Mastering Your Insurance: Tips, Savings, and Handling Persistent Agents

Published Date: 07/09/2024

How to Handle Persistent Insurance Agents, Rising Premiums, and the Mystery of the “Policy Jacket”

Every insurance customer has been there — your agent keeps calling to “check in,” offer new policies, or “review” your coverage. It’s easy to feel like you’re being sold more than you need. At the same time, your car’s getting older, yet your auto premiums keep climbing, and your policy documents seem to be getting shorter — not longer.

If you’ve had any of these frustrations, you’re not alone. In this episode of Insurance Hour, host and insurance expert Karl Susman tackled these exact issues through listener questions — shedding light on some of the most common misconceptions about how insurance really works.

Let’s break down his practical insights on dealing with pushy agents, understanding your policy paperwork, and figuring out why your premium might be rising even when your vehicle is losing value.

1. “My Agent Keeps Trying to Sell Me More Insurance — What Can I Do?”

The first listener question went straight to the heart of a common annoyance:

“My agent is always trying to sell me more insurance and I have it all. I’m on the do-not-call list. Where do I report him?”

Susman’s response started with honesty:

“Yes — insurance agents and brokers make money by selling insurance. That’s their job.”

It might sound blunt, but it’s true. Agents are compensated for selling policies, just like real estate agents earn commissions for selling homes or financial advisors for managing portfolios.

However, that doesn’t mean every sales call is predatory. In fact, it can sometimes be a sign of diligence rather than greed.

“If your agent is offering you something new, it’s possible you actually do need it,” Susman said. “Because when people file claims for something they didn’t have coverage for, the first thing they say is, ‘My agent never offered it to me.’”

It’s a fine line: when does “doing your job” become “being pushy”?

Finding the Line Between Helpful and Harassing

There’s no one-size-fits-all rule, but the best approach is communication.

If you feel overwhelmed by too many sales pitches, it’s okay to speak up. Susman’s advice?

“Be honest and say, ‘I appreciate the outreach and the offers, but please make a note not to contact me with new policy suggestions.’ They will — they don’t want to waste their time or risk losing a client.”

He also reminded listeners that agents, like anyone in business, would rather have a satisfied customer who renews their policy than an annoyed one who leaves.

If your agent ignores your request or becomes unprofessional, you can escalate the issue — but in most cases, a polite, direct conversation will solve it.

Does the “Do Not Call” List Apply to Insurance Agents?

Many people assume the national “Do Not Call” registry protects them from all telemarketing calls, including from their insurance agents. But that’s not quite true.

“The Do Not Call list is designed for businesses contacting consumers with whom they have no prior relationship,” Susman explained. “If you already have an existing policy with an agent or broker, they’re generally exempt from those restrictions.”

That’s because the relationship is considered ongoing business communication, not cold marketing.

However, there’s a key detail most people overlook: your registration on the Do Not Call list doesn’t last forever.

“I believe it falls off after six months or a year,” Susman said. “You have to re-add your number periodically. I found out the hard way myself when I started getting calls again.”

If your agent keeps contacting you despite clear instructions to stop, you can ask for written confirmation that they’ve updated your communication preferences — but remember, staying polite goes a long way.

2. “Why Is My Policy Only One Page Long?”

Another listener posed a lighthearted but surprisingly insightful question:

“Why is my policy only one page long, but my agent says it’s part of a big policy coat?”

Susman laughed at the phrasing — “It’s not a policy coat; it’s called a policy jacket,” he said — but the confusion behind the question is very real.

What Is a Policy Jacket (and Why It Matters)?

Your insurance policy has two main parts:

1. The Declarations Page (or “Dec Page”) — This is the short section (usually one or two pages) that lists all the details unique to you:

• Your name and address
• Policy number
• Effective and expiration dates
• Coverage limits
• Deductibles
• Premiums

1. It’s essentially the summary of your insurance agreement — the “snapshot” of your specific coverage.
2. The Policy Jacket (or Policy Form) — This is the larger, standardized portion of the policy that contains all the legal and contractual language. It explains what’s covered, what’s excluded, and how claims are handled.

