Smart Auto Insurance Blog

American Commerce Insurance, which offers auto insurance, has received an A+ rating from the rating agency Satndard & Poor.  According to the press release on the American Commerce website, the financial strength rating from increased from an A on MAPFRE USA’s subsidiaries - Commerce and Citation - and the outlook is promising.  They consider the companies to be strategically important and because of this their credit rating has been raised from BBB to BBB+.

AM Best also continues to rate MAPFRE companies as A+ Superior.  These high rating are truly key in the success of companies such as American Commerce.  Standard & Poor’s report says that the decision reflects their capitalization and states that their future is very strong.  The rating agency also says in their report that MAPFRE USA continues to have a strong competitive position in Massachusetts and they have a strong market presences in auto insurance specifically.  They carry about 29% of the personal auto insurance market and about 12% of commercial auto insurance products.

This report is a huge success for the company.  American Commerce and MAPFRE companies pride themselves on offering superior products and top notch customer service.  With their solid book of business, this continues to be the case.  The report also highlights the strength of their underwriting discipline and the strong management behaviors.

Written by Sara Smart

Follow me on Twitter: http://twitter.com/#!/SaraSmart55

Many insurance companies across the nation felt the harsh effects of the spring storms throughout April and May including Donegal Insurance.  Donegal Group, INC, expects to feel a $13 million to $15 million hit in the 2nd quarter from all of the recent claims brought upon by the devastating storms the swept the mid-west and affecting many areas of the US.

The article “Donegal Sees $13M-$15M Effect From Claims” by Tim Stuhldreher on CentralPennBusiness.com points out that claims of about $7 million to $8 million will be paid due to mid-Atlantic hail and storm damages and another $4 million to $5 million paid to the South due to the tornadoes that hit this area.  Another $2 million is going to the mid-west for wind and hail.

Donegal plans on covering additional losses through their reinsurance programs.  This is to help the blow of the loss be less painful.  Their subsidiaries will give about $3 million to keep their reinsurance coverage throughout the rest of 2011.  Many companies have felt the impact of all of these home and auto insurance claims, but Donegal remains positive that they are handling the situation and their preparation for such events has paid off.

Written by Sara Smart
Follow me on Twitter: http://twitter.com/#!/SaraSmart55

Many people wonder if using an agent is the best way to purchase auto insurance.  It’s true that using an agent can save you some time and possibly save you some money.  If you aren’t internet savvy, then using an agent may be the way to go.  Many companies offer agents to help customers with their needs.  One of these companies is Founders Insurance.

Founders auto insurance is offered in Illinois, Indiana, Ohio and Wisconsin with limits up to $100,000/300,000/50,000.  They offer quick, electronic SR22 filing and take international and out-of-state drivers license.  According to their website, Founders Insurance is a preferred choice of agents for higher risk policies.  Whether you have a poor driving record, poor credit rating, or coverage lapses, Founders will work with you to try to get you the best coverage possible.  This is where an agent can come in especially handy.  High-risk drivers often have a harder time finding quality auto insurance online or on their own.  An agent knows where to look to get deals for non-preferred customers.

Founders Insurance also has complete online capabilities including quoting, binding, and policy issuance, payments, endorsements, document reprinting, renewals, claim reporting and form downloads.  You can even chat online or over the phone with an underwriter with any questions you may have about your policy and quote.  Founders works hard to have state-of-the-art imaging systems for underwriting and claim handling and are constantly working to improve their business.  Speak with an agent to see if this might be the right option for you.

We all know that competition generally returns better prices for products but that holds extra true for car insurance quotes.  A survey from Gocompare shows that approximately 25% of consumers do not change companies when it comes to car insurance, homeowners insurance, and other financial accounts.  The article “Consumers Benefit From Competition for Car Insurance Quotes and Bank Rates” by Ed Dixon on Newstaar.com points out how drivers are missing out since car insurance is a highly competitive industry.

Most car insurance companies do not offer loyalty benefits for staying with the same insurer, so with that said, why aren’t more people shopping around to compare quotes?  Awareness is definitely one concern.  Many consumers aren’t aware of how highly competitive the market really is and don’t even think of changing companies.  They inadvertently have loyalty to an insurer and they’re not even sure why.

With so much competition in the car insurance arena, drivers who are no shopping around are missing on a huge opportunity to get lower rates, especially if they have a good driving record.  If you’ve been with the same company for years and years, your rates may have slightly gone up since you first became a customer and you don’t even realize it.  By shopping around you are getting other companies to fight for your business and offer you market low prices.  There’s no downside to shopping around.  If no one can beat your current price then you just stay with your current provider and no harm done.  You’ll likely be surprised how much money you can actually save.

Progressive Auto Insurance has been named in Diversity MBA Magazine in its “50 Out Front Diversity Leadership: Best Places for Diverse Managers to Work” list.  The magazine lists the top companies for women and minorities to pursue positions of leadership each year.  Progressive is known for embracing diversity and it shows in this honor.

Neil Lenane, Progressive’s director of employee experience says people with different backgrounds and experiences are crucial to the growth of the business.  He believes it’s the diversity that makes Progressive Auto Insurance Company such a great place to work.  Progressive was named in part because of their consistent commitment to diversity throughout their entire company.  Progressive recruiters advertise with ethnically diverse organizations and job boards to encourage the growth of their diverse community.

