[Ang]

As your friendly neighborhood Nationwide Insurance Agent, I would like to share this little tid-bit I came across.

The statements here are true. Some companies won't insure you if you have too many seat-belt &/or other non-moving violations, if your credit rating is bad (to them is says you don't pay your bills), if you have been uninsured for more than 30 days, if you have filed a lot of claims (more than two in a three year period is considered a lot), or if you or your teen driver does not have much driving experience. Under these, and similar conditions, you would be considered "high-risk" and must insure with a company for high-risk drivers at higher premium rates. And don't think you can lie about it either because you will be found out.

Other moving violations to consider are speeding tickets--especially 10+ mph over the limit, failure to yield, at-fault accidents, and DUI's. Even one of these violations will increase your auto premiums so it's important to be a safe driver. Also, please remember that pedestrians have the right-of-way--it's even a question on the driver's license test--so if you see someone in the cross-walk, let them go, don't try to run them over because you think you have the right-of-way.

http://finance.yahoo.com/insurance/article...insurance-autos


5 Innocent Ways to Drive Up Car Insurance
by Margarette Burnette
Friday, July 30, 2010

Most drivers know their car insurance premiums will increase if they drive recklessly, cause an at-fault accident or receive too many speeding tickets. But many cautious policyholders don't realize that other activities, such as texting while driving, can also cause their premiums to rise.

Auto insurance companies are paying close attention to the everyday factors that cause people to get into wrecks, says Robert U'Ren, senior vice president of Quality Planning Corp., a San Francisco company that helps auto insurers to validate information for underwriting policies.

Anything a person does that distracts him while driving, from reading a text message to drinking coffee, increases the chance that he could get into an accident and makes him riskier to insure, says U'Ren. "If the driver does get into an accident as a result of his behavior, his next policy renewal would reflect it."

Experts say the following five activities could bump up the car insurance rates of unwitting drivers.

1. Texting While Driving

Oprah Winfrey's recent "No Phone Zone" campaign established a goal of getting drivers to stop texting and using cell phones while driving. But in many places, it is more than a media campaign, it's the law.

At least 25 states have regulations banning drivers from texting while operating a vehicle, according to the Governors Highway Safety Association in Washington, D.C. The statutes often go beyond mobile phones and apply to any portable machine capable of accessing the Internet or sending and receiving electronic messages.

Drivers who are caught violating the law could get a citation. And once someone receives a traffic ticket, even if no accident occurs, his car insurance premiums could increase as a result, says Dick Luedke, a spokesman for State Farm Insurance in Bloomington, Ill.

Even worse, if an accident occurs and it is determined that the driver was texting, that person could face more severe charges, such as reckless driving, or eventually time in jail.

2. Not Wearing a Seat Belt

Many states have "click it or ticket" initiatives designed to motivate drivers and passengers to wear safety restraints, especially if they are riding with children.

Seat-belt enforcement is generally divided into primary and secondary categories. States with primary enforcement laws allow officers to ticket individuals for not wearing their seat belts, even if no other traffic offense has occurred, says Luedke.

Other states have secondary seat belt laws. In those jurisdictions, officers can still ticket offenders for not wearing their seat belts, but only if another traffic offense has occurred.

In either case, if a driver gets a citation for not using a seat belt, it could make him look "riskier" to his car insurance company, says Luedke. His premiums could increase at renewal.

3. Adding a Teen to Your Policy

Teen drivers are more likely than other age groups to get into accidents and file claims. So, adding a newly licensed 16-year-old to your car insurance could cause your rate to climb, says Luedke.

With some research, policyholders can take steps to help make that rate increase as reasonable as possible, says Joel Ohman, a Certified Financial Planner in Tampa, Fla., and founder of CarInsuranceComparison.com.

He suggests that policyholders shop around for an insurer that offers lower premiums for young drivers.

"Owners can also encourage their children to qualify for good-student discounts," he says.

