Author: Richard Shaw

Did You Know? Your Insurance Coverage Could Be at Risk!

Many people believe that permissive use automatically covers any driver who occasionally borrows a family vehicle. But insurance policies have changed! If you don’t list all household members over the age of 14, your vehicle damage claim could be denied—even if it’s your own child behind the wheel.

What Changed? New Insurance Rules You Need to Know

Most insurance companies now require all household members over 14 to be disclosed on your policy. Here’s why:

✅ Unlisted household members may not be covered for vehicle damage.
✅ Oklahoma law still requires minimum liability coverage to others, but beyond that, you could be paying out-of-pocket.
✅ Some insurers now apply “step-down limits” to permissive drivers. That means if someone outside your household borrows your car and causes an accident, your insurance might only cover state minimum liability limits, even if you have much higher coverage.

What Happens If You Don’t Disclose a Household Member?

If an unlisted household member drives your car and has an accident:

• Your vehicle damage claim may be denied—you’d have to pay for repairs or replacement yourself.
• Your insurer must still pay at least Oklahoma’s state minimum liability limits ($25,000 per person, $50,000 per accident) for injuries and damages to others, but no more than that.
• If your liability limits are higher than the minimum, your insurance company may not honor the extra coverage.

💡 Example: If you have $250,000 in liability coverage, but your unlisted child causes an accident, the insurance company may only pay the state minimum of $25,000 per person—leaving you responsible for the rest!

How to Protect Yourself

🔹 List all household members age 14+ on your policy. Even if they don’t drive, they need to be designated as rated, non-rated, or excluded.
🔹 Check your policy for step-down limits on permissive use drivers.
🔹 Talk to your agent to make sure you’re fully covered!

Final Thoughts

Insurance policies are always evolving, and what worked in the past might not protect you today. If you haven’t reviewed your coverage recently, now is the time!

📞 Need a policy review? Contact us today!

Are You Really Getting the Best Home Insurance Deal?

Shopping for home insurance can feel overwhelming, especially with rising premiums since 2022. Many homeowners are searching for lower rates, and unfortunately, some insurance agents take advantage of that by misrepresenting coverage to appear cheaper.

Recently, one of our clients reached out after receiving a quote from another agent that promised huge savings—but when we reviewed it, we found major coverage gaps that could cost them thousands in a real claim.

If you’re comparing home insurance quotes, this story might save you from making a costly mistake.

The $800 “Savings” That Wasn’t a Savings at All

A long-time client of ours emailed us about their home insurance renewal. Their rate had increased, like most policies these days, so they decided to shop around.

Another agent told them:
✅ They could save $600 with an “apples to apples” policy comparison
✅ They could save an additional $200 if they reduced their home’s insured value from $340,000 to $300,000

That’s a total of $800 in savings per year! Sounds great, right?

Not so fast. 🚨

The client wisely sent us the new quote to review, and here’s what we found:

5 Hidden Coverage Gaps That Could Cost You Thousands

Despite claiming to be “apples to apples,” the new quote was anything but. Here’s what was missing or reduced:

1️⃣ No Extended Replacement Cost Coverage

This is one of the most important coverages on a home insurance policy. It ensures that if rebuilding costs increase due to inflation or labor shortages, your insurance will still cover it.

Without this coverage, if rebuilding costs exceed your policy limits, you’re paying out of pocket.

2️⃣ Lower Coverage Limits Across the Board

The quote reduced liability limits, personal property protection, and other essential coverages, exposing our client to higher risks in a claim situation.

3️⃣ Five Essential Coverages Were Missing

The new policy excluded key coverages that the client’s existing policy included. This could mean no coverage for water damage, identity theft protection, or additional living expenses if they needed to temporarily relocate after a disaster.

4️⃣ Lowered Dwelling Coverage to Cut Costs

This agent manipulated the home’s insured value by downgrading materials in the quote.

5️⃣ Misrepresented Home Features to Justify a Lower Value

Our client had custom kitchens and bathrooms with high-end materials. However, the agent classified their home as having “standard builder-grade materials”—cheap countertops, prefab cabinets, and lower-quality finishes.

🚨 Why is this a problem? Come claim time, the insurance company would only pay for builder-grade replacements, NOT the custom materials the homeowner actually has.

How to Compare Home Insurance Quotes the Right Way

If you’re shopping for home insurance in the state of Oklahoma, here’s how to spot misleading quotes and protect yourself:

✅ Ask for a detailed breakdown of coverage (not just the price!)
✅ Look beyond the premium – cheaper isn’t always better!
✅ Check for missing or reduced coverages
✅ Verify that your home’s features are correctly listed
✅ Work with a trusted agent who explains everything clearly

💡 Pro Tip: If a quote sounds too good to be true, let an expert review it before you switch!

The Hidden Danger of “Cheaper” Insurance

In the event of a disaster, the wrong insurance policy could leave you paying out of pocket for repairs, legal claims, or even rebuilding your home.

Choosing a policy based only on price can cost you thousands when you actually need to file a claim.

That’s why it’s essential to work with an insurance agency you trust—one that ensures you have the right coverage before it’s too late.

Final Thoughts: Don’t Let a Low Price Fool You

The biggest lesson from this story? Not all insurance policies are created equal.

A lower price often comes with reduced coverage, and in the long run, a “cheaper” policy could cost you way more when a claim happens.

💡 Need a second opinion on your insurance quote?
Send it our way! We’re happy to review it at no cost and make sure you’re truly protected.