Most Recent Auto Insurance News in Headlines

• GM offers free auto insurance to help new car buyers

  by Richard Burton
  

  Uninsured motorists pose a serious problem especially in states like California. So, General Motors (GM) is trying out an experiment in two states where it will help insure new car buyers. It is conducting this test in Washington and Orlando and new car buyers in these states will receive free auto insurance for one year. This is an offer from GM and the policy would be offered by MetLife. The policy also includes the physical damage coverage and liability. It exceeds the requirements in both the states. This offer is on 2010, 2011, and 2012 Buick, Chevrolet, GMC, truck, Cadillac … (more) July 20, 2011

• Auto thefts are on the decline and is the lowest since 1967

  by Richard Burton
  

  Auto thefts in the US have reached the lowest levels since 1967. There had been a drop of 7.2% during 2010. It is the 7th consecutive year that there has been a decline in auto thefts and this is largely due to the safety features as well as measures taken by the police force. This has acted as deterrents state experts in the auto insurance sector. The number of thefts has declined steadily. The figures were at 794,616 during 2009, but there has been a decline of 7.2% during 2010, as per the preliminary reports from the National Insurance Crime … (more) July 18, 2011

• Public auto insurance is the best, provided it is executed well

  by Richard Burton
  

  The IBC or the Insurance Bureau of Canada has been actively convincing the British Columbians since the last four years stating that the private insurance system provides the best service and would be much better than ICBC. However, there seems to be overwhelming evidence to show that when the government takes up something and does it right, the choice between private and public would become quite obvious. Just last week Lindsay Olso had argued on behalf of the IBC and stated that the insurance rates in B.C. would actually decline if it had to come under the private system. Olson … (more) July 14, 2011

• Fraudsters now insure their luxury vehicles as farm vehicles to avail hefty discounts

  by Richard Burton
  

  The unpaid premiums have gone up to a tune of around $150 million each year due to improper application of discounts, states an executive from a firm which checks the data for auto insurance companies. Insurance fraudsters are now turning to other innovative ways to cheat on the amount of insurance they pay. They claim their luxury cars to be farm equipment and are reaping the benefits by way of hefty discounts on their auto insurance premiums. The San Francisco Company Quality Planning is in charge of the verification of the policyholder’s data for auto insurers and this company has … (more) July 13, 2011

• J.D. power & associates – consumers who combine policies are dissatisfied

  by Richard Burton
  

  According to J.D. Power & Associates, the satisfaction with the pricing among auto insurance customers is now comparable with those levels that were earlier reserved for those policyholders who bundled their homeowner’s policies and auto insurance policies. The study conducted by J.D. Power measured consumer satisfaction with the auto insurers based on 5 factors such as policy offerings, price, interaction, claims, and billing & payment. The study has found that satisfaction levels in those who had purchased a homeowner’s policy from another insurer and those who only had an auto insurance policyhad gone up now when compared to 2010 (it … (more) July 6, 2011

• Catastrophic auto insurance suggested by Halifax lawyer

  by Richard Burton
  

  A Halifax personal injury lawyer has suggested to the Nova Scotia government that there needs to be a boost in the medical rehabilitation benefits which are handed out to those who suffer ‘catastrophic’ injuries in motor vehicle accidents. John McKiggan has stated that those who suffer severe injuries in accidents required extensive medical treatment and should be eligible to receive more medical benefits, maybe up to $100,000. They must also have additional benefits such as income replacement of up to $1,000 for every week that the injured person is unable to go to work as a result of the accident. … (more) July 3, 2011

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

  by Richard Burton
  

  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 a better option than private insurance

  by Richard Burton
  

  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

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

  by Richard Burton
  

  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

• Usage-based insurance and telematics solutions for auto insurance industry as a result of collaboration

  by Richard Burton
  

  An announcement was made by The Evogi Group a telematics solutions provider for vehicles and Exigen Insurance Solutions a provider of core systems for insurance about a partnership that has been forged between the two companies. This announcement was made at ACORD LOMA Insurance Systems Forum. This partnership will offer a complete usage-based insurance or UBI as well as pay-as-you-drive PAYD options for insurers. This collaboration between these two companies will provide insurers billing, full policy administration, claims, as well as account management for both commercial and personal auto usage-based insurance products with the help of GPS technology and telematics. … (more) June 9, 2011

