InsuranceSavingsReport.com

Homeowner Insurance: The Basics

MOST people who buy a home are told by their lawyer to show up at the closing with a homeowner’s insurance policy providing coverage for at least the amount of the mortgage. After the closing, insurance professionals say, premium payments are usually made by the lender — which typically collects the money from the borrower [...]

Fires’ Cost to Insurers Is in Range of $1 Billion

As bad as the California fires look on television and as horrible as they are for families with homes in their path, the wildfires are doing much less damage than Hurricane Katrina two years ago, and they are going to cost only a fraction of the $41.1 billion that insurance companies paid out for the hurricane. Nearly 1,500 homes [...]

Flood Coverage Outside a Flood Zone

Homeowners in high-risk flood zones are usually required by their lenders to have flood insurance. But, insurance specialists say, some homeowners might want to buy flood coverage even if they are not in a flood zone and their lenders do not require it. That’s because some properties not in a high-risk zone perhaps should be, [...]

It Pays To Play The Field When It Comes To Auto Insurance

Posted by admin on November 1st, 2011

It pays to play the field when it comes to auto insurance. You should know your auto insurance company rankings and always check several insurers to get the cheapest auto insurance rates around.

(NC)—Auto insurance is the expense that everybody loves to hate. Once you get a policy, most folks simply file it away, pay the premiums, and hope they don’t have to look at it again.

That’s not the way it should be. Auto insurance is one expense that could be very easy to reduce if you take the time to compare rates, review your coverage and delve into the details on a regular basis, says Andrew Wicken, general manager of InsuranceHotline.com, an unbiased comparative quoting service directing consumers to the insurance companies which offer the lowest rates.

“Rates can vary significantly from one insurance company to the next,” he explains. “That makes shopping around a very worthwhile exercise. The best part is you need not wait until your current policy is up for renewal, as the savings could outweigh any cancellation fees.”

People might think they are the victim of mandated rates that are out of their control, but the grid system in Alberta for basic coverage doesn’t mean you can’t do anything to reduce your car insurance costs. Consumers looking to keep their auto insurance costs in line should consider the following tips:

1. Cast A Wider Net.

Insurance brokers can help you shop for the best rate, but they will only provide quotes from the limited number of companies they represent (usually no more than four or five). “But with over 20 insurance providers in Alberta, the odds that you are getting the lowest rate available right now are pretty slim,” says Wicken. Fortunately, free online comparison services like InsuranceHotline.com give you a quick and easy way to compare rates from multiple insurance providers.

2. Don’t Assume Loyalty Discounts Are The Answer.

People mistakenly think if they stay with the same broker or insurance company they’re getting the best rate. But if you are not with the lowest cost insurer in the first place, loyalty discounts might obscure the fact that you could get a better rate elsewhere.

3. Ask Your Insurer About All Available Discounts.

Providers offer all sorts of discounts that could help reduce rates – from multi-vehicle/multi-line and retiree discounts to anti-theft, winter tire, student away from home and eco-friendly car discounts.

4. Review Before You Renew.

Come renewal time, a lot of drivers simply pay the premium and move on. However, a regular review of your policy with a licensed insurance professional to check your coverage and ensure your information is up to date can sometimes pay big dividends.

5. Keep A Clean Driving Record.

Building a good driving history that is free of tickets and convictions will help to reduce your rate over time.

“After your mortgage and car payments, your car insurance premiums are one of your biggest expenditures, so taking the time to shop around is worth the investment,” Wicken says. “And if you do go shopping, using online tools to quickly find the lowest rate available from the entire field of insurance companies can save you money and peace of mind.”

How To Recognize and Avoid Auto Insurance Abuse and Fraud

Posted by admin on October 16th, 2011

How to recognize and avoid auto insurance abuse and fraud
Top five auto insurance tips so you don’t fall victim to auto insurance abuse and fraud. Educate and protect yourself when it comes to your vehicle and car insurance.

