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Who are better drivers - men or women? As with most Battle of the Sexes debates - each gender can make a legitimate case. Women may claim they're safer drivers and less prone to road rage, while men may argue they're more adept at driving at high speeds and avoiding obstacles on the road. The debate can continue ad nauseam. But insurance companies can use statistics to answer the question - who pays more for car insurance - men or women?

Do Men Pay Higher Auto Insurance Rates than Women?
Car insurance companies base your rates on how high of a risk you are to insure. In 2006, nearly 30,000 male drivers died in car accidents, while only 13,000 women suffered the same fate (IIHS).

Because male drivers are more likely to die in a car accident, car insurance companies perceive them to be a higher risk to insure, especially young male drivers who just got their license. Consequently, young male drivers aged 16-25 typically pay more for auto insurance than young female drivers in the same age group.

Good News for Male Drivers
The good news for male drivers is that they are only perceived as a higher risk to insure from the ages of 16 to 25. Once you reach age 25, as long as your driving record is devoid of accidents and tickets, your car insurance rates should start to decrease and will eventually become level with your female counterparts. While this news can be disheartening to young male drivers, they can take solace that their car insurance rates will gradually decrease over time as long as they maintain a clean driving record.

Men and Women Can Both Save on Car Insurance
While both genders can continue to argue which sex is the better driver, one thing we all can agree on is that saving money on your car insurance benefits everyone. If you have a teenage driver, especially a male teenage driver, you can still find discounts on your car insurance. While you are in school, car insurance companies usually offer good student discounts if you maintain a "B" average or better. Men and women alike can raise their deductibles to make their car insurance rates a little lower as well. When looking for car insurance at any age, comparing quotes is the best way to find the best rates.

Posted by InsZo at 8:55 AM | Permalink

Many people have decided to purchase smaller, more fuel efficient and environmentally safer cars. However, if you drive one of these cars, you could end up costing you more at the gas pump. Even if you have a car that doesn’t get the greatest gas mileage, there are still simple measures you can take to save money on gas.

Shop for Car Insurance (Could Save $301 a Year)
Shopping for car insurance is a great way to save money. InsWeb consumers save an average of $301* on a 6-month policy. This savings becomes increasingly significant as gas prices continue to rise. Experts predict that if gas reaches the $4 a gallon mark, families will be spending an extra $400 on gas in 2008. The money you can save on your car insurance can help offset additional gas expenses.

Keep Your Car Tuned-Up (Save 11.4 Miles per Gallon)
Some mechanics estimate that a poorly tuned engine can use up to 50% more gas than one that is running well. In fact, according to the National Car Care Council (www.carcare.org), if you combine under-inflated tires, a dirty air filter, worn spark plugs, a worn oxygen sensor, dirty oil, and a loose gas cap, you could be losing up to 11.4 miles per gallon.

Keep Your Tires Properly Inflated (Save 3.3% on Gas)
Underinflated tires will cause you to consume more gas. The U.S. Department of Energy says that drivers can save an average of 3.3% on gas by keeping their tires properly inflated. The proper inflation for your tires should be specified in your owner’s manual.

Drive at Steady Speeds
Experts estimate that for every 5 mph you drive over 60 mph, you are effectively adding $0.10 to $0.20 to each gallon of gas you purchase. Stop-and-go traffic adversely affects your gas mileage; since you are using gas but not going anywhere. If possible, try to avoid areas where traffic gets congested. Also, when that red light turns green, you don’t have to take off like a drag racer. Controlling the “horses” under your hood can reduce the amount of gas you use.

Minimize Your Time in Your Car

The best way to save on gas is curtail your driving. Carpooling with friends or coworkers can help reduce your gas consumption and save you money. Scheduling a day where you can get all your errands done, instead of making a bunch of shorter trips during the week, can also reduce the amount of fuel you use.

Posted by InsZo at 10:38 AM | Permalink

1. Shop and Compare Rates Every 6 Months
In 2008, if you check your car insurance rates in January, make sure your check them again in June. According to an independent study, people who compare rates and switch carriers at InsWeb.com save an average of $301* on a six month policy. Consider the savings over 12 months! Tickets or no tickets, you’re a different driver than you were last summer. Get updated quotes and see what your individual savings could be.

2. Select Higher Deductibles
Simply put, the higher your deductible, the lower your premium. Indeed the cost of an accident will be that much more expensive; however, if the damage is minor (grey zone in making accident claim), you’ll be spending the same out-of-pocket amount regardless.

3. Make a Cheaper Policy Even Cheaper: Don’t Pay in Monthly Installments
Additional administrative fees are commonly applied to payments when you split your premium in to installments (i.e. monthly, semi-annual, annual). Be aware that a monthly fee of even $7 can add up to $84 over 12 months.

4. Look for Multi-Line Insurance Discounts
The most under recognized car insurance discount results from the multi-line insurance policy: buying your auto insurance and your homeowners insurance from the same insurance company. According to the Insurance Information Institute, a multi-line policy can save you up to 15% on both premiums.

5. Collect on Your Good Driving
Most insurance companies reward good driving with lower premiums. In fact, in some states a good driving discount is required by law. If you haven't had any accidents or tickets in the last three to five years, shop at InsWeb.com and see whether you are missing out on this money savings discount.

6. Don't Overpay for Tickets
Unfortunately moving violations are an accurate reflection of your liability to an insurance company, and your rates can skyrocket as a result. Perhaps you deserve a higher rate, but don't let the insurance company unduly punish you. Shop around and see if you can find a more reasonable rate with another company.

7. Look for Safe Vehicle Discounts
Many companies offer discounts for various safety features on your vehicle, including air bags, alarms, factory-installed mechanical seatbelts and antilock brakes. In getting updated insurance quotes, be sure to indicate such safety features to benefit from available discounts.

