Do Car Insurance Rates Go Up After No Fault Accidents?

This depends on if you can recover all the damages from third parties or their insurers. Otherwise, you will have to make a claim on your own collision coverage and get your insurer involved. They may be able to get all their costs reimbursed after paying your claim. This positively affects your renewal premium. Regardless there is high chance every incident you are involved will affect your rates a little.

Accidents and incidents that end up with moving violation tickets will be detrimental for your insurance costs. You may have an accident with damages to cars and may be injuries to people. Also, you may have an incident in which you are involved in. There may not be damage but police may involve and prepare a report and it may follow up with a citation. This will affect your rates as well.

Options and Possibilities Following an Accident You Are Not at Fault

After an accident caused by third parties the first option would be to make a claim on the responsible parties insurance. You may not even need to bother your insurer if they accept the responsibility and happy to pay for the damages through their insurer or privately. Even they find out about the incident your auto insurer would be embarrassed to increase your rates since they never involved. This is a less complicated case in which other parties accept 100% liability.

However these things are not usually straight forward. Other drivers may accept partial responsibility but blame you as well. In such cases, you may need to get your insurer involved and both companies will agree on a settlement. It is possible to allocate the blame proportionately. While the other parties are 80% responsible you may still be found 20% responsible and the damages can be settled according to these proportions.

What Happens When At-fault Parties Don’t Co-operate?

Other people may decide to bury their heads in the sand and ignore all your attempts to contact them. Some people like to play hard balls and your insurer will certainly do that if you have relevant coverage. Collision coverage you have taken with from your insurer would normally allow you to make a claim on your policy.

Many people would want their damages repaired quickly and get back to normalcy as soon as possible. Others falsely may be hoping that you will get tired and get lost. However, your insurer would not give up on recovering the damages even after they paid you. They would chase the third parties at fault of their insurer and try to recover the damages on your behalf.

You would need to pay the deductible on your policy once the repairs are done to your vehicle. Should your insurer recover all the claim costs they would return the deductible to you as well.

The portion of blame and weather your insurer can subrogate the losses will affect how much your rates will go up. When third parties are to be blamed 100% and the insurer recover the whole losses they would not increase your rates much or not at all.

Common Myths about Moving Violation Traffic Tickets

As well as trying your best to avoid traffic tickets there are things you could do to reduce effects of traffic tickets. If you are unlucky to get a ticket knowing the consequences and dealing with them as best as you can is the next option. However, if you start believing in wrong information you may make the position worse for yourself. Here are some myths you should not believe about moving violation traffic tickets.

Nobody Will Know about my Tickets in other States!

They know where you are from licence plate and driving licence. You are in no way safe from penalties when you get tickets in other states. States share information that tickets will find their way all the way home. Then, it will go down on your record for everyone to see and you will lose points for them. You should think twice before behaving uncaringly outside of your state.

You are allowed to drive with the driving licence you get in your home state wherever you go in the country. Also, you can travel with your car registered back home. When there are such benefits and recognitions, it is only natural to think that you have to follow the rules just as you would do at home.

When your license is suspended in your state it is suspended everywhere else as well. You will get in to serious trouble if you try something funny like driving with your suspended license. They will be able to check and detain you for breaking the law and giving false information.

Any Mistakes Made by Authorities While Issuing Voids the Tickets!

You cannot get out of fines just because there is typing errors when the ticket issued. The police officer may get things wrong like typing errors in your name of plate number. Don’t think this will clear you. As long as they can identify you the penalties will be issued. Don’t worry they have ways of getting to correct person when they have rest of the information is accurate. Extensive DMV records will help them to get it right at the end.

Don’t base your defence on things like wrong color of vehicle has been put down. It is not a murder case and you probably do not have high flying lawyers to make a case for you. It does not matter that officer said your automobile was red when it was cherry color. At the end it is down to the fact that you have committed a moving violation offence. The rest is confirming and issuing the penalties.

You Need a Lawyer to Defend Yourself in Traffic Court!

Most courts are designed to allow people to defend themselves. For a minor first time offence you do not have to have a lawyer with you. You can go on your own and make your case. It is best to talk to people who have had such experiences. You can read online and ask the clerks or prosecutors about your options. In some cases, they may offer you a chance to plead guilty to a lesser offence so that they can close the case without going to court.

Some authorities may give you an option of going to traffic school instead. On confirmation of completion your ticket may be squashed saving you of fines and license point deductions. The worst thing you could do is to get scared and not make an appearance. Experts say that going to court is half of winning.