(NC)With auto insurance fraud and abuse on the rise, Canadians should be aware of the tactics dishonest individuals use to commit fraud and how it could involve them if they get into an auto accident.

According to a recent RBC Insurance survey, nine-in-ten Ontario drivers (87 per cent) agree that auto insurance rates are higher than they should be because of false claims and fraud. In fact, every time an insurance company pays out a fraudulent claim, the consumer ends up paying in the form of higher insurance premiums.

Here are five tips from RBC Insurance to help Canadian drivers protect themselves from being a victim of fraudulent activity should they get in an auto accident:

1. Call your insurance company right away. Some companies, like RBC Insurance, will help you manage details at the accident scene by talking to the other driver, arranging a tow truck, sending you to a preferred body shop, arranging a rental car and even contacting family and friends if necessary.

2. Know your insurance company’s preferred body repair shops. Companies like RBC Insurance already have agreements with preferred repair shops where repairs are guaranteed and the appropriate procedures are in place to protect your privacy.

3. Be wary of towing companies that appear at the accident scene. Some tow truck drivers, also known as “chasers”, work with vehicle repair shops, rehabilitation centres and paralegals and are paid referral fees.

4. If you’re injured as a result of the accident, keep detailed records of your medical treatments including doctor names, dates, locations, and treatments received. Take the time to compare your records against statements from your insurance company to ensure the bills are accurate.

5. Always be sure to carefully read anything a tow truck driver, personal injury lawyer or health care provider asks you sign and never sign a blank insurance claims form.

Car Insurance for Teenage Drivers

Posted by admin on September 26th, 2011

The statistics about teenage drivers aren’t good. According to the Insurance Institute for Highway Safety (IIHS), 16-year-olds get into accidents almost six times more often than drivers between the age of 30 and 59. No wonder car insurance premiums are so high for this age group.

However, not all car insurance companies take the same dim view of young drivers. And some discounts are available to help you cut costs. Remember, the higher the risk, the higher the cost of insurance premiums. Let this be your guiding principle as you shop for insurance.

Here are 10 suggestions to help lower premiums and keep your teenager’s license free of violations:

1. Help your teen learn the laws and follow them to the letter. By far, the best way to lower car insurance costs for teens is for them to keep their driving record clean. Make safe driving a family project. In some states, restrictions apply to new drivers. Parents should know what the laws are and insist that their sons and daughters follow them.

2. Set a good example. Do you break the speed limit and tailgate? Do you yell at other drivers when you’re behind the wheel? If you do these things, how can you expect your children to act differently? Start watching your own driving long before they get their license and you’ll have a much easier time convincing them to be safe drivers. Remember, actions speak louder than words.

3. Put your teenager on your policy. Rather than setting up an independent policy for your teen driver, put them on your auto insurance policy as an additional driver. In this way, all the discounts applied to your policies will be passed on to them.

4. Pay your teenager to get good grades. Here’s a creative tip — find out how much you save if your teenager gets a good grade point average and pass it on to them. Usually, having a 3.0 or higher GPA will reduce your car insurance premium by 10 percent. Figure out exactly how much this saves you and give that money to your teenager. This accomplishes two things. First, it provides a direct reward for academic performance. Secondly, it motivates them to continue getting good grades.

5. Enroll them in driver education courses. Discounts are available for teens who take recognized driving classes. But call your car insurance company to find out which schools are covered before paying big bucks.

6. Steer clear of sports cars. Don’t try to live vicariously through your teenager by giving them the hot car you couldn’t get in high school. Getting your teenager a safe car to drive, with the latest safety equipment, will lower your premiums. Not only will you save money on car insurance, but fast driving will be less of a temptation.

7. Get their support. Don’t assume that your teenager wants to vacuum clean your wallet. Ask them for help cutting costs and point out that you will share in the savings (see rule #4). Tell them how much car insurance costs and show them how this fits into the family budget. If nothing else, you will score points for treating them as adults.

8. Talk to your kids about drugs and alcohol. This is a tough subject to broach with teenagers, who think they have everything under control. But the consequences of saying nothing can be catastrophic. Take the time to lay down some guidelines in this important area.

