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Auto Insurance Basics

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Auto Insurance Basics

Insurance Basics

Auto Insurance Coverage – What are you buying? How much do you need?

Auto liability insurance is required by law in almost every state. If you or another covered driver cause an auto accident, it could pay for injuries and damages to the other vehicle. Auto insurance can also protect your financial investment in the event your vehicle is vandalized, damaged by fire or stolen; depending upon the coverage you purchase.

Auto insurance terms are specialized and unique to the industry. This article will explain some terminology, as well as provide the link to a glossary, where you can look up the definition of an unfamiliar word.

When someone purchases an insurance policy, the buyer is called an “insured” and he or she pays a “premium”; the price for a specified insurance product or service during a specified period of time (i.e., six or twelve months). A deductible is the out-of-pocket expense the insured agrees to pay before any payment from the insurance company kicks in. Deductibles of $250, $500 or $1,000 are fairly common. As a general rule of thumb – the higher the deductible, the lower the corresponding coverage premium.

Buying Insurance

Drivers in almost every state are required by law to purchase liability coverage. This coverage pays for damage caused to others if you are at fault in a covered accident. When you or another covered driver on your auto insurance policy are legally responsible for an accident, your insurance company pays for the damage and/or medical expenses of the other vehicle and its driver and passengers.

When you purchase liability coverage you will need to make two important selections to determine the level of protection you would like to carry.

  • Bodily Injury (BI); Bodily injury coverage pays for injuries to other people when the insured vehicle’s driver is legally at fault. Covers damages due to injury sustained by someone that the insured person is legally obligated to pay. These damages can include medical expenses, lost wages and legal fees, as well as pain and suffering. You will see a series of three numbers when purchasing liability coverage. For example, $25,000/50,000/15,000 represents your policy’s liability limits. The first figure ($25,000) is the maximum coverage available for a single injury; the second figure ($50,000) is the maximum coverage per accident for all injuries; and the third figure ($15,000) is the maximum per accident that your policy will pay for property damage. Most states have minimum mandatory coverage requirements, but it’s important to note that “The Insurance Information Institute” suggests that drivers carry liability coverage that is no less than $100,000/300,000/50,000.
  • Property Damage (PD); This coverage pays for damage to someone else’s property caused by your vehicle. Usually it’s someone’s vehicle, but property damage can apply to other property too, such as buildings, utility poles, trees, fences and garage doors.
    In addition to liability coverage, you can also purchase a variety of optional coverage that will protect you and your vehicle from unexpected events.
  • Medical Payment or Personal Injury Protection (PIP); This is a package of first-party medical benefits that provides broad protection for medical costs, lost wages and loss of essential services normally provided by the injured person such as childcare or housekeeping. Personal Injury Protection is usually associated with a no-fault auto insurance system.
  • Collision – Covers damage to your vehicle caused by a covered accident, regardless of fault. This might involve a collision with another vehicle, or it could cover costs to fix your vehicle if you encounter a pothole or other road hazard. This insurance applies only to your auto. It doesn’t cover whatever your vehicle collided with – that would be covered under your property damage liability coverage if you were found legally responsible for the accident.
  • Uninsured / Under insured Motorist Bodily Injury (UMBI); Protects you and other passengers in your vehicle injured as a result of an accident with an uninsured or under insured at-fault driver. This also comes in a second form—Uninsured/Under insured Motorist Property Damage (UMPD) or Collision Deductible Waiver (CDW); to cover damage to your vehicle if you are hit by an uninsured or under insured driver. CDW is most frequently purchased by people purchasing collision and comprehensive coverage. UMPD is most frequently purchased by people who do not purchase collision and comprehensive coverage
  • Liability coverage limits are generally written as three numbers; such as $25,000/50,000/15,000. The first figure is the maximum amount the company will pay for a single injury at $25,000; the second figure is the maximum amount the company will pay per accident for all injuries at $50,000; and the third figure is the maximum amount the company will pay per accident in property damage at $15,000. Damages from even a low impact collision can easily exceed mandatory liability auto insurance limits, so be sure to discuss what limits make sense for you with your All Solutions Insurance agent.
  • The Insurance Information Institute suggests that drivers carry liability coverage that is no less than $100,000/300,000/50,000. Other insurance industry experts also recommend buying a minimum of $50,000 in property damage liability coverage. If the net worth of the person at fault is considerably more than the mandatory minimums, they can be held personally responsible for amounts above what the insurance policy covers.
  • Full / Comprehensive – Protects you in the event your vehicle is damaged due to something other than a collision, such as theft, vandalism, flood, hailstorm or fire. In some states, comprehensive coverage includes glass replacement with no deductible-this varies by state, so ask your All Solutions Insurance agent about the specifics when you purchase your policy.

