“How much insurance do I really need? ” is a question that many people ask themselves when shopping for car insurance. Car insurance needs depend on a variety of factors. If you are asking yourself “how much insurance do I really need? “, let’s take a witness at three factors that will assist you determine your car insurance needs.
“How remarkable insurance do I really need? ” Factor #1
Car insurance needs depend on whether or not your car is paid off or not. If you have an outstanding car loan, your lender will specify a minimum amount of insurance needed. The lender will also usually specify what deductible you can choose. Someone who wishes to have a $1,000 deductible to experience a lower rate, may not be able to because their lender might want them to have a $500 deductible.
If you have a spacious car loan balance, you might want to consider car insurance gap coverage. Gap coverage kicks in if your car is totaled and the car insurance calculates the damages less than the loan amount owed. If you don’t have gap coverage, your car insurance wouldn’t cover the loan balance and you would be stuck paying off the car loan even if the car was totaled.
“How much insurance do I really need? ” Factor #2
Car insurance needs depend on your personal wealth. If you have significant assets or income, your car insurance needs will be more than impartial the state minimum car insurance coverage. If you cause an accident and the damages exceed your insurance coverage, the other party can sue you for the remainder of the damages. If you don’t have anything, the likelihood of a lawsuit is lower than if you have attachable assets. Attachable assets include everything from your home to your bank account and your wages.
People with a considerable amount of wealth and income should obtain a liability umbrella policy for $1 to $2 million. This will protect you should you cause a serious at-fault accident.
“How much insurance do I really need? ” Factor #3
Using your car for business purposes may affect your car insurance needs. Some companies have rules on the minimum coverage that must be in effect for their employees. For instance, I worked at a public accounting firm that had various contracts with governmental entities. They were required by their contract to have a minimum coverage on vehicles driven by their employees. Upon car insurance renewal, it was required that we submitted a copy of our declarations page to HR. If you have any questions about your company’s rules, check with HR or your supervisor.
The reply to “how much insurance do I really need? ” will be different for each individual. If you own your car outright, drive it for business purposes, and how much money you make are all factors that weigh heavily in your determination of car insurance needs. Make sure you purchase the right car insurance coverage to minimize your exposure in the event you are at-fault in a serious accident.
Filed under Car Insurance Questions by on Mar 14th, 2011. Comment. 
Car Insurance Shopping Tips
As a savvy consumer, you know that it pays to do your homework and shop around for car insurance. Below are some tips that could encourage you save money and make the honest insurance choice.
Do your research
Did you know that the cost for an identical car insurance policy can vary by hundreds of dollars every six months? Review your coverage. Shop around. You could visit car insurance company Web sites, or sites that give you rates for a number of companies. Keep your policy on hand while you’re visiting car insurance Web sites, so you can compose a blooming comparison. Most sites will save your insurance quotes, but you can also print them if you want to review them offline.
Stay with a leader
Visit A.M. Best, and Standard & Poor’s for information on the financial strength of various car insurance companies. See what benefits and features they offer? At progressive.com, you can learn about vehicle safety, view wreck test videos, or use our calculators to determine repair costs.
Five Ways to Save Money on Your Car Insurance
1. Shop Around
This is the single most important thing you can do to get the best possible rate. A study by Progressive shows that the cost of a six-month auto insurance policy for the same driver with the same coverages varies from company to company by more than $500. It’s smart to review your coverage and shop around occasionally.
2. Don’t Carry Excess Coverage
Insurance companies only pay claims equal to a car’s actual cash value or market value, so comprehensive and collision coverage may not be worth keeping on an older car that has depreciated. It is generally recommended that you consider dropping collision coverage after four years, or when the collision premium equals ten percent of the car’s market value. Understand that by doing so, you will not be covered for damages to your car if it overturns or collides with another object.
3. Raise Your Deductible
According to the Insurance Information Institute, raising your deductible from $200 to $500 could reduce your collision and comprehensive cost by 15 to 30 percent.
4. Drop Rental Reimbursement Coverage
Rental reimbursement insurance is coverage that will pay for some or all of your car rental expenses while your car is being repaired or until you buy a unusual car. Policies and costs vary for this type of insurance, but there are always strict limits on the extent of the coverage. If you can find other transportation for a few days while your car is being repaired, you might not need this coverage.
