Posted in Insurance

What Austin Business Insurance Do I Really Need?

And What Can You Reasonably Do Without?

In an ideal world Austin entrepreneurs could afford a comprehensive Austin business insurance program that would protect you from any conceivable exposure. (I think this is the same world where you have unlimited funding, 48 hours in a day, and customers that would crawl over hot coals to buy from you)!

In case you’re not quite in that situation some important decisions have to be made. Make sure you make educated ones. Most companies that are bootstrapping don’t have the cash flow to transfer every risk via an Austin business insurance policy. So what insurance coverage does an Austin startup (or any business for that matter) really need?
That obviously depends on your business. We need to make sure you diagnose before you prescribe. The first step is to start with an assessment of potential risks. This process helps uncover a range of issues including regulatory compliance, risks associated with employees, potential third party liabilities, property risk, contractual risk, and threats to net income.

Once this assessment has been completed (and you’ve had a chance to practice some of those breathing exercises… you know… the ones that are supposed to calm you down and reduce your blood pressure) you can then, with the help of a Certified Insurance Counselor, make educated decisions that will help prioritize these exposures and help answer the following questions:

Which risks pose an immediate threat?
Which risks are the most likely to occur?
Which risks would be the most severe?
Which risks can we afford to retain or self insure?
Which risks can be reasonably be avoided?
Which ones can be mitigated or reduced?
Which ones can be transferred contractually?
What risks do I need to transfer via business insurance?

Austin business insurance is only one piece of managing risk and protecting your business. Other avenues should be explored before blindly buying an insurance policy.

The good news is that getting professional help, (wait… that doesn’t sound quite right…), is available and in most cases costs no more than randomly buying insurance from someone over the internet.

Here Is A Brief Synopsis Of Some Of The Types Of Coverage You Need To Evaluate For Your Austin Business Insurance:

Austin General Liability Insurance

A broad commercial policy that covers liability exposures of a business that are not specifically excluded. Coverage typically includes product liability, completed operations, premises and operations, and personal and advertising injury. It is recommended that all businesses operating have general liability coverage in place.

Business Owners Policy

An Austin business insurance policy that combines property, liability and business interruption coverages for small to medium-sized businesses. Coverage is generally cheaper than if purchased through separate insurance policies. A Business Owners policy is typically available to businesses and industries that are typically viewed as having relatively low liability exposures.

Austin Workers Comp & Employers Liability

This coverage pays for medical care and physical rehabilitation of employees injured at work and helps to replace lost wages while they are unable to work. Additionally this coverage protects an employer from being sued by an injured worker in most cases. A commonly overlooked exposure for companies who employ mostly office workers is the potential injury to employees while driving their own vehicles on company business. This could be as simple as an employee driving to a sales call, the bank or office supply store. If you have employees it is critical that you secure this important coverage.

Professional Liability Insurance Austin

E&O insurance covers professionals for negligence and errors or omissions that injure their clients. In addition to covering licensed professionals such as accountants, attorneys, insurance agents, architect and engineers to name a few, technology companies frequently have a professional liability exposure. This typically arises from the fact that the general liability policy excludes damage to data. Technology E&O can protect your company in the event that your negligence, error, or omission causes damage to a third party’s data. It is recommended that all professional and technology companies have E&O coverage. Contact an Agent today for more information business insurance.

Austin Umbrella Insurance

This Cedar Park business insurance policy provides coverage for losses above the limit of an underlying policy or policies such as General Liability, Employers Liability and Automobile Liability. While it applies to losses over the dollar amount in the underlying policies, terms of coverage are sometimes broader than those of underlying policies. Due to the unpredictable nature of jury awards, it is recommended that your business insurance program have this coverage.

Austin Employment Practices Liability Insurance

Employment Practices Liability Insurance for employers that covers employment related liabilities other than on the job injuries. EPLI will cover legal fees and damages for suits such as wrongful termination, discrimination, sexual harassment, and other alleged violations of employees’ legal rights. Although only three percent of Employment Practices lawsuits go in favor of the plaintiff, the average cost to defend yourself in one of these is well over $200,000.

