Auto Insurance News Archive for 2009

• Auto Insurance Cost in Dallas-Fort Worth Climbs by Double Digits within a Year

  by Jeanny Hopper
  

  Vehicle owners in Dallas area saw their insurance rates rise by 10 percent in a year, causing consumer groups to raise alarms. Insurers say that much of the increase is boosted by the rise in liability cost, which makes up half of a premium rate. But consumer groups say that poor return in the industry is the real reason behind it. North and South Dallas, Duncanville, Garland, Irving, and Richardson are all affected by insurance cost hike. Last year’s monthly premium rate was at $556. This was for 25- to 65-year old male drivers who drive their car from home … (more) September 29, 2009

• Insurers Warn Policyholders to Drive Safer in Fall

  by Jeanny Hopper
  

  Experts from the auto insurance industry are cautioning motorists against the hazards that fall season may bring. Analysts contend that more drivers get involved in accidents during this particular season because of the change in weather and the overall change in road conditions. The start of classes can also affect the safety of passengers and drivers alike. Safety experts are telling drivers across the U.S. to practice safe driving especially during the early morning and late afternoon rush. Roads may be filled with school buses and street leading to schools can be crowded with students heading back to school. Motorists … (more) September 28, 2009

• Texans to See Car Insurance Rates Rise

  by Jeanny Hopper
  

  Car owners and motorists living in the state of Texas will have to live with higher insurance costs in 2011 if the state’s department of insurance has its way. According to sources from the Texas auto insurance industry and other experts, the state government is poised to introduce another round of changes to the minimum liability amounts required by law. State officials last increased the minimum liability amounts on April 1 last year. Even then, officials have hinted at another increase in the coming years. Those changes are expected to take place on the first day of the year in … (more) September 28, 2009

• Zip Codes No Longer Rate Factors in Car Insurance Premiums in Milwaukee

  by Jeanny Hopper
  

  With a proposal at works in the state Legislature of Milwaukee, car insurance would soon cost pretty much the same regardless of your place of residence. Whether you live in an area posting high risks or in a rural town that is not too populated, car insurance would still cost the same. This is in response to the movement of Democratic legislators who pushed for the revival of the plan, in spite of Governor Doyle’s veto movement of a similar measure, as included in the current state budget. In general, car insurance per vehicle would cost approximately 50% to 60% … (more) September 27, 2009

• With Car Insurance Changes come Higher Premiums

  by Jeanny Hopper
  

  State laws pertaining to car insurance have changed particularly in Appleton, Wisconsin, thanks to the law that was signed by Governor Doyle, which takes effect November this year. The state of Wisconsin does not really require its drivers to take out car insurance policies, which leads to a lot of trouble especially during cases where the driver at fault is not insured or is under-insured. A related change is also the requirement of boosting the coverage levels to a fixed minimum. Residents of Wisconsin are showing mixed emotions towards these changes. Todd Talady of Appleton says that he is pleased … (more) September 27, 2009

• Travelers Advised to Take out Rental Car Insurance

  by Jeanny Hopper
  

  More and more car insurance experts are advising traveling motorists to take out additional protection when renting vehicles that they use when traveling out of town. Today’s rental companies are forced to implement stricter laws when it comes to damages to any of their rental vehicles. This is because repair costs and the prices of cars’ spare parts are steadily rising. Having supplemental protection through rental car insurance would then help travelers avoid having to pay large amounts just to cover repairs. There is also the fact that the problems of motorists tend to become bigger and more serious if … (more) September 26, 2009

• Auto Insurance is Equal to Health Insurance

  by Jeanny Hopper
  

  President Obama and his administration caused quite a stir with their analogy of health insurance and auto insurance. In the administration’s attempt to build a strong case for mandated health insurance, the President and Congressional Democrats are claiming that getting health coverage is as important as getting auto insurance. During his address to Congress last week, Obama says that the insurance reforms people seek today won’t be achieved unless everyone does their part. One of the reforms being sought after today is the requiring of insurance companies to provide coverage for preexisting conditions. Obama continues that this is the underlying … (more) September 26, 2009

• New Arizona Insurance Law Draws Cheers, Jeers

  by Jeanny Hopper
  

  A new law set to be implemented in October has divided many Arizonians. The new provision will revise the existing insurance laws of the state and impose stiffer penalties on motorists caught without proof of insurance. At present, Arizona law requires all drivers to have proof of policy whenever law enforcers ask for them. Failure to present proof will automatically mean a fine and a court date. Drivers who have Arizona auto insurance but for any reason fail to provide proof to law enforcers can see the charges drop if they have valid insurance. However, the rising numbers of uninsured … (more) September 25, 2009

• Providers say New Drivers more Expensive to Insure

  by Jeanny Hopper
  

  Sources from the auto insurance industry called on inexperienced motorists to find better ways to slash premiums in the face of higher insurance rates. According to experts, providers usually slap on higher premiums on younger drivers because of the risk they present. Because insurance companies determine rates based on several factors, most importantly risks, inexperienced motorists tend to garner more costly insurance. Providers also categorize policyholders according to their age groups, with some age groups more expensive to insure than others. Analysts point out that drivers aged 16 to 25 are notoriously costly to insure because of the lack of … (more) September 25, 2009

