Showing posts with label auto insurance. Show all posts
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7:03 AM
Car lotBuying a used car is a wise financial move, since most cars lose a significant amount of their value the minute you sign the purchase contract and drive them off the parking lot. Not only will you refrain from experiencing a loss of money with a used car, you'll also find that auto insurance may be less expensive on a used car. If something happens to your $10,000 car, you may not feel as bad as you would if you'd paid $30,000 for it.
One thing you need to do as soon as you buy a used car is to get a car insurance policy for it by transferring your previous vehicle's policy or, if it's not a replacement but an additional vehicle, get a new policy. In the event of simply replacing your old car, your auto insurance may just automatically revert to your new car. You will have to call your insurance provider to be sure of this and find out the exact details, plus update the specific information about the car like the make and model.

Another option, if you are adding to your existing vehicles, is to add the new car to your policy before you purchase it so you drive home with everything in place. This obviously won't work for a spur of the moment purchase since you need to know which car you're buying, including the vehicle identification number (or VIN). But once you have a car picked out, this process doesn't take long to do and you can drive home with peace of mind.

A third choice is to just get a brand new policy after you've bought the vehicle, but not yet taken possession of it. Most drivers pay high premiums and can benefit from getting multiple quotes to find an equally good, if not better, policy that’s more affordable. Once you have found your car, you can have the policy created and it will go into effect as soon as you take possession of the vehicle. 
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12:40 AM
Becoming an adult means taking on an overwhelming amount of new responsibilities that include things like feeding yourself three times a day, paying your own rent, and making payments for your car insurance on time every month. You’re probably also working, going to school, and still attempting to AIS Car Insurancehave some sort of social life.

“Adulting” is hard. Lucky for us 20-something-year-olds, AIS makes it easier.
While paying for your own gas, oil change, and smog check may be some of the scarier responsibilities you’ll have to take on for yourself, paying for your own car insurance seems like an even more terrifying step into the world of adulthood than it actually is.
In fact, getting a car insurance quote isn’t nearly as complicated as it appears. For starters, there’s two ways to do it. The first and easiest way (especially if you’re a millennial like me) is to just go online. AISinsurance.com is a great place to start because they will compare a ton of auto insurance companies and prices together so you don’t have to.
The online form asks for five sets of basic information:
  1. Your name and contact information
  2. The type of vehicle you have and want to insure
  3. Who the primary drivers are and some more in-depth information about them
  4. Any incidents you’ve had in the last five years
  5. Your current residence
All of these are pretty simple questions to answer as long as you know exactly what type of car you have, or even better, if you know the VIN of your car (which of course, I don’t). The process takes about five minutes and ends with a long list of quotes from many different insurance companies, along with the cost of monthly payments, various coverage options, and more specific details of each quote package. They even list your quotes in order from least to most expensive.
The only catch? You do still have to call an AIS service representative to purchase a policy. However, the online process makes buying insurance much faster.
On the other hand, you can always choose the second option and get a quote in person. I also went through this process to see the difference.
Since most people do everything online or over the phone nowadays, it wasn’t long before I sat down with a service rep, a nice and informative woman named Claudia. Most of the questions she asked were the same as the online process, just more in-depth. Claudia asked whether or not my car was currently insured, if I wanted a 6-month or annual quote, if I wanted to start the insurance immediately, what my driver’s license number was, if the vehicle was owned or leased, what the mileage was on my car, and if I had health insurance or not.
She then explained the different discounts I’m eligible for as a full-time student with good grades, and described the different coverage packages being offered to me before recommending the best one. I learned that age, vehicle type, and driver experience are the factors insurance companies weigh most heavily. Claudia made sure I understood everything I would be getting with each quote and that I knew exactly what I would be paying for.
While it may be initially overwhelming or scary to choose your own auto insurance plan and start paying for it yourself every month, it’s not all that complicated. Whether you go online or visit in person, AIS makes it simple, easy, and not so terrifying.
Sometimes, being an adult isn’t that hard after all.


