Safe Travels this Holiday

The Holidays are in full swing and with Christmas just a day away; many have already started their Holiday travels. Being the insurance people that we are, here are a few tips for a safe and secure season of travel.

1) Make your home seem like someone is still there. You can do this several ways. Leave your front and back porch lights on so that at night your house is lit up. Ask a neighbor to collect your mail while you are gone so it doesn’t stack up. You can also ask the post office to hold if for you until you get back. Another way to make it look like you are home is to ask a neighbor to pull in and out of your driveway at some point if it snows giving the appearance that you have been in and out of your house.

2) Don’t show off to the Facebook world that you are on vacation. I know this can be tough for some but letting everyone know you are out of town on Facebook can be dangerous. We recommend waiting until you get home from your trip before you post vacation pictures.

3) Car travelers should be prepared for heavy snow at all times. The best way to do this is to make sure you have extra blankest, windshield washer fluid, ice scrapers and even a small shovel. You never know when you might need any of those things. Also, be sure to have your phone charged during the trip so that you have it in case of an emergency.

4) Don’t skimp on heat in your home: we recommend to keep the heat in your house at a reasonable level so your pipes don’t freeze.

Those are just a few simple tips. We here at Fey Insurancehope you have a wonderful Holiday and Merry Christmas

Home Security System

On a daily basis you see ads on TV for home security systems. We at Fey Insurance highly recommend the installation of a Home Security System to add additional protection for you and your family. Insurance will work to put your property back in place after a fire or burglary, but a Home Security System will work to prevent or minimize the effects of that fire or burglary. If you are interested in such a Home Security System, please call us and we will tell you our opinion of the various manufacturers and what features to consider. For example battery backups are usually included in Home Security Systems, but we would also recommend cellular backups for your system in the event your normal phone service goes down or even disabled by a potential burglar. We would include carbon monoxide detectors in your system especially if you have a natural gas furnace or hot water heater. Central station monitoring is preferable to systems that go directly into a police or fire dispatch. Both are considered superior to a system that only sounds a local alarm in your home. There are discounts on your Homeowner policy for the installation of a Home Security System. Please call us to review those discounts. But the most important reason, in our opinion, to install such a system is for additional security for your family and peace of mind that you are doing everything to protect your family and your property.

WHY AN INSURANCE COMPANY WILL NOT PAY YOUR CLAIM

This blog was a lecture I was to deliver at a Workshop in Lagos.

INTRODUCTION

I sincerely wish to thank the organizers of today’s workshop for the opportunity to speak to you and also for thinking it important that among the issues to be treated in today’s event is a topic on insurance.

I particularly and deliberately chose this topic in order to educate, enlighten, inform and change your opinion about “Insurance.” In my number of years in the insurance industry, I have come to realize the attitude of Nigerians to insurance which is a negative one. During a recent study it was discovered that about 800 Adults in Nigeria have insurance (NEPAD), which leaves about huge gap of the population to be uninsured. Also recently a research showed that the insurance industry in Kenya is bigger than the one in Nigeria. Why these poor statistic? The reason is obvious Nigerians don’t like insurance or avoid it like a plague!

I have observed over the years in my talking with people about Insurance that their responses mostly is always the same- “Insurance companies in Nigeria don’t pay claims!” People believe this statement and have become like a cliché and have been passed around from generation to generation. That is why this topic is very vital, it is meant to clear the air and change your mentality about Insurance. 

Ladies and Gentlemen follow me on a journey to discover the reasons why claims are not paid.

After the independence 3 out of 25 insurance companies operating in Nigeria were indigenous. Political independence and the spirit of nationalism led to developments and also the proliferation of insurance companies which was facilitated by the weak conditions set by the 1961 Insurance Companies Act which stipulated a Capital requirement of only 25,000 pounds. The legislation was exploited by investors who established companies – mushroom insurance companies which were too weak to compete with the then expatriate-owned outfits. During these period and afterwards many claims were recorded that were not paid hence people came to the conclusion that insurance expert are more like fraudsters or cheats who take your money and will not pay your claim when you sustain one. This paper is written to correct this notion and hopefully clear all doubts.

However, the good news now is that as time goes on legislation and regulators emerged that changed the state of affairs in the insurance in the country. It should be noted that it is no longer business as usual in the industry. NAICOM oversees the affairs of all players in the industry and is ready to listen the report of any aggrieved member of the public. For the broker, NCRIB and for the Insurance Company it is the NIA and there is a joint body that oversees all report in respect of any industry player, and if all these avenues fail NAICOM will be the last resort.

Before I proceed further, I would like to briefly define the following terms:

Insurance: an insurance contract is an agreement enforceable at law between an insurer and an insured; the insured agreeing to pay a premium and the insurer agreeing to pay a sum of money, or something of monetary value, on the happening of a specified event to the insured.

Insurance Company: an insurance company also called the insurer, is a company that carry-out insurance services.

Insured: an insured is a person who purchases an insurance policy, also called a Policy Holder.

Claims: Claims and loss handling is the materialized utility of insurance; it is the actual "product" paid for. Claims may be filed by insureds directly with the insurer or through brokers or agents. 

Now let us attempt to delve into the reasons Why an Insurance Company will fail to pay a claim. I am going to speak plainly in this paper and would at all cost avoid technical jargon for the sake of clarity.  There are many reasons why an insurance company would not pay a claim but for want of time, only 5 reasons would be considered, viz:

1.         Unpaid/Un-remitted premium
2.         Fraudulent Claim
3.         Incomplete Documentation
4.         Insurable Interest Issues
5.         Fake Insurance Cover

Unpaid / Un-remitted Premium: according to the Principles of Insurance which is also true when it comes to the Principle of Contracts, premium (which is consideration in the Law of Contract) must be paid in advance for the contract of insurance to be valid. This is the most important aspect of an insurance cover, without which there is no cover – NO PREMIUM, NO COVER! At times agents, after taking up a policy on someone’s behalf might fail to remit the premium to the insurance company before a loss. However, when such a loss thus occurs, the first thing an insurance company will check is the premium status of the policy. If the premium had been settled before the claim, the claim stands a high chance of being paid in full, all things being equal. However, if the premium was not paid before the loss, repudiation (rejection or refusal) is the remedy. You may ask: How do I avoid this? I’ll tell you. To avoid finding yourself in this kind of embarrassing situation, pay your premium immediately you purchase the policy or pay a deposit premium instantly (in case of part-payment)  and followed by the balance payment immediately. Not only that, if you purchase the policy through an agent then be deliberate, issue your premium cheque in the name of the insurance company on your insurance paper and not the agent’s name.

Fraudulent Claim: insurance is taken for an unforeseeable occurrence i.e. the event, occurrence, loss or outcome must be probable (under probability). If a person, for instance purchase a fire insurance and decides to set his house on fire, it's a criminal act called arson! Or willfully damage his car (in the case of motor insurance) in order to come for a claim - it is fraud! When an insurance company is able to trace a claim to fraud, the claim will be repudiated automatically. I recall a case few years back with one of our clients. This man reported that his car was engulfed in flames from his engine while in motion, which according to him resulted in the total loss of the vehicle on the highway. After documentation the office sent me out to inspect the burnt vehicle at the point he said it was burnt. Armed with my camera, I set out on what eventually turned out to be a wild goose chase. What happened was that, after combing the area alleged to be the spot of the accident without success, I decided to ask some policemen in that area. Surprisingly, they told me that no such accident occurred in that area at the said date and time. Conclusion was that there was no such accident and the insured had reported a fraudulent claim which led to the claim being repudiated.

