Vaught Wright & Bond Insurance, Inc.

Archive for the ‘Personal insurance’ Category

AARP’s auto insurance discount program has finally arrived in California through a few select agencies. We have been anxiously awaiting it’s arrival, as the savings are huge. In many cases you will save 25-40% off your current premium!

The cost of membership is a bargain, and there are many other  benefits included. The minimum age requirement is only 50 years of age to qualify. Contact us today and in only a few minutes of time we will provide you with a money saving quote. The coverage is issued through Hartford, so you know the coverage is top-of-the-line!

(800) 652-0168

Start your quote here!

I doubt that most people realize that the majority of drivers convicted of DUI are not the stereotypical alcoholic; dirty and disheveled, with red, bloodshot eyes. In fact, most drivers convicted of driving under the influence are normal people who made a one-time mistake, or lapse in judgement. Furthermore, inexperienced drinkers are less able to cover their diminished motor skills and are more easily detected, even at levels just at, or slightly above the legal limit.

Insurance companies are aware of this, and many of them love to insure drivers convicted of DUI. As you are certainly aware, the rates are high, and the companies know that most of these drivers will not repeat the behavior that got them into this situation. In short, the increased risk of paying claims does not match the higher premium.

Here are some ways to save money on insurance after a DUI conviction:

Drive a low value vehicle that does not require physical damage coverage. If you can insure for liability and property damage only, you could save thousands of dollars.

Find a company that only charges for the violation for 3 years. A few of our companies, Progressive and Unitrin for example, only charge for three years. Most companies charge for five or more years.

If you are on a policy with other family members, consider obtaining a separate policy. This can be a big money saver, but generally you will be excluded from driving any of the vehicles that are not specifically on your policy.

Some companies charge large fees for SR-22 DMV filings. Be sure to ask if there is a fee for the filings, and how much it is. SR-22 filings are required to maintain your drivers license.

These are just a few ways to save, and an agent will be able to help further. Don’t be discouraged, some of the rates are now getting competitive.

VWB Insurance quotes webpage
(800) 652-0168

CLICK HERE TO START YOUR QUOTE ONLINE!

One of the scariest times for a parent is when the dreaded driving years approach. Not only are you terrified of the dangers involved, the worry and uncertainty of the costs of adding a young driver are enough to keep us up at night. I am amazed at how often parents do not follow some simple guidelines that make the transition a lot smoother and less costly. Here are a few basic strategies that can save thousands of dollars.

1. Provide the teen with a car that you can afford to lose. The temptation can be strong to purchase a “cool” car, particularly if you can find one with a reasonable monthly payment. A problem with taking out a car loan, is that the lender will require you to carry insurance to pay for damage to the vehicle, generally with a  low deductible. The cost for this insurance is shockingly high for young drivers.

Here is an example. Let’s say you negotiate a $150 monthly car payment on a nice used car. It may sound affordable, but don’t be surprised to see your insurance payment increase by $200 or more per month. Suddenly your annual cost for the additional vehicle has ballooned to $4200, and that is before paying for gas, vehicle registration, or maintenance! If your teenage angel manages to get a ticket, or is involved in a fender-bender, the cost will likely go considerably higher. Unless you are willing to pay for the additional insurance cost, do your best to avoid a car loan on your teen driver’s vehicle. Your liability coverage, which is mandated by law, will still pay damages (up to the policy limits) to repair another vehicle if your child is at fault in an accident. Unfortunately, you are responsible for damages to your own vehicle if you are at fault and do not have collision coverage.

2. Consider Comprehensive (other than collision) coverage. For a low premium, this will protect the new vehicle against theft, cracked or broken windshields, and many other common claims.

3. Call your insurance agent to get the estimated cost for any vehicle you are considering, even if it is one you already own. A good friend called to tell me that he had just purchased a new Ford Mustang for his 16 year old daughter. He nearly passed out when he found out how much the premium would be. I asked him why he hadn’t called to ask before he bought the car. Apparently he made a promise to buy the car if she earned straight “A’s” on her report card, and he never thought she would actually do it. In this case he says it was worth every penny. Still, he might have considered offering a less flashy car as an incentive.

