Common Pitfalls When Buying Insurance and How to Avoid Them

Insurance should never be one-size-fits-all. Finding the right coverage takes more than just picking a policy. It requires expert guidance, honest conversations, and a deep understanding of your needs. That’s where we come in.

We help our clients make informed decisions, sidestep common missteps, and secure coverage that works for their lives. Below are some of the most common pitfalls people face when purchasing insurance, along with our professional recommendations for avoiding them.

Prioritizing Price Over Coverage Quality

Opting for the cheapest insurance policy might feel like a win, until you realize what’s not covered. Policies with low premiums often come with high deductibles and limited protection.

Our recommendation: Don’t shop by price alone. Take the time to compare what’s included in each policy. Look for coverage that fits your risk exposure, and always choose a reputable insurance provider. We’ll help you break it all down and find real value.

Failing to Review and Update Policies

Life changes fast, and so should your insurance. Major milestones like getting married, buying a home, or switching jobs can all impact your coverage needs. Too often, people forget to update their policies and, as a result, are underinsured when it matters most.

Our recommendation: Make it a habit to review your insurance annually or any time your life circumstances change. We’ll help you reassess your risks and adjust your policies so you’re never left stranded.

Dismissing Policy Exclusions and Limitations

Many people assume their insurance covers more than it actually does. Unfortunately, standard policies often exclude things like floods, certain natural disasters, or your business equipment.

Our recommendation: Read your policy carefully, or better yet, let us walk through it with you. We’ll identify gaps and recommend add-ons or supplemental coverage where needed.

Overlooking the Significance of Deductibles

A deductible that’s too high can be financially taxing when filing a claim, while a deductible that’s too low may raise your monthly premium.

Our recommendation: Work with a trusted advisor (like us!) to find a deductible that balances affordability and risk. We’ll help you consider your savings, income, and financial comfort zone.

Not Considering Bundling Policies

Buying individual policies for auto, home, or other coverage types may cost you more in the long run.

Our recommendation: Ask about bundling options. We often help clients combine multiple policies under one provider to simplify billing, increase savings, and ensure consistency.

Disregarding the Need for Specialized Coverage

If you run a business from home, own valuable heirlooms, or have other unique needs, a standard policy may fall short.

Our recommendation: Take time to evaluate what’s truly important to protect. We’ll help identify whether your situation calls for specialty insurance and tailor your coverage to safeguard your investments.

Avoiding these pitfalls isn’t just about knowing what to watch for. It’s about having someone in your corner who’s looking out for you. At Gooding Brown & Company, we don’t just sell policies, we build relationships and offer solutions designed for your life. Our team takes pride in asking the right questions, explaining the fine print, and recommending coverages that make sense for you.

Are you ready to feel confident about your insurance decisions? Call us at (765) 642-9949 or schedule a personalized consultation at: https://www.goodingbrownandcompany.com/contact-us.