What Are Auto Insurance Rates For Two Cars?
Reader’s Question:
My mom is so busy and she wants me to take care of insuring our two cars. Will there be differences in the auto insurance rate quotes of the two cars?
Nancy
Manhattan, KS
One consideration in insuring a car is the feature of the car itself. The insurance rate that will be quoted is a risk to the insurer. You might have the same car make but the model might be different. A newer Toyota car is more expensive to insure than an older Toyota car. A brand new car which is priced higher than second hand cars will surely have expensive premium car insurance as the insurer may lose more money if a brand new car will be repaired for some damages. Different car make and models would obviously demand different insurance coverage. A brand new Ferrari sports car which is more expensive than many other cars definitely will have a higher car insurance premium.
There are also cars which are reported to be the most likely to be stolen. In 2007 these included Honda Civic, Honda Accord and Toyota Camry. These would also command higher auto insurance rates since it would be a great loss to the insurer once replacement is needed for lost cars. So, if your car is one of these models, be prepared for a higher insurance payment. The safety and security features of your vehicle would also have some discount factor on the insurance rates. Lower auto insurance rates could also be obtained if your car has steering wheel locks, alarms, airbags, and other safety gadgets. I hope you could help your mom on deciding which insurance company to insure your cars.
Do I Need Comprehensive Insurance If I Finance My New Car?
Reader’s Question:
If I will finance the purchase of my car here in South Carolina, why is it so important for me to get comprehensive and collision coverage for my car insurance?
Danny
Charleston, SC
The required auto liability insurance would only pay for the damages on the other vehicle in an accident that you are at fault. In this case, the damages on your car would not be covered by your own car insurance. For that reason, the finance company who gave you the loan on your car would require you to purchase collision and comprehensive coverage.
Collision coverage would be the one to pay for the damages on your vehicle that are sustained in an accident that is your fault. Comprehensive coverage would pay for the damages that are caused by natural disasters such as fire, hail, etc. In case you hit an animal, the comprehensive coverage would also pay for the damages on your car. If you put together a complete coverage for your car insurance in South Carolina, the collision and comprehensive coverage must not be more than the fair market value of your car and must not be less than what you owe to the finance company. You have to check with the finance company if you owe them more than the fair market value of your car.
If you have figured out how much is the minimum liability coverage that you need and you have figured out the minimum amount of comprehensive and collision coverage that you need as well as your deductible, then you can now go online and search at least three various websites that would allow you to compare the costs of auto insurance policies from different insurers.
Can I Drive My Car Without Auto Insurance Coverage?
Reader’s Question:
Will I get in trouble here in Mississippi if I drive around without auto insurance coverage? I will buy coverage if I really have to but if it isn’t a state requirement then I would rather spend that money elsewhere. Thanks!
Karen
Jackson, MS
The short answer is YES. Mississippi, like most states these days, have financial responsibility laws that require every motorist to be able financially capable of paying for injuries or damages they cause in an auto accident. That means it’s illegal to be operating a vehicle if you don’t have auto insurance coverage. So you really need to buy auto insurance since it’s the law.
With the kind of economy we have these days, it is quite understandable (even commendable) that you are very hesitant to throw good money on something unnecessary. So here are some tips on how to get auto insurance coverage without breaking your budget:
1. Compare Rates Online – Using auto insurance portals (like this website) that offer an auto insurance free quote. This will help you find the insurers that have the lowest rates out there.
2. Simplify Your Coverage – Some people only need liability coverage. If you don’t think you need full comprehensive coverage then remove the excess of your policy. Personal Injury Protection (PIP) is one example; a good medical insurance can easily substitute this.
3. Drive Responsibly – Maintaining a good driving record is the best way to ensure affordable auto insurance rates for many years to come.
4. Ask for Discounts – There are many available so don’t hesitate to ask insurers about the ones you’re eligible to get.
5. Pick a Bigger Deductible – Choosing a bigger deductible amount will lead to substantially lower premiums.
You would be at a far higher financial risk for not carry auto insurance coverage, especially if you get into an auto accident. So get that auto insurance free quote and find an insurer that best fits your needs today.
Getting Auto Insurance With Recent Traffic Violation
Reader’s Question:
Is there any way that I can still have my auto insurance premiums lowered even if it was due to a recent traffic violation that got my license suspended?
Sam M.
Augusta, GA
You might still be able to get savings towards your car insurance expenses, but admittedly, it might be a bit of a challenge. In your case, I presume that you already got your license back as hardly any auto insurance company would grant you coverage without a proper drivers license (or at least a temporary permit). The first thing you have to understand is that getting your license suspended would really leave a dent on your driving record for the next three years.
