Ever heard of Car Flood Insurance?

When most people purchase car insurance, they tend to assume they’re covered for every eventuality. However, the average policy lacks coverage for flood damage, as well as other types of damage. In light of the current hurricane season, here’s a question that should be first and foremost on your mind – “Does my car insurance cover damage from floods?”

According to the National Oceanic and Atmospheric Administration (NOAA), this year’s hurricane season is likely to be one of the most active on record. Storm activity resulting from hurricane conditions can easily cause flooding in low-lying areas. Last year, Superstorm Sandy caused millions of dollars in damage due to massive flooding.

Flooding isn’t just a worry on the coasts. Hurricanes can easily move deep inland and cause severe storm activity that washes away bridges, overflows river banks and floods roadways. In any dangerous storm, there's always the potential for flood waters to damage your vehicle.

Although damages caused by floods are not covered by default, they are covered under comprehensive coverage. In addition to covering damage through theft, vandalism and fire, comprehensive coverage also covers damages caused by “acts of nature,” including floods. If you have a car loan or a lease, chances are there is a good chance that you’re required to carry comprehensive coverage.

Upon filing a claim, an adjuster will take a look at your vehicle to assess the damage. Depending on the amount of damage to your vehicle, your insurance company may reimburse you for the cost of repairs. In cases where the cost of repairing the vehicle exceeds its value, the company will declare the car “totaled” and either reimburse you for the full amount your car is worth or pay off the remainder of your lease or loan.
If your coverage features a deductible, you’ll have to pay that cost before reimbursement begins. Also, remember that if the dollar amount of damage falls at or below your deductible limit, you’ll have to pay for the damage out-of-pocket.

If you drive or park your vehicle in areas that are prone to flooding, it’s a good idea to have comprehensive coverage. If you already have comprehensive insurance, don’t hesitate to review your policy or contact your insurance agent to make sure it covers flood damage.

To learn more about your Houston car insurance policy or to add additional coverage to your current plan, contact us at 713-227-7283. We’ll help you choose the right coverage options that offer the best protection from life’s hazards, without putting a dent in your budget.

Can An Accident Affect The Cost Of Your Auto Insurance Policy?

Sometimes, regardless of how careful you are on the road, an accident happens. If this occurs and you are found at fault, your Houston auto insurance premium rates will likely increase. The reason is not that you are seen as being negligently involved in the incident, but rather that you are now seen as a greater risk.
If you are found at fault when an on-road accident happens and your auto insurance cost becomes more expensive, it is advisable to understand how fault is determined.

• If there was not another vehicle involved in the incident, you will be found at fault by your insurance company.
• When two or more vehicles are involved in the collision, blame must be assigned. There are some common incidents where it is easy to determine who is at fault. Where it is not so easy to assign blame, the police examine the scene and deliver a report determining fault.

Insurance companies usually have their own system to determine how much they will raise the policy costs of an at fault driver. Each insurer assigns a number of points to each type of accident. If the driver is then found at fault for that kind of accident, the set number of points will be placed on the driver’s record. Premium increases are determined by the number of points recorded. The driver will carry these points on his record for many years to come, and, as a result, pay an increased premium for all of those years. If the driver changes his insurance agency, the points still remain on his record.

Some insurance agencies, due to customer loyalty, refrain from penalizing their clients. This is usually only done when the client has been with the insurer for many years, or when his driving record is a good one. Including accident forgiveness on your policy is another way to prevent a penalty in the event of an accident. Most insurance companies charge extra for this added protection, and only award it when a client has an impeccable driving record. If you change your insurer, you would need to apply for accident forgiveness on your new policy.

Accidents happen, but there are ways that you can stop the occurrence from increasing your car insurance rates. For more information about how this can be done, call  Reliable Insurance Managers at 713-227-7283. We will happily answer all your questions.

What to Look for in a Homeowners' Insurance Policy

If you’re shopping for the right Houston home insurance policy, the first thing you need to know is that, in the world of insurance, there’s no such thing as one size fits all. Every insurance policy is different, so it’s crucial to find a policy that’s tailored to your individual needs. The best way to find your perfect policy is to ask plenty of questions before you sign a contract.

Find Out What’s Covered

A standard homeowners' policy typically doesn’t cover flood damage, so if you live in a hurricane-prone coastal area, you may want to invest in flood insurance. A standard homeowners' policy also doesn’t include damage due to “earth movement” disasters such as earthquakes or sinkholes — although a handful of states have now made sinkhole coverage mandatory.