Austin Commercial Auto Policy

This Austin business insurance policy provides coverage for bodily injury liability and property damage, for injuries/damage the policyholder causes to someone else. Medical payments or Personal Injury Protection (PIP) for treatment of injuries to the driver and passengers of the policyholder’s car are also offered. Optional property coverages for damage to the insureds vehicles are also available in the form of collision, for damage to the policyholder’s car from a collision and comprehensive, for damage to the policyholder’s car not involving a collision with another car (including damage from fire, explosions, earthquakes, floods, and riots), and theft. Uninsured motorists’ coverage, for costs resulting from an accident involving a hit-and-run driver or a driver who does not have insurance is also recommended.

These are just a few of the Austin business Insurance coverages. If you have questions, feel free to contact Inspire Insurance solutions, your one-stop solution for all your Austin business Insurance needs.

Posted in Insurance

Almost 140 year old Central Insurance Company

Starting the business as Van Wert County Mutual Fire Insurance Company, the insurer has come a long way of development for nearly 140 years into today’s Central Insurance Companies. The home office is still at Van Wert, Ohio. It is one of few major casualty and property insurers that provide all its products through independent agents.

It is also an award-winning company with recognitions from reputable organizations. Among all the awards, some notable ones include Quantum Award 2014, Super Regional Property/Casualty Insurer 2014, IIABA’s Best Practices Award (2006 – 2013), and Download Implementation Award (2014) by the Applied Client Network Industry Solutions Committee.

Central Insurance underwrites three different insurance policy categories including Homeowners, Auto, and Business. The company covers all the basic policies for each group and adds several endorsements for better overall protections. In every underwriting process, there is no involvement of any captive agent. Customers can work with independent agents to discuss and negotiate every statement in the policy.

• Homeowners Policy covers not only the permanent residential building but also mobile homes and boats. The policy comes in three packages including the necessary Central’s Homeowners Policy, Central’s Plus Ten Endorsement, and the premier Central Mutual Summit Homeowners Policy. A separate set of coverage is also available for condo owners, renters, and rental dwelling owners. Reduce customers’ expense, there are some discounts from the company for examples Age of Dwelling, Customer Loyalty Credit, Insurance Score, and Protective Devices discounts.

• Auto Policy comes in three packages too: Central’s Personal Auto Policy, Central’s Auto Plus Endorsement, and Central Mutual Summit Auto Policy. Primary coverage such as Liability, Medical Payment, Collision, and Comprehensive are all in the basic policy. For a complete protection, the Auto Plus Endorsement adds several types of coverage, for examples Hit & Run, Towing & Labor, and more flexible Medical Payment Limit. The best protection for drivers come with Central Mutual Summit. Here we have an auto policy that provides all types of coverage from the previous two packages yet it has more offerings to protect financial losses from airbag replacement, lockout, pet injury, and child safety seat.

• Business Policy has the most packages, but it is mainly for business owners or commercial building and vehicles. Some of the available packages are General Liability Insurance, Inland Marine Insurance, Commercial Auto Insurance, Data Compromise and Identity Recovery Insurance, and Pollution Liability.

Posted in Insurance

Whose Insurance Pays for an Accident in a Rental Car?

When you are traveling for vacation, personal needs or business, a rental car provides convenience and comfort for getting around on your own schedule. Such travel can be full of thrills like visiting a new place, leaving your office desk for a while, and just getting out and doing new things. But driving a rental car comes with responsibilities and even the best drivers can get into an accident.

— When an accident occurs in a rental car, whose insurance covers the damages? —
Rental car companies usually ask the renter if they want optional insurance. Most renters decline this policy without a second thought, unless the state they are in requires it. After all, if you have a car for only a few days, what are the odds of getting into an accident?

Unfortunately the odds are high enough for an accident to occur while in possession of a rental car that many people are confronted with the panic such an accident produces. Their first thought is often, “I should have gotten the rental insurance.” This supplemental policy is specifically designed to protect consumers when they are in an accident in a rental vehicle. It keeps those consumers from taking on liability through their personal insurance policy.

Although you may feel the odds of a rental car accident are slim, you should still opt for rental car insurance coverage at the counter. This insurance usually only costs a few dollars per day but can really provide shelter in the aftermath of an auto accident. While supportive in such cases, do be aware that rental car insurance policies are minimal and have some restrictions, such as when the rental car driver is clearly negligent and caused the wreck.

