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Everything You Need to Know About Temporary Car Insurance

Sometimes, yearly car insurance just isn’t right for you. Although annual cover is usually the most practical, there can be times when you only want to be insured for a short period. Temporary car insurance makes this possible and it means that you can get insurance that allows you to drive somebody else’s car or allows them to drive yours. It runs from 1 day to 28 days and has a number of practical uses. Here’s everything you need to know about temporary car insurance.

When Might You Need Temporary Car Insurance?

car-financeMost people who get temporary car insurance only use it for a couple of days. One common use for temporary car insurance is long journeys and this is because people want to borrow their partner’s or friend’s car because it is either larger or more comfortable.

On that theme, space is the main reason that people get temporary insurance for vans. Generally, this is because they are moving home and they need something that is larger than their family car. Obviously, this is a huge bonus for both you and your friend who owns the van and probably doesn’t want to act as your personal chauffeur for a few days.

There are hundreds of reasons why you would get temporary car insurance and these range from insurance to drive your new car home or insurance for other people to test drive a car that you’re selling. In addition, short term car insurance is great for students.

What Will it Cover You For?

Temporary car insurance guarantees you comprehensive cover for the car that you’re borrowing and protects your no claims discount when you lend your car to somebody else.

Because of the nature of the cover, you can get quotes in seconds and even be insured within the hour; it is far less complex than getting annual cover and it is much quicker.

Although on a day to day basis the short term cover is more expensive than annual cover, it is still incredibly cheap over a limited time period, and if you want cover for something that lasts anywhere between 1 and 28 days, then it is a good option.

Finding the Right Policy

Short term insurance is widely available and, much like with annual cover, there are large variations in prices depending on the vehicle you’re insuring, your driving record and your level of experience. As you’d expect, some comparison websites also offer the cover, but using tools like an instant quote calculator means that going around individual retailers is relatively quick and you can cover some companies who aren’t on price comparison websites.

To conclude, there are a number of reasons why temporary car insurance is incredibly useful. So, if you want to borrow somebody else’s car or if you want to let somebody else drive yours for a while, then there’s an option for you. Surprisingly, short term cover is relatively cheap too, while still covering you for a multitude of sins.


How to Calculate the True Cost of a Car

Car SalesWhen you’re in the market for a new car, the process of comparing your options can be quite enjoyable. It’s an excuse to read up on all of the latest reviews and news, leaf through glossy brochures and hobnob at auto shows. You may already have a predefined budget in mind and a definite list of features that you consider must-haves in any new car. What do you do when you have narrowed down your choices to two or three key contenders, which seem to offer the same features at the same price? At this level of the process, you’ll need to dig a little bit deeper to find out what distinguishes one from the other. In many cases, this can end up being a factor that’s hard to see at first: the overall cost of the car over time.

Running Costs

There are many hidden fees inherent in owning and operating a car. Naturally, you’ll need to first consider the up-front cost of the car and insurance rates. Beyond this lies a whole world of future costs, depending on your usage patterns and vehicle efficiency. To find out the true price of a car, you’ll first want to figure out the combined sticker price and cost of insurance. Insurance companies weigh a variety of factors into their decision, including the type of car you drive. For example, one reason Opel Astra sales are high at the moment is due to the fact that this car continually ranks as one of the easiest cars to insure. Any car with a high safety rating and decent security system will incur lower insurance costs over time.
Fuel costs are also important to consider, so you’ll want to compare fuel economy carefully. Smaller vehicles, hybrids, or those with diesel engines will cost you less at the pump. Don’t forget to look at the cost of repairs when you are calculating running costs. Models with rare or hard-to-find parts could be quite expensive to fix should something go wrong, and will most likely incur higher insurance rates as a result.

Resale Value

Unless you plan on keeping your new car forever, you’ll probably end up trading it in at some point. Although it’s inevitable that it loses some of its value, some cars retain their value more effectively than others. Try to buy Audi A6 on Carsales or another model which retains over 50% of its value over three years. Cars with a family reputation, high safety ratings, or from a reliable brand tend to do the best. Because a car starts losing part of its value as soon as its driven off the lot, buying slightly used can work in your favour as well and give you more for your money.

True Cost Calculations

To determine the true cost of a car, you’ll need to take all of these various factors into consideration. Depreciation, taxes, fees, insurance premiums, repairs, maintenance, and interest on your car loan should all be factored into the final cost. Fortunately, there are numerous calculators which can help you work out these figures, such as those provided by Edmund, What Car, or Car Plus. These calculate the overall running costs over a five-year period of time, which can help narrow down your final selection of cars to find the most economical fit.


