Monthly Archives: January 2017

The Problem of Obtaining Car Insurance for a Child Who Resides Equally With Both Parents

Divorce presents special problems when it comes to insuring teen drivers. Teens today are likely to spend equal time with both parents. There are numerous combinations of persons of stepfamilies and alternative living arrangements as our ideas about the composition of a nuclear family continue to change. As a result, teens may have access to vehicles at more than one household Questions about liability and insurance coverage while a teen is behind the wheel of any number of potential vehicles mount quickly. Which of two separated parent provides car insurance? Is a parent, their new spouse, or boyfriend or girlfriend living in the household liable in the event the teen is involved in an at fault accident? What steps can be taken to protect your teen and yourself?

Understanding a few general ideas may help you to wade through the murky waters of auto insurance and liability protection where you are divorced and are responsible for a teen driver.

1. The Family Car Doctrine – When a teen is operating a vehicle that you own the teen or anyone else for that matter is presumed to be your agent. This means that if there is an accident, not only is the driver responsible, but you as the owner have liability as well as the owner of the vehicle.

Further, if the teen lives in your household, the parent-owner is liable to a person injured in an accident that is caused by the negligence of a teen driver to the same extent as the teen driving the car. This is called the “Family Car Doctrine.” The ex-spouse, living in a separate house, who has no ownership interest in the car that the teen is driving, is not responsible.

As you can imagine, there may be issues as to whether or not a teen was living primarily with you or with your ex-spouse. However, if you keep in mind that any person operating your car with your permission is acting as your agent and that you may have personal responsibility for an accident as the owner of the car, then the issue of where the teen resides may become less important.

2. Insurance First Follows the Car – A second idea to keep in mind is that liability insurance first follows the car that is being operated by the teen. In other words, the insurance on the car being operated by your teen is the primary insurance coverage. It offers protection to your teen as the operator. It covers you as the owner. Your teen may have other insurance that provides insurance coverage through your ex-spouses household where he might reside. This would be secondary insurance. You as the owner may have an umbrella or excess policy, which would also be a form of secondary insurance.

3. The Insurance Application is Critical- This is the point where these ideas come into play. The premium that an insurance company charges for auto insurance is based on the risk of the insured driver being in an accident. Assessing this risk begins with a review of the insurance application. When making an application for insurance it is critical to answer truthfully all of the questions. These questions will deal with your teen driver.

Commonly the application for insurance will ask the names and ages of all of the members of the household. The insurance company will seek information regarding any children of driving age living in the house. The application will ask whether or not the teens that are living in the house will actually be driving the insured vehicles.

Clouds of uncertainty can set in. Whether out of fear of a higher premium or with the thought does not spend enough time at your household or is covered under son or the other parent’s auto policy, may lead you to not disclose your child as a member of the household. Caution: if you do not disclose your teen and she or he is then in an accident while driving your vehicle, the insurance company may deny coverage. This means that your assets may be at risk.

4. Excluded Drive – There are methods to address the problem or expense or the fact that a teen is covered under another policy. You may decide to specifically exclude your teen from operating your vehicles. For example, you and your ex-spouse might decide to allow your teen to drive a car at one household and apportion the insurance premium between the two of you. This is a common solution to the high cost of insurance. However, if you are the parent who has the excluded driver provision, you must never let your teen drive one of your vehicles. In the event the excluded teen driver is operating your car and is in an at fault accident, the insurance company will likely deny coverage to both you and your teen.

5. Dual Coverage – A more expensive, but more secure way to address teens driving in two households is to have the teen identified on the application as a driver in both households. Yes, this option can be incredibly expensive. However, it is the most secure way to protect your assets through insurance coverage for a teen behind the wheel.

Divorce presents special problems when it comes to teen drivers. The issue of automobile liability coverage can be complicated. Money is often tight in a divorced household. However, most certain method of protecting your personal assets while a teen is behind the wheel is to have the teen identified and insured on the auto policies for vehicles in both households. To cut costs, a fall back position might require excluding the teen as a driver in one household. While a sensible choice, it may not be practical because you cannot let the teen drive your vehicles. If you allow your excluded teen to drive your car and should he or she then be involved in an at fault accident, the insurance company nay not provide insurance for the teen or for you.

