Car Auto Insurance » Insurance Premiums

Insurance – Home Owners Insurance

admin — Tue, 13 Apr 2010 07:21:23 +0000

We never know just what we will have to pay out for next on our most precious of possessions – our home; it would be easy to plan for tomorrow if we could all see into the future, but that doesn’t mean we cannot prepare for these events. There are always going to be problems and we all have to do our best to protect what is valuable from natural events and also from people who want to cause us and our homes damage. Homeowners insurance is a contract between a homeowner and an insurance company where you agree to pay the premiums, and the insurance company to pay a set amount should a covered loss occur.

The virtues of house insurance are many; from protecting the exterior or building proper to the likes of possessions to utilitarian products like the freezer or washing machine that might break down. The amount that a normal policy will pay out is quite high and most likely the average person would not reach this limit but they will invariably have to pay a deductible first.

To make arranging homeowner’s insurance simple, many websites now exist to deal with protecting the home and personal possessions by insurers that may not even have a ‘real’ presence. All you need to do is visit their website to obtain quotes, preferably from as many good sites as you can, to get a good idea as to what is there on offer and choose the one that suits you the best.

Whilst you compare the insurance quotes, which should help you to understand which policy will offer the best benefits, it is important to consider the flexibility of the policy rather than be tempted merely by a low premium. There is also a requirement to have homeowner insurance if you have a mortgage so that the finance company will have a guarantee in the event of a large claim.

However, if you want to save money, shop around between the different local insurers to see what offers they have on. Many homeowners have learnt they can reduce their monthly insurance premiums by raising their deductible limit, often by two or three times the amount on the policy so this is worth considering.

Replacing personal and household possessions requires a policy that will pay for new replacements and not pay out on the original cost of the products. Replacement Value policies should really be standard but many people are reduced to trying to find replacements for insured possessions from garage sales or thrift shops because they overlooked this important aspect.

Your home probably cost a great deal as did the possessions inside and the sentimental value should not be overlooked either. To ensure you have full homeowner’s insurance cover, ensure you have included everything that needs to be protected, although most plans cover a variety of situations.

By: Ray Lam

Facts About Insurance

admin — Mon, 12 Apr 2010 02:44:50 +0000

Insurance is a trillion dollar business that employs more than 2 million employees. Many insurance companies expect their employees to take continuing education courses to improve their people skills and their knowledge of the industry. The vast majority of policies are provided for individual members of very large classes. Automobile insurance, for example, covered about 175 million automobiles in the United States in 2004 industry.

Agencies and brokerages sell insurance policies for the carriers; the carriers assume the risk associated with annuities and insurance policies and assign premiums to be paid for the policies. Insurance premiums need to cover both the expected cost of losses, plus the cost of issuing and administering the policy, adjusting losses, and supplying the capital needed to reasonably assure that the insurer will be able to pay claims. The insurance rate is a factor used to determine the amount, called the premium, to be charged for a certain amount of insurance coverage. Insurance is an essential part of running any business.

Flood risk to 500,000 homes in the UK could become uninsurable unless flood protection work is stepped up, according to a warning today. The dramatic change in weather patterns all over the world has increased the cost of insurance dramatically leaving some home owners more at risk than ever before.

Insurance companies are paying out less in claims in relation to premiums collected than any time in the last 20 years, but most people would expect them to have paid more out. Gas prices are causing people to drive less, and driving less may lead to lower car insurance rates.

By: Richard Heap

Cheap Auto Insurance For Your Teen Or Maybe Not!

admin — Wed, 02 Dec 2009 21:07:47 +0000

Watch your insurance rates increase perhaps as much as a 96% when your teen graduates the driver training program and gets behind the wheel of your automobile. Yikes! Why?

A spokesman for the Property Casualty Insurers Association of America, Joe Annotti says about teen drivers “The first month, they’re fine, then they think they know everything about driving and safety . . . (and) pretty soon they’re flying 60 mph down a back street to get to school.”

The statistics are not good for crashes and it’s still the #1 killer of kids 15 to 20, and teens under 25 are three times more apt to die in a car crash.

No wonder the car insurance rates jump 50% to 200% the very minute you add your teen driver to your insurance policy. The auto insurance companies are just not willing to handle that risk with out your financial help.

There are a couple things you may want to consider to perhaps reduce the amount your rates will climb before your teen driver takes the wheel.

1. Find out how your insurer assigns drivers to cars. This differs from insurer to insurer and can make a huge difference in the premium you pay. You may want to consider picking up a cheaper car for your teen to drive, such as an old beater that sits in the driveway most of the time. At times this can be less costly than the double or triple insurance premiums on your luxury or new car your teen will drive. Or if you have an older car as well as the new car in the family, see if your auto insurance provider will allow you to assign the teen to the older car, thus reducing your costs. If not, you may want to switch insurance companies.

