July 13th, 2009 at 07:05pm
Under Insurance Law
The no-fault potion of your coverage pertains to bodily injuries, which means that in the event of an accident, each party is responsible for their own medical bills and other costs related to the injuries sustained in the accident. As a result, your abilities to sue the other party for damages are limited.
Automobile insurance laws also require all drivers to carry Property Damage Liability and Personal Injury Protection (PIP) coverage.
Property damage liability covers the damage you cause to another person’s property. You must carry a minimum of $10,000 in coverage.
PIP covers your injury-related expenses, regardless of who was at fault in the accident. Covered benefits include some compensation for necessary medical expenses, lost wages, lost services, and funeral expenses. $10,000 worth of PIP is mandatory, although you may be able to increase your benefits by purchasing increased limits. Some drivers may choose to decrease their premiums by applying a deductible to their PIP coverage or by excluding the loss of wages benefit.
Auto insurance laws may also require that certain drivers carry Bodily Injury Liability. This coverage helps pay for the cost of injuries you cause to another in an auto accident. Drivers with previous accidents or violations may be required to carry this type of coverage.
Bodily injury liability coverage carries a minimum limit of 10/20; which means $10,000 per person for injuries you cause to the other party, up to $20,000 in total.) However, these are only minimums, and higher limits are recommended. Drivers who aren’t required by law to purchase BIL are strongly urged to consider doing so for their own financial protection.
Auto insurance companies will also offer optional coverages such as collision, comprehensive, and uninsured and underinsured motorists coverage.
How Car Insurance Rates Are Set
The price of auto insurance is decided by the behavior of drivers as a whole. Auto insurance companies take the cost of providing insurance for drivers (this includes settlements and legal fees) and divide it up among the drivers.
But these costs aren’t spread around evenly. Instead, the percentage you pay is decided by things like your driving record, your age, where you live, and the kind of car you drive.
Of course, not all auto insurance providers figure their percentages the same way. So they’ll charge different rates on the same driver.
What this means for you as a driver, is that you need to shop the different rates (and they’ll be very different!) for the best deal. It’s the fastest easiest way to save on an auto insurance policy
Save on Car Insurance Endorsements
Car insurance endorsements include coverage for towing, on-site labor, and rental car expenses. These are inexpensive car insurance policies, but they’re not always necessary.
Weigh their benefits versus cost. You may be able to earn a lower premium by going without them.
Towing and labor insurance is popular but usually not very economical. We recommend going with an auto club like AAA for towing and labor protection instead.
The price is similar, and auto clubs provide a lot of other additional services for their members. Dealing with an auto club will also be a lot less hassle than filing a claim every time you use the service.
Daily rental insurance may be a better deal, especially if you’re a driver who really relies on their car. The cost is low and the convenience level high. However, if you have other forms of transportation available (another car, a car pool, public transport) you might want to pass. You’ll get cheaper car insurance.
More news, information, and insurance tips
July 13th, 2009 at 01:05pm
Under Insurance Law
California demands that all drivers must get an auto insurance. People who owns a car but do not use it should all the same have an auto insurance in California. The auto insurance law of the financial responsibility of California demands that all drivers are materially responsible for their actions. In California the auto insurance law establishes the minimal limits for auto insurances. Indemnification for physical injuries at an accident makes 15,000 $, or 30,000 $ if there are some more injuries. Indemnification for damage of the property at accident makes 5,000 $.
According to the law of California each driver should bear the financial responsibility for a caused accident. There are four kinds of auto insurance; self-insurance, the deposit of 35,000 $, the obligation of a guarantee 35,000 $, received by the company, range according to an auto insurance policy in California of the car or a motor vehicle. The minimal auto insurance range are demanded by law as a responsibility. Scope of collision compensates for the damage to your car as a result of the collision.
The law of California states that if you have been involved in an accident and you have leave the place of the incident, that can incur a criminal liability even if the accident has not occured at your fault. At once, after the accident, you should report the date, identification number of a vehicle, the name and the address of the owner of the car to the policeman. You should also report to the police if the accident has caused death or serious wound. The expert who comes to the place of incident will carry out research and will make the report. To receive an auto insurance, you should have executed it for 19 years and you should also have a driving experience within the last three years. Also you should not have a criminal offence, or any road incidents.
Drivers in California should have at least purchase the minimal auto insurance of a civil liability which pays for wound or damage to a property as a result of an accident. Those who have no auto insurance are subject to high penalties. All-round scope is not obligatory, but can be useful as a result of accident.
July 13th, 2009 at 01:05am
Under Insurance Law
Insurance law is basically the law that protects and regulates all aspects of insurance and can be broken down into two distinct categories:
What is interesting is that man first started thinking of risk management A.D. already, so although there were no insurance lawyers per se, there were a number of rather astute merchants who realised the value of protecting their assets by an informal arrangement; the precursor to the formality of insurance law.
Ancient Chinese were the âfoundersâ of risk management
Ancient civilisations were the catalysts for the more modern concept of insurance, with Chinese merchants arguably the âfoundersâ of risk management. These ancient traders often had to transport their wares along wild and treacherous rivers to the nearest market, where loss of both life and merchandise was common place. In an effort to reduce the risk, they would distribute their goods across a number of sailing vessels.
According to the celebrated Code of Hammurabi penned in 1750 BC, the Babylonians were the first people to pay additional fees as insurance; the original insurance premium. If a merchant applied for and received a loan from the moneylenders to fund a shipment, he would also cough up a little extra as a guarantee that the lender would cancel the loan in the case of the shipment being lost or stolen.
It was the ancient Roman and Greek civilisations, however, that formed fledgling âlife insuranceâ companies around 600 AD. They would organise associations or benevolent clubs that were committed to the care of the family in the case of the memberâs death and would also fork out for the funeral costs – âfriendlyâ life insurance.
The Great Fire of London was the catalyst for one of the first insurance companies
Way back in 1666, the city of London was virtually destroyed by fire and a rather intelligent Englishman, Nicholas Barbon, saw the perfect niche market for him and his merry men. After an estimated 13,000 dwellings were razed by the Great Fire of London, Barbon set up âThe Fire Officeâ, which was a business dedicated to the exclusive insurance of buildings.
Insurance business susceptible to irregularities
Another interesting snippet of information is the fact that insurance companies, like all other businesses out there, are susceptible to all sorts of illegal machinations.
A recent example of insurance irregularities was in 2006 when European insurance giant, Zurich Financial Services, was nabbed for bid rigging and price fixing. Fortunately, the relevant insurance regulator put a stop to this anti-competitive stance and the company had to cough up $171 million in settlement plus an additional $122 million in refunds!
DSC Attorneys is a Cape Town-based law firm of specialist personal injury attorneys who professionally handle all personal injurys, medical malpractice and road accident claims, as well as covering banking law, insurance law and property law, amongst others.
www.dsclaw.co.za