Sunday, March 30, 2014

Renters Insurance Will Keep Belongings Secure

An HO-4 insurance plan covers renters and their possessions up to policy limits but does not insure homes or their contents. Although affordable, most renters go without the inexpensive coverage, which typically costs between $10 and $20 per month.
An HO-4 insurance policy provides liability coverage as well as insurance for personal belongings, even when away from the rental unit. If a bicycle were stolen while in use away from the home, it would be covered.
Renters policies are very affordable, often running no more than $100 or so per year and many times much less. But many who forego coverage make the mistake of thinking a landlord's insurance policy will cover their loss, which it won't.
Many people also go without an HO-4 insurance plan under the assumption they either cannot afford it or because they don't think they have enough things to insure. But even common furnishings can cost a great deal to replace. Others might think the apartment building in which they live is secure against common perils. But even a well-built apartment can be impacted by a wide variety of dangers, such as a ruptured gas line.
If an emergency forces a temporary relocation, a renters coverage policy would help pay for the costs of temporarily relocation to a hotel or motel while the matter is handled. Power outages also can cause damages, such as to food supplies.
While an HO-4 insurance policy will protect their belongings, many do not realize the extent to which liability coverage might help. The liability portion of renters insurance policies will protect not just against liability for injuries or deaths caused to visitors inside the apartment but also can pay for damages to the apartment for which a landlord attempts to hold the renter financially responsible.
The insurance policies typically come in two types. One pays claims based on the actual cash value for items that are damaged, destroyed or stolen from an apartment or while away from the premises. Actual cash value policies take into account depreciation and market value of items when paying claims. Such policies generally are very affordable, and the rates can be lowered by increasing the deductible amount.
The second type of renters insurance is a replacement cost policy, which will pay up to policy limits to repair or replace damaged, destroyed or stolen items. Such policies cost more than their counterparts but can be well worth it for many people.

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Thursday, March 27, 2014

Your Homeowners Coverage

The Insurance Information Institute is all about helping consumers understand 'what insurance is and how it works.' If you're a homeowner, or are considering buying a home, you'll want to know the basics of homeowners insurance. "The I's on Insurance: Your Homeowners Coverage" explains what most policies cover (and don't cover). Watch and learn about liability, additional living expenses and other coverages in your insurance policy. And discover that protecting your family's home and belongings with a policy that balances your needs and budget doesn't have to be a chore.

See Insurance Through the I's: Subscribe to our YouTube channel: iiivideo for future "The I's on Insurance" features and other videos about how to be safe, sure, and covered for the unexpected. You can also follow us on Twitter @iiiorg to stay plugged in to the latest information and news about your home, auto, and business insurance.

Monday, March 24, 2014

Why Should You Compare Car Insurance Rates?

When you are looking to purchase auto insurance, you will notice that not all companies offer the same prices or the same benefits. Taking the time to research the various auto insurance companies can be exhausting, but it will benefit you in the end with the best prices and customer service. There is a lot to take into consideration when you are looking into car insurance rates. It is often said that price is not everything, and it is very true when it comes to insurance.
Company Ratings
Before you even begin to consider prices and plans, compare the reviews from other people. You want to make sure you select a company that offers great service, but is also there when you need them. If they have negative reviews, their good prices will not be worth it in the end.
Compare Discounts
One of the first things to compare when looking at auto insurance rates is the various discounts that are available. Companies will offer a variety of discounts and some can be combined with others for a multiple discount. Some discounts you should look for include:
• Good student discount
• Good driver discount
• Multiple car discount
• Senior citizen discount
• Safe vehicle discount
Compare Prices
When it comes to comparing car insurance rates, you will want to compare the same plans. This means comparing liability plans that offer the same insurance coverage. Then, do the same with the comprehensive insurance and collision insurance amounts. If you do not compare the same coverage plans, then you will not be able to determine which company is able to give you the best price.
Compare Extra Features
Occasionally, offering higher prices allows a company to offer features that will benefit your needs. Having additional roadside assistance or emergency service often will cost more money, but it will prevent you from being stuck on the side of the road. You will find a variety of different features that will not always be available with various companies.
One feature that many people prefer with any company, not just insurance companies, is to be able to talk to a live person. Having a person on the other end of the phone requires extra costs. What the automobile insurance company is able to offer will be reflected in the car insurance rates. Trying to compare coverages will be difficult, but you will want to attempt to find as many similarities as possible. However, it is more important that you find a company that offers all of the services you desire, and the price that you can afford.
Having low car insurance rates does not always mean that you will have low customer service, or minimal services available. It is why you will want to do a full comparison research on the companies available in your area. With proper research, you will be able to find a company that will offer you the customer service you expect, the services you need, and additional features that make it the ideal company for you. If you are looking for insurance, you will want to check out their car insurance rates and compare them to the service plans available.

