Getting into an accident and making a claim on your car can result in facing some unexpected situations. You may discover that your car is not worth as much as your current loan because the value of your vehicle can depreciate over time. Recognizing how your insurance provider or the insurer of an individual who damaged your vehicle determines the value of the car can help you decide if it is worth making a claim.

Current Market Value

The cost of your car when you purchase it from a dealership is the price when it is new. Even if an accident took place within a short period of time, the vehicle has depreciated in value and the insurance company will generally use that figure to determine the replacement value of the vehicle.

Many insurance companies will use vehicle guides to determine the current market value of the vehicle. The current market value provides a starting point that determines the replacement value of the vehicle.

Additional Coverage

If you are concerned that the market value of the vehicle is significantly lower than the loan you’ve taken on the vehicle, then you can obtain additional coverage for the remaining amount. Gap insurance is added to your auto policy to pay for the loan amount that exceeds the replacement value of the vehicle. It means that when the insurer has paid for the vehicle, the remainder of your loan is paid offer by the gap coverage.

Obtaining insurance that is appropriate for your vehicle can depend on the situation and your goals. In some cases, the basic coverage that you have purchased is appropriate. In other cases, you may determine that the market value for the vehicle is lower than the amount you paid. Contact us to speak to an agent for more details.

You talk to your friends in South Laurel, MD and find out that they are paying significantly less for their car insurance than you do. While the geography of your primary home area does play a big part in figuring out how much your insurance rates are, there are plenty of other factors that go into your car insurance premium.

The first is what your driving record looks like. If you’ve been in a few at-fault accidents, you’re going to have a driving record that makes the insurance companies dive for their premium increase button. These accidents mar your premiums for some time, especially if you were going to switch over calendars,

Another fact that affects car insurance rates in Laurel, MD is the type of car that you’re trying to get covered. Not all cars are created equal when it comes to the insurance premium price, and it can cause a large difference for your monthly payment.

The insurance rate also defends on whether you have good credit or not. The credit worthiness of someone can not be completely determined by how they pay their car insurance bill, but it does help to keep an eye on it over all.

Auto insurance in South Laurel doesn’t have a one size fits all insurance option. Each person’s situation is unique and worth looking at to determine exactly how much you owe the insurance company every month. Insurance is a tricky prospect, so it’s useful to find out the prices and understand exactly what changes them on a day to day basis. This way, you know whether you’re getting a deal or getting ripped off.

A big worry among many car buyers is that brief period when their vehicle is not covered under any insurance. This could potentially happen if you’ve purchased a second or third car or if you’ve just completed a vehicle trade. In the event that something does happen, being caught without insurance could expose you to financial liabilities, in addition to leaving you on the hook for any vehicle repairs.

In many cases, your insurance policy may automatically provide coverage if you purchase an additional vehicle or replace an existing vehicle. Such automatic insurance is meant to be temporary, giving you time to arrange for proper insurance with the best available options.

Any vehicle you’ve purchased will automatically receive the same insurance as the vehicle with the broadest insurance on your current policy. That means if your first car has liability insurance while your second car has liability, collision and comprehensive, any additional vehicle you purchase will automatically be covered the same as the second car, since it’s the broadest insurance available.

Meanwhile, any replacement vehicle you purchase will have the same coverage as the vehicle it replaces. For instance, if you use an older vehicle that’s covered only with liability insurance as a trade-in, the new car will automatically have liability insurance.

Most auto insurance providers require that you notify them as soon as you have purchased an additional car or if you replaced an existing vehicle, usually within a specific number of days. It’s a good idea to get in touch with us to speak to an independent agent, who can then help you secure the best available insurance for your unique motoring needs.

Drivers, whether driving a motorcycle, a truck, or car, need protection in the event an accident should occur. These drivers need insurance coverage that will protect them in the event they are at fault for an accident that causes an injury or death of another driver or passenger. Bodily injury liability coverage, or BIL as it is sometimes called by insurance providers, will provide that protection.

BIL insurance helps drivers with the monetary costs that result from injuries that happen from a recent accident. The accident must be determined to be the fault of the driver in order for this insurance to provide protection.

