How to Choose the Best Auto Insurance Deductible

When quoting auto insurance for clients, we frequently discuss how to choose the right deductible.  We thought it would be a good idea to take a few minutes to share this information here on our website too!

What is a Deductible?

A deductible is the amount you pay out-of-pocket when you have a claim.  If you have a $500 collision deductible and have an accident, then you would pay $500 towards repairing your vehicle and your insurance would cover the rest.

The deductible you choose directly relates to the amount of money you spend on premiums each month.  The higher the deductible ($250, $500 or $1,000), the lower your monthly cost. 

So How Do You Choose? 

Cheaper price or lower out-of-pocket expense?

First, look at your emergency savings.  Do you have enough cash available to cover a higher deductible if you needed to pay it?  If the answer is no, then you’re better off paying a little extra each month.

Compare the cost savings.  When we run a quote, we can show you several different options.  Ask your agent to run the premium based on several different deductibles so you can see the actual dollar cost savings.

You can always change your mind.  If you’re short on cash now, but know you could afford more out-of-pocket next year, you’re always able to change.  Keep your deductible in a comfortable range and you’ll always be well protected! 

Questions? Call SAV-ON Insurance at 888-867-2866 for more information and a personalized quote. We're here to help!

'Back to School' Insurance

School supplies and clothes have been purchased and schools are in session in most cases. If you're heading off to college, it's coming up quickly.  What does that have to do with insurance? Here are a few things to keep in mind:

Good Grades - Many policies allow discounts for students with good grades. It's important  to keep those grades up! These discounts can apply to college students too.

Driver Training - There are different discounts available for Drivers Education classes. At SAV-ON, we can review all the options and let you know which discounts will impact you the most.

Moving To The Dorm - If you're in college, will you be living in the dorm this semester? Your parent's homeowners Insurance may cover your belongings without additional coverage being needed. This is called Property Off Premises coverage. Discuss this coverage with your parents, and if they need clarification, call us.

Remember, any claims would be subject to the deductible which is usually higher on home policies! Have your parents contact us for a policy review to check for the specific amounts of coverage included.

Moving To An Apartment - If you have recently graduated and from the dorms to an apartment, your parent's homeowners Insurance will not cover your belongings and they would need their own renters Insurance policy.

Renters Insurance is very affordable, and covers all of the contents of the property. It also provides liability insurance if someone were injured in the property or if someone caused a fire, etc. By making sure you are properly insured, your parents are also protecting themselves from any liability.

We work hard to make sure all of our clients have the right coverage at all times. The fastest and easiest way to make sure you are receiving all the discounts you qualify for and that your belongings are covered at college is to have your parents schedule a review! Have them call SAV-ON Insurance at 888-867-2866 to review their policy and situation and we'll make sure all of your questions are answered!
 

Affordable Car Insurance for Teenagers

Do you have a teenage driver (or one soon to be)?  Back-to-school time is a great opportunity to think about car insurance savings!

Having a teenage driver can be stressful.  You worry, first and foremost, about their safety and then about the costs.  And there are a lot of costs!  Things like purchasing an additional vehicle, getting licensed, and paying more -- in some cases, considerably more -- for insurance are just a few. 

Fortunately, you still have options.

First, you want to think about the vehicle your teen will be driving.  Premiums are higher on vehicles with comprehensive and collision coverage, which pays to fix your vehicle after an accident.  When you have a car that has only liability insurance (which pays only for damage your driver does to someone else’s car), you pay a lot less.

Don't Buy New. If you are purchasing a car for your teen and need to watch your budget, consider buying an older reliable model for cash that will not require comprehensive and collision coverage.  We can help you weigh the cost and the risk to see if it is a good option for you.

Look for Discounts. You also want to take advantage of all available discounts.  These vary by policy but typically include a discount for driver's education and one for having good grades.  With school starting soon, it's a great time to setup an incentive plan with your teenager to make sure they keep those grades up and your premiums low!

Put Them on Your Policy. Putting them on your insurance policy will raise your rates, but will keep it lower than if they have their own policy. If you're paying their insurance, this will save money. If, on the other hand, you're having them pay for their own insurance, then have them pay you the difference between what you were paying before and what you now have to pay. This keeps your rates the same and teaches your teen some responsibility, too. They'll drive more carefully when it will cost them, too.

Still have questions?  Call SAV-ON Insurance at 888-867-2866 to review your current policy and look for ways to help you manage the cost of having a teenage driver.

5 Ways to Save on Auto Insurance

Are you tired of paying too much for auto insurance?  No one wants to pay more than they have to!  That’s why it’s important to know what savings and discounts are available.  Here are a few things to discuss with your agent at your next review.