Related Topics:

What does my Policy Cover?:

Most auto policies cover the insured, any additional drivers listed and any occupants in the vehicle. In most cases your coverage’s are applicable to all occupants in the vehicle at the time of an accident (although liability coverage is not designed to cover injury to you or other listed drivers). But what if you are not driving the car at the time of the loss?

This is a common question and the answer depends on who’s driving. In most cases, the insurance follows the vehicle, not the driver. So if your vehicle is involved in an accident and you are not driving, your coverage will still apply. It is possible that your state’s law or insurance company’s policy may differ, so be sure to check.

In most cases, it is o.k. for you to loan your car to a visiting friend or family member and your coverage will still apply. The only time you may be denied coverage is if you did not grant the driver permission to use your vehicle. In this case you would have to file a theft claim and proceed in that manner if you wish to recover the damages.

If the driver of your vehicle lives with you, whether it is a family member or a friend, they will have to either be excluded or included on your policy. Specifically, any household members over the legal driving age must be one of the prior. Anyone who becomes a household resident during the policy term must also be added or excluded. If you decide to exclude them, and they’re involved in any accidents while driving your vehicle, the claim will automatically be denied.

Be sure to check your state’s laws and your insurance company’s policy to avoid any potential conflicts. Better yet, stay safe and talk to an All Solutions Insurance expert today.

This content is offered for educational purposes only and does not represent contractual agreements. The definitions, terms and coverage’s in a given policy may be different than those suggested here and such policy will be governed by the language contained therein. No warranty or appropriateness for a specific purpose is expressed or implied.

Determining rates for Insurance: What you can and can't change

When it is time to buy or renew your auto insurance, there are many factors that come into play when determining the rate. Some things you can change, others you can’t. Let’s look at some of these items, so you will know the facts when getting a quote for auto insurance.

Things you can’t Change that affect your rate

Years of Driving Experience: California mandates that auto insurance companies use your years of driving experience as one of the primary rate factors. While most individuals obtain their license at age 16, years of driving experience has replaced age as a major rating factor in California.

Gender – Sorry guys, ladies are statistically safer drivers, so males will pay more than females.

Marriage Status – Married couples tend to have better rates than single people.

Things you can change that affect your rate

Where you live – Certain areas have higher rates because they are more populated, which means you are at a greater risk for an accident. Sometimes living just a few miles “out of town” can save you some money.
Driving Record – If you have a lead foot and have a few speeding tickets, you are going to pay more. Keeping your foot out of the carburetor can save you on insurance and probably on gas!

The type of vehicle you drive – Certain types of cars are more expensive than others to insure. If you drive a hot rod sports car, or one that is an auto thief’s target, you will pay more than you would if you buy a beige sedan.

These are just a few of the things that can affect your insurance rates. When purchasing insurance, check out these items first and see what you can do to modify them. In some cases you may be eligible for discounts if you are a student, or a part of a certain organization, to offset the factors you cannot change.

For more information on auto insurance, please contact an All Solutions Insurance expert today

7 life changing events that can affect auto insurance

Major changes to your life can affect many things including your auto insurance rate. Big events such as marriage, buying a new home, or retiring can mean that it is also time to reevaluate your auto insurance policy.