5. Make Definite Your Current Policy Accurately Reflects You
It is important to update the information your insurance company has about you, your car and your driving record. You may be eligible for a rate reduction if you have gotten married, moved to the suburbs, no longer insure a younger driver, installed an anti-theft device, or if it has been at least three years since your last violation.
Why Insurance Rates Vary
You might think that your auto insurance rate would be lovely much the same no matter which company you choose. But did you know that your auto insurance rates can vary widely? even by hundreds of dollars? from company to company? Prices for the same coverages vary primarily because of:
Varying claims experience. Auto insurance is priced to screen the costs of accidents that may happen in the future. Of course, companies cannot see into the future, so to do this, they use information about their past claims experience. Since each company has had different claims experiences with the groups of people they insure, the rates charged customers by different companies vary.
Varying costs of doing business. Each company’s cost of doing business (how distinguished they pay to sell and service policies), along with their financial goals, is different, resulting in different prices being charged to consumers.
In simple terms, auto insurance companies price policies to cover the amount they’ll need to cover:
# Accidents that have occurred;
# Claims salaries, building leases, and other claims-related costs; and
# Non-claims expenses such as customer service salaries, advertising and the price of selling policies.
Remember, it pays to shop around for auto insurance, because you could save hundreds each year. Research your coverages — and your company — to get sure you are getting the best value for your money.
Filed under Car Insurance Companies by on Feb 27th, 2011. Comment.
On average, women have lower automobile insurance premiums than men because they are considered safer drivers – whether that is the case or not. Before you settle on an insurance company, shop around and get several quotes. You may find that some companies give much better insurance rates to women than others.
Driving records are very important when shopping for automobile insurance premiums. Do not underestimate the value of a clean driving record. Know what your driving record is and use this knowledge to negotiate a lower insurance premium. Again, earn sure to fetch quotes from several companies, because there are some insurance companies that will give more of a discount to drivers with clean diving records than other companies.
Be wary of raising your deductible to lower your automobile insurance premiums. If you do not have the funds set aside to cover the deductible, this can explain a problem if you are involved in an accident that is your fault and you have a lien on the vehicle. (This one is from my own experience and I never did find the damage repaired). The insurance company will pay for the repairs but the amount paid to the repair shop will be less your deductible. This could put you in a position of not being able to repair the vehicle if you do not have the funds to pay the deductible. It is better to have a deductible that you can afford.
Know what your state’s requirements are for the minimum coverages you are required to have on your automobile insurance. You can check each state’s insurance requirements at the National Association of Insurance Commissioners website. Also, design sure that you do some research and become familiar with the types of insurance coverage available and what each type of coverage means with regard to protection and liability. When shopping for insurance for the first time, the terms may be confusing – - ask questions if you do not understand. It is distinguished better to ask questions than make mistakes with your coverage.
Filed under Car Insurance Questions by on Feb 25th, 2011. Comment.
Today, some BMW 3-Series are equipped with twin turbos resulting in 300 horsepower!
These cars are indeed hastily but also expensive. If you occupy a new 3-Series, the
car will reward you with its outstanding performance but at a cost of expensive
depreciation. .
So, let’s say you want a BMW less the depreciation hit, think a 1983-1992 BMW
3-Series. Oh, there will be repairs! Yes, some repairs, but if you begin out spending about
$4,000 and insure the car for minimum coverage, the insurance saving may well conceal
any needed repairs. Unless you must have the latest BMW 3-Sericies, it sure beats taking
a $15,000-$20,000 hit after about 3-4 years of ownership!
The 1983-1992 BMW M30 3-Series is known for its durability as well as its straight
up driving experience. Yes, the car has a computer to control the engine management.
However, it has nothing like the complications of the current 3-Series. Thus, home
mechanics can do distinguished of their own work on the M30.
During 1983-1990, the BMW 318i was big on looks but light on engine power
as its M10 four-cylinder engine provided only 101 hp. Thus, many used 318s
have well worked engines from drivers getting the most from the power plant.
At its launch, this 3-Series was not well received as it had a high price and
relatively low performance.
During 1991, the 318i received the M42 DOHC 4-valuve per cylinder engine brining
the power up to 136 hp. This engine was considered to be over built as it had a forged
crank shaft, oil squirts under the pistons, stainless steel headers and more. In addition,
the car received smaller more integrated bumpers.
During 1985-1988, the 325 was equipped with a 2.7-liter in-line six-cylinder engine
putting out 121 hp and 170 lb.-ft. of torque. As this M20 engine in this BMW was
low revving and known for its torque, the power plant has been very durable.
