Thursday, February 6, 2014

Everything About Rental Car Insurance, You Must Know !

This article about rental car insurance.
Renting a car? Buying the over-the-counter insurance that rental car companies sell could be the dumbest move you've made all day. That is, unless it's the smartest.
The question is, are you covered? Too many travelers have no idea, and it's in that cone of uncertainty that the rental car companies are able to pounce and profit.

rental car insurance
If you don't know, for example, what your liability coverage your own auto insurance policy provides, or whether or not your credit card is any use in times of rental car trouble, then why, the agent will be asking you, would you want to drive off the lot without peace of mind? Why indeed.
Trouble is, peace of mind doesn't come cheap. Think hundreds of dollars added to your weekly rental costs, which are already skyrocketing, as competition goes all but extinct in the more-consolidated-than-ever rental car industry. It's war, and you've got to be ready to do battle. We're here to help.

Are you the owner of a car?

Yes? Great. Then you probably have an insurance policy. You'll say this to the guy behind the counter. He'll counter with: Do you know if your coverage is adequate? Are you going to be stuck with a huge deductible? They'll throw it all at you. And if you can't answer the questions confidently, suddenly, you'll be wondering: Hey! Maybe I should be buying the insurance here, because, really, what if something happens and I'm not covered? Stop. Stop it right now. Before you leave home, examine your policy documents or call your insurance provider and ask. Questions like: Am I covered for damage, theft and loss of use? Liability for injury to others (personal and property) while in the rental car? Personal effects if stolen or damaged? How screwed am I, as regards deductibles and such, if I find myself in any trouble related to the above? You should know the answers to all of these questions.

Coverage through your credit card? Maybe. Probably not.
Too many people think that their auto insurance policy plus their credit card coverage benefits equals all set. Again - maybe you are, maybe you're not. Have you read the documents? Too many renters learn the hard way that what most cards provide is "secondary" coverage, meant only to bulk up your auto insurance policy, paying out after that has been exhausted. Your Visa card, for example, can be a great asset, but if you don't follow all their rules (the coverage may be invalid if you rent a mid-size car in Cincinnati on a Tuesday when it's raining), the very thing you think is going to keep you out of trouble might end up leaving you in a world of hurt. Across the board, it's wrong (really, really wrong) to assume that one size of coverage fits all card brands. Some higher-end Mastercards might be great, for example. Others card levels may offer little protection. Examine each card document carefully. Finally, note that credit cards tend to mostly offer collision, damage and theft coverage, if they offer anything at all - personal liability (hitting a pedestrian, crashing into a store front, or injuring drivers in another car) and personal effects are generally your problem. Again: Read.

So you've got nothing.
Say you go over both your auto insurance policy and your credit card documents, hundreds of time. Say you now fully accept that rental car-wise, you're less than protected. Don't just wing it - winging it can lead to all kinds of trouble, such as you being stuck with a bill for thousands of dollars or a huge jury award. Besides upgrading your credit card to something more useful and bulking up on your auto insurance you can also sign up for primary coverage with a third party (but again, this will only be coverage for damage to the rental car, it's not personal liability coverage).

What is this "primary coverage with a third party?"
Simply: It is a separate policy that protects you when you rent cars. Maybe you are protected with your credit card and your auto insurance policy, but if you get into an accident and have primary coverage elsewhere, you can leave your insurer out of the loop entirely, avoiding any potential rate increases. American Express cardholders can purchase a Premium Rental Car Protection policy for less than the cost of one day's damage waiver in many destinations. For $24.95 per rental period of up to 42 days -- $17.95 if you live in California - you've got $100,000 in coverage for damage and theft, plus $100,000 of Accidental Death or Dismemberment coverage, $15,000 for excess medical expenses and up to $5,000 for personal property loss. The real deal here? No deductible. Nada. It's a good policy. Best of all, it kicks in automatically when you begin your rental using that card. When you do, you'll be surprised at how easy it is to stop agents in their tracks - most know about the policy. Tell them you've got it and they'll generally understand that they're dealing with someone who has come prepared.

But what about other liability?
As long as any accidents involve just you and, say, a lamppost, you're now well and truly protected. Bump into a billionaire in a supermarket parking lot, however, and you may not be adequately protected, liability-wise. Many drivers lack the proper liability protection, often assuming that that they're safe, hiding behind their homeowners or renters policies. More than once, after hearing about all the coverage we've got, the rental car agent has asked the question, "What about liability?" While rental car companies are required to build basic (and limited) liability protection into their rates, they won't tell you this. Generally, you're going to be fine in a fender bender situation, but if you find yourself in some horrible scenario where you can be sued for lots of money, then make sure you are covered (if you're a high net worth individual, you probably have an umbrella liability policy, which should be enough, but check with your agent). For those that are not covered, the agent will be happy to sell you Supplemental Liability Protection, often quite reasonably priced at about $10 per day. Then again, liability protection isn't something you should be sorting out on the fly with some kid at the Enterprise counter - this is a matter for your insurance broker.

