How to Budget Your Car and Home Insurance

Things have been good really for you and you have two new cars, a nice home, but an uncertain paycheck because, of today’s economic problems. You are now in the process of budgeting your car and home insurance by searching the Internet in an attempt to buy car insurance online. You have recently noticed that the insurance company that provides your auto insurance now has been gradually raising their premiums that you have to pay each month. What you’re needing now is more affordable car insurance that will still give you all the protection you need, but reduce your monthly premiums.

Unlike home insurance, your automobile insurance quotes are based upon several important risk factors.

  • The number of claims that you have had in the past
  • Many times upon your credit rating responsibility
  • The number of claims that the insurance company has had to pay out
  • The assets and size of the insurance financial pool everyone shares in

Let’s look at each of these so we can gain a better understanding of how we can lower the cost of every-ones insurance especially for our cars and homes. Of course the most logical and important aspect of owning an automobile and driving it on our busy highways is to never have an accident in the first place. This can be difficult sometimes with our congested roadways and with automobiles moving along side of one another just inches apart. Some insurance companies have what is known as a forgiveness claim. Other words they will allow you according to your driving record 1 or 2 accidents before raising your premiums.

Another important aspect is your credit rating. Your credit rating is a reflection of your responsibility and short notations of your past present improvements in responsibility. Therefore many insurance companies will pull your record and if they ensure you; will place you in a specific category according to what they feel your monthly premiums should be. You must understand that insurance companies are private businesses that collect premiums and place them in a pool which is used to cover any claims and expenses that the company receives and also maintains a profit to operate. This is a sharing process in which everyone who contributes to the pool have their cars and their home, (if you have a homeowners insurance) insured in case of any losses.

When an insurance company has a number of claims due to careless accidents that deplete that pool then they have to raise premiums for everyone and attempt to eliminate those careless drivers who have

caused and filed the most insurance claims. This is true for both automobile insurance and home owners insurance. When insurance companies do not have a large number of claims over a specified period of time and the pool remains filled they can then reimburse their customers and lower their monthly premiums.

Laws enacted by Congress force all iinsurance companies to balance out their assets, the financial pool, and the number of customers they have any insured in any specific region or area. Having car insurance coverage is not only a very important responsibility, but it is also required by law in most states. The basic insurance that the law requires is designed to help protect other people from those who are uninsured. For the person who maintains a responsible lifestyle they easily understand the importance of automobile insurance coverage to replace their own car and have it repaired when damaged. You also protect other people’s property and yourself from a law suite that your automobile may have created from damage.

Before the law required everyone to have automobile insurance, uninsured drivers in many states could hit your car and damage it, then walk away, and your insurance company had to pick up the repairs. That is totally unfair. This in return not only caused the responsible person to have to pay their deductible out of their own pocket, but also the insurance company would have to deplete the pool and pass it on to everyone that they insured. Many people don’t realize that if an uninsured person hits your car and damages it and then refuses to pay for the repairs, that in many states you have the right to call the state highway patrol and have that individuals license taken away until they compensate for the damages they have caused you.

Back in 1983 a young man who was speeding and ran a red light and was uninsured when he hit my wife in the rear quarter panel of our car at a lighted intersection causing an estimated $3,000 worth of damage. Luckily she was not seriously injured, but shook up badly. He was given a ticket for running a red light and speeding. When we attempted to request he pay for the damages to our automobile he vulgarly told us to jump off a bridge. In the state of Missouri it is just a matter of simply contacted the state Highway Patrol and they will confiscate their drivers license and license plates. The next time we heard from the young man, he had a totally different attitude and agreed to sign a contract to make payments until the body shop was paid in full. It took him a year of walking, but we released him and he received his license back.

Remember, responsible driving is the key to lower insurance. You can get a car insurance on line quote much easier today than ever before without having to telephone 100 different insurance companies. Car insurance prices are based upon the number of responsible drivers they have in their pool. You can get a quick car insurance estimate by using a quote wizard and providing a few simple answers about your car, your credit rating, your responsibility, and the type of insurance that you desire. Some people just want basic insurance to cover other people’s property as the law requires. Others want full coverage including liability and deductible which not only covers damages to other people’s property, but provides for losses and repairs to their own automobile.

Although home insurance does not carry the same risks as automobile insurance. The amount you pay can vary from insurance provider to insurance provider with a savings of anywhere between 10% up to 40% which can help you meet your budget for your car and home insurance. The best method of getting a cheap insurance quote is using your computer and using a computer quote wizard that can search hundreds of insurance companies finding you the best and cheapest car insurance online. So before calling several telephone numbers try getting safe online insurance quotes first.

