Learn More About Insurance

We like the way you think. 

Everybody needs insurance, so it’s important to understand it.

 

RSA helps your learn about insurance

 

WHAT IS INSURANCE?

Insurance is a promise to help you get your life back to normal in case of an accident, theft or disaster.

HOW DOES INSURANCE WORK?

The idea behind insurance is fairly simple. It uses the payments of many to cover the losses of a few. Every year, our customers’ premiums go into one large pool, which is used to pay any claims that are made. It's all about spreading or sharing the risk.

WHY HAVE INSURANCE?

Quite simply, insurance protects you, the people you love, and the items you value. Without insurance, it would be too risky to open and operate a business or even drive a car. All it would take is one fire or a simple accident to destroy years of effort

WHAT KINDS OF INSURANCE ARE AVAILABLE?

Insurance is split up into different kinds or lines of business. RSA is focused solely on property and casualty (P&C) insurance. P&C insurance includes automobile, property, commercial/business and travel insurance. You can purchase P&C insurance through a broker or directly from Johnson Inc. 

WANT TO KNOW MORE ABOUT OUR HISTORY?

We have more than 300 years of history. You can read about RSA's history here.

WHY IS IT IMPORTANT TO UNDERSTAND YOUR INSURANCE POLICY?

An insurance policy is a legal contract. That means you should read your policy carefully before signing it.
There are a few sections that are found in most insurance contracts:

  1. Declarations

  2. Insuring Agreements

  3. Exclusions

  4. Statutory Conditions

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1. Declarations (also called a Dec Sheet)
 This is the introduction to your policy and includes your name, the name of the insurance company, description of coverage and coverage limits, premium, policy term, and addresses.

 

2. Insuring Agreements
 This describes more specifically what is covered or insured. It provides details on the perils (or risks) that you are insuring against such as fire, water damage, theft, etc. It also tells you under what circumstances you are eligible for a claim.

 

3. Exclusions
 Simply put, exclusions tell you what is not covered in your policy. For example, property such as cash may not be included in your property insurance, or your business may not be protected against certain risks such as terrorism.

 

4. Statutory Conditions Certain insurance contracts may also require these conditions. Examples of such conditions may be:

  • Material Change - If you are aware of changes that could increase or decrease the risk to your contract, you are responsible for reporting this change to the insurance company.
  • Termination - You have the right to cancel your policy. The Termination section outlines the terms and conditions of a cancellation.

This information is for general information purposes and isn’t a complete description of your specific insurance contract. The terms and conditions of your actual policy govern.

WHAT IS AN INSURANCE ENDORSEMENT?

An endorsement is a change, addition or deletion to your insurance policy. You may choose to delete one car under your auto policy, for example, or add a home-based business to your property insurance policy.

WHAT ARE SOME OF THE LAWS AROUND YOUR INSURANCE CONTRACT?

The laws that govern your policy will depend on where the policy is issued.

WHAT HAPPENS IF I…?

Some actions may seem harmless, but they could void your policy, get it cancelled, or mean your claim is denied. Worse, there could be legal consequences. Some examples are:

  • Falsely describing your property or its use
  • Omitting an important fact or circumstance when applying for, changing, renewing your policy
  • Making a fraudulent statement during an insurance claim

 

Want to know more? Check out our glossary of insurance terms, and insurance FAQs.