First thing you should do is to shop around. Look for an auto insurance company that can offer you the lowest rate, or speak to an experienced and skilled auto insurance agent there in Georgia to help you find a provider whose rates you’ll be comfortable with. Don’t be afraid to negotiate for rates even if you have a bad driving record since these providers would still want your business.
Avoid filing auto insurance claims as much as possible. Avoid getting into further accidents, not even the smallest of traffic violations, as this would make it harder for you to expedite getting a clean record. It will take approximately three years to clean up your driving history and you don’t want to prolong that unnecessarily.
Also consider taking defensive driving lessons, install additional safety and security measures on your vehicle and increase your deductible to qualify you discounts and lower the amount of premiums you pay.
Uninsured Motorist Car Insurance In Arizona
Reader’s Question:
In Arizona, what does uninsured motorist car insurance cover?
Andrea
Phoenix AZ
The Uninsured Motorist car insurance in Arizona covers you or passengers in your car for bodily injury you or your passengers sustain in an accident involving a motorist who has no car insurance. This is according to the Arizona Department of Insurance.
There is also Underinsured Motorist coverage which covers you or passengers in your car for bodily injury you or your passengers sustain in an accident involving a motorist who does not have enough insurance to cover the your injuries or your passengers.
This coverage also covers your medical bills, loss of earnings and pain and suffering if you suffer injuries due to negligent motorist who lacks auto insurance, including a hit-and-run driver.
Should I Buy a Policy From an Auto Insurance Broker?
Reader’s Question:
I’ve been wondering sometime now if the best way to buy car insurance is through a broker. What are my other options aside from brokers or agents?
Sylvanna
Dallas, TX
A truly good auto insurance broker can definitely help you find a reliable insurance policy for your automobile. The problem though is that truly good brokers are usually few and far-between. You have to understand that most brokers work for commissions so it would only be natural for them to promote the kind of policy or insurer that gives them the biggest profit. This may not always be to your advantage.
As a consumer, however, you do have a few options. You can do the legwork yourself and call-up every insurer you can find for their rates. Or if you have Internet access, you can go to their websites to see what they can offer. The latter will obviously be the faster and more convenient approach.
An even better alternative is to use one of the many auto insurance web comparison websites (like this one right here.) auto insurance comparison websites brings the best of both worlds and a little bit more. Like any broker, you get instant access to a wide selection of insurers and plans to choose from. Since it’s online you don’t have to schedule a meeting or go to an office. In fact, it would just take a few minutes to see which insurers have the most competitive rate to offer you. On top of that, you can get access to these rate quotes absolutely free.
Many people prefer to have a human face in every transaction, and that is definitely ok. However, one cannot ignore the advantages offered by auto insurance comparison websites. In the end, if you want to save time and effort than I highly recommend searching for your auto insurance online instead.
Do I Need To Have Auto Insurance In Tennessee?
Reader’s Question:
I bet people from other states will be envious. Is it true that we do not need car insurance in Tennessee and we could do away without it?
Alvin
Chattanooga TN
While it is true that auto insurance is not required in Tennessee to get your vehicle registered or to get your license, it does not mean that liability insurance should be done away with.
For one, it is foolish to think that auto insurance is not necessary. Accidents happen and not having auto insurance will expose you to a potentially damaging financial liability.
Another thing is that if you get stopped by traffic enforcement authorities for a traffic infraction, they will ask you for proof of financial responsibility. If you do not have it, you will be hauled into court where you have to obtain the proof before your hearing. If you don’t get a proof of financial responsibility, you will not be able to register your vehicle. It is also considered a misdemeanor not to have proof of financial responsibility, which means you pay a $100 fine and possible suspension of your license.
So to save yourself the stress, the time and the effort, it is best to get adequate auto insurance in Tennessee.
Another reason for getting auto insurance in this state is that it does not really cost too much to get that added convenience and peace of mind. Tennessee belongs to the ten cheapest states in terms of average insurance premiums, with premiums averaging only $666 in 2004. And there are a variety of ways to further save on auto insurance here:
- Shop around for the best price that gives you the best insurance coverage and customer service. No two companies that provide auto insurance in Tennessee has the same price structure, so one is bound to be cheaper than the other.
- Opt to pay for a higher deductible.
- Drive less. This would mean relocating nearer to your place of work or school. If that is too inconvenient, consider car pooling or taking public transportation.
- Ask for discounts. Sometimes you can get 10% off your premiums simply by asking for it.
Are You A High Risk Driver – Having Trouble Getting Auto Insurance?