• Car Owners Urged to Switch Insurers to Save Money

  by Jeanny Hopper
  

  Leading auto insurance industry experts are calling on car owners and policyholders to consider switching to other providers to get significant savings. According to industry sources, the high demand for insurance coverage is causing tougher competition among providers. They add that this is potential good news for motorists who may be looking forward to saving more money as the global economic recession rages on. Several noted industry analysts also supported the idea of finding new providers to avail of lower premiums. Experts say that car owners can make use of lesser known facts like the increasing competition among insurers to … (more) September 24, 2009

• Insurers Warn Rates may Risen with Wisconsin Law

  by Jeanny Hopper
  

  Representatives from insurance companies operating in the state of Wisconsin say that motorists who own multiple vehicles can expect premiums to rise with the implementation of a new law in Wisconsin mandating Wisconsin auto insurance. According to industry sources, Wisconsin’s approval of mandatory car insurance for all its car owners and motorists can result in skyrocketing insurance costs. Earlier this year, Gov. Jim Doyle approved the state budget for next year. A provision included in the budget bill calls for all motorists in Wisconsin to present proof of insurance during routine traffic stops. Law enforcement agencies would be requiring car … (more) September 24, 2009

• Alaska, Florida see Highest Premiums-Wage Hike Gap

  by Jeanny Hopper
  

  The latest study conducted to assess the insurance industry reveals that the gap between increasing insurance costs and wage hikes has been widening in most states. Vice President Joe Biden addressed the National Association of Insurance Commissioners yesterday to tackle the issue of insurance rate reviews, a practice that would give insurance commissioners across the U.S. additional power to control hikes in premiums. According to a report prepared by the National Economic Council, policyholders in the state of Alaska and Florida have seen the biggest difference between insurance rate hikes and wage increases. Even analyst from the Alaska auto insurance … (more) September 23, 2009

• Worst Cars for Insurance Costs Listed

  by Jeanny Hopper
  

  A new report released by one of the leading safety research firms in the U.S. revealed just how much extra money car owners have to pay for if they drive the wrong vehicles. According to the Highway Loss Data Institute or HLDI, Americans may be shelling out for more expensive insurance premiums because of the car models they drive. Industry experts contend that providers usually place emphasis on the safety records of the vehicles policyholders own and operate. As such, insurers often rely on independent and industry-sponsored researches and studies to find out which car models are more costly to … (more) September 23, 2009

• Experts Claim Insurance Mandates Useless

  by Jeanny Hopper
  

  Several insurance experts claim that insurance mandates and sweeping changes to insurance policies are often rendered useless and punitive without the full support of the public and policyholders. Analysts are now shedding light on the full impact and effect mandatory insurance laws and revisions have on the presence of uninsured drivers across the U.S. According to sources from the insurance industry, too much emphasis has been given on government regulations designed and implemented to control industry practices in favor of car owners and motorists. As a result of the misplaced focus, they point out, states with tougher regulations and comprehensive … (more) September 22, 2009

• Texas to Increase Auto Insurance Requirements

  by Jeanny Hopper
  

  Car owners  can expect Texas auto insurance rates to go up as the state government mulls increasing minimum liability requirements. According to insurance experts, there are plans for revising existing provisions regarding insurance liability in the state. Already, insurance providers are gearing up for the next round of changes slated for 2011. Despite the target date still more than a year away, analysts warn that insurers may begin introducing higher rates at a much earlier date. Before April 1, 2008, the Texas Department of Insurance required car owners to have a minimum insurance liability amount of $20,000 for a single … (more) September 22, 2009

• California Auto Insurance Ballot Undergoes Changes

  by Jeanny Hopper
  

  A highly controversial proposal in the state of California is being met with criticism and support from to opposite sides in the California auto insurance market. Californians are divided over a pending bill that some say would result to lower premiums for policyholders who have had continuous coverage. Consumer rights advocates like  Consumer Watchdog, however, decried the initiative, saying that it would only result in struggling motorists paying hefty penalties and fines. On the opposite side of the legal debate, Californians for Fair Auto Insurance Rates (CalFIR) believes that the new legislation would benefit a large majority of car owners … (more) September 21, 2009

• Experts Say Insurance Premiums Affected by Bankruptcy

  by Jeanny Hopper
  

  Auto insurance experts are cautioning American car owners against filing for bankruptcy. According to recent studies conducted by financial firms and media organizations, the number of individuals that have filed for bankruptcy has risen dramatically. In fact, during the period from October 2007 to October 2008, bankruptcy filings have risen by 34 percent. Some economists say that the worsening economic situation can mean more individual bankruptcies in the foreseeable future. Americans who feel that they cannot pay off mounting debts often turn to Chapter 13 bankruptcy to break free of their creditors and bad loans. Many experts believe that the … (more) September 21, 2009