8. Don't Overpay for Your Unnecessary Coverage
You may be paying for coverage that you don't need. For example, you may be a member of an auto club that provides towing services, yet you're also paying for towing on your auto insurance policy. Look for opportunities to eliminate unnecessary costs.

9. Look for a Good Student Discount or Senior Discount
Students currently enrolled in school often receive a discount on auto insurance for good grades, as many companies feel conscientious students make conscientious drivers. Similarly, insurance companies are known to value the wisdom of an experienced driver, offering discounts to drivers over 50 as a result.

10. Pay Less for Driving Less
Many insurance companies will offer discounts on vehicles that incur low annual mileage. In fact, some companies have a predetermined number of what they consider low mileage. Has your commute changed? If so, it might save you money to get an updated quote.

Posted by InsZo at 4:59 PM | Permalink

A DUI’s Impact on Your Car Insurance
All emotions aside: a DUI dramatically increases the degree of risk an insurance company assumes in order to underwrite your car insurance policy. After a DUI, you will be categorized as a high risk driver and can expect your current premiums to double—if your carrier doesn’t just simply non-renew your policy.

MADD (Mothers Against Drunk Driving) reports that the average first time DUI offender can expect his/her car insurance rates to range between $3,600 and $6,600 a year. Depending on how long a DUI remains on your state’s driving record, these rates are known to continue for up to 7 years. Furthermore, any additional accidents and tickets (past or future) can easily make the situation exponentially more difficult—like tripled insurance costs!

Other Mandatory Costs of a DUI
Aside from increased car insurance rates, there are many other financial implications that come with a DUI. Unless you live in a major city, there really is no substitute to driving. From the perspective of life’s real world priorities, being able to drive ranks just below air, water, food, and shelter. Salvaging this privilege after a DUI though involves more than just expensive car insurance rates. Depending on the state you live in, additional costs can include:

• Towing: $300 - $1,200
• Bail: $250 - $2,500
• Fines and Court Fees: $500 - $2,500
• Attorney Fees (average): $2,500
• Mandatory Education and Treatment: $350 - $2,000
• Electronic Home Monitoring: $150 - $2,250
• Ignition Lock: $730 - $2,800
Total Cost: approximately $10,828

What the above estimates fail to account for are the daylight hours it takes to satisfy all the corresponding obligations. Time spent in court, at classes and treatment, restitution services, and even jail time can turn a person’s world upside-down. Interestingly, states like Washington make matters more complicated by automatically suspending driving privileges for 90 days upon the first offence. Think of how you would even get to court?

Furthermore, since a DUI is criminal offence, your driving record will be complemented by a criminal record. If your vocation values the integrity of such a mark (medical, transportation, finance, etc.) finding a new job can become as complicated as finding affordable car insurance.

Moving On After a DUI
Although a DUI is a mistake that ravishes a person’s finances, it is possible to bounce back after a conviction. Every day that passes after your DUI conviction can lower your rates, because older charges have less of an impact on your risk profile, especially if you were a teenager or young adult at the time of your conviction. Comparison shopping for car insurance is essential for a driver with a DUI on their record.

Although you won’t have as many options, don’t fall into the trap of signing on with the first company that approves your application. Conduct research, compare quotes, and make a careful decision. In the meantime, take a conservative approach to driving and don’t get any tickets or become involved in accidents. Party smart and enjoy your Holiday season.

Posted by InsZo at 9:36 AM | Permalink

Good or Bad—Your Credit Affects Your Auto Insurance
Many people might be unaware about how their insurance score affects their car insurance rates.

Some consumers are disturbed by the fact that, when applying for insurance, one insurer will reject an application based on an applicant’s insurance score, yet another company will find it acceptable. This underscores the importance of shopping around for car insurance.

What is a Good Credit Score?
A good score is typically above 760 and a bad score is below 600. Many people have no idea they are beneficiaries of insurance scoring. Insurers say more than 50% of policyholders have a lower premium because of good credit.

How to Maintain a Good Credit Record
Pay Your Bills on Time: Pay all of your bills on time. Late payments and delinquent accounts can have a major negative impact on credit scores, as well as give creditors the right to increase your interest rates. Your goal should be to build a long history of reliable bill paying behavior.

Only Carry a Few Credit Cards: Limit yourself to a maximum of three or four cards and keep your balances low. Use no more than 30% of your available credit at any given time and try to pay off your balance in full whenever possible. If you decide to crack down on your credit card usage by cutting up a credit card, go ahead and do it. However, don’t close the account as this will raise your balance-to-credit-limit ratio, and can have a negative impact on your credit score.

Check Your Credit Report Annually: Look for errors and correct them as soon as possible. By law, you are entitled to one free credit report from each of the three reporting agencies once a year. You can request your free annual credit report from the only online authorized website, AnnualCreditReport.com or by calling the toll free number 1-877-322-8228. Also, if you apply for credit and are turned down, you have a right to request a free credit report from the agency used by the creditor. If you would like additional information regarding credit scores, or would like to purchase your own FICO® credit score used by most lenders, visit MyFico.com.

Make sure you keep your credit under control. Since car insurance providers use your credit score differently, make sure you compare multiple car insurance quotes when buying your policy.

Source: Insurance Information Institute (III.org)

Posted by InsZo at 9:13 AM | Permalink

Airbags: Saving Lives and Money
In 2005, 2,741 lives were saved due to airbags. While auto insurance discounts vary from state to state, some states require that car insurance providers give discounts for people who own a car with airbags. In September 2006, a directive by the NHTSA made having an advanced frontal airbag system a Federal regulation. This includes passenger side airbags and newer, safer, frontal airbags. Passenger side airbags are activated only when there is a person sitting in the seat. If the sensor in the seat doesn’t detect the weight of a person, then the airbag will not deploy in the event of an accident.