Reader’s Question:
Who are the persons that fall under the high risk auto insurance category? What are the common coverage for high risk drivers?
Richard
Denver, CO
High risk drivers often pay more than the average driver. It is because they are bringing risks for insurance company along with them the moment a carrier decides to insure them. One way or another, auto insurance companies will pay for whatever cause or risk he/she might inflict upon, and what scares them most is the veracity of circumstances that sooner or later he/she will make claims due to his/her loss. This is one of the reasons why insurers charge higher premiums for high risk drivers.
The people recommended for high risk auto insurance are the following:
- Those who have convictions or held citations for not following traffic rules.
- Those who are convicted of DUI (driving under the influence).
- Those who are driving without insurance or never been insured.
- Those who have lapses in their policy.
- Those who drive recklessly.
- Those who have been involved in an accident in the past.
- Those having a bad credit report.
- Those who are driving for the first time.
There are many factors that put us in high risk situation. By downplaying these factors, you can lower your insurance cost.
There are also special coverages made for high risk drivers. The availability to a certain extent would depend on what conviction you are held against. Like for instance, for bad creditors, there is a Bad Credit Car Insurance; for those convicted with DWI or DUI, there is a special coverage that would best suit their needs, one which includes signing of waivers and SR22 forms.
Cheap Young Driver Car Insurance For My Teen Son
Reader’s Question:
I am a parent of a teenage driver. Now I am a bit worried I will not be able to afford auto insurance coverage for him on my policy. What should I do as a parent to keep rates low for both of us?
Maggie
Columbia, SC
Parents, if not all, are a bunch of worry-warts. Paranoia increases threefold when their children grow up, and start to drive. They hinder their children in wanting to drive. It is just a natural course of life. This is the phase when they are learning to be independent. Teach and cultivate values that would make them better drivers.
Young car insurance is high. Why? First, they are relatively inexperienced. Inexperienced drivers are accidents waiting to happen, if they are not very careful. Their age is another factor. Drivers below 25 years old are considered high risk. Sorry guys but young male drivers’ rates are higher compared to female counterparts.
It is important for parents to emphasize the values of responsibility. Driving is a responsibility, not an unbounded license. Teach confidence on the road to avoid accidents. A little fear when starting to drive is understandable. Teach them to conquer that fear because an accident or ticket on their driving record at this age increases the already steep auto insurance premium.
In purchasing a auto for your children, parents must have a say. Explain to them why a regular, inexpensive car is a practical choice compared to its flashy counterparts. Make them aware of repair and maintenance costs. Expensive cars will make a dent on their budget too.
Parents may start sounding like a broken record but it is important to foster into them that a untainted driving record goes a long way. Starting on a wrong foot could give them higher insurance premiums as adults. foster in them the value of road courtesy. Enroll them in a defensive driving course. It is not enough that one knows how to drive. You might be careful, but the other driver isn’t. Defensive driving is different since you get to be alert of your surroundings, how other drivers behave, how to react efficiently. A sense of independence behind the wheel is exciting. Higher car insurance premiums are not.
Auto Insurance in Massachusetts For Teacher
Reader’s Question:
Hi, I’m a 61-year-old retired teacher. I just bought a 1993 Honda Civic and moved to this place three months ago. I was wondering: How much would auto insurance in Massachusetts cost me?
Dennis
Springfield, Massachusetts
Hi, Dennis. In these times of financial uncertainty, the cost of auto insurance in Massachusetts has gone past the $1,000 mark. However, the cost of insurance will depend on a lot of factors. For example, being a senior citizen not above 65 means you are viewed by auto insurance companies as a low risk driver, and therefore they will give you a cheaper price for auto insurance (however, rates go up if your age is past 65 or 70). Some companies will offer discounts also to car owners that have white-collar jobs. Your driving record also will matter. “Good” drivers are charged lower premiums while drivers with DUI records are charged insanely high auto insurance costs.
Where you live will also be taken into account in auto insurance costs. In Springfield, for example, the average travel time is about 30 minutes. The heavier the traffic you have in your area, the greater the chances of a car accident. Where you park your car will also be a factor especially at night. If you live in a neighborhood that is not safe, your car insurance costs are bound to increase. Your car (1993 Honda Civic) is also included in the top ten lists of cars stolen in the Massachusetts area, so even if it is less expensive, if your car is easily stolen, then that will be factored into auto insurance costs.
The best way to find the lowest auto insurance available is to compare rates online. Go to the top insurance companies, and they will give you a precise quote on your auto insurance. Some even offer online chat service, where you can get advice from car insurance agents on how to lower your premium.
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