Should I switch to UBI if I already have a low insurance premium?

If you already have a low insurance premium, switching to UBI depends on your driving habits. If you drive safely and infrequently, you could save even more. However, if your current premium is already competitive, you may not see significant savings unless your insurer offers additional incentives.

What happens if my loss exceeds the indemnity amount?

If your loss exceeds the indemnity amount provided by your insurance policy, you will be responsible for paying the remaining amount out-of-pocket. Insurance policies have coverage limits, and once these limits are reached, no additional indemnity will be provided. This emphasizes the importance of ensuring your insurance coverage is adequate to fully protect your financial position in the event of a large loss.

Do all insurance policies have fixed premiums?

No, some policies have variable premiums that change based on market conditions, risk reassessments, or changes in policyholder circumstances.

How does Brexit affect FCA insurance regulations?

After Brexit, the FCA has greater control over UK insurance regulations, but UK insurers operating in the EU must comply with local regulations. The FCA continues to align some rules with EU standards to facilitate cross-border operations.

Can I purchase routine care coverage without a pet insurance policy?

Most pet insurance companies require an accident and illness policy before adding routine care coverage, but some standalone wellness plans are available from certain providers.

What does liability insurance not cover?

Liability insurance does not cover your own medical bills, vehicle repairs, intentional damages, or non-accident-related incidents like theft or natural disasters. It also doesn’t cover injuries to passengers in your car unless you have additional coverage like MedPay or PIP.

Is there a difference between an out-of-pocket maximum and a deductible?

Yes, a deductible is the amount you must pay before insurance starts covering certain costs, while an out-of-pocket maximum is the highest amount you’ll pay before insurance covers 100% of eligible expenses for the rest of the year.

What if my beneficiary refuses the payout?

If a beneficiary refuses the payout, the proceeds will go to the next contingent beneficiary or to the policyholder’s estate if none is named.