Getting a Cheaper Rate on California Car Insurance is Easy

Progressive auto insurance company says that  car insurance buyers would be able to save around five hundred dollars on their six month car insurance premium if only they shopped around for their prices. However, many don’t, which is why the majority of Americans and those who own insurance policies are paying too much for their car insurance.

Progressive said it got its information from a study of over seventy thousand customers over a six month period. The study relates the lowest  car insurance rate possible versus the highest, and notes the gap (five hundred dollars in the case of car insurance). Depending on what state you are in, the degree of separation in dollars between the highest and the lowest car insurance premium can be more than many preferred car insurance pays in a year. In Houston, where I’m from, the variation is as much as $838 of variation for a six month policy.

Putting aside car insurance, some other areas in California had huge variances between auto insurance rates as well. Notable, San Francisco:

• $514 of variance

And Los Angeles:

• $616 of variance

Progressive went a little with its study and tried to see how aware California car insurance policy holders were of this rate variance. According to their findings, 65% didn’t realize that the variations between rates was so huge–most estimated it to be around one or two hundred dollars on average. And 60% of the people asked had not made an effort to shop around for a good insurance policy in several years.

Even if the company that you are with now had the best rates several years ago, that doesn’t mean that the same will be true today. New companies rise up and offer cheaper prices, and older companies find new ways to pass the savings on to their customers. The best thing to do to ensure that you get a cheap California car insurance quote is to shop around at least every six months.

California Auto Insurance Claim Denied Because of Teen Driver?

Reader question:

I heard that you can get a claim denied if your teenager is on your  California auto insurance policy. Is that true?

Phillip

Thank you for your question, Phillip.

I’m not sure where you heard that, Phillip, but it’s definitely not true that your California auto insurance company will deny your claim just because you have a teenager on your policy. Heck, you’ll probably get your claim denied if you decide not to add your teenager to your  insurance policy, because if you don’t provide such important information, then your  auto insurance company is unable to adjust your car insurance premium to fit the amount of risk you pose to the company.

One thing that I think you might be thinking about is the recent report done on parents whose claims were denied because they had claimed themselves to be the main drivers on vehicles of which their high risk teenagers were actually the main drivers. I think this might be the result of a bit of miscommunication.

Many people who deal out auto insurance advice, myself included, have urged parents to make sure that car insurance companies don’t automatically add the teenagers to the most expensive and costly to insure vehicle on their policy. This is definitely something that you should worry about, since car insurance companies tend to, if not told otherwise, put the highest risk driver with the highest risk car, even if the driver in question never touches the car.

However, making sure that your teenager’s name isn’t added to a car that they don’t drive isn’t the same as deliberately putting your teenager’s name on a car that they don’t drive. This is called fronting, and is considered fraud, so I advise every parent thinking about doing this on their California auto insurance policy to think again. The truth is that most parents who do this don’t even know they’re committing fraud, at least according to sixty percent of the parents in the report.

Make sure that you give accurate information and that your  insurance company follows it when rating your policy, but giving inaccurate information yourself could land you in trouble.

Cheers,

Fashun Guadarram.

Things To Consider Before Selecting a California Auto Insurance Company

There are several things that you need to be aware of when you are going into the battle for California auto insurance. Here is a list that will make you aware of what to expect and what to demand.

• Your name is .0001%.

California auto insurance providers, like car insurance companies everywhere, deal in statistics. When they see you, that is what they see, not a living breathing person. Therefore, no matter how many protestations you make that you are the most angelic and able driver in the world, if you are part of a demographic (or if your car is) that files a lot of claims, you are high risk as well. There are a number of things that can push you either way on the risk spectrum, from your job to your car, so it’s something you have to get used to.

• One is not like the other.

Not all California auto insurance companies are the same, which is why it is necessary to shop around.

• Price isn’t everything.

While getting a great insurance quote is ideal, it is also important for you to have a bunch of other things from your insurance company. First of all, you will need good rates, but also good service and an easy claims process. You will need to look at several aspects of a company before you decide that it’s the one.

