Most Recent Auto Insurance News in Headlines

Premium hikes after a DUI conviction can sober you down
by Richard Burton

A DUI conviction can have a sobering effect and no matter what you do, the insurance premiums are likely to go up steeply. The DUI conviction changes everything even if you have had a clean slate before. These are some of the reasons: To get the license back You will have to file an SR-22 Proof of Financial Responsibility Form if you have to get your license reinstated. This is because auto insurance post DUI conviction is an expensive affair and to keep you from avoiding the system by carrying insurance just for the period until you get your license … (more) February 13, 2011
Cameras inside cars placed by insurers to improve driving
by Richard Burton

It is a leap of faith from many parents when they hand over their car keys to their teenage son. This is especially because the chances of the car being crashed are 4 times more in case of teens compared to adults. There are in excess of 3000 fatalities every year which makes car crashes one of the biggest causes for the death of teens between the ages of 15 – 19. However, one insurance company has discovered that cameras mounted inside the vehicle could reduce risky behaviour during driving by a substantial 70%, saving a few lives in the … (more) February 8, 2011
Auto insurance prices discussed by lawmakers
by Richard Burton

Auto insurance rates might go down for the Wisconsin drivers. Republican lawmakers are debating the need to roll back the rules that mandate auto insurance coverage for certain levels. The state needs drivers to carry insurance coverage of at least 50,000 dollars for death or injury to one person, 100,00 dollar worth coverage per accident and 15,000 dollar coverage for damage to property. This rule came into effect since June of last year. Prior to this, Wisconsin was one of the two states in the country where auto insurance wasn’t mandatory for the drivers. A joint committee of lawmakers recently … (more) February 7, 2011
Webtech wireless continues expansion plans in auto insurance market
by Richard Burton

WebTech Wireless is one of the leading providers of ‘vehicle-fleet location-based services (LBS) & telematics technology. It has made announcements that it has expansion plans in the Mexican auto insurance industry after having getting the RFP from the existing insurance company, Grupo Nacional Provincial S.A.B. (GNP), on further buys of Quadrant ®hardware and services that is used by GNP for their auto insurance program. At least 1,500 Quadrant Locators have been delivered in December out of the new 10,000 units and an additional 1,000 have been scheduled for delivery this month through the WebTech Wireless’ Mexican distributor Prolog S.A. (Prolog). … (more) January 22, 2011
Lower auto insurance rates by installing high-tech gadgets
by Richard Burton

Insurance companies lower car insurance rates for drivers with safe driving habits. All that one needs to do is to install safety features or a little high-tech device which will help save up to 30% on their auto insurance rates. Allstate and Progressive are the first companies in America that reward drivers with safe driving habits where driver monitoring gadgets are used to evaluate safe driving. This safety device is almost the size of a pack of cigarettes and helps in monitor driving records such as mileage, speed, braking etc. All that the device does is monitors safe driving habits. … (more) January 16, 2011
Auto insurance companies request elderly drivers to stay off the roads
by Richard Burton

Elderly drivers are considered a high-risk group and auto insurance companies are requesting them to hang up the keys and are asking families to take note of the driving abilities of their elderly drivers at home. Elderly drivers are responsible for at least 14% of all the crashes and 22% of fatalities caused due to crashes. The numbers have been steadily increasing in comparison with previous years. Although elderly drivers are high-risk groups they are not considered intentionally unsafe, but like the teens they too have a set of issues that are quite unique and that needs to be evaluated … (more) January 12, 2011
Device to track speed of the vehicle, braking behaviours and mileage
by Richard Burton

A high-tech gadget that can track your driving can bring you a lot of discounts on your car insurance policy. Snapshot discount program has been unveiled by Progressive Insurance in Michigan. This program comprises of installation of a monitoring device on your vehicle to record how fast, how much you drive, and your general driving patterns. Drivers can avail up to 30% discount depending on how some of these factors shape up. A lot of customers have already accepted this scheme, and seemed to have saved quite a bit. The device looks like a small garage door opener, which connects … (more) January 7, 2011
Auto insurance claims go up due to harsh weather
by Richard Burton

Poor driving conditions caused by bad weather have resulted in as many as 7000 fatal accidents along with 800,000 injuries, and in excess of 1.5 million vehicles crash year after year in this country. According to insurance agents, the number of auto insurance claims spikes steeply in the cold weather season compared to the other seasons of the year. The increase in the number of claims during winter is definitely because of the road condition that exists in cold weather months. This could be because a lot of people are accustomed to driving in the summer. Although it is difficult … (more) January 6, 2011
No fees added to progressive’s snapshot discount program device
by Richard Burton

