Auto Insurance Basics – Quiz

You’ve just purchased a new car and want to protect both it and yourself as much as possible. Your old auto insurance policy doesn’t seem to cut it anymore, but you don’t know what kind of coverage you need. A car insurance policy can cover a lot of things if you choose the right level of coverage, but in order to do that you need to know what exactly what each facet of the policy will actually take care of. For example, different parts of your policy cover different kinds of damage.
Let’s say you lost control on an icy road and drove into the side of someone’s house. Property damage liability is the insurance that pays to fix the other person’s property. But if the front of your car is dented in a car accident that you caused, the insurance that covers fixing your car is collision insurance. Those are great options, but what if your car breaks down not because of an accident, but due to age or disrepair? Roadside assistance will help you with tows and flat tires. Mechanical breakdown insurance helps with the cost of fixing your car.
Do you need all of these coverage options? That’s entirely up to you.
Some people opt for lots of coverage and others opt to save money. Before you make a choice, take the Auto Insurance: The Basics quiz from Health IQ. You’ll learn about the different coverage levels, so you can make an informed decision while you’re shopping for auto insurance.

When Should You Begin to Think About Insurance?

If you drive a car in the UK, you need to make sure it is insured – simple as that. You’ll be breaking the law if you don’t have the proper insurance, so if you are thinking about getting your first car after passing your test, make sure you are insured right from the start. Don’t assume you’ll be fine for a few days while you sort everything out. It is essential to get the proper insurance before you get behind the wheel for the first time.

Insurance tips

If you are just starting to look for your first car, it is a good idea to start looking for insurance at the same time. New drivers will typically pay the highest fees to insure their cars, and this usually makes it unaffordable to insure certain cars at all. This means if you are searching for your ideal first car to drive, you should look for it in tandem with searching for insurance policies. The last thing you want to do is to buy a car and then discover you cannot afford to insure it.

Indeed, even if you own a car that you aren’t currently driving, you will still need to get it insured unless you have what is called a Statutory Off Road Notification. This is known as a SORN, and the idea is that it covers vehicles that are kept in a garage or other location off road, and thus do not need to be insured. You must make the notification though – if you keep your vehicle off road and you don’t notify the authorities, you could receive a fine. Thus you should always make sure you go through the proper process. If you decide to get the car out and start driving again, it is time to get insurance.

Another example of a time when you need to think about insurance is if you already own a car and you are looking to do a lot of work on it. If you are going to radically change how the car looks you will be changing its value too. This could in turn have a knock on effect on your car insurance UK policy, so if you want to style your car you should look into the insurance possibilities prior to doing so.

As you can see it is always wise to consider all the angles when looking for the right insurance policy for your own vehicle.

Do Your Homework To Get Affordable Car Insurance

Car insurance prices can seem staggering these days, and with so many of us under tight budgetary constraints, let’s face it, they are. Trying to find an insurance policy that gives you the coverage you need at an affordable price is complicated, but it is too important to leave up to chance. You need to do your homework and make sure you find a policy that works for you.

You put a lot of time and effort into shopping for your car, why wouldn’t you do the same when it comes to insuring it? Every state requires auto insurance, so there is no getting around it, but that doesn’t mean that paying for insurance should put you in the poor house. There are many different types of policies and insurance companies so your options are numerous.

Homework To Get Affordable Car Insurance

This in itself can be confusing, adding to the stress of dealing with auto insurance costs. But fortunately, you can easily compare and contrast the various options through websites designed specifically to provide information on auto insurance to consumers. This is the simplest way of getting through the auto insurance jungle and finding the perfect policy at a rate you can afford.

So, how much does auto insurance cost? The answer can be complicated as there are many mitigating factors that can all influence the bottom line. You may opt for Comprehensive insurance or just Liability; you could add in Uninsured Driver or Under insured Driver coverage or choose to forgo them. The type of coverage you choose can have a major impact on the cost of your policy.

There are many personal factors involved as well, some of which you can adjust to help lower auto insurance costs. Obviously, things like your age can’t be controlled, but the number of people covered under your policy, the place where you live and your driving record are all factors that you can control and making adjustments to them can make a big difference when it comes to cutting costs.

Easily the biggest mitigating factor in terms of auto insurance rates is the type of car you drive. Insurers can vary coverage widely depending on the age, condition and type of car. A car kept in good condition will be easier to insure and makes that are more reliable may be cheaper to insure than sports cars. This will depend on the individual insurer, but you can compare and contrast before choosing a policy so that you find one that fits you.

While car insurance prices are not always easy to figure out, they don’t have to run you into the ground financially. By taking your time and comparing rates from different insurers, you can be more prepared and better able to fit your insurance costs into your budget. Some insurers even offer special rates or types of policies to help make insurance more affordable for all drivers.

No matter what you do, be sure that you don’t take shopping for auto insurance lightly. Give it the time and effort it deserves because your budget may depend on it. With the right policy in hand, you can rest easy behind the wheel knowing you aren’t driving yourself into financial ruin.

