Prepare Your Home

One of the keys to cheap homeowners insurance in South Florida is to take advantage of all the insurance discounts that are available to you. For example, you can get discounts for installing:

* Hurricane shutters

* Impact-resistant windows

* Hurricane-rated entry and garage doors

* A stronger roof

Raise Your Deductibles

Another way to lower your homeowners insurance premium is to raise your deductible for perils such as hurricanes. The deductible is the amount of money you pay toward a claim before your insurance company pays. The higher your deductible, the lower your premium.

Most insurance companies recommend you set your deductible to at least $500, but if you can afford to raise your deductible to 1,000, you may save as much as 40% on your yearly premium.

Shop Around

Many South Florida homeowners are finding that their insurance premiums are increasing or that their homeowners insurance isn’t being renewed. Many large insurance companies are not writing new business in South Florida.

However, you can find smaller, independent companies that are still accepting business, and offering rates you will find to be astonishingly low. In fact, by comparison shopping for homeowners insurance, you can save thousands of dollars a year.

Of course, you also want to be sure that the insurance company you choose is stable and financially sound. You don’t want to choose a company that will be unable to pay your claims should a disaster strike.

That’s why the best way to shop for homeowners insurance for your South Florida home is to go to an insurance comparison website. On such a website you’ll fill out a form with information about your home and your insurance needs. You’ll then receive quotes from multiple A-rated companies and you can choose the best one, with the assurance that all the companies you’re comparing are sound and stable.

Visit www.LowerRateQuotes.com/homeowners-insurance.html or click on the following link to get South Florida homeowners insurance quotes from top-rated companies and see how much you can save. You can also get more insurance tips there.

The authors, Brian Stevens and Stacey Schifferdecker, have spent 30 years in the insurance and finance industries, and have written a number of articles on homeowners insurance in South Florida.

As we all know, car rental companies charge massive fees for the insurance equivalent provisions in a car rental agreement, and credit card companies often provide coverage for this exposure.  Does it really work?  Two articles (here and here) point out some of the pitfalls, and a couple of insurance sites offer only limited comfort.

The two articles note that the coverage offered by credit card companies can still leave a renter with unexpected exposure.  Articles at AM Best (see here) and III (see here) point out the need to check with your providers.  Not great comfort or guidance for consumers.

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Update – See recent post here.

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Brought to you by Tennant Risk Services.

Subprime and related credit market losses will impact both the professional liability (E&O) and the directors & officers (D&O ) insurance lines, and underwriters will respond (and some have already) with all the normal moves following catastrophic losses: tighter underwriting, reduced coverage, and higher pricing.  For example, some underwriters of mortgage brokers professional liability insurance have already exited from this line.

The real question is whether the underwriting responses will be contained to those entities suffering the losses or will be more widespread, and what the order of magnitude will be.  Not everyone agrees on the answer (see our prior post), but it should be clear that the problem is still unfolding.

There are indications that the problems are spreading beyond the subprime mortgage segment (see here).

The credit crisis is no longer just a subprime mortgage problem…This collapse in housing value is sucking in all borrowers.

And AIG’s recent announcement that its auditors found material weakness in its financial reporting for valuing credit default swaps is disturbing (see here).

American International Group said that it had incorrectly valued some of the swaps it had written and that sharp declines in some of these instruments had translated to $3.6 billion more in losses than the company had previously estimated

Are there other companies (other insurance companies?) with the same problem? (see here)  It sounds like it.

We are going to see more and more problems come to light like this,  said Lynn E. Turner, a former chief accountant at the Securities and Exchange Commission. This is an indication that these large financial institutions do not have the risk management systems in place to give us accurate data.

Troubles that began a little over a year ago in an obscure corner of the financial system, BBB-minus subprime-mortgage-backed securities, have spread to corporate bonds, auto loans, credit cards and now — the latest casualty — student loans…Why has a crisis that began with loans to a limited group of home buyers ended up disrupting so much of the financial system? Because, ultimately, it’s more than a subprime crisis; indeed, it’s more than a housing crisis. It’s a crisis of faith. (see here)

How does all this impact the professional liability markets?  First, companies that were directly involved in the problems will get sued, such as mortgage brokers.  This is already happening: lawsuits are being filed at a record pace according to a recent study (see here):

The study found that virtually every participant in the subprime collapse is being sued

Second, as public companies suffer losses and their stock prices decline, shareholder suits and significant D&O losses can be expected (see here).

