WHAT THE LAW MEANS FOR DRIVERS
WHAT DRIVERS NEED TO KNOW
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EMERGE INSURANCE AGENCY: 904-677-5884
Comprehensive insurance is optional coverage that protects you in the event your vehicle is damaged due to something other than a collision. This includes theft, vandalism, flood, hailstorm, and fire. In some states, comprehensive coverage includes glass replacement with no deductible—this varies by state, so make sure to ask about the specifics when you purchase your policy.
Comprehensive coverage is usually sold with a deductible amount. A deductible is the out-of-pocket expense the insured agrees to pay before any payment from the insurance company kicks in. Deductibles of $250, $500 or $1,000 are fairly common. As a general rule of thumb – the higher the deductible, the lower the corresponding coverage premium. Although comprehensive insurance is not required by any state, your lending institution may require this coverage if you are financing your auto in order to protect their insurable interest.
If you are financing your auto—depending on the term of your loan—it is possible that the vehicle will depreciate more quickly than the value of your loan. Keeping track of your vehicle’s depreciation value can help assess the benefits of paying the difference to the lender or purchasing gap insurance, which covers the difference between a vehicle’s actual cash value and the sum owed to the lender.
EMERGE INSURANCE AGENCY
“Why did my insurance premium increase? I haven’t been in an accident, gotten any tickets, or made changes to my policy.”
Sound familiar? This question is one insurance agents receive all the time. When the cost of your car insurance goes up at renewal, the increase can feel unjustified — especially if you’ve been insured with the company for a long time and haven’t had any tickets or accidents. I felt the same way when the cost of my auto insurance increased by 28% last year (yes, insurance agents are impacted by premium increases, too!).
But before switching insurance companies, there are two important things to keep in mind. First, rate increases aren’t unique to any one insurance company or geographic area. Premium increases are impacting drivers across the country for a variety of reasons. Second, and more importantly, there are things you can do to off-set any premium increase you receive.
(Watch: ABC News Report “Auto insurance costs rise, in part due to texting by drivers”)
Why are insurance companies raising rates?
At its most basic form, the premise of insurance is sharing risk and shouldering costs with others. Although your individual circumstances or driving behaviors may not have changed, all of us are impacted by the following:
How Can You Lower Your Car Insurance Premium?
Most importantly, drive carefully. Observing traffic rules and speed limits and avoiding moving violations and accidents is the best way to reduce your insurance costs over time. There are also many immediate solutions to lowering your auto insurance premium:
Emerge Insurance Agency Can Help
As independent insurance agents, we represent the Pacific Northwest’s best insurance companies, including Safeco, Travelers, Progressive and other top-rated companies.
We can advise you on your insurance options and ensure you’re still receiving the combination of value and protection that is right for your family.
Not a Emerge Insurance Agency client yet? Click here to request an insurance review by one of our agents, or call our office at 904-677-5884.
Florida has the worst drivers in the United States
A study released last year has confirmed that Florida is the worst place to drive in America.
The study, released by the website SmartAsset, studied every state's propensity for driving tickets, traffic deaths, DUI arrests, and uninsured drivers, and ranked them all from worst to best. Florida was ranked the worst place to drive in the nation.
The study revealed that Florida has the second-lowest rate of insured drivers in America, likely due to the high number of recent immigrants in the state. Perhaps surprisingly, there are actually fewer DUI arrests per capita here than in most states.
The study confirms what anyone with eyes in Florida already knows: Everyone here drives like a maniac. Of the 25 worst states in the nation, Floridians Google the words "speeding tickets" and "traffic tickets" significantly more than any other state. (Granted, this isn't an actual count of traffic tickets issued, but it does hint at the overall number.) Florida outpaced the next-highest state, Alabama, by 15 points.
So the next time you wonder why your auto insurance premium continues to increase while you haven’t had an accident or ticket, remember you live in Florida.
EMERGE INSURANCE AGENCY
Cecil Williams -