How to Protect Your Car Against Damages With the Help of Comprehensive Car Insurance?

Owning and running a motor vehicle can be expensive. But being left without your car for any number of reasons can be even more expensive and very stressful, particularly if you haven’t taken out car insurance.

Insurance is very crucial for every car owner because it protects you from future unexpected problems. However, shopping around for car insurance can be confusing and frustrating, especially if you are a first-time car buyer. It is because you have to understand the different types of insurance policies that are available in the market. You also have to decide which policy is essential for you and which one isn’t.

When you are in the insurance market, you must opt for the policy that protects you against several damages. Comprehensive car insurance coverage is one such policy that provides coverage against a wide range of unexpected and unpredictable damages to your car that are not related to a collision (you have not struck another vehicle). Here is a list of what can cause damage to your car:

>> Theft

>> Vandalism

>> Fire

>> Natural disaster (e.g. storm or flood)

>> Falling objects

>> Damage done to your car by animals

>> Damage done to your car as a result of civil disturbance (e.g. riot)

Why Buy Comprehensive Car Insurance?

It is a very interesting question you may ask yourself as you shop around for insurance. Here is a list of questions to think about when deciding to buy comprehensive car insurance coverage:

1. Does your Lender require Comprehensive Car Insurance?

If you purchase or lease your new car and you got finance from a lender, you should check with the lender that holds your car loan or lease to make sure if the insurance is required.

2. How Old is your Car and what is your Car’s Worth?

If you have an older car and it is not worth much money, you may be confident that you can afford to repair or replace your older car. In such a situation, the insurance policy is not necessary for you. Comprehensive car insurance coverage can be a very smart investment for those people whose car is worth a huge amount of money. It is also ideal for those who don’t have the money on hand for repairs or replacements after an accident.

If you are still tempted to avoid insurance, you should weigh up your options between paying insurance premiums against how much money it will cost to repair or replace your car. It is always better to choose a safer option. Remember that comprehensive car insurance coverage will provide you the peace of mind knowing that you will be protected in the event of any unforeseen damage.

Online Car Insurance Quotes

Houses are the most expensive investments that a person can make, but it has been said that the next most expensive investment is be a car. These pieces of property are so valuable and expensive that people opt to enroll them in insurance plans.

Shopping for car insurance can take some time. After all, you want to have the best insurance for you and your vehicle. It is a good thing that there are online car insurance quotes to assist people shopping for car insurance.

What Are Online Car Insurance Quotes?

The estimated amount that a person has to pay for an insurance plan for his or her car is a car insurance quote. Those car insurance quotes services that are offered on the Internet are called online car insurance quotes.

Online car insurance quotes give people an approximation of how much they might need to pay for the insurance premium on a given car. The online car insurance quote is actually based on information that the vehicle owner provides. The service or the website itself does the computations.

How Do You Obtain the Best Possible Rate for Your Car Insurance?

Car insurance can be pretty expensive. However, if your car is well equipped with safety features and works well, you may be given a much lower rate. When you access online car insurance quotes websites, you are asked to provide information like the vehicle identification number of your car, your driver’s license number, insurance policies that the car already has, and how much or how often you use your car. This detailed information can provide discounts that you might see on your online car insurance quote.

Will Your Car Insurance Travel Well?

If you are planning to drive abroad in the school holidays you need to check exactly what type of car insurance cover you have.

A lady in London was shocked by how much she had to pay out for two minor accidents, even when she had bought insurance for her hire car. The two small scrapes, breaking a headlight and bumping the left wing of her car against a second rental car when parking, would probably have cost her little more than £100 each. Instead, she ended up paying out £1,237 in excess penalties.

When you rent a car in the UK or on abroad, the price includes fully comprehensive insurance but many people are not aware of the inflated excess charges which can be as high as £1,000 on the continent. Online provider, insurance4carehire, confirms this saying almost four out of 10 holidaymakers don’t know that they could be liable for these costs.

One way to get the cover you require without is to pays around £69 for an annual standalone policy, available from companies like insurance4carhire which covers all eventualities (including damage to underbody, tyres and windows, which are usually excluded in excess-waiver policies from car hire companies).

