To continue on last week’s introduction to SEF’s, let’s take a look at a couple of the more common auto insurance endorsements in Alberta:
SEF 13D
“Comprehensive Cover – Limited Glass” – This very common endorsement, found on almost all policies carrying Comprehensive insurance with deductibles less than $1,000 is a customer favorite, even if it’s not well known. This endorsement deletes Glass coverage from the policy, but it also adds a corresponding premium savings, often several hundred dollars a year and sometimes more on high-value vehicles. Given the frequency with which windshields get wrecked in Alberta, this coverage deletion is necessary to keep claims costs (and premiums) down for all of us. Plus, $200+ savings per year pays for a lot of rock chip repairs.
SEF 20
“Loss of Use” – This is an under-appreciated and undersold endorsement that everyone should carry on their policy. It provides rental car coverage in the event of a loss while the vehicle is being repaired or while a total loss is being settled out (up to varying limits). This is extremely useful as rental vehicles in Alberta can cost upwards of $50 a day, and many repair shops have 3+ week waits just to start repairs. Even if you are not at fault for the claim, this coverage can still be paid out by your insurance company and then they’ll include the cost when they subrogate (recover) from the at-fault party. Not bad for something costing (on average) less than $4 a month per vehicle.