Anti-Lock Brakes
States such as Florida, New Jersey and New York, insurers are required to give discounts to drivers who have vehicles with anti-lock brakes. According to the Insurance Institute for Highway Safety, anti-lock brakes are on about 63% of all new cars sold and 90% of light trucks. Anti-lock brakes are designed to keep your wheels from locking if you slam on your brakes. Anti-lock brakes help you keep more control during a violent stop and reduce your stopping distance.

Automatic Seatbelts
In 2005, 55% of those killed in passenger vehicles were not wearing seat belts. Wearing a seatbelt is not only the law in most states; it is also the best way to protect yourself. Having automatic seatbelts in your vehicle—seatbelts that are attached to a rail above your door and moves into place when the door closes—ensuring that you will be wearing a seatbelt at all times.

Car Alarms
Having a noisemaker car alarm on your vehicle should scare away thieves as well as save you money on your car insurance. Car alarms can be purchased and installed on older vehicles. Most new cars come equipped with safety features like audible alarms or keyless entries. If you do install an audible alarm on your vehicle, make sure you notify your car insurance provider. With car alarms, the louder the alarm doesn’t mean more savings. Just having a car alarm on your vehicle will do the trick.

Window Etching
Window etching is when you get your VIN etched onto the windows of your car. It serves as a visual deterrent to would-be thieves much in the way a “Beware of Dog” sign would on a fence. VIN etching also makes the parts useless for re-selling; making your car less likely to be stolen.

Shopping around and comparing quotes is still the number one way to save on auto insurance. If your car is equipped with some of the safety features mentioned in this article, make sure you notify your insurance provider. Not only can these safety features save lives and help prevent accidents and theft, they can also save you money on your car insurance.

10 Most and Least Expensive Cars to Insure
10 Easiest Ways to Lower Your Car Insurance Rates
Tickets and Moving Violations: Don’t be a Prisoner to Your Auto Insurance Company

Posted by InsZo at 9:21 AM | Permalink

Every year the IIHS rewards the safest cars with the Top Safety Pick award. To earn such a rating, each vehicle has to achieve a ranking of “Good,” the highest possible ranking, in three tests:

Can you save hundreds of dollars on your auto insurance?   13 SAFEST VEHICLES 1 Audi A6: manufactured in Dec. 2006 and later 2 Audi A4 3 Saab 9-3 4 Subaru Legacy: equipped with optional electronic stability control 5 Hyundai Entourage 6 Kia Sedona 7 Mercedes M class 8 Volvo XC90 9 Acura RDX 10 Honda Pilot 11 Subaru B9 Tribeca 12 Honda CR-V 13 Subaru Forester: equipped with optional electronic stability control

A new standard for 2007 is all vehicles must offer Electronic Stability Control (ESC) to earn a Top Safety Pick award.

Driving a Safe Vehicle can Mean Savings
Many car insurance companies offer discounts for various safety features on your vehicle, including air bags, alarms, factory-installed mechanical seatbelts and antilock brakes. When getting updated insurance quotes, be sure to indicate such safety features as they might lead to additional discounts.

The Safer You Drive–The More You Save
It seems pretty obvious that if you avoid accidents and don’t get any tickets or moving violations, your car insurance rates should be reasonable.

Avoiding accidents and tickets for a year can lead to safe driver discounts. If you have had a fender bender, or received a ticket, shopping around and comparing car insurance quotes can help you find a reasonable auto insurance rate.

Where You Live and Your Car Insurance Rates
Where you park your car at night has an affect on how much you pay for car insurance. There are some areas, mostly urban, where car thefts are more likely to happen. Living in an area where crime is more likely to occur will likely raise your car insurance rates. Finding other discounts that relate to you can help keep your car insurance rates reasonable.

Whether the car you drive won the Top Safety Pick award, or recieved negative results on a couple tests, you can still find ways to save. Avoiding accidents and tickets, and choosing a safe place to live can all help keep your car insurance rates manageable. Shopping around and comparing quotes is still the easiest and most effective way to find savings on your car insurance.

Posted by InsZo at 2:52 PM | Permalink

American culture attributes the car we drive to our persona — defining our values, our sense of style, and to some extent, our eccentricities. It’s the reason that Corvette owners wave to each other, and why everyone feels the need to catch a look to see who’s driving the Hummer. In the same manner, the car we drive also determines how much we pay for car insurance.

Easily an afterthought to the monthly car loan payment, many owners are “car-broke” because of their insurance costs, and don’t know it. Are you driving one of the most expensive cars to insure?

Although common-sense holds that the more expensive a car, the more expensive the insurance, this is not always the case. Insurance rates differ greatly between makes and models. If a car performs well in crash tests, it’s not frequently stolen, and has additional safety or anti-theft devices, it will generally cost less to insure it. On the other hand, if your car is flashier, attractive to thieves, and doesn’t wow anyone in the crash tests, it will cost more to insure.

What’s the Fastest You’ve Taken It?
If you drive a high performance vehicle with more horsepower than General Washington’s Army, insurance companies have no other choice but to assume that you will use it and practice riskier driving. Should you get into an accident, regardless of fault, the cost of returning your vehicle to its original condition can be extraordinary— even for a seemingly innocuous fender bender.

Bigger is Safer, But Cause More Damage
Although SUVs, large trucks, and other large road warriors might be safer than compact cars in accidents, they tend to foster a more expensive liability coverage rate given the fact that they inflict more damage than most standard cars in accidents. On another note, there are still many SUVs that have inherent safety flaws in their design, specifically with rollover tests. Accordingly, insurance companies share these additional financial risks onto the driver in the form of higher premiums.

