Insurance Tips For U
Copyright 2005 Insurance Tips Today. All Rights Reserved.

Car Insurance - Information and Policy Tips

How do Insurance companies set car insurance rates & How to save money when buying auto insurance

Here are some tips when buying car insurance: 1. Shop around : Companies are in the business to insure drivers. Understandably they all want to insure good drivers and if you are one shop around to find the company that will offer you the best rate. Drivers with some driving infractions should also shop around. All companies are not the same and you will find that some are more forgiving than others when it comes to insuring risky drivers. It does pay to shop around. 2. Avoid Over-Insuring: Depending on the value of the car you drive you may not need certain types of coverage, such as collision coverage for an old car. Some times drivers with older cars only need liability insurance. This protects you if you for injury liability to others but does not cover damage to your own car. There is no point in paying say a $1000 for collision coverage every year if your car is only worth about $1000. 3. Deductibles : If you want to reduce your insurance premiums then select a higher deductible. Go for a lower comprehensive deductible. Comprehensive coverage is for damages such as windshield replacements. 4. Small Claims Filing: Sometimes it makes sense not to file for small claims, such as damage to your vehicle that is about the same or slightly more than your deductible. You need to decide for yourself in such cases if its worth paying for the damage yourself or filling a claim that will be on your insurance record for three years or so. 5.  Multiple-line discounts: If you are a home owner insure your home and car with one insurance company. Make sure you ask for a discount as most companies offer multiple-line discounts.

Car Insurance Rates : How auto insurance rates are set?

Ever wonder how insurance companies set your car insurance rates? Auto insurance companies use a lot of factors to come up with those insurance quotes that you receive.  Insurance companies use statistical data to set insurance rates. For example Insurance companies that sell auto insurance use data from past auto accidents to determine some of the following: The age group and sex of drivers that are more likely to be involved in car accidents. The type of cars that suffer the most damage. The geographical location and the number of accidents in relation to the population etc. Driving records of the people involved in accidents. Types of cars that are more prone to theft. After analyzing such statistics insurance company underwriters can summarize the risk involved in accepting certain types of drivers and set their insurance premiums accordingly. Companies may also have several other factors that they may use to set insurance premiums for their insureds.   Even credit ratings are considered by some companies when setting auto insurance rates. Needless to say, the driving record of the person applying for car insurance also plays an important part when one buys car insurance.

Shopping for automobile insurance - Tips

1. Don't hide any driving infractions when applying for car insurance. Driving records are accessible and available to all insurance companies. They can check your past driving record and know how many demerit points or infractions on your driving record. Even if you successfully obtain insurance by lying the chances are that claims may be denied later. 2. If you have children who you wish to add as secondary drivers to your insurance policy, make sure they get driving lessons from an approved driving school. A recent driving school certificate can result in considerable savings when it comes to getting car insurance for younger children. 3. The type of car you drive usually makes a difference to your car insurance premiums that you might have to pay. The size of the engine, the model of the car, whether two door or four door etc can affect your car insurance. Please note that while the type of car may make a difference in insurance premiums,  the color of the car should not. o When buying cars, if you are really concerned about high insurance premiums stay away from cars that are considered higher risks. Your insurance agent should  be able to guide you on this. 4. Your credit rating is another factor that may affect your car insurance premiums. Some companies use this as one of the factors when setting car insurance premiums. Perhaps companies feel that the better your credit rating the more chances there are that drivers might settle smaller claims themselves. Having a good credit rating does help in many ways, so try and keep your credit standing good.

Car Insurance - What does it Cover & what coverage is required

Car Insurance also referred to as Auto Insurance is an insurance policy for automobile owners to protect them against financial loss in case of an accident or if the insured vehicle is stolen or destroyed by fire etc. Insuring your car is actually compulsory in most parts of the world. Without insurance for your car you cannot legally drive it. In fact there are hefty fines if you are caught driving a vehicle without insurance. The idea for compulsory insurance is to protect and compensate the general public from injury in case your car is involved in an accident. Auto insurance policies usually include six different kinds of coverage. The policy you purchase will have all or some of the six coverage's mentioned below.

Personal Injury Protection (PIP)

This coverage pays for medical treatment to the driver and passengers of your car. PIP coverage also can cover medical, lost wages and the cost of paying income lost by someone injured in the accident. Funeral costs may also be covered.