Why Auto Insurance Companies Check Credit History

After long statistical observations and calculations most car insurance companies come to the conclusion that your credit history offers an insight to likelihood of you making claims. Similar studies have been carried out by several state insurance departments as well and they agree with this conclusion. That is why most states allow insurers to look at your credit history before they can give auto insurance quotes.

A regular credit score includes information about how you are handling your finances. Most of your payments for mortgage, credit card and number of bank accounts you have listed there. Any adverse credit problems like judgment against you for non-payment of a financial liability or bankruptcy is listed as well and makes your case much harder. It is important that you make your payments in time and do not max out your credit limits.

Bad credit score will affect your ability to get credit cards, loans and mortgage. Also this information is the bases of insurance credit score which is different from the usual score in several ways. For example, it does not go down as a credit pull when an insurance company looks at it and therefore has no reducing effect on your overall score. Companies take the information in your credit score and come up with a rating for you.

Auto insurers cannot deny, cancel or refuse to renew your policy based on your credit rating in most states. However, they can increase your car insurance rates. Most states require them to tell you the reason when they do that. Policyholders should make no mistake that their rates can go up as much as twenty five percent should their score go down considerably.

If a policyholder is foreseeing such problems with the financial position they could make the matter worse for themselves by missing a premium payment. Companies may not look at the credit score of their policyholders often. But they will look at it when you are displaying problems like missing the next premium payment.

When they see sizeable increase in their rates because of it they may like to look around. One or two companies do not take credit rating into account when they are determining the rates. Also, each company has a different importance placed on these figures that can make a difference to the final premium offered.

Many people see it to be discrimination against poorer people as they would be the ones to suffer from credit score checks. But this fight has been going on for some time and insurers have convinced authorities that there is a relation between financial credibility and claims. The people with more money or better financial management appear to be claiming less.

Lately, companies are taking a lot more information into account when they are giving a quote. This may be a good thing when you keep coming up good at the end of each scrutiny. When the competition is hard as it is now companies are trying hard to fine tune their rates. In other words, they are trying to offer much lower rates for good drivers to keep them and/or attract more of them. This means that they will have to increase the rates for drivers with accidents and traffic tickets on their names.

Auto Improvements That Can Help with Insurance Costs

Accidents are not predictable there is no question about it. However it is predictable what type of accidents you may have and take actions to reduce the damages. Many motorists are worried about big accidents and it is understandable. However, most of the accidents are small. If you look around when you are on the streets you will see several cars within an hour that has knocks on the front or the back of it. They are damages but not big enough to cause a serious concern or stop them driving.

Also, it is a serious concern to stop traffic accident related deaths. There are a few organizations who work on safety solution. Car manufacturers invest considerable amount of money to develop technologies as well to make their car stronger. Lately, the attention is moved to accident prevention. Here are a few things you can install on your automobile that will keep your insurer happy and car insurance rates low.

Hazard Detection Solutions

Thanks to latest technology on GPS and internet new devices can detect the accidents and hazards ahead and warn the drivers in real time. Reports suggest that these solutions do help in reducing accidents. Also modern brake systems keep the vehicles more stable when you brake even in the toughest conditions. A few of these features come as standard in some of the new model cars. That is why you may actually see improvement in your premiums even though you have a brand new automobile to insure.

Better Seat Belts and Air Bags

Sometimes simplest solutions are the best. While companies are trying hard to produce a flying car the basic improvements on seat belts and air bags are the one make a serious change in your survival following a crash. It always pays to shop around when you are buying a new car and check the insurance ratings of the alternative models. The ones which are liked and offered lower rates by insurers are the ones usually the safest for your family.

Increasing Anti-theft Devices

Auto theft is still one of the major problems for insurers. This is specially the case in big cities and rougher neighborhoods. Think about a case where a common auto thief has a choice between a high end car and an ordinary one. Which one do you think he would go and try to steal? The clue is that Honda Civic is constantly the most stolen vehicle in the United States of America. They prefer the automobile which has the least complicated anti-theft devices.

Back-up Cameras

This is a new phenomenon as well that you can see on many new automobiles. When you can see clearly what is behind you can reverse safely. This simple camera device prevents thousands of small accidents and it can prevent even big crashes and deaths. That is why auto insurers like them. It may give extra piece of mind to drivers as well.