Incomplete Documentation: if you are filling in a claim be ready to turn in all documents. For example, proof of ownership, photographs, purchase receipt/invoice, estimate of repairs etc in the case of motor insurance claim. And in the case of personal accident claim medical report, receipt of payments etc are necessary. I dealt with this subject in my blog: Documents needed that will make your claims valid. Check out my blog page for that. Make sure your documents are in order and complete without that your claim will be delayed unnecessarily because insurance is based on documentary evidence. So take my advice, tender every document as evidence, be patient. Another client of mine reporting a Workmen’s Compensation Claim was told to supply the medical report, receipts and every other document to show that one of his staff was actually involved in the accident. What he sent was just a picture of the victim on a hospital bed, when we ask for the other documents he became furious and said it was rubbish! Till date the claim is still pending, if he decides to tender the documents the claim will be treated further. So document as if

your life depended on it.

Insurable Interest Issues: Insurable interest is one of the elements necessary to create a valid insurance contract. Insurable interest may be simply defined as the legal right to insure arising out a financial relationship recognized at law, between the insured and the subject-matter of insurance. To have insurable interest in a contract of insurance, the insured must have a pecuniary interest in the subject matter of insurance, which is recognized at law to enable him take an insurance contract on that subject matter of insurance. So it means before one can insured an item or property there must be legal right to do so, i.e. there must either be property right, interest of life, limb or potential liability etc. Now if one does not have right to insure a property, even if he does and at the eventual loss of that property the insurance company now discover that the insured had no interest in the property the claim would be repudiated. The premise here is you cannot insure what you don’t own or have legal right to possess.

Fake Insurance: In Nigeria 80% of the Third Party Certificate people use are fake! It is shocking to note this, but it is true, some people who portray themselves as Insurance Agents are not, they just take people’s money and give them empty paper in the name of Certificates. Do you know that your Third Party Motor certificate actually covers you to the sum of N1,000,000 in property damage to a Third Party and also an Unlimited amount to the Death or Bodily Injury of a Third Party? If you did not know, now you know! 

So buying fake insurance, you are actually short changing yourself, because it is so cheap that you pay N5,000 to get the cover and funny enough a fake insurance cost like N3000 or less to cover nothing! Why not just buy the real thing and get a real cover than the fake one without a cover. Which would you rather buy, fake or real? 

I recall a young man how purchased from my former company a Third Party Cover for his truck and paid N10,000 and as events will have it, he had an accident with  his truck somewhere in Mile 2 and killed a pedestrian. He was charged to court and have to pay like N500,000! He came to the company to claim and it was discovered that everything was in order, he was settled in full. Note that he paid N10,000 and was able to claim N500,000, that’s insurance for you!

In the light of that, I also recall when I was still in an Insurance Company (name withheld) there was this man who rushed to us with a claim and our Motor Certificate, but after receiving the document from him we observed that the certificate was a fake one, it was probably issued by the peddlers of fake insurances, his claim was turned down. The question now is how do you avoid this? My answer is approach the right person – that is where a broker or experts come in or even go to the insurance company directly. 

Instead of bothering your head with all the technical jargon in insurance, just leave it to us as professionals and they will handle it for you. Do you know the good news? You are not paying extra for the services, just your premium.

CONCLUSION

Insurance is a legitimate business and also legal profession therefore should not be taken for granted or with levity. It requires utmost seriousness just like law, medicine and others. Insurance is not a dubious business, it is for your safety and peace of mind. It relieves you of the anxiety of preparing when a risk occurs. If you abide by the advice given above, you would not be stranded or else appoint us as your insurance broker and consultant so that we can take the headache off you. 

For further questions, quotes or queries, email me on john.ideboghie@gmail.com or call 08029961727.

Alternate Sources of Home Heating

The high cost of home heating and the current recession have led many Americans to search for alternate sources of home heating.  Many of these sources of heating may be acceptable if appropriate safeguards are used.  However, be aware these supplemental heating devices are responsible for thousands of home fires each year.

WOOD STOVES

Wood stoves cause more than 4,000 residential fires each year.  Carefully follow the manufacturer's installation and maintenance instructions.  Look for solid construction, such as plate steel or cast iron metal.  Check for cracks and inspect legs, hinges and door seals for smooth joints and seams.  Use only seasoned wood for fuel, not green wood, artificial logs or trash.  Inspect and clean your pipes and chimneys annually and check monthly for damage or obstructions.  Cleaning more often may be necessary.  Be sure to keep combustible objects at least three feet away from your wood stove.

ELECTRIC SPACE HEATERS

Buy only heaters with the Underwriter's Laboratory (UL) safety listing.  Check to make sure it has a thermostat control mechanism, and will switch off automatically if the heater falls over.  Space heaters need space, keep combustibles at least three feet away from the heater.  Always unplug your electric space heater when not in use.

KEROSENE HEATERS

Buy only UL-approved heaters and check with your local fire department on the legality of kerosene heaters use in your community.  Never fill your heaters with gasoline or cam stove fuel, both flare up easily.  Only use crystal clear K-1 kerosene.  Never overfill an portable heater and never fuel the heater when it is hot.  Use the kerosene heaters in a well-ventilated room.  Kerosene heaters pose perhaps the worst exposure largely due to improper use and the fact they contain a highly flammable liquid-not to mention potentially dangerous fumes.

FIREPLACES

Fireplaces and wood stoves regularly build up creosote in their chimneys.  They need to be cleaned frequently and chimneys should be inspected for obstructions and crack to prevent deadly chimney and roof fires.  Check to make sure the damper is open before starting any fire.  Never burn trash, paper or green wood in your fireplace.  These materials cause heavy creosote buildup and are difficult to control.  Use a screen heavy enough to stop rolling logs, and big enough to cover the entire opening of the fireplace to catch flying sparks.  Do not wear loose fitting clothes near any sealed metal container outside the home.

Finally, having a working smoke alarm dramatically increases your chances of surviving a fire. Always remember to practice a home escape plan frequently with your family.

Source: US Fire Association

Insurance Things to Consider on Rental Properties

Over the last few years many homeowners have turned into landlords.  With the real estate market drop, those that decided to purchase a new house also decided to not sell their prior home for fear of a financial loss on the property.  Instead, they have turned their prior house into a rental.  The trend still continues today even after the real estate market has rebounded some because landlords are seeing great cash flows from renting.  

Here at Fey Insurance Services we insure a number of these properties and on occasion we are asked by clients if we have any insurance tips in renting a property.  When asked we always mention these five things:

1.  Temperature Requirement in the Lease:  It is a good idea to include a clause in your lease that requires the tenant to keep the heat no colder than 59 degrees.  This is important because around the Holidays many tenants will travel and if they want to try and save a buck they may turn off the heat.  Pipes do not enjoy this especially with a polar vortex threatening again this year.  This way, if they do turn the heat off and pipes break you can pass that damage on to the tenant.

