Auto Insurance Deductibles New Jersey NJ

Reader’s Question:

I’ve been hearing (and reading) this over and over again that one sure way of getting cheaper auto insurance rates in New Jersey is to have higher deductibles. I am confused with what a deductible is. Can someone explain to me what deductible is? And how does it work?

Remy

Edison, NJ

Hello there Remy!

This is quite easy. Let me first define what a deductible is. Deductible is the payment that a policyholder makes before his or her auto insurance company pays for his/her loss.

Let me give you this scenario to help you understand. Let’s say you have a deductible that amounts to $750. Then one day you got involved in a vehicular accident. And you have to file for auto insurance claim. The damage on your car is estimated to be at $2,500. Before your auto insurance company covers for your claim you need to pay the $750 deductible first. So since you will be paying for the $750 deductible your auto insurance company will pay for the remaining $1750 of the total damage, minus the $750 deductibles that you need to take out from your own pockets.

If you have additional question about auto insurance deductibles, you can always ask your car insurance agent in New Jersey.

Tags: auto insurance, auto insurance quotes, car insurance rate, car insurance tips

 

 

 

 

 

 

 

Auto Insurance Coverage Maryland MD

Reader’s Question:

I am thinking of going solo and get my own auto insurance policy in Maryland. But before I do that I just wanna know the things that I needed to understand about going solo. I mean, what are the conditions that a person should meet in getting his or her own car insurance policy? Can anybody who wishes to get his or her own auto insurance policy be able to do that anytime they want it?

Taniya

Aspen Hill, MD

Hello Taniya!

I bet you are excited to get your own auto insurance policy and go solo. That’s what I exactly felt the first time I paid for my auto insurance bills.

And let’s go back to your question, according to Maryland Insurance Administration (MIA) if you still live in the same household with your parents and you do not own the car you’re driving then you are qualified to be under your parents auto insurance policy. By doing this, you would save a lot of money since in general parents pose a lower risk to be insured.

However, if you buy your own car, in most cases auto insurance companies would require you to purchase your own auto insurance policy. This is the common practice to avoid confusion on who owns the vehicle and who is to be held responsible for the said vehicle.

If you are looking for auto insurance quotes in Maryland, you can ask your car insurance agent or even check the online tools like websites. Happy shopping!

Tags: auto insurance, car insurance online, car insurance tips

Vehicle Insurance Rate Minnesota MN

Reader’s Question:

If I am involved in a minor moving violation, will this affect my car insurance rate in Minnesota? The reason why I’m asking this is because my boyfriend was cited for running a red light. We fear that this might cause an increase on his car insurance premium. He never had any traffic violation nor I so we’re kinda new on this scenario. Please help us.

Gina

Maple Grove, MN

Whether your boyfriend’s car insurance premium would increase or not depends entirely to his car insurance company. There are some cases that insurers “forgive” first time offenders and there are some who do not.

In addition, according to the Minnesota Department of Commerce car insurance companies are allowed to attach surcharge to a person’s policy if that person files for insurance claim or was convicted of a traffic violation. Hence with this, it’s legal if his car insurance company decided to increase your boyfriend’s car insurance rate.

It would be best to contact your boyfriend’s auto insurance agent in Minnesota to find out if there would be an increase on his boyfriend’s car insurance premium. I hope everything will end favorable on your side. However, if you do see an increase then you can always shop for lower car insurance quotes through the websites.

Tags: auto insurance, auto insurance quotes, car insurance online

Underinsured Motorist Coverage New Jersey NJ

Reader’s Question:

I’ve been hearing about the underinsured motorist coverage from my cousin. She’s insisting that it would be best if I purchase this car insurance coverage. I don’t quite understand what this coverage includes. Can someone explain what underinsured motorist coverage is?

Bert

Bayonne, NJ

Sure Bert!

The underinsured motorist coverage protects you in the event that you get involved in a vehicular accident with another person who does not have enough insurance coverage.