Insurance – Facts, Importance and Needs

It is for sure that any man would face unexpected events, actions, crisis and some of the life storms that usually appear to be out of control. These events often affects man’s life physically or financially. The clear fact here, is that no one can put himself out of such problems, if they are about to occur or even protect himself against their severe impacts. Hence, this fact shows us the great importance of insurance and its vital role in facing the ups and downs of man’s life.

Insurance can simply be defined as a kind of a deal between the insured ( who has to pay some sums of money periodically ) to the insurer ( who would have to compensate the insured with a sum of money upon the occurrence of a specific circumstance or condition such as potential future losses. In fact, insurance has passed a lot of stages where it has developed to serve the rights in most, if not all, situations that can be encountered man along his life.

As we know that insurance covers many sides of man’s life which may include examples like car insurance, health insurance, disability insurance, life insurance, and business insurance. With the huge numbers of the insurance policies and companies, we may find that many of us aren’t aware of better policies and better companies and better prices in the area of insurance that covers their needs without costing them more than their capacity or to pay the money without giving them any benefit.

That is why, we promise to provide you with a series of articles ( through our website ) that would give you the whole idea of comprehensive, complete and detailed information on most aspects and cases of insurance and how to get the best return and the agreements that benefit the largest. Now, we are going to answer some general questions about some of the basic sides of insurance, as an introduction to the following articles, in which we will discuss each side separately.

Why should you insure your life?

When you plan for your life you must take in mind your family’s needs such as medical expenses, house rent, the expenses of marriage and education. Throughout our lives we are exposed to different risks such as poor health status, exposure to financial distress, accidents, and therefore. Insurance will help protect you from damage or loss that could result from it, converting the impact of those hazards.

Your purchase of an insurance policy on the ownership of your life means coupled with a guarantee of your eligibility to the amount of insurance in case of death, “God forbid” or at the end of the period of insurance (depending on the type of your insurance policy. In case of death, the insured person, his heirs and deserves compensation equal to the full amount of insurance the insured. In the case of an accident to the insured person or injury to any of the diseases, which could lead to his inability to restore normal life again (no ability to exercise its work), the insured would have to pay him the insurance money.

How do you determine the value of life insurance you need?

The first step: consider your expenses. Try to estimate your family’s annual budget. It should include your expenses in the basic living expenses, child care, and premium real estate finance, and the expenses of education (private schools), and so on. The second step: try to consider the amount of assets that you own, try to estimate the value of assets invested or saved by, or any other sources of income, such as (annual confused). Step Three: define what you can save. From the previous steps, select a certain amount you can save to buy an insurance policy. Here you should be sure about your ability to pay this amount monthly or quarterly or annually. Step Four: Select your insurance.

Consider what type of insurance you need, do you need only to cover the risk of death? Or do you want to include a savings element of insurance policy to cover the side of death? and also what is the period of insurance do you want? Step five: compare your needs with the insurance that you will get. Select the document to suit your potential financial.

Why should you insure your business against threats?

Can have some kind of material losses on your business and your projects as a result of fire, theft, destruction, disable the machines, any sudden shocks, natural disasters. This may result in loss of life of those risks people, the collapse of the buildings. And, as a successful businessman, aware of each risk can have on the business or its projects, you must insure your business and your projects against the dangers past and manner sufficient to reduce the impact of those risks. Any project or work takes years and years to build and set up and spend a lot of money, and achieve those losses overnight may refer you to a poor person “does not have anything.

The Way Insurance is Changing With the Times

Almost every state in US calls for the need of an authentic insurance coverage, while you intend to drive the vehicle, whether it is a car, or any SUV. The general aspects of Insurance Coverage include:

-Liability Cover against Bodily Injury. If a car driver knowingly or unknowingly hits any pedestrian, or any other person in any other vehicle, the injured person can sue the driver to recover medical and rehabilitation expenses and any damages thereof. The insurance coverage offers $15,000 to $30,000.One person injured paids upv to $15,000. Per accident is up to $30,000.

-Liability against Property damage. If damage to property is done in an accident, then, the driver is liable to pay the property owner certain amount as written in the Insurance coverage. Many states provide $5,000 worth of Insurance Coverage, whereas, some of the standard policies also dispense higher insurance coverage ,but is limited to $25,000.

-Coverage for Medical Reimbursement. Irrespective of who’s caused the accident, or who was at fault, the medical benefits covered under the auto insurance policy offers facility to both the car driver, as well as injured to get their injuries treated. Generally, in many states, a car owner buys $5,000 of medical auto insurance coverage. However, in many of typical cases, a car owner can also purchase medical auto insurance coverage worth $ 10,000. No deductibles are charged on this insurance coverage.

