Natural disasters cause havoc and damage property, automobiles and lives of innumerable human beings. With increasing rates of disasters, the auto insurance companies are not being able to settle insurance claims. As a result, most of the auto insurance companies have decided to increase premiums for auto insurance so that claims can be settled.
The second quarter results of 2011 seem to suggest a tumultuous phase due to the thunderstorms and tornadoes in Midwest and the South. The auto insurance industry loss ratio prior to consideration of reinsurance has climbed to 70.6% and has marked the industry’s worst second quarter performance since 2001. This has even outpaced the loss ratios of 58.1% and 56.2% in 2010 and 2009 during the second quarters, according to SNL insurance which is a division of SNL. The industry premium has essentially remained flat and has decreased just 0.2% from the second quarter of 2010. The auto insurance companies … (more) October 24, 2011
Officials from the state Department of Insurance have stated that they need to clamp down on the medical benefits that are paid by the auto insurance companies after the accidents. They claim that this will prevent companies from fleeing N.J. However, the skeptics claim that its anti-fraud net has been cast too wide. A series of changes have been planned for the PIP or Personal Injury Protection in auto insurance. About four hours of testimony was heard on Thursday by the Assembly Financial Institutions and Insurance Committee. The PIP cover offers protection and covers the medical cost regardless of who … (more) October 21, 2011
A state House panel in Lansing began the hearings on the proposed no-fault auto insurance changes today. The room was packed with wheelchair-bound people who had suffered injuries as a result of car accidents and they were there to request lawmakers to retain the no-fault laws in the state. As per the proposed changes drivers would be allowed to choose lower rates by reducing the amount of coverage. George Sinas is the attorney with a coalition that consists of hospitals, doctors, trial lawyers who have opposed the changes. He states that he is particularly concerned over some particular change in … (more) October 16, 2011
There has been a sharp rise in auto insurance fraud in the San Diego County due to the economic downturn. This has prompted the DA’s office to step in to educate the general public about the repercussions of being involved in such crimes, stated a Deputy District Attorney on Wednesday. Dominic Dugo, who is the deputy district attorney as well as director of fraud grants in the San Diego County, has stated that the fraud generally went up when the unemployment levels rose. He added that it was not merely limited to auto insurance fraud but all types of fraud. … (more) October 15, 2011
Not so long ago we had the privilege of being able to get a no credit check auto insurance policy if we had a good driving record, paid insurance on time, had good credit history etc. However, that does not seem to be the case anymore, as insurance providers don’t really care if you have kept up your payment schedule nor have a good credit history etc. Today, even if you or your spouse end up losing your job due to the economic downturn, the auto insurance companies can still nail you with hiked premiums or worse they can even … (more) October 6, 2011
Long gone are the days when customers could show their impeccable driving record, void of any speeding tickets or accidents, and proof of paying their insurance premiums regularly and expect to be rewarded in return by the auto insurance provider in the form of discounted auto insurance premiums. Today, auto insurance providers do not pay as much attention to these aspects, as they do to the credit history and the fact that your spouse or partner getting the pink slip due to the downward spiraling economy. Therefore, even insurance holders with good driving records and good payment scheduled are still … (more) September 29, 2011
There are consumers who are unhappy about the rising auto insurance prices which are attributed to the increase in the number of auto insurance frauds. Most of them also believe that this is a reason that is being cited without enough proof to substantiate it. For those who feel that this is all hogwash, here is a reality check. The number of fraudulent auto insurance claims is indeed increasing not just in one state, but across the country. There is also evidence to prove the same. Numerous fraudsters who allegedly ran an auto collision ring by staging accidents and filing … (more) September 26, 2011
Earlier, auto insurance providers would reward customers who had a good driving record, credit history, and paid insurance on time. However, all of that seems to have changed now as auto insurance providers no longer seem to care if you keep up to your payment schedule and have a good credit record etc. In the present scenario, in case you or your spouse lose your job due to the economic downturn, auto insurance companies will still nail you with a hike in premiums or even cancel your policy. However, one fails to understand the connection between credit history and auto … (more) September 19, 2011