• Rise above it.

In California auto insurance, you have to have a minimum coverage of $35,000 self insured, and $40,000 if you go through a insurance company. However, most of the time these tiny amounts will not help you when push comes to shove. Think about what you need and consider upping your liability insurance coverage.

• Get paid.

Every California auto insurance company offers discounts, but so many people just ignore them. According to several studies, Americans spend $500 billion more on car insurance than they would have spent if they had gotten discounts that they are eligible for.

• Tell the difference.

Many auto insurance providers will try to get off by repairing your car with aftermarket parts when you file a claim with them. While these are just as safe as other parts, if you don’t get the parts from the original manufacturer then your vehicle will lose value.

• Look out.

Your  insurance company is there to serve you, but that doesn’t mean they will be all enthusiastic about it once the time comes for them to do so. It is your responsibility to fight for the money that you deserve.

• Think ahead.

Don’t wait until the last minute to read your auto insurance policy as you are waiting for the firemen to pry you out of your wrecked car. If you know what you need to do in the claims process ahead of time, then you don’t have to worry about it when you’re stressed and possibly injured from a collision.

Should You Tell Your Auto Insurance Company You Bought a Lemon?

Reader question:

I bought a used car. I think it is a lemon. Do I have to tell my California auto insurance company? Should I file a lawsuit?

Laura

Thank you for asking, Laura.

You absolutely can get your lemon car insured through a California auto insurance company. However, since the car is not in good condition, you might find that the California auto insurance company charges you more because it is a higher risk and also less safe than other cars. If you shop around a bit, though, you can find the best price on your car, which can also be done by applying discounts to your policy with your California auto insurance company.

As for filing a lawsuit, unfortunately you are out of luck since you bought a used car. According to California auto insurance law, a lemon is only defined when you are able to deal with it through the original dealer and manufacturer, so it is only a term for new cars. The only way to make sure that you don’t get a used car that is a lemon is to get a mechanic to look at it and determine that it’s in good shape before you sign any papers.

California auto insurance law doesn’t protect you from sneaks and liars, so you have to practice the utmost responsibility on your own part. You should also consider that many used cars are simply run down pieces of junk, and not necessarily lemons. Lemon mostly applies to new cars with persistent problems which couldn’t or shouldn’t have been cause by the standard wear and tear.

However, if you do buy a used car that was called a lemon when it was new, then your dealer is supposed to tell you that it was a lemon. If the dealer does not do so, then you can get something out of it. However, you should check your CLUE report first and make sure that the car is really a lemon.

Cheers,

Fashun Guadarrama.

Looking For Affordable Southern California Auto Insurance Coverage?

If you have collision coverage on your Southern California auto insurance policy, then there is nothing wrong with trying to find out what the actual cash value payout would be on your car ahead of time. I have a 2007 PT Cruiser, and as it is a new car, it depreciates very quickly, as all new cars do. I went on a hunt to find the actual cash value of my car, and I’ll take you through the steps to show you how I found my own value and how you can find one for your own car.

• Step 1: Look for one that’s similar.

Primarily, your Southern California auto insurance company will look at what car dealerships around where you live are charging for your car, new and used. For my 2007 PT Cruiser, according to the website, the current MSRP is $15,530. This is around the same amount that my own cost me at my car dealership. If you have a rare car, it will be much more difficult to find these prices.

After the Southern California auto insurance company has these pri

ces, it will subtract or add based on the mileage. For example, if you have an older car and it bases its price on a car being sold nearby you that has more mileage than your own car, you will get more than that car is being sold for. If it has less, you will get less.

My car has twenty five thousand miles. If we compare this to another 2007 PT Cruiser being sold new, which will have 0 miles, then the price for my car would go down a couple thousand dollars, to $13,530.

• Step 2: Features.