During 1987-1993, the M20 engine was reduced to 2.5-literes and this straight
six cylinder engine made 168 hp and 164 lb.-ft. of torque. Although the engine’s
horsepower was up, however, the torque was a bit lower than the 2.7-liter mill.
All these 3-Series were equipped with a 5-speed manual transmission or a
4-speed (the 318i of 1982-1985 came with a 3-speed auto.) automatic
transmission.
Regardless of the engine and the equipment level, the E30 3-Seriea provides
a solid driving experience that includes good handling. Expect fuel mileage
to be about 20 mpg in the city and about 28 mpg on the highway.
To summarize, I have provided the chart below (source: Bimmer – The Magazine
about BMW):
1983-1985 318i 1.8-liter M10 inline-4-cylinder engine 101 hp/103 lb.-ft. torque
1991 318i 1.8-liter M42 inline 4-cylinder engine 134 hp/127 lb.-ft. torque
1991 318is 1.8-liter M42 inline 4-cylinder engine 134 hp/127 lb.-ft. torque
1991 318i Conv. 1.8-liter M42 inline 4-cylinder engine 134 hp/127 lb.-ft. torque
1986-1988 325 2.7-liter M20 inline 6-cylinder engine 121 hp 170 lb.-ft. torque
1984-1987 325e 2.7-liter M20 inline 6-cylinder engine 121 hp 170 lb.-ft. torque
1986-1987 325es 2.7-liter M20 inline 6-cylinder engine 121 hp 170 lb.-ft. torque
!987-1991 325i 2.5-liter M20 inline 6-cylinder engine 168 hp 164 ft-ft torque.
1987-1990 325is 2.5-liter M20 inline 6-cylinder engine 168 hp 164 lb.-ft. torque
1988-1991 325iX (AWD) 2.5-liter M20 inline 6-cylinder engine 168 hp 164 lb.-ft. torque
1988-1991 325iXConv. 2.5-liter M20 inline 6-cylinder engine 168 hp 164 lb.-ft. torque
Of note is that the “s” models were equipped with added sport equipment such as
leather seats and steering wheel, cruise control, on board computer, upgraded audio
system, power sun roof, etc.
The 1983-1992 BMW 3-Series offers a lot of driving fun for a modest price.
Kyle Busch is the author of “Drive the Best for the Price…” He
welcomes your comments or car questions at his auto web site:
www.DriveTheBestBook.com
Filed under Infinity Car Insurance by on Feb 23rd, 2011. Comment.
Getting car insurance quotes can seem like a numbers game, but there is far more keen in comparing car insurance companies than simply the money that will be paid. Those looking for insurance will likely want to look at all angles of the situation before deciding on a company. After all sometimes you get what you pay for and paying a bit more might be better in the destroy than going for the lowest offer to procure that the company has shoddy customer service.
Before locking into a car insurance company look at the protection they offer. Not all companies offer the same monetary value and pay out so looking at the offers in terms of what is being offered for the money exchanged is a good inaugurate at finding a good company. The higher the payout the higher the ticket tag on the policy, obviously, but sometimes a slightly higher premium offers a great deal more peace of mind.
Read complaints from others about the insurance companies you are looking into. Simply search the internet for the companies name plus the word complaint and you will glean a slew of information regarding each company. Reading complaints about each company will give you a good opinion of how the company operates and will help you weed out problematic companies.
Consider the special offers and discounts. Some companies offer “accident forgiveness” while others do not. Accident forgiveness is a policy that insures that insurance rates will not be raised after the first accident. A company that does not offer such a policy will likely raise the rates after even a minor accident. Finding a company that is willing to promise stable premiums is always a good start. Behold at the other discounts that are being offered by the company. A slightly higher premium might be worth extra incentives and offers.
Look into the company’s financial well being. While this is not intuitive for most people looking at a snapshot of the company’s finances can give an overall picture of how well the company is doing. If it is doing well you can consider it a sound investment. If the company seems to be floundering you need to dig deeper to understand why the company is having a hard time.
Finally, look at the way in which claims are processed. The information is readily available online and can often be found out by simply asking around. If claims take a long period of time to be processed you might want to look elsewhere. In general a shorter claim processing time is better.
Filed under Farmers Car Insurance by on Feb 20th, 2011. Comment.