2.  Renters Insurance for Tenants:  Since you may have passed on the risk of pipe freezing damage to your tenant you then want to make sure they have insurance in place to pay for such damages.  Requiring tenants to have renters insurance is a good idea.  Not only does it protect their contents (which is excluded under your policy), it protects your property if they are negligent in causing damage to your property.  I would recommend they have liability limits at least the value of your property.

3.  Dogs:  Know your states laws on dog attacks.  For example, in Kentucky there was a law recently passed that could drag landlords into dog attack claims.  This may make it difficult to get insurance for a property that has a dog.  If you are going to allow dogs to live on your premises it is best to limit which kinds as some insurance policies exclude coverage for "vicious dogs".

4.  Loss of Rents Coverage.  Make sure your rental property insurance policy includes coverage for loss of rents.  If you sign a year's lease with someone and then have a fire a month later, you are going to be out 11 months of rent or at least however many months it takes to rebuild the house.  You can recoup this loss with loss of rent coverage.  Also, make sure that you have enough loss of rent coverage.  Many polices give  you 10% of your dwelling limit or give you a flat $25,000.  Add up your annual rents and make sure you have enough coverage.

5.  Certificates of Insurance from Contractors:  Unless you yourself are handy, you may be employing contractors to do fixes around your rental property.  We strongly recommend you ask these contractors for proof that they have insurance.  If they were ever to cause damage to your tenants contents or to your tenants person, you would want to make sure they have insurance to cover such things.

So I Sent My Child Off to Daycare....

My daughter turned one in June.  We knew we were going to have to transition her from having Aunty watch her nearly every day to a traditional daycare setting soon.  Panic ensued.  Anxiety was my friend at night. How was my daughter going to be OK if she couldn't even talk to me and tell me how her day went?

Let's talk childcare insurance.  You see, I come from a different perspective.  I come from a side where I see the most horrific claims come through as one of my specialties is in the childcare insurance industry. 

It's pretty astounding to me that some, not all, but some childcare owners are ignorant in that claim scenarios "would never happen at their daycare".  I hear "Our staff is extremely professional and well trained.  Something like that would never happen here."  Fortunately, they're usually right.  But it's not necessarily the staff, parents or visitors that the school or daycare needs to look out for.  It's other children. 

I would say, and this is a rough estimate so don't quote me on this, that approximately 50% of the claims I have seen aren't teacher, instructor or caregiver driven.  It's child vs. child.  Whether that is a hit, a slap, a push or something more inappropriate, children who can't properly express their emotions through words, sometimes turn to violence out of frustration.  I see little bouts of this every day in my daughter.  She tries to communicate with us what she would like.  She points at things, gives us signs.  But at times, we have no idea what she is trying to tell us.  She gets frustrated...and understandably so. 

It turns out that we found an excellent daycare that's right for my daughter and our family.  But, when I did visit other daycares, I not only paid attention to the facility, the employees, the surroundings, but to the other children that were attending.  My daughter would be attending this facility every day with this group of children.  And I needed to feel comfortable with that.

Now I could go on and on about the different types of insurance that is needed for childcare organizations, but here are a few that I believe are overlooked but pertinent to schools, daycare centers and childcare organizations of any kind:

• Failure to Educate - especially here in Silicon Valley, we've seen a major uptick in failure to education claims coming from Pre-K or Kindergarten school settings.  Facilities that make any sort of promise of "curriculum" or learning ability are under fire.  Make sure a failure to educate limit is included in your insurance.
• Incidental Medical Malpractice - this affords coverage for an act, error or omission in providing or failing to provide "incidental medical services", first aid or "good Samaritan" services to a person.  Think of school nurses who accidentally mix up Tylenol and Benadryl or even worse, another child's medication.  Enough said.
• Defense Wording - Some insurance carriers have the right not to defend an accusation or claim.  It's important to have a carrier that has defense wording language that will continue to defend the organization until guilt is admitted or a guilty verdict is determined. 
• Abuse and Molestation - This is a touchy topic and an obvious one.  Many insurance carriers do not provide a separate limit for A&M.  They include a sub-limit for this coverage and it depletes your overall insurance limit for the year.  Find a carrier that will give you a stand alone limit for A&M.  They don't happen often.  But when they do, they are very, very large.  Your organization will need the separate limit.  Trust me. 

As my daughter grows up, I will get to know the child care industry from a more personal level.  Don't skimp out on insurance coverage's for your organization.  Here at The Liberty Company we have an exclusive childcare insurance program that offers the above and many more important insurance coverage's.  Feel free to email me if you'd like some additional information.

Marketing your services and products

Many business people, I wonder why they have a difficult time introducing a new product or service. Most invest time to explore two key issues: whether it is a viable market, which want to offer and what the competition is already done, to cater to the market. This is an idea for a business:

1. Health and beauty shoo story

The sale of products online is the best option to earn more money in time additional. To sell products and the beauty of online shopping shop health are very lucrative today, because people are very alert for their own health. People pay more attention to health and beauty treatments.

Markets online contain a large number of likely clients connect with customers around the world. In the world of the Internet users use universal search engine for the purchase of any product of beauty. Retailers of health and beauty products are in competition with the same size of the online presence, so you can find the products online sales process difficult. The choice of an appropriate strategy is the most important in any type of business.

If you want to survive in this area, then you need to fill your shopping online for many products and store the information about them. Can be adjusted with many products from the range online, such as balms for lips, lotions, perfumes, krill oil, soaps, makeup, etc however, kits cosmetics beauty soaps, perfumes, body lotions, etc are very profitable because they are low cost products.

2. Printing canvas service

Canvas service did not need to be saved by one of his favorite, or photos. A means of canvas printing cheap this quad ' it can be used for a large number of their images. And if you have lots of photos, but not a lot of wall space, then may be combined into one photo on canvas in the form of a montage of photos of professional design.

Printing canvas is very fast. It may not be as fast as the printing of your photos on your home printer, but the results are infinitely more beautiful and some companies of canvas can deliver the finished product in one or two business days of placing your order. This speed of delivery means that the photo can also be used to create unique gifts, even if you're in a hurry last minute.

Photos of any subject or theme can be used for the manufacture of the canvas. It is an ideal way to display your favorite family outdoors photos, but it is just as effective for use in the printing of inputs of portraits and even vacation pictures. You can create a montage of photos of images which, once in an adventure of life or create a family of mounting.

3. Steel manufacturing

One of the main reasons for which the steel is a product so useful, is that it turns out be extremely durable and attractive research. It is relatively easy to manufacture, thus, and since it is much stronger that the other metals used in these days is really the main reason why steel is so beneficial. If you need to buy a certain amount of steel, there are a number of things you need to know before making your mind to find out where to buy its steel from.

Steel Fabrication is something that most companies specializing in this area take very seriously, it is unlikely to find less steel, in any case. However, if you are going to buy steel you will need to find a good company that is able to offer you all the steel you need at a price that you feel comfortable with the payment. Given that can often cost a considerable sum of money to make the buildings of steel, which will have to take your time and carefully examine your options if you want to ensure is to capture a fair approach to the steel elements that points the buyer. If you have your choice of the litter when it comes to manufacturing companies of the steel, which will be very easy to find a good deal at a company which offers high quality services.

How Can I Get The Best Auto Insurance Policy?

Every car owner wants the best auto insurance policy. It is a protective aspect for the car owners. Auto insurance policies offer financial coverage for car accident victims, and also for cars themselves.