Overall there are seven events that can affect your auto insurance:

  • Relocating
  • Getting Married
  • Getting Divorced/Being Widowed
  • Buying a Home
  • Buying a New Car
  • Having Children
  • Retiring

How do those seven life changes affect your auto insurance? Here are some of the ways:

Relocating: If you are moving out of state, you may find that your new state has different laws about required auto insurance coverage. Your current auto insurer might not even be licensed there. This is a time when you should check with your current insurer and to determine who could provide you with the right coverage for your new area.

Getting Married: Many insurance companies offer discounts for multiple cars – by getting the cars of you and your spouse under one policy you can save money through joint policies and multi-car discounts.

Getting Divorced or Becoming Widowed: As difficult and upsetting as a divorce or becoming widowed can be, this life altering event is also a time when you should reevaluate your auto insurance coverage. The joint policies and multi-car discounts you received while married won’t be applicable once you are single, so you will need to check with your insurer to find out what type of coverage and what kind of discount could be provided to you.

Buying a Home: The purchase of a home can mean that you might qualify for multi-policy discounts. Additionally, factors such as a new neighborhood or being able to garage your car can affect your auto insurance rates.

Buying a New Car: When buying a new car, consider how much it costs to insure different models. Some companies classify the same car differently, so rates may vary. Rates also are affected by the car’s safety rating, crash worthiness and how attractive that model is to thieves.

Having Children: The safety of your children is always paramount. In keeping your children safe, you might upgrade to a better car, or to get the best child restraint system. Taking these steps to protect your children can mean you may qualify for better auto insurance rates. Also, as your children get older and start to drive, putting them on your policy or insuring their car can be another major expense.

Retiring: Retirement can mean either more driving or less driving depending on your lifestyle. You might travel the country or stay close to home – you might even decide that you no longer need a car. When planning for your retirement, you should consider how much coverage you will need to protect your assets and to save money.

Regardless of what kind of change may be occurring in your life, it’s always a good idea to do some comparison shopping, especially when it comes to auto insurance. By keeping in mind your auto insurance costs during some of life’s major events you may be able to save yourself considerable money over time. Better yet, contact your All Solutions Insurance expert today and let us save you money on all your insurance needs.

What factors can impact insurance premiums

There are many factors that auto insurance companies take into consideration when determining your auto insurance premium. The way in which you meet these criteria can have a positive or negative impact on the amount you pay. Some of these factors are you the driver, your driving record, credit rating, where you live, type of automobile, and your annual mileage. While there are other criteria that may help to reduce your rates, these are the standard qualifications that are considered when formulating your auto insurance premium.

You the driver:

Many things about you that you can not control will affect your insurance premium. These things include your years of driving experience, gender, and marital status. For example, male drivers with limited experience will pay higher rates due their increased likelihood of becoming involved in an accident.

Driving Record:

Auto insurance premiums are based upon the costs to cover future claims and your statistical risk; which is based on past accidents, traffic violations and years of driving experience. If you have a history of accidents and traffic violations, you are much more likely to pay higher auto insurance premiums. Also, new drivers will likely pay higher premiums as they have not yet established a good driving record.

Where you live:

Where you live plays an important role in determining your auto insurance premiums. Most insurance companies will base this upon your zip code. They have formulas which calculate the risk of accidents within a given area based on traffic volume, which is usually higher in urban areas, and vehicle theft and vandalism statistics. The California Department of Insurance has recently mandated new regulations that will decrease the significance of where you live, but it is still a factor.

Your Vehicle:

The type of vehicle you own also can help or hurt your insurance premiums. One thing to take into consideration when purchasing a new car is the price of repairs. If parts are generally more expensive, then it is likely your rates will be higher. Having a vehicle with certain safety features; such as anti-theft devices, good crash test ratings and low theft reports, can help to reduce your insurance premiums.

Where you drive:

When applying for a policy you are required to state your annual mileage. The more you drive, the higher your insurance premium. Since you are on the road longer, your chance of being involved in an accident is greater.

Every customer is unique and we comparison shop from over 33 reputable companies to get you the best possible prices so you save money on your car insurance.