How to Save Your Teenager Money on Car Insurance

The Right CarGetting car insurance for your teen can be pretty tricky. Your teenage son or daughter isn’t experience – the insurance company knows it. If you’re not careful, your child will end up paying through the nose for their policy. Fortunately, it doesn’t have to be that way. Here are a few tips to save your child (and you) money on auto insurance:

Add Your Child To Your Own Policy

It’s tempting to shove your child out of the nest, and put him on his own policy, but this might actually be the most expensive route to take. Yes, it might cause your insurance policy premiums to go up if you add your teen to your policy, but it’s probably not as bad as your child having his own.

Check with your insurer. Sometimes, insurance companies will look at the situation this way: you’re a safe driver. Your teen doesn’t have experience, but you do. Therefore, it’s a safe bet that, if you’re willing to take on your child, your child must be a good risk. After all, why would you risk your good driving record by adding a high-risk child to the policy?

Choose The Right Car

Your choice of vehicle will impact your child’s premiums. Try to go for a used vehicle that’s pretty low-key. A car that has a high-performance engine is usually a bad idea. Insurance companies look at teenagers and sports cars as a bad mix.

Teens are young, by nature, and inexperienced. Put them behind the wheel of a fast car and there’s a high probability of a car wreck. Watch your premiums (or your child’s premiums) skyrocket. Keep your premiums low by getting a 5 year-old “grocery getter.” It’s not sexy, but it will give your teen experience and keep your premiums low.

Safe Driving Courses

Driver’s Education classes are another overlooked way to save money on insurance. When your child first gets her license, she has a unique opportunity to save money. Driver Education programs are different from the safe driving courses you take as an adult, although your child might be able to benefit from those too.

Driver Education gives extensive, and in-depth, education on driving fundamentals and your state’s driving laws. Because of this, and the fact that students must pass both a driving and written exam, insurers often look favorably on kids who go through this multi-month ordeal.

Encourage Good Grades

Good grades pay off. If your child isn’t Einstein, that’s OK. Try to encourage your child to study more, raise his grade average, and be more responsible. Consider hiring a tutor, if necessary. Yes, tutors can cost $45 or more per hour. But this cost pales in comparison to the amount of money you’ll spend year-after-year on insurance premiums if your child continues to get lackluster grades.

While not every insurance company will dole out discounts for “A” students, a fair number of them do. Check with your insurer. In fact, it might be worth shopping around for a company that does reward good grades since your teen might be on your policy for a few years. Every little bit helps.

Gillian Kearney is always looking for innovative ways to save money for her family and friends. She also enjoys sharing her ideas and research through blogging. Visit the Monkey.co.uk site for more ideas.


Five Automotive Features That Lower Auto Insurance Premiums

auto insuranceHaving a good driving record, and years of experience, are a great start to lowering your auto insurance premiums. You can also take defensive driving classes – those should help out a lot. However, there’s more that goes into premium pricing than just your experience. Many times, insurance premiums can be dramatically reduced just by buying the right make and model car. Other times, you can modify your existing vehicle to lower your premiums. Try looking at factors you haven’t considered before.

Age of The Car

The age of your car can dramatically impact the premiums. Too old, and your vehicle might not have the safety features insurers look for. Too new, and your premiums might skyrocket due to the expensive nature of replacement parts on new cars (i.e. replacement or repair on newer vehicles almost always requires expensive diagnostic equipment and the repair or replacement of expensive electrical components).

Try to buy vehicles that are up to 5 years old. If you’re purchasing a vehicle that’s older than 5 years, make sure it has excellent ratings in crash tests and replacement parts are not only plentiful but inexpensive.

Airbags

Airbags are universally recognized by insurers as being an awesome safety feature. Because of this, discounts are basically guaranteed if your vehicle has airbags. It should go without saying that, if you’re buying a newer car, it should come with a driver’s side airbag at minimum.

Look for vehicles with optional airbags though. A passenger-side, rear, and side airbags all add to the safety of the vehicle and reduce auto insurance premiums.

Anti-Sleep Alarms

Ever get so tired while you were driving that you started to fall asleep? That’s a dangerous situation, and insurers know that people who travel long distances (or work the night shift) will eventually have to figure out how to keep from falling asleep at the wheel. Some car manufacturers have capitalized on this by installing anti-sleep alarms.

Lexus and Saab’s systems track driver eye movements while Volvo and Mercedes’ systems are activated when there’s a change in vehicle performance or position. Sleepy drivers are jolted awake – and kept alive. You can bet that insurers will give you a discount for this as almost every one of them sees this as a giant leap forward in safety technology.