Still there are many other types of auto insurance coverage, which though not required, are otherwise necessary. These include:

-Coverage against Collision Damage. This coverage entitles the car owner to repair any kind of damage caused in the accident. It is a no-fault coverage. Usually, the auto insurance provider will provide you with a $500 deductible, if not, you have specified the amount. Remember, Higher your deductibles, lower would be the premium amount.

-Coverage against Thefts and Other Hazards. This car insurance coverage would provide you safeguard against any kind of car theft, or hazards such as fire, flood, vandalism, or animal collision. The best thing of the coverage is that you decide your own deductible.

-Coverage against Uninsured/Under-insured Motorist. If a pedestrian is hit by a car driver who is not insured or the insurance amount is not sufficient enough to cover the damage costs, in such an event, the coverage proves very useful. Under the coverage, the injured person would also be entitled to reimburse medical bills, lost wages, besides, trauma.

Optional Car Insurance Coverage also includes:

-Extrinsic Medical Coverage — This coverage provides $1 million insurance, and is utilized if the medical and rehabilitation expenses surpasses insurance policy.

-Loss in Income – This coverage entitles the insurer an amount equivalent to take-home pay, in case you are rendered unfit as the result of accident. This coverage is over and above disability insurance coverage will take over.

-Funeral Coverage — Maximum limit of $2,500, in case car owner or any of family member expires as the result of car accident. The cost the coverage is about 50 cents
per $1500 worth of insurance.

-Coverage for Rental Car Replacement — A minimum amount is allocated on daily basis, should your automobile is under repair as the result of accident.

-Coverage for towing and other labor costs — The coverage costs at less than $5 a year.This for if you break down as a result of a flat tire(s), out of gas, or your car needs a jump start, or most anything that may occur.

The way insurance has changed

Auto insurance coverage is a significant aspect of your vehicle. It offers complete security to you, your family and your beloved vehicle. The insurance policies across country keep changing with times. Prior to 1980s, the common question which car buyers often asked to themselves was — Is the car affordable for me? But things changed marvelously after 1980s, and the question has transformed into — Can I afford the car, and on it, will I be able to afford auto insurance?

The auto insurance companies decide which car insurance policy is to be sent, and to whom. Remember! Every car insurance policy differs from the other and this difference is the result of thought process of auto insurance company.

As per the statistics collected and analyzed by auto insurance experts, on an average a household in US spends $7,500 over a 10-year period in auto insurance alone, and out of which, he or she claims approximately $500.00.One begins to wonder.

Different modifications and changes are making the headway in a car insurance market, and which can further affect you in any of the following three ways:

-The nature of sale of auto insurance is changing with times. Earlier, an insurance agent, working under an individual or a stand alone company or a conglomeration used to dispense the insurance policy. It was only during the early 1990s, that insurance companies started to dispense the policies directly to auto insurance holder. An insurance agent, on the other hand would charge 15 percent commission upright, and another 12 to 15 percent commission on renewal. The insurance commission was utilized by many other insurers in buying extra insurance coverage.

-Many states in US often change and regulate the sale and use of auto insurance deals. Every state appoints insurance regulators to keep a close watch on auto insurance coverage, based on two factors namely, rate setting and claims disbursement., the auto insurance companies have built up the reputation of not even dispense legitimate insurance claims, and this has resulted in wide amount of distress among the consumers. It is also felt and observed by insurance commissioners of different states that most common complaints concerning the auto insurance is claim handling.

Want to Reduce Your Auto Insurance Costs? Let Me Count the Ways!

We all complain about the mounting cost of automobile insurance. So what are our options to lower our auto insurance expense? Take a look at the following list of opportunities to reduce your auto insurance.

1. Plan For And Include Auto Insurance Costs Into The Cost Of your Auto Purchase
To begin with, buying a car is a significant initial expense and auto insurance is a sizable subsequent expense in your ongoing cost of ownership. You should always look into what your insurance costs are going to be on any vehicle you consider buying.

2. Research Auto Insurance Rates On Different Makes And Models Before Buying Your Car.
Insurers rate vehicles on a risk scale based on statistics that cover a range of factors such as exposure to risk of injury or theft, vandalism, flashy or sporty vehicles, cost, cost to fix, past claims history, overall safety record, etc. The higher the risk, the higher the insurance premium. Many insurers offer discounts for low-risk vehicles such as sedans and station wagons. Check out this information with your state or provincial insurance agencies before you to decide what car to buy.

3. Research And Get Quotes From Several Insurance Agencies
Once you have decided on a make and model of car, the best way to make sure you are getting the most affordable price for your auto insurance policy is to do your research and compare, quotes. You should obtain a number of quotes from different insurers as coverage costs from one insurer to the next can vary by hundreds of dollars, and possibly thousands of dollars. Get at least three price quotes. Call insurers directly or get online quotes. Provide the same coverage, deductibles and limitations so you can compare apples with apples. Nowadays, comparison sites do all the legwork for you and provide competing rates side-by-side. Visit some of the sites advertised on my website listed below.