In early February, New York-based Advisen Ltd. estimated that write-downs of subprime exposures by 120 financial institutions exceeded $230 billion, and that D&O losses for these institutions could reach $3.6 billion.

If close to accurate, this will obviously impact D&O rates.

Brought to you by MercatorPro.

Michael Moore is coming.  The name of the planned film is Sicko, and it sounds like it will be focused on health insurance and medicine.  From his web site: 

Send Me Your Health Care Horror Stories… an appeal from Michael Moore

Friends,

How would you like to be in my next movie?  I know you’ve probably heard I’m making a documentary about the health care industry (but the HMOs don’t know this, so don’t tell them – they think I’m making a romantic comedy)…  Have you ever found yourself getting ready to file for bankruptcy because you can’t pay your kid’s hospital bill….As you can imagine, we’ve got the goods on these bastards…  I promise you that with "Sicko" we will do our best to give you not only a great movie, but a chance to bring down this evil empire, once and for all.

At www.michaelmoore.com.

Not quite. Though that adorable little child you once knew has grown up some and begun taking responsibility (though whether or not he can make his bed might still be questionable!), he still needs a lot more driving experience–and some extra maturity–to ensure wise decision making on the road.

After all, doing things like giving the other driver the benefit of the doubt and constantly checking that blind spot don’t come naturally to most inexperienced drivers.

Then there’s the matter of insurance. When you add your teenager to your car insurance policy, you naturally expect your insurance rates to rise. Why? Because just like your child, teenagers as a group tend to have more accidents than experienced drivers–about three times as many, to be precise–and it’s this increased risk of accident and insurance claims that causes higher teen car insurance quotes.

But there are ways to get around those higher insurance premiums. A student who has good grades, takes a driver’s training course or drives an older car may qualify for discounts–and that can really help out when it comes to making car insurance more affordable.

Regardless of cost, teens simply can’t drive without insurance. And because we love our kids and want the best for them, we do everything possible to protect them while they’re driving–just as we’ve done all their lives.

So when it’s time to insure your teen driver, make sure he has plenty of insurance coverage, just in case. That way, no matter who he’s with or what mistakes he makes, he stays safe while driving–and you’re prepared for most anything!

For tips on insuring teen drivers and saving money on teen car insurance, please reference these articles in our Insurance Resource Center:

Teen Car Insurance
Teen Car Insurance Quotes

The FBI, working with other regulators including the National Association of Insurance Commissioners (NAIC) is reviewing the AIG situation and other companies to determine whether fraudulent accounting issues are more pervasive in the insurance business (see here and here).

The Wall Street Journal, reporting on the investigations, commented:

The FBI has found in previous corporate-fraud cases that they tended to involve more than one player in an industry.  “If one was doing it, others had to stay competitive.”

The FBI Financial Crimes Section has 405 corporate-fraud cases open…That represents a doubling of the number of pending cases at the end of fiscal year 2003.

The FBI did not disclose the number of insurance related cases, and did not expect to make any announcements regarding its investigations in the near future.

Turns out someone brought the virus to the Midwest after traveling to the UK during a one of their recent outbreak periods and, well, the mumps is now running amok.

Because I worked at the University of Iowa’s student health center during college, I know more than any normal person should about immunizations. Here’s the scoop:

Around 1986 or so, pre-schools and kindergartens started to relax their inoculation requirements and as a result, some kids received only a measles, mumps and rubella (MMR) shot as an infant and didn’t receive the booster shot before starting school–making some people more susceptible to the current mumps outbreak than others. The good news, however, is that aside from the sore and swollen saliva glands and jaw area, it’s a fairly mild viral infection and today doesn’t pose much of a serious threat.