Car Insurance Companies Love Family Cars
Cars that are particularly associated as “family cars” tend to have lower insurance premiums. These types of cars include minivans, family sedans, and station wagons. Cars that are used primarily to transport a family are generally involved in fewer accidents, due to safer driving habits associated with those who transport family members.

It Doesn’t Matter Which List You’re On: Don’t Over-Pay for Car Insurance
Insurance companies specialize in different types of financial risk and demonstrate this best in their insurance rates. Just because your insurance company affords you a wonderful rate on your homeowners insurance policy, doesn’t mean they’ll offer you the same deal to insure your Jeep Wrangler. Remember, the same policy can differ by hundreds of dollars from company to company, not to mention that rates are always changing. Regardless of which list your car is on, you can always get quotes to identify potential savings from a new insurance company, or any previously unrecognized discounts from your current company.

Posted by InsZo at 9:47 AM | Permalink | TrackBacks (0)

It's a fact that insurance companies are always changing their rates, whether you know it or not. In fact, in some parts of the country, an industry price war is mounting among carriers, in the same manner that airlines slash prices: to gain consumer market share.

Don't continue to overspend on your car insurance in 2007 — and don't wait till the end of the year to make adjustments. Your potential savings are better used for the cost of gas, vehicle registration costs, tolls, parking, and the other hidden costs of owning a car.

1. Shop and Compare Rates Every 6 Months
In 2007, if you check your car insurance rates in January, make sure your check them again in the summer. According to an independent study, people who compare rates and switch carriers at InsWeb.com save an average of $301* on a six-month policy. Consider the savings over 12 months!

2. Select Higher Deductibles
Simply put, the higher your deductible, the lower your premium. Indeed the cost of an accident will be that much more expensive; however, if the damage is minor (grey zone in making accident claim), you'll be spending the same out-of-pocket amount regardless.

3. Make a Cheaper Policy Even Cheaper: Don't Pay in Monthly Installments
Additional administrative fees are commonly applied to payments when you split your premium into installments (i.e. monthly, semi-annual, annual). Be aware that a monthly fee of even $7 can add up to $84 over 12 months.

4. Look for Multi-Line Insurance Discounts
The most under recognized car insurance discount results from the multi-line insurance policy: buying your auto insurance and your homeowners insurance from the same insurance company. According to the Insurance Information Institute, a multi-line policy can save you up to 15% on both premiums.

5. Collect on Your Good Driving
Most insurance companies reward good driving with lower premiums. In fact, in some states a good driving discount is required by law. If you haven't had any accidents or tickets in the last three to five years, shop at InsWeb.com and see whether you are missing out on this money saving discount.

6. Don't Overpay for Tickets
Unfortunately moving violations are an accurate reflection of your liability to an insurance company, and your rates can skyrocket as a result. Perhaps you deserve a higher rate, but don't let the insurance company unduly punish you. Shop around and see if you can find a more reasonable rate with another company.

7. Look for Safe Vehicle Discounts
Many companies offer discounts for various safety features on your vehicle, including air bags, alarms, factory-installed mechanical seatbelts and antilock brakes. In getting updated insurance quotes, be sure to indicate such safety features to benefit from available discounts.

8. Don't Pay for Unnecessary Coverage
You may be paying for coverage that you don't need. For example, you may be a member of an auto club that provides towing services, yet you're also paying for towing on your auto insurance policy. Look for opportunities to eliminate unnecessary costs.

9. Look for a Good Student Discount or Senior Discount
Students currently enrolled in school often receive a discount on auto insurance for good grades, as many companies feel conscientious students make conscientious drivers. Similarly, insurance companies are known to value the wisdom of an experienced driver, offering discounts to drivers over 50 as a result.

10. Pay Less for Driving Less
Many insurance companies will offer discounts on vehicles that incur low annual mileage. In fact, some companies have a predetermined number of what they consider low mileage. Has your commute changed? If so, it might save you money to get an updated quote.

* Based on average savings information from InsWeb policyholder survey data from 4/27 to 7/4/2005.

Posted by InsZo at 12:11 PM | Permalink

While we can’t do anything about the price of gas, we can do something about the frequency we stop to fill-up. Below you will find six proven ways to save money on gas during the summer months, however; recognizing that the cost of driving is still going to be outrageous, you can easily offset the extra expense by saving on your monthly car insurance bill instead.

1) Drive at Steady Speeds (Save $0.10 to $0.20/Gallon)
It may sound a bit like an elementary drivers-ed lesson, but driving steadily at the speed limit is the best way to control gas consumption.

Experts estimate that for every 5 mph you drive over 60 mph, you are effectively adding $0.10 to $0.20 to each gallon of gas you purchase. As stops and starts negatively affect your gas mileage, try to avoid stop-and-go traffic whenever possible. Similarly, try to control the horses in your engine and limit your rapid accelerations.

2) Keep Your Car Tuned-Up (Save 11.4 Miles per Gallon)
Some mechanics estimate that a poorly tuned engine can use up to 50% more gas than one that is running well. In fact, according to the National Car Care Council (carcare.org), if you combine under-inflated tires, a dirty air filter, worn spark plugs, a worn oxygen sensor, dirty oil, and a loose gas cap, you could be loosing up to 11.4 miles per gallon of gas.

3) Keep Your Tires Properly Inflated (Save 3.3% on Gas)
Underinflated tires will cause you to consume more gas. The U.S. Department of Energy says that drivers can save an average of 3.3% by keeping their tires properly inflated. The proper inflation for your tires should be specified in your owner’s manual.

