Auto Insurance News Archive for June, 2011

  • The unpopularity of hate no-fault car insurance

    by Richard Burton
    The unpopularity of hate no-fault car insurance

    The crisis in the auto insurance sector seems to be spreading at a very fast pace across most of the states in the US. But who is to blame for this? According to experts it is the flawed insurance system that needs to be blamed for this they say. The no-fault insurance system seems to be the cause for all of these problems in the auto insurance sector. Due to the no-fault system that is being blamed for the fraud that is widespread in Florida, some of the insurance companies have decided not to do business here. According to experts, … (more) June 30, 2011

  • Rise in auto insurance rates inevitable due to auto insurance fraud

    by Richard Burton
    Rise in auto insurance rates inevitable due to auto insurance fraud

    The next time you open your mailbox and see a hike in your auto insurance bill, you must ensure that you don’t get upset with the insurance agent or your insurer. You must instead target all your anger on those who are responsible for this state of affairs – the auto insurance fraudsters. These are the people who have ruined the entire system and created this mess state the local officials. In the State of New York, the average auto insurance rates are the fourth highest and this is due to auto insurance fraud. This bit of information has come … (more) June 29, 2011

  • Public auto insurance the best option, if it is done right

    by Richard Burton
    Public auto insurance the best option, if it is done right

    Although the Insurance Bureau of Canada has tried convincing the British Columbians about private insurance being better than public insurance, this is not completely true. The IBC has spent four years in actively pushing the for-profit auto insurance system. It claims that the private insurance will provide much better services than ICBC. But that argument doesn’t hold good as there is tons of evidence to show that when it is done right public insurance is a much better option. The IBC represents the interests of the private insurance companies and Lindsay Olson had argued on behalf of the IBC last … (more) June 28, 2011

  • Lower auto insurance rates for Manitobans by next year

    by Richard Burton
    Lower auto insurance rates for Manitobans by next year

    By next year, most Manitobans would be paying much less by way of auto insurance premiums. This is due to the fact that there have been fewer injury claims as well as lesser thefts. MPI or Manitoba Public Insurance made an announcement on Tuesday and stated that around 91% of the drivers would be seeing a 6.8% drop in their basic auto insurance premium rates due to the sharp decrease in injury claims and costs arising out of vehicle thefts along with increased operational efficiencies. However, the rates will have to be approved by the Public Utilities Board. If these … (more) June 27, 2011

  • Compulsory auto insurance, the minimum liability insurance cover required by each state

    by Richard Burton
    Compulsory auto insurance, the minimum liability insurance cover required by each state

    Auto insurance is mandatory in almost all states in the US and there is a minimum liability insurance cover that is required by each state. This is needed to show as proof in the event of an accident. Having an auto insurance cover means proving that the motorists have the ability to pay for damages as prescribed by the state. In these states where you are required to show proof of compulsory liability, you have to provide details of the insurance policy even before you can legally drive around. According to the liability cover which is mandatory in most states, … (more) June 26, 2011

  • The fall of no-fault insurance

    by Richard Burton
    The fall of no-fault insurance

    The auto insurance crisis has been rising since recent times and is spreading like wildfire right across most of the states in the US. But what seems to have caused it? Experts feel that it is the flawed no-fault insurance system that needs to be blamed. There are a number of insurance-related issues and the root of these problems is the severely flawed no-fault system. Due to the widespread auto insurance fraud as a result of the no-fault system, a number of insurers have reduced their businesses here. Experts state that the no-fault system in New York will soon be … (more) June 25, 2011

  • Public auto insurance a better option than private insurance

    by Richard Burton
    Public auto insurance a better option than private insurance

    In the last four years, the Insurance Bureau of Canada has tried its best to convince British Columbians that the for-profit private auto insurance system would be a better bet when compared to the ICBC. However, that argument is far from the truth as there is overwhelming evidence to support the fact that when the government agencies do it right, then this choice between private and public insurance is really a no-brainer. Lindsay Olsan argued on behalf of Insurance Bureau of Canada, that there would actually be a dip in the auto insurance rates in BC. It is a well-known … (more) June 24, 2011

  • Now rental car insurance covered by credit cards

    by Richard Burton
    Now rental car insurance covered by credit cards

    Rental car insurance has long been regarded by the travel experts as the cash cows for the car rental companies. This is also better known as collision or loss damage waiver. Rental cars don’t need insurance unlike other primary vehicles. There are some policies that extend only partial coverage to these rental cars. Even the damage waivers are not exactly comprehensive as they are filled with lots of exemptions such as exclusions for damage to property as well as high deductibles. Now, you can expect your credit card company to pick up the tab at no extra cost. Things that … (more) June 23, 2011

  • New federal healthcare plan is unconstitutional and intrusive

    by Richard Burton
    New federal healthcare plan is unconstitutional and intrusive

    The new federal healthcare plan that requires almost all American citizens to purchase health insurance has faced a lot of criticism and is being termed as ‘unconstitutional and highly intrusive’ by the legal opposition. The opponents to this new healthcare plan state that the government cannot force citizens to pay for something like an insurance policy. If this argument continues to prevail in the court there are those who are actually looking forward to tearing up their auto insurance policies that the state of Florida makes Floridian motorists purchase year after year. In the same manner, even the flood insurance … (more) June 22, 2011