How to Get Low Auto Insurance Quotes with Bad Driving Records

Recent studies show that vehicle insurance rates are still reasonable across the USA and actually going down in California. There are even studies suggesting that auto insurers should increase their rates because they are not making enough money. It is fair to say that you would enjoy these great low rates if you are a good driver. On the other hand, motorists with less than perfect driving history may struggle to find affordable premiums.

Auto Insurance

What Makes You a Bad Driver?

Automobile insurers can offer great deals but they can be very picky to whom they offer these special deals. Some companies may be lenient towards established drivers after one traffic violation ticket or small claim. For example, you may only see a slight increase on your premium if you had one speeding ticket or fender bender for the last ten years.

However, you would probably see significant premium hike if you have had more than one tickets or incidents in the last three years. They may be for minor violations or couple of fender benders. But the number and frequency of the incidents will be enough to put you in high risk driver category. Those incidents are evidences that your driving has been slipping down lately and the chance of you causing a big accident is now high.

In addition, you can go straight into the highest risk drivers group if you get caught driving under the influence of alcohol or other substances. Being charged with reckless driving can have the similar effects as well.

How Can You Still Find Reasonable Rates with Bad Driving History?

Depending on driving records it may still be possible to get affordable auto insurance for bad drivers  with some companies. However, you have to be prepared to pay the price if your driving has been terrible lately with DUI and other issues. Here are some of the tips to help you reduce the premium when you are facing increased costs due to driving records.

  1. You Can Still Qualify for Other Discounts

Luckily companies look at a few other factors when they are pricing the premium. Each discount works independently from each other that failing to qualify for one doesn’t prevent you from claiming the other. You can still claim discounts for having a great credit score, being a member of AAA (or other recovery service providers), being a member of an association that qualifies for discounts with some companies, having a private parking facilities, being married and living in a safe zip code. Those discounts will reduce the burden a bit. Actually, a great credit score can qualify you for 20% discounts with some companies.

  1. Going for a Safer Car

If you are considering changing your automobile this may be a good time to pick a safer and insurance friendly car. Vehicles insured are one of the most influential factors on premiums. Most insurers don’t like sports cars with large engines or the ones with bad safety records. You will have to pay a lot of money for car insurance when you have a high risk car and bad driving record.

  1. Telematics Auto Insurance

Pay As You Go policies can be a great way of lowering your premium when you are young or considered high risk. A little device is fitted on your auto that transmits information about your driving to the insurer. If you make a few improvements on your driving you could get large savings from the next renewal. And most companies offering these policies give immediate discounts for choosing to agree to be monitored.

  1. Shopping Around

Getting a high quote from one insurer should not discourage you. You should get a few quotes since each company will price the risks differently. A large company may have the luxury of demanding three times the normal premiums when they come across a bad driver. But not all companies have the luxury of turning away applicants. They may be keener to offer better rates.

Quite a few drivers get one or two expensive quotes and think that they are condemned to high premiums. However, there are ways of reducing your rates as discussed above. You may have been unlucky with claims and traffic tickets. You cannot do much about them for the time being. You can only look forward and try to be a better driver from now. In the meantime, you can improve your chances of getting affordable vehicle insurance rates.

How Can You Benefit By Buying Your Car Insurance From A Local Insurance Company?

If you drive a car in Illinois, you almost certainly know that you need to carry car insurance. What you might not know is where to find the most affordable car insurance. While one of your options when you are seeking to buy an auto insurance policy is to go to a nationally known insurance provider, it may not result in your getting the most affordable auto insurance.

Instead of going to a national insurance chain that has a home office a thousand miles away from where you live, your better choice might be to buy your car insurance from a small, local insurance company. Consider some of the benefits.

While all insurance companies rely on statistics to help determine the premium that they will charge you, a local insurance company is right there in your community. They understand the insurance needs of the community much better than any national insurance chain could ever understand.

Local insurance companies can tailor their business to meet the needs of the community. If you live in a county where the median family income is well below the state or national average, an  insurance company with local roots will be more likely to provide affordable car insurance than would a national insurance chain. You pay for national advertising and marketing in your premium.

On a national level, a big insurance company may be able to see that you live in a rural area of Illinois, but probably would not know that there are only two street lights in your town. They might not know that the community is very conservative and the vast majority of residents go to church and don’t go to bars. Knowing more about the people who need auto insurance can make it easier to assess risk and offer more affordable auto insurance.

Chances are that the president of a local insurance company and all of the employees are your neighbors and friends. They know if people are struggling and are likely to be more sympathetic to the community’s needs. The local insurance company may be willing to let you spread out your premium payments over the year, without jacking up the premium (or not giving you a discount) as almost every national insurance chain does.

When you use a small, local insurance company to buy car insurance, not only do you get affordable car insurance, but you also help by keeping the money you spend within your local community. A local insurance company, that has been part of the community for many years, can be trusted to treat you fairly. When you visit your local insurance company, you are sure to be greeted with a friendly hello and get the affordable auto insurance you want.

This article has been written by Steve Whiley, a blogger in the auto insurance industry and a writer for American Auto Insurance.