4) Cut Down on A/C and Extra Baggage (Save 2% on Gas)
While on the highway, closed windows decrease air resistance, but when you are driving down city streets and in stop-and-go traffic, it’s a good idea to open the windows rather then run the air conditioner. Additionally, limit the amount of stuff you keep in your trunk or on your roof racks. An extra 100 pounds in your trunk or on your roof rack, reduces a typical cars fuel economy by 1-2%.

5) Try to Minimize your Driving
Try to plan one long trip instead of several short trips. If you can, try to carpool or use alternate forms of transportation (busses, trains, subways), or ride your bike or walk to nearby destinations. These are the more obvious ways to save gas and they also have a positive effect on the environment. You can also try to stagger your work hours so that you aren’t driving in prime traffic hours.

6) Consider Buying a Smaller, More Fuel Efficient Car
Smaller cars are not only often less expensive and cheaper to insure then larger cars, but they also use less gas (because they are lighter). Also cars with automatic transmissions get an average of 5 miles a gallon less then manual transmissions. Six-cylinder engines get about 4 to 5 miles per gallon less then four-cylinder engines. Also, certain hybrid cars can get up to 48 miles to a gallon of gas.

Posted by InsZo at 11:13 AM | Permalink

Auto Insurance Quotes are Not Final: How to Make Them Lower
When you shop and compare multiple auto insurance quotes, recognize that even if the quotes are about the same as your current policy, or lower for that matter, they can still be even lower. There may be too much coverage, or extra options tucked into the quote that you really don’t need.

Although higher limits provide you with greater protection against possible losses, you may be carrying limits that are not in line with the value of your total assets and your lifestyle. As you review your quote, consult with an insurance agent before making any final coverage decisions. Additionally, you may be a member of an auto club that provides towing and labor protection, therefore, paying for it in your auto policy could be unnecessary. The same may hold true for car rental coverage: do you really need it?

Trying to Make “Accidents” More Affordable
Many drivers make the mistake of carrying the lowest deductibles in order to help offset the costs associated with filing a claim. The fact remains, the higher your deductible, the lower your premium. Indeed the cost of an accident will be that much more expensive; however, if the damage is minor, you could be spending the same out-of-pocket amount regardless. Save on your policy, not the accident; raise your deductibles if you can afford to.

Paying for the Policy in Monthly Installments
Just like any bill, it is common to pay for insurance in monthly installments, either by check or automatic bank withdrawal. Be aware that additional administrative fees are commonly applied to payments when you split your premium into installments (i.e. monthly, semi-annual, annual). A monthly fee of even $7 can add up to $84 over 12 months.

Overpaying for Tickets and Moving Violations
Perhaps you deserve a higher rate for your driving record, but don’t let the insurance company unduly punish you. Although having moving violations on your driving record can limit your selection of insurance companies, don't believe that finding affordable car insurance is as intimidating as appearing in traffic court and paying fines. To the contrary, there are companies that specialize in insuring higher risk drivers at reasonable prices. The only way to identify such companies though, is to compare multiple quotes from multiple companies.

Don’t count on your tax refund to save money! Instead, you may be able to save hundreds by simply taking 10 minutes to analyze your auto insurance policy. Even if last year seemed uneventful, the chances are good that your individual circumstances have changed enough to qualify you for lower car insurance rates. And even if nothing changed on your end, many large insurance companies may have reduced their rates since you last shopped.

Posted by at 9:26 AM | Permalink | TrackBacks (0)

There is an abundance of misinformation floating around the Internet that will convince you why you should pay out-of-pocket for small fender benders — especially if you have any previous accidents or moving violations on your driving record. At the scene of a collision, don’t be so quick to financially resolve the accident by writing a check or accepting the other driver’s available cash on hand.

There is a reason that your state requires a certain level of car insurance: car repairs always have unexpected costs and personal injuries sometimes take unforeseen turns towards chronic physical injury. If you choose to not report an accident to your insurance company, you are taking an uncalculated risk that you are probably not prepared for. If the other driver chooses to sue you months later, your failure to report the accident might cause your insurer to refuse to honor the policy. Imagine the financial and legal challenge of taking on an insurance company all by yourself.

Auto accidents are expensive and inconvenient; however, having the lowest possible deductible probably isn’t going to make a difference in the long-term costs of such an event. Instead, you should consider increasing your deductibles to lower the overall cost of your premiums. It’s one of the best ways to save on your car insurance. Yes, a collision will be a little more expensive, but you’re probably not going to experience enough accidents to justify the forgone savings. If you’re a safe and responsible driver, save on your overall premium, not on the out-of-pocket costs in an accident.

As with anything, preparation is the key to successfully navigating the administrative headaches of a fender bender. Always have a pen and paper readily available next to your proof of insurance. You’ll want to collect the names and addresses of all drivers, passengers, witnesses, and law enforcement officials involved; in addition to license plate numbers, the make and model of each car, driver’s license numbers, insurance information, and as much scenario detail as possible. There are two points of wisdom that strongly support any resolution that most people overlook: 1.) Never admit fault, and 2.) Have a disposable camera handy to take undisputable images of the scene. In any type of auto accident, everything happens in a flash and “hindsight is 20-20”.

If a fender bender has bruised your driving record and you are suffering from what seems to be unreasonable premiums, don’t be a prisoner to your insurance company. There are companies that specialize in insuring high risk drivers with reasonable rates. To find them you must shop around and compare multiple quotes from multiple companies. The same policy can vary by hundreds of dollars from company to company.

Posted by at 3:21 PM | Permalink | TrackBacks (0)

For drivers that already pay for moving violations in their current auto insurance policy, shopping around for a new policy could uncover significant savings. Although having multiple violations on your driving record can limit your selection of insurance companies, don't believe that finding affordable car insurance is as intimidating as appearing in traffic court and paying fines. To the contrary, there are companies that specialize in insuring high risk drivers at reasonable prices. The only way to identify such companies though, is to compare multiple quotes from multiple companies.