  • Most people prefer to get auto insurance quotes online

    by Richard Burton
    Most people prefer to get auto insurance quotes online

    J.D. Power and Associates have found that a majority of the first-time buyers prefer to obtain their quotes online, instead of taking the traditional route such as agents or call centers. The California-based company has found that for the first time over 50% of the first-time insurance buyers have actually obtained online quotes. During the 2011 US Insurance Shopping Study over 54% of the shoppers had turned to the net to obtain their first quote, but there is the majority that still purchase auto insurance through independent agents or call centers. Since the last five years and ever since the … (more) June 21, 2011

  • The manner in which Florida handles the pip auto insurance must be changed

    by Richard Burton
    The manner in which Florida handles the pip auto insurance must be changed

    Despite the fact that there is an endless stream of TV commercials that keep bombarding Floridians about the need to pay their quarterly auto insurance premiums, there are few who actually enjoy paying them. Floridians are currently paying around $1,200 more than people elsewhere in the Southeast. Lawmakers in Florida should find ways and means to ease the burden of paying auto insurance bills. It is necessary to come down heavily on those factors that have led to an increase in premiums. There should be limits to the attorney’s fees as well as the fraud which is perpetuated due to … (more) June 20, 2011

  • Go ahead given for bill that is aimed at fighting staged accidents

    by Richard Burton
    Go ahead given for bill that is aimed at fighting staged accidents

    The House Insurance Committee today approved a bill that is aimed at curbing staged accidents as well as other fraudulent PIP claims. As per the coverage that is offered by the PIP cover, the policyholders that are injured in auto accidents can get some amount of coverage irrespective of who the faulty driver is. This was done with the intention to protect the uninsured Floridians, especially those that don’t have health insurance and also to avoid lawsuits and other legal costs that may be associated in such cases with minor injuries. However, the outcome of this has been just the … (more) June 19, 2011

  • Boyd’s bill to bring about reforms in no-fault insurance

    by Richard Burton
    Boyd’s bill to bring about reforms in no-fault insurance

    Rep. Jim Boyd, R-Bradenton has announced the introduction of the new legislation under House Bill 1411. Now there would be several important measures that would be taken by the lawmakers in Florida to fight the menace of auto insurance scams. There would be increased consumer protection, stiffer penalties, and revisions to car crash reports. The bill has been sponsored by Jim Boyd and it aims to bring about reforms to the PIP insurance which is also known as the No-Fault insurance in Florida. The no-fault protection has been one of the main reasons for the staged accidents that are so … (more) June 18, 2011

  • Over 2,000 agents & agencies in ohio owe $21.7 million in tax liens

    by Richard Burton
    Over 2,000 agents & agencies in ohio owe $21.7 million in tax liens

    Around 2,230 agents & agencies have been identified by the Ohio Department of Insurance Fraud, Enforcement and License Division with the help of Ohio Attorney General Mike DeWine’s office and it has been found that these agents and agencies own the state of Ohio $21.7 million in Tax Liens – sales tax, income tax, and workers comp premium payments. Mary Taylor, Ohio Lieutenant Governor and Department of Insurance Director has stated that the department is helping the  insurance agents in Ohio to comply with the state laws via a program that can help recover this huge unpaid amount. This was … (more) June 17, 2011

  • Insurance scams in LA drive premiums upwards

    by Richard Burton
    Insurance scams in LA drive premiums upwards

    Within the last two months, State Police Investigators in Louisiana have arrested 2 groups of fraudsters who have been suspected of staging motor vehicle accidents throughout Acadania just to receive the payments from the insurers. The premiums could now get higher even as the cases are pending in the courts and law-abiding citizens could now end up paying hefty premiums as direct fallout of these scams. Frank Scafidi who is a spokesman for the National Insurance Crime Bureau has stated that, all those who purchase auto insurance will now be paying extra premium and this would be used to offset … (more) June 16, 2011

  • Following investigators deaths louisiana regulators are reviewing procedures

    by Richard Burton
    Following investigators deaths louisiana regulators are reviewing procedures

    Following the deaths of two insurance department employees, Louisiana regulators are now reviewing their policies and procedures to investigate into fraud. Two Insurance Investigators Rhett Jeansonne and Kim Sledge were killed on the 7th of June while they were collecting the case information from an agent in Ville Platte. The authorities claim that John Melvin Lavergne had shot dead the LDI investigators around 1 p.m. before he could turn the gun on himself. Both the investigators were unarmed. Over 100 law enforcement officers that included the SWAT team as well as negotiators had surrounded the building for a couple of … (more) June 15, 2011

  • Five economic changes that can affect consumers auto insurance

    by Richard Burton
    Five economic changes that can affect consumers auto insurance

    There are a number of changes that unassuming American citizens have made in the recent past without even realizing that it could affect some of the unexpected areas in their life – for example, auto insurance. Due to the recent economic crisis, Americans have made some changes in their lives, such as moving house, changing jobs, or downsizing vehicles etc. During the last year alone, at least 53% of the Americans have made certain economic-driven changes that may impact the auto insurance costs, as per the survey conducted by State Insurance Commissioners. The NAIC or National Association of Insurance Commissioners … (more) June 14, 2011