Auto Insurance Term » Auto Insurance Policy

Information About Travelers and Short Term Auto Insurance

admin — Sun, 27 Dec 2009 13:42:27 +0000

Are you a regular traveler who loves to take road trips? Then you are aware of the need for travel insurance policies. You may already know there are many possible risks involved and if you purchase this type of auto insurance coverage for every single trip you take you probably will be wasting your time, effort and money. All you need to do if you are a regular traveler by car is to purchase an annual travel insurance plan that will save you a lot of money in the long run.

If you have never bought an annual travel insurance plan there are a few basics that you should use when choosing the proper insurance plan. There are certain guidelines that will assist you to comprehend your vehicles insurance needs in this specific type of policy.

Since insurance coverage minimums and maximums vary from state to state, you need to be aware of the best insurance for your traveling needs. As always, the best way to find the type of insurance coverage you need is to go on the internet and comparison shop. When doing this you should make sure that the insurance you are purchasing will cover the different requirements of each state you are traveling through. It would be wise to chose one of the top insurance companies that have offices and representatives in every state so that if you are in an accident all you have to do is call your insurance company’s 800 number to locate the nearest representative and report the accident.

If you are a person who travels a lot for business or pleasure you should always have the car rental option on your policy. Then when you are in an accident, no matter where you are, you will not be stranded without an auto. You insurance company will provide you with a rental car while yours is being repaired. If your auto is totaled in an accident you will be provided with an auto to finish your trip and then come home. Also, the towing and special roadside needs is something you should also have on your auto insurance policy and these options will keep you from being stranded in some strange place far away from your home with no one close to call for assistance.

Short term coverage may be the type of coverage you need versus long term insurance. This would protect you when you needed to have someone else drive your vehicle for a few days, or when you need to borrow someone else’s vehicle for a short while. You can purchase short term insurance for a day, a week or a month saving you having to go through lengthy paperwork or extra costs just to make a minor change to your already existing policy.

Of course, you should have the main types of coverage on your policy, such as, comprehensive, liability, collision and uninsured or underinsured motorist. This way you and your property will always be protected no matter where you are.

By: Otto Ingrid

Short Term Car Insurance Solves Temporary Coverage Needs

admin — Sun, 27 Dec 2009 10:26:50 +0000

For the majority of car owners, there comes a time when general automobile insurance simply does not meet their needs. As important and necessary it is to have full coverage in most situations, the fact of the matter is that there are circumstances that warrant a more temporary solution. Many of us have faced the difficult decision of whether to pay the full insurance costs or to simply take the risk of not insuring a vehicle for a period of time.

Rather than fret about making this kind of decision, a number of auto insurance companies have introduced an alternative insurance product to the market. This type of temporary insurance coverage is referred to as short term car insurance.

Temporary automobile insurance was created to fill the gap in situations that do not quite warrant a full policy to cover a vehicle. One of the most common of these types of circumstances happens while on vacation. If you do not have a current insurance policy that covers rentals while on vacation, the temporary auto insurance policy may be the perfect fit.

A rental vehicle is one of the last places that you don’t want proper coverage. On vacation you are often driving on unfamiliar terrain in an unfamiliar vehicle. This typically won’t add up to the highest probabilities of safety. Rather than take the personal liability for both the rental vehicle and the other driver’s car in an accident, you can safely insure yourself for the duration of your vacation.

Temporary coverage is exactly as it sounds, temporary. You can cover your liability for whatever duration you need, and not go through the hassle of trying to increase your current policy or apply for a new policy.

Another circumstance in which temporary car insurance is very helpful is during the new car buying process. During this period you may find yourself searching for the best auto insurance policy that you can. Rather than waiting until you find the right policy to purchase your car, you can make the decision on your own time.

Temporary auto insurance allows you to cover your new vehicle while you are searching for a more permanent policy. Because you have proof of insurance, you will be able to register your vehicle with the state and also legally drive the vehicle on the road. And let’s face it, if you just purchased a new vehicle, you are going to drive it.

By: Edward T. Richards

Short Term Car Insurance Tips

admin — Sat, 26 Dec 2009 17:09:26 +0000

If you are thinking about short term car insurance, there’s a very good chance that you may not even need it. If you are renting your car, the rental company will offer you the following services, each of which you probably already have:

-Liability coverage: If you already own a car you have liability insurance, which transfers over to your car.

-Loss Damage Waiver: If you already have both collision and comprehensive coverage on your own car, you do not need this type of coverage.

-Personal effects coverage: If you have homeowners insurance, it will cover loss to property not just in your house, but in other cars as well. However, if the personal belonging you want to insure is very expensive, you have to fill out a separate floater to cover its value.

-Personal accident insurance: If you have your own health insurance, Personal Injury Protection, or Medical Payments Coverage, you do not need this rental company’s extra charge.

To be 100% sure that you are covered it’s a good idea to check your car insurance policy and to call them if you are not sure about anything. Your credit card company may also pay for your insured car, assuming you use this credit card to pay for the rental. Although this may all sound complicated you’ll end up saving boat loads of money off of rental place who just want to make some money off of you.