In most states, traffic violations remain on your driving record for three years, although some states keep them for as long as five. Interestingly, many drivers continue to pay high insurance rates for infractions that have since fallen off their record. Don't expect insurance companies to simultaneously lower your premiums with magical synchronicity according to your driving record. They generally only check driving records when you first apply for a policy, therefore; the responsibility rests on you alone to maximize your savings.

Americans drive almost 3 trillion highway miles a year. In all this activity, moving violations will happen as we're all capable of making poor driving decisions. Regardless, it is essential that you try to keep tickets off your record. Although drivers typically experience modest increases in their insurance premiums from their first moving violation, premiums can skyrocket with any additional infractions. Depending on the nature of your violation, most states will allow you to take traffic school in exchange for a dismissal of the ticket. When you have the opportunity to do so, take it. Alternatively, if you feel that your moving violation is not warranted, and can be explained to a judge, challenge the ticket in traffic court. It is believed by many that simply making the effort to appear in traffic court can improve your likelihood of having your fines reduced, if not dismissed entirely. Keep in mind however, even though a fine may be reduced or eliminated by the court, a moving violation may still be added to your driving record.

Insurance companies statistically correlate your moving violations to the likelihood of you filing an insurance claim in the future. At its simplest: if you have tickets, you're probably a riskier driver that will experience higher car insurance rates. However, the same policy can vary by hundreds of dollars from company to company. If you have any moving violations on your driving record, it is in your best interest to shop around and see if you can find a more reasonable rate. You should compare auto insurance rates at least every six months, regardless of your driving record, as insurance companies are always adjusting rates.

Posted by at 9:18 AM | Permalink | TrackBacks (0)

Don’t overspend on car insurance in 2007: Your potential savings are better used for utility bills, cell phone calling plans, or better yet, personal entertainment. In shopping for a new car insurance policy, use InsWeb’s 10 tips for lowering your rates.

1. Shop and Compare Rates Every 6 Months
In 2007, if you check your car insurance rates in January, make sure your check them again in June. According to an independent study, people who compare rates and switch carriers at InsWeb.com save an average of $301* on a six month policy. Consider the savings over 12 months! Tickets or no tickets, you’re a different driver than you were last summer. Get updated quotes and see what your individual savings could be.

2. Select Higher Deductibles
Simply put, the higher your deductible, the lower your premium. Indeed the cost of an accident will be that much more expensive; however, if the damage is minor (grey zone in making accident claim), you’ll be spending the same out-of-pocket amount regardless.

3. Make a Cheaper Policy Even Cheaper: Don’t Pay in Monthly Installments
Additional administrative fees are commonly applied to payments when you split your premium in to installments (i.e. monthly, semi-annual, annual). Be aware that a monthly fee of even $7 can add up to $84 over 12 months.

4. Look for Multi-Line Insurance Discounts
The most under recognized car insurance discount results from the multi-line insurance policy: buying your auto insurance and your homeowners insurance from the same insurance company. According to the Insurance Information Institute, a multi-line policy can save you up to 15% on both premiums.

5. Collect on Your Good Driving
Most insurance companies reward good driving with lower premiums. In fact, in some states a good driving discount is required by law. If you haven’t had any accidents or tickets in the last three to five years, shop at InsWeb.com and see whether you are missing out on this money savings discount.

6. Don’t Overpay for Tickets
Unfortunately moving violations are an accurate reflection of your liability to an insurance company, and your rates can skyrocket as a result. Perhaps you deserve a higher rate, but don’t let the insurance company unduly punish you. Shop around and see if you can find a more reasonable rate with another company.

7. Look for Safe Vehicle Discount
Many companies offer discounts for various safety features on your vehicle, including air bags, alarms, factory-installed mechanical seatbelts and antilock brakes. In getting updated insurance quotes, be sure to indicate such safety features to benefit from available discounts.

8. Don’t Overpay for Your Unnecessary Coverage
You may be paying for coverage that you don’t need. For example, you may be a member of an auto club that provides towing services, yet you’re also paying for towing on your auto insurance policy. Look for opportunities to eliminate unnecessary costs.

9. Look for a Good Student Discount or Senior Discount
Students currently enrolled in school often receive a discount on auto insurance for good grades, as many companies feel conscientious students make conscientious drivers. Similarly, insurance companies are known to value the wisdom of an experienced driver, offering discounts to drivers over 50 as a result.

10. Pay Less for Driving Less
Many insurance companies will offer discounts on vehicles that incur low annual mileage. In fact, some companies have a predetermined number of what they consider low mileage. Has your commute changed? If so, it might save you money to get an updated quote.

*National average savings information based on InsWeb 6-month policyholder survey data from 4/27/05 to 7/4/05.

Posted by at 11:58 AM | Permalink | TrackBacks (0)

Don't Be A Dangerous Parking Lot Driver
Parking in holiday parking lots can be stressful. It causes us to lose sight of everything but the task at hand, including pedestrians and other cars looking for spots. It can cause aggressive driving if you and another car duel for a vacant spot.

While this situation is obviously frustrating, challenge yourself to stay calm. Mary Schmich of the Chicago Tribune is proposing the following holiday parking karma challenge: “From now until New Year's, whenever you encounter a contest for a spot in a crowded lot, where ‘two men enter, and one man leaves,' yield to the other car. You'll manage your stress with the deed, and hopefully rewarded with a bounty of spots.”

Protect Against Theft
The holiday season is very good to parking lot thieves. Many shoppers leave their belongings and purchases visible in their cars, increasing their chances of being victims. A classic holiday parking lot tip is that if you have more shopping to do, and you need to store some of your purchases in your car, move your car to a new location before returning to the store. This will hide your vulnerable behavior from stalking thieves. Also, it's good to lock your purchases in the trunk—out of sight from would-be thieves.

