Posts Tagged ‘Unpleasant Surprises’
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
In the excitement that comes with leasing a vehicle, you may not be considering how your current auto insurance requirements may change. However, an auto lease will often carry some important insurance requirements that are part of the lease agreement. You can avoid unpleasant surprises if you plan for the change in your auto insurance situation before you finalize your lease.
When you are driving a leased vehicle, it still belongs to the leasing company. They will want to make sure that their vehicle is covered for physical damage in case of an accident. In addition, they will also want to make sure they will be covered in case of any liability if you are found to be at fault in the accident. You will be required to carry comprehensive and collision coverage on the vehicle, which will cover it for physical damage, usually with no more than a $500 deductible. If you are carrying a higher deductible on your current policy, be prepared to possibly pay more on your auto insurance for the lower deductible.
Your liability limits will usually need to be $100,000 per person and $300,000 per accident. This means your insurance company will pay up to the total amount per person injured if you are at fault, and a total amount for the whole accident, regardless of how many people are injured.
Auto insurance liability is an area where you many need to make an adjustment to your current policy. Many people only carry what their state requires for liability auto insurance. However, you should probably always have this higher liability coverage in place, whether you are leasing or not, as you want to sufficiently protect yourself from accidents and lawsuits. If your insurance policy doesn’t have enough to cover the damages, the money will, in many cases, come out of your pocket.
Getting an auto lease is a good time to start shopping around and comparing auto insurance quotes. The financing company may offer insurance, but you can usually get a better deal by looking elsewhere. Of course, you should get a new quote from your current insurance company, but because you will have a different vehicle, you will probably get the most savings by insurance comparison shopping. The Internet is a good place to start, and there are a variety of Insurance quote comparison sites that offer rates from many different insurance companies.
Your auto insurance needs change when you have to insure a leased vehicle. By considering this part of the leasing process, you will save money, time, and aggravation. If you start auto insurance shopping when you are in the leasing process, you will get a head start.
Amy Wells
http://www.articlesbase.com/non-fiction-articles/what-you-need-to-know-about-auto-insurance-and-leasing-122960.html