1. Is Your Driving Record Accurate?

Tickets, accidents, and claims will raise your rates!  That’s why it’s important to make sure your motor vehicle report is accurate.  Ask your agent if anything showed on your record and make sure that the information is correct.

2. Take A Defensive Driving Class

Have you taken a defensive driving course in the past? Let us know. You may qualify for a discount!

Don’t forget about driver’s ed classes for teenagers, too. Just get a copy of the completion certificate for your records. Many of these discounts apply for several years and give substantial savings. We have information local driver's education classes. Call us today and we can recommend some.

3. Increase Your Deductibles

The deductible is the amount you pay out of pocket after an accident (or for hail damage, etc.) The higher that out-of-pocket amount, the lower your monthly premium!

So if you are currently carrying $100 or $250 deductibles, consider raising them to $500 and keeping a little extra in your savings account.  You could save a lot each month while still being protected from any major damage.  We can give you prices for a range of deductibles to help you decide.

4. Find The Best Payment Options

Depending on your individual policy, we may be able to offer various discounts for paying your policy premium in full or putting it on a monthly bank draft.

While $3-4 a month might not seem like much, over time it really adds up!

5. Stay Accident- and Ticket-Free!

A clean driving record is rewarded by discount rates. Slow down, obey all traffic laws, and watch out for the other guy. SAV-ON is dedicated to moving drivers from high-risk to preferred rates through our Smart Drivers Program.

Call SAV-ON Insurance at 888-867-2866 for more information on this cost-saving program. We've helped many drivers cut their premiums in half or even more!

Teen Drivers and Marijuana: A Dangerous Trend

A growing number of teen drivers don’t see smoking marijuana as a problem. A recent study found that nearly one in five (19%) admit to driving after smoking the drug. Only 13% reported driving under the influence of alcohol.

With the recent legalization of marijuana in Washington state, many teens think it’s “no big deal” to smoke a joint or eat marijuana-laced candy or brownies, since it’s only considered a recreational drug. A study of nearly 2,300 11th and 12th graders across the U.S., commissioned by Liberty Mutual Insurance and SADD (Students Against Destructive Decisions) found that 70% of teens now say marijuana use is “very” or “extremely” distracting to their driving abilities, down from 78% in 2009.

These and other surveys reflect "A dangerous trend toward the acceptance of marijuana and other substances compared to our study of teens conducted just two years ago,” says Stephen Wallace, senior advisor for policy, research and education at SADD.

The new study's findings are disturbing "both in terms of the increased use of marijuana and from the perspective that many think this is not a danger," Wallace says.

Among teens who have driven after using marijuana, 36% say it presents no distraction when operating a vehicle. But other teens have experienced the negative effects of driving after smoking pot.

"It was the scariest thing ever." That's how 16-year-old Ashley, a high school junior in Nevada, describes her experience driving high. It was the first time she had ever smoked pot, and the friend she was with pressured her to drive home. "My vision kept going in and out, and I couldn't focus," she continues. "It was so hard, and we didn't get very far."

As 18-year-old Madelyn explains, "When you're high, you're supposed to be relaxed. But when you're driving, you technically can't be! I went numb. I wasn't sure if I was pressing the gas or the breaks or if I was moving at all. It was really intense, and the colors from the cars and the headlights were all blurring."

In fact, a recent review in medical journal BMJ found that high drivers are twice as likely to get in a serious accident than sober drivers, debunking anecdotal evidence and prior research to the contrary.

Even though marijuana is legal in Washington, if you are convicted of a DUI, whether it's from alcohol or pot, you will lose your drivers license, get fined and be sentenced to jail time. It's also on your record forever. Is it worth the risk?

Sources: USA Today, Teen Vogue, KIRO TV

Auto Theft is a Big Problem. Are You Protected?

There were nearly 700,000 motor vehicle thefts nationwide in 2013. Although 2014 showed a slight decrease, it continues to be a real problem. It is estimated that $4.5 billion is lost on motor vehicle thefts.

According to the FBI, a motor vehicle is stolen in the United States every 44 seconds!
Making the problem more aggravating is that for every 10 vehicle thefts, only slightly more than half (56%) are recovered, and about one is successfully prosecuted!  In 2012, for example, only 11.9 percent of auto thefts were cleared, either by arrests or by exceptional means, compared with 20.4 percent for arson and 19.0 percent for all property crimes. To make matters worse, many of the vehicles recovered are damaged or destroyed. Source: Insurance Information Institute

Be careful where you park your car, and what you leave in it. If you don't have a garage, make sure to have motion lights that will deter a would-be thief. When you're not at home, park in a well-lit area, and always lock your car. A survey of American drivers conducted in April 2007 on behalf of the National Insurance Crime Bureau found:

• One-third admit they have left their car while it was running, which makes the vehicle an easy target for theft.
• 47% don't always park in a well-lit area.
• 40% don't hide their valuables. In fact, nearly half leave mail in their vehicle, a quarter have left a purse or wallet, and almost a third have left bank statements, all of which can put them at risk for identity theft.