9. Take traffic school to beat tickets. Once a ticket is on your teen’s license, it takes months to get the violation removed. Instead, encourage them to take traffic school if the judge allows it. A day spent thinking about the consequences of unsafe driving can bring rewards for years to come.

10. Ride with your teenager. Your teenager was a safe driver last year when he or she got a license. But what’s happened since then? Let your son or daughter take the wheel while you sit back and relax in the passenger seat. If you see them doing something that breaks rules or seems unsafe, point this out in a diplomatic way. If they are doing a good job driving, praise them for their efforts.

If you follow the above suggestions, you will find that you can make it through the teenage years safely — and without paying an arm and a leg for car insurance. It just takes cooperation and understanding from both sides of the generation gap.

High Risk Life Insurance Companies

Posted by admin on September 20th, 2011

There are some people with certain conditions that are harder to insure than others. The secret for any of you out there that are high risk individuals is to find the right high risk life insurance company and apply with them.

We see people all the time that think that they cannot get life insurance. We hook them up with one of our high risk life insurance companies that they had not looked at, and get them the life insurance they need.

In an ever changing world, having some peace of mind is very important. That’s why we are dedicated to helping you get high risk life insurance.

Unfortunately, while everyone is looking for cheap life insurance, high risk life insurance companies will generally charge more for life insurance coverage to someone that has had health issues in the past or that participates in hazardous avocations.

Life insurance rates are all based on probability. The more at risk you are (due to health conditions or hazardous avocations), the more likely your insurance rates will be high.

However, at Wholesale Insurance, we find you the best high risk life insurance companies that have the lowest rates. You’ll be able to rest assured that the price we are finding you is the best price available.

Try Wholesale Insurance. You will like us. It’s our high risk life insurance guarantee!

Homeowner Insurance: The Basics

Posted by admin on September 10th, 2011

MOST people who buy a home are told by their lawyer to show up at the closing with a homeowner’s insurance policy providing coverage for at least the amount of the mortgage.

After the closing, insurance professionals say, premium payments are usually made by the lender — which typically collects the money from the borrower by adding one-twelfth of the annual premium to the monthly mortgage payment — and so there is a good chance that many homeowners never give another thought to their insurance policy unless they have to file a claim.

The experts note, however, that the failure to have an adequate homeowner’s policy can have significant consequences. “In the frenzied excitement of buying a home, it is important that consumers ask a number of key questions about securing financial protection for what could be their most valuable asset,” said Jeanne M. Salvatore, vice president of consumer affairs at the Insurance Information Institute in Manhattan.

“You absolutely, positively must have enough insurance to rebuild your home,” she said, noting that while that might seem rather obvious, many homeowners do not have adequate coverage. “If you buy just enough insurance to satisfy the lender, you may not have nearly enough coverage to rebuild your home if it is destroyed.”

So, Ms. Salvatore said, prospective homeowners should sit down with their agent or broker and calculate how much it would cost to rebuild the home they are buying “from the ground up,” and then purchase at least that amount of insurance.

Those who want greater assurance, she said, can purchase a policy with “extended replacement cost” coverage. With such a policy, the insurance company provides a stated amount of coverage to rebuild the home, and then adds a “buffer” to that amount. “The buffer can be anywhere from 20 percent to 80 percent over and above the amount of the policy,” she said. So, if a home is insured for, say $100,000, a policy that provides extended replacement cost coverage will provide $120,000 to $180,000 to cover the cost of rebuilding.

Patti Clement, director of new business for the HUB Private Client Division, an insurance broker in Westport, Conn., said that some carriers offer an even more generous level of coverage. “The best coverage is guaranteed replacement cost coverage with no cap,” Ms. Clement said.

With such insurance, she said, the insurer is guaranteeing that in the event the property is destroyed, it will be rebuilt to the same specifications and using the same type of materials as the original, no matter what the cost. In most cases, Ms. Clement said, the cost to rebuild a house to the same specifications as the original ends up being more — sometimes much more — than the purchase price of the house.