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11:00 AM
With winter’s grasp firmly upon us, the issue of getting stuck becomes more prominent in our daily lives. Whether you are just slipping a little or the wheels are buried to the axles, these 10 tips on how to get your car unstuck are not only helpful, but can prove to be a lifesaver. All of these tips have been compiled through years of getting stuck ourselves.
Car-Unstuck-1024x534
  1. Don’t stop! If you are sliding off the road, headed towards a drift, slush pile, etc. and do not stop. Your vehicle’s momentum can carry you out of the mush. The same goes for when you are stuck and get some movement. Don’t stop until you are absolutely stuck. Even a little bit of constant movement is better than just spinning wheels.
  2. Don’t spin the wheels. When you are stuck and your tires are just spinning, stop. Unless you are on solid ground (concrete or asphalt), stomping the pedal and spinning the wheels is just going to make it worse.
  3. Apply proper power. Use your throttle sparingly and in the right way. If too much power is overpowering the tires and snow, use part throttle. You’d be surprised how less power might just get you out.
  4. Shift to low. Make sure your automatic transmission is shifted into the lowest gear. For manual transmissions, you actually want to shift into a higher gear, such as 3rd or 4th, and use the clutch to control the spin. There will be less shock on the tires and you will have more control to keep the tires from spinning.
  5. Turn off the traction control. This one might seem counter-intuitive, but when you are stuck and need power to the wheels, any slipping will cut the power right when you need it. Push the traction control button to turn it off. Some vehicles require you to push and hold the button for several seconds. With this off, you will be able to spin the tires all day. Watch out for using too much power though. (see #2)
  6. Rock it, baby. The classic ‘unstuck’ move is called rocking. This is a maneuver where you use the engine to roll the vehicle forward, put it in reverse, roll it backward, and then shift to drive and roll forward. Doing this several times builds momentum for the vehicle, often getting it out of the rut it is stuck in. Once you are over the hump and rolling in one direction, power out of the mess until you are on solid ground.
  7. Use traction devices. It is too late to add chains or cables to your tires, but you can use other items to enhance the grip of your tires. Rocks (quarter size and smaller), sand, even small branches and sticks can give you the grip you need to get out. It is a good idea to carry a bucket or bag of sand, pebbles, kitty litter, etc. when you live in snow-prone areas. Kitty litter, in particular, is one of the greatest all-time fixes so keep a small bag in the trunk during the winter.
  8. Go straight ahead. Make sure your tires are pointed straight. There is considerably more stress on the tires when they are turned. This means it is harder for the vehicle to move, and therefore easier for the tire to spin rather than get traction and push or pull the vehicle out of the mess.
  9. Let some air out. When you just can’t get the grip, try letting some air out of the tires. This makes a wider contact patch and can give you the necessary grip to get out. Just don’t forget to inflate the tires to the proper specification as soon as possible. Until you get the tires inflated, keep the speed down so you don’t ruin your tires.
  10. Life’s a snow garden, can ya dig it? Sometimes, you just have to get down and dig. Carrying a camp shovel will make this easier, but a stick, wood board, or even a plastic cup can get the snow and mud out of the way. The idea here is to dig a long ramp from the tire to the flat ground instead of a deep sudden rut that you likely find yourself in. Additionally, there may be a large mass of snow under the chassis, making it difficult to move. You need to try to remove as much of this as possible.
If you can’t get your car unstuck with these tips, call a tow truck for assistance. Make sure your tailpipe is clear of snow so that the exhaust fumes don’t back up into the cab of the vehicle. This is now the time to break out your winter emergency car kit, sit tight and wait for the cavalry. Stay safe!
Active Insurance is a Chicago car insurance agency that provides auto insurance options to fit the needs of Illinois drivers. We also provide roadside assistance for $39 per year, and it includes 24 hour emergency towing, tire service, battery service and lost key/lockout service. Contact us for more information.
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8:00 AM
What is no-fault insurance?
