Posts Tagged ‘Car Insurance Coverage’
Plenty of us believe that we have adequate amount of car insurance coverage, regularly renewing our policies as they come due without giving much though to what our insurance provides. It only is when we’re in an accident or make the decision to switch to another carrier do we acquaint ourselves with what we have, with the former yielding unpleasant surprises for some drivers.
For one thing, liability, comprehensive, collision, uninsured motorist coverage, deductibles, and other language makes it difficult for some drivers to figure out what coverage they have. Include the limits of your coverage, $100K, $300K, $50K and how that coverage works and most of us have no clear understanding of what insurance coverage we have.
Frank N. Darras, who is known as America’s top insurance lawyer, offers some practical advice about insurance, “Make sure you are covered for any accident that could put you and yours in the poor house. Raise your limits on all the coverage you can afford and lower your premiums by raising your deductibles. If your car is older, why carry a low deductible on comprehensive insurance which pays for fire, wind, hail and glass breakage?”
Darras says, “Carriers also look at your age, driving record and the make and model of your car. Where you live plays an important role in determining premium. If you live in a nice neighborhood, there generally is less congestion, which means fewer accidents and probably not as many thefts. Most carriers want a three year history of how many tickets you have had and the accidents you have been in as part of the premium equation. The kind of work you do also factors into the premium equation. Do boring safe work and you will pay lower premiums.” “Finally, a high credit score can lower your premiums. Carriers believe the more responsible you are about staying current on your bills will translate into responsible driving.”
Darras offers these money saving tips:
– If you get a ticket, fight them or go to traffic school so they don’t stay on your record and cause your premiums to go through the roof
– Cover your teenagers on your policy so they are not the primary driver on an expensive car. By covering your kids on your policy you can take advantage of your insurance carrier’s multi-car discount as well
– If you get in a minor accident and damage is less than $500, see if you can pay the other driver outside your insurance to prevent your rates from skyrocketing
– At renewal time, check your premiums against the market, make sure you are receiving all of your discounts, like the good student and customer loyalty discounts
– Pay your bills on time if you can, credit scores count big in the premium mix
– Timely premium payments will also lower your underwriting risks and future rates
– Boost your uninsured motorist coverage. For about $100 more a year, you can have uninsured motorist coverage of at least $100,000. Remember, uninsured motorist coverage is protecting you if the other driver has none. When was the last time you went to the emergency room and were out of work for a month when your losses weren’t more than 25,000?
– If your car is older than 5 years, drop the comprehensive coverage, if it is older than 12 years, drop the collision
“Always keep a disposable camera in your glove compartment. If you are in an accident, make sure you take photos before any vehicles are moved. Minutes after the accident, the story will change, so make sure you have pictures,” says Darras.
Clearly, in these days of financial pressures, following advice shared by Darras and others can save you a lot of money. Auto insurance isn’t a water cooler topic but it is a conversation that needs to be started especially as we begin a new year.
Matthew C. Keegan
http://www.articlesbase.com/cars-articles/when-it-comes-to-auto-insurance-being-street-smart-helps-704943.html
Everything is expensive in California. The overall cost of living is quite high in comparison to many other locations. State minimums on car insurance coverage in California are higher than they are elsewhere. These two factors combine to create very high insurance premiums throughout the state. Nonetheless, while rates may be higher in California , there are many ways to save significantly.
Drivers in California should follow every available general suggestion on ways to minimize their insurance premiums. They should also shop around carefully, as rates can vary dramatically from one company to another. One reason for this is that California law allows insurers to charge based on previous payouts. If for whatever reason your insurer has paid an unusual number of claims, then your rates may be affected.
If you are in the market for reasonably priced car insurance in California, begin by determining which coverages you actually need. Many insurance companies have their own in-house minimums, which may be significantly higher than the state-mandated requirements. Check with the state to determine exactly what is required and insist that the insurance company begin with those numbers. Additional coverage will be determined by many factors including the value of your car, whether you are making payments and your financial resources.
Maintaining a clean driving record is the single biggest factor in keeping your insurance rates low. Safe driver bonuses are plentiful but may require a perfect record. Other discounts are available for full time students, members of various organizations, retirees and others. Make sure that you are taking advantage of every possible discount or bonus.
Buying auto insurance online can result in significant savings by avoiding the middleman. Companies such as esurance.com will allow you to compare auto insurance plans from competing companies side by side. Be sure that you compare identical products in terms of deductible, coverage and any additional products.