If you have any specific concerns about certain contingencies that may not be covered, ask your agent how you can get the coverage you’re looking for.

Reimbursement: Do You Want Cash Back?

Although many insurers offer cash reimbursements, some companies prefer to replace the lost items instead, even if the timing isn’t convenient. For example, if you’ve had a house fire and you and your family are temporarily living in a small apartment, you won’t want to take delivery on a new 60-inch television. Be sure to find out if your policy replaces the cost of the item, or the item itself.

Replacement Value

If you expect to receive full value for your lost or damaged items, then you may be in for a surprise when you find that you’re only compensated for their as-is value in their used condition.

Two terms to remember are Actual Value Coverage (AVC) and Replacement Value Coverage (RVC). The most desirable of these is RVC, which gives you approximately the entire replacement value of your items in new condition. An RVC policy usually costs 25 percent more, but if you want to receive full replacement reimbursement, you’ll find it’s worth it.

An AVC policy will give you the current depreciated cost of the items. For example, you may get only $300 back to replace a laptop that you paid $800 for three years ago.

If you own luxury items such as jewelry, furs and expensive musical equipment, you may need to get a floater policy to provide extra coverage beyond your policy’s limitations.

Liability Insurance: How Much is Enough?

A standard homeowners' insurance policy offers liability coverage worth at least $100,000. If you prefer more, then talk with your agent about purchasing an umbrella policy offering more liability protection.
For more information about finding a homeowners insurance policy that’s right for you, give Reliable Insurance Managers a call at 713-227-7283. and we’ll be glad to answer all your questions.

What is a No-Fault Accident and Will it Affect Your Insurance Premium?

You may think a no-fault accident is an accident that was caused by situations that were not your fault.

An example of a no-fault accident would be running into a pot hole or losing traction on a sandy street. However, a no-fault accident can simply be an accident at which you are found to be the faultless party. If you are involved in a no-fault accident and you have to make a claim, you might be wondering if your insurance premium will increase.

This post will examine what the insurance is for and why it may cause your premium to increase.

What is a no fault accident?

A no-fault accident is simply an accident that's caused by anything other than you. This could be due to a flat tire causing you to lose control of the car, an oil slick in the road that causes you to lose traction and have an accident or you being hit by another driver.

No-fault accident insurance, also called PIP or personal injury protection insurance, covers damage to a car or person caused by a no-fault accident. A no-fault accident cover is an endorsement on most insurance policies and some states require a driver to have it.

These states include; Florida, Hawaii, Kansas, Kentucky, Massachusetts, Michigan, Minnesota, New Jersey, New York, North Dakota, Pennsylvania, and Utah

Even if your state does not require it, there are many benefits to having a no-fault auto cover. Some of these benefits include being covered whether you're at fault for not and reducing the time it takes to file and receive a claim. The coverage also restricts lawsuits to only extreme injuries or death.

Will your Insurance Cover it?

The simple answer is yes, if you have no fault insurance. However if you don't have no fault insurance, it is up to your insurance provider whether they will pay out on the claim. Keep in mind that no-fault auto insurance doesn't pay for everything. There are some things that are not covered and there are some disadvantages to having this cover.

Some of these disadvantages include:

• No coverage for property damage or vehicle repair after the accident in certain states
• It only covers up to your policies max for your medical expenses
• Making a claim on your policy your premium can rise
• If your vehicle is damaged in a collision where you have no collision coverage your insurance won't pay out anything and you’ll be totally responsible for any repairs to your car or your person
• If you have limited collision coverage your insurance company won't pay out for any repairs to your car if you hit a person, another vehicle or a structure such as a building tree or pole. However if you are 50 percent or less at fault and you hit one of these items your insurance company will pay.
• You're only guaranteed a claim payout if you have standard collision coverage or broad form collision coverage.

There are benefits to having no-fault insurance but there are also disadvantages. Your premium will increase whether or not you are at fault of an accident with this cover. The best way to save money is to shop around for a good priced no-fault auto insurance policy with adequate cover.

Have any Houston auto insurance questions? Give Reliable Insurance Managers a call at 713-227-7283.