— Operation of a Rental Car as an Uninsured Motorist —
When you opt out of the rental car insurance policy, your insurance provider is then responsible for damages incurred on that rental vehicle. This is the same coverage as if you were driving your own car at the time of the accident. However, the insurance company can sometimes preclude coverage if the driver is not operating his or her own vehicle. Thankfully, there are only a few states that allow such preclusion.

If you are from one of the states that allows insurance policies to only cover drivers operating their own personal vehicles, and you deny the rental car company’s optional insurance policy, what happens if you are in an accident in the uninsured rental vehicle? In essence, you become an uninsured motorist. The other party involved in the accident must then rely on their own policy to cover initial costs as part of uninsured motorist coverage. But this opens you up to being sued for damages from the collision to reimburse what the insurance company covered.

— Using Credit Card Insurance for a Rental Car Accident —
Realizing you were an uninsured motorist in a rental car accident can be terrifying. When this is the case, you still have one other possible avenues of security. That is, many credit card companies insure vehicles rented using their credit cards. This automatic perk may be something you do not realize you have until it is desperately needed.

If you paid for the rental car using a credit card like this, you are in luck. Despite waiving the optional insurance at the rental car desk and your own insurance policy rejecting a claim, the credit card company may still provide the coverage you need.

When a credit card used for the rental provides no relief, another possible avenue of support is your homeowner’s policy. Sometimes these policy have added benefits that homeowners do not even realize exist. One such benefit may be coverage of rental car accidents. It sounds far-fetched, but your policy could include rental car insurance clause.

— When a Rental Car Accident Happens —
When an accident occurs while you are driving a rental car, follow the same initial steps as you would in any car accident:

  • Ensure you, passengers and the other driver are uninjured, first
  • Call for emergency medical support if that is needed
  • Call the police to ensure you are provided with a police report about the accident based upon law enforcement’s view of the scene
  • Contact your insurance company to inform them of the accident
  • Call the rental car company to tell them you were involved in an accident in one of their vehicles

Most rental car companies provide checklists of who to call and what to do on the scene, in the event of a rental car accident. These checklists are often stickers somewhere visible inside the car or in the glove box along with other vehicle documentation. You can also check your rental policy or the rental policy brochure jacket for possible information, customer service telephone numbers and other details you need.

When a rental car accident occurs, it may be appropriate to reach out to an attorney. A personal injury attorney can help guide you through the accident reporting phase, insurance claims process and in dealings with the rental car organization. Having an attorney on your side may make the experience easier to bear and provides peace of mind in ensuring your best interests are protected.

Posted in Insurance

Fred Loya Insurance – Local Insurance Company

Starting his career as a cattle rancher, Fred Loya turned to sell insurance in 1975. Fred Loya Auto Insurance now has more than 500 branch offices spread across 12 states and the company is still expanding. With more than 35 years of experience, Fredloya is still dedicated to provide cheap auto insurance coverage regardless of past driving history and credit card score. In 2013, the company insured more than 600,000 drivers with over 420,000 active policies worth more than $500 million. Currently Fred Loya Insurance has branch offices in Alabama, Indiana, Missouri, Arizona, Illinois, Nevada, Georgia, Colorado, New Mexico, California, and Texas. It recently acquired license in 3 more states including Ohio.

Local Branches

One thing that makes the company stand out from the crowd is the way it connects to its customers. Instead of doing all its business in a stand-alone building, people can actually access branch offices in many public places such as supermarkets, super stores, and many other places where people visit on daily basis. This allows both existing and potential customers to access the company easily. You can even ask for Fred Loya insurance quotes, file, claims, and ask questions about insurance at the branch offices.

Online Quotes

Providing quotes to potential customers directly during face-to-face circumstances may sound old-fashioned, but it is still the best way to do this since there is direct communication between sellers and buyers. It minimizes the possibility of mistakes or misunderstandings between the two parties. However, Fred Loya Insurance also allows you to ask for quotes via phone or from its official website. The entire process should take no more than 5 minutes to complete.

Credit Score and Past Driving History

People with bad driving history or credit score often find difficulties to get approval when applying for insurance. Fredloya clearly informs customers that the company will provide low cost insurance regardless of driving history. Credit card score is also a common problem when applying for coverage. Some insurers still consider this an essential factor to provide their coverage. Fred Loya Insurance has multiple products to offer for all customers including those with bad credit score.

