Auto Insurance

Independent Agents vs Captive Agents - Shield Insurance Agency Blog

Independent Agents vs. Captive Agents

Posted on by Shield Insurance Agency

When you’re in the market for insurance, whether it’s home, auto or commercial insurance, you typically work with an agent who can help you find a policy that meets your needs. But most people don’t know that there are two different kinds of insurance agents—captive and independent agents.

So what is an independent insurance agent vs. a captive insurance agent? In short, captive insurance agents are contracted to work for one insurance company and can only sell that company’s policies. On the other hand, independent agents are contracted to work with a variety of insurance companies and can sell policies from multiple providers.

As a consumer, it’s important to understand the distinctions between captive and independent agents. Although they sound the same, some people may benefit from working with a captive agent and others with an independent agent. In this article, we’ll explain the key differences and help you decide which agent is best for you.

Captive Agents

Most of the major insurance companies, like State Farm, Allstate and Farmers, use captive agents to sell their insurance products. Their agents are only selling policies from that one insurer, so the agents are experts at knowing the different policies available, discounts and coverage add-ons for their one carrier.

Because of that, they can be helpful for people who are buying insurance for the first time or for people who aren’t sure how much coverage to purchase.

Client satisfaction is crucial for captive agents because they get a commission for every earned sale. However, their commission rate tends to be lower than for independent agents because they are also paid a salary from the insurance company and get financial assistance with costs like advertising and hiring.

Independent Agents

Independent agents partner with several insurance companies of their choosing to sell certain policies from each provider. For example, an independent agent might contract with Pioneer Insurance, Frankenmuth Insurance,and Citizens Insurance and sell any of their auto and home insurance policies.

Many consumers like working an independent insurance agent because an independent agent gives the customer more options. They aren’t locked into purchasing from a small number of plans that might be too expensive or not a great fit for their coverage needs. Those options help people shop around for plans before settling on one.

Which is better?

Generally speaking, there isn’t one better type of insurance agent. Whether you choose to work with a captive agent or an independent agent depends on you.

The main benefit of working with a captive agent is that they have extensive knowledge of their insurers products and policies, because they have one carrier. However, working with a captive agent tends to be more expensive, due to extra fees that the insurance company charges.

If you work with an independent agent, you’ll get more options, which also means a wider price range. But independent agents have in-depth knowledge about numerous carriers, where captives only need to learn one. Also, independent agents usually charge less because there isn’t one parent company to support.

If you’re concerned with keeping costs low, working with an independent agent will save you money. Keep in mind that you should already have a general idea of what you’re looking for before meeting with an agent.

Frequently asked questions

What type of insurance do independent agents and captive agents sell?

Both independent and captive agents can sell any kind of insurance they want. Some choose to sell every product that an insurer offers, while others specialize in a few areas, like home and life insurance.

Should I choose an independent agent or a captive agent?

There are a few main reasons why you would choose an independent vs. a captive agent. The first is cost—working with an independent agent will be cheaper than working with a captive agent. Secondly, independent agents can offer a wider variety of plans, so you have more choices and a wider price range to work from.

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Traffic Tickets That Raise Car Insurance Rates - Shield Insurance Agency Blog

Traffic Tickets That Raise Car Insurance Rates

Posted on by Shield Insurance Agency

Odds are, motorists are bound to get traffic tickets for some kind of moving violation at some point. How much that ticket will cost can be minimal, but its impact on insurance premiums can be significant.

Overall, the more a driver puts themselves and others at risk, the costlier their insurance policy will be.

For instance, drivers who get traffic tickets for forgetting to turn on their lights pay an average of $68 more per year for car insurance than drivers without any violations on their record, according to The Zebra. Drivers who get a ticket for speeding in a school zone will see an average insurance increase of $342 per year.

The riskiest violations, however, can more than double an existing auto premium. Depending on the state or city, the same offense could increase rates by 36% or by 383%. Moreover, high-cost penalties hit drivers twice as hard in low-income states, The Zebra researchers said.

Focusing on the greatest threats to insureds, six violations in traffic tickets cost drivers over $1,000 a year in rate hikes and have the biggest impact on auto insurance premiums.

