Commissioner Donelon urges Louisiana residents to review their
insurance policies in the new year
Released: January 9, 2007
The Louisiana Department of Insurance reminds consumers that the beginning of the
new year is a good time to look over all of your various insurance policies to make
sure you have the policies you need in the right amounts.
Everyone should carefully assess all of their insurance policies to make sure
they have the right types of coverage to fit their individual needs, Commissioner
of Insurance Jim Donelon says. Knowing exactly what is in your insurance policies
will better ensure that you will be protected if a loss occurs.
It is a good idea to schedule a routine check-up with
your insurance providers at least once a year. When doing your check-up it
is important to look at all types of insurance coverages, including
home, auto, health and life.
Always shop around for identical products and services, since
not every company charges the same rate. And remember that an
insurance policy is a legal document,
so read it carefully.
* Even if you are not required by your mortgage lender to purchase flood insurance,
consider purchasing a flood policy. You should never assume your property wont
be damaged by flood. You can also buy a flood insurance contents policy to cover
your furniture, clothing and other items that could be lost if your home is flooded.
* Talk to your agent about ways you can reduce your coverage
costs, including improving your driving record, choosing a
higher deductible, installing safety equipment in
your vehicle or purchasing multiple policies with the same company.
* Some health insurers take your lifestyle into consideration when determining your
premiums. You may be able
to reduce the cost of your coverage if you maintain healthy
* If you are married and both spouses are offered employer health
coverage, compare the two plans to determine which one best
fits your needs. Be sure to evaluate the
monthly premiums, co-pay requirements, deductibles and reimbursement
* Stay in your network as much as possible, and be sure to obtain
referrals when required.
* When buying a life insurance policy, a good rule of thumb is
to buy a policy that is equal to five to ten times your annual
* Review your policy every 12 months or whenever there is a major
change in your life, such as a marriage or the birth of a child.
Call the Department of Insurance toll free at 1-800-259-5300 or visit our Web site,
www.ldi.state.la.us, if you have any questions or concerns regarding any insurance
policies or companies.
The Department is not only your best source for all insurance-related questions,
but we also have the best understanding of the insurance issues specific to Louisiana,