AUTO CAR INSURANCE

Is Your Car Insurance Cheap Auto Insurance? - Are you getting cheap auto insurance? This list will help you obtain cheap auto insurance-not cheap quality but cheap on your wallet! Get your car insurance policy and compare your savings with this list to see if you are getting all of the savings you are entitled to, or print it out and use it when getting a new policy or obtaining an online insurance quote.

Top List of Ways to Change Your Current Car Insurance into Cheap Auto Insurance:

        
Theft Devices: Most new cars have theft devices. Some are automatic and some have to be started at the touch of a button, but all usually get discounts on car insurance. Also, some states provide extra discounts for such things as window sketching.

Multiple Car Discount: Did you know sometimes insuring two cars can be the same price as insuring one? If not the same price, insuring another car usually does not cost as much as you may think. And if you have 2 cars, it is very wise to check with your insurance agent, or while obtaining your online insurance quote, to make sure you can get this discount on your car insurance. Also, if you are planning to sell a second car, the cheap auto insurance trick would be to keep that car on just liability to get your multiple car discount. Sometimes people are surprised when they call their car insurance company to take a car off of their insurance, only to find that their price did not go down but possibly increased!

Yearly Policies: Choosing a yearly policy can extend your savings on your car insurance. Purchasing a yearly policy instead of a six month policy gives you a rate that cannot be changed for one year VS. changing every six months.

Comprehensive Storage Coverage: If you are planning to store your car for any period of time, you can save on your car insurance by only keeping comprehensive coverage during the storage time. Since the car would be stored, it is very unlikely it will get in a collision or need the liability coverage.

Mileage: This is a great way to get cheap auto insurance: If you are really close to the "miles to work" break-off, you may want to check your mileage closely. 
     
When your car insurance company or insurance agent asks you "How many miles do you drive to work one way?" this is a crucial question that will designate you into a particular class. Each class can have significant differences in prices.

Organization Affiliation: Many companies offer a discount on car insurance for being affiliated with certain organizations. These can range from credit unions, college sororities, or just having a certain credit card. Call your service center and ask them for a list of the organization affiliation.

Liability/Comprehensive/Collision/Medical Payments Coverages: Of course, you can lower your basic coverages. Comprehensive and Collision are probably the first to look at lowering by increasing your deductibles on your car insurance. Most vehicles that are on bank loans can have up to a $1000 deductible. Next, lowering your liability and medical payments could help, but only if you are having a hard time paying for your premium and is not recommended for general savings.

EFT Payments: Many car insurance companies are now charging up to $5.00 or more for mail payments, but sometimes nothing if you choose to have payments automatically deducted. And, sometimes the deductions can come from your credit card, so you don't have to worry if the money will be in your bank account when payment time comes.


By Bobbie Marie Sage

Protecting Your Family - Buckle Up! Recent good news from Transport Canada statistics show an increase in seat belt use across

Canada. Ontario laws for the average person makes seat belt use mandatory. Seat belts have proven to save lives and reduce injuries. Newfoundland, Quebec and Saskatchewan lead the country with usage rates in excess of 90%. Ontario and British Columbia followed closely behind. In addition, all ten provinces achieved seat belt usage rates of more than 83%. So buckle up!

What Someone Else Is Doing..To Protect You!!!

Smile your on Candid Camera! Candid cameras to catch crazy drivers? It’s true.
Automatic cameras that take pictures at traffic intersections are an effective tool for reducing the number of drivers running red lights, the Federal Highway Administration (U.S.A.) An automated enforcement program for red light running people should translate into at least 20% and as much as a 60% reduction in violations. 

It is also believed that the new technology might also reduce the number of crashes in intersections.. Each year, red light running accounts for about 260,000 car crashes. It also accounts for about 121,000 injuries and more than 800 deaths across the United States. 

This information is from the Insurance Institute for Highway Safety. Fatal crashes at intersections with traffic signals have risen 24% from 1,888 in 1992 to 2,344 in 1997. A significant number of these violations are in rush hour traffic when people are in a hurry. 

When a car speeds through a red light, a magnetic relay beneath the pavement sends a signal and the camera’s shutter opens. A computer notes the time, date, vehicle speed, and amount of time the light was red. While the ticketing process varies from system to system, usually a technician retrieves the film from each camera daily and has it developed or scanned into a computer.

After license plate information is processed, the police print and verify a ticket which is then mailed to the registered car owner. In most states, drivers can go to court and testify they weren’t behind the wheel, but in New York, the registered owner is liable. 

