Information about car, auto, motor and lorry insurance
Car Insurance : all you have ever wanted to know and even more. Find out !
Antique cars, classic cars, motorcycles and insurance
The biggest concern that owners of classic cars have when insuring them is getting back the full collector value of the car - not just the book value. For example the book value on a 1965 for Mustang convertible may be $ 500 for an unrestored car. However, the car may be worth $ 10.000 in restored condition. Read the sections below about antique cars, classic cars, motorcycles and insurance.
Americans have a love affair with cars, and since Americans own more cars per capita than any country in the world, a good place to begin examining insurance risks is to look at those associated with the ownership, maintenance, and use of our beloved PTV (personal transportation vehicle). Unless you walk around with a loaded gun in your pocket, an automobile represents the most dangerous device you own. In one split second, you can experience lawsuits, death, long-term disability, major medical expenses, and major property darnage ! Pretty scary stuff! (source: Insurance for Dummies).
Americans and their cars
An accident is an unexpected, unforeseen event not under the control of the insured and resulting in a loss. The insured cannot purposefully cause the loss to happen; the loss must be due to pure chance according to the odds of the laws of probability. For example, under a PERSONAL AUTOMOBILE POLICY (PAP) if an accident occurs, the insured is covered for loss due to his/her negligent act or omissions resulting in bodily injury or property damage to another party (source : Dictionary of Insurance Terms)
What is an accident ?
Insurance and car rental
Renting a car, whether for business or for pleasure, puts you face-to-face with risks that your Personal Auto policy sometimes does not cover. Here are the four main sources of liability you face when renting a car:
• You have direct liability for injuries or property damage that you cause to others while operating the rental car. If you run a red light and injure others or damage their vehicle, for
example, you're at fault and responsibIe. No surprises here.
• You are directly liable for damage to the rental car that you cause by your negligent driving. If you run a red light and damage the rental car, for example, you're responsible for the
repair costs.
• You are responsible for damage to the rental car - damage that you did not cause but for which you agreed to be responsible when you signed the rental contract. Every rental contract I have ever looked at makes the renter absolutely liable for all damage regardless of fault! This clause has always been non-negotiable.
This means that you are responsible for damages such as hall damage, someone else running a red light and hitting you, someone vandalizing the car by keying it, or someone hot- whiring the car and stealing it. In short, if you return the car with any darnage at all, you owe. With the cost of new cars today, that could mean more than $25,000 if the car is totaled or stolen.
• You are liable for the loss of revenues the car rental agency suffers as a resuIt of the car being unavailable to rent while being repaired. Again, you will owe this loss-of-revenue regardless of whether you actually caused the damage. You agree to be responsible when you sign the contract.
Here's a tip for the car rental industry: If you want to attract new customers, offer more reasonable contracts. (source: Insurance for Dummies)
Optional coverage : stated amount coverage
5 tips for motorcycle insurance
1. Buy the same liability insurance limits for injuries and property damage to ot hers that
you buy for all your other insurance coverage (home, boat, cabin).
2. Likewise, buy the same liability limits for guest passengers riding with you, if those
limits are available. If they're not, don't carry passengers!
3. Avoid lay-up periods, during which all coverage except Comprehensive is suspended for
a small premium credit. It's simply not worth the risk of you forgetting and accidentally
driving during the lay-up period, such as on an unseasonably nice day in February, with
no insurance.
4. Avoid buying more medical coverage than state law requires. It simply duplicates the
heaIth insurance you already should be carrying. Following this tip will save you quite
a bit of money on your cycle insurance.
5. If it's available in your state, carry Uninsured and Underinsured Motorists
coverage in limits equal to your liability limits.
IF YOU WANT TO KNOW THE OTHER GREAT TIPS THEN BUY INSURANCE FOR DUMMIES (CLICK BELOW) ! A GREAT BOOK WITH HANDS ON INFORMATION !
Example : a classic car is stolen
Appraiser. The Mustang is then listed on the policy for $ 10.000 and you pay a premium based on that $ 10.000. (source: Insurance for dummies, jack Hungelmann).
This is how it works: you collect and send to your insurance company both interior and exterior photos of the car and a market value appraisal from a competent
TIf the car is stolen, how much do you expect to collect? $10,0007 Not necessarily likely. Stated amount coverage pays the market value of the car at the time of the loss, not to exceed the stated amount (in this case, $10,000). People who buy stated-amount coverage mistakenly expect to receive the appraised value of the car if it is stolen or totaled. In the case of the Mustang, however, if the market has recently soured and the market value of the car is $6,000, you receive $6,000 - not the $10,000 that your premiums have been based on. Now assume that the market for the Mustang has improved, and the car's value is now $13,000. How much will you receive ? Unfortunately, $10,000 - not the $13,000. This does not make for a happy camper! (source: Insurance for dummies, jack Hungelmann).
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Insurance for dummies
One of the main sources of this website is the very informative book ‘Insurance for Dummies’ by Jack Hungelmann, Packed with real-life examples, expert author Jack Hungelmann guides the reader through the traps and loopholes of the insurance system. Discover what policy combination is best for your needs and where you may have gaps.Find out how to reduce your risk and your insurance costs. Learn how to make the most of your insurance policies and what to do when there's a crisis. Click on the picture to see the special price for this book and order online