Frequently Asked Questions

Because insurance shouldn’t feel like assembling furniture without the instructions… and because the questions people don’t ask often end up costing the most money.

???? Auto Insurance

Why is my auto insurance so expensive?
Great question. Insurance companies look at things like driving history, claims, credit (where allowed), vehicle type, location, mileage, and even inflation.
Translation: It’s not just because you bought that red sports car. ????

Can I use my cousin’s, friend’s, or grandma’s address to get cheaper insurance?
Short answer: Don’t do it.
Long answer: Insurance companies verify garaging addresses, household members, and where vehicles are actually kept.
If you use an address where you don’t live, you could face:

• Claim denial
• Policy cancellation
• Policy rescission (the policy is treated as though it never existed)
• Difficulty obtaining insurance in the future

Saving a few dollars today could cost thousands tomorrow.

As we like to say:

“The insurance company always seems to find out after the accident.”

What happens if I don’t tell my insurance company about everyone living in my household?
That can create major problems.
Undisclosed household members can result in:

• Increased premiums
• Policy cancellation
• Claim denial
• Policy rescission

In insurance, surprises are fun at birthday parties.
Not during claims.

If I let my cousin borrow my car and he crashes it, whose insurance pays?
Usually, insurance follows the vehicle.
Which means when your cousin says, “Don’t worry, I have insurance,” your insurance company may still get involved.
Choose borrowers wisely.

Do I really need rental car coverage?
Imagine your car is in the shop for two weeks after an accident.
Now imagine paying Uber prices for two weeks.
Rental coverage suddenly sounds pretty good, doesn’t it?

Does my personal auto policy cover food delivery, package delivery, or rideshare driving?
Not always.
If you’re delivering pizzas, groceries, packages, or driving for apps, your personal policy may not cover a claim.
Insurance companies tend to get very interested when money changes hands.

What is PIP (Personal Injury Protection)?
PIP may help pay for things such as:

• Medical expenses
• Lost wages
• Replacement services
• Attendant care

Think of it as coverage that may help take care of YOU while your car is busy getting repaired.

What PIP options are available in Michigan?
Michigan drivers may be eligible for:

• Unlimited Medical Coverage
• $500,000 Medical Coverage
• $250,000 Medical Coverage
• $250,000 with exclusions for qualified household members
• $50,000 Medicaid Option
• PIP Medical Opt-Out

Not every option is available to every driver.

Why can’t I choose the PIP option I want?
Because eligibility matters.
Your available options may depend on:

• Who lives in your household
• Their health insurance coverage
• Whether their health insurance excludes auto accidents
• Medicare eligibility
• Medicaid eligibility
• Other qualifying factors

The good news?
You don’t have to figure it out yourself.
We’ll walk you through your options and explain what you may qualify for.

If I choose less PIP coverage, will my premium be lower?
Usually, yes.
But remember:
Lower premiums often mean fewer available benefits after an accident.
The cheapest option isn’t always the best option.
Sometimes the cheapest option becomes the most expensive option after a serious accident.

???? Homeowners Insurance

Why is my home’s market value different from my insurance value?
Because insurance covers what it costs to rebuild your home—not what Zillow thinks it’s worth.
Insurance companies don’t care about the great school district or your granite countertops.
They care about reconstruction costs.

Is flood damage covered?
No.
Flood insurance is usually purchased separately.
If water comes from the sky and enters through a damaged roof, that’s one thing.
If water comes from the ground and enters your home, that’s generally considered a flood.
Insurance loves technical details.

Is water backup covered?
Not automatically.
That innocent little basement drain can become a very expensive fountain.
Ask us about Water Backup Coverage.

What is the difference between Replacement Cost and Actual Cash Value?
Replacement Cost:
“We’ll help replace it.”

Actual Cash Value:
“We’ll help replace it… after we remind you it’s 15 years old.”
Depreciation matters.

????️ Renters Insurance

My landlord has insurance. Why do I need renters insurance?
Your landlord’s insurance covers the building.
It does not cover:
????️ Your couch
???? Your TV
???? Your clothes
???? Your laptop
☕ Your collection of 87 coffee mugs
That’s your responsibility.

Is renters insurance expensive?
Most renters policies cost less than a few streaming subscriptions each month.
Yet many people protect Netflix better than they protect their belongings.

???? Landlord Insurance

My tenant has insurance. Do I still need landlord insurance?
Absolutely.
Their policy protects their belongings.
Your policy helps protect your building and address your liability exposures.

If someone falls on broken stairs at my rental property, am I liable?
Maybe.
If you knew about a dangerous condition and failed to address it, you could be facing more than a repair bill.
Fixing stairs is usually cheaper than hiring attorneys.