Online Payment

Fred Loya Insurance makes sure that all transactions made between the company and customers go through a secure Internet protocol. A padlock icon in front of the address bar indicates that the official website uses a secure HTTPS connection, meaning any information carried by the electronic transaction only travels between your computer and the company’s server.

Posted in Insurance

Car Insurance for Women and Other Common Insurance Myths

Rumors and hearsay: you can’t escape them, but it’s essential to get the facts when it affects your pocket. Misinformation is rampant in the car insurance industry due to the complex nature of the product. However, separating fact from fiction when you’re purchasing a new policy or changing insurers will help you to make sound decisions and keep more money in your pocket.

Get the truth behind these eight common car insurance myths.

Myth 1: Older cars always cost less to insure

The truth: Not always. Your vehicle’s age will determine your rate in some cases. However, insurers take other aspects of your car into consideration as well. So while your car might attract a lower rate if it’s popular among thieves or difficult to source parts, the insurer will charge premium rates for your coverage.

Myth 2: Red cars cost more to insure

The truth: If you want to make a statement with a red car, go ahead and purchase it because the color of your car makes no difference to your insurer. Most insurers only care about the model, make, and mileage on your vehicle – the hue doesn’t matter. So, whether you paint your car firehouse red or bright orange, your insurance rate won’t budge.

Myth 3: Your credit won’t affect your car insurance rates

The truth: Insurance companies use a credit-based insurance score among themselves to make out your quote for car insurance. They refer to the scores whenever you buy, renew, or modify your policy. It’s easy to understand why your scores matter; they directly reflect your fiscal responsibility. So, expect to pay more if you don’t have decent credit.

Myth 4: Seniors always pay more

The truth: Age is a key factor when it comes to determining insurance premiums. However, being older doesn’t always mean paying more. For instance, seniors will qualify for discounts if they take a defensive driving course. Seniors can also use their membership in certain motorists clubs to take advantage of member discounts for car insurance. The bottom line is that seniors don’t always pay more for car insurance.

Myth 5: A rental car is always provided after an accident

The truth: You backed out of the driveway the wrong way and your car sustained some damage; no problem, you can use an insurance funded rental car while the damage is repaired, right? Don’t count on it. While some insurers will include rental cars as an added perk, the norm is that you must purchase additional coverage for a rental car.

Furthermore, if you’re at fault, the coverage won’t provide a rental while the car is being repaired. If you rely on your only vehicle to get to and from work, you should check with your insurer to find out about additional coverage for rentals.

Myth 6: You’ll get back what you owe

If your car becomes a total write-off after a serious accident, there’s no guarantee your insurance will write a check to pay off the bank. Instead, you’ll receive the book price based on the current value of the car. If you’re overwhelmed by the thought of repaying the bank after a write-off, you should ask your agent about additional coverage to waive the financial consequences of depreciation on your car. This will ensure that your insurer will pick up the check for the amount owed on your bank loan.

Myth 7: Male drivers pay higher premiums than female drivers

Insurance companies are not gender biased. They calculate rates based on claims made, the drivers profile and record – your sex doesn’t matter. A woman might have a lower rate if she’s a conscientious driver, but a woman with a terrible record will definitely pay more than a male driver.

Myth 8: My insurance agent got me the best deal on car insurance

Insurance agents are obligated to the company they work for, so they’ll work to get you the best deal within that company. However, you can find a similar coverage for less with another company.

When you’re comparison shopping, make sure to compare apples to apples. Even though you’re on a budget, your goal should always be to get sufficient coverage to keep your family safe on the road.

Posted in Insurance

Find The Perfect Van Insurance

Many businesses in the UK rely on van transport, and all of these vans require van insurance to keep them road worthy. There are many companies saying they offer the best van insurance out there so it can be hard to find the best offer, here we have brought you some of the best options on the market.

Many businesses in the UK rely on the services of a van to help with transport, supplies and delivery. All vans in the UK need insurance to make them roadworthy and to protect the vehicle and the driver for any accidents that might occur. There are many great van insurance providers in the UK and so it can be difficult to find the perfect insurance option for you. Here we have brought together some of the best insurance deals currently on the market to help you make an informed decision.

