Recommended Auto Insurance Quote Sites You Should Know About
Archive for the General category
Engine Start Blog
By James Tam on November 2nd, 2007
I recently came across this blog called “Engine Start” and it was a very interesting read. I learned a few things about tuning my car from here. Highly recommended blog with a rich sense of humor.
If you know nothing about your car then tune in for some automotive advice and tips.
High Risk Without Auto Insurance
By James Tam on August 19th, 2007
It is mandatory in most states of America for citizens to hold some kind of an insurance cover. While this is usually limited to liability insurance in most cases wherein your insurance company pays for the damages caused if the accident is your fault, there are still vast number of Americans who don’t have any sort of cover for their vehicles. Experts have always stressed about having an adequate cover, more than that required by most state laws (as these laws only pertain to third party liabilities, but not the damage caused to you, if the accident was someone else’s fault, or due to conditions out of human control), however, insurance continues to be, in the eyes of most Americans, money that is only wasted.
Statistics indicate that drivers between the ages of 20-24 cause 15.3% of all automobile accidents in the country. While at the same time, this is the age group that is most likely to avoid getting an automobile insurance for their cars. The reason? Fresh college graduates have lot of debt in the form of student loans. Apart from this, most also have huge debts from credit cards, which are made so easily available these days to college students, with credit card companies entering college premises to distribute these “free cards”.
Also coming fresh out of college may seem like liberation, but with this comes a whole lot of responsibilities, various bills, taxes, 401k deductions etc. that is simply too overwhelming for most students to manage. Car insurance is the obvious payment that can be avoided very easily. While managing so many things, skipping car insurance may seem like a good idea, what most of these young men and women don’t consider are the consequences that may arise due to such neglect.
While there are obvious penalties that are levied by different states if you do not have the minimum required insurance, costs of not having insurance can be much more than this. Massachusetts, for instance, charges fines between $500-$5000 in addition to a year in jail, while states like Florida, Louisiana, Connecticut and New Jersey impound vehicles that do not have the minimum cover according to the law.
Depending on how soon can you get back your car, this may cost thousands of dollars. However, these are just fines that will need to be paid if you are caught without any insurance. Now imagine being involved in an accident. There will not only be legal proceedings, but you might be also required to pay all the medical bills of the victims, which could run into hundreds or thousands of dollars.
Getting auto insurance doesn’t seem like such a bad idea now. The irony is that the fines to be paid for not having auto insurance can usually cover your car for 1-2 years. So if you consider in the long run, getting adequate cover is usually much cheaper, and saves you a lot of trouble.
Car Insurance Policy For Dummies
By James Tam on August 5th, 2007
A car insurance policy is one of the most important aspects associated with cars, and their safety. This is the major reason why most, if not all, states require at least some kind of policy. Apart from protecting the vehicle, and its riders, it also saves your hard earned money if you happen to get stuck in a legal mess after a nasty accident.
Hence car insurance is very important for both life, and property. With so many different forms of insurance, and so many insurance companies, you should have some basic knowledge as to what a particular type of insurance covers. This also makes it easy to shop as you can directly compare between offers made by different companies.
Insurance premium is an amount that you pay your insurance company at regular intervals. This amount is arrived at by grouping various kinds of coverage. The amount of this premium to be paid is calculated by arriving at your risk factor.
There are various conditions that are considered to determine whether you pose a higher risk, or a lower risk, and your premium is set accordingly. Usually teens are charged more premium than adults. However, adults who have poor credit history are also charged a higher premium.
Opting for higher deductibles can reduce the amount of your insurance premium. Deductible is the amount that the company charges you for every claim that you make. However, it is strongly recommended to shop around before deciding on a company and committing, as there can be a significant difference in rates between different companies, even for similar policies.
Liability insurance comes into picture when you are the cause of damage to other vehicles, or personal property. The insurance company pays the person whose property is damaged, on your behalf. The amount covered will depend upon the level of liability you carry with the policy. In case of free and clear title of your vehicle, you may be only required to opt for liability insurance by law.
Comprehensive coverage covers the damage done to your vehicle for no apparent fault of yours. This could be damage caused buy natural phenomenon like a hailstorm, or maybe public vandalism, or even a windshield broken by a stray baseball.
Collision coverage covers for the repair or replacement of your vehicle (as the case may be) after an accident. This insurance covers the car, as well as the driver. There may be many other benefits bundled with this coverage. For example, some companies cover the guarantee for the repair work if you carry it out with a shop that they have a tie up with. This saves the company some money, and you benefit by the quality of the job.
8 Auto Insurance Facts For Dummies -Part 2
By James Tam on November 18th, 2006
Dummy Fact #5
Does the government set insurance rates?
Most likely not. The government is to insurance and rates are set by individual insurance companies.
Dummy Fact #6
If I buy a car right now can I get insurance on the spot?
Most companies will not cover you on the spot. However if you arrange with the car dealer they can get you insurance when you pick up the car. Could be a few days. Alternatively its best to organize your own insurance a few days before you pick up the car.
Dummy Fact #7
I’m a male who’s under 25. What’s my insurance rate going to be like?
Pretty high. Most male drivers under 25 are and statically proven to claim more insurance than any other age and gender bracket. So girls, you’re in luck, cheaper insurance than the boys.
Dummy Fact #8
Should I get insurance even if I’ve never made a claim for 10 years?
Yes, everyone should have insurance for the just in case moments. Like if someone car jacks your, you hit someone, there’s so many ways that you can get into an accident or theft. Even if you don’t make a claim for a long time, you’ll sleep better at night if you had insurance.
8 Auto Insurance Facts For Dummies -Part 1
By James Tam on November 17th, 2006
There are a few things that most people are not aware of when it comes to car insurance so I’m going to attempt to clear them up for you. Read it over and over if you have to because it’s going to help you with your auto insurance incase you get into any trouble
Dummy Fact #1
Does color of my car or motorcycle affect my insurance rate?
No. The only things that affect your rates are physical things such as engine modifications, stereo systems, leather seats, but color is does not affect you at all.
Dummy Fact #2
Why you shouldn’t let your friends drive your car.
If you’re friend has insurance and they drive your car, they are not covered by their insurance nor by your insurance. Each drive is only insured to drive his or her car only. No questions asked. And the risk is your insurance company can decide to take you as a high risk drive because you let other drive your car which in turn could lead to theft, accidents and more.
So don’t let anyone drive your car.
Dummy Fact #3
What does no fault insurance mean?
This is a really useful type of insurance claim. If you or someone else causes the accident, no matter who’s fault it is you can still make a claim regardless.
Dummy Fact #4
Will credit scores affect insurance premiums?
Yes, actually your credit score is important aspect to insurance. So keep a good credit score at all times if you credit score is bad your coverage might be higher or you might not be covered at all.