Buying Insurance for a new car

If you are in the market to buy a car—either new or pre-owned—it is a good idea to research insurance rates before you reach a final decision. According to the Highway Loss Data Institute, vehicles are rated by their “crash test.” Crash tests are performed on most makes and models of cars, and evaluate how well a vehicle protects its occupants in a crash.

Annually, the Insurance Institute for Highway Safety and its sister organization the Highway Loss Data Institute, analyze the actual insurance losses associated with the most popular vehicle makes and models. The rankings of these two organizations give consumers an opportunity to gauge how their vehicle choices will affect their auto premiums. Keep in mind that many makes and models popular with younger drivers may carry a higher premium. Annually, Insure.com prepares a list of the most- and least- expensive cars to insure.

Which vehicles are likely to have the lowest insurance premiums? Today’s version of a family car—a large sedan, mid-size SUV or minivan. These cars tend to be driven by people who are less likely to speed or drive recklessly.

How to keep premiums down? Bigger isn’t always better when it comes to lowering premiums. Some of the super-size models could actually increase the cost of your insurance. Why would a luxury SUV whose typical driver is both affluent and conservative be a risk? Two words: theft magnet. Many factors affect the rates for collision and comprehensive insurance—and theft is one of them. Another factor is what happens when two cars collide. Larger vehicles are routinely linked to higher-dollar damage to other cars.

Talk to your All Solutions Insurance agent before you buy your next vehicle. Once you have narrowed your choices to two or three models, ask if any of the premiums differ significantly. Some models have higher theft or repair rates. A different engine may affect the cost of insurance. A convertible costs may cost more to insure than a hard top. When you speak with your All solutions Insurance agent, he or she will be able to advise you on the impact each vehicle will have on your payments.

The vehicle you choose is only part of the equation—you, your lifestyle and your driving record will also impact the cost of your insurance. And All Solutions Insurance offers discounts for car safety features. Talk to an All Solutions Insurance agent today and ask for a free rate quote.

Purchasing car insurance in California

Purchasing California car insurance can be a daunting task if you are not prepared. Knowing what you need and having the correct information when you need it is essential to making the process easy. Below are some basics things that you should know when applying for an online quote or speaking with an agent over the phone.

If you are insuring multiple drivers on your policy, you will need their personal information. You will need the driver’s names, sex, age and marital status. Other information that may be required includes annual miles driven and driving record. All this information will help the agent to get you started with a quote.

You will also need to provide information about all of the vehicles that you wish to have included on the policy. You will need to provide the Vehicle Identification Number (VIN), found on the registration or the front driver side window, car make & model, cost, style and any other modifications to it.

You will then be asked for the amount of coverage you would like to have on the vehicles. The amount of coverage you elect to take will determine how much you pay for the policy. Example: the most complete coverage would include coverage for your vehicle, Uninsured Motorist coverage for damage you suffer from an accident where the other party is uninsured, Liability coverage to cover damage you may do to others, and Medical coverage which pays incidental medical expenses for anyone involved in an accident. A moderate policy may only cover Liability and Uninsured Motorist, but no coverage for your own car (typically, if it’s older and paid off). A policy such as this would be more affordable. Have an idea of what you want to cover and how much you can afford to pay for insurance and relay this information to the agent or in the quote form.

Lastly, take good notes, shop around or compare coverage’s online. Taking notes about what you are quoted will help you to compare different company’s rates. You want to make sure you are seeing apples-to-apples. When receiving a quote from a company, see if they will compare their quote to another company’s and have them explain any differences.

Buying California car insurance doesn’t have to be a difficult task. For best possible auto insurance rates, contact an All Solutions Insurance expert today.

California Auto Insurance Minimums

As with most states, when you purchase auto insurance, you are required to carry a minimum amount of coverage to ensure that you can pay for damage caused in the event of an accident. Minimum insurance requirements are also put in place to help keep uninsured vehicles off the road.

