Know what you may be paying for car insurance.
$762 a year is what the average American spends to insure their car. A lot of times, the rate you pay is based on where you live. Many could be paying less, but don’t realize they are eligible for several discounts that they weren’t aware of.
Here’s a list of average discounts per year for these factors.
- Low Annual Mileage – $84
If you drive 7,000; 10,000; or 12,500 miles per year, you may drive a small enough amount to be considered for a discount.
- Use of Car – $76
If you only use your car for farming, you’ll receive the greatest discount for this factor. If your car has a specialized usage, be sure to tell your insurance agent and you may receive a discount.
- Renewing in Advance – $61
If you renew an average of 10 days before you would normally have to, many companies offer a discount for this too.
- Loyalty – $46
Been with your company for a while? Loyalty is rewarded in this industry.
- Owning a Home – $46
Being a home owner, apartment owner, or condo owner can save you some dough too.
- Bundling Life Insurance – $30
If you have a different type of insurance policy with the same company, this might earn you some savings as well.
- Automatic Withdrawal $30
Business love auto-pay. This way they know payments have more of a likelihood of being paid on time.
- Short Commutes $30
Only go a short distance from home to work. This will earn you points!
- Sunday Driver? $30
If you don’t drive every day of the week, this is a big factor in rate assessment.
- Car Owner $30
If you own rather than lease, you could receive a discount too.
- College Grad $30
Believe it or not, college grads are less of a risk.
For all of your car insurance needs in Austin, Texas, contact the Insurance Agency of Dean Davis.
Know the difference between these two life insurance policies.
Term and whole life insurance are both viable sources of coverage, but one of them is probably better for you. Also keep in mind that you are a changing person and that your needs change as you grow. What may have been best for you five years ago may not be now. Here is a guide for you to compare and contrast the differences between term and whole life insurance.
Term Life Insurance
This kind of life insurance is designed to cover you through a specific amount of time when they can’t afford to pay whole life insurance. There is no cash value, but there is a guaranteed death benefit. The premiums will increase at certain times such as after a year, 5 years, 10 years, etc.
Many people choose this kind of life insurance during the time when their family is growing and as a way to have something in place of permanent insurance during years where financial responsibilities are higher than income.
Whole Life Insurance
As opposed to term life insurance, whole life insurance is made to give insurance coverage plus “living benefits” which includes cash value accumulations—as long as the insurance premiums is being paid on time. The insurance remains valid regardless of health.
In the long run, whole life insurance is better because it covers you for your whole life (hence the name). Once approved, the coverage cannot be taken away as long as premiums are paid. Even if your health is declining, the insurance will remain in place.
Also, this type of insurance builds cash value, as long as premiums are paid on time. You can use this cash value in the future for any purpose through a policy loan. You can use it to put a down payment on a home, pay for your children’s education, or for retirement!
For all of your life insurance needs in Austin, Texas, contact Insurance Agency of Dean Davis.
Auto Insurance Myths Debunked
Finding the right auto insurance policy to invest in is much easier said than done. With all the policy and coverage options that are available, as well as the many auto insurance myths, it can be difficult to ensure that you invest in the right amount of coverage. Make sure you know the truth behind these 3 auto insurance myths so that you invest in the right policy to meet your needs.
- Myth: The color of your car will determine the price of your auto insurance. Your auto insurance company will probably not even ask what color your car is when determining your premiums. The rate of your auto insurance policy is based off the make, model, engine size, body type, driving record, and credit history, but not the color of your car.
- Myth: Your credit score does not affect your auto insurance. When you are looking for the right auto insurance policy, your insurance agent will pull your credit score to help determine your premiums. Studies have shown that people who have higher credit scores tend to file fewer claims, which will help to keep the cost of their policy low.
- Myth: You only need the minimum required amount of liability insurance. While legally this is true, it is not practical. In fact, many insurance companies will not even offer the bare minimum of liability insurance when you are looking for a policy. When investing in a policy, you should opt for the highest amount of coverage that you can afford to ensure that you do not have to pay for any damages out of your own pocket.
