Frequently Asked Questions
Browse our FAQs for answers to a range of common questions.
Still need help? Call one of our Insurance Agents at 866-760-3373. We are happy to serve you!
General
Your insurance score is a measure of your risk level, calculated from various financial factors, including your credit history, payment patterns, credit utilization, and prior claim history.
It’s similar to a credit score but used by insurers to predict how likely you are to file a claim. A higher insurance score typically leads to lower premiums and better policy options. At Cornerstone, we can help you understand your insurance score and offer strategies to improve it over time, potentially lowering your costs.
Ways to Save
To improve your insurance score, start by paying your bills on time, keeping credit card balances low, and avoiding multiple new credit applications within a short time.
Regularly check your credit reports for errors and maintain a long-standing relationship with your insurer when possible. These habits show financial responsibility and lower your perceived risk to insurers. At Cornerstone Insurance Agency, we not only explain how your score affects your rates, but we’ll also help you find carriers that reward responsible behavior with better pricing and coverage.
Home Insurance
If you’ve paid your home insurance through an escrow account and your policy is canceled or changed, your insurance provider will issue a refund directly to you, not your escrow account.
You should return this refund to your mortgage lender to apply to your escrow account to pay for the new policy. Failure to do so may result in a shortage in your escrow account, which could increase your future mortgage payments.
Homeowners insurance provides financial protection against damage to your home, personal property, and liability for accidents on your property.
Policies typically cover risks like fire, theft, vandalism, and certain weather events such as wind or hail. Standard policies may exclude flood or earthquake damage, so consider additional coverage if you live in high-risk areas. Reviewing your policy regularly ensures you maintain sufficient protection for your home and belongings.
Auto Insurance
Yes, it can.
Insurance companies often look at your overall risk profile when setting premiums. If you have a clean driving record, it could help lower your home insurance costs, especially when bundling.
On the other hand, frequent auto claims may raise red flags and impact your homeowner's policy. That’s why it's important to work with a knowledgeable agency like Cornerstone. We help you find carriers that evaluate your history fairly and offer competitive rates based on your full profile.
Existing Policies
Most insurance providers will notify you 30-60 days before your policy expires.
Expect a renewal notice via email, postal mail, or through your insurer’s online portal. Be sure your contact information is current to avoid missing important updates. If you haven’t received a notice as your renewal date approaches, contact your insurance provider to confirm your policy status.
Yes, you can switch insurance policies before your current term ends. However, there are important factors to consider:
- Cancellation Fees: Some insurers may charge a fee for early termination.
- Refunds: If you’ve prepaid your premium, you may be eligible for a prorated refund.
- Coverage Gaps: Always confirm your new policy is active before canceling your old one to prevent a lapse in coverage, which can impact future rates and eligibility.
If your policy is canceled for nonpayment, you may face higher premiums when reinstating coverage or switching providers.
Contact your insurer immediately to see if reinstatement is possible — some companies allow you to pay overdue amounts within a grace period. If reinstatement isn’t an option, act quickly to secure new coverage to avoid a lapse, which could affect your mortgage lender’s requirements or leave your property unprotected.
Claims
Not every insurance claim is treated equally by providers.
A “good” claim usually involves substantial damage or financial loss, such as fire, severe storm damage, or major water damage from burst pipes, and is typically worth filing because the payout significantly exceeds your deductible. On the other hand, a “bad” claim may result in increased premiums without offering much benefit. These often involve minor issues like small cosmetic repairs or frequent low-cost claims that could flag you as high risk to insurers. If in doubt, consult your agent before filing.
If the cost of repairs is close to or just above your deductible, it may be smarter to pay out-of-pocket to avoid a premium hike.
Filing too many small claims in a short timeframe can increase your insurance costs or even affect your eligibility for coverage.