance.
“We hope these results will get people thinking about just how protected they are if the unforeseen occurs.”
Of the drivers polled, 90 percent said they read through their auto policy, yet only 24 percent were very confident they know their deductible limits.
In the meantime, 69 percent of the respondents said they had filed a claim in the past.
Additional Illinois Data:
Most drivers (51 percent) knew they aren’t covered if they are involved in an accident while racing their car.
Sixty-four percent of Illinois drivers believe your auto policy provides coverage for your laptop if it is stolen from your car, when in fact it doesn’t.
Only 37 percent knew they were covered if they took their vehicle off-road.
Sixty-eight percent understood they were covered if a friend borrows their car and wrecks it, but 23 percent thought it was a comprehensive claim, when in fact it would be covered under collision.
Confidence drop by regions in Illinois:
In Southern Illinois, 94% of drivers who initially felt confident in their auto coverage had their confidence drop by 17 points after taking the survey.
In Chicago Metro, 94% of drivers who initially felt confident in their auto coverage had their confidence drop by 18 points after taking the survey.
In Northwest Illinois, 93% of drivers who initially felt confident in their auto coverage had their confidence drop by 13 points after taking the survey.
In Cook County, 89% of drivers who initially felt confident in their auto coverage had their confidence drop by 21 points after taking the survey.
In Central Illinois, 88% of drivers who initially felt confident in their auto coverage had their confidence drop by 8 points after taking the survey.
To help gain a better understanding of what an auto insurance policy covers, Allstate offers the following tips for consumers:
Read through your policy. For starters, read your policy and highlight what you don’t understand. Contact your agent or insurance company to review those items, ensure your understanding of your policy coverages, and to help you determine if you are adequately covered should you have an accident. Visit allstate.com/auto-insurance/bumper-to-bumper.aspx to review Allstate’s Bumper-to-Bumper Basics to learn about various types of coverages and how they can work to protect you.
Comprehensive vs. Collision. You may have both coverages on your policy, but do you know what they mean? Comprehensive helps protect your car in situations that don’t necessarily involve a collision. Collision helps protect you if you’re involved in a collision with another object, such as another car, tree or building. They also vary in that each may carry a different deductible. It’s important to understand how each coverage applies in a given situation and what you may be responsible for deductible-wise if something happens.
Determine appropriate deductibles for each coverage. Your deductible is the amount of money you agree to pay out-of-pocket when you make a claim covered by your policy. Knowing what you agreed to in your policy helps eliminate any surprises if or when you need to file a claim.
Review your policy every year. Life changes such as buying a home, moving apartments, getting married, or having a child can affect your insurance needs. Reviewing your policy annually ensures you and your family are properly protected.
For more information on an Allstate auto policy, please visit allstate.com.
About the Survey
The state survey is comprised of 500 insured drivers. Interviews were collected between Aug. 20-27, 2009 using Internet samples.
All participants were insured drivers who reported to have collision and/or comprehensive coverage included on their insurance policy.
All surveys were conducted by Squier Knapp Dunn and Beck Research for Allstate.
The Allstate Corporation (NYSE: ALL) is the nation’s largest publicly held personal lines insurer. Widely known through the “You’re In Good Hands With Allstate” slogan, Allstate is reinventing protection and retirement to help more than 17 million households insure what they have today and better prepare for tomorrow.
Consumers access Allstate insurance products and services through Allstate agencies, independent agencies, and Allstate exclusive financial representatives in the U.S. and Canada, as well as via allstate.com and 1-800 Allstate.&/
Source: Chicago Press Release