No-fault insurance, also called personal injury protection (PIP), is designed to lower potential litigation lawsuits and expenses associated with auto accidents. In its strictest form, no-fault insurance applies to state laws that both restrict the right to sue and provide for the payment of no-fault first-party (policyholder) benefits. The insurance companies in no-fault states compensate their policyholders for economic damages (personal injury claims), regardless of who is at fault in an auto accident.
no fault insurance
There are only 12 states that currently have or include no-fault insurance. They are Florida, Hawaii, Kansas, Kentucky, Massachusetts, Michigan, Minnesota, New Jersey, New York, North Dakota Pennsylvania and Utah. Three of those states—Kentucky, New Jersey and Pennsylvania—have a “choice” no-fault law and may retain the right to sue for auto-related injuries, while the other nine states have no alternative to no-fault insurance.
How does no-fault insurance work?
Let’s say two cars collide in a no-fault state and both drivers need medical care. Each driver files their personal injury claims with their respective insurance companies instead of recovering their economic damages through reimbursements from the other driver’s insurance company. The insurance company must pay the personal injury claims filed by its policyholder regardless of who is at fault for the accident.
Under current no-fault laws, motorists may sue for severe injuries and for pain and suffering only if the case meets certain conditions, which are known as thresholds. A verbal threshold may be expressed in verbal terms (such as death) or a monetary threshold can be expressed in terms of dollar amounts for medical bills. The main idea of using thresholds is to prevent lawsuits over every single injury and to limit the suits to “serious injuries.” However, state no-fault laws differ on the definition of “serious.” As a result, it is crucial to understand your state’s no-fault laws.
What does no-fault insurance cover?
Bodily injury: Liability coverage in a traditional car insurance policy pays for bodily injury claims for anyone injured in an accident which you have been deemed at fault. The bodily injury coverage with no-fault insurance extends to you.
Medical bills and other losses: No-fault insurance covers your medical bills and possibly any associated losses (such as loss of income for a period of time) depending on the policy and state where you live. Because no-fault systems restrict litigation on economic damages, personal injury claims from an auto accident are paid pretty quickly as you don’t have to go after the other party’s insurance company to get reimbursed for damages.
What does no-fault insurance not cover?
No-fault insurance doesn’t generally apply to property damage claims (repair bills for your car or personal property inside the car that was damaged during the accident) since it covers the costs associated with personal injury. No-fault insurance also doesn’t cover severe injuries and pain and suffering.
If you live in a no-fault state, check the specifics of your policy to better understand what exactly it covers.
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6:30 AM
The short answer is every individual car policy will be different in regards to theft, so it depends. But there are some common factors that will apply to most policies.
cartheft
If your vehicle is stolen and not retrieved by the police your insurance policy may cover the theft, but you must have full coverage that includes comprehensive insurance. Comprehensive insurance protects your car against damages outside of a collision, which include a wide range of events like falling objects, fire, vandalism and theft.
If any standard part of your vehicle is stolen (engine, stereo, etc.) you could be covered by your car insurance policy assuming again you have full coverage. If any personal property items are stolen from your vehicle, your car insurance policy will not cover it since protection applies to the vehicle and not to the personal items in it. However, if you have renters or homeowners insurance with off-premises coverage, one of those policies may cover your loss if you have proof (a receipt, for example) you owned the lost items.
Unlike property damage and other basic coverages where the amount of protection you want dictates the cost, comprehensive coverage prices depend on the deductible you select and the amount of coverage comprehensive insurance provides will depend on your car’s actual cash value (the car’s purchase price minus depreciation and the deductible).
It’s important to stress again that all auto insurance coverage is not equal in regards to theft. It depends on what kind of individual car insurance policy you have, so it’s important to understand what exactly your policy covers and ask your agent any questions you may have regarding theft.
Car theft isn’t completely preventable, but there are some ways to stop it by making your vehicle unattractive to car thieves. Keep your doors locked at all times, hide valuable items out of sight, always roll up your windows, never leave a spare key in the car and never leave your car running when you are not in it. Many stolen cars are due to the mistakes and oversights by the owner, so use a little common sense with your vehicle and it can go a long way.

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11:40 PM
Getting into a car accident is rough, but getting into one out of state can feel even worse when you are in an unfamiliar territory. Reduce the potential anxiety and mistakes associated with out-of-state auto accidents by knowing the basics.
outofstateaccidents
If you get into an accident out of state, what will happen depends on a case-by-case basis. However it is always beneficial to have adequate auto insurance and generally become familiar with the road laws of the state you plan on visiting before you leave home in case of a ‘what if’ scenario.