It Costs You!

Although 75% of respondents know that there are costs associated with vehicle theft in addition to paying the insurance deductible and the cost of replacing the vehicle that are not covered by insurance, virtually none knew that there are additional costs such as:

• Insurance premium increases
• The cost of time spent dealing with police
• Vehicle rental costs
• Cost of time off from work.  

The survey was conducted by Opinion Research Corporation.

Make Sure You're Adequately Protected!

Auto theft is covered by the optional comprehensive coverage on an auto policy. Without it you're on your own if your car gets stolen or vandalized. Don't take that chance! You can choose from a range of deductibles that will affect your premiums. The higher the deductible you choose, the lower your rates will be. SAV-ON Insurance agents are happy to help you figure out the best rate for your vehicle and save you money, too. Call us today at 888-867-2866 for a free estimate, or come in to any of our offices.

Driving in Inclement Weather Takes a Different Approach

Now that Western Washington is entering the rainy – and occasionally snowy – season, driving a car is much more difficult. Driving down dry pavement in summer, with lots of light during the day and dry conditions that make it easier to see at night, makes for a less stressful situation. This changes drastically when the days are dark and cloudy, the rain pelts against your windshield, and the pavement is slick.

And, contrary to popular opinion, it doesn’t much matter if you’re driving a four-wheel drive vehicle or not when the weather turns nasty. The amount of tire rubber that actually touches the road is miniscule (less than 10 percent). It's what is called the "tire-road interaction", and the interaction actually decreases at higher speeds. So having four of them activated is only marginally better than having two.

Car Care

All the skill in the world will not help much if your car and its equipment aren’t functioning properly. It’s important to have all your car’s functions checked by a certified mechanic before you get stuck, but there are some simple things you can do to prevent a breakdown or a collision due to faulty equipment.

Check your tires for wear. During the dry season, you may have had no problems driving and stopping with worn-out tires, but the minute the rains make the roads slick, you will find cornering and stopping is much more treacherous. You can easily check tread depth by inserting a quarter into a tire's deepest grooves, head pointing down. If you can see the top of George Washington's head, you have 1/8 of tread or less, and it's time to start shopping for new rubber.

Tire hydroplaning: left at 20 mph, center at 40 mph and right at 60 mph.

You probably won’t notice the worn tires until you need to brake suddenly and your car goes into a skid on wet pavement. If the tread is too worn, the water on the pavement is not channeled away by the tire, and your tires slide on a thin sheet of water that gets between your tire and the pavement. This is called “hydroplaning”, and will usually result in loss of control. Your stopping distance will increase, which can mean slamming into the car in front of you or running off the road. Either way, you’re in trouble!

Check your windshield wipers. Your wipers, which have probably been tucked safely away below the windshield most of the summer, are now suddenly called into action trying to keep your windshield from streaking with rain. After a summer of the sun beating down on the rubber blades, they may have become cracked or brittle. Check them now, before you get hit by a rainstorm while driving down a crowded freeway and find out they can’t keep the windshield clear anymore!

Driving Skills

Increase your spacing. When driving in bad weather, always give yourself more room to maneuver than you normally would. Your ability to stop on a rain-slicked roadway is greatly diminished. Leave more room to the car in front of you, and always give yourself an “out”. If something suddenly happens in front of you, where will you go? If you are near the road’s shoulder, you can turn off the road and onto the shoulder. If you’re in the fast lane, there might be a little bit of room between the lane and the barrier separating the oncoming lanes. Always be prepared for the worst, and you’ll give yourself a better chance of avoiding disaster.

Slow down. Not only is braking adversely affected by rain or snow on the road, but the ability to maneuver is diminished. Changing lanes, speeding up quickly and making turns are all more treacherous. Doing everything more deliberately and slowly is the best answer. Any quick maneuvers can cause your vehicle to go into a slide and you can easily lose control. Once the vehicle has lost its grip on the road, it is difficult for it to reestablish any control until the vehicle comes to a stop.  If your vehicle does begin to slip, pump your brakes -- don't slam on the brakes -- and turn your wheels into the skid. This can bring the vehicle’s front end back into alignment with the back and end the slide.

Stay focused at all times. With all the distractions that drivers have, it’s more important than ever to keep your eyes constantly on the road. Turn off your phone, don’t fumble with that cup of coffee that spilled, don’t try to change that CD that just ended! Every instant you take your eyes off the road is an instant that could cause a serious accident!

By being alert and focused while driving this winter, you’ll be safer and so will the drivers around you.