New Tires

Again, we do not need to always think sophisticated solutions when it comes to avoiding accidents. Top of the range new tires increase traction and reduce stopping times noticeably. Drivers should keep checking their tires and change when the tires are not being much helpful anymore. This also reduces accidents following puncture on the road.

Ways of Avoiding Traffic Jams during Summer Vacation

Have you ever had that feeling that everyone else is out on the road just when you want to get away quick? When we are on holiday mood we may forget that we were those people just yesterday trying to get to work or make an appointment. Because you are on holiday does not mean others stop their daily endeavors as well.

It can be a real problem to deal with traffic around big cities on your route. A simple twenty minutes across the town drive can be extended to two hours easily with congestions. Always keep this in mind and remember that you can make it easier on yourself with a little planning. Here are a few things you can do to get to beach, mountains or wherever you are vacationing quickly.

Leave Early and Cover As Much Grounds As Possible

This is especially true for people who are living in cosmopolitan areas. If you go to bed and get up couple of hours early you can get out of the city pretty fast and put it a good distance behind you when you have your first stop. Driving in the early hours in hot summer days can be less stressful and tiring. If you cover a good a few miles early in the day you have more time for taking breaks later in the day.

The idea is to get away before the daily commute really hits the roads. You probably know the bottlenecks on your route and you want to avoid them. This planning can be very useful throughout the road trip. When you need to pass certain cities you can plan it in a way that you go through them in the least congested times.

Don’t Just Rely on Car Navigation

It is best to update the GPS devices in your car. The latest navigation systems check for traffic information and accidents ahead and offer alternative routes as well. But you should keep listening to the radio or have a traffic alerts on your phone. When you are not convinced about the accuracy of your GPS you should know the roads enough to have an alternative plans.

Prepare Well for Your Breaks and Stops

How often you had a quick and satisfactory meal on a roadside service station? When you are hungry so as everyone else. You don’t want to spend your time hanging around service stations. You can check possible stop or view points on the way. And prepare your drinks and sandwiches to stop at these locations. This saves a lot of time and allows you to get to your destination faster.

Remember to Have Regular Short Breaks

The idea is to have short break, stretch your legs and refresh yourself. Authorities suggest that you should give a break every two hours. However, if you spend half an hour each time you stop you cannot go far and you may want to reduce these stops for the sake of covering some ground.

Mind not to spend much time in these stops. Go to rest rooms, wash your face, have a little drink and get back to the road. Being smart and efficient is the key to avoiding congestions, stress and family arguments in the cars.

Do We Rely on Car Navigation Too Much?

It was on the news a while back that a driver flew off the cliff because the navigation said so. Are we blindly following the GPS lady’s directions without having the faintest idea where we are going? This may be the case for many people. May be it is the case for you as well if you keep pressing home button even in your hometown.

Even the latest technology may not be smart enough to see the things you detect with your eyes. Many a time people end up in one ways going in the wrong direction especially in the big cities. This is a good example of relying on the navigation too much. If we checked the road signs we would see that there is sign for one way. But some devices may see it as just a short cut.

It is always helpful to keep updating GPS systems often. Roads changes regularly and new roads are built that are not on your old maps. We may not like those road works when we get delayed because of them. But the authorities are working hard on improving the road and highway systems. As a result you may end up driving on a road along the highway that will end up dead in some point along the line instead of connecting to the highway system.

You may have set the navigation nicely and getting directions at every turn and roundabout. Nonetheless this should not be an excuse not to check where you are and where you are going. Keeping an eye on the road signs and familiarise yourself of your surroundings. It is good to know your location in your head even it is a rough point on the map.

Check the map before you start and see the directions you will follow. A navigation device will only give you a partial map or an immediate area details. You should know at least which direction you are following. What the next town would be and the rough distances between the locations.

This would allow you plan your trip a lot better. You can decide beforehand where you are going to stop and have a break and where you want to be at certain times as well as when you should start the journey. For example, you may want to make sure that you pass a busy town before the rush hour traffic hits. Otherwise you would get there whenever you get there and this may be right in the middle of the busiest traffic.

We should remember that technology is here to help us. Nonetheless we should not allow it to dumb us down. For example, only a few years ago a taxi driver would know the address as soon as it comes out of your mouth. Now they all have navigation and have no clue. When you ask them to take you to one of the most well-known tourist attractions in their town they sit there staring at you and demanding an address. It is embarrassing as it is their job to know the roads, their city and where everything is.