Most automobile policies cover all areas in the U.S., U.S. territories and even Canada so you shouldn’t have an issue reporting claims that occur out of state. Your insurance company will assign you to an insurance adjuster who will handle the accident.
Liability limits vary from state to state so you will be required by the state in which the accident occurred to comply with their auto insurance requirements, not the state where you live. Insurance policies may not adjust to meet a state’s minimum legal requirements. So if, for example, you have car insurance in Chicago and the state of Illinois’ liability limit is lower than the liability limit of the state where your accident occurs, the insurance company may not adjust your policy to meet the higher liability limit of the other state. What exactly happens will depend on your specific situation, but in any case it’s important to check your policy to see if it meets the requirements of the state you plan on visiting before you leave home.
If you are injured in an out-of-state accident and want compensation for the bills acquired from it, you will need to find out if you are supposed to file in your state or in the state where the accident occurred. This will depend on the laws of the state where the accident happened. As each state has their own laws regarding limitations and conditions, several factors can affect your ability to be compensated. Contact your insurance company and an attorney (depending on the severity of the accident) to better understand how you should proceed.
State-by-state minimum coverage requirements
The following table provides information on each state’s minimum coverage requirements. The first two figures refer to bodily injury liability limits, and the third figure refers to the property damage liability limit. For example, 20/40/10 means coverage up to $20,000 for each person injured in an accident, up to a maximum of $40,000 for the entire accident, and $10,000 worth of coverage for property damage. The state minimums are based on the most current information available. You should check your specific state requirements to verify these figures.

StateType(s) of Coverage RequiredMinimum Liability Limits
ALBodily Injury and Property Damage Liability25/50/25
AKBodily Injury and Property Damage Liability50/100/25
AZBodily Injury and Property Damage Liability15/30/10
ARBodily Injury and Property Damage Liability25/50/25
CABodily Injury and Property Damage Liability15/30/5
COBodily Injury and Property Damage Liability25/50/15
CTBodily Injury and Property Damage Liability, Uninsured/Underinsured Motorist20/40/10
DEBodily Injury and Property Damage Liability, Personal Injury Protection15/30/10
DCBodily Injury and Property Damage Liability, Uninsured Motorist25/50/10
FLProperty Damage Liability, Personal Injury Protection10/20/10
GABodily Injury and Property Damage Liability25/50/25
HIBodily Injury and Property Damage Liability, Personal Injury Protection20/40/10
IDBodily Injury and Property Damage Liability25/50/15
ILBodily Injury and Property Damage Liability, Uninsured Motorist25/50/20
INBodily Injury and Property Damage Liability25/50/10
IABodily Injury and Property Damage Liability20/40/15
KSBodily Injury and Property Damage Liability, Personal Injury Protection, Uninsured Motorist25/50/10
KYBodily Injury and Property Damage Liability, Personal Injury Protection25/50/10
LABodily Injury and Property Damage Liability15/30/25
MEBodily Injury and Property Damage Liability, Uninsured/Underinsured Motorist50/100/25
MDBodily Injury and Property Damage Liability, Personal Injury Protection, Uninsured Motorist20/40/15
MABodily Injury and Property Damage Liability, Personal Injury Protection, Uninsured Motorist20/40/5
MIBodily Injury and Property Damage Liability, Personal Injury Protection20/40/10
MNBodily Injury and Property Damage Liability, Personal Injury Protection, Uninsured/Underinsured Motorist30/60/10
MSBodily Injury and Property Damage Liability25/50/25
MOBodily Injury and Property Damage Liability, Uninsured Motorist25/50/10
MTBodily Injury and Property Damage Liability25/50/10
NEBodily Injury and Property Damage Liability25/50/25
NVBodily Injury and Property Damage Liability15/30/10
NHFinancial Responsibility Only, Uninsured Motorist25/50/25
NJBodily Injury and Property Damage Liability (Standard Limits Shown), Personal Injury Protection, Uninsured Motorist15/30/5
NMBodily Injury and Property Damage Liability25/50/10
NYBodily Injury and Property Damage Liability, Personal Injury Protection, Uninsured Motorist25/50/10
NCBodily Injury and Property Damage Liability30/60/25
NDBodily Injury and Property Damage Liability, Personal Injury Protection, Uninsured Motorist25/50/25