When purchasing your California auto insurance policy, it will need to include the following minimums:

  • $15,000 for injury/death to one person
  • $30,000 for injury/death to more than one person
  • $5,000 for damage to property

While these minimums might cover most accidents, you should carry more insurance in certain instances. If you live in an area that is highly trafficked and has very expensive vehicles driving around, your minimums may not cover the least amount of damage that may be caused in an accident. Also, if you are financing a new vehicle purchased in California, the bank or dealer who has financed the vehicle will require that you carry enough insurance to cover the vehicle in the event that it is totaled. Even if you own an older car that you may not think is very valuable, you may want to have more coverage to protect your passengers and others that you are sharing the road with.

For more information about California auto insurance minimum coverage’s, please contact an All Solutions Insurance expert at www.allsolutionsinsurance.com or call 951-247-2003.

This content is offered for educational purposes only and does not represent contractual agreements. The definitions, terms and coverages in a given policy may be different than those suggested here and such policy will be governed by the language contained therein. No warranty or appropriateness for a specific purpose is expressed or implied.

Hazards of choosing cheapest insurance

Dangers of low cost auto insurance: pitfalls of choosing a low-quality provider.

If you own a car, truck or other motor vehicle, most states require you to purchase Auto Liability insurance, which can protect you and your passengers in the event of a covered loss.

Auto insurance rates are based on many factors and quotes can vary widely. Among the factors that insurance companies often consider when setting rates are age, gender, driving history, and the year, make and model of the vehicle. Additionally, in some states insurers can consider credit histories (credit scoring) when providing rate quotes.

If your car is financed, your lender will likely require you carry some form of Comprehensive insurance (sometimes known as “Other than Collision Coverage”). This type of insurance protects you against damage caused by things other than a vehicle collision such as fire, hail, flood, vandalism or theft. Collision insurance is coverage that applies to your vehicle if it is damaged as a result of colliding with another object—another vehicle, for example, or a tree. Be sure to check your insurance company’s credit-worthiness through Moody’s, Standard & Poor’s and AM Best before you buy insurance because if your insurance company has a strong financial rating, chances are excellent that it will have the ability to withstand a major catastrophe, such as claims produced by a hurricane, flood, earthquake or wildfires. Or better yet, talk to an All Solutions Insurance expert today because we only insure with reputable companies like Progressive, Hartford etc.

Here are some tips to consider while shopping for a quality provider and affordable rates:

  • Talk to our friendly and helpful insurance experts: All Solutions Insurance has served throughout California since 1994 and has a long and distinguished legacy of providing service and satisfaction to businesses throughout California. We are an independent agency staffed by caring and conscientious professionals dedicated to providing you with the best rates possible helping you save money and the mental peace of having a friendly reliable partner for life’s unknown challenges. Our mission is to deliver superior service to our customers. We achieve this by providing quality insurance products at the best possible prices. We have and will continue to be effective and serve our customers in an ethical, professional and profitable manner.
  • Shop around: Use the Internet and your phone to obtain free quotes from several insurance companies. Additionally, if you are planning to purchase a new or used vehicle, make a phone call to our Auto Insurance experts—or prospective insurer—and obtain quotes for the vehicle. Many factors — such as different models, different engines and accessories—can impact your cost of insurance.
  • Shop around: Use the Internet and your phone to obtain free quotes from several insurance companies. Additionally, if you are planning to purchase a new or used vehicle, make a phone call to our Auto Insurance experts—or prospective insurer—and obtain quotes for the vehicle. Many factors — such as different models, different engines and accessories—can impact your cost of insurance.
  • Maintain a clean record: A good driving history is your best defense towards obtaining and maintaining affordable insurance. Obey traffic laws, keep a light foot on the accelerator, and—if you choose an insurer that uses credit scoring in their evaluations—pay your bills on time.
  • Bundle your insurance: Many insurance companies sell other types of insurance, such as homeowners, renters or condo insurance, or mechanical breakdown protection. Consolidating your insurance policies with a single provider can create a substantial discount on your premiums. We offer umbrella insurance coverage, including auto-insurance, life-insurance, property insurance etc. Call us for a free rate quote today.
  • Drive an economical car: Insurance rates are partially based on the type of car you drive. If your vehicle has low safety ratings, a high theft rate or a high incidence of vandalism, you may pay a higher premium.

