Last week, I wrote about the one required coverage on any Texas car insurance policy. It is liability coverage (see https://wiseinsurancegroup.com/car-insurance-one-coverage-required-texas/). I’m going to continue on the theme of car insurance coverage this week as we look at two more coverage types which are Uninsured Motorist and deductibles.
What does a car insurance policy in Texas cover? That can vary from person to person. There is, however, one type of coverage every car insurance policy within Texas must have, and that is liability coverage. Over the next few weeks, we’ll take a look at the different types of coverage available on car policies in Texas, as well as, some discounts you should be aware of. We’ll first start with liability coverage.
In the past week, I’ve had two conversations with two different clients. Both clients were involved in accidents where they were hit by the other driver; one was rear ended by a commercial vehicle and the other was struck by a car that changed multiple lanes in order to attempt making the exit. The question both clients asked was the same, “How should they file their car insurance claim?”
My youngest son was involved in a car accident about 10 days ago. The good news is he was not injured although he is a little sore from the airbag deploying and sustained some minor cuts from flying glass when the driver’s window shattered. It could have been a lot worse. His mom called me to let me know he’d been in an accident and that he was not hurt. She also asked me a question related to filing a car insurance claim that is worth sharing.
When it comes to car insurance and college kids every parent should discuss a couple of topics with their student. These topics have financial ramifications in that they can increase or decrease what you pay for car insurance. Let’s revisit permissive drivers and car insurance discounts.
A client called me last week to add a new car to their car insurance policy, bringing the total number of vehicles on the policy to three. I added the car to the policy, then emailed them the ID card for the new car along with the new annual rate for their policy. They were a little surprised at the rate and wanted to know why it increased as much as it did with the new car. I reviewed their rate with my other carriers and verified the new rate was in-line with them. The cost of their new vehicle is the biggest factor that impacted their new rate.
Consumer Reports released a study last week which was published online that appeared on Yahoo and various other websites. It’s one of the most interesting articles I’ve read on car insurance pricing from a consumer organization in some time. The conclusion of the Consumer Reports study is blue collar drivers pay more for car insurance than do white collar drivers. The amount of the difference isn’t trivial either; it’s $681 a year more on average nationally.
What’s your guess for the car that is number one in getting ticketed the most? A bright red or black sports car such as a Nissan 350Z, Audi TT, or BMW M Series? Maybe an exotic like a Lamborghini, Ferrari, Lotus, or McLaren? Perhaps a more common Mazda M5, Camaro, Mustang, or Corvette? If any of these cars were your top pick, you’d be wrong.
I’m working with a number of clients who are parents of teens. They usually call me when their son or daughter is about to get their learner’s permit to ask several questions relating to their car insurance policy and their teen who’s about to drive. The questions include when they have to add them to their car insurance policy and does it make a difference whether they do the classroom or parent led driver training. The brave parents want to know what it will cost to add their teen driver to their car insurance policy when they get their license!
Car insurance companies have offered discounts for a variety of safety technologies for over 20 years. Early on these discounts were for anti-lock brakes and driver side airbags. The discount for airbags shifted as airbags moved from protecting the driver only, to both the driver and front seat passenger, to side impact and curtain airbag configurations to protect against head trauma. Some insurance companies even offered discounts for cars equipped with daytime running lights because they were easily visible to other motorists on the road.
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