OHBodily Injury and Property Damage Liability12.5/25/7.5
OKBodily Injury and Property Damage Liability25/50/25
ORBodily Injury and Property Damage Liability, Personal Injury Protection, Uninsured Motorist25/50/10
PABodily Injury and Property Damage Liability, Personal Injury Protection15/30/5
RIBodily Injury and Property Damage Liability, Uninsured Motorist25/50/25
SCBodily Injury and Property Damage Liability, Uninsured Motorist25/50/25
SDBodily Injury and Property Damage Liability, Uninsured Motorist25/50/25
TNBodily Injury and Property Damage Liability25/50/15
TXBodily Injury and Property Damage Liability25/50/25
UTBodily Injury and Property Damage Liability, Personal Injury Protection25/65/15
VTBodily Injury and Property Damage Liability, Uninsured/Underinsured Motorist25/50/10
VABodily Injury and Property Damage Liability, Uninsured Motorist25/50/20
WABodily Injury and Property Damage Liability25/50/10
WVBodily Injury and Property Damage Liability, Uninsured Motorist20/40/10
WIFinancial Responsibility Only, Uninsured Motorist50/100/15
WYBodily Injury and Property Damage Liability25/50/20
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11:36 PM
Several factors can lead to a higher auto insurance premium. Insurance companies (insurers) lose money when they cover drivers who get into accidents and make claims, so it’s in their best interest to predict driver risk factors that indicate a higher chance of a claim and charge the driver an increased premium to compensate for the elevated probability of a payout.
 auto-insurance-rate
Based on this knowledge there are many factors that can lead to increased premiums, but some of the most popular ones include:
Accidents 
If you file an accident claim with your insurance company, your premium will increase at its renewal period based on the claim.
Violations 
If you are convicted of a moving violation, your premium rate may increase at its renewal period. Your driving history, length of time you’ve been insured with a company and speed you were going when cited can affect whether your rate increases or not.
Moving 
Where you live (zip code) influences your rate. If you move to an area with higher theft or accident rates (city versus a rural town for example), your renewal premium could reflect this change.
New Car
A new car is worth more than an older model and will cost more money to replace if it is damaged or stolen, which could result in a spike in your premium rate.
Age and Marital Status
If you’re young, single and without children, you are considered part of a higher risk category than a married person with kids. Besides the fact that a young driver will have less experience on the road than an older driver, it is assumed a single adult may not be as serious about becoming a better driver than a married adult with kids, and that can cause increases in your auto insurance rate.
Commute
If you drive a lot and have a long commute to and from work or use your car for work, your premium rate can be higher because frequent driving leads to more opportunities for accidents to occur.
Many insurers use credit score to determine auto insurance rates, but at Active Insurance we work with companies that don’t use credit history so you’re eligible to receive the best rates from us, even if you don’t have the best credit score.
Car insurance is mandatory for all drivers and how much you pay is determined by several factors. It’s important to contact your insurance company with any questions regarding increased premium rates. Contact Active Insurance for more information about car insurance in Chicago. We provide a variety of options that fit the needs of Illinois drivers and would be happy to help you.
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7:02 PM
Flooded cars can be a nightmare for their owners.
If it sounds too good to be true, it probably is.
You’ve driven up to a car dealership. They have a few rows of cars of the specific make and model you’ve been interested in. They are each the current model year or perhaps just a model year behind. They all have low miles, but they’re not “new” cars. And the salesperson just cannot wait to get you into one, your choice of color and options, for a price that seems way below what you were expecting based on your research of the model.
But more than that seems “off” about some of these cars. Some of them seem to smell funny – a bitter, biting and musty smell greets your olfactory system as soon as you open the door, and there’s also a hint of “new car smell” spray and shampoo. In fact, it’s almost as if too much of that spray and shampoo smell has been applied to disguise the musty smells, and they all coalesce into a horrible shock to your senses.