Six most expensive traffic tickets

  1. Hit-and-run, Average rate increase: $1,212 (78.3%)
  2. Racing, Average rate increase: $1,131 (73.1%)
  3. DUI, Average rate increase: $1,100 (71%)
  4. Refusing a breathalyzer, Average rate increase: $1,080 (69.8%)
  5. Driving with a suspended license, Average rate increase: $1,044 (67.4%)
  6. Reckless driving, Average rate increase: $1,038 (67%)
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Safe Garage 3 Ways To Make Your Garage Safe - Shield Insurance Agency Blog

Safe Garage: 3 ways to make your garage safe

Posted on by Shield Insurance Agency

When thinking about the biggest risks to your home, it’s easy to overlook your garage. However, with dangerous chemicals, a high potential for break-ins, and powered equipment, your garage easily becomes a hidden homeowners’ hazard.

Help keep your garage and family safe by completing these three tasks: maintenance, organization and protection.

1. Maintain your garage.

The first step in keeping a safe garage is performing simple maintenance checks to be sure everything is working properly. Visually examine your garage door and look for loose nuts and bolts, frayed cables, and rusted springs. Also, test the manual release function and the auto-stop system. To test the automatic reversal system, place an object like a brick or wooden block in the path of the closing door. If working properly, the closing door should detect the object and automatically open back up.

If you notice any wear and tear or hear any concerning noises, contact a garage door professional to examine and repair your door.

Another helpful maintenance tip – clean your garage every six months. With all of the chemicals and equipment in your garage, it’s essential to keep a clean space to minimize risk.

2. Organize your garage.

In addition to having a clean and well-maintained garage, it’s important to be organized and to safely store items. Chemicals should be placed in a locked box on a high shelf, out of reach from small children. This includes cleaning solutions, glues, pool supplies, pest-control products and more.

Also, make sure that all tools and lawn care equipment are stored out of reach or are properly mounted to the wall. And when it comes to powered tools or equipment, like a lawn mower, make sure each one has cooled down before storing it away.

3. Protect your garage.

According to the FBI, there were more than 1.4 million burglaries in the U.S. in 2017. Keeping burglars out of your garage not only protects the belongings you store there, but it can also keep intruders out of your house. Criminals can often get into your home through the garage or, if the garage is a separate structure, they can use your own tools to break into your home.

To prevent a break-in, keep your garage door closed and do not store a spare key inside. Also, it may be wise to invest in adequate outdoor lighting, including motion-sensing lights, as well as an alarm system. Get to know your neighbors, so they can alert you or the authorities of any suspicious behavior.

The final way to protect your garage is through insurance. A typical homeowners’ policy contains many different coverages in addition to the portion that protects your house. So, whether your garage is attached to your house or is its own free-standing structure, it should be covered by a standard homeowners’ insurance policy. Be sure to discuss your garage with your independent insurance agent to ensure that you have the right coverage for your unique situation.

This article is for informational and suggestion purposes only. If the policy coverage descriptions in this article conflict with the language in the policy, the language in the policy applies. Talk with your independent agent if you have any questions regarding the details of your home insurance policy or if you need to update your insurance.

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How to Prepare Your Phone For An Emergency - Shield Insurance Agency Blog

How to prepare your phone for an emergency

Posted on by Shield Insurance Agency

In case of an emergency, here is how to prepare your phone.

Today, our phones are rarely outside of our reach. This makes them one of the best tools we have to quickly respond to an emergency and increase the chances of a more positive outcome.

How prepared is your phone to handle an emergency?

In most emergencies, you would be the one to contact someone for help. So, it’s important to take a few minutes to research and save important emergency contact numbers on your phone so you can make the call immediately and get help faster.

Here are the main emergency phone numbers to prepare

  • Your emergency contacts, such as a parent, spouse, or close friend
  • Police, 911 in the United States for emergencies
  • Poison Control Center
  • State Highway Patrol
  • Your nearest police and fire department (for non-emergencies)

You should also consider saving these important numbers to help you in an emergency:

  • Your doctor, pediatrician, and/or veterinarian
  • Your pharmacy
  • Home health aides
  • Your insurance company
  • Your roadside assistance provider
  • Your employer
  • Your child’s school or caregiver
  • A nearby relative or friend
  • An out-of-town relative or friend

There are also some emergency situations, like a bad fall or car accident, where you might not be able to communicate with first responders. For this reason, it’s important to take these two steps:

  1. Add an emergency contact in your phones, such as a parent, spouse, or close friend who can come to your aid.
  2. If your phone locks, set up a lock screen message to communicate helpful information to first responders, like your emergency contact, blood type, allergies, and medications.

