Reader’s Question:

We decided to have a separate insurance for our teenage daughter once we buy her a car. Can we take her out already on our auto insurance policy here in Alaska? If she still uses our car and crashes it, will the insurer pay?

Adriel

Anchorage, AK

Once you have bought a new car and insurance for your daughter, it would still be a tough decision to make whether or not to exclude her on your auto insurance policy in Alaska if she is still using your car. You could opt to exclude her already in your auto insurance policy as you can decrease your premiums by doing this. This is going to be through a “named exclusion,” which means that your daughter will be excluded from protection under your auto insurance policy. However, doing this exclusion would require your daughter to have her own car and her own auto insurance policy.

Your daughter’s own car and auto insurance policy may not be a problem since you are already planning to do this. However, the problem may arise if your daughter still uses your car and gets into an accident. If she is already excluded in your auto insurance policy, your insurance company will not pay for any damages and injuries because she is an excluded driver. You may very well consult an insurance agent about this and check if it is allowed to have a named exclusion in your state.

Tags: car, car insurance, teen car insurance, young driver car insurance

Reader’s Question:

I just bought a used car here in Alaska but I haven’t registered it yet. I am thinking not to get insurance anymore since it is a used car, can I do that?

Justin

Anchorage, AK

There is a lot of coverage available in a regular car insurance policy. Normally, there would be differences when it comes to the types and costs of coverage you choose. But all of the states have sensibly passed insurance laws which mandate all motorists to have at least the minimum level of car insurance. A lot of states even mandate that you show proof of insurance before registering a vehicle. So no matter what the value of your car is, new or used, you need to have insurance for it because it is a requirement.

You should have at least the minimum insurance required in the state of Alaska and that is the auto liability insurance coverage. This will give coverage from liability claims against you in case you were found at-fault in an accident and this resulted in bodily injuries to other individuals and/or property damage. All states have required minimum amount of coverage for the liability insurance. The underlying principle of having laws about the auto liability insurance is that those drivers who caused accidents must be able to provide compensations for those people affected who had losses because of these accidents.

Tags: auto liability insurance, car insurance, used car

Reader’s Question:

I’m from Alaska, and I just want to know if you have any suggestions on how to deal with an insurance company if my car gets involved in a collision?

Lovely

Anchorage, AK

Car accidents can be very tricky, not to mention traumatic and expensive, so making sure you know what to do and what to prepare before filing that claim with your auto insurance carrier can save you lots of unnecessary troubles and frustration. Here are a few things one should remember when involved in a car accident as well as when dealing with an auto insurance carrier:

1. File a Police Report - You will need that police report for insurance purposes. As soon as you get involved in a car crash call 911 if there is anyone injured or otherwise needing emergency treatment first. Call the Police soon afterwards.
2. Exchange Contact Information - You would most likely have an Insurance Identification Card that has all the important information needed to facilitate claims and payments between the parties involved in the car accident, and their respective insurance companies. Also get license plate numbers and phone numbers.
3. Contact your Insurance provider immediately - Do not delay informing your insurance provider about the accident or you might not get the compensation you deserve.
4. Get ready to answer questions - You may be getting a follow up call from the other party’s car insurance representative (and with yours as well). Answer truthfully and accurately since this will be used legally as well. Make sure you take note of the name of the representative you spoke with and take note of what was discussed.

Tags: advice, auto insurance, auto insurance claims, auto insurance quotes, car insurance company, car insurance discounts

Reader’s Question:

Thank goodness I have never been in an accident but my brother was unfortunate to have been in one but his injuries weren’t too bad. If I’ll be unfortunate as well and be involved in an accident, how will my auto insurance company here in Alaska consider that my vehicle is totalled once I file a claim? Also, how will they determine the value of my car if they need to replace it?

Laurence

Anchorage, AK

It may be hard to cope after a vehicular accident and it can be traumatic at times, especially if you try to deal with your auto insurance provider in Alaska as well as the loss of your automobile. But it would be beneficial if you are familiar with the correct questions to ask, and have a practical knowledge of the circumstances. Your auto insurance provider may declare that your vehicle has been totalled after an accident if it could not be restored in safety. Also, your car is regarded as a total loss if it will cost more to have it repaired than the value of the vehicle. The laws in the state of Alaska could also mandate the insurer to declare it a total loss because of the extensive amount of damage on the vehicle.