“That language is the same for everyone buying that type of policy,” Susman said. “It could be 50, 60, even 100 pages long.”

When policies were mailed out physically, insurers often sent the policy jacket once, then only included the updated declarations page at each renewal. Today, most companies send both documents electronically — often as a single PDF file.

“If you’re not getting your documents electronically,” Susman advised, “check with your carrier. It’s faster, more reliable, and you’ll get everything you need.”

Why the “Jacket” Never Changes

Another reason your policy may look short is that your insurer assumes you’ve already received (or have access to) the master policy language.

Since the jacket doesn’t change from year to year unless new regulations or endorsements are added, you don’t necessarily need a new one every renewal.

That’s why you may see just a single-page renewal notice — but rest assured, your full coverage still exists in the background.

3. “My Car Is Older, but My Insurance Keeps Going Up. Is This a Scam?”

Perhaps the most relatable listener question of all came from someone whose car was getting older — yet their auto insurance premium kept rising.

“My car’s older, but my insurance cost keeps going up. I call scam.”

Susman’s reply? A mix of sympathy and realism:

“It’s not a scam — but it is complicated.”

Understanding What You’re Really Paying For

The key misunderstanding here is that auto insurance isn’t just based on the value of your car.

“That’s one part of the premium calculation,” Susman explained, “but it’s not everything.”

Your total premium includes multiple components — and only one of them relates to your vehicle’s replacement cost.

These components typically include:

• Liability coverage (injury or property damage you cause to others)
• Uninsured/underinsured motorist coverage
• Medical payments or personal injury protection
• Comprehensive and collision coverage (damage to your own vehicle)
• Administrative and legal expenses built into the company’s pricing model

So while your comprehensive and collision premiums might go down slightly as your car depreciates, your liability and other coverage costs might rise — especially in today’s environment of inflation, higher medical bills, and rising repair costs.

“If your car is worth less, that part of the premium does go down,” Susman said. “But if your overall policy is going up, it means another section has increased — and that increase is outpacing the decrease.”

The Inflation and Repair Cost Effect

It’s not just your insurer’s fault, either. Auto insurance rates have skyrocketed nationwide due to:

• Rising repair costs (thanks to expensive sensors, cameras, and electronics in newer cars).
• Inflation driving up labor and medical expenses.
• Higher accident frequency and severity due to increased traffic post-pandemic.
• Litigation and fraud costs built into claim settlements.

Even if your vehicle is aging, the systemic costs of providing insurance — from parts and labor to settlements and reinsurance — have gone up dramatically.

So while it may feel unfair, the math behind your premium increase is likely valid.

“If you were just insuring the value of the vehicle, and the rate still went up, then yes, that would be a scam,” Susman said. “But that’s not how insurance works.”

What You Can Do About Rising Auto Premiums

1. Review your coverage line by line. Ask your agent to explain each section and see if you’re paying for extras you no longer need.
2. Shop around periodically. Rates vary widely between carriers. Even in tight markets, a broker may find alternatives.
3. Increase your deductible. If you can afford higher out-of-pocket costs, this can reduce your premium substantially.
4. Take advantage of telematics. Programs that track safe driving behavior can offer discounts of up to 20%.
5. Bundle policies. Combining home, auto, or umbrella insurance can often lower overall costs.

Final Thoughts: Knowledge Beats Frustration

From pushy agents to confusing paperwork and rising costs, it’s easy to get cynical about insurance. But as Susman reminded listeners, most of these issues aren’t about deception — they’re about communication and understanding.

“Insurance can be frustrating,” he admitted. “But it’s also one of the most important things you buy. Once you understand what’s happening behind the scenes, it makes a lot more sense.”

So next time your agent calls, your bill goes up, or your “policy jacket” shows up looking thin, take a breath — and take a closer look. Chances are, there’s a reasonable explanation hiding in the fine print.