4. Missing Credit Card Payments

Policyholders may think their credit history has nothing to do with their car insurance costs. However, many insurers have determined that certain characteristics in a driver's credit report could increase the likelihood that the person would need to file an auto insurance claim, says Luedke.

That data is combined with other driver information to create the client's insurance score, which influences the size of the premium, he says.

"We don't look at the same credit characteristics as a bank, but we do look at enough to measure insurance risk," Luedke says.

If a driver has a low credit score but a good driving record, he may be able to find a better rate with a provider that doesn't put as much emphasis on the credit score, says Ohman.

5. Paying Car Insurance in Installments

Choosing monthly, quarterly or semiannual options to pay your car insurance bill may seem convenient, but the choice can cost you more money because of installment fees, Ohman says.

Many consumers don't view the expense as a fee. Auto insurance companies list the charge as the norm while offering a "discount" to payers who pay everything upfront, says Ohman.

"It's a bit tricky to think of it as an extra charge when you pay by installments, but the fact is, if you aren't able to prepay your premium, you will probably end up paying more over the term," he says.

According to Luedke, there are administrative costs involved when car insurance companies receive several smaller payments. The costs are passed on to the policyholder as an installment fee.

The charge is typically less than $5 per installment. However, under a monthly plan, when the consumer pays the installment fee 12 times per year, the extra charges can add up, says Ohman.

Paying your 6-month premium in full at the time of renewal can save you lots. Not only do you save the $5 monthly billing fee, but you usually get a 1-2% overall discount on the premium. If you can't pay in full, another way to save is sign up for EFT, where your premiums are drawn straight from your bank account. This will eliminate the $5 monthly billing fee.

[Tom Burns]

How do insurance companies feel about glass breakage? In a short time a side window on a station-owned Chrysler van, and the large rear window on a station-owned Corvette, both appeared to splinter under the hot sun. One was in my driveway, the other while driving down the highway. There is no indication anything external caused the breakage. I have heard of spontaneous breakage in extreme heat but never experienced it before.

[Ang]

Each company differs on glass breakage. Some companies offer coverage for just that, but typically it's included in comprehensive (acts of god) and subject to whatever deductible you have.

Some companies will waive the deductible (Nationwide does) if the glass can be repaired without being replaced-in other words, if the crack or chip is smaller than the size of a dollar.

Check your policy and see if you have comprehensive coverage and see what your deductible is. If it's less than $500, I would turn in the claim.

I carry comprehensive on my policy because it covers hitting animals as well. And comprehensive is cheap to have. My deductible is only $100 and the coverage costs me less than $40/year. With all the storms, deer, and trees, it's crazy not to have it.

[Tom Burns]

Each company differs on glass breakage. Some companies offer coverage for just that, but typically it's included in comprehensive (acts of god) and subject to whatever deductible you have.

Some companies will waive the deductible (Nationwide does) if the glass can be repaired without being replaced-in other words, if the crack or chip is smaller than the size of a dollar.

Check your policy and see if you have comprehensive coverage and see what your deductible is. If it's less than $500, I would turn in the claim.

I carry comprehensive on my policy because it covers hitting animals as well. And comprehensive is cheap to have. My deductible is only $100 and the coverage costs me less than $40/year. With all the storms, deer, and trees, it's crazy not to have it.

We have it, but I am a bit apprehensive as to what the insurance carrier may think about two such claims in a matter of a few weeks, but there may well have been many given the hot weather. Another problem is to find someone who sells the large rear windows for older Corvettes. I need to call Corvette Central as I knew the owner years ago when he first started out. He would crawl from under a Vette covered in greese and sign a broadcast order with smudges on the contract alongside his name. Now that he is well known maybe this will be a collectors' item. Last time I called for parts, I could not get by his executive secretary.

To digress, shortly after Jerry became successful, GM saw a Corvette Central catalog and threated to take legal action unless he dropped the term Corvette. He did, then years later they asked him to restore using the name as they did not want to produce and sell Corvette parts forever. Strange world.

[Ang]

Comprehensive claims do not go against you. They are "acts of God" and beyond your control.