Popular - Personal

Insurance in General
1. What is an insurance?
2. Are insurance products insured by the FDIC?
3. What does it means that the insurance products do not constitute obligations nor guarantees of Banco Popular, N.A., Banco Popular de Puerto Rico nor of their subsidiaries?

Automobile Policy
4. What is a vehicle insurance?
5. How can I save money in an auto policy?
6. Does my vehicle’s insurance cover rented cars, trucks or vans?
7. How can I reduce the probabilities of having my car stolen?

Homeowner
8. What is homeowners' insurance?
9. Why do I need homeowners insurance?
10. What would happen if the cost of replacement of some of my belongings in my home surpasses the basic limits of the policy?
11. How do I know how much coverage I need?

Life
12. What is a life insurance?
13. Do I need a medical examination to obtain life insurance?
14. How much time is needed to obtain life insurance?

Insurance in General
1. What is an insurance?
An Insurance is a contractual relationship that exists when a group, for a particular purpose, agrees to indemnify or pay others for the loss caused by specific events. The first group is the insurer, the second group is the insured. The contract is the insurance policy, the purpose is the premium, the property is the risk, and the event is the hazard insured.

2. Are insurance products insured by the FDIC?
The Federal Deposit Insurance Corporation (FDIC) insures the deposits of clients in a bank against loss. Since the insurance products are not deposits, they cannot be insured by the FDIC or by any federal or local agency.

3. What does it mean that the insurance products do not constitute obligations nor guarantees of Banco Popular, NA, Banco Popular de Puerto Rico nor of their subsidiaries?
A deposit is a contract between the bank and its clients. An insurance policy is a contract between the insurance company and its clients. This is the reason why the insurance policy is not an obligation of the bank nor of its subsidiaries.

4. What is a vehicle's insurance?
Vehicle insurance is a contract between an insurer and you. You pay a premium and in exchange the insurer agrees to pay for any losses specifically related to the car or vehicle during the duration of the contract (policy).

5. How can I save money in an auto policy?
The premiums differ among companies. The type of vehicle you drive, your driving history, age, gender, place of work, place of residence, and the distance between your home and your workplace are factors that determine the insurance premium.
The premiums of a vehicle insurance policy are based on a series of factors - among them, the model and year as well as the expected mileage. The insurance companies are interested in lowering the premiums, but this depends on the previous loss experience they have had with similar vehicles. Most of them have developed advertising to foster more responsible driving, so that the incidence of accidents drops, and the premiums are reduced accordingly.
There are six ways to reduce the premium cost of insurance policy:

Compare the premiums of on policy with different deductible alternatives. The higher the deductible, the lower the premium would be.
If your vehicle is fairly old, it may not be a good idea to have a high coverage in the collision clause.
The more expensive and luxurious your vehicle is, the higher the premium will be. Keep this in mind when shopping for a car.
Compare different premiums and insurance policies in different insurance companies.
Some insurance companies provide discounts if you have more than one car insured by them.

6. Does my vehicle’s insurance cover rented cars, trucks or vans?
The existing insurance policies for vehicles vary with respect to rented cars, trucks and vans. For example, a policy may provide coverage to a rented car for personal purposes but not for business purposes. To be sure whether or not your insurance policy covers rented vehicles contact your agent or insurance company.

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7. How can I reduce the probabilities of having my car stolen?

Always lock up the car doors and close all windows.
Park the car in the garage.
Use protection devices like alarms or clubs. When parked on the street, turn the wheels against the curb and that the steering wheel is locked up.
Never leave the car key in the ignition or leave the car with the engine running.
Never leave the house keys in the car. In case the car is stolen, you wouldn't want anybody to have access to your home.
Never leave valuable objects in your car and much less in plain view.
Don't wait until you park your car to place articles in the trunk. You never know when you might be watched.

Homeowner
8. What is homeowners' insurance?
This insurance protects your dwelling in case of damage or destruction. It also protects your personal property, and provides benefits in case of civil responsibility claims, medical expenses; damages to property, and physical injuries inflicted on others.

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9. Why do I need homeowners insurance?

It's a necessary protection. The reason to hold this type of insurance policy is not because your mortgage lender requires it, but rather because it protects something you cannot afford to loose - your home. What would happen if an earthquake or windstorm destroyed your house? If your possessions are stolen? If your dog bites your neighbor? If your guest suffers physical injuries in your home? These and some other events can affect you economically if you do not have homeowners insurance.

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10. What would happen if the cost of replacement of some of my belongings in my home surpasses the basic limits of the policy?

The basic coverage of the Homeowner policy usually is not sufficient to provide full protection for the belongings, if they surpass the basic limits specified. You can obtain more coverage by paying an additional premium.

11. How do I know how much coverage I need?

Most people realize that their insurance policies do not provide the necessary coverage or that it is not the most adequate. To prevent these situations, it is recommended that we start with a valuation of the property to be insured. Then make an inventory of all the personal property to be insured and consider other additional coverage like flood or earthquake.

Life
12. What is a life insurance?

A life insurance gives protection to the beneficiaries in case the insured dies. The policy substitutes the loss of income to the beneficiaries or pays their debts.

13. Do I need a medical examination to obtain life insurance?

Sometimes, it is required, depending on the type of coverage. Usually, insurance companies require brief medical exams that consist of the medical history, blood pressure and level of cholesterol.

14. How much time is needed to obtain life insurance?

The process to obtain a life insurance policy consists of several steps. Contrary to other types of insurance, this one requires medical tests and more attention.