Understanding your auto insurance rates

 Insurance  Comments Off on Understanding your auto insurance rates
Mar 212012

Have you ever wondered why your friend pays significantly less than you do for auto insurance?  There could be a very good explanation.  Several key factors are used to determine how much you pay for auto insurance.  According to the Insurance Information Institute, the average American driver spends about $850 annually on auto insurance.  Your coverage could be higher or lower, depending on any of the following:

  • Age:  Anyone with a teenage driver knows that younger, less experienced drivers pay more for auto insurance.  Statistically, mature drivers have fewer accidents than those under the age of 25.
  • Location:  Many insurance companies research the number of accidents, car thefts, cost of medical care, etc., for various regions and use that information to determine liability.
  • Credit:  Your credit score is a primary tool insurance companies use to establish whether you are an insurance risk.  Typically, those individuals with low credit scores are more likely to file a claim, or allow their insurance coverage to lapse.
  • Driving Record:  Always try to maintain a clean driving record.  This includes avoiding accidents and traffic citations.  The better your driving record – the lower your rate.
  • Car:  A luxury vehicle costs much more to insure than an older sedan.  Insurers consider the cost of replacement and repairs, as well as the likelihood of theft to arrive at an annual premium.

These are just a few of the areas insurers consider when customizing an auto insurance policy.  If you would like to make certain you are getting optimum coverage at the best possible price, call your independent, Trusted Choice insurance agent at 401.762.2218.


 Posted by at 7:04 pm

Protect yourself from an unforeseen downpour with an umbrella policy

 Insurance  Comments Off on Protect yourself from an unforeseen downpour with an umbrella policy
Mar 072012

An umbrella policy takes over where your homeowners’ and auto insurance coverage stops, protecting you if you are sued or found liable for causing injury to someone or their property. An umbrella policy ensures that you and your family are protected from expensive claims and lawsuits.

When taking into consideration that a person found at fault would be held accountable for expenses such as medical bills, possible rehabilitation therapy, lost wages and legal defense, it is often the case that the typical homeowner and auto insurance policy does not provide enough coverage. An umbrella policy, however, can provide as much as ten times the amount of coverage as a traditional homeowner or auto policy, potentially giving you up to five million dollars worth of protection.

Umbrella policies are no longer “just for the wealthy,” especially now that lawsuits are occurring more frequently than ever and the average award size has dramatically increased. Umbrella policies provide a large amount of liability protection without a large price tag, giving you the peace of mind that you are equipped to handle any bad weather that just might be heading your way.

For additional information on umbrella insurance, please call your independent, Trusted Choice insurance agent at 401.762.2218.