You can pay as you talk with a cell phone plan, so why not pay as you drive auto insurance? It sounds like a good idea; but would pay as you drive auto insurance work for you?

The idea behind pay as you drive auto insurance is simple. Basically its this- if you do not drive very much, you will not pay high insurance premiums. Advocates for this type of insurance policy think that there are many merits to this type of program. Less air pollution, lower gas consumption, and lower costs to the consumer among them.

What if you car pool to work, or take public transit? You are not using your car very much so why are you paying high premiums. With a pay as you drive auto insurance premiums you would be able to quite literally pay as you go. Another situation where this plan would be of benefit is that of many retirees who have winter homes in temperate climates, the ‘snowbirds’ living in Florida or Arizona six months of the year and six months in New York or Toronto for example.

Essentially the insurance companies would set an average driving amount for each car type. It could then be broken down into a cents per mile basis. If you wanted to us the pay as you drive auto insurance system you could purchase a set number of miles and you would be covered for insurance during this period.

Pay as you drive auto insurance is an excellent idea for those individuals who do not use their car very much or try to find cost saving methods or environment saving alternatives. Currently this type of program is not yet available, but there are supporters in many states who are hoping to change that soon.

Groups including Environmental Defense, the Conservation Law Foundation and even the U.S. Environmental Protection Agency are working to organize a national cooperative that would work with insurance companies to offer deep discounts for low-mileage drivers; halfway a step toward PAYD (Pay As You Drive) insurance.

General Motors and On-Star Offers PAYD Rates. In mid-2004 General Motors Acceptance Corporation (GMAC) Insurance began offering mileage-based discounts to OnStar subscribers located in some states. The OnStar system reports a vehicle’s odometer readings at the beginning and end of the policy term to verify mileage. Motorist who drive less than specified annual mileage can receive insurance premium discounts of up to 40%.

PAYD programs are also currently available in Israel, South Africa and Holland. PAYD is gaining momentum, and will be coming to your area soon.

D.Demetre is a contributing author at Online-Car Insurance.us where you can find Cheap Auto Insurance

Who can you talk to about auto insurance? Insurance agents are a good source. However, due to their life lessons, their love, and their own financial responsibility, parents are an invaluable source to talk to about auto insurance.

Auto insurance is risk transference. This means you are transferring the risk of financial loss from an accident to a company for the cost of a premium. You should purchase the amount of insurance you can afford.

If you purchase too much insurance, you run the risk of not being able to make your monthly payments and your policy’s subsequent cancellation. And, as a result, you will have no insurance at all. If you do not purchase enough insurance, you run the risk of financial ruin when an accident occurs, when you could have afforded the extra coverage.

Insurance agents are a good source to help determine your insurance needs. They can explain the various types of insurance coverage to you. They can often offer you the types of coverage you are looking for to meet your financial needs. They can also find companies that are flexible when it comes to making changes to your policy when your insurance needs changing.

Insurance agents can give you other pertinent information about insurance companies. Part of their job is to answer questions you might have concerning insurance and the different types of coverage that are available to purchase for your vehicle. They are licensed by the state in which you live and they drive on the same streets you drive on so you should not be afraid to ask them questions.

However, parents are an invaluable source when it comes to getting advice on your car insurance needs. I realize that your parents were most likely raised in a previous generation and the gap from their generation to yours could lead to a viewpoint on life-matters which differ from your standpoint.

A difference in opinion between you and your parents is probably true on many matters. And as a result, this might have led to a decline in communication with them. However, their life experiences and closeness to you make them the perfect candidates to talk you about auto insurance. Their experiences over the years have given them an invaluable amount of wisdom. Also, since they love you, you know that their advice will also come from their hearts (besides their heads).

Besides their wisdom and love, parents may also have a financial interest in you. If you are a dependant or a minor, the state in which you live may hold your parents accountable if you are involved in an accident. As a result, they may require you purchase enough insurance to protect their financial assets as well as your own. And if they want you to purchase more insurance than you can afford, to protect their financial interests, they may help you with your premiums.

When it comes to discussing auto insurance, agents are a good source. However, due to their life experiences, their love, and their own financial responsibility, your parents are an invaluable source. Take a couple of minutes and ask your parents their thoughts on insurance. That couple of minutes might save you a couple of dollars, or a lot more, in the long run.

Visit http://www.carinsurance.com for Car Insurance

John Machmiller is a representative of CarInsurance.com. You can visit CarInsurance.com at http://www.carinsurance.com or contact them at 1-877-327-8728.

CarInsurance.com’s online insurance marketplace gives an opportunity to consumers and to insurance companies. We offer the ability to shop for car insurance online.

Consumers can receive quotes from many insurance companies, in some states you are able to purchase your insurance instantly, online. You don’t have to drive your car to buy car insurance. Buy online… anytime!

Many people ask, If I am supposed to get a renewal discount, why do my premiums seem to increase with each renewal? The answer is not always so simple. Each year, new vehicles cost more then they did the previous year. It will probably cost more to fix a damaged vehicle than it did last year, or five years ago when you first bought your current policy. However, in many cases, your renewal premium will be less. Some factors that contribute to decreases in your premiums are straightforward.

