Smart Auto Insurance Blog

According to the article “AAA Hawaii Lowers Car Insurance Rates” posted on USInsuranceonline.com, car insurance quotes are going down in Hawaii.

Auto insurance from AAA Auto Insurance in Hawaii will be costing drivers about 10% less because of a recent approval from the state insurance commissioner.  AAA says the lower rates will save residents about $120 per year on average.

State insurance Commissioner Jeffrey Schmidt says The Insurance Division carefully reviewed the rate filing and they were happy to approve a discount for Hawaii drivers.  In addition to the drop in auto insurance rates, AAA states that drivers could get even more discounts for various different reasons.  Discounts will be available for having more than one car on a policy, holding more than one policy, and having a history of safe driving.  This is great news as many try to save money during these tough times.

One of the major factors auto insurance companies use when determining your car insurance rates is your driving record.  According to the article “Are You Driving Distracted, and is Your Auto Insurance Suffering” published on lexch.com, even non-fatal crashes are bad to have on your driving record.  Driving safely can end up saving you a lot of money in the long run.

According to Distraction.gov, which is the official US Government site for distracted driving, there are 3 main types of distractions which include visual, manual and cognitive.  In 2008, distracted drivers caused about 5870 fatal car crashes.  This is a staggering statistic which should motivate us all to stop unnecessary distractions while driving such as talking on our phone, texting, or eating.  Even having a conversation with other passengers can distract you from focusing on the road.

Before you get car insurance quotes, be sure to understand where your driving record stands.  Accidents do fall off your record over time as well as tickets and even some DUI’s.  But it’s important to note that the safer you drive, the less likely you are to be in an accident and pay higher car insurance rates.  Not to mention you may save lives, including your own and friends and family, if you are consistently a very safe driver.  There are so many reasons to drive safe, and no good reason to risk it and distract yourself from paying constant attention to the road.

Bristol West Auto Insurance, along with many other auto insurance companies are getting hit with fraudulent claims.  According to the article “Report: Staged Car Wrecks On the Rise” by James Hart on blogs.kansascity.com, there has been a 40% jump in car accidents since 2007 staged on purpose with the sole purpose of ripping off insurers like Bristol West.  This statistic comes from a report from The National Crime Insurance Bureau.

Many of the fraud accidents are committed by all knowing parties, but sometimes the perpetrators target innocent drivers.  To avoid becoming a target, follow these simple tips:

• Avoid tailgating
• Always call the police immediately if you are involved in an accident
• Use your phone camera to document any damage as soon as it happens
• Never admit fault

Protecting yourself on the road is very important and knowing this type of fraud is going on can help you be more prepared if you are involved in an accident.  Avoiding the accident altogether is obviously ideal so your car insurance quotes are not affected.

The JD Power 2009 National Auto Insurance Study rankings are out and Amica Mutual stays strong as the award recipient.  The detailed rankings can be viewed on JD Power’s website.  USAA and the New Jersey Manufacturers Insurance Co. both ranked very high as well but are not included in the rankings since they are exclusive auto insurance groups.

Amica Mutual ranked among the best for all the categories which include overall satisfaction, contacting the insurer, policy offerings, billing and payment, and pricing.  Contacting the insurer is a score based on how customers rate their experience dealing with the auto insurance company in terms of an agent, call center representative, website, or an automated phone system.  This may include getting car insurance quotes.

Policy offerings is based on how customers rate the type and variety of coverage options offered by the insurer.  It also factors in the extent in which the company meets their needs.  Billing and payment is based on timeliness, accuracy, and the clarity of billing statements, and the overall payment process whether through regular mail or the internet.  Pricing factors in the actual cost as well as the type of coverage at that price.  Shelter Insurance and State Farm also ranked well in the study.

According to the press release “Progressive Launches Industry’s First Android App for Car Insurance” from Business Wire, Progressive Auto Insurance has a phone application for the Google Android (TM) operating program.  Android happens to be the fastest growing smart phone out there according to data from comScore, Inc.

Matt Lehman, Progressive’s Web experience director says they have seen a 30% increase in visits to their Mobile Website by Android owners over the last 4 months.  They have aimed to simplify the mobile app experience for the Android customers.

Progressive is the first major US auto insurance company to offer an Android app for auto insurance.  They also have an iPhone Apple application as well as their Mobile Website.  You can download the free Progressive app for your Android at the Marketplace on Android phones.

Many companies are leaning towards mobile phone users since more and more consumers want to access their financial information through their phone.  Benefits of these various applications include getting car insurance quotes and purchasing a policy, making payments and updating policy information, and reporting ad tracking claims.  In is the wave of the future, and perhaps smaller auto insurance companies, such as Dairyland Insurance, will offer some sort of similar benefit for their customers.

With the recent devastating floods in New England, thousands are left wondering if their car insurance covers damage from a flood.  According to the article “What To Do With A Flooded Car: It Depends on the Water’s Depth; The Floods of 2010″ by Peter CT Elsworth on waterworld.com, how high the water comes up is an important factor.  If water gets up to the dashboard, it’s usually totaled by the car insurance company.