“Don’t worry about that,” says your salesperson. “It’ll be gone in no time.”
Chances are, you might be about to purchase a vehicle that has been flooded.
Before we go further – it is possible to restore and refurbish a car that has been flooded, but it is not for the faint of heart. It requires disassembly of most of the interior, and replacement of all carpets, padding and upholstery. All electrical connections must be replaced.It is by no means a simple undertaking, and it must be done properly for the car to have any serviceable life. And you should know upfront what you’re buying and how detailed the restoration process is, not to mention exactly how the car was flooded. It may have been exposed to water filled with sewage, salt-water or perhaps the windows were down during a torrential downpour. It’s highly unlikely you will ever know.
While some may consider the savings on a flooded car worth the potential risks – just like many do with other automobiles with a salvage title – for most of us, they’re an experience best avoided. Here’s what you need to look for if you believe a car has been subjected to flooding in the past.

Check the Car’s Title.

Your first consideration should be the title. If the car has a clear, rather than a salvage title, make sure the dealership provides you with a vehicle history report based on the car’s VIN from a reputable industry leader, like Carfax, for example.
“Carfax should disclose that if they claim any damage from flooding to their insurance,” said Scott Bratton, a mechanic of 37 years and owner of Auto Check in Katy, Texas.
It is important to note that flood-damaged cars will only have incidents on the vehicle history report if it has been declared a total loss by an insurance company in the past. If the car was not totaled, the title will be clean and the history report may be as well. But the history report is a must, as it is possible for a car to be totaled in one state, and then shipped off to another state where eventually, a clean title is issued for the car.
“I would be concerned if it was a salvaged title. I’d ask why it was salvaged or why it was totaled. That could be due to a flood or a wreck that they went ahead and fixed with cash,” Bratton, whose customers bring in cars to be inspected before they’re purchased, explained. “For the most part I question them about where they’re buying it from. If it’s a Joe Blow lot on the side of the road then I’d really look into how they do business before I deal with them.”

Warning Signs

The musty smell isn’t the only possible hint of a flooded car. Check the car’s lights and reflectors. If they contain moisture, it is possible the car has been submerged. But the real evidence will likely be on the inside of the car.
  • Inspect the gauges on the dashboard. Again, moisture or other residues are what you are looking for. Test the operation of each gauge as well as the lighting of the gauges and the driver warning lights. They should all be operational.
  • Test everything in the car that’s electrical in nature: all switches, controls like headlights, turn signals, climate control system, stereo and any 12v auxiliary outlets. All should be operational. Check the visible wiring under the dashboard for brittleness and loss of flexibility.”If the water got high enough to get into the computers or modules, which are mounted under the seats, long-term they’ll start having problems as the moisture will cause a corrosion of the wires in the modules,” Bratton said.
  • Rust is another giveaway. Interior screws or bolts with visible rust indicate a water issue, Bratton explained. Also check the engine compartment and trunk for signs of rust as well. Any metal that is exposed – not painted or coated – and has been in contact with a significant amount of water will be rusted.
  • The padding underneath the carpet could be an indication as well since it tends to hold moisture for a long time. A visible water line could be another sign, but that would require pulling off the door panels.”If I suspected it was potentially water damaged I pull the carpet up and feel underneath it and see if the padding under the carpet has been replaced or if it feels wet,” Bratton said. “Normally we don’t pull carpets unless there’s a musty smell, because that’s hard to get rid of.”
    Other potential signs include sand or grit or mud that seems to be embedded into any cracks, crevices or in the upholstery itself.
If you find any of these issues on a car, it has likely been flooded. We’d recommend you walk away, regardless of the potential savings, unless the car has been completely refurbished. If it has been, any reputable dealer would let you know upfront the history of the car with details on how it was restored. If they are hiding or denying any knowledge, despite the evidence to the contrary, then they simply do not deserve your business.
Finally, check out our visual guide to inspecting a car for evidence of flooding. It offers an easy checklist of tips of where to look and what to look for to help you determine if a vehicle has been involved in a flood.
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