Teenage Auto-Insurance: How to Keep the Premiums Low

Houston Auto insurance companies have a way of categorizing drivers as either high-risk or low-risk drivers. Those who are deemed high-risk have to pay higher premiums than their low-risk counterparts. Incidentally, teenage drivers are classified as risky drivers, and have to pay high premiums. Luckily, there are a few things you can do to enjoy low insurance premiums for your teenage driver.

Choose the Car Wisely
Ironically, teenage drivers who are believed to have risky driving tendencies are the same ones who have a liking for fast cars, and these cars also attract high insurance rates. What you should know is that high premiums are calculated on a combination of several factors, so you can mitigate these other factors to get low premiums. On the issue of cars, you should choose an economical car for your teenager, preferably a used one. Old cars, which tend to be cheap, are also cheap to insure.

Combine Your Policies
If you have multiple policies from a single insurance firm, you should make use of this knowledge to get cheap premiums. For example, you can combine your home insurance with your teenager's insurance. You might even get lucky and land an umbrella policy, which entitles you to extra liability coverage on top of your usual coverage limits. This extra coverage may come in handy for your risky teenage driver.

Help Your Teenager to Maintain Good Grades
The motor vehicle insurance industry has a few peculiarities, and one of them is that teen students with good grades are offered low premiums. Thus, this is one of the best ways of securing low premiums for your teenage driver. This discount is usually applicable even to those who have just started high school. Most insurers are offering at least 10% discounts for teenage students averaging at least a B average grade. In most cases, it is the most recent semester that counts.

Tell the Teen to Take an Approved Drivers Education Course

This is something that most people take for granted, but it can offer substantial savings on your teenager's auto premiums. Car insurance companies have different rates for this discount, but you will at least get something. To qualify, the driver should take a course certified by the Department of Motor Vehicles. Some insurers handle this by adding some years (say a two or three) of experience so that the driver is not viewed as a very inexperienced one.

Compare Several Quotes before Buying Coverage

The age old advice of shopping around for good insurance rates still applies. Auto insurance companies charge different premiums, and if you just pick the first one that comes to mind, you may end up with high rates for nothing.

You can get these quotes online or from your insurance agent. These and other tips will help you get low rates for your teenage driver, but you may still need professional advice. If that is the case, give your Reliable Insurance Managers agent a call at 713-227-7283 and we will help you through the process.

What Makes Car Insurance Compulsory?

Car insurance has become compulsory in most countries worldwide due to a matter of concern from their government. The reason why most governments make car insurance policy compulsory is so that they can provide their citizens with financial compensation, in the case that they suffer any loss occurring due to road accidents.

Not all vehicle calamities are usually compulsory. However, a great deal of the risks involved is usually covered. Risk factors like fire, lightning, traffic collision, and body injury occurring due to vehicle tragedies, in most parts of the world are usually made mandatory by each state government. This ensures that you don’t bear all the loss, in case you happen to suffer from either of these tragedies.

Typically, different states worldwide have different laws that govern ways in which car insurance policies should be a must covered.  Nevertheless, all states worldwide usually assume that vehicles will frequently crash, and that’s why they make car insurance mandatory to every motorist. Hence, where you may injure another person, the injured party will be fully compensated by the insurance company. This is convenient because even in a situation where the driver at fault doesn’t have sufficient cash the injured party would still be compensated.

Age is another factor which makes car insurance to be compulsory in some countries. People  under the age of 25 is likely to pay a higher premium than those who are above 25 years of age. The reason why most governments consider this factor to be very important is because they think  people who are above 25 years have more driving experience and thus should pay a lower premium. Consequently, a person under the age of 25 pays a higher premium because it’s assumed he, or she is vulnerable to cause accidents due to short experience.

On the other hand, where a person under the age of 25 years under goes for further driving lessons they are likely to pay for their premium at a lower rate. The idea behind this is because most governments worldwide assume that they would have improved their driving skills hence minimize the risks of traffic collisions.

Another reason why most governments worldwide usually make car insurance compulsory is so that motorists can play a role in paying government tax. This usually enables the government to grow its country’s economy. Therefore, you'll get more opportunities in the production of products and services when your country’s economy is in a stable state.

It’s convenient that you pay for your car insurance frequently because you don’t want to fall under the arms of the law. Plus, you’ll lose nothing when you happen to be charged with a traffic collision because your insurance company would be there to compensate the injured party. So, always pay for your Houston Auto insurance, it’s very convenient and drive safely. Contact a Reliable Insurance Managers agent today for more information.