Auto insurance » Financial Responsibility Laws

Auto Insurance Reviews Are Valuable Consumer Resources

admin — Tue, 02 Feb 2010 02:25:46 +0000

Society benefits from auto insurance. The policy holder benefits. An injured party benefits. Choosing the right insurance depends on an informed and educated public. Reviews provide the needed information, allowing members of the public to determine which insurance company provides the best coverage and service for their needs.

Before purchasing car insurance, consumers must realize that there’s more to a great insurance company than just the best price. You should read reviews which rate companies on service, financial condition, and the quality of their products. Then you will be able to make a smart decision based on the business practices and financial strength of the company you choose.

It important consumers have resources to decide on which products fit their circumstances. The consumer must consider their current financial conditions and obligations. Consumers need to also consider the types of coverage a company offers. Uninsured motorist coverage, medical pay coverage, comprehensive and collision are just some of the auto insurance products consumers must consider. Consumers must also consider discounts offered such as safe driver, age discounts, good student, multi car, and combining coverage with homeowners, etc.

You can find many company reviews which will offer you important insight about a company you’re thinking of doing business with. The reputation and performance of the company are important considerations as you make your decision to buy auto insurance. Reviews can tell you company history regarding consumer complaints, government actions against the company, lawsuits, redlining, and any other legal infractions.

Auto insurance reviews provided by fellow consumers can give insight in the service provided at times of need. Financial responsibility laws and the threat of civil litigation demands the operators of automobiles have the capacity to pay damages that occur due to the negligence. An unreliable company can spell disaster to a consumer faced with liability as a result of an auto accident. Reviews can be found all over the web, in consumer newsletters or magazines as well as from governmental agencies. Consumers must do their due diligence when selecting coverage. Consumers should also consider the availability of assistance from agents, adjustors and customer service representatives. A quick uninformed decision based solely on price might be more costly in the long run.

These reviews are so widely available and can be invaluable when making an insurance decision. Before relying on any particular review, a consumer must also consider the source of any review. Reports created by independent sources will provide the most object information.

By: Sveinung Skoglund

Cheap California Auto Insurance

admin — Sat, 30 Jan 2010 16:06:34 +0000

Californians are currently able to procure low cost, reduced limit automobile liability coverage. The California Low Cost Automobile Insurance Program (CLCAIP) is a new program that meets the financial responsibility laws of the State of California. These policies are accessible to competent citizens living in the counties of Los Angeles and San Francisco. To qualify, you need have a certain household income, driving record (the number of accidents and violations), and vehicle purchased value.

The voters of California enacted Proposition 103 (Prop.103) into law in November of 1988. Prop. 103 gives numerous consumer protections associated to buying and maintaining automobile insurance. Given below are some of the major provisions of Prop. 103 that protect your rights as an insurance consumer.

Prop.103 recognized a legal description of a “”Good Driver”" in this state. A Good Driver is someone who has been licensed for at least three consecutive years and has no more than one point on their driving record. Certain major violations may be considered for periods of seven years, such as a DUI (Driving under the Influence) conviction.

All automobile insurance companies licensed in California are required to tender coverage for Good Drivers. If you are a Good Driver and you are denied the opportunity to buy insurance from the company of your choice, then you can contact the California Department of Insurance for further action. Also, it is significant to note that your rates as a Good Driver should be lower by at least 20% to regular rates.

It also established new criteria that determine an insurer’s ability to cancel or non-renew your policy. There are only three bases on which an automobile policy can be canceled/non-renewed once it is issued: fraud/material misrepresentation, non-payment of the premium, or substantial increase in the hazard insured against.

By: Eric Morris

What Are The Auto Liability Insurance State Minimums For My State?

admin — Wed, 20 Jan 2010 23:28:12 +0000

As you shop online for the best auto insurance deals you may begin to ask yourself what exactly is required by law when it comes to auto insurance. Fortunately this article outlines the auto liability insurance state minimums that you are required to have in order to legally drive in the United States. No matter what state you drive in all of them have financial responsibility laws and require motorists to purchase minimum amounts of auto liability insurance except for Tennessee, Wisconsin and New Hampshire.

Many websites and advocates of insurance (to include myself) recommend having a minimum of $100,000 for bodily injury protection per person and at least $300,000 for property damage costs and physical injury costs. The main reason for this is due to the increased amount of money needed to rectify an accident is usually more then what the states declare as the minimum amount of insurance coverage needed.

I have compiled the following information from the American Insurance Association, the Property Casualty Insurers Association, and the Insurance Information Institute. It shows the auto liability insurance state minimums as required by each state. In order to understand the numbers you must know what the mean. The first two numbers are for bodily injury liability and the third number represents the minimum amount of property damage liability.

As an example my home state of Missouri shows the following – Missouri 25/50/10. This means Missouri requires as a minimum coverage up to $50,000 for all persons injured in an accident, subject to a limit of $25,000 for one individual, and $10,000 coverage for property damage.

Alabama 20/40/10 Alaska 50/100/25 Arizona 15/30/10 Arkansas 25/50/25
California 15/30/5 Colorado 25/50/15 Connecticut 20/40/10 Delaware 15/30/5
D.C. 25/50/10 Florida 10/20/10 Georgia 25/50/25 Hawaii 20/40/10
Idaho 25/50/15 Illinois 20/40/15 Indiana 25/50/10 Iowa 20/40/15
Kansas 25/50/10 Kentucky 25/50/10 Louisiana 10/20/10 Maine 50/100/25
Maryland 20/40/15 Massachusetts 20/40/5 Michigan 20/40/10 Minnesota 30/60/10
Mississippi 10/20/05 Missouri 25/50/10 Montana 25/50/10 Nebraska 25/50/25
Nevada 15/30/10 New Hampshire 25/50/25 New Jersey 15/30/5 New Mexico 25/50/10 New York 25/50/10 North Carolina 30/60/25 North Dakota 25/50/25 Ohio 12.5/25/7.5
Oklahoma 10/20/10 Oregon 25/50/10 Pennsylvania 15/30/5 Rhode Island 25/50/25
South Carolina 15/30/10 South Dakota 25/50/25 Tennessee 25/50/10 Texas 20/40/15
Utah 25/50/15 Vermont 25/50/10 Virginia 25/50/20 Washington 25/50/10
West Virginia 20/40/10 Wisconsin 25/50/10 Wyoming 25/50/20

Remember these figures only represent auto insurance liability state minimums. Many experts agree that more insurance is needed in order to fully protect yourself in the event you’re involved in an automobile accident.

By: Tim Gorman