Things to Know Before Purchasing Auto Insurance Policy:

While looking for the best auto insurance policy, you need to be aware that auto insurances rates can vary significantly for the same driver. It depends on the company and where you live. The key to finding the best auto quote lies in comparing several auto insurer quotes.

Getting low rate auto coverage is the primary goal of any quote. Yet you should always keep in mind the fact that you also want to deal with a reputable company. This will allow you piece of mind.

Many states insist that you need to buy a minimum amount of auto insurance. Just to drive a car, requires a policy of minimum liability insurance. In simple terms, auto coverage needs to cover any possible expenditure to an injured third party. Liability insurance of the person at fault for an accident ends up paying for medical and other associated bills. These can include legal bills if you are sued.

Some companies provide discounts to those, who drive fewer miles every year. You could consider things such as public transportation, as an alternative to the high price of gasoline. This way you will save more than just your premium amounts.

Many companies offer quotes that apart from saving money provide sufficient coverage and protection. Take time out from your busy schedule and shop around to find the best companies for your area.

Tips for Getting the Best Deals

• Avoid auto insurance companies that deal with high-risk drivers, even those having a clean driving record.
• In order to acquire a competitive rate, go for higher deductibles.
• Look out for several discount options for which you may be entitled like anti-theft devices and defensive driving courses.
• Select auto insurance with the mandatory amount of coverage, but nothing more.
• For some people minimum coverage and high deductibles proves to be dangerous. It results in a big financial burden at the time of settling an accident claim. Instead you may want to consider other discounts such as driver education, defensive driving, and driving cars with automatic seatbelts, anti theft instruments, and airbags.
• Know the financial status and complaint record of the company you may be dealing with. Also, look at the rating of auto insurance company available from the better business bureau or your states department of insurance.

Ratings of Auto Insurance Companies:

Usually, auto insurance companies have ratings based on several factors. The ratings of auto insurance companies are as follows.

A+, A++ : for outstanding

A, A- : for excellent

B+, B++ : for very good

B, B- : for fair

C+, C++ : for marginal

C, C- : for weak

Auto insurance ratings are based on the claim's risk. The accidents, claims or tickets on your record, determine the auto insurance rate. The auto insurance rate increases with the incidences of accidents, claims and speeding tickets.

In order to compare auto insurance rate of different companies, use insurance rating guides. This indeed helps to get best auto insurance rates. Always fill the quotes you get truthfully. This helps you to easily compare and choose a best auto insurance policy. Get started right away with one of the two sites below.

Auto Insurance Damage Claims: Must Read "How To" Guide

Have you just been out from a vehicle accident and filing an auto insurance damage claims? Then read on. We'll talk about some tips with your auto insurance damage claims that would make it easier and less hectic than it may seem.

Oh! I also compiled more articles that you should read before buying any auto insurance to avoid regrets later. You can view them at my site, look for the link at the bottom of this article.

Going through an auto accident is never a pleasant experience. But it is very important to keep a cool head as much as possible when dealing with your auto insurance damage claims. It is important that you remember as much as possible what happened. What was the weather, what was the road like, the landmarks? All of this would be very helpful during your auto insurance damage claim. Insurance companies will try to verify your story with the police report and other parties.

When filing an auto insurance damage claim, insurance companies would most likely ask for documentation. So be prepared to by writing down the names and address of people who are involved with the accident. It would also be a big help if you have contacts with possible witness to the event. Be ready for the copy of police report, medical report and forms that your insurance company would ask for.
One thing that you must always have with you to lighten that auto insurance damage claim burden is your insurance card. Keep with you all the time. Stuck it to your wallet or in the glove compartment. Anywhere, as long as you have it all the time when driving your vehicle. This nifty card contains lot of information such as type of coverage, span of coverage and identification.

It's worth mentioning that when filing forms during an auto insurance damage claims, that accuracy is a must. It's easy to misspell the names of people, name of street or block and even your car. That's why you must double-check those records especially the documents on police report and auto insurance damage claim form. Doing this ensures that there will be less chance of a delay on processing those documentations.

Auto insurance damage claims may be daunting at first glance, and maybe it is. But following this article would make it a little bit easier for your head. At least you will only have a headache from the accident and not from filing those auto insurance damage claim.

Auto Insurance Quote and Auto Insurance Quotes

Auto insurance quotes are a free service offered by insurance agencies to consumers who are in the market for new insurance. When you call an agency to obtain an auto insurance quote, you will be asked the driving record of the primary driver, the age of the vehicle, how many miles the vehicle is driven to and from work, and the amount of coverage you would like on the vehicle. An auto insurance quote only takes a few moments. There are some interesting facts about the pricing of auto insurance quotes. If you would like an auto insurance quote, and your current insurance carrier has dropped you, the amount of your quote will be dramatically increased. If you want to insure an underage driver, your auto insurance quote will increase.

Obviously, the amount of coverage of the vehicle impacts the price of auto insurance quotes. Collision is almost always the most costly part of insurance, but in most cases it is a requirement, and even if it is not required, it is a wise investment. The price of auto insurance quotes change from state to state, as there are different coverage requirements in each state. There is also an increased likelihood of accidents in certain parts of the country, so if you are trying to get an auto insurance quote for vehicles registered in one of these high-risk parts of the country, the price of your quote will be high.

Auto insurance quotes can be accessed for free not only from an insurance agent over the phone, but also online. There is no obligation to purchase insurance if you get a free auto insurance quote online, so this service may be more convenient for you than calling an agent. You can use the online auto insurance quote two ways: you can check the rates of your current insurance against other insurers rates, or you can change the amount of your coverage and see how that changes the cost of your insurance. Auto insurance quotes can be found on the websites of insurers or on the websites of underwriters where one company is allowed to provide auto insurance quotes for more than one insurer. Research is always good, so if you are looking for an auto insurance quote, check out the free auto insurance quotes online before calling a local agent. This way you can be more informed of all the options when you speak to him. "And I gave my heart to seek and search out by wisdom concerning all things that are done under heaven." (Ecclesiastes 1:13)

Looking for a car insurance cheap

Probably the largest that any car driver error will make buys auto insurance more expensive only to discover that it would have been better with a cheap car insurance, it covers more things than what you have purchased. Of course, more expensive auto insurance will look more attractive, very similar to how luxury cars seem to be in better order than normal street cars. Here are some tips on how to find cheap auto insurance.

The first thing you want to do when looking for a car insurance cheap is to compose a list of all good car insurance companies not expensive you know or have heard about. Make sure that you are the best at what they do, investigate a little about cheap car insurance companies. A good list will contain insurance cheap car that are national and local corporations. Make sure that it has more national than local ads from so that if you choose a national company, cheap car insurance coverage will work for you where whether you're in the country.

The answer is sometimes in the price, don't forget to pick up all appointments from the list of insurance companies of car that has. The demand for car insurance quote cheap and compare them together. Also compare the coverage of which offers cheap car insurance companies.

If you live in a city that has a high risk of accidents, then you can pay more for commercial auto insurance cheap. Their rates may also decrease if just driving back and forth to work or if you work in a rural area of the city. For example, Atlanta, GA has one of the highest rates of insurance. Go insurance cheaper is the way to go, since they value their customers and they need your business.