To determine the value of your vehicle, the claim adjuster would consider the mileage, the state of the body, interiors and tires as well as the added parts or equipment on your vehicle. From the condition of the vehicle prior to the accident, the claim adjuster would look for similar models that are on sale in your neighborhood and would base the total loss approximation on the comparable vehicle. This process is what commonly known as determining the Actual Cash Value of the vehicle.

Tags: auto insurance claims, car, car insurance

Reader’s Question:

I’m a first time car insurance policy holder ( until recently, I’ve been under my parent’s insurance here in Alaska). What suggestions do you have so that I can still save on my car insurance rates?

Noemi

Anchorage, AK

It’s a big leap for teenagers and first time car insurance policy holders to finally get car insurance on their own. And as you may have noticed already, first time auto insurance rates and premiums doesn’t come cheap, but you really couldn’t stay under you parent’s auto insurance policy forever, right?. Don’t despair, you will only need to a couple of years to establish a good driving history, after which there should be no reason why you couldn’t get good insurance rates there in Alaska. In the meantime, here are a few tips and suggestions on what you can do to increase your likelihood of building that good driving record as well as keep auto insurance costs as low as possible:

Still In School? Get Good Grades
You may qualify for a Good Student Discount if you maintain at least an average of B or higher in school.

Take Defensive Driving Courses
Accredited driving schools in your area would qualify you to get further discounts on your auto insurance for learning to become a safer driver.

Consider Driving An Older Vehicle
You could lower, or even eliminate, your comprehensive and collision insurance coverage to help you keep your premiums low.

Become A Low Mileage Driver
Most auto insurance providers give discounts if you drive less than 10,000 miles annually.

Shop For The Best Rates
Just because it’s your first time doesn’t mean you wouldn’t find someone that can give good rates. The Internet is a great way to get more promos and insurance discounts.

Tags: auto insurance, auto insurance claims, auto insurance online, auto insurance policy, auto insurance premium

Reader’s Question:

Is it true that even short gaps in my insurance coverage can cause my auto insurance rates to go up? I recently moved to Alaska and I was wondering if this could be the reason my insurance rates are bigger here than where I came from.

Chuck

Anchorage, AK

Increased auto insurance rates, or in rare cases being denied auto insurance protection, can definitely be due to lack of or gaps in your insurance coverage. Driving without any form of car insurance protection is not very advisable, and is even considered illegal under the financial responsibility laws of many states, since this makes car insurance providers perceive you as a high-risk driver (due to taking the risk of driving without adequate financial protection). There is basis for this as studies have shown that people who pay high amounts for insurance actually drives in a much safer manner as those without.

There could be other factors involved that made your auto insurance rates there in Alaska. It is possible that it is just simply more expensive to get insurance there in your new location as compared to the old one. If you did not change providers, it is also possible that your comprehensive insurance clause became more expensive due to increased likelihood of accidents caused by snow-storms, skidding in ice and other natural events that may cause damage or loss of your vehicle.

Did you change to a more expensive vehicle? This could also affect but if nothing much has changed other than that you relocated and did not have coverage for an extended span of time, the gap in your coverage could have definitely increased your rates.

Tags: auto insurance premium, car insurance discounts, car insurance quotes, car insurance rate

Reader’s Question:

I haven’t paid too much attention on our auto insurance until now because we’d want to save as much as we could. In what ways do you think I can be able to have cheaper auto insurance here in Alaska?

Laken

Anchorage, AK

The first thing that you could to do have cheaper premiums on your auto insurance in Alaska is to review your policy. After that, you may speak with an insurance agent regarding the deductibles on your policy and coverage choices on each kind of required coverage. The most important ones include basic, collision and comprehensive coverage and of course, uninsured motorist coverage would cost extra. You may ask your agent or the auto insurance company itself for different quotes with specific groupings of coverage as well as deductibles.