Does Auto Insurance carrier matter?

In this day and age every dollar makes a difference. You may be tempted to choose a car insurance company based on who offers you the lowest rate. That may actually not always be the best idea.

First off, you need to understand that the primary purpose of your auto insurance carrier is to be there when you are in a crisis situation. Clearly, you’ll want to go with a company you can trust.

The best thing you can do is put in a little extra effort to find a carrier that is affordable and reliable. Here are a few recommendations to start with:

  • Do a background check. Take your list of best premium offers and go on the California Department of Insurance’s website. There you will be able to look at each company’s history (such as how long they’ve been in business) and what kind of complaints they’ve had filed against them. You’d hate to choose a company, get into an accident, only to find that they drag their feet on issuing you a check for repairs, medical bills or a rental car.
  • Test their customer service. Not all accidents happen between 8 a.m. and 5 p.m. Make sure the company you are considering has 24 hour service. You’ll want someone to coach you on what you need to do, to get, and to provide after an accident. You could also consider calling around to local body shops. They deal with insurance companies all the time and will be able to tell you who is good and who to avoid.
  • Are they solid and stable? If you are in an accident, you’ll want to be covered by a company that can afford to pay the claims. It’s easy to see if a company is financially fit and solvent by checking the credit rating on A.M. Best or Standard & Poor’s.

If you do a little homework before choosing a carrier, you’ll have peace of mind if you are really put to the test! At All Solutions Insurance, we can assist by offering you a variety of quotes to choose from based on the criteria and coverage needs you select. Talk to us or visit our site today for a free auto insurance quote.

Switching between auto insurance carriers

It seems rarely a week goes by that you don’t either get a letter in the mail or hear an ad on TV telling you how much money you can save if you switch auto insurance. How do you know if you should switch and how can you find the best “fit” for you? All Solutions Insurance Specialists can help you easily and conveniently shop for auto insurance and find the best price from a variety of carriers. Here are a few things to keep in mind while browsing.

First off, it shouldn’t all come down to money. If you switch, you want to make sure you are getting comparable coverage and service. A few dollars saved might not be worth giving up some of your coverage or great customer service. However, if you’ve had a bad experience with your current insurer and don’t feel your needs are being met, it is time to shop for a better company.

All Solutions Insurance Specialists can get you a quote from dozens of auto insurance carriers in minutes either online or on the telephone. With some basic information like your driving record, gender, years of experience, make and model of your car, etc., we can help find the right carrier and rate for you.

Finally, and this is important. If you do switch, do not cancel your current policy until your new one is up and running. You don’t want to take the risk of going without coverage, even for a day! You’ll need to make sure you notify your old company that you are terminating coverage. Don’t assume they’ll get the idea if you fail to send in the next payment. If you fail to pay, especially without any prior notice, you could find yourself facing bad credit, extra fees and a more difficult time in the future when you try and obtain auto insurance from other companies.

What to do when switching insurance or moving

Shopping to make sure you are getting a good deal on your insurance isn’t the only reason why you might consider switching to another carrier. For example, you may have changed jobs and become eligible for a group discount through a different insurer. Or, perhaps you are dissatisfied with the service your current insurer provides. Bundling is another reason—some insurers offer multiple product lines and extend discounts to policyholders who combine all of their policies with a single insurer. In addition to personal auto insurance, All Solutions Insurance offers – Truck, Home, Life, as well as Umbrella insurance.

