Sunday, August 30, 2009

Car Insurance

Future of Car Insurance

Women may still get to pay less but they have to get GPS. More and more ladies are now driving but more and more are also getting involved in car accidents. Insurance companies are getting more and more convinced that women also get tickets for speeding and other car mishaps. What can be the future of car insurance? Car insurance companies will have to impose Pay-Per-Mile (PPM) schemes on both men and women drivers. This means that women's and men's cars could be equipped with GPS transmitter in order for car insurance companies to monitor them.
This means that women will pay for each mile covered as well as men. There are cars equipped with GPS today and some insurance companies offer PPM schemes to willing drivers. For people who drive for a living, PPM can be very expensive. You can be a cab driver, a trucker, a tour bus driver, a delivery man/woman and you will have to cover more miles than anybody else because of the nature of your work. Most of the time, you are on the road so your GPS will be transmitting this to your insurance companies making you pay more with each mile you cover.

Car Insurance Types

For example, a deer might get leap on your path on a dark, rainy night while driving home. If you managed to hit the breaks and only burned the tires then you are lucky. But, if you were not able to have lightning-quick reactions and decided to swerve the car-you may get into a big trouble. You can collide with an oncoming car, you might lose control of the car and fall into a ravine or you might swerve the car and hit a tree in the process.

You do not even have to be driving sleepy or drunk for this to happen. Your insurance policy will contain different types of coverage. Your State's law will require that your policy should include Liability Coverage. There are three types of Liability Coverage: Property Damage Liability, Bodily Injury Liability Coverage and Uninsured/Underinsured Motorist Coverage.

The first type will cover the cost of damage or replacement for when you cause damage to other people's properties.

The second type will cover the cost of hospital fee if there are people injured in an accident that you caused.

The third will be a big help to you if you get into an accident and the driver who caused it has not enough insurance or has no insurance at all.

If the driver has no insurance then your insurance company will take care of it and if the driver has insurance but it will not be enough to cover the cost then your insurance company will take car of the rest.

Tiny term car insurance

Tiny term car insurance is very convenient for people who have a tiny term need and don't want it to affect a policy that they may have in effect on another vehicle. Tiny term car insurance can be acquired for the hurricane season and if a car is damaged or destroyed during the insurance period it will pay the costs of repair or replacement. When renting a car, the insurance that is issued on the car's contract often only covers the person renting the car. When the car is being used by a group of friends for vacation travel, tiny term car insurance can be acquired to cover all of the individuals who will be driving the car.

In some cities there is a very high incident of accidents because traffic is very heavy and the drivers do not obey all of the rules of the road. As a visitor, it is easy to become distracted and get into an accident on a busy city street. By acquiring temporary car insurance any accidents that occur during the vacation are covered and will not be reflected on your established policy. Therefore, insurance rates will not increase for you or your driving partners

Car Insurance at financially upsetting Times

Auto insurance or car insurance has hiked up in the past few years. Although there has always been availability, most insurance policies have gone up due to social situations and the recent financial crisis. Even with this increase, car insurance is still very much needed and is still required in most states. As a driver, if you are involved in a traffic incident or a car accident and found to be driving without car insurance or proof of financial responsibility, you will be subject to penalties depending on the car insurance laws of your state.

If the uninsured driver gets stopped by an officer or a traffic enforcer, that driver can be subject to penalties or even arrested for driving without insurance or proof of financial responsibility.For the violation of financial responsibility laws and driving without car insurance, the penalties include a fine or loss of damages. Being involved in a traffic incident that involves property damage or injuries to people involved in the incident, you will be required by law, to pay out of your own pocket, for any damages or injuries sustained in the incident.

There are also other costs that you'll have to shoulder yourself when driving without car insurance. Aside from the damages to the other party's car, you will also have to shoulder the cost of repairs for the damages to your own vehicle. There are also medical costs that you'll have to pay for if you get injured in a traffic incident.

Although your medical insurance might cover this, there are some companies that don't cover traffic incident injuries because they pass on those costs to your car insurance. There are just too many reasons to not have car insurance even in these financial times.