To give you a clearer idea let’s take this scenario for example. Allyn has purchased liability coverage amounting to $100,000 and underinsured motorist coverage amounting to $100,000. George has only purchased liability coverage amounting to $15,000. Allyn and George got involved in a vehicular accident. George crushed into Allyn’s car. Damage incurred amounts to $25,000. What will happen is George’s auto insurance company will pay $15,000 to Allyn. Meanwhile Allyn’s auto insurance company will shoulder the remaining $10,000 of the total damage. Also, remember that since this is a claim made for uninsured or underinsured motorist coverage, the first $500 of the damage is not included.

In simpler explanation, if the damage incurred is greater than the at-fault party’s limit, underinsured motorist coverage will kick in to pay the difference.

If you have additional question about underinsured motorist coverage, don’t forget to ask your auto insurance agent in New Jersey.

Tags: auto insurance, car insurance online, car insurance tips

Auto Insurance Coverage Arizona AZ

Reader’s Question:

I have a question regarding auto insurance coverage in Arizona. My brother and his family would come and visit me. They would stay in my house to celebrate Christmas with me. Since I have another car, I would let him drive that once he’s here. He also has a teen son. From what I knew, my nephew doesn’t have a license yet. My question is, if my brother uses my car would he be covered by my auto insurance policy if he got into a vehicular accident? How about my niece who doesn’t have a driver’s license yet? Is he covered too?

Frank

Tempe, AZ

Hello there Frank! I hope you’ll enjoy your Christmas season with your brother and his family.

Regarding your question, from what I’ve read, according to the Arizona Department of Insurance, anyone driving your car would be covered by your auto insurance policy provided that:

” You gave permission to the person to drive your car and
Under your car insurance policy, said person driving your vehicle is not specifically excluded

It would also help to check your auto insurance policy to see if there are any situations that are excluded from being covered by your insurer. For more information about car insurance coverage in Arizona, please ask your car insurance agent.

Tags: auto insurance, car insurance online, car insurance tips

 

 

Auto Insurance Rate Arizona AZ

Reader’s Question:

I heard that driving history is a factor that affects auto insurance rate to go up in Arizona. That’s why I did my best not to be involved in any vehicular accidents and even any traffic violations. I kept a very clean driving record. I always make sure I follow traffic rules. I didn’t make any claims at all. I was expecting that I would get a discount for being a good driver. Now, what really shocks me is that there is an increase on my auto insurance rate. I am not expecting it at all. What could be the reason behind that?

Bill

Flagstaff, AZ

You are correct when you said that driving record affects auto insurance rate to go up or even down. However, remember that car insurance rate is not entirely dependent on your driving record alone. There are so many reasons that affects auto insurance rate in Arizona.

According to the Arizona Department of Insurance, increases on auto insurance premium are related to the losses that auto insurance companies experienced whether it is statewide or countrywide. For example, losses of few within an insurer’s certain group of policyholders is being paid by the entire policyholders within the said group.

So you don’t really have to blame yourself for getting an increase on your car insurance premium. There some factors that are beyond your control and could affect your auto insurance premium to go up. Since you’ve mentioned that you keep a clean driving record, I would say it’s better to ask you auto insurance agent if you could get a discount from your insurer for being a good driver.

Tags: car insurance online, car insurance rate, car insurance tips

Driving Without Car Insurance New Jersey NJ

Reader’s Question:

I am wondering on what the penalties are for driving without car insurance in New Jersey? Am I just required to pay for fines? Are there any other penalties included?

John

Irvington, NJ

I hope you have car insurance because driving without car insurance in the state of New Jersey is against the law.

If a person is asked to show proof of car insurance and was not able to do so, it is considered a serious offense. From what I knew, if you are caught driving without car insurance for the first time, you may be asked to pay for fines which could go as much as over $1,000 and do community service. This includes other additional charges that you may be asked to pay.

