Smart Auto Insurance Blog

More and more Florida residents are purchasing scooters to get them around as gas prices increase and economic times stay tough.  A scooter is different from a motorcycle in the sense that they have a step through design where a rider can sit on the seat with their feet flat on a floorboard.  Their engines are also closer to the rear wheel.

One thing often over looked when someone buys a consumer is what type of insurance will need to be carried so the vehicle is covered.  Check with your county for the specific regulations and shop around for Florida auto insurance quotes to see who offers the best deal.  Where insurance is required, it’s usually a minimum amount of personal liability coverage but laws vary so be sure to check with your local motor vehicle authority.

Another thing to remember is that you need a valid drivers license to drive a scooter in most states.  You want to be sure the scooter is properly registered, just like a car, and that your license is current and accurate with an updated address.  You must follow all traffic rules while driving your scooter just as you were driving a motorcycle or a car.  Enjoy your scooter rides, but be safe, always wear a helmet and follow all regulations to avoid any fines or accidents.

Have you ever wondered how auto insurance companies recognize staged accidents and other fraudulent claims?  There are mechanisms in place with each insurer to limit fraud as much as possible and usually a whole department is dedicated to the efforts.  But there are some things you can watch out for to ensure you are not a victim of this crime.

The article “Staged Accidents And Scams: How to Spot Insurance Fraud” from The Car Connection website, says that stage accidents cost policyholders and insurance companies billions of dollars every year.  During the recession they’ve been increasingly popular according to the Insurance Information Institute (III).  Insurance fraud can take many forms from false claims, staged accidents, and huge fraud rings that stretch across the nation.

Some key warning signs that may indicate you are getting involved in insurance fraud include people who appear at the accident and insist you use certain lawyers and doctors, doctors who insist you file a personal injury claim even though you were not hurt, and when tow trucks appear without any calls being made.  Also, if after the accident you recognize other parties are inflating claims and misrepresenting facts you may be involved in someone participating in fraud.  It’s important to report any unusual activity to your insurer in hopes that they can get to the truth and not lose any more money on fraudulent claims.  It ends up costing everyone more money, not just the auto insurance company.

Mercedes newest protocol, The Experimental Safety Vehicle, offers some impressive features that may drastically reduce injuries and deaths in the case of an accident.  This is according to the article “Mercedes May Help Owners Get Inexpensive Auto Insurance with Safer Car” by Shannon Brown on Cheaper Car Insurance’s website.

If this new safety car is brought to the market and proven effective it will affect the auto insurance quotes for Mercedes drivers.  This unique design basically turns the car into a giant airbag before impact which protects the driver and the passengers.

Mercedes continues to be on the forefront of vehicle safety.  There are even more special safety features in the models coming out soon.  Mercedes make safe driving a priority and it shows in their efforts towards making safer models.  Unfortunately, prices for these types of cars are on the rise, but at least it’s good to know that many auto insurance companies give discounts for cars that are proven extremely safe.

As online auto insurance quotes are getting more popular so are the concerns over giving personal information over the internet in order to shop around.  According to the article “No Personal Information Needed For Online Auto Insurance Quotes” by John Pirro found on emailwire.com, auto insurance companies are recognizing these concerns and are making the process easier.

Many insurers allow online quotes without sensitive personal information such as a social security number or driver’s license number.  It’s important for consumers to understand though that the less information they share, the more of an “estimate” the quote really is.  A quote is no guarantee since most insurers use driving records and credit information in calculating auto insurance rates.

It can be beneficial to use certain websites where you only have to enter in your information once and the site will generate numerous quotes for you.  Limiting the amount of times you enter in your personal information can be helpful in keeping it safe.  Visit www.smartautoinsurance.com to learn more about obtaining online auto insurance quotes.

There are 6 main reasons why you should shop around for auto insurance quotes according to the article “305 Compelling Reasons To Compare Car Insurance” by Neil Faulkner on lovemoney.com. 

Reason number 1 is that you may get ripped off if you don’t shop around for auto insurance quotes.  The article points out that one insurer to another can often be 7 times the cost.  Reason 2 is that prices vary widely from one company to another.  It’s not just the difference from company to company, but price varies widely from year to year as your profile and demographic changes.

The 3rd reason points out that loyalty does not pay in the auto insurance industry.  If insurance is getting cheaper in the market, your price will stay the same if you do not request a recalculation.  Reason 4 discusses the value of your actual policy.  It’s important to ensure you have the best benefits possible in your policy.  Reason 5 is that rates may be increasing so you want to lock into a low rate when you can.  And reason 6 is obvious, but extremely important…you will save money if you shop around for auto insurance quotes.  The internet makes this quick and simple so there is no reason you shouldn’t take advantage of the opportunity to compare rates.