Depending on the type of phone you’re using, there are different ways to add a lock screen message.

iPhone users can use the Health app on their phones to add their basic personal information, important medical details, and emergency contact numbers within the Medical ID tab and make them accessible from their lock screen. Just make sure you select “Show When Locked” and test it out after you’ve finished setting it up.

Android users can set up their lock screen message by going into their Settings, Users & Accounts, and then Emergency Information. Enter your medical information and emergency contact. Then test it out by locking your phone, swiping up, and tapping “Emergency” to find the information you entered.

Additionally, Android lets you put any message you want on your locked screen. To do this, open your Settings, go to Security & Location, and next to the Screen Lock tab hit Settings. Then, tap Lock Screen Message. Here, you can enter your primary emergency contact or important medication information so that it always displays on your locked phone screen.

Because it’s difficult to predict when or where an emergency will happen, it is a smart idea to prepare your phone now so that you’re ready to handle any situation that comes your way in the future. Be safe out there!

This article is for informational and suggestion purposes only. To learn more about Shield Insurance Agency, business and life insurance, or auto insurance including Roadside Assistance, please call or text our office at 616-896-4600

References:
– Harvard Health Publishing, Harvard Medical School
– HuffPost, LIFE

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Wallet Safety Check List - Shield Insurance Agency Blog

Wallet Safety Check List

Posted on by Shield Insurance Agency

10 items to leave out of your wallet

It’s simple for thieves to turn plain, old regular crime into cybercrime – if you give them the right information. Leave these ten items out of your wallet.

Over time, it’s easy for your wallet or purse to become stuffed full of crucial information – receipts, PIN numbers, and social security cards – that thieves can use to access your online life with only a few clicks.

Keep only what you need in your wallet and purse and keep your online life secure. Use the infographic below to help determine what should be, and more importantly, what should not be in your wallet.

Wallet Safety Check List

10 Items To Leave Out Of Your Wallet - Shield Insurance Agency Blog
  1. Social Security Cards
  2. Birth certificates
  3. Receipts
  4. Gift cards
  5. Extra credit cards
  6. Blank checks
  7. Passports
  8. Medicare cards
  9. Spare keys
  10. Pins and passwords
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What Is Insurance And Why Is It Important – Shield Insurance Agency Blog

What is Insurance and Why is it Important?

Posted on by Shield Insurance Agency

Have you ever had a moment — while looking at your insurance policy or shopping for insurance — when you’ve thought, “What is insurance? And do I really need it?”

You’re not alone.

Insurance can be a mysterious and puzzling thing. How does insurance work? What are the benefits of insurance? And how do you find the best insurance for you? These are common questions, and fortunately, there are some easy-to-understand answers for them.

To help, here are a few simple insurance explanations:

What is insurance?

Insurance is a financial safety net, helping you and your loved ones recover after something bad happens — such as a fire, theft, lawsuit or car accident. When you purchase insurance, you’ll receive an insurance policy, which is a legal contract between you and your insurance provider. And when you suffer a loss that’s covered by your policy and file a claim, insurance pays you or a designated recipient, called a beneficiary, based on the terms of your policy.

The most difficult thing about insurance is that you’re paying for something you hope you never have to use. Nobody wants something bad to happen to them. But suffering a loss without insurance can put you in a difficult financial situation.

What are the benefits of insurance?

Insurance is an important financial tool. It can help you live life with fewer worries knowing you’ll receive financial assistance after a disaster or accident, helping you recover faster. When it comes to life insurance, this could mean your family doesn’t have to move out of the house or that your kids can afford to go to college. For auto insurance, it could mean you have extra cash in hand to help pay for repairs or a replacement vehicle after an accident. Insurance can help keep your life on track, as much as possible, after something bad derails it.