In addition, depending on the number of times you are cited for this kind of violation, your driver’s license might also be suspended.

If you are driving without car insurance, I would say park your car, don’t use it again unless you have purchased car insurance. You can ask your car insurance agent in New Jersey to help you get the best deal that will work for you. Or you can even use the websites to get auto insurance quotes now.

Tags: auto insurance, car insurance law, car insurance tips

Car Insurance Claims El Monte California CA

Reader’s Question:

I learned that my son was recently involved in a car accident. It was his fault and he even totaled his vehicle. To make things even worse, we just learned that his auto insurance policy was cancelled prior to the incident. Now what worries us, does he need to pay for the damages incurred from that accident from his own pockets? Or does the other party’s underinsured motorist coverage pays for that?

Edith

El Monte, CA

I’m sorry to hear. I hope your son will be ok soon.

There are two kinds of underinsured motorist coverage (UMC) – uninsured motorist property damage (UMPD) and uninsured motorist bodily injury (UMBI). The UMPD pays for the damages on your vehicle in an event that you have an accident with a person who doesn’t have auto insurance policy. Meanwhile, UMBI pays for the bodily injuries incurred for you or passengers in your vehicle when you have an accident with an uninsured driver.

As to your question, that really depends if the other driver involved in the accident has underinsured motorist coverage. As you see, in the state of California, this kind of policy is not required. Hence, not all Californian residents have this policy since this is only optional. If a Californian resident declines to purchase this, she/he must need to sign waiver. However, given that the other party has this policy, it still depends though if s/he files the claim from his own auto insurance company or ask your son to pay for the damage. I would suggest you contact the other party to be ready for any compensation they might ask from your son.

Tags: auto insurance, car insurance claims, car insurance tips

Auto Insurance Rate Portland Maine ME

Reader’s Question:

My boyfriend received a speeding ticket just recently. It was worth 4 points. I heard this will affect his auto insurance rate in Portland, Maine. I am wondering, how many points will be added on his auto insurance? How much increase will he get on his car insurance premium? Will it drastically increase?

Belen

Portland, ME

That really depends on your boyfriend’s car insurance company. In general, every auto insurance company uses its own company’s guidelines in setting auto insurance rate. Getting a 4-point violation on your boyfriend’s record might mean different premium increase depending on the auto insurance company that rates it.

However, as what you’ve mentioned, it’s true that getting a traffic violation would eventually affect your boyfriend’s auto insurance rate. From what I read, according to the Maine Bureau of Insurance, drivers who have traffic violations are said to pose higher risk to be insured. Hence, they could be charged of higher auto insurance premium.

For more information on how this would affect your boyfriend’s auto insurance rate in Portland, Maine I would say its better to ask his auto insurance agent.

Tags: auto insurance quotes, car insurance rate, car insurance tips

Automobile Insurance Rate East Seattle Washington WA

Reader’s Question:

I was involved in a minor traffic violation two weeks ago. I was cited for over speeding then. Last week, I was again involved in a traffic mishap. Now my question is, how long will this affect my auto insurance rate in East Seattle, Washington?

Michael Angelo

East Seattle, WA

I would say having involved in a traffic violation and accident in less than a month is never a good thing.

According to the Washington State Office of the Insurance Commissioner, auto insurance companies set their rates beginning from a dollar, which is the base rate. Then, a person’s base rate is calculated depending on different factors. Some of these factors are age, gender, driving history, claims history etc.

As to your question on how long these violations would affect your car insurance rate, that depends on you insurer. Each car insurance company has different guidelines. However, from what I heard, it is usually three, five, or seven years. Just to give you an idea, a person’s traffic violation is kept in the WA Department of Licensing (DOL) for a period of five years. So given this fact, auto insurance companies usually follow the same procedure.

For further inquires, don’t forget to consult your auto insurance agent in East Seattle, Washington.

Tags: auto insurance, car insurance online, car insurance rate, car insurance tips

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