Switching policies in 4 easy steps

  • When to switch: The easiest time to change carriers is when your old policy is up for renewal. Depending on the regulations in your state, a renewal notice will be sent to you approximately one month before the next policy period begins. The notice will describe your coverage, discounts and premium. With that information in hand, you can shop online and compare coverage and rates. You can also call ASI for a free rate quote.
    You don’t have to wait until renewal time to change policies. All standard auto insurance policies contain a provision giving you the right to cancel your policy at any time—provided that you have given your current insurer proper notice. If you choose to make a change in the middle of a cycle, your current insurer may prorate your latest premium payment up to the cancellation date and return the remainder to you. Be prepared to incur a short-rate or cancellation penalty covering administrative costs that may be deducted from your refund.
  • Thorough comparison shopping: Sometimes your new quote may not have the same coverage options or limits as your current policy, or the deductibles may not be the same, so check carefully to make sure you are comparing apples with apples.
  • Get your new policy before cancelling the current one: It’s a good idea to have a new policy in place before cancelling your current coverage. Since most states require drivers to have a minimum level of auto insurance, it is important to make sure there are no gaps in your auto insurance coverage when switching between carriers.
  • Cancelling your current policy: Review the cancellation steps outlined in your current policy. Generally, all you need to do is notify your insurer in writing, specifying the date you want the policy canceled and the reason. Your new insurer should be able to time the onset of your new policy to coincide with the cancellation of your old coverage.

Sounds easy? Thinking about making a change? Talk to an All Solutions Insurance agent today and ask for a free rate quote

Updating your auto insurance policy

Keeping your auto insurance policy updated is sometimes overlooked if people buy a new car, add a new driver or even move to a different state. Neglecting your policy can cost you money if you are in an accident or the car is broken into or stolen. Below are a few times in which you should make sure to update your auto insurance policy and ensure that you are fully protected.

  • If you have a teen in the home who will be driving your car, they need to be added to the policy. While teen drivers may think they know all there is to know about driving, statistics prove otherwise. Teen drivers have the highest rate of accidents, and if you do not update your insurance, they may not be protected. Update your policy to ensure that your teen and car are fully protected.
  • Different states have different laws and it is important to check with your agency regarding any necessary changes when you move. Depending on driving conditions, the type of driver you are, and other circumstances, insurance providers have different rates within different states.
  • If you purchase a vehicle, whether new or used, you must alert your insurance company. While the price of the vehicle may be comparable to your old one, the premium might change based on the type of vehicle, age of the vehicle and even the trim level of the vehicle.

All Solutions Insurance can help you with many of these circumstances. If you are in need of a new policy or need to change your current policy, please contact an All Solutions Insurance expert today.

Reasons to not drop car insurance

In a rough economy, people are often looking to cut costs and reduce spending in as many ways possible. Not knowing what the future has in store can leave many people nervous about spending money. This can force them to make choices they wouldn’t have to make under ordinary circumstances. In some cases, people may be tempted to reduce their spending by lowering or even dropping their car insurance. While it may seem like a good idea, here are some reasons why you should never completely discontinue your car insurance.

  • It’s Illegal – All states have laws that require drivers to carry minimal insurance while operating vehicles. This is to ensure that medical bills and repairs to damaged vehicles can be covered by the at fault party. States also have different penalties to punish those caught driving without insurance.
  • Your license may be suspended – If you are caught driving without insurance one penalty may include losing your license. While this might not seem like a big deal financially, you will have to consider how you will get to work. Who will drive you? On top of that, if you lose your license and decide to drive, there are even more serious penalties that could lead to added costs.
  • You are responsible – If you do not have auto insurance and you get into an accident that causes damage or bodily injury, you will likely be responsible for the entire amount. If you do not have sufficient funds to pay, your assets including your house could be in jeopardy. The purpose of insurance is to aid you in paying for damages if an event such as this occurs. Damages are apt to be more expensive than paying the premium of a policy as well as the deductible.

If you are looking to save money you should contact your provider to see if there are ways in which you can reduce your costs. Ask if you qualify for any discounts, or if you think you are a safe driver, you may want to raise your deductible to reduce your premium. At All Solutions Insurance, we constantly monitor your insurance rates and let you know as soon as we find a cheaper rate for you. So, you can always be assured of the best possible prices and maximum savings on all your insurance needs.

Common auto insurance problems and how to avoid them.

When it comes to auto insurance, many people have had problems. A claim was denied, renewal was more expensive, or extra options were placed in a policy that you may not have wanted. Many of these things can be avoided or taken care of quickly if you know what to do next. Here are a few common problems and what you should to do to fix them.