BIL insurance will help pay for a number of different things. Items that may be covered under BIL insurance include:

• Any hospital or medical bills
• Follow-up care
• Rehabilitation – physical or occupational therapy
• Long-term nursing care – for rehabilitation purposes

In addition to these items, the BIL insurance portion of your auto insurance will help pay for the costs of the following:

• Funeral expenses
• Lost wages
• Pain and suffering

Medical bills and other expenses are not the only things that will be covered by BIL insurance. BIL insurance can also help with any legal costs that you may accumulate as a result of the accident.

Legal expenses may be covered because the insurance company has an interest in the outcome of the lawsuit/trial. They will want to make sure that you are being properly represented during these legal proceedings.

BIL insurance often comes with limits. Most insurance companies have a limit per person impact by the accident and a limit for a single situation. Each insurance company’s limits will vary depending upon the policy that is purchased.

Make sure you are protected against potential accidents that may occur in Maryland by purchasing the right insurance policies. Work closely with one of our independent insurance agents to explore policies for various insurance companies and find the best auto insurance for your current situation.

After purchasing an ATV for your son, it is important to buy insurance coverage for the vehicle. Since the policies in Maryland can cover a variety of different situations, your plan may or may not cover the vehicle from theft.

Basic Liability Plans

A liability policy on an ATV is similar to the coverage you can expect for any other vehicle. It will protect against high-cost property damages if you or your son accidentally crash into someone else’s property. It can also protect against high-cost medical bills if you accidentally cause an injury.

Since the policy is designed to address liability, it may not offer any protection for the vehicle. A theft may not be covered with a basic policy because it does not protect the vehicle from most situations.

Comprehensive ATV Insurance

A comprehensive plan will usually offer protection against most situations that may arise. Theft is usually covered if you have the right type of comprehensive policy, but the amount of coverage that you may obtain can vary.

Some insurers may offer the full replacement cost of the vehicle if it was stolen while others pay the cost of a comparable model based on the year and estimated value. It can also be calculated as the replacement cost after subtracting any depreciation rates. After only two days, the amount that you may receive may be similar to the amount you paid for the vehicle.

It does not matter how long you have owned the vehicle if it is stolen and you have protection for that situation. As long as you have a policy and it is active, you can make a claim. Contact us to talk to an agent for more information.

The auto loan company holds a lien on your vehicle when you finance it through their company. This lien denotes the financing company’s interest in the vehicle, which does not get released until you have paid off the loan in full. Because of their interest in the vehicle as an asset, insurance lowers the risk of them losing out on their money due to an accident or another issue.

A common requirement for getting a car financed is auto insurance coverage. Since the financed vehicle secures the loan you have with the company, it’s in their best financial interests for the vehicle to have insurance coverage on it at all times. Some financing companies may mandate a specific amount of auto insurance above and beyond the state required minimums to properly protect their interests. Ensure that you have the right type of insurance to meet the financing company’s needs.

If you fail to hold auto insurance on the car while it’s still financed, the financing company has several paths they can take. They may choose to repossess the car, as your financing is contingent on adhering to all of the contract terms. A repossession damages your credit and, if the car is sold for less than the loan amount, still leaves you on the hook for the difference in payments.

The financing company may also purchase coverage on your behalf for the vehicle. This coverage is far more expensive than the plans you can purchase directly, and it’s added to your loan. When the amount gets added to your loan, you pay interest on the insurance as well as the car payment.

Children who are old enough to drive in Laurel, Maryland may not always drive in the state. While they might attend school in a different state, if they are driving your vehicle then they will need to be covered under your auto insurance policy.

Driving Across the Border

Although your children may attend school and drive your car in a different state, it does not mean that they can overlook auto coverage when they are operating a motor vehicle. If a teen or adult child is driving your vehicle, then it is a good idea to obtain an insurance policy that covers them, regardless of the differences between state laws and the location where they are driving.

Where They Live

Auto insurance is not based on where students attend school. It is based on where they live and their home address. As long as they are still living in your house, they will need coverage for any vehicle that they drive.

Their Vehicle

If your teen or adult child has his or her own vehicle, then you may not need coverage for them on your personal car. They will need to obtain an auto policy based on their own vehicle and driving record as long as they own the vehicle and are primarily driving the car that they own. If they do not drive your car, then you may not need coverage for them.