According to the Insurance Information Institute (I.I.I.), the cost of auto insurance is expected to rise only 3.5% in 2004, the smallest increase over the last four years. Why? The number of auto accidents is on the decline due to better drivers and safer cars as well as crackdowns on fraud and abuse. However, due to the rising costs for medical care, vehicle repairs and skyrocketing jury awards the potential of price increases remain a problem. Rising automobile theft rates and fraud will keep costs higher for motorists in some states, such as Florida, Massachusetts, and New York.

The projected increase represents a substantial slowdown from 2003 when auto insurance costs rose by 7.8 percent, the I.I.I. observed. The average cost for auto insurance nationwide for 2004 is estimated at $871, an increase of $29 per vehicle from last year.

Unfortunately, even though drivers are filing fewer claims these days, the claims that are filed are costing the insurance companies more than they used to. It is costing more to repair cars as the amount of damage sustained in crashes is up from what it was a few years ago. Some in the industry feel this is due to accidents involving sport utility vehicles.

The cost of medical coverage is also increasing. This year insurers could pay as much as $20 billion in medical claims. Higher costs for hospitalization, medical care, medication and associated legal costs are also to blame.

What can you expect to pay for insurance? In many cases, your renewal discount will offset a rate increase from your company. It can become hard to keep track of increases if you make many changes to your policy. When you move to a new residence or get a newer vehicle as these factors affect the rate you pay. Your driving record is also one of the factors the insurance company uses in determining your rate. Go to http://www.carinsurance.com. Not only will you get the rates of various insurance companies, you will see the A.M. Best rating for each company along side their rates for you personal situation.

Now is the time for your fingers to punch their way to a quick rate analysis and view the ratings at the same time.

Visit http://www.carinsurance.com to Check Out the Lowest Premiums Available!

Jon Register is a representative of CarInsurance.com. You can visit CarInsurance.com at http://www.carinsurance.com or contact them at 1-877-327-8728.

CarInsurance.com’s online insurance marketplace gives an opportunity to consumers and to insurance companies. We offer the ability to shop for car insurance online.

Consumers can receive quotes from many insurance companies, in some states you are able to purchase your insurance instantly, online. You don’t have to drive your car to buy car insurance. Buy online…anytime!

The UK alone has increased the coverage on car insurance. Currently the USA is in the process of increasing the rates of insurance as well. While, home insurance in the UK in decreasing, the car coverage is on the rise. Recently the ?AA?s British Insurance Premium Index? exposed new discoveries that over a few months the standard ?cost of annual full comprehensive? policies reached a soaring rate of ??757.? The cause of rise is explained by the many companies that compete to allure in policyholders, yet at the same time, this competing stage has lowered premiums slightly. Thus when considering car insurance it is wise to search the marketplace for the best rates.

Triple A is one of the leading car insurance providers, and the service often offers emergency roadside service, and so forth. The Triple A service offers support for ?one-stop shopping? meaning that the policyholder is able to meet all his expectations in a single trip. The policy will cover car rentals, and more, including offering discounts to policyholders for continue travel. If discounts will extend to hotel stays, flights, cruises, and so forth. The company will help the policyholder by providing discounts and making the ?reservations? including ?procuring? ?e-tickets.? Triple A is one of the leading car insurance providers and is highly reputable.

To help you find the right car insurance many companies online offer free quotes. The quotes will help you review rates over ?50 states? including the UK. Getting a quote for car insurance online, is the best option since the quotes offer a convenient method for comparing rates and coverage at the same time helping the customer to save money and time? Car insurance online is often cheaper, since there are no overhead costs often.

State Farm is another well-known car insurance provider. The mission of State Farm is to help customers manage their life, by reducing the risks. State Farm is one of the better car insurance providers because the companies will payout in a timely manner on a claim. The policyholder must have full comprehensive coverage to get the maximum coverage; however, it is worth it since less hassle is involved when filing claims. For the most part the company will provide discounts if the clients has not received tickets for not wearing seat belts, or even discounts on non-traffic tickets.

State Farm offers coverage for campers, cars, utility trailers, offer road motorcycles, motorcycles, travel trailers, antique cars, classic and replica cars, buses, commercial vehicles, and so forth. The company covers motor homes also, as well as recreational vehicles.

To get a quote from a local State Farm agency you will need to provide a few details. The company will expect current policy information, since in most states it is illegal to not have coverage. You will need to provide the type of vehicle to cover, including Vehicle Identification Numbers, as well as information about the vehicle status, including seat belt, air bags, security systems and so forth. You will also need to provide a valid driver license, and any details of violations of the law. In other words, you will need to show a record of tickets or accident occurred during your time driving. If you have more than one car to insure many insurance agencies will provide discounts.

Many insurance companies for auto will cover various claims, including bodily injury liability. The claims will cover the policyholder if the driver is in an accident. Most policies will cover collision, and other related costs caused by the accidents. If you are in an accident and you are accused of causing the damage you are at risk of lawsuits, thus having comprehensive coverage can make all the difference in the world.

Finally, it is against the law to not have insurance coverage in most states. Thus, having insurance can save hassles, and sense the cost of insurance is increasing it is wise to compare companies to find the best rates and get coverage now!

Authored by Michael Bens. For more great information about all forms of insurance visit our free online insurance publication the Gabae Insurance Source to find the information you’re looking for!

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