In City of Atlanta, once you have taken a decision, go to the car insurance company not expensive and express your interest in one of your cheap car insurance. In fact, make it more not expensive by negotiating with them for an insurance policy car not expensive. In general, is a standard operation procedure for them say a higher price than originally proposed, so try less to negotiate with them and the final result will be a strong and cheap car insurance.

Auto insurance not expensive is what we can find for you, if you are tired of paying too much for your auto insurance, you've come in the right place. Welcome to cheap car insurance, where is our business if you insured quickly and cheaply.

TEN TIPS ON HOW TO GET THE BEST DEAL ON CAR INSURANCE

With the high cost of gasoline nowadays, most new drivers think twice of getting car insurance. Driving without any car insurance is a very big risk. Most drivers might think that car insurance is way too expensive, but in the long run it may save you a lot of money. Take for instance this example, if you are in a car accident it may cost you thrice the amount you might have paid for a car insurance to cover for hospitalization and for buying yet another car. Plus without car insurance you will be paying police fines as well as paying for suspended licenses. A total of 47 states require some kind of insurance for your car. It would be wise to know the basic law covering car insurance. Here are ten tips you can refer to on how you can get the best deal on car insurance. 1. Know the different types of car insurance policy The first thing to know in buying car insurance is to understand the different policies they offer. Choose a policy or policies that would best suit your needs. Liability - This policy covers physical injuries and damages to property. This includes paying for hospitalization and other medical expenses. Damage to property includes vehicles and other tangible property that might have been damaged during the accident. Liability also includes expenses for court proceedings if the vehicular accident requires one. Collision – This policy covers any damages if your vehicle is crashed to another vehicle, lamp posts, house or any another objects. Comprehensive – This policy covers damages caused by natural disaster like flood, storm, hail or wind. This also includes damages by theft or vandalism. Medical Coverage – Medical expenses are covered by this policy not considering if the cause is a vehicular accident or not. Personal Injury Protection (PIP) – A personal insurance of the driver. This policy covers for medical expenses and treatment caused by an auto incident. Uninsured Motorist – If by chance you are hit by an uninsured driver, this policy covers the damages done to your vehicle. Underinsured Motorist – This policy will cover the remaining cost for repairing your damaged car if ever the incident is caused by an insured driver with inadequate liability insurance. Rental Reimbursement – In case of a damaged car due to a vehicular accident, this policy will give a daily allowance for rental fee. 2. Know your credit rating: In most states, credit rating has always been the number one factor affecting car insurance rates. Be sure you have a copy of you credit report and check its accuracy and immediately contest any erroneous information. 3. Motor Vehicle Report (MVR) You can get a copy of your Motor Vehicle Report in your respective Department of Driver Services or Department of Public Safety in your state. A three year record may cost you 5$ and a seven year record would cost you 7$. Like credit reports, verify that all information are correct. 4. Accident Reports You can get a copy of your Motor Vehicle Accident Report from the local police department. It may take around six weeks before you can receive the detailed report. You might need to pay a higher car insurance rate if you have reported accidents within the last eighteen months. 5. Scout for a good insurance package There are some insurance companies that are offering multi-vehicle discounts. You would get a lower rate if you have two or more vehicles that you want to get insured. Also, you can get a good deal from one company that packages all their insurance policies, including home and health insurance. 6. Check out various discounts Most insurance company offers a discount to drivers over 55 years of age. It always pays to be a good student; you can get a student discount if you have a3.0 point average or higher. 7. Obtain a Driving Safety Certificate It is common for car insurance companies to give certain discounts to those who finish a safety driving course with a very good standing. 8. Check the model of your car Insurance rates can be different from vehicle to vehicle. A fancy car will obviously have a higher rate than an older model. 9. Take advantage of added features Be sure you are receiving lower rates for safety and security features like antilock brakes and air bags. 10. How much are you willing to pay Choose the option where you can handle the down payment and the monthly paying scheme. Compare other insurances’ prices before purchasing one. You can try calling a toll- free number (1-888-588-5111) where you can ask for car insurance assistance and compare rates.

Auto Insurance Savings: Tips for Lowering Your Premium

It's not exactly cheap to drive and maintain a car these days. As gas prices waver up and down and salaries fail to keep pace with inflation, it seems we're all looking for ways to cut costs.

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

Just ask anyone who's been involved in an accident lately.

But there is good news. As this mobile society struggles to keep up with increasing costs, auto insurance premiums have finally begun a downward trend.

According to one reliable source, the average auto insurance premium fell almost 2 percent last year, to an average of just over $2,300 per household.

That may not sound like much, but it translates to an average savings of $60 a year.

If you weren't one of the lucky ones who got a pleasant surprise when your auto insurance policy renewed this year, don't despair. You can still save money on your premium by following a few simple steps:

1. Comparison Shop. If you have a good driving record and/or buy a safer car, your premium should go down. Plus, with some companies now charging lower rates, increased competition means better auto insurance rates for you! Take advantage of online marketing services like InsureMe.com to find the best auto insurance rates from competing insurers.
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. So before you drive off that lot, make sure your new car is considered safe, and relatively cheap and easy to repair by your insurer. This will help minimize risk...for both of you!
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
• Installing anti-theft devices in your vehicle
• Completing a driver's education course
• Insuring your home and auto with the same insurer
• Applying for a mature driver discount (for those between 50 and 65)
• Getting good grades (for students under 25)

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 your 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.

Improve your driving record. The more tickets and accidents you have, the more your auto insurance costs. So drive cautiously, improve your motor vehicle record, and inform your auto insurance company of the change. They'll reclassify you as a safer driver, and lower your auto insurance rates in the process!

Consider dropping comprehensive and/or collision coverage if you drive an older car. Physical damage coverages like these reimburse you for damages to your own car. But if the vehicle you drive is several years old--or worth less than $1,000--it may not be worth much anyway. Dropping such unnecessary coverage can really save you money.

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
• Replacing an older vehicle with a newer one
• Adding or removing a vehicle from your policy
• Increasing or decreasing the number of miles you drive annually

Talk to your insurer if you encounter any of these situations. Under the right circumstances, you'll reduce the impact on your wallet--and walk away a few dollars richer!

If you're looking for ways to counter prices at the pumps--and everywhere else, for that matter--take these tips to heart.

Affordable Auto Insurance

It's amazing how much you can save on your auto insurance if you are prepared to shop around and if your are looking for affordable auto insurance then there is no better place to start than on the internet.

A good percentage of motorists are paying auto insurance premiums that are just too high because they fail to get competitive quotes when it comes to renewal time. There are plenty of insurance companies that offer more affordable auto insurance if you are prepared to take a little time to look around.

I know people that have seen nearly a 50% drop in auto insurance premiums just by swapping to a more affordable auto insurance provider.

A lot can change in just a year so just because you believe you got the best possible quote when you took your auto insurance policy out it doesn't mean that you have the most affordable auto insurance now.

o For a start you have another year's no claims and you may have changed your car and just used the same auto insurance company for speed and ease. However, even if your auto insurance provider offered you the most affordable solution for one car it doesn't mean to say that you won't get a more affordable auto insurance quote if you have changed your car.

o Then there are new auto insurance providers coming into the industry all the time and others may have changed their pricing structure in order to gain a bigger percentage of the auto insurance market.

o Your existing auto insurance company may have decided to increase their premiums at a higher rate than their competitors which could mean that you can get more affordable auto insurance through another auto insurance provider.

o You may have changed the number of named drivers or the youngest driver on your auto insurance policy may have reached a milestone age which will help make your auto insurance more affordable.

o You may have moved house into an area which insurance companies deem safer and will be prepared to offer you a more affordable auto insurance premium.

