Five insurance mistakes that could cost you

By Ashley Pietsch, Integrity Insurance & Bonding, Inc. 

These overlooked mistakes can leave property owners and businesses vulnerable. 

When disaster strikes, the last thing you want to hear is that your insurance won’t cover it. Unfortunately, that’s exactly what happens to many people who assume their policies are enough to protect their assets. At Integrity Insurance & Bonding, Inc., we’ve helped countless clients navigate the fallout of insufficient or misunderstood coverage plans.  

This article highlights the five most common insurance mistakes people make and how to avoid them. From relying on generic online quotes to choosing the cheapest premium, these missteps can have serious financial consequences. With the right guidance and a tailored approach, you can protect your assets and avoid regret down the road. 

1 - “I thought I was covered, but I wasn’t.” 

This is, by far, the most common regret we hear. It’s easy to assume your policy includes everything you need — but insurance is not one-size-fits-all. 

Examples: 

• A homeowner’s policy that doesn’t include water/sewer backup (a common and expensive exclusion). 
• A business owner who didn’t realize they needed a cyber liability policy until they experienced a breach. 
• An auto policy that didn’t include uninsured motorist coverage when it mattered most. 

Tip: Review your policies annually — or when major life or business changes happen — to make sure you’re actually protected for the risks you may face. 

2 - “I chose the cheapest policy.” 

We get it — everyone wants to save money. But when it comes to insurance, cheaper isn’t always better. The lowest premium often means limited coverage, high deductibles or unfavorable exclusions. 

Real-world consequences: 

• A contractor buys the cheapest general liability policy, only to find it excludes roofing work. 
• A family opts for the lowest-cost homeowners policy and finds out later it doesn’t include replacement cost — just actual cash value, which leaves them tens of thousands short in a fire claim. 

The bottom line: Insurance is supposed to protect your financial future. You don’t want to find out the hard way that your “deal” cost you everything. 

3 - “I didn’t update my policy as life changed.” 

Life moves fast — your insurance should keep up. Whether you're growing your family, launching a new business service or buying new equipment, if you don't notify your agent, you're likely underinsured. 

Common examples: 

• A personal auto policy doesn’t reflect a teen driver added to the household. 
• A business adds a second location or hires new employees — but never updates the policy. 
• A homeowner adds a shop, home office or pool — without increasing their dwelling or liability limits. 

Recommendation: Treat your insurance like you would your will or financial plan — something that evolves with you. 

4 - “I didn’t understand what I was buying.” 

Insurance jargon is overwhelming — endorsements, exclusions, declarations, liability limits. Unfortunately, too many people sign up for policies they don’t fully understand, assuming “it’s all in there somewhere.” 

Consequences: 

• Not knowing your deductible applies per occurrence (not annually). 
• Believing flood damage is covered under homeowners insurance — it’s not. 
• Thinking your business policy includes employee dishonesty, when it’s actually a separate endorsement or policy. 

Our belief: You shouldn’t need to be an insurance expert — that’s what we’re here for. But you should be informed and empowered. 

5 - “I didn’t have a real advisor - I just clicked online.” 

Online quotes are fast and convenient — but when disaster strikes, you want a real human who knows your story and can walk with you through the claim. 

What you're missing without an advisor: 

• Proactive risk reviews 
• Guidance on proper limits and coverage types 
• Contract review for businesses 
• A dedicated team who advocates for you when something goes wrong 

With Integrity Insurance & Bonding, you get a partner — not just a policy. 

Avoid the regret. Get the right coverage. 

Most insurance regrets are avoidable. It starts with the right team — people who take time to understand you, your goals and the unique risks you face. 

At Integrity Insurance & Bonding, we specialize in personal, commercial, life and benefits insurance, serving families and businesses across the country. Whether you're starting a new chapter or just want peace of mind that your coverage is solid, we're here to help. 

Get a coverage review today: No pressure. Just a clear, honest conversation about whether your insurance is doing what you think it is. 

Original article source: Integrity Insurance & Bonding Inc.