“You could buy a house in Greenwich for $1 million, but the cost to rebuild it might be $3 million,” she said, adding that guaranteed replacement cost ensures “like kind” replacement of all elements of the house. So, for example, if a house built in the early 1900′s has plaster walls, guaranteed replacement cost coverage will provide however much it costs to hire a craftsman to install new plaster walls.

Another thing that homeowners should look for when buying insurance is “unlimited building ordinance coverage.” Ms. Clement explained that houses meet the building, fire, electrical and plumbing codes in effect at the time they were built. Such codes are frequently updated, however. If a house built 75 years ago is damaged in, say, an electrical fire, it is possible that an inspector could require the entire electrical system be upgraded to current codes.

Most policies, Ms. Clement said, provide for a dollar limit on the amount of ordinance coverage the policy will provide. “Smaller insurance companies might offer $5,000 in coverage,” she said. “But in some cases, bringing a building up to code can cost tens of thousands of dollars. And there’s no way of knowing how much it will cost in advance. So what you really need is unlimited building ordinance coverage.”

Health Insurance Denials Have Risen by Half

Posted by admin on September 9th, 2011

One of the things that the Affordable Care Act tries to curb is the — in this author’s opinion — heinous practice by insurance companies to either deny coverage, claims or admittance from people with pre-existing health conditions. You know, the folks who actually need the health care they’re paying coverage for. The Affordable Care Act would make this practice illegal once it takes effect in 2014, which would mean a lot more people buying health insurance. I bring this up because of this week’s article, a poignant one on MSNBC, entitled, “Health insurance claim denials rose by half in recent years”.

This article describes how the largest for-profit health insurance companies — including Aetna, Humana, UnitedHealth Group and WellPoint — all saw an increase in claim denials over the past couple of years, up to forty-nine percent overall. In 2009, for example, 257,100 could not get a health insurance plan, compared with 172,400 in 2007, according to a report from the House Energy and Commerce Committee. All told, health insurance companies refused to sell health insurance plans to roughly 651,000. Over half a million people couldn’t get health insurance because these health insurance companies didn’t like their medical histories.

How anyone could see numbers like this and NOT think our health insurance and health care systems need reform is beyond this author. While the Affordable Care Act now makes it illegal to deny coverage and claims to children with pre-existing health conditions, the law doesn’t take place for adults until 2014, so many adults will have to wait until then. Likely, companies will continue this practice for as long as they can, which is just a tragedy.

Finding Cheap Car Insurance

Posted by admin on September 3rd, 2011

Finding cheap car insurance can be a lot like finding a needle in a haystack. It’s long and frustrating and can lead to fits of uncontrollable swearing and temper tantrums. However, unlike the endless quest for that needle, finding the least expensive car insurance has a point. The more coverage you can get at the lowest price means more money in your wallet and a lot less stress about paying your other bills.

But which companies offer the cheapest insurance? That really depends on what you’re looking for. The amount of coverage you want will determine the price, along with your age, driving record and where you live.

Take for example, Geico. Everyone knows the little green gecko ads. They are extremely effective. But how much would they charge a 21-year-old male living in the suburbs outside of Boston, MA? Let’s say that 21-year-old is looking only for liability coverage, forgoing comprehensive, collision and medical coverage for a 1995 Chevy Cavalier. Let’s assume he has a clean driving record with no accidents or speeding tickets reported. If he selects all the minimum liability amounts for bodily injury, property damage and personal injury, his premium will be $83.30 a month, or $999.60 per year. That same 21-year-old living in Carmel-By-The-Sea in California would pay $56.32 a month or $675.84 a year for insurance, under the same conditions, searching for the same amount of coverage.