Most of the programs used traditional film equipment, but some have experimented with digital cameras. Statistics show that about 250 cameras are set at intersections across the country and that number is expected to double per year.

A New York City program started in 1993 resulted in a 38% decrease in violations at 18 monitored intersections. Cameras in most states take photographs from the rear of the intersection, so the driver can’t be seen, but in California the system also used a picture of the driver’s face for identification. 

The cameras were used at crossings for a light rail line running between Los Angeles and Long Beach. Between 1990 and 1997,there were 353 crashes between trains and cars. They resulted in 33 deaths. At the initial three crossings using cameras the number of drivers running red lights dropped 92%, 78%, and 34% respectively.

Drivers who run red lights are involved in 89,000 crashes a year, causing nearly 1,000 deaths!

Tips To Understanding - "Betterment & Depreciation"

What is betterment and how does it affect me?

It was a hot sunny day, mid July, when Tom came out to his car in

the parking lot after shopping. But 5much to his surprise and disappointment there now was a scratch about 8 inches long on the fender. "I’ll just have the insurance company pay for repainting the whole car" he said. But such may not be the case! Otherwise, the owner would be advantaged by the accident through a new paint job.

In cases where the repairs or replacement as a result of an insurable loss end up giving the insured something better than he or she had before the loss ...the difference is known as "betterment". The concept of insurance does not allow the insured to profit or "better" from the loss. Then an appropriate value must be agreed on as to the owner’s contribution towards the betterment.

This is a difficult concept to explain or understand when someone has suffered a loss. Especially after an accident or loss when the policyholder played no role in the event. They have paid insurance premiums and now have the inconvenience of repairs. On older carsit’s simply not realistic to expect an update on a vehicle without some cost to the owner. 

Remember also that insurance companies rates are usually based on losses. This then would probably result in higher insurance rates for everyone. So the insurance company would have the 8 inches or so fixed and repainted, but, not the whole car.

Unfortunately, there may exist an attitude or misunderstanding sometimes that the insurance they were purchasing in their policy guaranteed them that their property would be repaired at no personal cost.

What is depreciation and how might it affect me?

Let’s look at the same situation, except that Tom finds his car tires have been slashed by vandals. Does Tom benefit from new tires on his car? You bet he does! So the insurance company would take into consideration, the mileage, wear and tear of the tires and Tom would have to pay the difference to get new tires on his car. After all, Tom had tires that had 20,000 miles on them and now he has new tires with zero mileage. In new condition. Tom won’t have to replace or worry about them for awhile.

Betterment and depreciation decisions on claims are made on a individual basis. They are dependent on the specific facts of each case. Always though, the object of the claim is to return the vehicle to its pre-accident/loss condition and shape and includes the body, tires, etc..

Please note: These are difficult concepts and often can be

an area of conflict during the claim settlement.

6 Tips to Reduce your Automobile Gas Bills

1) Always keep your engine well tuned. A poorly tuned engine can increase fuel consumption by 50% experts say.

2) Avoid fast jackrabbit style starts. They’re bad for your tires and terrible for your fuel consumption.

3) Don’t let your engine idle if you’re waiting for someone or in a line at a fast food restaurant. One minute of idling uses more fuel than restarting your vehicle engine.

4) Install a block heater to help warm your vehicle engine. A warm engine means easier starting with fewer emissions and less need for idling.

5) Plan you shopping and errands to combine multiple tasks on one outing to avoid several different separate trips/outings which can waste a lot of fuel.

6) Check your tire pressure regularly. Under-inflated tires can increase fuel consumption as much as 5%.

These few little tips can.....save you money at the gas pumps which results with ....more money in your pocket!

Interesting Tips.......Believe them or not! - Road Deaths Drop in ‘98

Transport Canada says statistics for 1998 show that fewer people are dying in traffic accidents. What is increasing though is the number of motorcyle and bicycle fatalities.

Statistics reveal that:

Are Sports Utility Vehicles Safe? You decide!

Are Airbags Effective?

According to the National Highway Traffic Safety Administration more than 2,920 people owe their lives to airbags. Driver deaths have been reduced by 14% and passenger deaths reduced by 11%. When combined with the proper use of a

seatbelt it reduces the risk for serious head injuries by 75%. Where seatbelts alone have a 38% risk factor.

However, since 1990 there have been 105 deaths that have been reported and a majority of these were children.

Believe it or not!!!

