Insurance Space

Connecticut insurance regulators, concerned about a possible increase in the sale of fake auto insurance cards, are warning consumers not to get scammed and reminding them that using phony cards is illegal.

Drivers who buy legitimate policies receive cards from insurers to show that they’re covered. They are required by Connecticut law to present a card when registering a car and to keep one in their vehicle at all times.

Fake cards aren’t new, but the Connecticut Insurance Department says hard economic times could be prompting an increase in the sale of bogus cards to people who may or may not know the cards are counterfeit.

“Hit Up for High Premiums” (Business Day, Aug. 23) reports that auto insurance premiums are rising even though Americans are responding to higher gas prices by driving less, which means fewer accidents and thus fewer insurance claims.

If auto insurance premiums were priced per mile driven rather than as a lump sum per year, drivers would automatically see insurance costs decline when they drive less and would not have to rely on insurance companies to respond to reduced driving with lower premiums.

According to our most recent research, such pay-as-you-drive auto insurance pricing would save two-thirds of households money on auto insurance, with an average savings for those households of $270 per car.

We keep our cars tuned up, but what about our automobile insurance? Recently I had a chat with an insurance broker. The topic of conversation? Smart insurance buying.

After our conversation I realized that the biggest mistake an uninformed consumer makes is to regard insurance coverage as a commodity… as generic as the oil purchased for the car.

An insurance policy is a personalized service contract that provides coverage for you and your family in the event of an accident. When you read your auto policy the language is anything but simple. And everyone knows it’s not inexpensive!

ONTARIO, Calif., Sept 04, 2008 /PRNewswire via COMTEX/ — Life zips by, suddenly people who never thought they would get old are looking at changes in their lives and how they drive, says Frank N. Darras, the nation’s leading disability and Long-Term Care insurance lawyer. With times changing so are the regulations for renewing drivers licenses.

The high cost of gas is forcing many of us to drive less. Angela Cowan and her husband made some changes in their daily commute to save money. “He located a job closer to my job so that we could still work in the same vicinity of each other and then just car pool together.” That has cut their driving in half.

Driving fewer miles can not only save you money at the pump, but on car insurance as well.

Further Opening State’s Salvage Auctions to Out-of-State Buyers Can Promote Greater Buyer Diversity and Increased Market Demand.

Insurance Auto Auctions, Inc. the leading North American automotive and specialty vehicle salvage auction company, today announced the passing of Illinois House Bill 5204. The Bill addresses both purchase privileges for out-of-state buyers and salvage certificates for un-recovered theft vehicles in the state of Illinois.

Albertans need to make their opinion heard if they have concerns about a proposed hike in mandatory auto insurance premiums, says Liberal finance critic Laurie Blakeman, who attended hearings of the province’s Auto Insurance Rate Board on Wednesday.

“I think Albertans will truly feel gouged if there’s a 37 per cent increase,” said Blakeman, who was disappointed there was so little input from consumers at board hearings held in Calgary on Tuesday and Wednesday. “Everybody is having to pay more for gas, more for utilities, more for rent and more for their mortgage.”

Getting too much junk mail touting low automobile insurance rates? Being bombarded by television commercials featuring a cute gecko? Think of them as opportunities, not just irritations. California is enjoying a buyer’s market for auto insurance. And consumers can find bargains — whether they comparison shop, pick up the phone, check out the Internet or just ask around.

Mercury General Corp. announced Tuesday that it will cut auto and homeowner insurance rates for about 1.7 million customers this year, projecting the savings at $61 million.

Most of the savings comes from a 3-percent reduction in auto insurance rates that took effect last month. Mercury, which is the third-largest auto insurance in California, reduced annual rates by about $30 per vehicle for 1.5 million customers.

Mercury also planned to drop its homeowner insurance rates by 10 percent as of August, saving 224,000 customers about $80 to $100 a year, depending on where they live in the state.

How can the soaring price of gas possibly be a good thing? When it can lower your auto insurance rates.

According to analysis released Tuesday by the Consumer Federation of America, people who are driving fewer miles to save gas could also save between 5 and 15 percent on their car insurance, or about $47 to $142 a year.

Auto rates are partially based on how much you drive, said J. Robert Hunter, director of insurance for the CFA. “If you drive less to save money on gas, that might mean you qualify for immediate insurance rate relief,” Hunter said, adding that car owners should call their insurance company or agent and ask if they qualify.