Most car insurance policies include flood insurance, but not all of them.  It’s worth your time to double check and if you aren’t protected start shopping around for car insurance quotes that do provide flood protection.  Cars are the only things that do not have special flood insurance according to John Paul, AAA Southern New England’s Car Doctor.  Unlike home owner’s insurance, full-car insurance covers flood insurance as a loss.

There are 3 main parts in a car that are affected by floods including carpet & upholstery, the engine, and the electronics.  Water below the wheel will most likely only damage upholstery, but above that serious damage can be done to more crucial elements such as the engine.  If you end up having flood damage to your car it’s important to report it to your insurance company.  It will only show up in car history report if they deem it as totaled.

Bristol West Insurance has a link on their page to some very interesting articles on highwaysafety.org.  One of the articles discusses thoroughly bans on cell phone usage while driving.  It’s become a hot topic as Oprah is trying very hard to get all Americans to sign pledges agreeing not to use their phone while driving.  Lives can be saved and more and more states are recognizing this and putting it in the law books.

Currently there is a jurisdiction wide ban on driving while talking on a hand-held phone in 7 states which include California, Connecticut, New Jersey, New York, Oregon, Utah, Washington DC and Washington state.  In addition, many localities have placed restrictions on cell phone use, including Oprah’s hometown of Chicago, IL.

Text message is a newer phenomenon and texting while driving is even more dangerous as it takes drivers’ eyes off the road for a period of time.  Text messaging is currently banned in 20 states and Washington DC and that number is expected to rise as more and more studies show how dangerous it really is.  The use of cell phone for those driving a school bus is prohibited in only 17 states and Washington DC.  That seems like an obvious ban that should be placed everywhere.

Don’t be surprised if it becomes law across the nation that cell phone use while driving is restricted.  Already, car insurance quotes can be affected if you have been caught in an accident while on your phone.  It’s a very wise practice to get in the habit of even if your area currently has no restrictions.  Find a safe place to pull over if using your phone is absolutely necessary while you are on the road.

Back in February over 100 car owners were shocked to discover their cars’ computer systems were hacked into according to the article “Does Your Car Insurance Cover Hackers” by Liz Taylor on Cheapercarinsurance.com.  The car owners had their cars uncontrollable honking and some being disabled.  The police have since caught the culprit, but many are left wondering who is going to fix the car’s security system?

The remote, no-start system has pros and cons to begin with.  The high-tech systems allowed car companies to offer loans to higher risk customers because they could simply “turn off” the car if payments weren’t made.  Unfortunately, this may put financial strain on already high-risk customers.  The system allows honking to remind customers of payments due, locating the car if it is hidden, and disabling the ignition to ensure the car cannot be driven.

With this new technology, there is obviously a higher risk for computer hackers messing with cars.  Car insurance companies are being forced to address this issue in their policies and protect their customers from such cases.  Check with your insurer and see if you are protected.  If not, it may be time to shop around for car insurance quotes for a full benefit package, protecting you from this new crime.

Chicago car insurance quotes are managed by Illinois State Law according to the article “New Minimum State Requirements for Chicago Auto Insurance Quotes” by Cathy Wilson on youronlineinsurance.com.  Some of the mandatory coverage options are discussed in the article.

Car insurance continues to be mandatory in Chicago so anyone driving must be covered.  Liability coverage is also mandatory.  This covers the driver for injuries to other people, other cars and property.  The minimum liability is at $20,000 per driver in a car accident.  The max coverage is $40,000 and property damage excluding the car caps at $15,000.

Illinois drivers who are not insured properly or not insured at all will be responsible for the costs from the injuries up to the state minimum liability amounts.  They may also be responsible for damages that are not covered.  It’s important to be familiar with all of the driver and insurance laws in your state if you plan on operating a vehicle.  They can change from year to year as well, so keep up with the changes. It’s a good idea to periodically get Illinois auto insurance quotes as well.

There are many myths out there about what may or may affect your car insurance quotes.  Although each company has different criteria for determining rates, in general there are 6 myths out there that are commonly misunderstood.  The article “Car Insurance Myths” in the news section of www.canada.com discusses them in further detail.

It is often thought that the color of your car will affect your car insurance quote, but most companies do not factor this in.  Some think that a 2 door car will automatically cost more to insure but that is not necessarily true.  If the car is more expensive to repair then your quote will be higher.  Bigger cars and more expensive cars are often quoted higher, but it doesn’t have anything to do with how many doors the car has.  Parking tickets do not generally count against you when getting a quote.

Speeding tickets can affect your rate, but not as much as some think.  First time offenders may have no change in their rates at all, and repeat offenders may be surprised to see their rate barely increase.  It’s often thought that only high risk drivers should shop around but this is not the case.  Regardless of your driving record it can save you to shop around since every company has different ways of computing rates.