Understanding About Insurance for teens

This time we give an article about insurance for teens.
Say it isn't so, weep the distraught parents as they get that dreaded call one evening from their local hospital. My son in a traffic accident? How can this be? Well, there's one inescapable statistic at work here. When you look at the causes of death in the age group of 15 to 20-years old, it's not disease that comes out top. Automobile accidents are the biggest killers of our young. Take one age as an example. Those who manage to make it through to 16 have the highest probability of being involved in a crash. In fact, they are three times more likely to be killed in an accident than the average death rate for all drivers. What is it about the age of 16? Why do they think it can never happen to them (whatever "it" is)? Whatever the reason, it's sad facts in this vein that explains the high premium rates for teen drivers. This does not mean you can never find lower rates, but it does force younger drivers to stand out from the death-wish crowd and show themselves interested in making it through to 17.  The approach to earning discounts for a teen is actually all about proving how safe a driver your teen can be. The law in some states is on the parent's side by making it mandatory for all drivers to take a certified education course as a condition of being allowed a license at 16. In those states, a failure to take the course means being refused a license until they are 18. The point is to give younger drivers the opportunity to learn good driving habits from the start. In many cases, this will be no more than a pious hope. But the approach is one which proves itself in slightly lower accident statistics. More generally, taking a certified education course can earn a discount of up to 15%. It seems even a voluntary attendance on such courses is considered a good move.  The majority of insurance companies also reward students with a good GPA. The statistics show there's a link between people who have a grade average of 3.0 or higher and lower accident records. Perhaps it's that someone responsible enough to be interested in their own education is also likely to be interested in living long enough to enjoy the benefits when it comes to getting a job. Whatever the reason, everyone with a GPA of 3.0 or higher will be rewarded with a discount ranging between 10 and 20%. Lower car insurance quotes also come through the internet if the teen manages to drive without picking up a ticket or actually getting into an accident. Careful driving is rewarded as time passes. This trend to discounts is maintained if your teen agrees to limit the overall mileage or not to drive at night. Such curfews limit road use when the risk of crashes is highest.  Putting all this together gives you the way to steer your teen in the direction of cheap car insurance and living long enough to be able to enjoy the cash saved. This is, of course, only logic to a parent and not the type of thing your teen would take as seriously.

What Kind of Coverage do You Need for Auto Insurance?

For many people, obtaining a auto insurance quote is simply about satisfying their state's requirements for auto insurance coverage. That means that they often just choose those coverages that their state requires-and at the minimal coverage requirement levels as well. But is that really the best decision for a auto insurance consumer to make? Instead, why not use your auto insurance quote as an opportunity to find out how much it would cost to get the actual auto insurance coverage you need?

Do You Need Uninsured Motorist Coverage?

If you or a passenger are hurt in an accident that is the fault of an uninsured driver then you can pretty much kiss reimbursement from their insurance company good bye-after all, they are uninsured and have no insurance. And your insurance policy might not cover the damage caused by this other driver. If you have uninsured motorist coverage you can ensure that you will be made financially whole if the driver at fault does not have proper coverage. The Insurance Research Council estimates that roughly 25% of individuals are uninsured in every state-protect yourself against them.

Do You Need Comprehensive Coverage?

If your car gets stolen, vandalized or suffers from being involved in a natural disaster, can you afford to pay out of pocket for a new vehicle? And if you can, will that new vehicle be the same value as the old one-or will you be forced to buy a less expensive car because you cannot afford to pay for an equal car? And what about your existing car payments-who is going to pay those? If you don't have comprehensive coverage then you will need to pay out of pocket to restore your car or to buy a new one if it is involved in a theft, if it is vandalized or if it suffers from storm damage. With comprehensive coverage you could be reimbursed by your insurance company and not have to worry about how you will afford to replace your vehicle.

So the next time you get auto insurance quotes, think about the reality of your situation and what kind of coverage you need as well as what kind of coverage you can afford to skip.

A Guide Home Insurance Classes

To determine what kind of perils or incidents are covered by your home insurance policy, your insurance company assigns a set class to your policy. The various classes that could be assigned range from class HO1 to HO6, and each one has a different set of incidents that are considered insurable. Following is a general guide to these classes. For specific information about your policy, be sure to check with your insurance company. HO1: A limited coverage against 11 different hazards. These include theft, riots, windstorm and hail. This is also referred to as a basic policy and can include coverage for personal and medical liability. Another great aspect of this class is that it can cover your personal possessions even while you are traveling with them. HO2: Reaches further than HO1 by covering 17 total hazards including water damage, smoke, falling objects, freezing pipes and the 11 hazards covered by HO1. HO3: This is the most common class for home insurance policyholders. It covers damage from all hazards unless they are specifically excluded on the policy. This includes liability and medical payments - unless they are specifically excluded. HO4: Covers the personal possessions of a renter's policy. This does not cover any damage done to the walls, pipes or actual structures owned by the landlord. HO5: Covers everything in HO3 that is not excluded and requires no specified incident or peril to have damaged your home. This is especially helpful for insurable incidents in which there are no witnesses and no evidence of the cause of the damage. HO6: Covers the personal property and interior walls of a condominium. This class of policy also occasionally covers liabilities. This will not cover incidents to pipes, outer walls, hallways and other areas covered by the condominium association policy. Remember, your home insurance policy should be tailored to the needs and risks your family faces. Be sure to ask your home insurance company to explain what is covered within your policy class and what is excluded so that you can be certain your policy will be there to protect you when you need it most.