Saturday, August 31, 2013

New Insurance Offering Reduces Risk For Investors in Solar Power

The growing menu of insurance products tailored to address specific risks associated with solar power projects suggests that the solar power industry is maturing at a rapid clip.

SolarShield is the most recent solar insurance product to hit the market. The policy, which is the brainchild of San Francisco, CA-1.32% -based Walsh Carter & Associates Insurance Services, purports to be the first “true performance warranty” for investors in commercial solar projects.
More specifically, SolarShield guarantees that a solar project will generate a specific amount of revenue for several years whether the sun shines or doesn’t shine.

“Ours is a simple policy that acts as a backstop for financial institutions that are concerned about system performance,” said David Saisi, Vice President of Business Development within Walsh Carter's CRI+3.72% solar practice. “Our policy will make up any lost revenue due to system underperformance and it names the bank or financial backer as the loss payee for any claims.”
Unlike other policies, SolarShield does not require proof of negligence or defectiveness to trigger coverage for revenue losses.

In addition, the insurance claims are paid out directly to financial institutions rather than the system or host site owner.

The warranty directly guarantees the backing financial entity restitution and debt service payments when production falls as a result of extended inclement weather, temporary sky obstructions such as smoke from a forest fire and other issues.

Src : http://www.forbes.com/sites/williampentland/2013/08/24/new-insurance-offering-reduces-risk-for-investors-in-solar-power/

Saturday, June 8, 2013

Things to Consider Before You Switch Auto Insurance Companies

Switching auto insurance is a temptation that should be carefully considered, and you should only change if you are absolutely certain that it will save you money or hassle. There are a million great offers from companies all over the planet hoping to get a piece of your insurance business. It can be quite confusing trying to compare your old policy to your new one, but this is the only way to tell if you are truly getting a great deal on car insurance.


Be Sure to Cancel Your First Policy
One of the first things which can go wrong when changing insurance companies is that the old company might not quite get the message, and you might continue to receive invoices from them. There can be cases where they send you to a collections agency over this premium if you cannot prove in writing that you canceled them in time. This can sometimes happen if you cancel over the phone, since data entry issues can occur where records are lost or are not updated properly. This can be avoided by cancelling in writing, and also by making sure to alert the old company of your intent to cancel well in advance. This period of transition is a time to be extra careful behind the wheel, because it will be hard to work through things if you have an accident after canceling the old and still working on starting the new. In a perfect world, the one coverage would end and at the same exact moment the new would begin, but sometimes you may need to settle for a few days of overlap in premiums, which is preferable to a gap in coverage.

Make Sure Your New Insurance Starts on Time
Sometimes something goes wrong, and the new car insurance company does not enable your new policy until some date after the old one is already shut down. Again, it is wise to get your new policy start date in writing, and make sure you follow up with your new company around the time the switch is supposed to occur. If you are a week from the two insurance companies switching and do not have a policy in hand from the new company, then get over to their office and find out why. If you do have a brief lapse, there is a chance that you could have an accident, and then it would be a huge battle for you to get anything resolved. This often happens with health insurance changes as well.

Check to See If You Are Under-Insured
Sometimes, the new auto insurance company does not provide you with the same level of coverage as your former insurer, and you are now saving money but may also be under-insured. You don't want to find out about this after you have an accident, so make sure to do a side-by-side comparison of your old policy against the new one. Remember, the agent is there to clarify any items that you may find confusing. Take the time to go over this line by line, and make notes in an insurance folder so that you know what was happening when you decided to switch. Keep this folder in a handy and safe place, and re-evaluate your coverage every six months to be sure you are getting the best coverage at the best rates.

Verify the Security of Your Policy
The fourth thing that may go wrong when switching car insurance is that the new company may have far more strict cancellation policies or stronger policies on dropping you in the event that you ever make a claim. I was with one company for over 20 years, and after I had one accident they dropped me like a hot rock. I was shocked at how fast they dropped me. Make sure you understand their terms regarding making claims and dropping your policy. It is wise to do this at the beginning, when everyone is still happy with each other, and they are still interested in having you as a customer.

Find Out What Will Happen If You Can't Make a Payment
The fifth thing that can go wrong in your new insurance coverage is that you could have setbacks where you cannot make your premium payment on time. What happens with your insurance? Do they turn off your policy instantly, or will they work with you until you get back on your feet? There is nothing more frustrating than having to fight with an insurance company over your payment amount when you really are struggling to make ends meet. Talk to them about this kind of thing in advance, and ask them if they have any programs that could help you if there was a loss of employment or other situation where you cannot reliably make your premiums.
All things considered, using the Internet and working closely with your agent can make switching your auto insurance go very smoothly, with no hitches or glitches. Making sure you know your local insurance agent can make this change a lot easier to manage, so take the time to visit with your agent periodically. Once you have established a rapport with them, it will help make the entire insurance process easier.

Ref: http://voices.yahoo.com/five-things-consider-switch-auto-insurance-6253868.html?cat=27