Have Highway Lane Courtesy and Safe Journeys

Often we see people sticking to fast lanes as if it is their right as much as everyone else’s. Fast lanes are for drivers who want to travel at a faster speed. There is no point in standing in front of them and cause frustration. Besides they will show their anger with gestures and flashing headlights. It is important to travel in the right lane for your speed for your own and others’ safety.

You Can Cause Serious Accidents by Going Slow

Allowing others to travel at a consistent pace clears the highway congestions and bottlenecks. A slow car can quickly build up the traffic and that end up with pile ups. When a car is coming in a fair speed the driver probably assumes that the vehicle on the fastest lane must be going at a good pace as well. If you do not get out of their way they may rear-end you.

Drivers should go back to the appropriate lane for their speed when they take over a slow moving vehicle in front of them. They should not stay there permanently just because they may need to take over another vehicle down the road. A truck usually has to travel at a slow paste and they keep to the right lane. But other cars do not have the right to hold the lane when they can clear off or follow the speed.

You Can Get a Ticket for Traveling Too Slow

Driving too slow is considered as dangerous as driving too fast. By blocking the way you force the other automobiles weave in and out of the lanes and may be undertake you on the right. If you are in the overtaking lane and not giving way how they are supposed to pass?

In some states the level of distraction you are causing can determine the size of traffic fine. Slow motorists can easily be noticed and pulled out of the traffic to be fined and have point deduction. A speeding ticket is a moving violation ticket regardless of the fact you were opposite of speeding.

You Can Save Money for Everyone by Improving Gas Mileage

Keeping at a constant speed reduces gas usage as much as one third. When automobiles have to slow and speed again too often engines burn more fuel. If everyone follows their pace on the correct lane everyone wins. Otherwise you see unexplained congestions on highways. Sudden congestions on highways are highly dangerous for accidents.

Everyone Is Happier and You Don’t Have to Deal with Angry Drivers

The roads are now limited for the number of cars and higher and varied speeds are encouraged to open up the traffic. When people are respectful for each other and give way everyone gets to their destination faster including slow drivers.

Most people are usually upset when they see someone inconsiderately blocking their way. And they will end up upsetting you by flicking finger our making gestures. When you see a slow driver on the fast lane you should signal to left to indicate that you want to take over them. If they do not get the message you should flick your headlights to warn them. You should not follow them closely as they may be beginners or something and you can over excite them.

When Insured Auto Losses Are Too Small to Claim?

Great that you bought full coverage auto insurance to protect against possible losses and damages. This would offer a great financial relief when you need it. Not many people can afford to pay for another car if theirs is totalled but they can afford to pay the premiums.

Collision and Comprehensive coverage comes with deductible. This is first part of a loss you pay out of your pocket before you can demand payment from the vehicle insurer. Therefore, any claim you want to make must be bigger than this amount. For example, if you crashed your car and your collision deductible is $500 your damages must at least be over this amount.

Otherwise you just report a claim but you pay out your wallet anyway. It goes down as a claim on your policy without you getting much benefit from it. Then, at next renewal you will see that your car insurance rates are going up. This will hurt you and your wallet and you can avoid it by keeping it to yourself. Especially when there is no police report or third parties involved you can stop getting the accident registered.

Another point to consider is how much your auto insurance premium will go up at next renewal. Guessing this amount right can help you determine how much of a loss is too small to claim. For example, you have $500 deductibles and your rates are likely to go up another $500 if you make a claim then it is not hard to add them up and say that you will not benefit from a claim under $1,000.

It is true that you might have another accident later in the year and your premium goes up anyway. However, the rates go even higher when you have several accidents in a year. If you had a big accident and you cannot afford to pay for the damages on your own go ahead and make a claim. That is exactly for this reason you bought insurance.

However, keep it contained and pay out of your wallet when you have negligible damages. It is best you do not even tell the insurer. They may record the conversation with you about damage. It should not affect your car insurance quotes at renewal. However, they would look at your records when you are on the border line with several accidents. Then, they may even refuse to renew your policy.

You should avoid giving an impression that you are getting involved in too many fender benders and it is only matter of time you will come back with a big accident. Auto insurers are getting better at sussing out the risk and they are using all sorts of information to calculate the rates. That is why it is advisable that you do not even call their recovery services when you have a mechanical breakdown. Instead arrange it separately from another company and call them if you need.

Keeping the cost of insuring cars low is a good way of economizing and should be preferred to trying to get money out of insurance companies. They have a way of making you pay for the claim you made.

