When Should You Drop Collision Insurance on a Car?

At some point, when you have an older vehicle, you might be thinking it’s time to drop collision coverage from your auto insurance policy. There are many reasons why people make this decision, and sometimes, it is best for you.

 

Collision auto insurance covers damage to your vehicle caused by contact with another vehicle or object, including rollovers. Your collision coverage in your policy will cover your vehicle regardless of who is at fault for the damage. Whether you hit a tree, collide with a building, or back into another car, this type of coverage can step in to help.

 

Most insurers recommend dropping your comprehensive coverage when your car’s value diminishes to the point that you cannot buy much coverage. However, you should always consider the effect the complete destruction or disappearance of your vehicle might have. For example, if you use your car daily to get to work, and your financial position would not allow you to purchase a replacement vehicle right away, then keeping coverage could be a wise choice.

 

If your vehicle is older, it might be time to drop comprehensive and collision coverage and put the money you are saving into an account to buy a new car when your current one can no longer go on.

 

Keep in mind that this is unique for each person and situation. For example: If your car is worth $3,000 and you have a $500 deductible, your potential payout would only be $2,500 if your car was totaled and you placed a collision claim. Using the 10 percent rule, if your collision and comprehensive premiums cost $250 or more a year, it is time to consider dropping the coverage.

 

Too many people drop coverage too early in their vehicle’s life, however. Talk to your insurer about this coverage and ways to save on your auto insurance. Do you have additional questions about your car coverage? Contact the experts at Miller Carlisle Insurance Services. Our dedicated team is eager to assist you with all your auto insurance needs today.

 

Is Choosing the Insurer’s Recommended Repair Shop a Good Idea?

If your vehicle has been involved in an accident and you have auto insurance, you can claim the expenses. However, in the process, your insurance provider may recommend using their repair shop. Should you choose to use the insurer’s recommended repair shop, or are you free to select any other repair shop? Keep reading to find out.

Are You Obliged to Stick with the Recommendation?

The general answer is – No. You don’t necessarily have to go with the insurer’s repair shop. In fact, in most of the US states, insurance companies are required to provide the customers with a choice by law. Explore your options for the perfect repair shop that caters to your vehicle’s needs and the requirements.

With that being said, choosing the insurer’s recommended repair shop often has more advantages that you might easily overlook.

Here are 4 reasons for choosing the insurer’s recommended repair shop:

Lighten Your Worry

A good insurance company’s priority is to make things easy for you. Finding a good repair shop after an accident can be difficult. So, insurance companies try to make it easy by recommending a repair shop. Such a beneficial service also serves to improve the image and reputation of the insurance company.

Have a Business Relationship

The insurer’s repair shop and the insurance company could have a good business relationship that makes services fast, smooth, and sometimes even discounted for the policyholders.

Meet the Requirements

The standards and requirements have likely been met by the recommended repair shop for insurers. This will ensure that all equipment, parts, and any other resources are readily available to fix your vehicle.

Discourage Scamming

The repair shop you choose can provide false claims about their vehicle parts and install old or damaged parts. Such an act could result in the denial of your application by the insurance company. To discourage such scams, a verified repair shop for insurers is the right choice.

You are free to choose your repair shop if you are particular about the quality and reputation. However, the pros of going with the insurer’s recommendation generally outweigh the cons. For assistance with all your auto insurance needs, contact the experts at Miller Carlisle Insurance Services.

What Differentiates Personal and Commercial Auto Insurance?

Understanding commercial auto insurance.company van

If your company owns vehicles or requires employees to drive on the job, then you need to protect your business with the right commercial auto insurance.  But what is this coverage, and what makes it different than personal car insurance policies?  Here’s what you need to know.

Personal vs. Commercial Auto

When you compare personal and commercial auto policies, you’ll notice that both types of insurance offer similar forms of coverage.  For instance, both personal and commercial auto policies will offer coverages such as collision, comprehensive, bodily injury liability, property damage liability, medical payments, and so on.  The main difference between these two types of insurance is the amount of coverage that they offer.  Because businesses face higher liability risks and have more assets to protect than individuals, commercial auto policies offer higher coverage limits and are designed to cover more complex legal issues than personal policies are.  Additionally, because businesses can use standard cars, vans, and even delivery trucks, commercial auto policies are designed to cover a wider array of vehicles than personal car insurance.