There is any number of reasons why you should always seek competitive insurance quotes and just because you have been saddled with high car insurance premiums in the past it doesn't mean to say you shouldn't seek more affordable auto insurance in the future.

Use the internet as a good starting point prices on the net are getting more and more competitive with discounts being offered if you buy your auto insurance online. If you aren't sure which companies to get affordable auto insurance quotes from first you might want to try a couple of the larger insurance companies who have been in the auto insurance business for a considerable period of time such as Progressive Insurance or State Farm Insurance.

Happy hunting, go experience the pleasure of snapping up a bargain, your quest for affordable auto insurance could leave you with a lot of spare cash to burn!

Auto Insurance Quote: A Necessary Step Before You Buy An Insurance Policy

In our modern fast paced era, auto insurance is a necessary safeguard to ensure a trouble free relationship with your vehicle, and you must do your best to get a good auto insurance quote. It is extremely important that you grasp what is being insured and what are the conditions if any which exist in the auto insurance quote. However, you must be careful not to confuse an auto extended warranty with auto insurance, since the latter is basically nothing but a vehicle service contract.

Get the Maximum from an Auto Insurance Quote

If you are to get the full value from your auto insurance quote, you will have to understand the terms that are being offered, or else filing a claim when required becomes that much more difficult. There are a great number of insurance dealers who offer you auto insurance quote and other related issues in a very confusing manner. The prices and features that are offered from a broad number of insurance providers can be cross checked and a suitable price decided on when finalizing your auto insurance quote.

Online Auto Insurance Quotes

Auto insurance quotes can also be gleaned from a number of web sites that are related to affiliated issues. Some of the features that you can make use of are:

• Multiple insurance carriers present instant online auto insurance quotes.
• Compare and choose auto insurance quotes and policies
• Very simple forms have to be filled out for local agents to offer you multiple auto insurance quotes.

Time is of the essence and after the purchase of a new or second hand car you do not want to delay getting an auto insurance quote. You are at liberty to go to insurance companies which will almost immediately arrange three auto insurance quote either by telephone or email --- from a nationwide network of professionals dealing specifically with auto insurance quotes. Further, you are also at liberty to visit established sites like http://www.autoinsurancequoteranger.com to get a comprehensive range of auto insurance quotes. You then have the freedom to compare auto insurance quotes from over 110 companies and thus save up to 70% of your expenses online.

Promotional Auto Insurance Quotes

So far as auto insurance quotes are concerned, you will also have to remain extremely alert about the discounts offered or promotional offers of booklets and gifts. These are all gimmicks to beat competition of auto insurance quotes from other companies. For a good auto insurance quote approach a company that will not only understand your needs, but also provide you with services that are fast and easy. After you have accepted their auto insurance quote, the registration methods as well as the terms and conditions ought to be fairly simple - so that your time is not wasted.

After buying your auto insurance, one very important question to ask is - do you know what exactly your auto insurance quote covers and its limits and exclusions? This all must be clear before you accept an auto insurance quote. Thoroughly check out these points before finalizing the auto insurance quote of your choice ---

• liability coverage
• comprehensive insurance
• your duties after an accident.

Do you always need to buy auto insurance after purchasing a vehicle? The answer is absolutely in the affirmative. Auto insurance can in no way be regarded as a luxury; it is most definitely and without any doubts a necessity. So select your auto insurance quotes with care and wisdom.

Tips To Choosing The Right Auto Insurance Company

Are you in the market for better auto insurance rates? Or, perhaps you are simply looking for a new auto insurance company? Whatever your reason for shopping around, now is the perfect time to request auto insurance quotes from several companies who are more than eager to earn your patronage. In fact, many companies will compete for your business by way of auto insurance rates.

Your first step to choosing the right auto insurance company is to consider the type of coverage that you need. For instance, if you have a less than perfect driving record or past credit problems, you may want to compare auto insurance costs from companies who specialize in giving customers a second chance to earn discount auto insurance. If you own more than one vehicle, you may find that some auto insurance companies will offer cheap auto insurance rates in exchange for becoming your exclusive provider. In other words, transferring all of your policies to one company may result in discount auto insurance at its best.

The next step in choosing an auto insurance company is to look for one that rewards customers based on a good driving record. One of the keys to a respectable auto insurance company is flexibility when it comes to coverage selection and incentives to promote better and more responsible driving. In addition to comparing auto insurance rates and plans, take the time to review the auto insurance company's policy on discount auto insurance rates for those with a safe driving record.

It's important to realize that auto insurance rates vary from one area to the next. For instance, Pennsylvania auto insurance may be less expensive than New York auto insurance or vice versa. Regardless of where you live, however, most will agree that auto insurance is expensive and it's essential that you compare auto insurance rates to ensure that you are getting what you pay for. A good auto insurance company, for instance, will offer various deductibles, competitive auto insurance rates and some type of coverage that allows for the temporary payment of medical bills in the event that you ever become involved in an auto accident. If you are injured as a result of another motorist's negligence, many auto insurance companies will pay for your medical bills and later seek reimbursement from the faulty individual(s). This is a great relief to many, especially those who may not otherwise have health insurance.

As a final thought to choosing an auto insurance company that offers the best auto insurance rate, free auto insurance quotes and/or a flexible program that can be customized to fit your individual needs, simply take the time to shop around and compare auto insurance from more than one company prior to making a final decision.

The information in this article is designed to be used for reference purposes only. It should not be used as, in place of or in conjunction with professional financial or insurance advice relating to auto insurance quotes, discount auto insurance or auto insurance rates. For additional information or to receive an auto insurance quote, contact a local auto insurance company.

The Best Approach to Auto Insurance Quotes

Auto insurance quotes are generally free so don't just take out an auto insurance policy based on the first auto insurance quote you get.

The best possible way for saving money on your auto insurance is to get at least three insurance quotes. Granted, getting multiple insurance quotes will take you time but if you compare your hourly rate at work to the amount you could save on your auto insurance I think you will agree that getting several auto insurance quotes is a valuable use of your time.

One of the best ways to get as many auto insurance quotes as possible in the shortest period of time is on the internet. You might have to trawl through a few user unfriendly insurance quote sites but there are several little gems out there where you can get multiple auto insurance quotes in one go and most of the main providers of auto insurance not only offer online quotes but also provide consumers with discounts when they get their insurance quotes online.

A decent auto insurance broker is well worth their weight in gold. Using a broker to get your insurance quotes will mean that you only have to fill out one form and then the auto insurance broker will trawl through loads of insurance quotes until they find the best possible insurance package for you. What's really neat is that nowadays you don't even have to leave the comfort of your own home as there are more and more insurance brokers offering their services on line.

As you can tell I love the online approach, for those that hate the sales pitch that accompanies a 'face to face' or telephone insurance quote online insurance providers are the answer to your prayers.

Don't wait until you change cars every year that better offer could be available. Just because you got the best possible auto insurance quote last year it doesn't mean to say you can't beat it when the renewal notice comes through your door. With online insurance, it's easy, spend a little time one evening getting comparable auto insurance quotes, there's loads of deals out there with so many auto insurance providers fighting for your business and you could save yourself wads of cash.