4. Consider options. Adding a young driver can more than double your current premium. In our agency, we find it worthwhile to quote with at least 5 companies to be sure the coverage and rates are good. Every family’s situation is different, and needs to be evaluated individually. That is why we represent dozens of carriers; you never know which will be the best fit until we see and evaluate your situation.

5. Don’t be foolish with inadequate limits. Okay, this one won’t save you money on your policy, but it could save your financial future. Nothing aggravates me more than seeing smart people with bad insurance. In my opinion, agents who sell minimum-limit policies should not be allowed to represent their clients; they certainly are not doing their job of protecting the public. There are rare exceptions, but the cost for higher limits is not as significant as what is at stake. You could lose everything from a single accident if something were to happen with you or your child at the wheel. A moderate collision with a luxury car can cost $60,000 or more. If your property damage limit is $15,000, would you be able to afford the remaining $45,000 out-of-pocket? You will be responsible for paying it as soon as the repairs are made. Even though your young driver may not own much in terms of assets, a financial judgement against them could haunt them for decades.

We sincerely hope you will keep these suggestions in mind when the time comes for your child to take the wheel, or make the changes now if you already have young drivers in the household. Feel free to contact us if you have questions.

AUTOINSURANCEQUOTES
info@vwbins.com

How often do you file insurance claims? Most people will say less than every five years. In fact, many of us have not filed a claim for ten or more years. Generally you can save 10-20% of your premium by increasing your deductible.

Here is an example with personal insurance. If you increase your homeowners deductible from $500-$1000, you may save $200 or more per year. With this savings on an annual basis, if you don’t have any claims after 10 years you would save $2000; and that is just on one policy. Even if you filed a claim, say after three years, you would still save $100! (3 x $200 savings – $500 increase in out-of-pocket deductible = $100).  If you combine increased deductibles for your auto insurance and any other policies, it can add up to thousands of dollars in savings. If you own a business, higher deductibles will likely save even larger amounts.

Have you analyzed your insurance lately? Now may be the time for a fresh look.  A few minutes of your time can save a lot of cash, and give you better coverage as well. Get a quick analysis and you will see just what is possible with smart deductibles!

800-652-0168
CLICK HERE FOR BETTER COVERAGE!

Auto insurance generally is purchased and then forgotten. If you do not catch any gaps and omissions at the onset, you can be left financially devastated. This short article will tell you how some common auto insurance traps can occur, and how they may be avoided. I will avoid some of the obvious, such as purchasing the state minimum liability limits, or other absurdly low limits. If this is you, you have a lot more to worry about than the issues below.

 Are you aware that even if you are prudent enough to purchase high liability limits, your policy may not provide these same limits if someone else uses your vehicle? Many policies have what are referred to as “drop-down” limits. What this means is that if someone outside of your household, or unnamed on your policy is involved in an accident, your coverage “drops down” to the state minimum requirements . For example, an insured’s son was borrowing his vehicle while visiting San Francisco. He came over a hill and temporarily lost control of his vehicle after another car swerved into his path. Before he could recover, he hit the side of a parked vehicle, then a second vehicle, a third vehicle, and finally a fourth vehicle which was pushed into a fifth vehicle. One was a Mercedes, another a Jaguar. It will suffice to say that the $5000 of drop-down property damage was not even close to covering the $87,000+ repair bills! Be sure to ask your agent if your policy includes this provision.

Another common misconception is the idea that you do not need uninsured/underinsured motorist coverage if you carry health insurance. Even some licensed agents advocate this foolish advice. Not only is the coverage relatively innexpensive, it is essential. Why would you pay for liability coverage to insure complete strangers against bodily injury, pain and suffering, lost wages and more, and not allow yourself to be covered at the same level? If you are involved in an accident with someone with no insurance, or even innadequate coverage, you would be out of luck. You would be left paying your own way.

If you are exposed to any of the issues we discussed, be sure to contact us and get it remedied. The best thing you can do to protect yourself is to speak with an independant agent. They are not governed by one particular carrier, and will be able to place your coverage where it best fits.