As any smart shopper would, it pays to check out Geico’s competition. A quick visit to Amica Mutual’s web site, using the same criteria with the same 21-year-old male, shows he would be paying an annual rate of $799 in suburban Massachusetts and $695.54 in sunny California. So the 21-year-old in Massachusetts would be smart to choose Amica Mutual for his car insurance, while the 21-year-old in California would more than likely choose Geico.Why the discrepancy? Different states demand different minimums for liability coverage. Massachusetts sets minimum bodily injury liability coverage at $20,000 with a maximum payout of $40,000 per accident, along with a $5,000 limit for property damage. There is also a mandatory minimum for any uninsured drivers who might get behind the wheel of your car, also set at $20,000 with a max payout of $40,000. In California, the minimums are lower, with bodily injury set at $15,000 with a max payout of $30,000 and a minimum $5,000 property damage liability coverage. California does not require drivers to carry coverage for any uninsured or casual drivers who might get behind the wheel.One good indicator of where to start looking for cost-effective car insurance is consumer surveys. Survey giant J.D. Power & Associates rank customer satisfaction with insurance companies annually. In their latest ranking, Amica Mutual topped the list, with State Farm and Shelter taking the second and third spots. Some other big names, like Geico and Progressive ranked further down the list, coming in at nine and 14, respectively.

One thing cannot be stressed enough: where you live plays a large role in determining how much you pay. Keep in mind, our 21-year-old in Massachusetts was living within 25 miles of a major urban centre, with a higher population density than picturesque Carmel-By-The-Sea. In fact, Massachusetts is one of the more expensive states where one can obtain insurance. In a nationwide survey done in 2005 (the latest figures available), five Northeastern states (New Jersey, New York, Massachusetts, Rhode Island and Delaware) ranked in the top 10 most expensive states for car insurance. Connecticut comes in at number 11. Drivers in New Jersey drivers pay an average of $1336.20 in premiums a year. Only Maine, with its sparse population, ranked in the top ten for lowest car insurance rates. The Midwest makes up the rest of the list with Iowa being ranked the cheapest place to obtain car insurance. Drivers in Iowa drive easy knowing they’re paying an average of $664.20 in premiums every year.

When you do start looking for insurance, be sure to prepare. Remember that no one company offers across-the-board cheap rates, and be sure to compare quotes. Take advantage of any discounts you might be eligible for, including multiple car options and group rates. The best thing to do is find a rate that you can afford that covers everything you want. Don’t let a cheap quote that cuts corners entice you, because in the end, you get what you pay for.

Affordable Care Act Can’t be Blamed for Rises in Health Insurance Premiums

Posted by admin on September 1st, 2011

A lot of health insurance companies have been in the news due to their hikes in health insurance premiums. More and more often, many companies are pointing the blame elsewhere, including losing customers and even the recently passed Affordable Care Act. Well, according to an article from NPR entitled, “Health Law Hardly At Fault For Rising Premiums,” health insurance companies can’t really blame the recent law as a reason to raise premiums.

The article cites several examples from small business owners in which their health insurance brokers blamed health insurance reform for the rising costs of premiums. Jay Angoff, head of the Office of Consumer Information and Insurance Oversight for the U.S. Department of Health and Human Services, says “It would be inaccurate and silly to blame it on the new law. To the extent that the insurance companies blame the new law for rate increases, they know better,” Angoff says. He goes onto say that the new law would only raise rates between one and two percent.

Last month, HHS Secretary Kathleen Sebelius wrote a letter to the health insurance industry warning them about “falsely blaming premium increases for 2011 on the patient protections in the Affordable Care Act”. However, Robert Zirkelbach of the insurance industry trade group America’s Health Insurance Plans says that some part of the rate increases can be attributed to the new law, some portions of which just took effect. The article then goes onto list more likely culprits of the increases, like healthy people cutting coverage due to a weakened economy, among other things. Overall, however, opinions are still mixed as to how much savings we’ll see from the health reform laws.