Consider a higher deductible. If you are a good driver with a low risk of accidents then it may be better to pay a higher deductible should an accident occur, as opposed to a high monthly premium. Before making this decision examine your budget to determine whether the money would be available to pay the deductible if needed.
Check insurance rates before buying a new car. Vehicles are classified by group and certain groups such as sports cars cost significantly more to insure. Your driving record also plays a part, meaning that young drivers of sports cars will pay much more than both young drivers with other cars and older drivers with good records who own sports cars.
Truly cheap car insurance is difficult or impossible to find in California. However a bit of persistence can pay off in significant savings. Shop around, drop unnecessary coverages and be sure that you are getting all applicable discounts. You will be able to find insurance that will fit your budget while meeting your needs.
Levi Quinn
http://www.articlesbase.com/insurance-articles/choices-for-cheap-auto-insurance-in-california-109299.html
Are you paying too much for your auto insurance? If you believe you are paying too much for your current auto insurance coverage then the following suggestions may help you save money:
- Shop around
Sure, you’ve read this tip everywhere but it’s true. Only by shopping around for auto insurance coverage and getting quotes on premiums from several insurance companies will you be able to know for certain you are getting your car insurance coverage at the best available rate.
When shopping for your auto insurance policy, remember to compare more than insurance rates. Ask about how insurance claims are approved and processed, and how quickly they’re paid. Look into each insurers’ financial stability (there are independent rating services that can help you with this.) Remember, during times of stress like after an accident you will be dealing with the insurance company and you’ll want to make sure you’ll be helped when you need it most.
- Select a higher insurance deductible
When you file a claim, a deductible is the amount you pay first before your insurer pays the remaining balance. Often people select lower deductibles, so when they have to submit a claim, their out-of-pocket expenses are minimal. But the truth is, the higher your collision and comprehensive deductibles the lower your auto insurance premium. The savings by increasing your deductible to say $1,000 from $250 are significant—you can save hundreds of dollars off your insurance premium.
Of course, the flipside is that if you should have to submit an insurance claim you are responsible for paying the deductible. So select the maximum deductible you can afford to pay—the higher the better because the difference in your car insurance premiums will mean more cash in your pocket.
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Remove or reduce coverage on older vehicles
If your car is getting up there in age, you may want to think about dropping the collision or comprehensive coverage (or both) on your policy. You need to think about this one though – it’s not always a clear-cut decision. You need to weigh the cost of the two coverages with the value of your car and your chosen deductibles. For example, if you had a 10-year-old car that’s worth about $1000, and your deductible was $1000, the coverage is not actually going to help you. -
Ask about discounts
Most insurance companies offer discounts. While the availability of discounts will vary depending on your insurer, where you live and whether you meet eligibility, make sure to ask if there are any discounts you can take advantage of. The following is a list of a few of the more common discounts (if available in your state, each insurer will have different eligibility requirements):
• Multi-vehicle discount – available if you insure multiple vehicles with the same insurer
• Multi-line discount – available if you insure your home and auto with the same insurer
• Good driver discount – if you have not had an accident or ticket in a long time
• Good student discount – if you’re a student with good grades, usually about a B average
• Safe driver discount – if you’ve taken and passed an accredited driver safety course
• Anti-theft discount – if your vehicle has certain anti-theft devices installed
• Safe vehicle discount – if your vehicle has certain extra safety features
• Retiree discount – if you’ve reached a certain age, usually 50 or 55
• Low mileage discount – if your vehicle is not driven often
• Occupational discount – if you work in a certain field or hold a certain degree
• Auto club discount – if you are a member of an auto club, like AAA
• Association discount – if you belong to certain associations, like your alma mater
• Away-at-school discount – if your child is attending school out of town
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Choose a car that costs less to insure
If you’re purchasing a new car and have narrowed it down to two or three options, compare the auto insurance rates of each to see if there is a notable difference in the cost to insure. Remember, insurance rates are more for vehicles with high theft rates and repair costs. If there is a significant difference in cost to insure your first choice car, you may have to reconsider. -
Drive safely
OK, this one is obvious but true. Driver’s with no accidents, tickets or insurance claims almost always pay less for their auto insurance coverage. Your driving record is an influential factor in determining your insurance rate. Tickets and at-fault accidents affect your insurance rates for years. With a less than perfect driving record, you can find yourself paying a lot of extra insurance premium over the years.
Jennifer
http://www.articlesbase.com/insurance-articles/save-money-on-your-auto-insurance-moneysaving-car-insurance-tips-31375.html