In a recent press conference, Richard Hutchinson, Progressive’s General Manager of Usage-Based Insurance said that no particular fee or any other increase should be expected to come with the Snapshot program device. The device is issued upon the request of insured car drivers. Data transmitted from the plug-in device to the Progressive Company can be used for possible discounts under the program. The device is plugged in a car’s on-board diagnostic port (OBD). It determines the time when a driver is using his or her car, how far they drive, as well as the speed they register. Car insurance advisors … (more) January 2, 2011
Mercury auto insurance cuts insurance premium hike after challenge
by Richard Burton

Mercury Insurance cuts an estimated total of 72 million dollar in rates for drivers. This happened after the company was challenged by the Consumer Watchdog, a non-profit group closely working with the Department of Insurance. Consumer Watchdog’s challenge to Mercury Insurance came at a time when Mercury Insurance planned to increase their car insurance premiums. Mercury Insurance proposed a car insurance premium hike amounting to a total of $32 million. The insurance provider sought approval from the Department of Insurance in California. California’s Department of Insurance, upon the Consumer Watchdog’s request for investigation, took action after Mercury Insurance’s submission of … (more) December 31, 2010
Progressive’s 30% auto insurance discount explained
by Richard Burton

Progressive General Manager Of Usage-Based Insurance Richard Hutchinson recently explained about the company’s transformative discount system. This is in response to the growing market curiosity about how the discounts entitle the drivers and how they are applied. In Hutchinson stated that the Snapshot program primarily considers a car owner’s driving safety. Hutchinson first clarified that Progressive requires its insured car owners to plug in an authorized device under their 30 percent car insurance discount system. He added that the requirement to plug in the tiny device in a car’s on-board diagnostic (OBD) port must be done periodically. This will give … (more) December 30, 2010
Lower auto claims satisfaction rating for 2010
by Richard Burton

The 2010 Auto Claims satisfaction study was recently released by J.D Power and its associates and the results show the satisfaction rate of claimants this year is slightly lower than that of 2009. In the 1000-point scale, the satisfaction rate, this year is only 837 compared to last year’s 842. Although this year’s satisfaction rate was lower than that of last year’s, there has been a 19-point improvement when compared to the year 2008 when the registered claimant satisfaction rate was only 818 points. J.D Power Insurance Practice Senior Director Jeremy Bowler said that the main reason for 2009’s high … (more) December 29, 2010
Telematics based insurance program welcomed by auto insurance holders
by Richard Burton

According to a recent survey, almost 3/4ths of the auto insurance policy customers would be more than happy to accept an insurance program based on telematics, if sharing data about their driving could help reduce their insurance premium to certain extent. The survey aimed to judge the level of comfort that most policy holders have with regards to sharing their driving data with the auto insurers compared to sharing other types of personal information on mobiles or on the internet. More than half of the people were comfortable enough to share data about various traffic accidents they were involved in … (more) December 24, 2010
Motorists who crash and receive aid to be billed by FDNY
by Richard Burton

Motorists who meet with an accident and need the help of FDNY should now be expecting a bill. Under serious concerns relating to the budget, FDNY has decided to go along with an increasing number of municipalities across the country, which charge motorists that meet with accidents and avail the emergency services of FDNY. The bills will be sent starting July 1st. Also known as accident tax or crash tax, this bill has left a lot of people across the country furious. In fact, some states have banned the practice too. According to a statement released by the FDNY, it … (more) December 21, 2010
Mercury to lower auto insurance rates and raise benefits
by Richard Burton

For some policy holders there could be a reduction in auto insurance rates as early as this Thursday according to an announcement from the company. The automobile coverage rates offered by the auto industry insurance giant could be cut by 10% from next week. This announcement comes on the back of approval received from regulators of the state. The company based in Los Angeles had requested for a 72 million dollar reduction for all those customers who would be buying or renewing their policies before next Wednesday. According to the company announcement, this reduction will lead to a saving of … (more) December 19, 2010
Auto insurance claimants less satisfied with auto insurance policies this year
by Richard Burton

A recent survey was conducted regarding the satisfaction that the claimants have as far as auto claims are concerned. Claimants seem to be less satisfied than they were last year. The current level of satisfaction is down by 0.005% from last year. Although the rate of satisfaction is less compared to the previous year, it is definitely more than the satisfaction level of claimants, couple of years back in 2008. The main reason behind the claimants’ satisfaction with auto insurance companies when it comes to claims is the reduction by 2days in the average time taken for repair. The satisfaction … (more) December 17, 2010
Auto insurance rates to be cut down for some customers by 10%
by Richard Burton

There is some good news for many policyholders, who would witness a drop in insurance rates by at least 10%. This insurance rate cut is planned to happen at Mercury, which is the 5th largest insurance company in California. According to an announcement from the company, based in Los Angeles, made on Thursday, a request for reduction in insurance rates has been approved by the regulators in the state. This rate reduction would be customers who buy or renew their old policies after December 15th. This policy change is likely to change an average of 72 dollar every year per … (more) December 12, 2010