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Insurance Commercials: Replacement Cost Coverage

If there’s one thing you can get a complete stranger to agree on it’s whether or not they’ve heard a commercial for home and auto coverage within the past 24 hours.  Commercials to get your to quote your coverage are everywhere, all the time.  While many of them are funny, some are meant to play on your fear of the unknown.  Here’s one of our favorite “fear” commercials:

This is a good one because it sounds like the big guys are thinking up coverages that only they can provide.  “Giving you full replacement cost?  Only we can do that.”

The truth is, many, if not all, of our carriers offer that coverage.  It’s actually a pretty great coverage, too.  For just a bit more premium (can be 5-10% of the annual premium) you can get full replacement cost, not actual cash value, for your brand new or almost new car.  Just keep in mind these circumstances:

  • The car must be brand new or within 1 year old
  • Depending on the carrier you can only purchase it within the first 3-6 months of owning the vehicle
  • If you purchase coverage, it will automatically drop off within typically 1-2 years

Ultimately, what makes this feature great is that when combined with an independent agent, we not only ask you if you want this coverage, we make sure that the pricing stays competitive yet still keeping these important coverages in place.

Element Risk Management

Element Risk Management is a regional insurance firm with locations in Pennsylvania.  For more information, please contact us.