Your independent agent is a great resource to learn more about the benefits of insurance, as well as the benefits in your specific insurance policy. For example, you may have access to perks such as free roadside assistance, risk control consulting for businesses, or cash value in a life insurance policy, in addition to your insurance coverage.

And in some cases, like auto insurance and workers’ compensation, you may be required by law to have insurance in order to protect others.

How does insurance work?

Insurance is essentially a gigantic rainy day fund shared by many people (called policyholders) and managed by an insurance carrier. The insurance company uses money collected (called a premium) from its policyholders and other investments to pay for its operations and to fulfill its promise to policyholders when they file a claim.

Because of the unpredictable nature of natural disasters — like tornadoes, hail, wildfires and hurricanes, and everyday disasters such as fender benders and kitchen fires — an insurance company’s main goal is to remain financially strong enough to handle anything that comes its policyholders’ way.

How do I choose an insurance provider?

Here are a few things to consider when choosing an insurance company to work with:

  • Insurance coverage. What types of insurance does the company offer? Can you buy all of your insurance through the company and receive a discount?
  • Financial strength. Would the company be able to pay your claim? Look to U.S. credit rating agency AM Best to determine the company’s financial strength.
  • Agency model. Would you prefer the help of a local agent? Or would you prefer to manage your insurance on your own?
  • Customer service. Do others recommend this company? What are people saying about it in online customer reviews?

When in doubt, contact Shield Agency and ask them any questions you have about insurance. Shield agents are insurance experts with the knowledge to guide you through the process and help you find the best protection for you and the people and things you care about most.

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Distracted Driving – Shield Insurance Agency Blog

Distracted Driving? Find out here…

Posted on by Shield Insurance Agency

Don’t think you drive distracted?

You might be surprised.

Distracted driving has become an epidemic, taking more than 3,000 lives a year in the United States alone. And while your first instinct might be to think that you don’t drive distracted, not so fast. Because the truth is, most people don’t associate their distracted driving habits as “distracted driving.”

While driving, have you ever:

  1. Adjusted your radio station or playlist?
  2. Touched up your makeup?
  3. Texted?
  4. Talked on your cell phone?
  5. Had something to eat or drink?
  6.  Looked at your GPS or a map?
  7.  Focused so much on conversation with a passenger that you nearly missed a turn?

Distracted driving isn’t just talking or texting on your phone. Anything that takes the eyes or mind off the road and hands off the steering wheel is causing you to drive distracted. It’s important to note, though, that texting while driving is especially dangerous because it requires visual, manual, and cognitive attention. The facts are unsettling.

  • Anytime drivers look at their phones, they take their eyes off the road for an average of five seconds.
  •  This also causes drivers to drift out of their lane about 10 percent of the time.
  • At least 28 percent of vehicle crashes are caused by texting and cell phone use alone—never mind other distractions.2

Tips to prevent distracted driving

The simple truth is that distracted driving is a dangerous safety risk. Help keep everyone on the roadways safe by following these simple tips.

  • Put it away. Your phone, that is. It’s the absolute best thing you can do while behind the wheel so that you can safely control your vehicle and respond to events on the road.
  • Use safe-driving apps: While apps are not generally safe while driving, apps like Textecution, tXtBlocker, DriveSafe.ly and DriveMode can prevent you from texting while driving and keep you safer on the road.
  • Think ahead. Take care of distractions before or after your trip so you can devote your full attention to driving.
  • Ask passengers for help. If another activity requires immediate action, enlist the help of your passengers or safely pull off the road and stop your vehicle before handling the situation.
  • Use hands-free for emergencies. If you need to be accessible at all times, invest in a hands-free device. However, please note that hands-free does not mean risk-free, so only use it in absolute emergencies.
  • Speak up. Be a good passenger by reminding friends and other drivers to follow these rules. Parents especially should talk with their young drivers about the dangers of distracted driving. Make a family pledge where everyone commits to safe driving.

Visit our blog for more articles on safe driving!

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Here’s What to Do in A Car Accident Or Breakdown – Shield Insurance Agency Blog

In a car accident or broke down? Helpful tips

Posted on by Shield Insurance Agency

Helpful tips if you are in a car accident or a breakdown.