When Would A Car Be Totalled By Insurers?

Following an extensive damage many owners may want the automobile to be totalled in their mind. They may worry about the quality of repairs and the safety of the vehicle after. Psychologically some owners may be dis-attached from the car. They may not feel comfortable with it having experienced a horrific accident in it. Or it could be completely the opposite and they would not want to lose their ride. People can be attached to an auto pretty quickly that it would be upsetting to lose it.

However, the decision to total a vehicle would be given by the insurance adjuster along the lines of company rules, procedures and principles. These have to be in line with the state regulations. Nonetheless most states may have general terms in relation to writing off an automobile. They may say that when the cost of repairing a vehicle exceeds its open market value the vehicle should be totalled.

Open market value of a car is determined by checking the price of a same maker, model, age and mileage one sold in the open market. This figure is generally determined by looking at the price guideline websites. There may be little room to put your input on that if you do not agree. Adjusters may pay a little more for extras that were installed in the car like heated seats and other features.

Such statements would leave the key decisions to underwriters. They would need to take into account consequential losses like car rental during repairs to own auto, storage charges and cost of dealing with the long winded claim. Also, they would deduct the salvage value from an automobile’s open market value to arrive at a lower figure.

At the end they may end up saving 10 – 15% by totalling it quickly. Quite a few companies would total a vehicle when the cost of repairs reaches 70 – 80% of cash value. Probably most policyholder would prefer cash than getting an older auto repaired. Furthermore, insurers assume that you will continue with them once the claim settled. Therefore, they would not want to take chances with a car that has been extensively repaired.

This decision can quickly be taken by loss adjuster as soon as they see the vehicle. An experienced adjuster can see that the auto is beyond repair. Otherwise, it would be taken to a garage and inspected by a mechanic and wait for the estimate.

After a car is totalled the owner may be able to buy the salvage back from the insurer. Some people may have body shops they can trust and get the job done cheaper. Or for other reasons they may like to keep the car and get it fixed themselves. The settlement may come minus the salvage value or policyholder pay for the salvage separately.

You can get any of your concerns addressed by insurance adjuster. They will tell you the process and why did they come to decision of totalling. If the damages are paid by a third party insurance company you need to talk to them to find out more as to what would happen next.

Some Unexpected Auto Insurance Discounts

It is no surprise that your car insurance rates are coming down nicely as long as you have no claim or do not pick up moving violation tickets. Most people know that they are likely to get considerable discounts when they turn 25 as well. Moving out of city center to a nice suburb will save you ton of money and it would not come as a surprise either.

There are some other savings most people would not think available. A little here and there you could accumulate handsome discounts overall. Here are some of those savings.

Go Green And Save

Some companies offer savings to customers who buy their policies online and download their policy documents on to their computers. This save the company sending you printed documents. You can have around five percent savings this way.

Also, some companies would offer lower rates on their website. They encourage people do shopping on their own and save money. They cut the middlemen and telesales and therefore have no problem of sharing some of those savings with you.

Membership Discounts

Being a member of various organizations can save you money on vehicle insurance. For example, GEICO offers discounts to 275 different groups and organization members. Check any of your memberships qualify you for discounts. Also, your employer may be the member of scheme that allows employees low auto insurance rates.

Like Your Future Auto Insurer on Facebook

Companies run various campaigns on social media these days. The other day one company was offering ten percent discounts if you like them on Facebook. This is truly a click of a button discount for you. They change time to time and various new offers come. Do a quick search and you will find something, just like getting a coupon to buy something cheaper.

Renewing Coverage Early

Some companies offer five percent discounts to policyholders who renew their policy certain time before the renewal date. Generally, you would be advised not to rush into quick decision. That would be when it does not pay to be quick. By the way, within an hour of searching you would know if you can save money by moving somewhere else. So, you can still make your mind quickly with full knowledge.

Living in a Retirement Community

One large company offers savings for people who live in a retirement community. They need to be over 55 and living in one of the homes specially designed for retired people.

Paying Premium in Full

Many companies offer around five percent discounts if you pay the premium in full. If you can afford it this is an easy saving. Most credit cards allow nearly two months interest free periods as long as you settle the full balance in your next payment date. This could be a good chance for you to extend the benefits.

There are similar discounts all the time. If you look around as you renewal nears you can get yourself a good deal somewhere. A quick online search may reveal all there is at the moment.