Diversity MBA Magazine looks at over 400 employers on the Fortune 500 list and consider a variety of factors including employee retention, recruitment efforts, and the company’s accountability.  The magazine says that it’s a very competitive list with a 30% increase in participation by companies this year.

The provider of affordable auto insurance, Donegal Insurance, has a user-friendly guide on their website outlining fire and home safety.  This is valuable to customers who want basic information on what to look for in their home in order to keep their family as safe as possible.

The article provides a checklist for safety features to look for in any home.  It’s encouraged to go through the checklist as a family and ensure each bullet is addressed.  Some of the items on the checklist include:

• Smoke detectors installed and tested
• Carbon Monoxide detectors installed
• Fire Extinguishers accessible and working
• Fire escapes accessible
• Updated wiring throughout home
• Sidewalks in good condition
• Handrails on all stair cases

These are a handful of examples of what type of safety features every home should have.  Each county has different requirements for what is a must, but in general these items and the rest of the list will ensure you are in a safe home and can have peace of mind that you are doing the right thing to keep your family away from harm.

Most car insurance companies, including Progressive and American Commerce, have their own calculation for determining car insurance quotes.  You may feel like the rate you end up paying is out of your control but that isn’t necessarily the case.  There are numerous factors insurers use that are within your control and knowing what they are can help you save money.

The biggest factor is often driving record, and although you cannot do anything about the past, you can control your future driving habits and wait until previous driving violations fall of your records, which they eventually do.  You can have a clean slate with a little patience and careful driving practices.  Another big one these days is credit rating.  Again, the past is the past, but derogatory marks fall off your file in about 7 years, and focusing on paying your bills on time and keeping your debt levels down will pay off in the long run.

Of course what type of car you drive is going to have a huge impact on your car insurance quotes.  In general, the more expensive the car the higher your quotes will be.  Take a serious look at how big of a car you need, and how important luxury really is considering the overall costs.  Not only will that actual car cost more money, but maintenance and insurance will be higher.  The extra money can add up to a lot over the years.

And make sure you are shopping around for the best rate.  Just because one car insurance company gives you a hefty price, doesn’t mean they all will.  Get at least 3-4 quotes, if not more, and compare any trends you may see.  You’ll also want to make sure your coverage is sufficient and meets your needs.

It’s well known that you can get car insurance quotes from Donegal Insurance, but many people do not realize how easy it is to get boatowners insurance coverage.

Donegal Insurance offers many types of insurance products, one of which is boatowners insurance protection.  Boatowners insurance provide the extra coverage you need to ensure your boat is protected.  Donegal covers the entire boat from bow to stern and provides coverage on water or land.  Their policy extends to motors, controls, electric equipment, and standard fuel equipment.  They ever cover extras such as boat oars, anchors, life preservers, and additionally a boat trailer.

Legal liability is taken care of with boat liability and medical payment coverage.  Coverage is extended in the case of a boating accident and there are many other optional coverages.  Some of these options include Boater’s Emergency Towing and Labor, Boat Replacement Cost, Uninsured Boaters Protection, and Boater’s Personal Property Coverage.  You can even get discounts through boatowners insurance.

Specifically noted on Donegal’s website are discounts for the completion of certain safety courses, built in fire extinguishing systems, depth finders, and of course if you have other insurance products through Donegal Insurance you can find yourself with an up to 10% off discount on your boatowners insurance.

In today’s economic environment people everywhere are trying to save money where they can.  Once it’s time for a new car, many consumer are turning towards used cars as their purchase of choice.  Not only is this because used cars are generally less expensive but auto insurance on used cars is often cheaper as well.  If you compare auto insurance on a used car verses a new car you will find the quotes to be cheaper on the used cars in most instances.  This is because the used cars are on average less expensive to repair and replace.

The government offers a convenient outlet for buyers to search for used cars through auto auctions.  The General Services Administration (GSA) is helping consumers better understand the benefits of using auctions and work hard to make the process smooth.  It can be easy to find a very good deal on a used car through an auction, but it’s important to go through a reputable service to ensure you are getting your money’s worth.

The GSA offers a comprehensive website to prospective buyers that is very user-friendly.  GSA holds public auctions throughout the US at registered auction sites.  By registering at their website you can receive more information on auctions in your area and be well on your way to a quality used car at a competitive price.

The Freeman Auto Report found that new car sales in the greater Austin area increased 10% in 2010 compared to 2009.  This is still far off pace from new car sales in 2007, when over 100,000 new cars were sold in Austin according to the article “Texas New Car Sales Increase in 2010″ on USInsuranceonline.com.

General Manager of Jaguar Land Rover Austin said in an interview with the Austin American-Statesman that this is a good sign and that 2011 will be a good year for everyone.  The economy is slowly picking up and this is definitely affecting new car sales as well as car insurance quotes in Texas.

The Texas Department of Insurance says the market has recently added 9 new providers which could make prices more competitive for Texas auto insurance rates.  This is just in time since minimum liability rates just increased causing overall premiums to increase.  With more providers in the market, hopefully they will compete for consumer business making rates stay flat or even decrease.

Texas is not the only state to feel the economy creep back through car sales and car insurance policies.  At this point there may be a light at the end of the tunnel for the economic slump that’s been keeping us down for the past few years.