2. A straight-A student in many instances may not drive better than the C student, but there are many insurers that offer a 10% to 25% discount to teens who maintain a B average or better. Why? These kids are looked at as better future risks. “Long-term, they want the A student as a customer,” Joe Annotti said. Better students are seen as “more responsible.”

3. Have your teen take Drivers Education vs the short-term courses. Short-term courses are not effective in reducing future accidents, according to studies published by the American Journal of Preventive Medicine, but the auto insurance companies will reduce your costs 5% to 15%. Go figure.

4. Raising your deductible should reduce your premium by about 35%. Ron Lovatt of the Automobile Club of Southern California boosted his deductibles from $500 to $2,000 when his daughters began driving. It just makes good financial sense to raise the deductible to lower the on-going premiums. It may be the wise idea regardless of teen drivers.

5. If your teen enters college and will not have a car available to them, take them off your policy. However, know your teen will not drive during this time, ever, regardless of who’s car. If they drive uninsured and cause an accident you can be sued.

6. Do not report the fender-benders to your insurance company. If you do report it they will certainly raise your premium. More than likely it will be cheaper to pay for the minor repairs yourself or maybe think about having your teen pay. Ouch!

It should come as no surprise that finding low rates & superior auto insurance coverage comes with knowing something about what the other companies are offering and at what cost. The savvy shopper will find the best rates to meet their needs.

By: Liz Hansen

6 Tips for Lowering Your Auto Insurance Premium

admin — Sun, 22 Nov 2009 13:23:16 +0000

If you were quite disturbed when your auto insurance policy renewed this year and you found that your rates increased, don’t despair your not alone. You can still save money on your premium by following a few simple steps.

We all know that it’s not exactly cheap to drive a car these days. As gas prices fluctuate up and down and incomes fail to keep pace with inflation, it seems most of us are looking for ways to cut costs.

All you have to do is just ask anyone who’s been involved in an accident lately. The costs can mount quickly. The financial liability for yourself and the persons involved also mount quickly.

Here are some tips to help you cut some corners. You still get protection from your auto insurance carrier but take on more financial liability. This can work in your favor because if you are a safe driver then your liability will be minimal.

1. Comparison Shop. If you have a good driving record and buy a safer car, your premium rate should go down.

2. Find out what your insurance will cost before you buy that new car. Auto insurance companies typically charge more for cars that are expensive to repair or don’t fare well in accidents.

3. Ask your insurer for discounts. These cost-savers can lower your insurance premiums more than you might think. Combining two or more cars on one auto insurance policy.

Buying a car with airbags or other safety equipment and take the highest deductible you can afford. Your deductible is the amount you pay out-of-pocket, in case of a claim, before your insurance company starts paying its share.

The higher you’re deductible, the lower your premium, it’s as simple as that. Just be sure you’re able to absorb a larger portion of your loss in case of an accident.

4. Make serious attempts to improve your driving record. The more tickets and accidents you have, the more your auto insurance costs will rise.

So take some advice and start to drive cautiously. This will help you improve your motor vehicle record, and when you do inform your auto insurance company of the change. They’ll reclassify you as a safer driver, and hopefully lower your auto insurance rates in the process!

5. Consider dropping comprehensive and/or collision coverage if you drive an older car. Physical damage coverage’s like these reimburse you for damages to your own car. All this depends on the state in which you live in.

Obviously rates are different if you live and drive in NYC compared to Philadelphia. Your best bet like always is to shop around and compare rates and services from many carriers.

6. Review your policy regularly, and keep your coverage updated. Your auto insurance rates may fluctuate due to adding or removing a driver from your auto insurance policy and replacing an older vehicle with a newer one.

For those of us who drive, auto insurance is a necessary requirement enforced by law. Though we hate paying what we feel are high and ridiculous premiums, the financial protection we gain from those policies is a trade-off we just can’t afford to live without.

By: Laura Buckley

Auto Insurance Rates – Don’t Pay More For Car Insurance

admin — Sat, 19 Sep 2009 04:28:58 +0000

The auto insurance industry is more competitive today than it has ever been before. This amounts to excellent benefits for consumers, as long as you know how to shop smart and negotiate. Auto insurance rates vary depending how much coverage you get, your driving record, what kind of car you are covering and any special discounts that you may be eligible for. In order to maximize your savings on your auto insurance rates, be sure to follow these guidelines:

1. Compare Car Insurance Rates Before Buying a New Car

Any savvy shopper knows that the true cost of owning a vehicle goes above and beyond the amount you pay at the dealership. Certain cars are more expensive to insure. Auto insurance agencies determine premiums based on your car’s price, its overall safety record, the likelihood of theft and the cost to repair the car. For example, a foreign sports car will have much higher car insurance rates than a low-key domestic sedan that can be serviced at almost any garage. Factor this into your decision before you buy.