What Does Commercial Auto Insurance Cover?

Commercial auto insurance is designed to cover accidents that occur when you or your employees are using a vehicle for business purposes.  While this coverage obviously encompasses company-owned vehicles, it can also extend to your employee’s personal vehicles that they are using for business-related purposes.

Who Needs Commercial Auto Insurance?

Any business that routinely uses vehicles to carry out operations needs commercial auto insurance.  This includes businesses that handle the following:

  • Transporting goods or equipment
  • Delivering goods or services
  • Driving around clients or employees
  • Renting out company vehicles for client use
  • Hauling work-related loads
  • Towing trailers used for business purposes

Securing the Right Commercial Auto Insurance

Because heavy vans and trucks will cause more damage than standard vehicles in an accident, these types of vehicles face higher liability risks.  If your business owns vehicles that weigh more than five tons or haul more than one-ton loads, you require special commercial insurance coverage.  Vehicles that fall into this category include minibuses, cement mixers, semi-trucks, and tow-trucks.

This is what makes commercial auto insurance different than personal policies.  Do you have additional questions about your business’s insurance?  If so, then contact the experts at Miller Carlisle Insurance Services.  We are ready to assist you with all your commercial coverage needs today.

Can Kids Stay on Your Auto Insurance Forever?

What parents should know about insuring their kids on their auto insurance handing female driver car keyspolicies.

When your child got their driver’s license, you probably added them to your auto insurance policy because it was the easiest and most affordable way to get them covered.  However, now that they are growing up and setting off on their own, you may be wondering about your ability to keep them insured on your policy.  Here’s what you should know about parents’ keeping their kids on their auto policies.

  • Auto Insurance Residency Requirements

Where you live is the most important factor for auto insurance companies who cover multiple drivers on the same policy.  Usually, car insurers will allow parents and children to remain on the same policy as long as they all reside at the same address.  This means that many insurance companies will let children stay on their parents’ policy as long as they still live at home.

  • When Your Child Moves Out

Once your child officially moves out of your home, they are legally required to secure their own auto insurance policy.  Prior to their move, make sure they secure their own policy and inform your auto insurance provider so they can remove your child from your coverage.  Please note that attempting to keep your child on your policy by lying about their new address is an act of fraud.  Should the insurance company find out about this, then you risk being denied claims coverage and having the policy canceled altogether.  So, if you do not want to lose your coverage, be upfront about your child’s changing living situation.

  • Residency Exceptions

There are some exceptions to the residency rule.  For instance, if a child is leaving home to attend college, then they can still remain on your policy.  This is because your home is still probably your child’s primary residence.  The other exception to this rule is children of divorced parents.  If you and your spouse are divorced, then you can still list your child on your auto policy, even if they only live with you for a portion of the year.

This is what you need to know about keeping your child on your auto insurance policy.  Do you have additional questions about your car coverage?  If so, then contact the experts at Miller Carlisle Insurance Services.  We are ready to assist you with all your personal insurance needs today.

Do Drivers with Health Insurance Need Uninsured Motorist Coverage?

Do drivers need both types of coverage to be protected?smashed car with airbags

No one wants to pay more for auto insurance than they have to.  This is why many drivers look to save money by cutting down on coverage.  For instance, many drivers don’t want to pay for uninsured motorist coverage, assuming that their health insurance will be enough.  Unfortunately, this isn’t the case.  Here’s why drivers can’t afford to skip out on uninsured motorist protection.

  • What is Uninsured Motorist Coverage?

If you get into an accident with an uninsured individual, they will not have coverage for your injuries or vehicle repairs.  Additionally, most uninsured motorists do not typically have assets, meaning that the driver probably won’t be able to cover your accident recovery costs out of pocket.  This is where uninsured motorist coverage kicks in.  This form of insurance will provide coverage for things like your car repairs, medical treatment, and so on.