After that, you will get more money added to the actual cash value according to how many more features your car has on it than the comparison car. For example, my PT Cruiser has power windows, locks, and a touch open hatch. If the comparison car does not have any of these, then my total will go back up to around $14,000.

It depends, also, on the type of option. Some options many people simply don’t care about, and would not care to pay more money for these opetions.

• Step 3: How does it look?

Your Southern California auto insurance company will then consider how your car looks at the moment, to account for some depreciation. For example, my own car has some stains on the seats, so that would account for, say, $200 of depreciation.

The way that they determine how much money will be taken from the actual cash value of your car is by grading each part of it, A through F. In the end, also considering that I just had a repair on my car, which would take off another couple hundred dollars, my actual cash value would be around $13,500.

I still owe around $17,000. Yikes! And that’s why I have gap insurance coverage on my Southern California auto insurance policy.

California Department of Insurance For Insurance Quotes?

I’ve been saying what a great place to visit the California Department of Insurance (DOI) website is for awhile. It has studies, statistics, phone numbers, complaint ratios–basically everything you need to know, practically, when attempting to make an informed decision about your online California auto insurance quote. Now they have another thing that will make it easier for Californian consumers to decide on their new auto insurance company.

Located on the California Department of Insurance’s website, this new online California auto insurance quote comparison is based on surveys among car insurance providers that has given the DOI an idea of what their quote rates will be like. While the surveys do not provide you with a specific number, they do serve as a great basis for deciding which California auto insurance company offers the best premium prices.

The risk and online California auto insurance quote comparisons are divided into groups, based on factors that would normally cause some fluctuation in your car insurance premium rate. For example, your gender, age, or amount of coverage. There is also a survey to take you through the online California auto insurance quote comparison, which will first inquire the amount of coverage that you want, and then continue narrowing the field through survey questions.

This service isn’t online offered for online California auto insurance quotes. It also extends to things such as home insurance, long term care, Medicaid supplementary insurance, and title insurance.

California Injury Liablity Insurance

Reader question:

What is injury liability insurance?

Miranda

Thank you for asking, Miranda.

There are two types of California auto insurance injury liability. One is for the death or injury of a single person, and the other extends the first coverage to take care of the deaths or injuries of multiple people. It isn’t necessary to distinguish them when you go to buy your California auto insurance, though, as both are required. No California auto insurance company will sale you less than the required amount, which is:

• $15,000 for one person
• $30,000 for more than one

However, most California auto insurance companies will suggest a higher level of coverage, and it would be advisable to take their suggestion to mind, considering how much medical bills tend to be. They suggest you get at least $100,000 of liability for one person, and another $300,000 for multiple people.

This type of California auto insurance coverage is the key kind of liability. If you should cause a car accident through your negligence, then the person who is injured in that accident can sue, which is why you need high levels of this type of insurance. If the other driver sues for pain and suffering, or for wages they’ve lost, then you could be out of a lot of money if you don’t have liability California auto insurance coverage.

When you get into an accident, the bodily injury California auto insurance liability applies in a strange way. The first limit, for a single person, is what will apply to each person, but the second is for the entire accident. So, if you get into a car accident and one of the injured’s medical bills come out to $20,000, but you only have the required $15,000 per person California auto insurance coverage, then you will have to pay the difference.

Cheers,

Fashun Guadarrama.

Affordable Classic Auto Insurance in California

Getting classic auto insurance in California is rather easy. All you have to do is add your new classic vehicle to your regular car insurance policy. But is that the wise thing to do? I would say it isn’t. If you add your classic car to your regular auto insurance in California that would mean that if you total your vehicle, they will give you the same as they give for every other kind of car–what it’s worth after depreciation. For a car that is forty years old or more, that won’t leave you with much, and it doesn’t take into account the classic value of the car.

Getting specialty classic auto insurance in California is slightly more difficult. Normally, there are some qualifications that you must have in order to insure your car with specialty classic auto insurance in California.