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Friday, March 21, 2014

Air Bags

Air bags have prevented millions of serious injuries, but passenger side airbags can injure and even kill a small child, which is why children should always ride in the back seat. Dr. Till Jolly is an emergency room physician and an expert on airbags. He says that airbags were designed for adults, not children. The Insurance Information Institute urges parents to always place children in the back seat. If you must place an older child in the front seat, make sure that the seat is as far back as possible, and that the child is properly belted. And never place a rear-facing infant seat in the front seat, the force of the deploying airbag can kill or injure your child. Brian O'Neil of the Insurance Institute for Highway Safety says it may be very tempting for a new parent to place their infant in the front seat, where they can see it. He warns that the force of the deploying airbag can kill or injure that infant.

Tuesday, March 18, 2014

Top 10 Insurance Buyers Mistakes

Car insurance, or any type of auto insurance for that matter, is something we simply cannot avoid. In most developed countries, it's illegal to drive a vehicle on public roads without appropriate cover, so we really have no choice but to bite the bullet and cough up.
With that said, the average person continues to pay more than they need to, simply because they make the same mistakes over and over again. Here are 10 mistakes to avoid when it comes to car insurance:
1. Failure to Shop Around
Many people take out insurance with a particular company simply because the company was recommended to them by friends or family. This can prove to be a very costly mistake because there are so many variables involved, and besides, just because that may have had the best rates last year, doesn't mean they're still offering the best rates this year. You need to get quotes from at least six or seven providers before you make a decision.
2. Choosing the Minimum Deductable
The deductable is what you pay out of your own pocket should you submit a claim. The lower the deductable, the less you pay in the event of a claim, but the higher your premiums will be. Increasing the deductable amount, within reason of course, can lower the cost of auto insurance considerably.
3. Keeping the Same Level of Cover
Sure, if you buy a new car, or even a relatively new one, you'll want maximum cover, so you buy fully comprehensive cover. This type of cover will cover you completely, no matter what, but it costs. But, once your car has aged a bit, and decreased in value, do you really need maximum coverage? After all, you could end up paying more for insurance over a two year period than what your car is worth.
4. Failure to Inquire About Discounts
Don't assume your insurance provider is going to keep you updated regarding new discounts or special rates. Why would they want to voluntarily lose money?
5. Including Unnecessary Drivers
If you have more than one driver in your home, only include those who use your car regularly on your car insurance policy. This is particularly true in the case of teens. If your teenager only uses the car once or twice each year, rather opt for temporary cover when it's needed.
6. Including All Drivers as Fulltime Drivers
If your partner or child only uses your car occasionally, ask your insurance provider if they offer discount rates for occasional drivers or limited mileage.
7. Failure to Check Driving Record
While it may not be a common occurrence, many people end up paying more for insurance because their driving record shows a history of traffic violations and/or accidents, when in fact they have never had any such violations or accidents.
8. Poor Credit History
Contrary to what many people believe, many insurance companies, but not all, will run a credit check, and if you have a poor credit history, it can push up the costs of auto insurance dramatically. If your credit score is less than perfect, choose a provider that doesn't factor in a person's credit score.
9. Claiming for Minor Incidences
Don't submit a claim for minor things. If you can pay for minor repairs out of your own pocket, you'll stand to benefit more in the long run. The more you claim, the higher your premiums are going to be.
10. Not Researching Before Buying a Car
Certain makes and models cost more to insure simply because statistics show they are more likely to get stolen. Check with insurance providers to find out what cars are best avoided before you actually buy a car.
Car insurance is here to stay, but if you avoid these common mistakes, you may just be pleasantly surprised at how affordable cover can be.