  • Why This Coverage is Important

If you already have collision and health insurance, then you may feel like uninsured motorist coverage is unnecessary. However, it’s important to understand that this coverage extends further than your existing policies.  Specifically, uninsured motorist coverage offers more benefits that your health insurance.  For instance, your health plan will only cover the cost of your medical treatment.  However, what happens if you can’t work due to your injuries, or if you are suffering mental and emotional trauma following the accident?  With uninsured motorist coverage, you will have coverage for your medical treatment, rehabilitation, lost wages, and reparation for your pain and suffering.  With these extended benefits, it’s easy to see why it’s worth it to carry uninsured motorist coverage.

This is why drivers need the protection offered by uninsured motorist coverage.  Do you have more questions about your auto insurance?  If so, then contact the experts at Miller Carlisle Insurance Services.  Our dedicated team is eager to assist you with all your coverage needs today.

What to Do When Switching Auto Policies

Take these steps when switching to a new auto insurance policy.looking up auto insurance online

There are many reasons why you may want to switch to a new auto insurance policy.  For instance, you may be moving to a new state, want to set higher coverage limits, or want access to cheaper rates.  Whatever your reason, it’s important that you don’t leave yourself vulnerable during your insurance transition.  To maintain your coverage, here are some of the important steps to take.

  • Determine Your Best Time to Switch

The easiest time to change insurance carriers is when your current policy is up for renewal.  At this point, you will simply inform your carrier that you do not want to renew your policy.  Then, all you need to do it ride out your remaining coverage period, and your policy will be officially canceled.   However, you also have the option to cancel your auto policy outside of renewal periods.  All standard auto insurance policies include a provision that allows you to cancel your policy at any time, so long as you give your carrier proper notice.  Cancelation protocols are different for every insurer, but many will prorate your latest premium up to your cancelation date.  Additionally, many insurers will charge you a cancelation fee to cover administrative costs associated with canceling your coverage mid-cycle.

  • Choose and Activate Your New Policy

It’s not advised to cancel your auto insurance policy before having a replacement in mind.  When shopping for a new auto insurance provider, make sure you secure several quotes so you can compare different carriers’ coverage options, coverage limits, deductibles, discounts, and so on.  Once you have found your new auto policy, it’s important that you sign off on this coverage before taking steps to cancel your old policy.  While your coverage will overlap for a short period, taking this precaution will help you avoid any gaps in your car insurance.  Because coverage gaps equate to higher auto insurance premiums, it’s actually more cost-effective to pay for double-coverage temporarily than risk a gap in your insurance record.

These are some of the steps that you should take when switching auto insurance policies.  Do you have questions about your car coverage?  If so, then contact the experts at Miller Carlisle Insurance Services.  Our agents are ready to assist you with all your coverage needs today.

How You Can Lower Your Auto Insurance Rates This Year

Easy ways to lower your auto insurance rates in 2020.toy car next to calculator

Now that the new year is here, it’s time to start working towards your resolutions.  If you challenged yourself to spend less money this year, then you may be looking for ways to cut costs.  One way that you can save money is by lowering your car insurance premiums.  To save on your auto coverage, try out these suggestions.

  • Pay Your Premiums All at Once

Typically, auto insurance premiums are given in six-month terms.  While you have the option to pay your premiums in monthly installments, you may be able to save by paying your premium all at once.  Many car insurance carriers offer discounts to policyholders who agree to pay the whole six-month premium upfront.

  • Bump Up Your Deductible

Your deductible is the amount of money that you agree to pay towards insurance claims before your coverage kicks in.  The higher the deductible you assume, the lower your premiums will be.  If you can afford to increase your deductible this year, then do it so you can save on your auto policy.

  • Cut Back on Driving

The more you drive, the higher your auto insurance premiums will be.  This is because the more you drive, the higher your risk for accidents and vehicular damage.  By cutting down on the miles you put on your car, you can actually reduce your auto insurance premiums.  As an added bonus, driving less also saves you money on gas and helps the environment.

These are some of the policy and life adjustments that you can make to save on your auto insurance this year.  Do you have more questions about your car coverage?  If so, then contact the experts at Miller Carlisle Insurance Services.  We are ready to assist you with all your auto insurance needs today.