4. Save Money By Raising Your Deductibles
You can reduce your insurance premium considerably by increasing the deductible on the comprehensive and collision portion of your insurance policy. However, keep in mind that in the event you have an accident and file a claim, you will have to pay the deductible out of your own pocket. So make sure you can afford to do that. You can save 10 percent or more by increasing your deductible from say $500 to $1,000. If your claim is $2500 and your deductible is $1,000, you will pay $1,000 and your insurance company will pay $1500.

5. Save Money By Purchasing Home And Auto Insurance From the Same Insurer
Purchasing your home and automobile insurance policies with the same insurer may qualify you for a further discount, which may shave up to another 10% on both policies. Most insurers offer this saving as an incentive to get your home insurance business too.

.6 Save Money By Including All Vehicles Under The Same Policy
Similarly, many insurers offer a multi-auto discounts for those who insure more than one car on the same policy. You can save up to 10% by placing more than one vehicle under the same policy.

7. Save Money By Maintaining A Good Driving Record
Your driving record is a significant factor in determining your insurance rate. If you have a clean driving record (without accidents, traffic tickets, drunk driving convictions, etc.,) you may be eligible for further discounts on your auto insurance policy. A bad driving record can become very costly in terms of insurance premiums, as you may take three years or more to wipe out past misdemeanors off your record.

8. Save Money By Maintaining A Good Credit Record
Insurers are increasingly using credit information to price auto insurance policies. Developing and maintaining a solid credit history can reduce your insurance costs. To protect your credit status, pay your debts on time, don’t get more credit than you need and keep your debt balances as low as possible. Review your credit record often and ensure your record remains accurate by getting errors corrected promptly.

9. Save By Asking For Low Mileage Discounts
If you are retired, semi-retired, car-pool or use public transportation to go to work, and generally keep your annual car mileage as low as possible you may be eligible for a low-mileage discount. The low mileage limit is generally around 10k-12k miles per year depending on the state or province you live in.

10. Research Other Discounts
Other discounts may be available if you meet certain conditions. Examples may include age group, low mileage, occupation, if you install an alarm or other safety devices in your car, taken a defensive driving or drivers education course, are a member of an auto club, or loyal to the same auto insurance company for a number of years. These discounts vary by insurer.

How to Get Low Cost Life Insurance

There is no insurance industry greater than the US insurance agencies in recent times. Their prompt service, customer satisfaction, varied policies and excellent service have rendered them as one of the best insurance service providers not only in the United States but also across the globe. One of the most common types of insurance that is most in demand across the US is the life insurance policy. Almost every US resident wants to get his or her life insured as the life insurance policy protects and secures the life of an individuals family even after his death monetarily, through the payment of premiums, this is one of the best gifts one can give his or her family for life. However not everyone can afford high value life insurance policies. For these people a number of low price life insurance policies have been developed in the US. The life insurance quotes for these low cost life insurance policies meant for the common man are readily available with the US insurance agencies for free with their agents or on their respective websites.

Low cost insurance policies are affordable by all Americans. Not everyone however may have the knowledge of these policies. Not everyone may know how to avail these quotes from the insurance agencies. However there is a solution for the same. With the advancement of the internet there are many US insurance websites which compile the insurance quotes from various agencies and provide the same to the customers on the look out to purchase insurance policies. These websites gather quotes from high rated insurance agencies in US and offers a comparison of the various costs quotes available from American insurance agencies.

According to the low cost quotes, an insurance agency could give out policies at a lower rate when the policy applicant is under a serious illness, health situation age and financial situations are some of the factors that are taken into consideration by a low cost policy while granting the same. The easiest way to get hold of these insurance quotes is to find them online. One must compare the various insurance quotes available before taking a decision on the same. The insurance companies providing these insurance quotes online would taken in the details from the policy purchasers in easy to fill in quote request forms before providing them the insurance quotes for free according to their requirements. Low cost US insurance policies would definitely have lower insurance rates which would be mentioned in their respective quotes. Before one proceeds to purchase a low cost policy one must understand the actual volume of insurance required. Once one decides upon the insurance policy to take up all one has to do is fill in the insurance quote request form and wait for the insurance company to revert back. Low life insurance policies are the best to opt for especially of you have certain health and financial issue for which you are unable to invest in a high premium insurance investment. Apart from acquiring the low insurance quotes from websites that provide these services of compiling these quotes from various websites so that you can compare all of them prior to taking your decision, you can also request for low insurance quotes directly from the US insurance agencies or their agents once you have explained your situation to them.