Direct Line is an extremely valuable insurer when it comes to all kinds of vehicles. They offer some of the most reliable insurance for vans including a current deal that offers customers 8 weeks worth of van insurance for absolutely free. Vans can be insured up to an unlimited value and a weight of 3.5 tonnes. They will even cover travel throughout the EU and a direct debit rate of 22.4%. It is simple and easy to retrieve a Direct Line quote online, simply head over to their website and fill in quotation request, or alternatively you could call one of their advisors to find out more.

The Post Office is another great institution that offers amazing deals when it comes to all kinds of Insurance. Post Office Van Insurance offers amazing protection and great value for money. They offer insurance of your vehicle up to £25,000 with a maximum weight of 3.5 tonnes; they even offer EU cover and a replacement vehicle for you in case yours has to be taken in to a garage. Physiotherapy is also offered for anyone who is injured whilst travelling in your van and you can benefit from an around the clock claims hotline and you can even add RAC breakdown cover and Motor legal protection at your discretion. It is simple and easy to apply for Post Office Van Insurance; you can apply online, on the phone and even in a local branch. The Post Office offers a range of great other services including credit cards and even a Post Office phone card.

Another great option for those looking for van insurance is with Churchill. They offer unlimited value insurance for vehicles up to 3.5 tonnes in weight. They also offer EU cover as standard and a free replacement vehicle allowing you the freedom to continue with your work if your van gets taken in for repairs. You can eve get a direct debit rate of just 24.1%.

There is a range of great van insurance options out there, and each offers a slightly different tailor made protection plan and quote. It is easier than ever to apply for van insurance thanks to simple online applications, and you can even benefit from using price comparison websites to compare deals and quotes from one easy page. Many companies also offer customers special offers and discounts such as the first three months fro free and discounts for those paying annually so make sure you research how you could get the best deal.

Posted in Insurance

Insurance software solutions – Smarter ways of selling insurance

An insurance company performs a lot of insurance related functions such as enrollment management, underwriting, claims management, policy administration, and accounting etc., for its customers. To enhance customer service and improve service delivery models, most insurance companies are now turning to automated insurance management software solutions.

Automated insurance software solutions make it feasible for customers to carry out their business critical insurance activities in a secure, cost-effective and reliable manner. Most insurance software come with the added facility of customization – insurance companies can get their software customized as per their business requirements. Application theme, colors, functionalities etc. can be changed as per an insurer’s preference.

There has been a significant shift in the U.S. health insurance sector since the consumer-centric Affordable Care Act was signed into a law. The U.S. healthcare market offers insurers a unique opportunity to acquire new customers, who may be less informed about their insurance needs and available options, without any excessive infrastructural costs.

Automated insurance software solutions help insurers conduct their insurance management processes in a time-saving and cost-effective manner. With these solutions and embedded functionalities, Insurers can allow their customers the facility, to search for health insurance plans online, check their eligibility for plans, and enroll for a plan of their preference.

Insurers can easily manage their administrative tasks and can keep track of their customers’ and brokers’ data. Some of these insurance solutions comprise of ‘analytics and reports’ functionality that helps users generate reports on customers’, their preferences, traffic sources etc. Assessing and analyzing these reports can help users identify areas that need improvement and areas that are performing well. Regular analysis of customers’ demographics can prove valuable in formulating future company strategies and deciding on the future markets to tap into.

There are insurance solutions that cater specifically to the insurance needs of different insurance consumers – individual consumers, small businesses or groups, senior citizens etc. Some healthcare insurance solutions provide separate portals for employers, employees, brokers and vendors, in a single insurance software package.

Employer portals, for e.g, can be really helpful for employers who want to offer insurance coverage to their employees. With these insurance solutions, employers can define their DCHP contributions, can remain informed of the latest health plans on offer and can manage their employees’ insurance data. Employee portals on the other hand can help employees remain informed of their insurance plans and plan their future financials.

There are separate portals available for brokers and agents that improve the client data management process and helps brokers and agents to increase their client pool.

To achieve and maintain a competitive edge in the health insurance market, insurance companies may find it necessary to utilize the services of healthcare IT firms which design healthcare insurance solutions. President Obama’s healthcare reform has galvanized the U.S. insurance industry into action and the time is ripe for insurers to tap into different insurance markets and increase their customer base with efficient and secure service delivery models. Most U.S. customers are ill-informed about the types of plans that are of on offer and smart software solutions can help convert these prospects into loyal customers.

