| |
| |
|
|
Insurance Information |
|
Auto Insurance Primer
What is auto insurance? Auto insurance (or car insurance, motor insurance) is insurance consumers can purchase for cars, trucks, and other vehicles. Its primary use is to provide protection against losses incurred. By buying auto insurance, depending on the type of coverage purchased, the consumer may be protected against: * The cost of repairing the vehicle following an accident * The cost of purchasing a new vehicle if it is stolen or damaged beyond economic repair * Legal liability claims against the driver or owner of the vehicle following the vehicle causing damage or injury to a third party. Liability insurance covers only the last point, while comprehensive insurance covers all three. Even comprehensive insurance, however, doesn't fully cover the risk associated with buying a new car. Due to the sharp decline in value immediately following purchase, there is generally a period in which the remaining car payments exceed the compensation the insurer will pay for a "totaled" (destroyed, or written-off) vehicle. So-called GAP insurance was established in the early 1980's to provide protection to consumers based upon buying and market trends. The escalating price of cars, extended term auto loans, and the increasing popularity of leasing gave birth to GAP protection. GAP waivers provide protection for consumers when a "gap" exists between the actual value of their vehicle and the amount of money owed to the bank or leasing company. In some countries including New Zealand and Australia market structures mean that people are more likely to buy a nearly new car than a new car so this is less of a problem. In the United States, liability insurance covers claims against the policy holder and generally, any other operator of the insured's vehicle, provided they do not live at the same address as the policy holder and are not specifically excluded on the policy. In the case of those living at the same address, they must specifically be covered on the policy. Thus it is necessary for example, when a family member comes of driving age they must be added on to the policy. Liability insurance generally does not protect the policy holder if they operate any vehicles other than their own. When you drive a vehicle owned by another party, you are covered under that party's policy. Non-owners policies may be offered that would cover an insured on any vehicle they drive. This coverage is available only to those who do not own their own vehicle. Generally, liability coverage does extend when you rent a car. However, in most cases only liability applies. Any additional coverage, such as comprehensive policies, i.e. "full coverage" may not apply. Full coverage premiums are based on, among other factors, the value of the insured's vehicle. This coverage may not apply to rental cars because the insurance company does not want to assume responsibility for a claim greater than the value of the insured's vehicle, assuming that a rental car may be worth more than the insured's vehicle. Some states, such as Minnesota, may require that it extend to rental cars. Most rental car companies offer insurance to cover damage to the rental vehicle. In some regions, the costs associated with not having access to the vehicle ("Loss of Use") is also covered. More auto insurance information at auto insurance.
MORE RESOURCES:
Insurance - Google News |
|
|
|
RELATED ARTICLES
Terrorism: Acts of Terrorism: When Will Insurance Respond? Insurance policies provide financial protection in a broad range of circumstances but each type of product specifies certain situations where the policy will not respond. These vary from one type of product to another, and can vary in detail between one insurer and another. Types of Auto Insurance Coverage Explained A question you might ask yourself is: why must we carry auto insurance? Hopefully one answer you should hear is to protect yourself and your car. For those same reasons the government also requires you to have car insurance. Senior Health Care Insurance Health Insurance For Seniors On The NetWhen a good friend of mine inquired where he could obtain information about medical insurance for his out-of-state, elderly mother, I told him to try the Internet.He reported back to me about a week later, in desperation: "I am giving up, I am too confused. Guide to Life Insurance Here is a useful guide to life insurance. Simply put, a life insurance policy provides a lump sum payment upon death of the policy holder. Buy Life Insurance Online and Save There are many ways to research and buy a life insurance policy, but the fastest and most affordable way is to buy life insurance online. This way, you can supply the most accurate information and compare the greatest number of different quotes and terms to find the perfect life insurance policy for you. Health Insurance Online - Save Today It is now possible to thoroughly research and buy health insurance online. Without health insurance, the smallest of incidents, accidents, or illness can leave you with expensive medical bills that most people would have difficulty paying. How To Best Handle Health Insurance Plan Changes Many economists have suggested and recent economic data indicates that the economy is steadily moving in the right direction. A combination of several factors has no doubt had a negative impact on the economy over the last several years. Life Insurance Leads, Insurance Leads, and the Online Lead Generation Business I've long wanted to write an article about Internet Leads (Life Insurance Leads, Health Insurance Leads, Homeowner's Insurance Leads, etc) and why they are a waste of money, time, and a drain on the Insurance Industry. Thank you ezinearticles for this powerful resource in communication!Insurance Agents all over the USA are getting solicitations every single day for one new lead program or another. Home Insurance Terms Home insurance, or even homeowners insurance, is an insurance policy that combines insurance on the home, its contents, loss of the use of the home (additional living expenses) and, typically, the more individual possessions of the homeowner, as well as liability insurance for accidents that can transpire at the home.The cost of homeowners insurance scales upward depending on what it would cost to replenish the home, and which extra "riders", meaning extra items to be insured, are bound to the policy. Dont Just Accept Your Car Insurance Renewal Quote UK car insurance companies make substantial profits every year because a large number of existing customers just accept the renewal quote from their car insurance provider.Many people assume that because their first years premium was competitive they will continue to get good value for money from the same insurer. How Does Credit History Affect Car Insurance Rates? Many personal car insurance companies consider your credit information when determining how much premium to charge for your insurance. So if you are calling around for new car insurance, keep in mind that many insurers are looking at your credit history to determine your car insurance rates. Life Insurance Without Life Value: Why Young People Are Snubbing Financial Advice This article is written by a 27 year old female (borderline Generation X / Y) called Rachel. Rachel spent six years at university, has no outstanding debts with the exception of government student loans. Student Health Insurance - Is It Necessary? As a young, healthy college student, it might be tempting to forgo the expense of health insurance. After all, you're young, you're careful and you're not sick. Health Savings Accounts (HSA): Do They Vary From State to State? The Health Savings Account (HSA) is an amazing tool that a lot of people have been talking about. It is meant to help you save money on insurance and make your life simpler, maybe even help you be healthier. Insurance For The Self Employed And Those Seeking Health Insurance First of all, congratulations on deciding to go out and make it on your own. The rewards and excitement of making it on your own can not be found anywhere else. Is an HSA a Type of Insurance? A Health Savings Account (HSA) is not a type of health insurance. But that's an easy mistake to make!HSAs are closely associated to health insurance, although they do not provide any insurance benefits themselves. Should I Buy Rental Car Insurance? Rental car agencies have a menu of insurance policies they would like to sell you. While each policy could be of some benefit under the right circumstances, you should review each plan (its provisions, limitations, and exclusions) before making a purchase. How to Reduce Car Insurance Premiums Here are some useful tips on how to reduce car insurance premiums. Firstly, you need to find a sense of balance between coverage and cost. Health Savings Account (HSA): Useful for Women in Childbearing Years? The Health Savings Account (HSA) is an amazing tool that a lot of people have been talking about. It is meant to help you save money on insurance and make your life simpler, maybe even help you be healthier. Tips On How To Save When Buying Car Insurance If you want to save money when you purchase your car insurance here are a few ways that can help you as you search for auto insurance.First thing you can do is comparison shop.
|
|||||||||||||||||