Bodily Injury Liability

Bodily injury covers injuries that you, a designated driver or policyholder, may cause to others as a result of an accident. You and family members on the policy are also covered if you are driving someone else’s vehicle. Of course this would depend on the regulations in what part of the world you live in and the requirements for auto insurance in that country.

Property Damage Liability

This covers damage you may cause to someone else's car or property while operating your vehicle. 

Collision

Collision coverage is to cover damage to your own car and is usually not mandatory. You have a choice if you want collision coverage. This pays for repairs from damage resulting from a collision with another vehicle or object. Normally people with old cars sometimes choose not to buy collision coverage as they feel the premium are not worth the cost of replacing their old car.  Collision coverage is usually sold with deductibles ranging from $100 to $1,000 the higher the deductible, the lower the premium. Even if you are at fault, your collision coverage will pay you for the costs of fixing your car, less your deductible amount stipulated in your insurance policy.

Comprehensive

This part of the coverage pays you back for loss due to theft or damage caused by something other than a collision with another car or object, which could include hitting animals, fire, falling objects, high winds or flood and vandalism. If your windshield gets a crack, or breaks, then  comprehensive insurance coverage should cover it and pay for the windshields repair or replacement less your deductible premium. Many windshield repair companies will volunteer to pay for your deductible or some of your deductible to get your business in case your windshield needs replacement. You will be able to choose a $100 to $500 deductible, though you can get a higher deductible to lower your premium. In North America insurance companies are going for a $500 deductible now. If you want to go with a $100 deductible your premiums are going to be quite high.

Uninsured Motorist Coverage

As insurance cost rise world wide, many motorists break the law and continue to drive without insurance. Some teenagers also drive cars without insurance as they are refused insurance due to their young age or bad driving records. Those driving without insurance also have accidents and to help people who get involved with uninsured motorists many countries have made it mandatory for insurance policies to include 'Uninsured Motorist Coverage' This will cover you, or a member of your family, or a designated driver if you are in an accident with an uninsured or hit-and-run driver.
Copyright 2005 Insurance Tips Today. All Rights Reserved.

Car Insurance - Information

and Policy Tips

How do Insurance companies set car

insurance rates & How to save

money when buying auto insurance

Here are some tips when buying car insurance: 1. Shop around : Companies are in the business to insure drivers. Understandably they all want to insure good drivers and if you are one shop around to find the company that will offer you the best rate. Drivers with some driving infractions should also shop around. All companies are not the same and you will find that some are more forgiving than others when it comes to insuring risky drivers. It does pay to shop around. 2. Avoid Over-Insuring: Depending on the value of the car you drive you may not need certain types of coverage, such as collision coverage for an old car. Some times drivers with older cars only need liability insurance. This protects you if you for injury liability to others but does not cover damage to your own car. There is no point in paying say a $1000 for collision coverage every year if your car is only worth about $1000. 3. Deductibles : If you want to reduce your insurance premiums then select a higher deductible. Go for a lower comprehensive deductible. Comprehensive coverage is for damages such as windshield replacements. 4. Small Claims Filing: Sometimes it makes sense not to file for small claims, such as damage to your vehicle that is about the same or slightly more than your deductible. You need to decide for yourself in such cases if its worth paying for the damage yourself or filling a claim that will be on your insurance record for three years or so. 5.  Multiple-line discounts: If you are a home owner insure your home and car with one insurance company. Make sure you ask for a discount as most companies offer multiple-line discounts.

Car Insurance Rates : How auto

insurance rates are set?

Ever wonder how insurance companies set your car insurance rates? Auto insurance companies use a lot of factors to come up with those insurance quotes that you receive.  Insurance companies use statistical data to set insurance rates. For example Insurance companies that sell auto insurance use data from past auto accidents to determine some of the following: The age group and sex of drivers that are more likely to be involved in car accidents. The type of cars that suffer the most damage. The geographical location and the number of accidents in relation to the population etc. Driving records of the people involved in accidents. Types of cars that are more prone to theft. After analyzing such statistics insurance company underwriters can summarize the risk involved in accepting certain types of drivers and set their insurance premiums accordingly. Companies may also have several other factors that they may use to set insurance premiums for their insureds.   Even credit ratings are considered by some companies when setting auto insurance rates. Needless to say, the driving record of the person applying for car insurance also plays an important part when one buys car insurance.