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Wednesday, March 12, 2014

Car Insurance Checklist

You already know by now that you need car insurance if you are going to drive. But many people don't know exactly what they need to get approved for car insurance. The exact requirements for the application process vary by state, but this basic checklist was created to give you a general idea of what you will need in every situation.
The application process can become frustrating if you don't have certain documentation and information on hand when an insurance agent needs it. So here are six items you will need when applying for liability or full coverage car insurance.
  1. You will need to know what type of coverage you want. Every state requires a minimum of liability coverage, but you may want to insure at a higher level.
  2. You need your driver's license and social security numbers.
  3. You will also need the vehicle's make,model, year and serial-or VIN-number. You should also know about any features like security or airbags.
  4. Know how you will use the car. Some insurance companies will want to know about how much you plan to travel annually. They will also want to know if the car is used primarily for private or business travel.
  5. Knowing your driving history is important. Remember to be upfront about any violations or incidents that occurred in the past. Getting these things out of the way will guarantee that you don't have any surprises later on in the application process.
  6. Additionally, you will need general information about your current situation. You may be asked about others who reside in your household. Your credit history and checking account information may also be required for application.
This is a simple checklist, but it is very useful. I bought one of my cars from an auction while back and had a heck of a day running around to get my insurance paperwork correct. It wasn't fun but it had to be done, because they wouldn't let me drive the car out of the lot until I could prove that I was leaving with insurance.
You can learn from my mistakes and avoid the hassle of not knowing what you need. Go forward with confidence, and find a deal that suits your needs.
If you have any more questions about insurance requirements, it's best to talk to a local or online agent. He or she can assist you with any questions you may have about your particular situation, and may be able to get you an even better deal.