Posted in Insurance

Increased Trouble for Dietary Supplement Liability Insurance Applicants

On Dec. 22, 2007, a bill signed by President Bush a year earlier became law. It set a required reporting system of profoundly adverse events (SAE) for dietary supplements sold and used in the United States. With further requirements, it mandated the company whose name appears on the product hold records related to every report for six years from the time the report is initially received.

In spite of this, just those adverse events that are “serious” must be reported. The definition of “serious” is understandable and includes, but isn’t restricted to, death, a life-threatening experience and in-patient hospitalization.

But has any person studied the implications of not disclosing SAE reports to their product liability insurance carrier? No, and the consequences of not doing so could be dire.

Almost each application for product liability insurance for dietary supplement companies has a question identical or very similar will this: “Is the applicant aware of any fact, circumstance or situation which one might reasonably expect could give rise to a claim that would fall within the scope of the insurance being requested?” Companies subject to the new SAE notification requirements should think about this subject carefully prior to responding either “yes” or “no.” If a business is maintaining the required SAE records, can the company in good faith answer “no” to the question? Hardly.

And what are the aftereffects of answering the question falsely? Put plainly, if a lawsuit arises from a previously documented SAE incident, the insurance company will confidently deny the claim after it discovers (and it will) the SAE was documented in the company’s records. The insurance company will allege fraud for inducing it to issue a policy based on concealed information. It will not simply deny the claim, but most likely will look to rescind the policy completely.

Thus, the latest SAE reporting requirements have introduced a new necessity to disclose such events to a product liability insurance company when applying for the insurance, or risk a claim turned down when a claim is created.

The GMP (good manufacturing practice) inspection procedure holds comparable risk. It is well known the amount of FDA inspections for GMP conformity have risen dramatically. According to FDA data, only seven GMP inspections occurred in 2008, which increased to 34 in 2009 and to 84 in ’10. As of Sept. 13, there have been 145 inspections in 2011. A lot of of these inspections have resulted in warning notices to companies citing a range of violations and calling for a swift reply outlining remedial steps to be followed. These letters are a matter of public record and can be seen on the FDA’s website. With the number of inspections and enforcement undertakings overall on an abrupt rise, it stands to reason that more companies will be receiving a warning notice of some gravity in the near future.

An additional question on nearly all product liability applications is virtually the same as or identical to this: “Have any of the applicant’s products or ingredients or components thereof, ever been the subject of any investigation, enforcement action, or notice of violation of any kind by any governmental, quasi-governmental, directorial, regulatory or oversight body?” Once more, a “yes” or “no” answer is called for. If a business has had an audit that resulted in a warning letter, it again should ponder carefully before answering the question. If the company has been issued a warning notice, the only logical response to the question is “yes.”

Though, a “yes” response will lift the eyebrow of the insurance underwriter, who for a long time has been viewing truthful “no” answers because of low enforcement activity before 2008. The underwriter will certainly want to know the details about the enforcement action and what remedial steps were taken. Product liability underwriters have almost always been sensitive to the quality and safety of the manufacturing process for dietary supplements. Seeing this question answered “yes” is definitely going to cause the insurer seek more info.

The risk for answering the question misleadingly is precisely the same as with the SAE reports issue. A liability claim, especially a large one, will precipitate an investigation not only of the fact situation surrounding the claim, but also of the application process and the candor of the responses. As with the SAE reports, an incorrect answer, whether “accidental” or not, might lead the carrier to attempt to rescind the coverage at the time a company requires it the most—after the lawsuit is served.

To sum up, these two government regulations have forced a higher standard of disclosure and detail on companies when applying for product liability insurance each year. As the saying goes, the devil is in the details, and insurance underwriters are looking for those details to be appropriately disclosed as part of the application procedure.

Posted in Insurance

Car Insurance For Teens

Teens are a group which insurers consider to be a high risk group of drivers. This means that finding car insurance at affordable rates can be incredibly difficult. But there are ways to find car insurance for teens, and they needn’t be difficult to follow.

Why Do Teens Have Problems Finding Car Insurance?

Teens tend to have trouble finding car insurance because of their inexperience. This inexperience comes mainly because of their age, but it also comes about due to the fact that any teen with a driving license won’t have had it long. This naturally means that teens will have a higher risk of making a mistake and, as a result, having some sort of accident.