If you think you or your child missed their second dose of the MMR, you can get the vaccine at your physician’s office; many clinics in the Midwest are currently holding massive MMR clinics, which might be a cheaper and easier alternative for you. And if you’re scared of needles, you’re in luck–the MMR is one of the safest and most painless vaccines you can get.

With the first confirmed case of mumps reported in Colorado today, I may schedule an appointment myself. I’m a small girl and big jowls would probably be more than my head could handle.

When I was a young driver I had this idea that accidents in the snow were no one’s fault. I really have no clue where this notion came from, considering I took my behind the wheel driver’s test in ten-feet of snow. I just thought that an accident on slippery snow covered roads, would be expected so therefore no one would be at fault. I guess, this might be how a teenager thinks, at least until they learn the hard way.

Just to make it real clear, when a driver has an accident in the snow–it isn’t God’s fault–and the same liability is present snow, ice, fog or rain when we belt ourselves in and turn on the car. In fact, we have more liability when the road conditions are poor. Not understanding how to drive on ice and taking proper precautions isn’t any one’s fault except that of the driver who thinks this excuse will get them off the hook.

• Tip #1 Learn how to handle your car:
  Every car responds differently on icy and slippery roads, knowing how to handle your vehicle in various weather conditions is you responsibility as a driver. When the roads freeze up motorists should take time to practice slow-speed maneuvers on an empty snow or ice covered parking lot.
• Tip #2 Learn about your cars breaking system.
  The owner’s manual should have information about the braking system, because not all braking systems are the same. It’s important to learn which type of brakes your vehicle uses and understand how to use them.

  Anti-lock braking systems (ABS) offer the greatest advantage when driving on slick roads. But, only when used properly. If your car has ABS, it’s important to apply steady pressure to the brake pedal during the entire stop. ABS automatically pumps the brakes, when needed in order to help keep the wheels from locking. With ABS breaks never manually pump the brakes while driving for any reason.

  With cars that don’t have ABS, a driver should gently apply pumping pressure to the brakes during slippery conditions. Never apply steady pressure to your brakes this may cause the wheels to lock, and result in the car spinning out of control.

• Tip #3 Learn what kind of Wheel Drive your car has.
  Front wheel and four wheel drive vehicles handle better on slippery roads. One reason for this is that the weight of the engine is on the drive wheels, and this helps to improve traction.

  Rear wheel vehicles are more difficult to handle because there is not as much weight on the rear wheels of most cars. Vehicles with rear wheel drive tend to slip from side to side especially during turns on slick roads. Placing heavy weight in the bed of the truck or trunk may help balance the weight of your car and helps to distribute it equally.

• Tip #4 Watch your distance
  Driving on icy roads requires twice the distance to stop a moving vehicle. It is most important to steer and brake more slowly than normal. Maintaining a safe driving distance means allowing at least three car lengths between your car and the vehicle directly in front of you. Drivers should also use great caution when changing lanes and avoid cutting in front of another driver to closely especially when moving into a lane in front of a Semi truck.
• Tip #5 We can’t see the greatest risk of all.
  Black ice is ice that remains on roads in spots that don’t receive any direct sunlight. Black ice is very common on roads that wind around lakes and rivers, in tunnels, on overpasses and bridges. Black ice is usually invisible, and may appear to be part of the road itself

Photo credit for this blog entry: (no use restrictions for this photo)

Related Blogs:

• What To Do When You Are Involved In An Auto Accident
• Auto Insurance Policies 101: Optional Coverage-Collision
• Are You A High Risk to Your Auto Insurance Company?

]]> http://www.bestinsurancesite.com/other-insurance-2/five-tips-for-driving-on-icy-slippery-or-snow-covered-roads/feed/ 0 http://www.bestinsurancesite.com/other-insurance-2/no-fault-auto-insurance-the-basics/ http://www.bestinsurancesite.com/other-insurance-2/no-fault-auto-insurance-the-basics/#comments Fri, 03 Sep 2010 05:02:12 +0000 admin http://www.bestinsurancesite.com/other-insurance-2/no-fault-auto-insurance-the-basics/

In the majority of states, personal auto insurance operates under the standard fault-based system. Auto insurance pays claims based on each driver’s percentage of fault for each motor vehicle accident. Adjusters decide which driver holds the greatest degree of fault and claims are paid based on the percentage of fault each driver may share for the accident loss.