Be Aware and Protect Yourself
Unfortunately, some of the top places that people (women especially) are abducted or attacked are in shopping center parking lots or garages. Predators look for easy victims, so there are several things you can do to prevent yourself from becoming one. Be alert. Keep your head up at all times, and be aware of your surroundings. Always keep your distance when walking past strangers in a dark area. Attackers generally look for someone who is distracted, including women searching through their purses or talking on their cell phones. Before getting into your car, look on both sides, in the back seat, and even under the car. If there is a man sitting alone in a car on either side of you, think about going back into the store and returning later, or asking for an escort to your car such as a security guard or courtesy clerk. Once inside your car, lock the doors and drive away as soon as you get in. In the event you are grabbed (or are about to be), fight back, proceed to yell, scream, hit and kick with everything you have. Again, the attacker is looking for an easy victim, and will probably give up if you put up a fight.

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Winter tune-ups are like vaccinations to people: they ensure the health of your car and prevent some nasty disorders from ever occurring. But even though conventional wisdom holds that "an ounce of prevention is worth a pound of cure," the National Car Care Council reports that only 30% of motorists winterize their car. Similar to its spring counterpart, a basic winter tune-up does not have to be expensive, nor performed by a mechanic. Without any type of winter tune-up though, older engines will run rough and lose power, and newer cars suffer advanced wear and tear.

The basic winter car tune-up should first focus on the oil and the battery. Winter conditions generally require a thinner oil weight to minimize engine wear. For example, an engine that normally uses 10W-30 oil, should consider changing to a thinner 5W-30. In regards to the battery, cold temperatures drastically slow a battery’s chemical reaction upon starting the engine. In fact, a strong battery can lose up to 50% of its output in freezing conditions. A simple rule-of-thumb is that if the battery’s connections are noticeably loose or corroded, the battery is likely to be weak and in need of replacement. Just as a car’s oil requires close attention, the same applies to the vehicle’s other fluids, including the antifreeze, brake, transmission, and power steering fluid levels. Check your engine's hoses and belts for wear and tear as they can affect the electrical system, air conditioning, power steering, and the engine's cooling system.

In preparation for compromised road conditions, car tires should be inspected regularly for proper inflation and tread wear. When the tread is worn down to 1/16 of an inch, tires must be replaced. A “penny-test” is a reliable tool to check tire tread. Take a penny and put Lincoln’s head into one of the grooves of the tire tread. If part of his head is covered by the tread, you're driving with the legal amount of tread. If you can see all of President’s head though, it's time to replace the tire.

As visibility is certain challenge every driver in winter, be it with fewer hours of daylight or fog, snow, and rain, check your headlights (both high-beam and low-beam) to ensure that bulbs are aimed in the proper direction. Now is the time to change your windshield wiper blades as well, especially since the summer heat more than likely compromised their effectiveness. Experts recommend changing them every six months regardless.

Winterizing a car also involves preparing for a bit more of a survival-based emergency resulting from inclement weather. A basic winter kit should be stowed in your trunk in case you become stranded in your car for a period of more than a couple hours. Use the trunk space to store survival essentials including bottled water, blanket, flashlight, matches, snacks, and warmer clothing. For the Boy Scout troop leaders, we also recommend carrying paper towels, a red flag, a bag of sand, transistor radio, first aid kit, small shovel, and Danielle Steel’s latest.

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Insurance companies use several factors to determine your premiums, including your driving record, age, the type of car you drive, marital status, and your address. But increasingly, companies are using your credit history as an indicator of how likely you are to file a claim. Called an insurance risk score, this controversial number is calculated using a special formula similar to a credit score but developed specifically for insurers. This formula is currently unavailable to consumers; however, many states are currently considering legislation to regulate the use of this score. In fact, Maryland and Washington have passed laws that restrict the use of credit information by insurance companies.

A few things have been made public about your insurance risk score recently. We now know that five main financial factors are evaluated to calculate your insurance risk score:

1. Your payment history: Your record of paying credit bills in the past, number of adverse public records (i.e. bankruptcy, collections, liens), and the amount of delinquencies on your credit record account for about 35% of your insurance risk score. This is the largest factor in your insurance rating.

2. Amount of debt you owe: The number of accounts you have open, the types of accounts, and the amount you have charged all combine to count as 30% of your risk score.

3. Length of credit history: The amount of time that you've had credit and the specific length of time that you have had certain accounts make up 15% of your risk analysis.

4. New credit: 10% of your risk analysis is calculated based on your recent credit activity. Your number of new accounts, recent inquiries, and efforts to re-establish troubled credit are grouped into this category.

5. Types of credit in use: The number and activity of credit accounts including credit cards, retail store accounts, and mortgages count for another 10% of your risk evaluation.

Although consumers can't access their own insurance risk score, simply knowing that your credit history is used by insurers can help you get a better deal. If you have excellent credit, you may want to use it to your advantage and shop around for the best insurance rates possible. If you have troubled credit, you may want to stay with your current insurer until your finances improve.

By understanding some of the credit factors that go into your insurance assessment, you are empowered to improve your insurance risk score. Take charge of your credit and get the insurance rate you deserve.

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Demonstrated best in a repair estimate, the difference between aftermarket parts and OEM parts is generally cost alone, however, we promptly alert all drivers: “buyer beware.” Comparing costs between OEM and aftermarket parts is not always an apples-to-apples comparison. There are potential hidden future costs and risks associated with a vehicle’s insurance coverage, sustained resale value, and even safety.