MetLife Auto & Home has welcomed a direct marketing proposal from General Motors that facilitates auto insurance to new car owners. In an effort to enhance its brand image, General Motors incepted MetLife Auto policy that would cover liability and physical damage coverage and serve new GM customers for models Chevrolet, Buick, GMC or Cadillac. It is presumed the marketing campaign will help the distribution force of independent agency, as well. The proposal is currently extended to Washington and Oregon. However, several independent insurance agents have raised concerns regarding the marketing gimmick. Bob Rusbuldt, president and CEO of IIABA (Independent … (more) September 18, 2011
In an effort to restrain unfocused driving, a number of communities across the country have increased the presence of law enforcement personnel on the road. As per the National Highway Traffic Safety Administration in Hartford, Connecticut and Syracuse, New York, fewer instances were reported by police officers reported for sidetracked driving after powering up their awareness program for distracted driving. In Syracuse, cell phone usage while driving was dropped by a 1/3rd, in presence of higher numbers of police patrolling the roads. In Connecticut, the numbers declined by 57% when police enforced heightened driver distraction program. According to NHTSA, Hartford … (more) September 15, 2011
Last year, voters had turned down the auto insurance initiative, which was bankrolled by Mercury. However, Mercury wants to give it another try. This week, the California attorney general’s office released a summary of the proposed initiative that was submitted by Mike D’Arelli, who is the executive director of American Agents Alliance, which is an insurance trade group. This is an initiative that is somewhat similar to the Proposition 17 that was defeated during the June 2010 elections despite the fact that Mercury spent around $16 million on a media campaign that was carried out throughout the state. The new … (more) September 11, 2011
North Central Insurance Agency (NCIA) has a legacy of serving affordable and comprehensive Minneapolis auto insurance. The agency’s mission statement is to provide hassle-free insurance for old and new car owners. They have demonstrated their commitment by launching an entirely redesigned, interactive website. The new design offers a more comprehensive source of insurance information and services for prospects and customers. The website hosts an extensive array of useful articles and insurance glossary that facilities the easy flow of information to the insurance buyer. These resources will answer the frequently asked questions related to auto insurance. With interactive features like multiple … (more) September 9, 2011
The law enforcement agency is pairing up with insurance companies, community organizations, and concert venues this summer to fight against auto theft. The Denver police department reported a stealing of over 500 cars just last month alone. Now, Denver police squad has teamed up with Coloradans against Auto Theft (CAAT) organization in an effort to prevent auto theft. It is a statewide programme to teach the public about what they can do to diminish their odds of becoming a prey to the auto thieves. GPS will be employed to keep a watch on the neighbourhood, and bait cars to trail … (more) September 8, 2011
There were raging debates earlier over the use of credit scores by auto insurance companies, while determining the rates on policies and they seemed to have ended some time ago. However, that does not seem to be the case as the battle over the use of credit scores continues. It was assumed that this issue had been resolved four years ago, when the state insurance commissioner had banned the use of credit scores, but that seems to be far from the truth. The issue is back in the limelight and this time around, it would be the voters who would … (more) September 5, 2011
One of the noted injury lawyers in New Brunswick states that they need to abandon the $2,500 injury cap on the pain & suffering awards in auto insurance and instead, adopt a much better system. George McAllister, a Fredericton-based lawyer with over 35 years of practice states that there are much better models when compared to the cap & threshold model, where a group of accident victims have to carry the burden of lower auto insurance rates. The New Brunswick government had introduced legislation in July 2003 that capped the compensation awarded for accident victims for pain and suffering when … (more) September 3, 2011
There has been a sweeping overhaul last week in the PIP coverage in New Jersey. This is an attempt to lower auto insurance costs and curb the rise in premiums. This will bring about a change in the way doctors bill the patients for the treatment that is rendered and will also restructure the entire process of appealing for a denied claim. New Jersey is one of the most expensive states to purchase car insurance, but the rates did see a decline after the enactment of some changes brought about in 2003 by the McGreevey administration, as it spurred competition. … (more) September 2, 2011
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