This system can lead to long and expensive court battles with judges deciding which driver is at fault in many auto accident claims. An effort to eliminate these costly court cases has lead to many states creating an alternative and using a no-fault system for auto insurance.

Some of the states that are using a pure “no-fault” system include Colorado, Florida, Hawaii, Kansas, Kentucky, Massachusetts, Michigan, Minnesota, New Jersey, New York, North Dakota, Pennsylvania, and Utah.

Under the no-fault system, when insured drivers are involved in an accident their own insurance policy will automatically pay for your damages, no matter which driver is at fault, up to driver’s policy limits. No Fault is designed to insure policy holders are guaranteed payments for the losses they suffer. But, No Fault Auto Insurance requires insured drivers to give up some of their rights to sue the other driver involved in the accident.

No-fault insurance is supposed to help lower driver’s auto insurance premiums because it reduces the number of accident cases needing settlement in the courts. There are restrictions for the recovery amounts for pain and suffering damages, and provides limited payment for losses.

In a fully no-fault system, a drivers personal insurer pays for any damages, such as the medical bills, and lost wages up to the policy limits. The drivers are then completely prohibited from suing a negligent driver for “non-economic” losses like pain and suffering, and loss of companionship.

At this time, none of the states are using a pure no-fault system. Rather, a modified no-fault system is most common. A modified no-fault system means a drivers insurance company pays for their financial damages up to their own policy limits, but still allow the insureds to sue for non-economic damages when the amount of these damages exceeds a the specified tort threshold. That threshold is established to help limit lawsuits and only require court cases for the most serious injury accidents.

In most states some element of No-Fault Auto insurance is part of the Insurance laws, the next Blog in this series will discuss in more detail what No Fault Auto insurance means to those involved in an accident.

Photo credit for this blog entry: (no use restrictions for this photo)

Related Blogs:

• No-Fault Auto Insurance: Pros and Cons
• The Contents of An Auto Insurance Policy.
• How to Get an Accurate Auto Insurance Quote
• When The Other Driver Is At Fault

]]> http://www.bestinsurancesite.com/other-insurance-2/no-fault-auto-insurance-the-basics/feed/ 0 http://www.bestinsurancesite.com/life-insurance/do-life-insurance-rates-vary-from-state-to-state-and-why/ http://www.bestinsurancesite.com/life-insurance/do-life-insurance-rates-vary-from-state-to-state-and-why/#comments Fri, 03 Sep 2010 05:02:10 +0000 admin http://www.bestinsurancesite.com/life-insurance/do-life-insurance-rates-vary-from-state-to-state-and-why/ Regardless of your age, life insurance is a necessary investment that will help protect your loved ones financial future. In order to acquire a cheap life insurance policy that provides the appropriate amount of coverage that meets your needs, it is important to understand why life insurance rates vary from state to state.

There are a number of reasons why the cost of life insurance varies among states. Each state has its own insurance codes that regulate life insurance policies. States use the codes to regulate claims and provide certain provisions to protect their residents. Each state regulates such aspects as when a claim must be paid out following a death and the time period that is allowed for a person to cancel a policy without incurring a penalty fee. As well, insurance companies also look at a number of research statistics that will help them assess the risk of death. Such statistics can include: the population rates of such health conditions as obesity, cancer, diabetes, heart disease, strokes…etc. As well, they also look at the rates of external influences causing death that can include the murder rate and car accident rate where one resides. The higher the rates of acquired illnesses causing death, then the higher the life insurance rates will likely be. If you live in a state with a low life expectancy rate, you will pay more for your life insurance premiums.

To counter the low life expectancy rate in order to acquire affordable life insurance, one can take a number of measures that puts them in a low risk category such as eating healthy, exercising, and making sure they maintain regular doctor check ups so as to detect any early stages of disease such as breast cancer and heart disease. No matter what state you live in, it is important to comparison shop in order to find the cheapest life insurance policy.