MORE INTERESTING STATISTICS

Despite a crackdown by York Regional Police(Ontario, Canada) it appears fatalities are on an increase. The statistics recently released are as follows:

Now................according to RIDE statistics:

This was up from 10 the year before.

Canadian Insurance Industry Facts of Interest

 

Property/Casualty industry in Canada:

Simple Tips.....How To Avoid Auto Insurance Problems

Not knowing how the automobile insurance system works can cost you money.

Here are a few Tips to watch out for!

1) Have all drivers listed!

Check your policy carefully on each renewal to make sure that all licensed operators of your vehicle are listed and shown on the policy.

For example - The vehicle and insurance is shown in the husbands name yet no where on the policy is the wife’s name even mentioned though she has driven for 20 years accident free. What if another car was bought for her and she has no previous insurance experience to confirm? Under age drivers (25 yrs old) might be another area of concern. People might believe they are saving money by not showing them as operators? But what happens when they do get their own vehicle and can’t provide accident free insurance experience. And they will get their own auto- it’s just a matter of time.

2) NSF Payment Cancellations.

Be responsible on payments for your auto insurance. Cancellations for non payment, non sufficient fund cancellations can be very negative and costly to you. It may even limit what insurance company you can place your insurance with! Be responsible and if a cancellation problem arises deal immediately with your broker to resolve it. Don’t ignore it!

3) Depreciation - what may happen on a claim.

Being prepared and knowledgeable can make a big difference with the results of a auto claim.

For example - If your car tires are stolen and you report a loss under your comprehensive coverage would your tires be replaced at full value. Not likely!

Such factors as age, condition, usage, wear and tear come into play. It only makes sense! Your tires might have 20,000 miles on them and yet you would be getting new tires. But how do you protect yourself so the claim is fair for you and the insurance company. A tip- keep the original bill of sale and have written on it the actual mileage of the vehicle at the time of installation by the tire installer!

4) What can I do to keep the cost of insurance down.

Contact your broker and discuss how your use of the vehicle(s) at present is rated and how your insurance company classes are determined. A potential problem could arise at the time of loss if your use is not properly classified. Also, you could be paying extra money by being wrongly rated.

Are you rated properly as your circumstances are today..... not in the past!

People Withholding Information!

Figures released by the Insurance Advisory Organization (IAO) suggest that a significant percentage of both personal and commercial policyholders are not disclosing past claims to their insurers when arranging insurance. The I.A.O. commercial based Claims Tracking System shows non-disclosed claims on more than 50% of inquiries while about 20% of the 150,000 monthly inquiries made to the Habituation Tracking System (home, etc.) uncover omissions. What that means is even if these figures are only half accurate then too many people are withholding insurance claims information and not disclosing it when arranging insurance.

In fact , statistics revealed that "seven to eight cases a day show up as suspicious". I can think of three possible reasons perhaps for this outcome.

1) One would be that some people simply don’t give the information as they believe they can hide it.

2)The second possible reason is that people simply forget to mention a particular claim or incident.

3) The third possible reason is the insurance broker did not ask the right questions.

But, whether the non-disclosure occurring is due to genuine errors, insufficient information being requested , or deliberately omitted, the real problem might end up with the insurance companies basing their rates on inaccurate data. Thus, someone might enjoy lower rates for car insurance as having no claims when in fact they had at- fault claims and should be paying a rate based on that actual record.

While their might be the odd company which does not check the data base for each and every new application for any past claims experience, the simple fact is most do! Most do it with no exceptions.

To combat fraud and misrepresentation, the ICPB’s Aspect system is linked to the U.S. National Crime Intelligence Branch, recording all vehicle movement across the border. ICPB’s advises that false stolen vehicle claims have been uncovered utilizing the system

Warning! Is Your Driver’s License Still Valid!

In Ontario (Canada) all new drivers, regardless of age, must complete a two level "Graduated Licensing" program before they qualify for full license privileges. These drivers have a maximum of five (5) years from the start date of their Level One License to earn full license privileges. If they do not receive their Class G license ( full license) within this 5 year period, they must reapply and start the licensing process over again.

According to information provided by the Ministry of Transportation, an estimated 125,000 Ontario drivers will see their Level One and Level Two licences automatically expire this year. If you received your Level One or Level Two license in 1994/95 and have not "graduated" to a Class G License, your license may have already expired. This means you could unwittingly end up driving without a licence. Please check your license and with the local registration licensing office.