Things to consider when you are buying your first auto insurance policy

Posted by admin on September 1st, 2011

Like most of the other things in life, buying an auto insurance policy is also an important task that cannot be overlooked. One of the first investments most of us make in life is to purchase a car. While brand new cars come with complimentary auto insurance coverage for the first couple of years, this is not the case if you purchase a used car. Irrespective of the state you live in, auto insurance coverage is important and cannot be overlooked if you intend to drive the car without getting into the wrong side of law. Choosing the right auto insurance coverage can be a daunting task even for someone who has been purchasing this coverage for years; for a first timer this task can be extremely challenging and time consuming. Here is some information that can help simplify the task, if you are a first time auto insurance buyer.

Before you even start looking for auto insurance coverage, you should learn about the basic auto insurance requirements mandated by the state you reside in. The minimum requirements for auto insurance coverage vary across states. Availing a policy that does not even offer the minimum requirements prescribed by the state is considered invalid and can lead to imprisonment or being fined.

Once you are aware of the basic requirements, the next step is to find out the best auto insurance providers in your region. There is no dearth of insurance providers in any part of the country, but choosing the ones that come with good repute is the key. Find out the list of auto insurance policies being offered by the providers and compare it with your requirements. Make sure you choose the right type of coverage that not only protects your car, but also gives you financial reprieve in times of distress.

After choosing the type of policy you need, it is time to get quotes from multiple vendors to find out who is offering the best features and benefits, in addition to the pricing. Getting quotes is a must if you want to find the best policy at rates that fit your budget. Make sure you compare the features and benefits and not just look at the premiums being offered. Read through the terms and conditions and make sure the policy meets the basic requirements of the state. Increasing your awareness of the claim filing process before you sign in the box will work in your favor.

On making your final choice, you can go ahead and make the payment. Paying up for the insurance coverage in full at the time of buying it can get you better savings.

-Jasper Ericks

Auto insurance discounts to save money with

Posted by admin on August 26th, 2011

When it comes to insuring a car, most auto owners never miss a chance to save some money. Some people choose to buy cheaper policies with less coverage options and risk lacking insurance when they really needed. But if you want to get good coverage amount for a lower price than you would normally pay for such a policy then you really need to learn about discounts. Fact is that there are a lot of discounts out there that most insurance providers use to attract customers. Some discounts are more common while others aren’t talked about much. So if you want to learn what discounts you can apply for here’s a short list of the most common types of discounts offered by insurance companies:

Defensive driving discount – if you take a defensive driving course and get a certificate after graduating it most insurance providers will grant you a cut in rates to a different extent. That’s because you will be regarded as a lower risk driver and less likely to file an insurance claim.

Good student discount – students with good grades can receive a 5-10% discount if they provide a copy of their grade report on a regular basis. And this can be really good for teen drivers who tend to have the highest rates across all age groups. In order to apply, the driver has to maintain an average of B and higher and provide proof of good rates periodically.

Loyal customer discount – This type of discount is quite widespread and easy to get, especially if you have found a good auto insurance provider in the first place. It usually applies to drivers who have remained with the current provider for several years and didn’t have any claims filed during that period.

Senior citizen discount – Car owners who are making part of the senior age group can also opt for a discount. Most insurance providers will offer such discounts because older people tend to drive less and end up in accidents quite rarely.

Multiple vehicle discount – Insuring multiple vehicles under a single auto insurance policy is a very good idea since most insurance providers offer discounts to drivers who have more than just one car under the policy. Even if you are buying separate policies for all your cars that are cheaper, a discount that you will get for insuring multiple cars with one single policy will be much better. The average discount for getting auto insurance for two and more cars with the same provider is 25% however the figure may vary depending on the company.

Safety discount – Improving the safety of your car is a good way to receive a special discount. By installing additional airbags and seat belts, security system, alarm and other anti-theft devices you will be able to receive a good discount from your provider. Just make sure to document these improvements and inform your insurance company about them.

Eco-friendly car discount – Hybrid vehicles are relatively new to the insurance market but most companies tend to stimulate the purchase of such vehicles under the “go green” trends in business and offer good discounts to hybrid vehicle owners. Besides, statistically hybrid drivers tend to file less claims, because they make up a low-risk demographic group in general (higher education specialists with high income and good driving record).