What happens if you borrow a car? If you own one yourself your car’s policy will carry over to the borrowed car. If you borrow a car and have no car insurance by yourself you’re going to want to purchase a non-owners auto insurance policy.

By: Nickolay Lamm

What is Short Term Car Insurance?

admin — Thu, 24 Dec 2009 00:57:25 +0000

There are times when you simply don’t need a six month insurance policy, but you need some sort of short term car insurance. Luckily, there are companies out there that do provide such a service. This is great for people who only use cars every once in a while. Not only will it cover the cost of the repair of the car if something were to happen, but it also prevents the driver from receiving a heavy fine for driving uninsured. It is, after all, illegal to drive without car insurance, and for good reason. Things happen, people want their cars fixed, and the last thing you want is to go to court because of a simple mistake.

Short term car insurance can last anywhere from a day to six months, depending on how long you’re going to require it. This is much more economical than paying for a full six months of insurance on a car that you’re only going to use for a week. Depending on the company providing the service and the policy they issue, the premium may be collected monthly or in advance. Coverage can begin immediately upon receiving the policy, or on an established, agreed upon date, depending on exactly what the needs of the driver are. Just like a normal, long term, full coverage auto insurance policy, short term car insurance includes uninsured and under-insured motorist protection, physical damage, and of course the obligatory liability insurance that is required by law. Some policies even cover medical payments for passengers. Auto insurance companies generally charge a flat rate for short term car insurance, and this rate is often less expensive than normal car insurance. Extras such as roadside assistance may also be available, depending on the company and policy. There are no contracts, and the only thing needed to cancel the policy is generally a written request.

By: Luke Duncan

Terms Relating to Car Insurance

admin — Sat, 05 Dec 2009 00:38:32 +0000

The following list of terms are commonly used in the field of car insurance. Being familiar with them will help you understand your minimum lawful requirements when it comes to taking out your annual personal auto insurance policy if you are based in the US. The definitions also relate to auto insurance in general across many countries however, so you may find it useful to take time and check if you are familiar with their meanings.:

Uninsured/Underinsured Motorist This generally represents the level of cover provided for yourself, and relatives and other occupants that may travel in the insured vehicle, in the event that some or all of you sustain bodily injury in an accident in which the driver of another motor vehicle is legally responsible and does not have insurance (uninsured) or does not have enough insurance (underinsured). In the US state of Nevada, for example, state law requires that this cover must be offered by an auto insurance company to the insured (Statutes 687B.145(2)), but does not have to be accepted by the insured ie. it is not part of the mandatory minimum liability cover required under the law of that state. Diminution in Value This refers to the possible reduced value of your car after damage and repair. The rule in general is that a vehicle that has never been in an accident may, in some cases, be considered more valuable than a fully repaired vehicle. If your insurance policy provides for collision or comprehensive coverage under which your vehicle is being repaired, the loss to your vehicle will be measured by the language in the policy, and may not include any diminution in value. For claims against negligent parties’ property damage liability policy, such loss of value may be compensable under some circumstances. Medical Payments This component of your personal car insurance covers the costs of all reasonable and necessary medical expenses, without regard to legal liability, that may result from accidental bodily injury while driving, or being a passenger, in an insured vehicle during an accident or indeed being struck as a pedestrian by a motor vehicle. “MedPay” is generally bought in nominal amounts, such as $1,000, to provide a means for quick payment of minor medical bills without having to deal with the courts or other insurance companies. This cover, like the uninsured/underinsured cover must be offered by the insurance company in most US states for example (eg. Nevada Revised Statutes (NRS) 687B.145(3)), but does not have to be accepted by the insured. Bodily Injury/Property Damage Liability This cover protects you financially if you injure someone else or damage someone else’s property while driving your car. You must be legally liable for the injuries or damages to activate these coverages. Most countries around the world enforce a minimum level of public liability insurance for this very reason ie. it is to protect other people namely from your potential dangerous mistakes. All US states requires that every driver carry some minimum level of liability insurance.

By: Jon James J.

Short Term Car Insurance

admin — Wed, 02 Dec 2009 17:43:28 +0000

Short term car insurance is a type of auto insurance policy that has a validity period ranging from one day to 11 months. Although a short-term policy cannot replace permanent insurance of car, it will enable you to meet legal requirements to drive a car. Moreover, this insurance policy does not interfere with your other existing long term policies.

What are the Benefits of Short Term Car Insurance?

The distinctive benefits of car-insurance (short-term) are:

These policies are processed within minutes of submitting the form. This enables you to get the protection almost instantaneously, which is in contrast to that for a standard car insurance policy. Insurance companies offer policies with different time periods. You can select a policy for exactly that time period for which the car will be in use. You can add your new car and the vehicle that you may use on a temporary basis under the same policy.

What Vehicles Are Covered Under Short Term Car Insurance?