❤️ Life Insurance

Why do I need life insurance?
Because GoFundMe should not be your family’s financial plan.
Life insurance helps provide financial protection for the people you love.

How much life insurance do I need?
Enough so your family isn’t forced to make financial decisions while grieving.
We’ll help determine the amount that makes sense for your situation.

I have life insurance through work. Is that enough?
Maybe.
But what happens if you leave your job?
Most employer-provided life insurance doesn’t follow you into retirement, career changes, or unexpected life events.

Should I review my beneficiaries?
Absolutely.
Especially after:
???? Marriage
???? Divorce
???? Births
????️ Deaths
We’ve seen people discover their ex-spouse is still listed.
Awkward doesn’t begin to describe it.

???? Health Insurance

Can I enroll in health insurance anytime?
Usually no.
Health insurance has enrollment periods.
Kind of like Black Friday.
Miss it and you may have to wait.

What is a qualifying life event?
Examples include:

• Marriage
• Divorce
• Birth of a child
• Loss of coverage
• New employment

Basically, major life events that make you say,
“Well… that changed things.”

???? Business Insurance

My LLC protects me. Why do I need insurance?
An LLC and insurance are teammates—not substitutes.
One helps provide legal separation.
The other helps provide financial protection.
You generally want both on the field.

What is General Liability Insurance?
Coverage that may help if your business is accused of causing bodily injury or property damage.
Because “Oops” can get expensive.

What is Professional Liability Insurance?
Professional Liability (Errors & Omissions) may help protect your business when someone claims your professional services caused them financial harm.
Perfect for businesses whose expertise is their product.

Do I need Cyber Insurance?
If you:
???? Use email
???? Accept credit cards
???? Store customer information
???? Use computers or cloud systems
Then Cyber Insurance is worth discussing.
So yes… pretty much everyone.

???? Commercial Auto Insurance

My truck is titled to my business. Can I keep it on my personal auto policy?
Maybe not.
Business vehicles often require commercial auto coverage.
The insurance company may not discover the issue until there’s a claim.
And that’s a terrible time for surprises.

What is Hired & Non-Owned Auto Coverage?
This coverage may help protect your business when employees use personal vehicles or rented vehicles for business purposes.
Because “I was just running an errand for work” can become a very important sentence.

???? Claims

Should I file every claim?
Not necessarily.
Sometimes filing a very small claim can cost more in future premiums than simply paying for the damage yourself.
Call us first. We’ll help you think it through.

Why was my claim denied?
Common reasons include:

• Exclusions
• Lack of coverage
• Policy lapse
• Misrepresentation
• Wear and tear

Insurance covers many things.
Unfortunately, old age isn’t one of them.

Will my rates go up after a claim?
Maybe.
Every claim is different.
The answer depends on factors such as fault, claim type, claim amount, and company guidelines.

???? Working With Our Agency

Do I have to come into the office to get insurance?
Not at all.
We can quote, write, service, and review virtually every line of insurance through:
???? Phone
???? Email
???? Electronic Signatures
???? Video Meetings
???? Text Messaging
Many of our clients never step foot in the office.

Can I still come in and meet with someone face-to-face?
Absolutely!
Some people prefer sitting down with a real person and having a conversation.
We welcome office visits and enjoy meeting our clients.
Coffee and insurance conversations are kind of our thing.

Will I receive different service if I don’t come into the office?
Absolutely not.
Whether you:

• Visit in person
• Call us
• Text us
• Email us
• Meet virtually

You’ll receive the same knowledgeable agents, personalized service, education, and attention.
Our goal is simple:
Help you understand your coverage and make informed decisions—whether you’re sitting across the desk or across the state.

Why do your agents spend so much time asking questions?
Because we’re trying to protect you, not just sell you a policy.
Questions about:
???? Drivers
????‍????‍???? Household Members
???? Properties
???? Businesses
???? Prior Claims
???? Vehicles
Help us recommend the right coverage and avoid unpleasant surprises later.

What makes Tracey Denson Scott Insurance Agency different?
We’re not here to rush you through a quote.
We’re here to educate you.
We believe insurance isn’t just about buying a policy.
It’s about protecting:
❤️ Your Family
???? Your Home
???? Your Vehicles
???? Your Business
???? Your Financial Future
And yes, we’ll probably make you laugh while we’re doing it.

☎️ Still Have Questions?

That’s what we’re here for.

Tracey Denson Scott Insurance Agency
The Insurance Agent Who Cares®
???? Call or Text:
???? www.tddinsurance.com
???? 31201 Chicago Rd., Suite A102
Warren, MI 48093

“Professional advice. Personalized service. Education first. Insurance jargon kept to a minimum.” ????

Because protecting what matters most shouldn’t be confusing.