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Saturday, March 8, 2014

Understanding the Basic Types of Car Insurance

Due to the huge costs associated with vehicle insurance, drivers often just opt for the cheapest policy available, often without studying exactly what they are covered for. Getting a suitable insurance policy for your car may not be a priority, but it really should be given the fact that it protects one of your biggest investments; your car.
A good insurance policy can provide complete peace of mind by being financially and legally covered should you be involved in an accident or be a victim of car theft. Getting the right insurance policy for your car can be a complicated affair and consumers who are not familiar with the various insurance products available are often left bewildered and / or end up paying more for their car insurance.
A car insurance policy is in essence only a formal undertaking by the insurance company that they would accept a certain degree of financial responsibility for any loss the insured or other parties may incur through accident or other damage or theft to a vehicle. The degree of financial responsibility the insurer assumes depends on the type of insurance policy you opted for, hence it is important that you read your policy and the schedule and make sure that you clearly understand the terminology, terms and conditions, and any possible exclusion / inclusion clauses.
When a claim is submitted, the insurer will pay out an amount based on a variety of factors that are determined beforehand as stated in the policy documentation. The main factors are: Make, Model, Age and condition of the insured vehicle.
A damaged car is quoted to be repaired and if found that repair costs exceed about 70% of the car's value, the vehicle will generally be written-off. Insurers will typically pay the policy holder the vehicle's 'market' or 'retail' value, depending on the terms of your policy. Market value is the average of the retail and the trade value and will usually not be enough to replace your car with a new one. Make sure your policy states that the vehicle is insured for 'Retail value'.
Every car owner/driver need car insurance. Vehicle insurance protects you legally and financially when you cause property damage to your own or other cars as well as bodily injury or death to someone else when driving your car. Knowing how important it is to get the right insurance policy for your new or used car, you need to understand the various types of auto insurance before you decide on which company you will choose for your insurance policy. There are many insurance companies out there and it can be overwhelming to decide which one to go for.
Here are some tips to help you research your car insurance company:
• Make a list of the providers you are interested in contacting for quotes. Get at least three detailed insurance quotes and make sure you are comparing apples with apples
• If you decide to go for the cheapest one, make sure everything you require is covered and that there are no hidden costs such as a huge 'excess payment' amount.
• Ask around and study the insurer's reputation for service, price and claim settlement turnaround times.
There are basically two main types of car insurance policies available in the market and others which are basically variations of the two main types. The first one, commonly known as 'third party' insurance, covers the policy holder against third party liabilities and claims but does not cover your own damages. The second insurance type is known as the 'comprehensive' car insurance cover which covers 3rd-party damages and injuries, theft of your vehicle or fire, as well as any damage to your own vehicle. Vehicle owner needs to be aware of the variety of vehicle cover options as described below:
This type of insurance covers injury to other people or damage to their vehicle / property in an accident as well as your own vehicle for accidental or other damages, theft and hijack, and some 'acts of god' that might be separately specified. Acts of god could include: natural fire, explosion, earthquake, flood, typhoon, hurricane, storm, tempest, inundation, cyclone and hailstorm, inland waterway, and others. Usually riots and strikes, malicious acts or terrorist acts is not covered, but check your policy specifications. Because of the extent of the cover, Comprehensive is the most expensive type of car insurance.
If you don't spend much time on the road but want to enjoy all the benefits of comprehensive insurance, some insurers offers Pay-As-You-Drive insurance that are worked out by charging you proportionately for the amount of time you spend on the road.
Covers you for damage to the other party's vehicle in the event of an accident, and for your vehicle in the event of loss by theft, or fire only. Damages to your own car in the event of an accident will not be covered.
Third party only is the most limited form of cover and is also the cheapest of the options. It covers you for damage to another party's vehicle in the event of an accident and will cover the costs associated with the accidental death or injury of third parties involved in the same accident. Your own car is not covered in any way.
Maintaining your insurance policy is an on-going process. Cars lose value over time and the insured value of your vehicle needs to be monitored and updated from year to year. If your premiums are based on your original purchase price, but the car's current value is less, only the discounted value will be paid out by the insurer. Make sure your car is not insured for more than its current market or retail value. Contact your insurer and consult with them on whether your premium might be adjusted.
Finally, your insurance policy is in place and you can rest assured. Continue to drive safely and take caution where you park your car and you might not even need it, but it is always better to be safe than sorry!

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Tuesday, March 4, 2014

Saturday, March 1, 2014

How to Choose Auto Insurance That's Right For You

Auto insurance basically refers to insuring your family's main vehicles. People love their cars, they cannot bear any harm on them. Moreover, car accidents are the most common type of accidents happening on a hourly basis in almost every city, state and nation.
Most of the car owners prefer to get their car insured but the problem is most of them do not have any idea about what to include in the risk coverage. Auto insurances can even cover your health risks that might happen in case of an auto accident. How much you pay your auto insurance depends upon a number of factors which includes age, marital status, address, type of car you drive etc. The premium amount you have to pay depends upon your age and also the kind of car you drive.
Not to forget that it is required by law in most States that you have Auto Insurance before you are allowed to drive.
In order to get a proper insurance for your car you should have the knowledge about what your insurance is actually insuring. It should be kept in mind that the single insurance policy that you are undertaking should cover all the major risks that might be associated to your vehicle.
The five major risks that should be kept in mind while getting auto insurance is as follows:
Bodily Injury Liability: covers deaths and injuries caused during an auto accident.
Medical Payments: payments for injuries to yourself, other occupants of the car. Personal injury protection is provided by it.
Property Damage Liability: covers costs of repair for the damage caused to your car in case of an accident.
Uninsured motorist Protection: caused injuries caused to the car owner and other occupants of the car by uninsured hit ad run drivers are covered. Under insured coverage is also available, to cover claims you may make against a driver who has insufficient insurance.
Collision Coverage: covers damage to your car up to its real value. It carries a deductible amount which is the amount per claim the owner has to pay before the insurance takes effect. The lower the deductible, the higher is the premium.
The above tips should be kept in mind when getting auto insurance. The above points are the five basic tips which one requires while getting auto insurance. It is essential that an auto insurance covers the above mentioned coverage areas so as to reduce the risk to your vehicle and your liability, to almost minimum.

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