• Billion-dollar deal struck by allstate as it plans to buy esurance to increase online sales

  by Richard Burton
  

  Auto insurance major Allstate has struck a billion-dollar deal with plans to buy Esurance as well as Answer Financial from White Mountains Insurance Group Ltd as it has major expansion plans with regard to its online sales. Thomas Wilson, CEO is now looking at ways and means to bring in more customers through the rest of the channels like the internet as the younger generation generally avoids insurance agents. Most often, online shoppers opt for insurance coverage from lesser known insurance companies. Allstate seems to have lost a lot of customers due to this since the last 3 years. Paul … (more) June 3, 2011

• Unfair treatment meted out to low-cost auto insurance bill in senate hearing

  by Richard Burton
  

  The bill that was supposed to charge most motorists in Nevada a drivers’ fee in order to subsidize the low-cost insurance pilot program for those residents of Clark County who were eligible, ran into some tough questioning at the Senate hearing. This bill was the subject of a lot of vote trading in order to get the required two-thirds support that was needed to move it out of the assembly last month. This bill was sought by Assemblyman Kelvin Atkinson, D-North Las Vegas. The two-thirds vote was a prerequisite for the bill as it planned to impose a 50% fee … (more) June 2, 2011

• Lowering auto insurance costs through wisconsin’s law raises many questions

  by Richard Burton
  

  Opponents of the new law as well as experts from the insurance industry have questioned the new Wisconsin law, which was essentially aimed at lowering auto insurance premiums by doing away with the coverage requirements. The opponents claim that the changes that were brought about in 2009 have caused a rise in the auto insurance rates instead of bringing it down. It is difficult to simply look at some legislation and try to understand the changes that it can bring about, stated Steve Witmer, spokesman, American Family Insurance, one of the major insurers in Wisconsin. The 2009 legislation that was … (more) May 28, 2011

• The low-cost auto insurance bill is treated unfairly in the senate

  by Richard Burton
  

  The low-cost auto insurance bill for residents of the Clark County faced some rough questioning at the Senate hearing. According to the bill most Nevada drivers would be charged a fee in order to subsidize the low-cost insurance program. There was some serious vote trading on the bill which was sought by Assemblyman, Kelvin Atkinson, D-North Las Vegas and it received two-thirds of the support that it required to move it out last month, from the Assembly. Two-thirds vote was required by the bill because there would be a 50-cent fee that would be imposed on each insured vehicle annually … (more) May 18, 2011

• Increase in the number of suspicious auto insurance claims can lead to high premiums

  by Richard Burton
  

  The cost of auto insurance premiums could go up drastically due to the suspicious claims that are increasingly seen by auto insurance companies. This is a clear sign of fraud which could spike up the premiums. Most people from the industry blame the financial crisis for this. Bill LeFew, American Family Insurance agent, states that people feel tied up due to the economy. Since these people have lesser options, they have turned to auto insurance fraud. He also states that insurance fraud had become more prevalent ever since the recession. LeFew has been an insurance agent for the last 34 … (more) May 17, 2011

• The most lobbied bill in the legislative session seems to be the tow truck bill

  by Richard Burton
  

  Although this has been termed as the ‘most lobbied bill’ in the legislative session, this really has nothing to do with the taxes. The whole fuss is with regard to the changes in the tow truck and auto salvage industry. The lobbies include the wealthy business owners who are often seen contributing during political campaigns on one side, the auto insurance sector, the AFL-CIO as well as a former speaker of the Assembly. The other segment includes the salvage yards, tow truck companies, Las Vegas Metropolitan Police Department, and the Nevada Tow Car Council. Sandwiched somewhere in the middle are … (more) May 12, 2011

• Students could save lot of money with the low-cost insurance program

  by Richard Burton
  

  A simple message was delivered by the Insurance Commissioner Dave Jones at San Diego City College today. Now students who have financial difficulties can approach the California Department of Insurance for financial aid, by obeying the law. The Insurance Commissioner appeared on the campus and was part of the Cinco de Mayo festivities that took place, where students were introduced to the California Low-Cost Automobile Insurance Program (CLCA). Students are offered automobile insurance at affordable rates especially for those that qualify. Jones stated that in this recovering economy most Californians and mostly students were looking for ways and means to … (more) May 11, 2011