Stand Alone

A stand alone policy is a term used to describe a couple of different situations. It can describe a single insurance policy. A stand alone is written for certain types of business. Examples would include a motorcycle or a snowmobile not being added to an existing automobile policy. Instead these items are written under a separate policy which "stands alone". Another example would be a special class of vehicle that is not normally acceptable to the underwriters. This vehicle would be split out onto it's own policy as a stand alone.

Stand alone is a term that is used by insurance personnel to refer to a single policy. It would be the first piece of business written with that insurance company. It loses that distinction when further policies are added.

If the only business you have with an insurer is a stand alone policy then you do not have a lot of room for negotiation. The more business you give an insurer the more likely you are to receive concessions. You want to be looking for the best price and coverage but do keep it in mind that policies split up between different companies cost you some bargaining power.

Talk to your agent or broker about your options. Take a little time to look things over before you change insurance companies. Remember, cheaper is not always better but quality doesn't always have to be expensive.

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