Every year three million British drivers set off to the continent, yet the price comparison website uSwitch says that two thirds aren’t sure if their insurance covers them or not. Apparently, ten per cent of Britons embark upon a driving holiday with the somewhat cloudy and incorrect notion that driving accidents are covered by our travel insurance. Remember to read the small print, whether you are hiring a car or driving your own.

Mistake number one, if you are driving your own car, is to assume that your own fully comprehensive insurance necessarily provides the same level of cover when you are not in the UK. It does not. EU law only states that insurers are obliged to provide the bare minimum – which means third-party cover. This, of course, will not protect against accidental damage, theft or accident claims and only pays out for damage sustained to another person or car.

Ashton Berkhauer, an insurance expert at uSwitch, reckons that very few of the main providers offer free cover more than three days. The exceptions are eCar and Saga, which both provide driving cover abroad for 365 days a year. Barclays it will charge you £21.50 for up to 90 days’ cover, and with Admiral it will cost you £9 for four days and £17 for up to 30.

Paul Baxter of Tescocompare.com recommends that drivers should also make sure they have adequate breakdown cover. Breakdown cover in the UK can cost as little as £30 a year, and the cheapest Europe-wide policy is £69, this covers an annual trip of up to 31 days in Europe (IC Breakdown relating to a 30-year old man driving a Ford Focus with an annual mileage of 12,000).

However, Peter Gerrard of price comparison site Money-supermarket.com points out that some of the less expensive policies (not including IC Breakdown) are fairly stripped-down and you have to pay when the breakdown occurs, then claim the cost back on your return. Single-trip policies can also be bought for about £42 from the RAC, AA and Europ Assistance.

6 Types Of Auto Insurance Coverage That First-Time Car Owners Need To Know

But, it still doesn’t take away the importance of covering your car with a good auto insurance plan, since you don’t know what will happen to your car later.

For instance, in the time of a big accident, you need to pay all of the fixing up costs by yourself if you don’t cover your car with a good car insurance plan. Thus, you don’t need to pay a dime just to get your car fixed when accidents happen. It is also the same with other unexpected things, such as theft, disaster, and faulty vehicle.

Here are 6 types of auto insurance coverage that first-time car owners need to know:

1. Accidents. Accidents happen at unexpected times. It can be caused by your own recklessness, or it can be caused by the recklessness of other drivers. Also, accidents can happen because of disasters, such as floods or fire. The point is that if your car is damaged because of any accidents, the auto insurance company will cover the cost of repair for your car.

2. Faulty car. Maybe, you are driving for a few miles down the road, and then in the middle of your travel, your car is faulty. The engine is in trouble and the car cannot move, or your tire is flat. This can become quite a problem for you. But fortunately, the insurance company will cover the cost of repairing your car in this emergency situation. Some companies might also offer roadside assistance for their clients.

3. Car make and model. The make and model of your car will also affect the type of car insurance that you get. If you have a brand new car, or if you purchase a luxury car, you will have a better coverage for damage. But, you need to pay more for the premium, since it might cost more money to repair the damage of your car. This is different if you buy a second-hand car with long mileage.

4. Personal fault. Sometimes, you might be driving your car, and because of your carelessness, you might cause an accident with other cars. Other cars may sustain some damages because of the accident, and other drivers may also need to be sent to the hospital. The car insurance plan usually provides the coverage cost for the car damage or medical problems caused by your personal fault.

5. Non-insured driver. The auto insurance company also offers the coverage for non-insured driver at the time when the driver causes an accident that creates damages for other cars. In this way, you don’t need to pay all the financial burdens by yourself, since the car insurance company will cover the cost for you.

6. Driver’s experience. If you are not too experienced with cars, then you might fall into the high-risk category for the car insurance company, since you will most likely to have accidents on the road. Thus, you usually need to pay more premium costs, but in exchange for that, you get better coverage for any damage. If you are already an experienced driver, you will fall into the low-risk category, and you will pay lower insurance costs since you may not file insurance claims often.

If you are participating in a car insurance plan, such as Good to go car insurance, your repair costs can be paid fully by your insurance company. You can check Good to go car insurance for more information.