Most Recent Auto Insurance News in Headlines

• Loyalty not a Good Thing in Auto Insurance

  by Jeanny Hopper
  

  Back in 2002, analysts predict that auto insurance cost would rise by only 3.5 percent the next year. They say vehicle producers have generally paid more attention on safety features and have chosen less costly but more durable materials so accident costs would decrease. All things being equal, this would have reduced premium rates in that year, the first time a decreased would have happened since 1999.But as 2004 ended, statistics revealed that the increase in cost was at 7.8 percent. The reason: crime statistics have risen as well as medical costs which backed insurers’ claim that coverage will be … (more) October 15, 2009

• Car Insurance Complaints Prevailed

  by Jeanny Hopper
  

  Insurance regulators for New York State published a report saying that it has upheld one in every eight consumer complaints against providers of private passenger auto insurance last year. The Insurance Department affirmed complaints made by consumers against nearly 40 companies, which it has found to fall short in providing proper services to policyholders. Complaints were made through writing and were compiled by the department for deliberation. Delays in claims for no-fault policies and non-renewal of policies were the most common cause of grievance for vehicle owners in 2008. New York State Insurance department reported that it has ruled in … (more) October 14, 2009

• More Driving Distractions Revealed in Survey, Could Boost Auto Insurance Cost

  by Jeanny Hopper
  

  A recently published survey reveals many other distractions a driver faces on the road which causes alarm among highway safety group. They say these distractions could cost many lives, prompting them to issue a call to drivers to be more focused on their driving. However, finance analysts say these distractions could have other implications in the insurance industry. It could push auto insurance costs up, which have already been rising in several states. They add that car owners and motorists are bound to experience further increase in premiums as 2010 enters. A survey by a private insurance group contradicted the … (more) October 13, 2009

• From Car Insurance to Health Insurance – Highly Unlikely

  by Jeanny Hopper
  

  President Obama’s convictions on health care coverage to be treated like car insurance are very strong and the sentiments of his followers are becoming equally strong as well. The President suggests that health insurance should be treated just like car insurance, where state requirements mandate drivers to take out insurance in order to drive their cars. If health insurance would be treated like car insurance, then there should be state requirements mandating citizens to take out health insurance as well. However, there are still a lot of people who say that the analogy between health insurance and car insurance does … (more) October 12, 2009

• Researchers Fear More Uninsured Drivers by 2010

  by Jeanny Hopper
  

  Insurance researchers have expressed concern that the U.S. can expect to see more uninsured drivers in the coming months and years because of the volatile economy. According to a study conducted by the Insurance Research Council (IRC), more and more Americans are heading to the roads even without proper insurance protection. Worse still, the trend is expected to worsen with the unemployment rate expected to increase before the end of the year. Experts say that the unemployment rate and the number of uninsured motorists in the U.S. have a strong correlation. Analysts have often used jobless figures to project expected … (more) October 10, 2009

• Survey Shows Car Owners Pleased by Insurers

  by Jeanny Hopper
  

  Despite the current economic climate, American motorists are still expressing great confidence and satisfaction with their current car insurance providers. A study conducted by a well-known research firm suggests that a large majority of car owners in the U.S. prefer to retain their current insurance providers. Analysts say that the survey may be conclusive proof that policyholders find their current insurers adequate. The survey revealed that 50 percent or half of the respondents have stayed with their current providers for more than five years. Another 21 percent have stayed with their insurers for the past two to five years. Experts … (more) October 9, 2009

• Studies Show Motorist can Save on Insurance by Carpooling

  by Jeanny Hopper
  

  Various studies conducted by the auto insurance industry and the U.S. federal government suggest that drivers can slash their insurance expenses by trying alternative transportation when going to work. According to statistics released by government agencies, a large percentage of Americans who use their cars to go to work can actually cut their insurance costs greatly by exploring alternatives. Research done on how millions of Americans go to work have revealed that 76 percent drive to work alone each day. Aside from the apparent waste of potential savings, driving alone can also contribute to the presence of carbon dioxide in … (more) October 8, 2009

• Parents Urged to Find Cheaper Teen Auto Insurance

  by Jeanny Hopper
  

  With the school year in full blast, car insurance experts are calling on parents to look for ways to cut down insurance expenses, especially for their teen drivers. They point out that with the increasing cost of education coupled with the poor economy may result in higher premiums for younger drivers. Inexperienced young motorists may also find it harder to convince agents and insurance providers to give them better rates. However, analysts say there are some things that parents can do to reduce the cost of auto insurance. At the top of the list is good parenting advice for first-time … (more) October 7, 2009