Active Theft Protection

Active theft protection includes a car alarm or some type of active anti-theft system that disables the vehicle’s ability to start. Car alarms have come a long way with features that can include infrared wireless ignition shut off – preventing would-be thieves from stealing your vehicle or even finding a wire to cut to disable the alarm. Some alarms also offer anti-hijacking protection. At the touch of a button, the system is armed. When you’re car-jacked, you simply get out of the vehicle and let the thief have your vehicle. As soon as the crook shuts the door, the system activates a countdown countermeasure. At the end of the countdown, the vehicle’s engine decreases speed and shuts off – unable to be restarted. This leaves your vehicle safe, and you can call the police.

Etched VIN Numbers

Etched VIN numbers are new, but insurers are picking up on this trend fast. With etched VIN numbers on your windshield, front and rear windows, your vehicle becomes harder to steal and part out. Everything is traceable and insurers love this as it reduces costs to them. That improved security, in turn, earns you a nice discount on your premiums.

Natasha Risinger is an auto insurance consultant who also enjoys blogging. Her articles mainly appear on personal finance websites. Check out the progressive auto insurance rates from www.autoinsurance.us, visit the link.

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What a Car Really Costs

Owning a car is kind of like owning a portable house: there’s more involved than just the cost of the initial purchase and monthly payment. Cars require care and have some very specific and, often, expensive needs. Even during an ordinary year—one in which you take no major road trips or do any significant amounts of driving (other than to and from work and errands around town), the cost of owning a car can be surprising.

Insurance

You have to have car insurance. It’s the law. There is no law, however, that says that car insurance has to be expensive. Insurance can really add up with unnecessary or unwanted coverage charges, so looking into a place like acceptance Car Insurancecar insurance for some good options for your particular budget. Let’s assume that you wind up with an insurance policy that costs you $125 a month. That works out to $1500 for the year assuming that you remain accident free and that your rate doesn’t go up.

Basic Maintenance Costs

Every car needs to have periodic maintenance done on it. You have to take it in for “checkups” every ten thousand miles or so. You need to get the oil changed regularly. You’re going to need tune ups. You’ll need to have your tires rotated (or even put on new tires). The cost of these things is going to depend on the type of car you have, how old it is, how many miles are already on it, etc.

Oil Changes can typically be done for $35 or so, or even as low as $15 if you find the right place. If you do two of those during the year that’s anywhere from $30 to upwards of $70.  A basic inspection with tire rotation for a newer sedan with 40K miles on it costs around $50.  That’s already $120 for the year and that’s without any major work or repairs being done. And the more miles there are on your car, the higher those inspections and “checkups” are going to be.

Gas

Everybody loves to complain about gas prices and talk about getting a bicycle to avoid having to pay the exorbitant gas prices that they see at the pump each day. Obviously doing that isn’t always practical (you live in the US, not the Netherlands). Let’s say you have a 15 gallon tank. At the time of this writing gas is around $3 a gallon. That means it costs $45 to fill up your tank. If you have to fill up your tank twice a month, that’s $90 a month or $1080 for the year.

So where are we? If absolutely nothing goes wrong, no repairs are needed and you don’t do any driving outside of what you do to and from a very close workplace and some nearby errands, you are still going to be paying at least $2700 a year—and that’s if only if you live somewhere with cheap gas!

What Can You Do?

There are plenty of ways to save money on car ownership. Make sure you get a car that has good gas mileage (hybrids are awesome if you can afford them). Shop around to make sure that you get the best rate on your insurance—which is helped by keeping your driving record clean of tickets and accidents. Actually take your car in for routine maintenance checks because skipping them will just result in more costly problems later on. Learning how to do basic things like oil changes yourself can also save you a healthy amount of money.

If you do these things there’s no reason that owning a car should hurt your bank account.


Just How Dangerous are Cars Compared to Motorcycles?

 

Motorcycle drivers are 36 times more likely to be killed in an accident than other drivers on the road. Eighty percent of all motorcycle accidents involve injury or death, and the injuries are more traumatic than those of car accidents.

Motorcycle drivers, who aren’t wearing helmets, are more likely to receive facial lacerations, concussions and skull fractures than other drivers. They are also more susceptible to breaking their pelvises, shoulders and joints, and they are more likely to be thrown from their vehicle resulting in road rash, cuts, scrapes and more broken bones.

It’s imperative that motorcyclists obey all traffic laws. Thirty-seven percent of motorcycle accidents are caused by speeding. Twenty-one percent of all motorcycle accidents are caused by drivers with invalid licenses. Thirty-three percent of motorcycle accidents are caused by drunk drivers. Twenty-five percent of motorcycle accidents are caused when the driver hits an object and 75 percent of accidents are caused when the motorcycle impacts another car.

Motorcycle drivers need to be extra vigilant when riding their motorcycles as compared to riding in a car. Only 23 percent of car drivers are in fatal accidents. Only 14 percent of all car accidents involve a motorists without a valid driver’s license, and only 20 percent of car accidents involve a fatality. Being vigilant means keeping an eye on the road and other vehicles, wearing the proper protective gear and obeying all traffic laws.