No one expects to get into a car accident. Although you can work to prevent and prepare for one, the sudden jolt may leave you shocked and stressed, and unsure of what to do next. While you try to wrap your head around what just happened, it’s easy to forget vital actions that can aid your physical and financial recovery.

Just remember to be SAFE—both literally and by following our acronym:

  • S – Safety first
  • A – Alert authorities
  • F – Fact collection
  • E – Exchange information

Safety first

The No. 1 priority after a car accident is the safety of yourself and others. Immediately after the accident, be sure you:

  • Turn on your hazard lights.
  • If possible, pull your car over to a safe place. If not, stay inside with your seatbelt on.
  • Check the safety of others and provide assistance to anyone with an injury.
  • Don’t move an injured person. This can cause additional damage and should be avoided unless the person’s safety is at risk.

Alert authorities

Even if it’s a minor fender bender that you think you can settle among yourselves, it’s still important (and in some states, the law) to call the authorities no matter how small the accident is.

  • Call 911 or the local police station.
  • Avoid saying “I’m sorry.” Even if you feel guilty, don’t admit fault—especially when talking to the police. You may find out later that the other driver was actually to blame or that you share the blame.
  • Even if you don’t show visible injuries, it’s recommended to call for medical help or at least visit the emergency room or your doctor after you leave the area.
  • Be sure to file an accident report, even if police don’t come to the crash site. Depending on the state’s laws and the severity of the accident, police may not be dispatched. Filing a report puts the accident on the books and can help speed up the claim process.

Fact collection

After an accident, you may feel a whirlwind of emotions. Stay calm, and immediately document the accident as you experienced it.

  • Take pictures of your car, any other cars involved and the surrounding area.
  • Take notes on what happened before, during and after the accident. Include details about the location, weather, road conditions and traffic control.
  • Write down the names of any law enforcement officials or witnesses who are at the scene.

Exchange information

Swapping information is essential to work through any sort of claim or legal process that could result from a car accident. Be sure to exchange:

  • Names
  • Addresses
  • Phone numbers
  • License plate numbers
  • Driver’s license numbers
  • Insurance providers
  • Policy numbers

What to do once you arrive home
Unfortunately, even after you have SAFE-ly left the accident, there are still a few matters to take care of, such as filing a claim. You’ll want to report your claim ASAP. The sooner you file a claim, the sooner your insurance provider can start working on it—and the sooner you can get your life back together.

Note: This article contains helpful tips for any driver involved in an auto accident. Policyholders may choose to follow this advice or not without it affecting their auto coverage.

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Breaking Up With Distracted Driving – Shield Insurance Agency Blog

Breaking up with distracted driving

Posted on by Shield Insurance Agency

Breaking up with distracted driving

Distracted driving is a bad habit, and one worth breaking.

It’s dangerous — not only for drivers and their passengers but also for pedestrians and bicyclists. It can also be deadly. In 2016, 9% of fatal crashes in the U.S. were reported as distracted driving crashes and about 14% involved a cell phone. Additionally, drivers age 15 to 19 years old made up the largest proportion of drivers who were distracted at the time of a fatal crash.

It all comes down to this: if we can break our distracted driving habits, we can help save lives. And that’s worth doing!

Safe driving requires visual, manual, and cognitive attention to work together. Taking your attention away from even one of these areas means you’re driving distracted.

1. Visual.

Visually distracted driving means taking your eyes off the road. To properly see, anticipate and react to obstacles while driving, you must watch the road.

Examples of visual distractions:

  • Taking your eyes off the road to adjust your radio, climate controls or navigation system
  • Reading something on your cell phone, a book or a computer
  • Looking in your rearview mirror to talk to a passenger
  • Watching an accident scene as you drive by (i.e. “rubbernecking”)

Reduce visual distractions by:

  • Asking a front seat passenger to adjust your radio or climate controls.
  • Setting the location in your navigation system prior to driving. If you need to adjust it mid-drive, safely pull off the road or park to update the system from your stationary vehicle.
  • Placing devices outside of your reach while driving so you can’t pick them up.
  • Focusing your eyes on the road instead of passengers inside your vehicle.
  • Practicing extra caution while driving by an accident scene and watching for people, cars and road debris in the path ahead of you.