Insurance Claim Denied – Sometimes a submitted claim will be denied by your insurance company. Some common reasons for a denied claim include:

  • Insurance was not purchased for the claim submitted.
  • Coverage has lapsed because of a missed payment.
  • Damage exceeds the policy limit.

If you believe that your claim should be paid, here are the steps you can take:

  • Write to your insurance company and notify them of their mistake.
  • Appeal the decision to your state’s Insurance Commissioner.
  • Discuss the problem with an attorney

Another area that you will want to pay close attention to is determining your deductible. A lower deductible means you pay less out of pocket in the event of a claim, but your insurance premium will be higher as a result. If you want to lower your premium, carrying a higher deductible will allow you to do this. Make sure you work this out with your insurance provider, so you get the best price on your policy with the deductible you wish to pay.

The most important tip is to review your policy each time you renew. If you see anything out of the ordinary or something you don’t understand, contact your insurance provider for further clarification.

At All Solutions Insurance, our experts will walk you through your policy and constantly look out for you, so that you are never left holding the bag. Contact an All Solutions Insurance expert today for all your insurance requirements.

Who pays more for car insurance – Men or Women?

It all depends on who you ask. Most women will tell you they are better drivers because they are more careful and more considerate than men. If you ask men, you’ll likely hear that they are more aware and handle the car better in all conditions. When it comes to determining auto insurance rates, statistics, opinions are not what counts.

If you guessed that males pay higher rates, you’re right. According to many studies and facts collected on accidents from state and local agencies, men are more likely to be involved in a car accident. In addition, IIHS stated that in 2006, more than twice as many male drivers were fatally injured in auto accidents.

Although male drivers are placed at higher risk, it is usually only between the ages of 18 and 25. Once a male driver reaches 25, rates usually go down; as long as he has a good driving record. Over time, if there are no tickets or accidents, the rates should decrease to about the same level as a comparable female driver.

Remember, no matter if you’re a man or woman, 18 or 45, there are always things you can do to reduce your auto insurance rates. Discounts are offered for certain professions like teaching. Discounts are also awarded to people with good driving records, additional safety features on your vehicle, and many more. Also, if you are still in school, you may be eligible to receive discounted rates for receiving good grades. Check with your carrier to see if you can receive any discounts.

Without using the “R” word, we’ll just say things are getting more expensive these days. These “things” include the price of car insurance. Now is as good a time as any to examine what you pay and see if you may be able to get a cheaper rate somewhere else. Let’s go over some tips that should help you save some money:

  • Shop online. At least do your preliminary shopping here. There are many useful sites, that will do a lot of the gritty work for you. Recent surveys showed that consumers who research online have the potential to save up to 25%. Make sure to use a reputable site to ensure you are receiving correct information.
  • Use a company that does the shopping for you. Generally, if you find a great rate online, the representative can get you that same rate as well. The benefit to using an agency is that you can pick their brain to make sure you have a clear understanding of your policy. Some people also prefer to have real a person they can turn to. Properly understanding your coverage can save you money in the long run.
  • If you’re 55 or older, take a defensive driving course. Most insurance companies will provide a discount for mature drivers who complete this course. It helps you save money and also become a better driver.
  • Follow the traffic laws. These days insurance companies are rewarding their good drivers. Drive safely and follow the traffic laws to take advantage of this discount.
  • Automatic Electronic Payments. Most insurance companies have reduced installment fees when you sign up for electronic payments. This helps them to reduce some administrative costs and as a result, pass some of the savings on to you.

These are just some tips to help you save. Contact All Solutions Insurance today and get a free rate quote and learn more about auto insurance basics. We compare and shop from over 30 plus reputable insurance companies to ensure that you get the best possible prices.

This content is offered for educational purposes only and does not represent contractual agreements. The definitions, terms and coverage’s in a given policy may be different than those suggested here and such policy will be governed by the language contained therein. No warranty or appropriateness for a specific purpose is expressed or implied.

For more general information regarding insurance, call:

Moreno Valley Office at (951) 247-2003 or  San Jose Office at (408) 225-4300

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