Infographic presented by Sutliff & Stout: Houston Injury Attorneys.


Getting Approved for a Car Loan with Your Bad Credit Score

Getting Approved for a Car Loan with Your Bad Credit Score

Many people who have recorded a bad credit score are aware of the fact that they can no longer benefit from other loans. The bad image of your credit history has led to a bad credit score and until you fix it you can not take advantage of another loan. But have you ever heard of the possibility of availing a car loan even if you present a bad credit score? Well, I am sure that you haven’t, but if you keep on reading you will find out how this is possible.

First of all you should be updated with the fact that there is in fact a bad credit car loan specially designed to help those known as bad credit scorers. In this category fit also the IVA’s, CCJs, the payment defaulters, bankruptcy cases, arrears, and so on.

All these bad credit scorers must have previously applied for car loan with various lenders, but they have been turned down. This is the reason why these bad credit car loans have been issued as the helping hands for these bad credit scorers.

Now that you know that these possibilities are available for you, too, you should start looking for the terms. In this way you will find out that these…’special’ loans, let’s call them, come as secured, but also as unsecured loans.

With the secured loans, as you probably know already, you should present some sort of collateral to back up your loan, while the unsecured loans do not ask for any mandatory collateral. When benefiting of these loans you should learn that you can ask for an amount that is the same with the price of the car you want to purchase.

Once the loan will be approved you must be aware of the terms of repayment, and see if you can cope with them. Generally, the repayment terms for a car loan in your situation are from 2 to 5 years, depending on the amount you have borrowed. Do not overlook also the option of buying yourself an old car (no older than 5 years) while you avail the bad credit car loan.

Applying for a bad credit car loan you must present the following documentation: an up to date proof of being employed, a proof of your residential place and in some cases you might be asked as well to make some down payment.

Take notice of the fact that bad credit car loans have to be repaid in a relatively short period of time. Apart from this, you should always make sure that you will have the means to be on time with re-payments, keeping in mind the fact that interest rates will be set a little bit higher. This is why it is on your own advantage to first proceed into some online shopping and compare prices before reaching for the bad credit car loan that matches your needs.


Buy a car like a pro

Buy a car like a pro

Imagine showing up at the dealership with no information about the car you’re there to buy. No idea of the sticker price and no clue about dealer invoice cost. You don’t even know how much the loan payments will be. Financial suicide, right? Not anymore.

In the current age of smartphone technology, being elbow-deep in books to get the necessary information is definitely a thing of the past.

These days, phone apps and internet sites exist to put all the information you need literally at your fingertips, all while you’re standing on the showroom floor.

For example, a site like moneysupermarket.com is good as moneysupermarket compares car loans. These sites give the prospective buyer a series of quotes from leading financial institutions.

Knowing how much you have to spend on a new car and what each payment will cost per month is vital to the negotiation process.

Compare interest rates on your phone while a dealer is quoting their own financial loan package. Suddenly, knowledge is a whole new kind of power as you negotiate a better rate based on real-time data.

Calculate in mere seconds the difference between wholesale cost and the Manufacturer’s Suggested Retail Price. You’ll be able to use that knowledge effectively when negotiating a lower price.

Also, do you really need those extras? Salespeople often try to tack on expensive features to improve their bottom line. Fabric protection, rustproofing and other options will add to your final cost.

Free phone apps can assist buyers in researching automobile features and add-ons, once again placing the power of knowledge back in the hands of the consumer.

Phone apps can also show exactly which dealerships in your area carry the car you want to purchase. If one dealer seems unwilling to meet your price, or give decent value for your trade-in, try another dealer.

Sometimes, just heading for the door is enough to stimulate a stalled negotiation process. Knowledge of the latest data can give you the confidence to shop around for the best deal.

Phone apps can save you time and money once you buy your car as well. State laws vary when it comes to car insurance requirements. Know exactly what is necessary for insuring your car and receive side-by-side rate quotes with apps that compare insurance providers and plans.

Most car insurance companies also offer apps for roadside assistance should you ever get in an accident. They provide information about local police stations, hospitals and auto body shops, giving you peace of mind while you’re on the road.

Salespeople prey on the unprepared. Knowing the exact value and features of a car and what loan options and insurance packages exist, only serves to empower the buyer.

Armed with real-time data, automobile purchases become less of an emotion-based, impulse-buy. Instead, the process becomes one in which the buyer is always in control.

When it comes to the cost of big-ticket items such as cars, forewarned is definitely forearmed. Utilize the latest in technology and information to return the power where it really belongs – with you, the consumer.


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