Finding the right policy to address your concerns can seem complicated, but there are options for families who have teen or adult children. Contact us to talk to an independent agent about your insurance options and specific details based on your situation.

Although you are required to have bodily injury and liability coverage in Laurel, Maryland, it is usually best to obtain under insured motorist insurance to protect your own vehicle in case an accident occurs. The reason is simple: a driver may not have enough liability protection on his or her auto policy, so he or she may not be able to pay the full cost of repairs when an accident occurs.

Liability Protection

Even though every motorist in the state is required to obtain property damage liability, the cost of repairing or replacing your vehicle may exceed the minimum amount that the state requires. Depending on the cost of your vehicle, you may discover that they can only pay for a portion of the repairs.

The rest of the costs may end up coming out of your pocket. By obtaining under insured motorist coverage, your auto insurance policy will pay the difference so that the funds to finish repairing or replacing your vehicle are not coming out of your pocket.

Finding a Policy

When you recognize the potential risks associated with only carrying the state minimum, it is important to find the right policy to address all of your concerns. Working with an independent agent will help you find an appropriate policy based on the value of your vehicle, your concerns and the amount of coverage that you want to carry.

It is important to protect your vehicle from a variety of situations. The state minimum insurance is not always enough when another driver hits your vehicle and does not have enough coverage to pay for the damages. To learn more about your coverage options, contact us to talk to an agent.

When you buy an auto insurance policy in Laurel Maryland, it will include personal injury protection (PIP). You are not required by Maryland law to purchase personal injury protection, and if you decide to not buy it, you will have to sign a form that says you elected to waive the coverage.

In Maryland, the standard amount of PIP is $2,500, but you can also purchase it in amounts of $5,000 or $10,000. When you have personal injury protection, you are covered for medical bills and lost wages as a result of injuries sustained in an accident. PIP pays out on all documented claims regardless of whether the accident was your fault or the fault of the other driver. Remember, for lost wages claims, you will need to have your employer verify the amount of your wages and have a doctor write a note letting your insurance company how long you can be expected to be out of work.

Even though you may have an excellent medical plan that will pay for your medical bills, it is still wise to also add personal injury protection to your auto insurance policy. In Laurel, Maryland, your PIP not only will pay for injuries you sustain in an accident, but also, for injuries sustained by any passengers in your vehicle. Pedestrians are also covered under your PIP insurance.

Your medical plan will only pay for your medical bills and not for any other people in your car or pedestrians who may also be injured. Another important reason to purchase PIP is that you can collect 85 percent of lost wages that are a direct result of your injuries. Your medical plan will not pay for lost wages.

You should also keep in mind that Maryland personal injury protection is not exactly the same as it is in Washington – the District of Columbia. Remember that PIP does not pay for pain and suffering and that you can only claim the combined loss of medical expenses and lost wages up to the total of your PIP coverage.

You may still have more questions such as whether you can still hire an attorney if the other driver was at fault or if your PIP will pay for medical bills not covered by your medical plan. For these and any other questions, please give us a call. An independent agent will be happy to answer all of your questions.

If you decide to buy a new car in Laurel, Maryland, you will also have to buy auto insurance. If you already have an existing auto insurance policy, you are usually covered under that policy for a short period of time so you can make arrangements to add the new car to your policy.

The grace period can vary from one insurer to the next, but generally, you are covered from 14 days to one month before you must have a new policy for the car you just purchased. It is always a good idea to check with your current provider to find out how such situations are handled so you do not run into any problems after you take possession of the vehicle.

If you decide to go to a dealership in Washington (District of Columbia) and trade in your old car, you will have the same coverage on the new car as you had on the old car. If you had a car that was only worth $1,000 and only had liability on that car, then you will only have liability coverage on the new car you need to insure.

If you finance your new car, the lender will almost certainly require that you carry collision and comprehensive insurance as well as the state-mandated liability coverage. It is therefore very important to contact your insurance company and add the extra coverage as soon as possible.

Although you may not legally be required to contact your auto insurance company for two weeks or 30 days, you should not wait that long. If you inform them that you just purchased a new car, they can make the necessary changes right away and you will avoid any questions about whether or not you are covered.

As your independent agent, it is our job to help you in such situations. If you are buying a new car and are concerned about making sure that there will be no lapse in your coverage, give us a call and an independent agent will take care of the paperwork.