And the reason that insurance companies raise their rates for teens is not down to any blind stereotypes because there is scientific evidence shown from countless studies that younger people do tend to have more accidents than experienced drivers.

What Can Teens Do?

There are a number of things teens can do. Some of these methods are practical and some are not, but the following are just some of the things which can influence the car insurance rates for teens:

• The type of car driven
• A driver’s academic record
• Marital status
• Safety features
• Different insurance companies

Type of Car Driven

The type of car driven will have a major influence on the insurance premiums for teens. Nothing creates a big red flag for insurance firms more than a teen with less than a year’s driving experience who wants to drive a really expensive car. This is a big risk for insurers, and some insurers won’t even offer a policy at any affordable price.

The best option is to choose a car which is cheap and easily repaired because if an accident does happen then the insurance firm won’t be paying out a large amount.

Academic Record

This is quite a strange factor which comes into play, but there are studies which show that students with better academic records are less likely to have an accident. Insurers have taken the results of these studies on board which means that those students who have a Grade Point Average (GPA) of 3.2 or more will see lower insurance premiums.

Marital Status

For most teenagers, this is not really a viable option. But if a teen is intending to get married then this can dramatically reduce the amount of money they will have to pay for auto insurance. Studies have shown that those teens who have kids or who have a wife will be more responsible when it comes to making decisions on the road. This translates to lower premiums for those teens.

Safety Features

The more safety features that are applied to the vehicle the teen is attempting to insure the lower the premiums will get. This applies to safety features which protect the car from theft and damage and the individual from any personal injuries.

The following are just some of the safety features which can work to lower the premiums associated with a car insurance policy:

• Anti-lock brakes
• Engine immobilizer
• Airbags
• Car alarm
• Storing the car in a garage
• Automatic seat belts

Different Insurance Companies

Even if all of the above tips are followed, it’s still best to compare all of the different insurance companies in order to get the best deal. However, it’s not practical to call on each insurance company individually. This is where the insurance comparison site comes in.

Simply open up a variety of comparison websites and follow all of the instructions given on these websites. It’s best to use a variety of websites because this will make sure that the results given are more accurate.

Posted in Insurance

You Really Do Need Life Insurance And The Earlier You Take One Out The Better Deal You Will Get

Like most young Australians starting out in life the world is your oyster. Living in a land with a glorious climate and a good education and vocational training system which enables you to find a decent job and start enjoying life. And is there a lot of life to enjoy; from surfing to skiing, from sailing to playing one of the many sports at which All Australians excel and are proud.

So why would you ever even consider purchasing Life Insurance. Yes that is right. You wouldn’t.

But it is suggested that you think very carefully about taking out a policy sooner rather than later.

The reasons are manifold and here are a few for you to consider; At some stage hopefully you will get married and start a family. The earlier you start with a policy the better the coverage will be and your family will be protected should anything happen to you. How often do you read of horrific accidents where there are multiple deaths and families are left devastated and destitute, even though the deceased was in no way responsible for the accident.

And it doesn’t have to be by car, You may fall overboard on a yacht race or fall off a horse. And this is just accidental death.

The fact that we Aussies live in a wonderful climate does not exempt us from getting ill, Heart attacks, cancers and other illnesses also manifest themselves in Australia and the effect on the family will be just as devastating. In fact maybe worse. So it is suggested the younger and healthier you are the better odds you will get in taking out a life insurance policy.

There are many types of policy depending on what you want to do. The simplest form of Life Insurance is a straightforward bet. You bet against the insurance company that you won’t die before you turn 65 (say). The actuaries, who are guys with massive mathematical ability take all of the factors they can think of into account and give you odds on this bet. So if you are a young healthy 20 year old who is going to work in a non hazardous environment, your policy is likely to be a lot cheaper per AU$100,000 than if you were 30 years old, a heavy smoker, was overweight and working as a coal miner..

There are many other types of life insurance policies, some which will cover you and for which, after 25 or 30 years of premiums will pay you out a lump sum or an annuity, which is a regular payment every year until you decease or similar. These types of policies seem attractive as the value added sounds fantastic but before committing to one of these policies check out the small print as well as whether the amount promised is going to be worth that much is inflation is 5% pa for example.

There are other policies which offer income protection in the event of a disabling injury for example.

All of these are pertinent and it is advisable to consider life insurance as early in your career as you sensibly can.