According to the article “NICB: Suspicious insurance claims up” by Susan R. Miller found on bizjournals.com, the number of questionable insurance claims increased to 41,619 in the first half of 2009, up from 36,743, in the first half of 2008. 

NICB member insurance companies refer these claims to the Des Plaines, IL based bureau for investigation based on certain indicators of fraudulent activity.  The report does not determine how many of these referrals end up being true fraud.  It also does not look at causal factors.  It’s only looking at raw data. 

Suspicious auto insurance claims increased by 21% in the first half of 2009.  Auto glass fraud is the number one type.  Suspicious car theft claims were 6,852, up 10% from 6,216 in the first half of 2008.

Residents may be in for a surprise when they obtain their California auto insurance quotes.  According to the article “State considers revised mileage-based auto insurance” on Central Valley Business Times’ website there is a new draft of pay as you drive regulations that has recently been released.  This revised plan may cause auto insurance quotes in California to consider how much a driver is in the car when determining the cost of a policy.  This has been in the works for months, and is backed by Insurance Commissioner, Steve Poizner. 

This article states that Poizner believes the pay as you drive concept is a cutting edge program which will create motivation for California drivers to drive less.  This will eventually lead to lower auto insurance costs, less pollution in the air, and less dependence on foreign oil. 

Some are concerned about the intrusion on privacy that the pay as you drive might create.  The Electronic Frontier Foundation says the original regulation would allow auto insurance companies to install electronic devices into their policy holders’ cars to track how much they drive.  It will also track a variety of other information such as location and seat belt wearing.  The revised plan will prohibit black boxes to track location.  Companies will use odometer readings and estimates from the policy holder as well.  It’s still to be determined how this new regulation will all pan out in the end.

According to the article “Hurricane Ike raises Ohio home, auto insurance rates” on Cantonrep.com from the Associated Press, Ohio auto insurance and homeowners insurance is on the rise.  The Ohio Department of Insurance show that rates are up 6.9% for homeowners and up .8% for auto insurance most likely due to Hurricane Ike from last fall.

The storm crushed much of Ohio in the fall of 2008 and caused a very large number of claims which in turn affect everyone’s insurance rates.  Officials say this is a common reason for premiums to increase.  The Insurance Department’s analysts predict homeowner and auto insurance rates will continue to increase throughout 2009.  The director, Mary Jo Hudson states that Ohio still has some of the lowest insurance rates in the U.S.  As an example Ohioans pay an average of $542 a year for homeowners insurance, but the national average is $801.  So, Ohio policyholders shouldn’t be too discouraged.  It is definitely worth shopping around for quotes if you feel you do not have affordable auto insurance.

California auto insurance policy holders are in for some good news as California implements a $34 million statewide rate reduction announced by California Insurance Commissioner Steve Poizner on Wednesday.  This is according to the article “21st Century to cut premiums for California drivers an average of $50″ by Marc Lifsher on LATimes.com. 

21st Century Insurance, which was recently acquired by Farmers Insurance Group, insures over a million California cars.  This is about 5% of the private passenger car insurance market, so this is a big deal that they will be experiencing an average of $50 in cut costs on their auto insurance rates. 

A Farmers Insurance Group spokesperson stated that they were able to drop rates because of less accidents and less severe accidents being claimed over the past years.  Annual dollars saved will average $80 in Los Angeles county, $62 in Sacramento county and $58 in San Francisco.  This is great news as California residents are trying to save money in this challenging economy.

It’s always important to understand what type of auto insurancecoverage you carry, but now more than ever we need to pay close attention.  This is according to the article “Car Insurance in the New Economy” by Ed Normund on Injuryboard.com.  The recession is causing more and more drivers to cut back on their coverage or eliminate auto insurance altogether and this may cost you in the long run.

The article recommends certain types of coverage that can help protect you during these tough times: 

1. Bodily Injury Liability - pays for injuries that you cause to another based on negligence
2. Property Damage Liability - pays for property damages that you cause due to negligence
3. Umbrella Insurance - covers you for bodily or property damages from auto accidents
4. Uninsured Motorist Protection - covers injuries to you and others when hurt by someone else
5. Comprehensive coverage - covers your car for damage caused by theft or other events
6. Collision insurance - covers you for damage to your car when in a crash with someone else
7. Medical Payments or Personal Injury Protection Insurance - covers you and your car occupants for limited medical payments with no regard to who is at fault

Take the time to understand what is included in your auto insurance policy to ensure you are fully protected.  What type of coverage you have does factor into your rates, so consider closely what you do and do not need to ensure you have adequate and affordable auto insurance.  It’s often better to be safe than sorry in the case of a car accident.