California Auto Insurance Blog

A new article analyzing auto insurance claims for hybrid vehicles concludes that owners of these “green” automobiles may soon see changes in premiums as a result of rising average claims costs. The feature article, published earlier this month in Mitchell International Inc.’s latest Industry Trends Report, highlights how the growing number of hybrid owners and their habits have been slowly altering the average claims trends for this vehicle type. Considering the data, the author of the article predicts that owners of hybrids are likely to see increased auto insurance premiums as a result.

Officials fear more increased cost would prompt drivers to go without coverage.

People whose odometer doesn’t tick up much may be eligible for reduced rates on their auto insurance.

Progressive Insurance offers up to a 30 percent discount on premiums to drivers who don’t slam on their brakes, drive late at night, or accumulate a lot of miles.

Shopping around for the best car insurance rates and home insurance prices seems like a no-brainer, but a recent study reveals that most people aren’t taking advantage of possible savings.

Car insurance companies rationalized that high risk drivers are charged higher premiums. It can be more than 25-100% higher than the normal liability insurance because of the risk they impose to car insurance companies. Basically, one gets insurance so that he will not pay for all the expenses such as car damage due to accident.

Below you’ll find InsWeb’s complete 2010 Car Insurance Affordability Index. To develop the list, InsWeb ranked all 50 states and Washington D.C. according to affordability factor. A state’s affordability factor is determined by dividing its median household car insurance rate by its median household income. The lower the factor, the less a typical family in that state tends to spend on car insurance relative to its budget.

A good auto insurance broker will advise you on selecting an auto insurance company. They will direct you to buy the right amount of coverage and options you should know about. An experianced car insurance broker will also advise you about deductibles, discounts and waivers that will be apply to your situation.

According to a 2009 study by the Insurance Research Council, 28 percent of those with auto insurance coverage reported shopping for lower rates when they normally would not have done so. It’s among the top five ways to reduce expenses, the others including cutting back on entertainment, vacation, appliances and preventive health care.

In a move that could get people finding alternative ways to commute, state legislation (.pdf) approved last year enabled auto insurance companies in California to offer discounted rates for drivers who don’t use their vehicles that much. Now, State Farm is the first company trying to take advantage it.

More of us are paying attention to the rules our credit card companies send us or the fine print on our mortgages. Here’s yet another financial ripple to watch for: Your credit score can affect what you pay for homeowners or auto insurance.