You may also reduce your basic insurance coverage to the least amount that you feel secure with. In the state of Alaska, the minimum amount would be $50,000 per person and $100,000 per accident, which would be the payment the insurance provider would cover for every injured individual, and its overall cost. At times, this involves medical expenditures that, again, would have additional cost. You may opt to lessen your property damage coverage as well to the least amount required. Lastly, get as high deductibles as you can for comprehensive and collision coverage and observe the amount that you can save. Say, a deductible of $1000 would save you over $20 each month against a deductible of $500, it more likely wiser to get higher deductible.

Tags: auto insurance, car insurance premium, cheaper auto insurance

Reader’s Question:

I have been denied car insurance coverage here in Anchorage, Alaska because of my credit history, what can I do about that?

Beck

Anchorage, AK

The federal Fair Credit Reporting Act would let you request for a copy of your credit report for free from the agency used by the insurer if you have been denied car insurance coverage in Anchorage, Alaska because of your credit history. You may very well contest the information given to you if you know that the credit agency is mistaken. But if you have been rejected for coverage and you know that your credit rating has an effect on your ability to obtain car insurance, here are a few tips:

–You have to clean up your credit right away by paying your bills when they are due, avoid credit cards with high interest and don’t spend further than your funds.

–You may be an unknown quantity to the insurance providers if you lack history so go ahead and get some credit. Use your credit on a regular basis but you have to make sure that you pay them on time.

–At least once per annum, obtain copies of your credit report from the top three major credit agencies. Be certain that all of the details from each report are accurate. You can challenge any mistakes with both the credit agencies involved and the creditors.

–Don’t forget to shop around because premiums can be different for the same coverage.

Tags: car insurance, credit history

Reader’s Question:

I was under my parents’ auto insurance here in Anchorage, Alaska and I never really paid attention to it because I was not the one paying for it. Now that I have to get insured on my own, I need to know, what protection would auto insurance give me and my car?

Danielle

Anchorage, AK

Aside from the fact that auto insurance is required by law, you would really want to have it. The state requirement for auto insurance if referred to as liability insurance for property and bodily injury. This kind of auto insurance would give protection if you damage a vehicle, an individual or any property. There are also other kinds of auto insurance that would give you protection from uninsured and underinsured motorists who collide with you while you are driving your car or as a pedestrian. You may also have gotten off your parents’ health insurance and don’t have your own yet so this can be very essential.

You have to be certain that you have high coverage to give you protection against personal liability if you are at fault in an accident. However, that is not everything that your auto insurance in Anchorage, Alaska can do for you. There are other kinds of auto insurance such as collision insurance that would cover the damages to your vehicle from crashes that you cause. Also, comprehensive insurance would cover the damages to your vehicle from other things that are not caused by accident such as storms and theft.

Tags: auto insurance, collision coverage, comprehensive insurance coverage

Reader’s Question:

Would it be better to stay with a six-months car insurance policy or a longer one for my coverage here in Alaska?

Thomas

Anchorage, AK

Whether or not it would be to your advantage to get a short-term or long-term car insurance coverage depends on how well you are able to maintain a good driving and credit history. Normally, it would be a good start to have shorter car insurance contracts, especially if you are just beginning to build, or rebuilding, a good driving history. This will allow you to reap the benefits of being a responsible or safer driver in the form of reduced car insurance rates. Unfortunately, car insurance companies don’t really like you having such a relatively flexible policy. This makes their business unpredictable, as compared to having customers with fixed insurance rates for a longer period of time.

Another reason to stick with short-term policies is that long term policies rates generally takes into account any long term risk you may pose as a customer so long-term rates might actually be higher. So as you can tell, its a delicate balance between either short-term policies working to your advantage or, depending on how trends on car accidents are and the frequency of claim being filed in your area, give your car insurance provider there in Alaska more reason to hike your rates up. I suggest you review your car insurance policy well if you decide to get a six-month coverage.

Tags: auto insurance, auto insurance quotes, car insurance, car insurance rate