Are You Buying Your Auto and Home Insurance Through Your Employer?

Are you buying your Auto and Home Insurance through your Employer where you get a group discount? Is it really an “Employee Benefit?”  – Most times is not even close. 

Most people think that when you buy Auto and Home Insurance through an Employer sponsored group they get a discount. It’s true that they do get a discount. Most times they get a discount off of a policy that is ridiculously high to begin with. 5-10 percent off of outrageously high is still outrageously high!!

Store A and Store B are selling the same exact item. Store A is selling it for $7. Store B is selling it for $10 but you a coupon for 10% off. Which one would you buy? Exactly!

In a lot of cases most larger employers offer Group Auto and Home Insurance via Payroll Deduction. Employees have a few different things taken out of their check every pay period. Various Taxes, Health Insurance, Retirement, Auto and Home Insurance and the list goes on.  Most employees have no idea that they what they are really paying since it is taken out of their paycheck.

The three largest writers of Group Auto and Home Insurance that we see are Travelers, Liberty Mutual and Metropolitan. Let’s take Home Insurance for example. These three companies are some of the highest priced homeowners polices in the market today. Not only is the pricing high, we very rarely see any other coverage’s except the usual Replacement Cost on the Building and the Contents. With Metropolitan instead of having a $500 or a $1,000 deductible if the wind blows Shingles off you roof, you have a 2% deductible. 2% of what? It’s 2% of the amount of insurance on the Home. Lets say your home is insured with a $500,000 limit of the building. Now if the wind blows shingles off your house, your deductible isn’t the $500 or $1,000 you think it is-it’s $10,000. Yikes! Oh don’t forget, this is an “Employee Benefit”. Really?

We insure many people who work at Dell/EMC and many other companies all over Massachusetts. The employees who come to us are blown away by the cost savings and the extra coverage’s that we include. The saying is true- It doesn’t matter who insures you until it does!

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