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What You Need to Know about Car Insurance Articles

2010-01-03T13:35:00.001-08:00

Car insurance articles are put online by auto insurance companies to help you educate yourself on car insurance. Companies hope you will buy car insurance online from them because you saw the helpful information on that company's Web site.

Insurance companies believe when they make the consumer feel smart and well-informed that the consumer is more likely to buy from them. Always double-check information you find in an online article from an insurance company to make sure it is accurate. Discounts are tempting and sound great, but check other companies to make sure they don't offer the same (or a better) discount with a different name.

Your family is affected by specific discounts available and risk factors. Teen drivers may get better discounts with one company over another, and knowing that can save you hundreds of dollars. Make yourself aware of discounts and penalties given by companies that apply to your household to get the best rate available from all the insurance companies you get an online quote from.

When you double-check information from articles online, you are educating yourself on your car insurance policy and coverages. This new information helps you make the best car insurance purchase, even if it means buying your car insurance from a company that did not have articles on a Web site.

Car insurance

2010-01-03T12:51:00.001-08:00

Auto insurance rates will rise Friday for more than 1 million Louisiana motorists as a law increasing the required minimum liability coverage goes into effect.

Though the change was approved by the Legislature in 2008, many drivers are expected to be caught off-guard because insurance companies weren't required to notify policyholders.

Insurance Commissioner Jim Donelon said the boost in car insurance bills may come at a tough time for some because of the economic slump. But he said it's needed to bring the nearly 30-year-old minimum liability requirement in line with rising costs associated with accidents, including higher costs for medical care, repairs and replacement vehicles.

"Certainly there are thousands of drivers out there who can ill-afford this additional cost. That's always the case. I think that's outweighed by the tens of thousands who are left uncompensated by the damage that minimally insured drivers do," Donelon said.

Nearly two dozen new state laws take effect Friday; most are unlikely to attract much attention.

Besides the car insurance increase, another new law slaps a 2 percent fee on prepaid wireless phone cards, with proceeds to go to statewide 911 system improvements. Cell and landline phone customers already pay a similar fee, but it hadn't been levied on those who buy packages of prepaid cell phone minutes.

The new law getting the most notice likely will be the auto insurance boost.

About 2.5 million vehicles are insured in Louisiana, and Donelon said 40 percent carry only the minimum liability coverage required.

Louisiana law currently requires car and truck owners to have at least "10-20-10" liability coverage. That's $10,000 coverage for injury or death to one person in an accident, $20,000 for injury or death to more than one person and $10,000 for damage of other people's property.

The new law changes the levels to "15-30-25."

The average minimally insured policyholder will pay about $71 more a year for car insurance, said Richard Piazza, chief actuary for the Louisiana Department of Insurance.

"Most people probably won't notice it because they don't pay attention to their insurance rates," Donelon said. "The people who are on fixed incomes and the ones who it will affect the most will notice it."

Republican Gov. Bobby Jindal didn't sign the insurance bill by Rep. Erich Ponti, R-Baton Rouge, but let it take effect without his signature. His predecessor, Democrat Kathleen Blanco, vetoed a similar proposal in 2007.

Opponents of the measure claimed some drivers might drop car insurance in a state where 12 percent of automobiles aren't covered under an insurance policy.

"There are a lot of people struggling right now, and this may be the straw that broke the camel's back," said Rep. Mert Smiley, R-Port Vincent, during debate on the bill.

Donelon said he expects the number of uninsured drivers to grow only slightly because of the increase.

online car insurance

2010-01-03T12:50:00.002-08:00

Everyone loves saving money and auto insurance is no exception. If you want to be an expert in buying car insurance online the fast and easy way, you will need a few things to make sure your transaction goes smoothly.

■You need your declaration page. This is usually the first page of your auto insurance policy. The declaration page shows your coverages and limits. In some cases, your declaration page will also tell you the price breakdown for each of your coverages and limits.
■You need an apples to apples comparison. If your coverage is only the state minimum, but the default setting for your online quote is higher, your quote will be more expensive than your current policy. If you have state minimums, make sure your online quote has state minimums as well. You can always raise your limits before you buy, but you need to make sure everything matches to make sure you are getting the best deal when you get your quote.

■You need driver's license information for all family members. When you buy a policy online, the company needs all the information on your household. Also have the information on all accidents or tickets in your family for an accurate quote.
■You need to know the make, model, and year of all vehicles in the household. When you purchase your policy online, you may also need the VIN number of all vehicles in the household.
■You need to know how long you have had continuous coverage and your current effective date. Your new insurance company will want to know how long you have had continuous coverage. There are discounts available with some companies If you have had continuous coverage for a certain length of time. When you begin a new policy, make sure you cancel the old one. You do not want to be insured by more than one company at a time, and knowing your effective date will keep that from happening.