When looking for alternative auto insurance quotes make sure that you check that the lowest auto insurance quotes are for a similar level of cover to those that are more expensive.

Always know what you are buying, don't leave yourself exposed by paying for a cheaper but relatively useless auto insurance.

One last word of advice, the lowest auto insurance quote isn't always the best to go for even if it does provide you with the right amount of cover. Low cost auto insurance is good but it's also important to use a reputable insurance provider. There is no point getting really cheap car insurance if the company that you are insuring with either messes you around, or even worse, doesn't pay out!

How Much Liability Auto Insurance Should You Really Have?

Trying to determine the right amount of auto insurance coverage you need for your car or automobile can initially look like it will be a daunting task at best. With the state mandated auto insurance requirements different between every state perhaps the best place to start would be to find out exactly what the minimum requirements for auto insurance coverage are in the state you currently reside in. For instance Alaska requires the minimum liability coverage to be in the amounts of $50,000 of bodily injury liability for one person, $100,000 bodily injury liability for all people and $25,000 property damage liability. Now compare that to Florida where the state car liability insurance requirements are as low as $10,000 of bodily injury liability for one person, $20,000 bodily injury liability for all people and $10,000 property damage liability.

Liability vehicle insurance is required in order to protect other drivers in the event that you are the individual responsible for causing an accident. As previously mentioned it is the lowest set standards or requirements in terms of insurance that you must have in order to legally drive your automobile in your state of residence. Liability auto insurance doesn't offer any protection or coverage for your own auto or vehicle. In fact, most banks will not loan you the necessary capital needed to purchase a new or used car unless you have full coverage auto insurance, which is comprehensive coverage and collision coverage. That's because should you get in an accident and become found, as at fault, full coverage auto insurance will pay for all the damages to your own vehicle as well as the car you struck during the accident. With liability auto insurance your car will not be covered thus a bank will not loan money on an underinsured vehicle.

Still, many consumers only carry liability auto insurance for the simple fact that it allows a cheaper monthly rate or auto insurance premium to be paid. Also many folks only insure their car for what it's worth so in some instances, perhaps only having the liability portion of auto insurance is all that's needed. The reality is if your vehicle isn't worth a whole lot and you can afford to purchase another vehicle should your current car get totaled in an accident then liability insurance may be the only type of auto insurance coverage you require.

If you do decide to only insure your car or automobile with liability auto insurance then no matter what your state mandated minimum insurance requirements are it would be beneficial to carry the following amount of auto insurance, $50,000 bodily injury liability for one person, $100,000 for all folks injured in an accident and $25,000 property damage liability. This breaks down into 50/100/25, which remember was the state of Alaska's minimum amount for liability auto insurance.

Popular Auto Insurance Companies

The American auto insurance sector is characterized by the presence of a large number of players. Some are large general insurance companies that have diversified into auto insurance and some are pure play auto insurance companies. Here are some of the notable players in auto insurance business.

State Farm Insurance is one such company. It is a national insurance company and one of the biggest general insurance companies in the US. For the year 2003, the company had a revenue of about $56 billion. Headquartered in Bloomington, Illinois, State Farm Insurance is a very popular auto insurance provider in the US. With a nationwide network of branches and attractive discounts for various categories of people SFI has an edge over its competitors. SFI is also the largest insurer of cars, trucks and SUVs in the US.

American International Group or AIG is another big company. It is the second largest general insurer and also the second largest auto insurer in the US. The Farmers Insurance Group of Companies is one of the largest general insurer and the third largest auto insurer in the US. Like SFI, this company has also got a large network of branches in all the states in the US.

Apart from these, there are other players in the American market. Some of them are 21st century Auto Insurance Group, which has its strength in auto insurance space and operates in eight states. Some niche players include Auto Owners Insurance, which has been operating in the nation since 1916 and covers 22 states across the nation.

One feature of the American auto insurance space is that there is room for all players ? general insurers who have diversified into auto insurance business and auto insurance specialists.

Understanding Auto Insurance

Auto (car) insurance is a type of insurance coverage for damage to and resulting from an auto. Insurance of this type can cover a variety of things depending on the kind of auto insurance that has been purchased.

All auto insurance policies involve a premium, which is the payment a customer makes to have auto insurance. Premiums for auto insurance can be extremely divergent and are determined by a number of factors. Gender is the major determinant for auto insurance premiums. Statistically, men are 80% more likely to be involved in an accident, and therefore have a greater need for insurance. Auto insurance premiums for men are higher than auto insurance premiums for women. Similarly, teenagers are considered high risk and will have to pay higher auto insurance premiums. The auto insurance premium can be reduced if the teenager takes a defensive driving course. Many states require teenagers to take defensive driving courses in order to obtain a driving permit and auto insurance.

It is customary for auto insurance plans to have a deductible that the customer is responsible for before the auto insurance provider offers coverage of expenses. Deductibles can have an effect on the coverage available under an auto insurance plan.

Auto insurance is slightly different than other types of insurance because you can purchase auto insurance that covers specific needs. For this reason there are different kinds of auto insurance. Auto insurance basics are covered by liability auto insurance plans. Liability auto insurance is usually the minimum required by state laws. Liability auto insurance is characterized by a set dollar amount of coverage for damages resulting from accidents or negligence. The coverage amount of liability auto insurance can be applied to property damaged in the accident that is not an auto.

Car insurance also comes as collision auto insurance. Collision auto insurance is meant to cover the cost of repairs to a vehicle involved in an accident, or the cash value of the vehicle if it cannot be repaired.

Comprehensive auto insurance is also available. With comprehensive auto insurance, coverage of fees for repairs is provided for accidents that are not collisions. Comprehensive auto insurance will, for example, cover hail or fire damage.

Whatever type of auto/ car insurance you need, Business Health Insurance can help! We have all of the information on auto insurance in your state.

How To Buy Cheap Auto Insurance Online

Is your auto insurance expiring anytime soon? Or you just purchased a new car that needs new auto insurance? Then this article is for you. You can discover some helpful advice on how to buy cheap auto insurance online.

Oh! I also compiled more articles that you should read before buying any auto insurance to avoid regrets later. You can view them at my site, look for the link at the bottom of this article.

Tip #1 on how to buy cheap auto insurance online

Shop Around - This advice never gets old when it comes to hunting for a lower price, and hunting for a cheap auto insurance is not an exception. No matter what you do, don't jump on the first offer you find online. That's a 90% move of getting deprived of a cheap insurance. Make your "look and compare" thorough. Visit as many sites as you can.

Tip #2 on how to buy cheap auto insurance online

Learn Advance Searching Skills - If your planning to find auto insurance using search engines, then you must learn a few things to get best results. You must know that typing the word "cheap auto insurance" and "inexpensive auto insurance" produce different search engine results. Its advisable that you come up with as much variation if you can. Such as, cheap, inexpensive or purchase, buy. Following that simple technique may yield you gold nugget. Its also worth mentioning that the more the specific the term the better. One last tip on the subject, add " " (quotes) when searching. For example instead of buy cheap auto insurance online use "buy cheap auto insurance online". This produces a more targeted result.

Tip #3 on how to buy a cheap auto insurance online.