Contact the insurance professionals at the Insurance Agency of Dean Davis in Austin, Texas for all of your auto insurance coverage needs to ensure that you have the right amount of coverage for any incident on the road.
Usage Based Tracking Systems
Along with the typical discounts that are available to help you save on your auto insurance, many insurance companies are starting to offer usage-based insurance. Instead of using the traditional risk assessment, these discounts will rely on your real driving habits. There are two basics ways in which usage based discounts can work, including:
- Good driving habits – with the installation of a “black box” in your car, certain driving habits and information will be sent to your auto insurance provider, as well as the number of miles that you drive. It will be able to tell your insurance company about the speed that you drive, as well as if you drive at high-risk times.
- Pay by the mile – these discounts are based solely off the number of miles that you drive each day, and no other factors. They are used like a minute based cell phone plan.
These tracking devices have many pros and cons, including:
- Less expensive premiums – just like with any other discount that you take advantage of, these discounts will help you save money on your auto insurance rates.
- Better driving habits – when you know that you are being watched, you are less likely to engage in risky driving habits.
- Overage charges – with the pay by the mile option, you may have to face heavy overage charges if you drive more than you say you will.
- Installation costs and fees – certain programs will come with fees to have the systems installed in your vehicle, and a monthly fee to maintain the system.
For all of your auto insurance needs, contact the Insurance Agency of Dean Davis in Austin, Texas. We will work with you to ensure that you have the right amount of coverage, all at the right price.
Seat Belt Safety
Seat belts save lives. Many studies have proved that this fact is true, which is why it is so important to make sure that you and your loved ones buckle up every time you get into the car. When it comes to children, a typical seat belt may not provide enough protection depending on how old they are. Keep these seat belt safety tips in mind to ensure that your precious cargo stays safe on the road.
- When deciding if your child is old enough to graduate out of their booster seat, use a safety belt fit test. When your child’s back is completely against the seat back, their knees should bend over the edge of the seat, allowing the lap belt to fit across the upper thighs. The shoulder belt should hit your child across their shoulder and chest. Typically, children are between 8 and 12 years old when they can safely sit with just a seat belt.
- If your child passes the safety belt fit test, make sure that they know the importance of wearing their seat belt every single time they are in a car, whether it is with you or someone else. Installing this habit early on will help to ensure that they will buckle up for the rest of their lives.
- When you set a good example for your children by wearing your seat belt, they will be more likely to wear theirs.
- Do not allow your child to wiggle out of the shoulder belt of their seat belt. In order to provide proper protection, both the lap band and shoulder belt need to be worn.
Along with wearing seat belts, having the right auto insurance is the best way to ensure that you stay safe while on the road. Contact the Insurance Agency of Dean Davis in Austin, Texas for all your auto insurance needs.
High Risk Insurance Basics
Most people on the road, especially if they have been driving for a long time, have had some type of ticket. However, there are also those drivers who have had multiple or more serious tickets, which can lead to very high insurance rates. High-risk insurance, also known as non-standard insurance, is meant to provide coverage for those drivers who have had multiple run-ins with the law.
There are many situations in which you can be considered a high-risk driver to your auto insurance carrier, including:
- If your license has been revoked or suspended and you require an SR-22 in order to reinstate it. If you need an SR-22 to get back on the road, the Registry of Motor Vehicles will notify you.
- If you are 70 years old or older. Some insurance companies will view entering into your golden years as also making you a high-risk driver.
- If you are 20 years old or younger. Statistics have shown that people who are 20 years old or younger are more likely to get a traffic ticket or be involved in an accident, making you a much higher risk to your insurance company.
- If you have a past history of violations or auto accidents. The more points you have on your record due to past tickets or accidents can cause higher rates for your auto insurance.
- If you have been convicted of a DUI or DWI. Being convicted of a DUI or DWI can lead to serious hikes on your auto insurance, while also qualifying you for high-risk insurance.
For all of your auto insurance needs and to ensure that you are properly protected while on the road, contact the insurance experts at the Insurance Agency of Dean Davis in Austin, Texas. We will work with you, no matter your past driving record to ensure that you have the right amount of coverage.