2. Manual.

Manual distracted driving means taking your hands off the steering wheel. Keeping two hands on the steering wheel is the best way to stay on the road and avoid accidents. One hand, two knees or anything else you might use to steer your vehicle isn’t going to give you the control or turning radius to stay safe.

Examples of manual distractions:

  • Taking a hand off the steering wheel to adjust your radio, climate controls or navigation system
  • Texting or talking on a cell phone or operating a device while driving
  • Eating, drinking, smoking or putting on makeup
  • Searching for an item in your purse or fast food bag

Reduce manual distractions by:

  • Asking a passenger to adjust your radio, climate controls or help you navigate.
  • Making hands-free phone calls and committing to never text while driving.
  • Putting devices outside of your reach or turning them off.
  • Applying makeup, eating or smoking only in a parked and stationary vehicle.
  • Keeping both hands on the steering wheel when the car is in motion.

3. Cognitive.

Cognitive distracted driving means not focusing on driving. Stress is no stranger to most drivers. But when thoughts, feelings or tiredness get in the way of paying attention to what’s happening on the roadway, it’s time to pull over and take a break. Then you can come back onto the road ready to focus and drive safely.

Examples of cognitive distractions:

  • Tiredness
  • Daydreaming
  • Crying or emotional distress
  • Listening and singing with the radio or other music

Reduce cognitive distractions by:

  • Pulling over to rest if you become tired while driving.
  • Actively thinking about driving.
  • Pulling off to a safe location until you’re ready to drive again.
  • Driving alone without passengers or asking them to quietly occupy themselves.
  • Turning off the radio or music and enjoying the sounds of the world around you.

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5 Road Trip Safety Tips – Shield Insurance Agency Blog

5 Road Trip Safety Tips

Posted on by Shield Insurance Agency

5 road trip safety tips for your family

Your family has packed its bags, your gear is in the trunk and you’ve filled a cooler will all the best snacks. But being prepared for a family road trip is more than just what you bring with you – keep these five family road trip safety tips in mind the next time you’re planning a family trip:

1. Schedule a tune up.

Before you hit the road, perform a basic safety check by checking your vehicle’s tire pressure, wiper blades, fluid levels, lights and air conditioning. Scheduling regular maintenance for your vehicle is also important – not only will it help prevent breakdowns, but it can offer peace of mind the next time your family is ready for a road trip adventure.

2. Prepare for a roadside emergency.

A long stretch of highway can lead to the unexpected. If you experience a breakdown during your family trip, make sure you’re prepared to handle a roadside emergency. Have an emergency kit in your vehicle, as well as important phone numbers saved in your contact list. Include your insurance company in case you need to make a claim and check with your auto insurance carrier or car manufacturer to see if they offer on-demand roadside assistance.

3. Buckle up for the road trip!

Safety first – always make sure you and your passengers are buckled up properly, including using child safety seats and booster seats when needed, and that they remain buckled in whenever the vehicle is moving. Children under 13 should always ride in the back seat of a vehicle. Never leave a child or pet unattended in a vehicle, and remember that if the weather is warm, a car can heat up quickly putting your child or pet in grave danger.

4. Share the road.

Warm weather also means different types of vehicles are out on the roads. Remember when you’re driving to watch out for motorcycles and bicycles, too. While they have the same rights to the road as you do, their smaller size makes them much more vulnerable. Remember to allow extra following distance and check your surroundings carefully before turning.

5. Don’t drive distracted.

Lead by example for your family – never drive distracted. In 2017 alone, 3,166 lost their lives to accidents related to distracted driving.

Unfortunately, a family road trip can increase the chances for distraction, so it’s extra important to take precautions and keep your eyes on the road. If you need to check your phone for any reason, pull over to a safe shoulder. Remind passengers of the importance of not distracting the driver while the driver is operating the vehicle. Take time to learn how to break common distracted driving habits.

This also goes for driving drowsy, which can be dangerous. Get a good night’s sleep before a road trip, and make sure to switch driving responsibilities with another driver, if possible, or to stop and rest every few hours.

Road trips are a wonderful way to spend time with family, explore the world and experience new things with those you love. Keep these safety tips in mind the next time you plan a family trip to help your travels run safely and smoothly.

Check out some other blogs about taking road trips!

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