• A limited amount of yearly mileage.
• A few years of driving experience.
• Another car that is for regular use.
• No business usage.
• The car must be a certain age or over it.

After you qualify according to these standards, you can buy real classic auto insurance in California. While there are some companies that provide regular auto insurance policies as well as classic, it might be better to go to a specialty company for your classic auto insurance in California. It might cost a little more, but the classic auto insurance company will have the experts.

If you are going to get classic auto insurance in California, it would be advisable to insure your classic car under an agreed value car insurance policy. In order to do this, you have to agree with the car insurance agent on what that value will be, so that if you total your classic car, there will already be a set amount.

Typically, if the problems that your car has as a result of the accident are less than the amount of the agreed value, then the car can be fixed. However, if they are more, than you will be given the agreed value. One thing that you must remember is that after a repair, the car will lose some value.

Cheap Pasadena California Auto Insurance Rates

So what do you do when your car gets stolen? Most people panic, but you should figure out what you are going to do before hand. Like the boy scouts say, be prepared, and listening to them you should try to set yourself up for the eventualities that life may present you with, such as fires, hurricanes, and car theft. Okay, one is not like the other, obviously, but it still requires plenty of forethought so that you aren’t caught out and confused when (if) it happens to you at some point. After all, everybody loves to play Grand Theft Auto but we all think that it is something that could never happen to us. Not true.

• Call the cops.

Yeah, this is an obvious one, but when taking it into account remember that haste makes waste. When you call the police after your car has been stolen, you need to do it from the scene of the crime. You need to be prepared to identify your vehicle to the police when they arrive, because speed is necessary in getting back a stolen car. If they don’t have the information they need, then your car could be at the chop shop. Most stolen cars aren’t recovered.

You need to have the license plate number and the VIN number either in your head or on a car in your wallet or purse, somewhere that you will always have on you. You should also keep one copy of your Pasadena CA auto insurance on you and one in your car, and do the same with your registration. The police report can be used by your Pasadena CA auto insurance company.

• Am I insured?

You might not be, as hard as it is to come to terms with. If you have comprehensive coverage, then you will be covered for the actual cash value of your vehicle if it gets stolen. However, if you are still paying off the car, and you don’t have gap insurance, then you could be in some trouble. If you really want to be prepared, make sure that you have rental car coverage and read your policy to see if there are any delays between making the claim and getting to rent the car.

Who Offers Cheap California Auto Insurance Quotes

The best thing that you can do for your California auto insurance premium is to shop around. If you stick with one company, you might get some long time customer perks such as a renewal discount and/or an accident free discount. However, normally these perks are pretty small, and you can do so much better by looking around for good California auto insurance quote.

There are three basic ways to get a California auto insurance quote: through your agent/broker, by yourself on California auto insurance quote comparison websites, or from the California auto insurance company itself. Which is the best way to go? Let’s see.

• Agents.

If you are looking for a California auto insurance quote, then the kind of agent you want will be an independent agent. They’re name is slightly misleading, considering they aren’t entirely independent. However, unlike captive agents, who only give you a California auto insurance quote from one company, they work for several companies and can get you quotes from all of them.

The catch is that agents come with a fee. Normally, you can negotiate this fee, so if you know what you’re doing it might not be too expensive.

• Comparison sites.

This is my favorite way to go. California auto insurance quote comparison websites are everywhere. There are probably a few on this page. Just click on one and fill out the information, and you can get quotes from several different companies with no bias. I find this the best way to start out, because you only have to fill out the information once to get a California auto insurance quote ten different times. Start from here, and write down the companies with the best quotes, and then continue your research.

• Direct company website.

Direct company websites are kind of like captive agents. They are only interested in selling you one California auto insurance quote, so if you’re trying to decide, it’s best to avoid them. You can get the same quotes from the comparison websites. On top of that, there are a few sites that claim to give you the competitor’s rates as well, but normally these aren’t all that they are cracked up to be. I find that the comparison sites are more accurate, and they give you more quotes.

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