OEM parts are a vehicle’s “original” part, and are literally produced by the same auto manufacturer. Aftermarket parts on the other hand, are a replicated part manufactured by a company other than the original. As aftermarket parts are an affordable alternative to the expensive OEM parts, insurance companies will not always reimburse 100% of the repair costs when OEM parts are used. In fact, some carriers require the policyholder to pay the difference between the OEM part and the otherwise fully capable non-OEM substitute part.

According to many car owners, aftermarket parts do not necessarily restore the car to its pre-accident condition. Some believe that aftermarket parts decrease the resale value upon trade-in or private resale. Even worse, for those who lease their vehicles, using aftermarket parts can complicate matters at the completion of their lease contract. If the leased vehicle is returned with aftermarket parts, the lessee faces the risk of not returning the vehicle in the original condition.

An industry rule-of-thumb is that for more expensive luxury vehicles, it is recommended to maintain your vehicle’s resale value with OEM parts, especially considering the fact that car dealers monitor the repair history of most vehicles. For those owners that do not have aggressive resale objectives or have a car that is not worth much, then aftermarket parts may be the best route to go.

Understanding the difference between aftermarket and OEM parts is often overlooked when purchasing an insurance policy. Don’t wait until an accident happens to learn what your policy actually covers. Take this time to review your insurance policy and use this knowledge to shop for a policy that best covers your needs.

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Fall is upon us once again and it is time to go through my yearly routine of preparing my vehicle and self for the winter driving months. I have lived in several climates in my lifetime and learned that preparation for the winter driving season is important in all of my living locations. Below is a list of tasks/items I make sure are completed on my vehicles every fall:

• Replace wiper blades
• Check vehicle fluids (Oil, Anti-Freeze, Cold-Weather washer fluid)
• Check brake pads
• Check tire treads (penny test)
• Pack winter car survival box (water, blanket, packaged food, jumper cables, flashlight and flare, and chains if needed)

It is also good to remind yourself that the first few rains of the season will result in oily and slippery roads. I always use extreme caution when driving in the winter, it is not me doubting my winter driving abilities…but doubting the winter driving abilities of the other drivers on the road.

You can find some more important winter driving tips here:
http://www.insweb.com/learningcenter/articles/auto-how.htm

Posted by at 11:00 AM | Permalink | TrackBacks (0)

More than 4 of 10 families survey by Trusted Choice® who said they had a young driver move away from the home hadn’t updated their family’s auto insurance coverage to reflect that change. Of those who are frequent carpool drivers to a job, school or activities with children, an alarming 85% hadn’t changed their liability insurance coverage to reflect the increased risk of additional passengers in the automobile.

Also, if you have purchased property or a home since you first purchased your auto insurance policy, you may want to consider upping your Bodily Injury and Property Damage Liability coverage levels. If you own a home and make more than $75,000 a year, most insurance experts recommend that you own at least $100,000/$300,000 of Bodily Injury coverage and $100,000 total of Property Damage Liability coverage.

Remember to keep yourself adequately covered; while having the bare minimums required by each state may keep you in compliance with state laws, they may not be enough to protect your assets if you have a major incident. Insurance experts recommend that you review your insurance policy often and thoroughly.

Posted by Inszo at 1:44 PM | Permalink | TrackBacks (0)

The NHTSA (National Highway Traffic Safety Administration) came out with an interesting report earlier in the year which addressed the increasing usage of cell phones in cars. The report states that driver cell phone usage increased in 2005, with 6% of drivers on hand-held phones in 2005 nationwide, compared to 5% in 2004.

The 2005 rate translates into 974,000 vehicles on the road at any given daylight moment being driven by someone on a hand-held phone. It also translates into an estimated 10% of vehicles in the typical daylight moment whose driver is using some type of phone, whether hand-held or hands-free.

The 2005 survey also reported:

• Hand-held cell phone use increased in a number of driver categories, including female drivers (from 6% in 2004 to 8% in 2005), and drivers age 16-24 (8% 2004 to 10% in 2005).

• The incidence of drivers speaking with headsets on while driving also increased in 2005, from 0.4% of drivers in 2004 to 0.7% in 2005.

If you are wondering about the methodology of this research, the report states that trained observers sampled intersections controlled by a stop sign or stoplight, where motorists are observed from the roadside. Data was collected between the hours of 8 a.m. and 6 p.m.

NHTSA: http://www.nhtsa.dot.gov/

Survey: http://www-nrd.nhtsa.dot.gov/pdf/nrd-30/NCSA/RNotes/2005/809967.pdf

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Considered the greatest life saving improvement since the safety belt, the NHTSA (National Highway Traffic Safety Administration) announced a new proposal to require auto manufacturers to install electronic stability control (ESC) as a standard feature on all new passenger vehicles by 2012.

ESC systems use automatic computer-controlled braking of individual wheels to help the driver maintain control in situations where a vehicle without ESC would skid out of control and likely leave the road. According to the NHTSA, nearly all rollover crashes occur after a vehicle leaves the road. The NHTSA estimates that ESC reduces fatalities in single-vehicle crashes by 30% for passenger cars and 63% for SUVs. Accordingly, the agency estimates that ESC will save between 5,300 and 10,300 lives annually and prevent between 168,000 and 252,000 injuries. ESC will prevent between 4,200 and 5,400 of the more than 10,000 deaths that occur each year as a result of rollover crashes.

Auto manufacturers are on board with this direction in safety. In fact, since 2004, the NHTSA has urged manufacturers to voluntarily add ESC as standard equipment on vehicles. As a result, almost 29% of all 2006 models (57% of SUVs) are already equipped with ESC.

For those concerned with the added cost to already expensive vehicles, ESC-enabling of cars is estimated to be only an additional $111 per vehicle, on vehicles that already include ABS brakes.

Source: NHTSA: http://www.nhtsa.gov/

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