Following vehicles can be covered under the short-term insurance for car:

Classic cars Modified cars Kit cars Campers Vans

While other vehicles can also be covered under this policy, additional fees or coverage may be required for them.

Eligibility for Short-Term Car-Insurance

To be eligible to get short term cars insurance, you must:

Be aged 21 years or above. Not have received more than six penalty points. Not have faced disqualification over the past five years. Not have made more than one claim in the past three years.

When to Choose Short Term Car Insurance

Some of the typical scenarios when you may need to opt for short term car insurance are:

You have bought a car and are awaiting its long-term insurance to come into effect. Your car’s old insurance policy has expired and the new one is still in the processing stage. You want to add another driver for your vehicle. You are driving a car that does not belong to you.

By: Kitz S

Understanding Auto Insurance Jargon

admin — Wed, 04 Nov 2009 02:41:12 +0000

When reading through an auto insurance policy, it can seem almost impossible to understand. This is because there are various words that we do not use in our everyday language. Actually, those words are not really used outside of the insurance industry or outside of a conversation involving insurance. If you don’t have an understanding of those words, then it can seem as if someone is speaking a foreign language to you. That is why you should learn some of the insurance jargon that is thrown around because insurance happens to be a large part of your life.

Without insurance, you do not have any type of protection in case you are in a car accident. If you don’t have protection, then you can be sued. Being sued means you’ll have to pay for any damages sustained in an accident if the accident was your fault. Even if the accident wasn’t your fault, you still have to worry about your medical bills, replacing your car and the medical expenses of anyone in the car with you. This in itself makes it obvious why auto insurance is a necessity. Luckily, states mandate that people must have a minimum amount of auto insurance.

Basic terms

There are really only five basic terms that you need to know when talking about car insurance. Those terms are:

- Liability coverage
- Physical damage coverage
- Medical coverage
- Emergency assistance coverage
- Unattached equipment coverage

A few of these may look a bit familiar to you, but there are a couple of them may not. We frequently hear the terms liability coverage, physical damage coverage, and medical coverage when talking about car insurance and reading our policies. What we don’t hear much of is emergency assistance coverage and unattached equipment coverage. These are, of course, not as important as the other aspects of your coverage, but that does not mean that they should be ignored since they are great add-ons to your policy.

The most common of the terms you will hear is liability coverage. Liability coverage is the part of your policy that covers damages caused by you in the case of an accident. You should always make sure this coverage is enough to cover damages. If not, then you may have to pay an out of pocket expense to the person who was the victim in the crash. Medical coverage covers you and any passengers within your vehicle as a result of a crash. Physical damage coverage will help you repair or replace your vehicle.

As for the two terms that are a bit different, emergency assistance coverage is like a type of roadside assistance. Adding this to your plan provides you with tow service so that you’re not stranded on a highway in unfamiliar territory. Lastly, unattached equipment coverage provides coverage for that equipment that is not a permanent attachment to your car. That may include something such as a satellite radio system. If you have expensive attachments on your car, you want to make sure that you insure those as well so that you don’t have to pay for their replacement or can have those items repaired by your insurance.

Having an understanding

Knowing these terms is the first step in understanding some of the confusing but important terms that you will see and hear. If you don’t understand them, you cannot understand what type of home and car insurance coverage you have or even how it works. Knowing how it works helps you determine if what you have is adequate enough for your particular needs.

By: Amy Nutt

Daily Car Insurance – Fulfilling the Short Term Insurance Needs

admin — Mon, 02 Nov 2009 10:15:40 +0000

People require a daily car insurance policy firstly because it is illegal to drive an uninsured car and secondly because accidents often happen. This type of insurance covers for the person who is in need of short-term car insurance. In case of an accident, huge amount of money is to be paid for the repair of the car, but if one has a daily car insurance policy then the insurance company will pay for the damages. This reduces the burden of payment of lump sum amount at one time. This will also ensure peace of mind as the insured person has to pay a small amount of premium regularly to get his car insured against accidents.

There are two types of daily auto insurance policy- one for those who want auto insurance for a short period of time while the other for those who need the auto insurance for a long period of time. There is also an option available in which the insured can get bonus if he has no claims for a specified period. Before getting a auto insurance policy one should go through the quotes and policies of various companies in order to find the car coverage policy that fits him the best. This daily vehicle insurance is ideal for short-term auto insurance needs.

Those who are searching for a policy based on annual indemnity should ask for daily car insurance from their insurer. Various companies offer this policy online, so there is no need of going to their offices to get the insurance policy. It has made getting coverage policy easier. This policy covers for a period in between one day to more than 27 days. It is highly inappropriate to insure the car for 1 year when one needs the car insurance for a very short period. Getting insurance policy for one whole year is a waste of money when he or she needs insurance for a short period.

Many people can think that they do not need car insurance as it is just a matter of a few days but this is highly risky as accidents can occur anywhere and at any time. Insurance companies have made these types of car coverage policy cheaper and hassle free so that people can easily avail it. One can enjoy the benefits of low cost and easy availability by getting a daily car insurance policy.

By: Robert Linley