• Insurance Claims Expected to Rise in October

  by Jeanny Hopper
  

  Sources from the auto insurance industry say that providers are expecting the number of insurance claims to rise significantly with the onset of fall. According to experts and analysts, statistics indicate that more motorists file for insurance claims during fall and winter, starting in the month of October. This trend has held true for several years now and some experts fear that several factors may affect policyholders in the U.S. this fall season. According to statistics, 10.4 percent of all car insurance claims are filed during the month of October. Analysts point out that increasingly shorter days may result in … (more) October 6, 2009

• New Law Set to Reduce Accidents, Insurance Costs

  by Jeanny Hopper
  

  Federal insurance regulators and members of the Congress are readying plans to introduce a new legislation that would limit the use of electronic devices such as cell phones while driving. Citing independent studies conducted by private companies, Senator Chuck Schumer introduced the Avoiding Life-Endangering and Reckless Texting by Driver’s (ALERT) Act in order to reduce the cases of accidents caused by driver distraction. The said bill is now undergoing discussion in the Congress and is expected to pass amidst much debate. If passed, the legislation would require state governments to enact provisions that would ban the use of mobile phones … (more) October 5, 2009

• High Insurance Rates Linked to Occupation

  by Jeanny Hopper
  

  A policyholder’s job may have everything to do with how much he or she will pay for car insurance. According to a recent study conducted by researchers, a driver’s educational attainment and current occupation is mostly to blame for high premiums in many states. The study suggests that insurers often depend on their policyholders’ jobs to determine rates. Some providers base premiums on the risks associated with certain occupations, supported by scientific research and statistical data. In recent years however, insurers have shifted to an entirely new basis. While the providers still rely on the motorists’ occupation and education level, … (more) October 4, 2009

• Federal Government to Act on Distracted Driving

  by Jeanny Hopper
  

  The Obama administration is poised to take a harder stance against distracted driving, according to Transportation Department officials. According to Transportation Secretary Ray LaHood, distracted driving has resulted in close to 6,000 fatalities last year and at least half a million injuries. A large majority of those incidents were caused by drivers using their cell phones. Officials called on the Congress and the public to find ways to reduce the risk distracted driving has on the nation. Even representatives from the auto insurance industries joined in on the issue, adding that most accidents are caused by drivers losing their concentration … (more) October 3, 2009

• Military Servicemen Told to Check Car Insurance

  by Jeanny Hopper
  

  Insurance officials and insurance agents are reminding members of the armed services to review their auto insurance coverage before deploying overseas. The National Association of Insurance Commissioners (NAIC) called on military personnel to evaluate their current insurance coverage to ensure that their families are fully protected even when they are abroad. Commissioners of the different state insurance departments said that members of the armed services must check their current coverage because of their unique situation. Most personnel are deployed overseas for months at a time. Failing to secure proper insurance can lead to gaps in their family’s coverage. Analysts also … (more) October 2, 2009

• Consumers Unsatisfied with Their Auto Insurance

  by Jeanny Hopper
  

  Many consumers feel that they do not get the best deal when it comes to auto insurance. More consumers express dissatisfaction because of high premium rates and the way insurers compute their auto insurance costs. According to a recently published report by Experian, 79 percent of consumers who participated in the survey said they felt that they were paying too much for their policies. Additionally, cheap auto insurance becomes more significant in tougher economic times. For this reason, respondents say they continually seek better deals which provide the best coverage in relation to cost. Among drivers polled, 54 percent said … (more) October 1, 2009

• Legislation Out to Protect Domestic Violence Victims when Buying Car Insurance

  by Jeanny Hopper
  

  When buying car insurance, you are mandated by law to give out your exact current address, right? Not necessarily. There are cases when this is not required at all, for the benefit and the protection of the person purchasing the policy. Just like Wanda Roman, one of the many American citizens required to purchase car insurance, she was asked to give out her exact current address. However, Wanda could not afford to do so because this would just allow her ex-boyfriend/stalker to discover where she was presently residing. It is precisely because of this and other related reasons that state … (more) October 1, 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

• 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