Assumptions Can Be Disastrous

A recent discussion I was involved in calls attention to an essential skill that is often little in evidence. The subject related to insurance coverage on a rental car. Assumptions were being made about the extent to which and under what conditions a person renting a car needed to provide for insurance.

The intriguing thing to me was how confident some individuals are about what they think they know when they have no factual basis for their beliefs. I will let you tell me why people think like this, to me it is a mystery. But I can tell you this. People are experiencing a lot of unpleasant surprises because of it, and a lot of it is financial.

As someone who has had the benefit of getting a good education, I have observed a strange phenomenon. The less people know the more they believe they do know. The more people know the less they suppose they know. If you really do know a thing or two you begin to realize that there is so much out there to learn that none of us knows more than a little about anything.

So far we could be talking about an attitude, but the necessary attitude of humility in this case is simply the prerequisite to learning an essential skill. The skill is simply this, to consistently check out the real costs of any action that might involve financial obligations unless you have already acquired your facts from a reliable source.

• Don't assume prices are the same from all providers.
• Don't assume guarantees are provided with services.
• Don't assume operating costs are equal with different equipment.
• Don't assume. Don't assume. Don't assume.

In every situation develop a consistent practice of thinking about possible issues and then checking out the facts with valid sources. And don't neglect those last two words, valid sources.

A friend, or even another insurance agent, would not be a valid source in our introductory situation, for example. If you expect the rental company or their insurance to pay for a rental vehicle's coverage, check the fine print. If you expect your personal automobile insurance to cover the rental vehicle check with your own insurance company before you drive off the lot.

In every case, in every circumstance, learn to carefully determine the authorative source for relevant information and then take time to check it out. Practice doing this until it is a way of life.