Use You Social Network - One reason why the internet's growth is astronomically fast, is that it made people easy and fast to contact other people. Almost everyone has account with MySpace.com or other social networks. You can use this to your advantage by shouting to you friends that you need to know where to buy cheap auto insurance online. You can also visit chat rooms and forums for advice.

Although finding an auto insurance online may be daunting task. But if you're up to doing the homework you'll also be rewarded with a cheap auto insurance online. This may simple tips yet produce great results. So good luck to your shopping.

Auto Insurance Basics

Auto insurance is a contract that protects your financial security in case of an accident. Although it is not mandated by federal law, the purchase of auto insurance is usually a requirement in most states; every state (with the exception of New Hampshire and Wisconsin) have minimum insurance laws.

These two states, instead of having insurance requirements, have mandated financial responsibility laws, so that the owner of a car is required to show that he has sufficient funds to pay any necessary claims. If said owner cannot produce proof of satisfactory assets, then he must buy an auto insurance policy. Regardless of the law, having good auto insurance is practical for the driver who wishes to avoid lawsuits or immense repair bills.

According to the Insurance Information Institute (III), a basic auto insurance policy is comprised of six basic types of coverage. While some of these types of coverage are required by state law, some are considered optional.

These are: 1. Bodily injury liability 2. Property damage liability 3. Medical payments or Personal Injury Protection (PIP) 4. Collision 5. Comprehensive 6. Uninsured/Underinsured motorists coverage

Liability Insurance

Liability coverage is the foundation of any car insurance policy, and is required in most states. If you are at fault in an accident, your liability insurance will pay for the bodily injury and property damage expenses caused to others in the accident, including your legal bills. Bodily-injury coverage pays for medical bills and lost wages.

Property-damage coverage pays for the repair or replacement of things you wrecked other than your own car. The other party may also decide to sue you to collect "pain and suffering" damages.

Liability insurance (both bodily injury and property damage) is the foundation of most auto insurance policies and is ideal if you are seeking a low cost car insurance policy. Every state that requires auto insurance mandates the purchase of property damage liability, and Florida is the only state that requires auto insurance but does not call for bodily injury liability. If you are at fault in an auto accident, your liability coverage will pay all the expenses, bodily injury, property damage, and any legal bills. The bodily injury coverage would pay for medical bills and lost wages; the property damage coverage would pay for any auto repairs, or replacement. Property damage liability usually repairs damage to other vehicles, but can also cover damages to things such as lamp poles, fences, buildings, or anything else that your car may have struck.

Remember, although purchasing only the minimum can get you a cheap auto insurance rate, if you cause a serious accident, minimum insurance may not cover you adequately. That's why it's a good idea to buy more than what your state requires. If you own a home and have nest egg and a savings account, you should consider more liability insurance because, in most states, drivers are allowed to sue other drivers who injure them in car accidents. If you're sued and your liability insurance doesn't pay for all of the damages, your personal finances are on the hook, and it's likely you'll become a target.

Collision and Comprehensive Coverages

If you cause an accident, collision coverage will pay to repair your vehicle. You usually can't collect any more than the actual cash value of your car, which is not the same as the car's replacement cost. Collision coverage is normally the most expensive component of your car insurance rate. By choosing a higher deductible, say $500 or $1,000, you can keep your premium costs down. However, keep in mind that you must pay the amount of your deductible before the insurance company kicks in any money after an accident.

Insurance companies often will "total" your car if the repair costs exceed a certain percentage of the car's worth. The critical damage point varies from company to company, from 55 percent to 90 percent.

Comprehensive coverage will pay for damages to your car that weren't caused by an auto accident: Damages from theft, fire, vandalism, natural disasters, or hitting a deer all qualify. Comprehensive coverage also comes with a deductible and your insurer will only pay as much as the car was worth when it got wrecked.

Because insurance companies normally will not pay you more than your car's book value, it's helpful if you have a rough idea of this amount. Check the Kelley Blue Book or the National Automobile Dealers Association. If your car is worth less than what you're paying for the coverage, you're better off not having it.

Neither collision nor comprehension insurance is required by any of the states, but some lenders, when the owner finances the car, may require the purchase of collision and comprehensive in the loan agreement. Even when it is not required, collision and comprehensive coverage is highly recommended by the insurance industry, so that in the unforeseen event of damage or theft, the owner of the car can avoid heavy bills. Theft of cars is not as unusual as some people may think. In 2004, a car was stolen in the United States every 26 seconds, and a car had a 1 in 190 chance of being stolen.

Medical Payments, PIP, and No-fault coverages

Medical payments (MedPay) coverage will pay for your and your passengers' medical expenses after an accident. These expenses can arise from accidents while you're driving your car, someone else's car (with their permission), and injuries you or your family members incur when you're pedestrians. The coverage will pay regardless of who is at fault, but if someone else is liable, your insurer may seek to recoup the expenses from him or her.

Personal Injury Protection (PIP) coverage is an extended form of MedPay. PIP may cover expenses that are related to injury, but not necessarily medical, such as lost wages, childcare and funeral costs. PIP coverage is currently required by sixteen states. If you are already insured under a good health insurance policy, then fortunately, there is no need to buy more than the minimum required amount of PIP or MedPay insurance.

If you have a good health insurance plan, there might be little need to buy more than the minimum required PIP or MedPay coverages, if at all. And, if you already have disability insurance, there's little reason to purchase higher-than-minimum amounts of PIP.

Uninsured/Underinsured Motorists Coverages

Uninsured motorists (UM) coverage pays for your injuries if you're struck by a hit-and-run driver or someone who doesn't have auto insurance. It is required in many states.

Underinsured motorists (UIM) coverage will pay out if the driver who hit you causes more damage than his or her liability coverage can cover. In some states, UM or UIM coverage will also pay for property damages. Similarly, underinsured motorists insurance will cover any damage caused when you are struck by a driver who is not insured for a sufficient amount.

If you are hit, as a pedestrian, underinsured coverage will cover the expenses. Uninsured motorists insurance is currently required by twenty states, and Underinsured motorists coverage is required by only four: Connecticut, Minnesota, Maine, and Vermont.

You'll probably want to have at least the minimal amount of UM/UIM because if you can't find the other driver, you'll at least have some coverage for pain-and-suffering damages.

Add-on Features

Several supplemental auto coverages are available, either as separate premium items or included in augmented policies. -Rental reimbursement, a common add-on, covers vehicle rentals required because your car is damaged or stolen. -Coverage for towing and labor charges in case of a road breakdown is also common. -Gap coverage for your new car will pay the difference between the actual cash value you receive for the car and the amount left on your car loan if your vehicle is totaled in an accident.

Basic auto insurance is required by virtually every state and is typically the cheapest auto insurance in the marketplace. Proof of insurance is required at different times throughout the life of a vehicle.

You may be asked for proof of insurance at any and all of these times: at vehicle registration, at the time of an accident, and any time when driving the vehicle. It is suggested that the owner of the car keeps proof of insurance in the car at all times, instead of on his or her person, so that it can be available at all times, no matter who is driving.

Any violations of state law regarding auto insurance could result in, at best, a hefty fine, and at worst, suspension of your driver's license and/or time in jail. The dire consequences of driving while uninsured are not worth the neglect of paying for insurance. The chance that an uninsured driver will avoid detection is slim; he is likely to be caught and strictly punished.