Shopping for automobile

insurance - Tips

1. Don't hide any driving infractions when applying for car insurance. Driving records are accessible and available to all insurance companies. They can check your past driving record and know how many demerit points or infractions on your driving record. Even if you successfully obtain insurance by lying the chances are that claims may be denied later. 2. If you have children who you wish to add as secondary drivers to your insurance policy, make sure they get driving lessons from an approved driving school. A recent driving school certificate can result in considerable savings when it comes to getting car insurance for younger children. 3. The type of car you drive usually makes a difference to your car insurance premiums that you might have to pay. The size of the engine, the model of the car, whether two door or four door etc can affect your car insurance. Please note that while the type of car may make a difference in insurance premiums,  the color of the car should not. o When buying cars, if you are really concerned about high insurance premiums stay away from cars that are considered higher risks. Your insurance agent should  be able to guide you on this. 4. Your credit rating is another factor that may affect your car insurance premiums. Some companies use this as one of the factors when setting car insurance premiums. Perhaps companies feel that the better your credit rating the more chances there are that drivers might settle smaller claims themselves. Having a good credit rating does help in many ways, so try and keep your credit standing good.

Car Insurance - What does it Cover

& what coverage is required

Car Insurance also referred to as Auto Insurance is an insurance policy for automobile owners to protect them against financial loss in case of an accident or if the insured vehicle is stolen or destroyed by fire etc. Insuring your car is actually compulsory in most parts of the world. Without insurance for your car you cannot legally drive it. In fact there are hefty fines if you are caught driving a vehicle without insurance. The idea for compulsory insurance is to protect and compensate the general public from injury in case your car is involved in an accident. Auto insurance policies usually include six different kinds of coverage. The policy you purchase will have all or some of the six coverage's mentioned below.

Personal Injury Protection (PIP)

This coverage pays for medical treatment to the driver and passengers of your car. PIP coverage also can cover medical, lost wages and the cost of paying income lost by someone injured in the accident. Funeral costs may also be covered.

Bodily Injury Liability

Bodily injury covers injuries that you, a designated driver or policyholder, may cause to others as a result of an accident. You and family members on the policy are also covered if you are driving someone else’s vehicle. Of course this would depend on the regulations in what part of the world you live in and the requirements for auto insurance in that country.

Property Damage Liability

This covers damage you may cause to someone else's car or property while operating your vehicle. 

Collision

Collision coverage is to cover damage to your own car and is usually not mandatory. You have a choice if you want collision coverage. This pays for repairs from damage resulting from a collision with another vehicle or object. Normally people with old cars sometimes choose not to buy collision coverage as they feel the premium are not worth the cost of replacing their old car.  Collision coverage is usually sold with deductibles ranging from $100 to $1,000 the higher the deductible, the lower the premium. Even if you are at fault, your collision coverage will pay you for the costs of fixing your car, less your deductible amount stipulated in your insurance policy.

Comprehensive

This part of the coverage pays you back for loss due to theft or damage caused by something other than a collision with another car or object, which could include hitting animals, fire, falling objects, high winds or flood and vandalism. If your windshield gets a crack, or breaks, then  comprehensive insurance coverage should cover it and pay for the windshields repair or replacement less your deductible premium. Many windshield repair companies will volunteer to pay for your deductible or some of your deductible to get your business in case your windshield needs replacement. You will be able to choose a $100 to $500 deductible, though you can get a higher deductible to lower your premium. In North America insurance companies are going for a $500 deductible now. If you want to go with a $100 deductible your premiums are going to be quite high.

Uninsured Motorist Coverage

As insurance cost rise world wide, many motorists break the law and continue to drive without insurance. Some teenagers also drive cars without insurance as they are refused insurance due to their young age or bad driving records. Those driving without insurance also have accidents and to help people who get involved with uninsured motorists many countries have made it mandatory for insurance policies to include 'Uninsured Motorist Coverage' This will cover you, or a member of your family, or a designated driver if you are in an accident with an uninsured or hit-and-run driver.
Insurance Tips  For U