2. Increase your Deductible

Higher deductibles will expose you to greater liability if you are in an at-fault car accident but it will save you money on your monthly premiums. If you can go for a long period of time without an accident, bumping up to a $1,000 deductible can easily pay for itself over the years.

3. Seek out Special Discounts

Your situation may qualify you for special auto insurance prices. For example, if you are an infrequent driver, have an excellent driving record or belong to a professional association, you may {{{be able to get a significant reduction in your monthly premium without cutting back on your coverage. Go ahead ask your car insurance company if you qualify.

4. Consider Reducing Coverage on Older Cars

All states require that you have a certain amount of auto insurance in order to drive legally. However, if you drive an older car with a low Kelly Blue Book value, then it may not be cost effective to have it fully covered. You can save on monthly costs by reducing your coverage.

5. Shop Around

The absolute best way to find competitive vehicle insurance rates is to shop around. Even if you already have a vehicle insurance plan, you may be able to save money by moving to another company. With easy-to-use resources readily available on the web, you can quickly survey the current offers from local auto insurance agencies as well as nationwide insurers. In fact, drivers that have gone for years with the same plan are most likely to be overpaying for auto insurance. Seeing what other companies have to offer certainly can’t hurt – especially if you do it from the comfort of your home.

By: Gabe Mata

Car Insurance For 17 Year-Olds

admin — Tue, 15 Sep 2009 23:59:06 +0000

17 year olds are generally not going to be aware that they have to have car insurance if they want to be legal on the road (nor can they probably afford it) so it is up to you, as their parent, to find the best insurance for 17 year olds that you can get.

It goes without saying that your teenager must have car insurance in the UK. Failure to be driving an insured car can result in a bad run-in with the law, something neither you nor your teenager wants on their record.

One of the best ways of getting a reasonable premium is to send your teen to a certified driving instructor course. 17 year olds are known to be reckless drivers, with statistics showing that 38 percent of claims made to insurance companies are by 17 to 18 year olds. Not only will a driving course give your teen the confidence and skills they need on the road, which will make them more responsible and safer on the road, it will also contribute in a very good way towards lower insurance premiums.

Before you do that, though, your teen will need to apply for a provisional driving license. You can order a “D1 Pack” from the Driver and Vehicle Licensing Agency (DVLA) at their website dvla.gov.uk (see “Online Services” and then “Online Form Ordering”) to apply for one, or pick up the pack at the nearest post office. Overall, the application should cost you or your teen about £50.

Remember, when your teen is still a learner driver they are not allowed to drive on the motorways. This is really for their own good as the majority of fatal accidents in the UK happen on the motorways. However, the Pass Plus course – designed by the Driving Standards Agency (DSA) – has been created to teach drivers how to drive in adverse weather conditions and on the motorways. It basically focuses around avoiding hazards, knowing the car, driving at night, driving on duel carriageways, and driving in town or rural areas. It focuses on giving a positive outlook towards driving and building both skill and confidence with its students. For 17 year olds, the Pass Plus is the ideal course in ensuring they are confident and safe on the road. 17 year olds who need car insurance can find much lower premiums having done the course.

You don’t want your teen having any run-ins with the law and so you need to also remember some of the other rules revolving around learner drivers:

Firstly, make sure that the L-Plate is visible on both the rear and front of the car. The car must have an L-Plate, and it needs to be of the certified kind – home made L-Plates (Or, D-Plates in Wales) will not do.

Secondly, the car your 17 year old is driving must be roadworthy and have a MOT certificate, as well as be up to date on its taxes.

Thirdly, a 17 year old learner driver must be accompanied in the vehicle by a driver who is fully qualified, over 21, and has a license of at least three years.

Fourthly, 17 year olds must have their eyes tested before getting on the road (this is just a good idea) and any illness such as diabetes or epilepsy must be reported to the insurance company otherwise it is insurance fraud.

Finding car insurance for 17 year olds that’s well priced will take some shopping on your part, but the effort is well worth it. Many insurance companies will offer some significant discounts for doing the driving courses, as well as have no-claims discounts of nine months to a year so that a 17 year old can take advantage, as soon as they can, of driving responsibly.

By: Leon Van Tubbergh