Cheap Import Car Insurance: What You Should Know

Posted by on October 29, 2010 No comments

Obtaining car insurance for your imported car is a little different than a domestic vehicle. There are factors at play that will affect things like how much you will pay, who you will get insurance coverage from, and how you should go about getting finding insurance.

Insurance companies view imported cars very differently than domestic ones. First of all, they come from a different country that has different regulations for car makers. They are not required to meet the same criteria and posses the same certifications as American made vehicles. That is not to mean that they are of lesser quality, it just means they are not recognized in the same way. Second of all, mechanics for these cars are less abundant in the United States which makes it a little more difficult and expensive to have these cars repaired. They have a different design than what most mechanics are used to they don’t have the skills to repair them. The parts are also a factor. Parts for imported cars have to be imported as well, which only increases the repair price. Insurance companies understand that it is simply more expensive to repair imported cars and will charge a higher price to cover them.

Another reason import car insurance is so expensive is because of the modifications that are usually made for them. People who buy imported cars usually want to go fast and are buying it so they can make performance upgrades. Now, if you were an insurance company, why would you hesitate to insure someone who has a modified import? The answer is pretty obvious. This person will obviously be driving fast and probably have an accident, which leads to insurance claims. This is another factor the companies take into account and add on to the quote price.

The strategies behind cheap car insurance quotes are mostly the same for any kind of vehicle. The first thing you need to understand about an import is that some insurance agencies absolutely will not insure them. They find them to be too high of a risk and won’t take the chance. This means you might have to check into specialty insurance providers that specialize in imported cars. This of course is going to be higher, but that should be understood when you bought the car. The best thing you can do is get an online car insurance quote from as many companies as you can. Shopping around will give you several options to choose from. Once you find a quote you like, call them on the phone and try to get as many discounts as you can. You have to ask about things like having a good driving record, driving very few miles per year, safety features on the car, etc. Sometimes they won’t ask you so you might have to bring it up.

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About Used Car Dealer Insurance

Posted by on November 19, 2010 1 comment

In most states, it is a requirement to have used car dealer insurance before you can get a dealer’s license.  The amount will vary from state to state, however it is a necessity. Otherwise, you will be declined when you apply for your license. The insurance is to insure the cars on the lot and the garage or building associated with the lot. The building is another requirement for a dealer’s license. If you have employees working at your lot, you will also need workers comp insurance. This is not usually a requirement for a license; however, it is a law that you must provide workers comp to all employees. If you are thinking you can get away with not having used auto dealer insurance for your business, think again. When that first hail storm comes and ruins every car on your lot, you will be wishing you had it. What about when someone wrecks your car while they are test driving it? Better yet, wrecks it into your building? You can’t always rely on the other person to pay for the damage. Do yourself a favor and get the minimum required at the least.

Where do I Start?

The first thing you need to do before you buy insurance is determine what exactly your needs are. Every car lot no matter the size must have liability insurance. If you are looking for the bare minimum just to apply for a dealer’s license, look up your states dealer’s requirements online or check with your local court house. If you have a small lot with no employees and a few cars, the bar minimum required by your state should be plenty. If you own a larger lot with several cars and a few employees, you may want to consider upgrading from the bare minimum. This would be something you could discuss with an insurance agent at the time of buying.

Where Do I look?

I would begin by searching the internet for companies that provide this type of insurance. Online is normally a good for cheap car insurance quotes. Local insurance companies might be out of the question for you, as many companies do not provide insurance to business. Do some searches online for car dealer insurance or auto dealer insurance and see what you come up with. Many companies that provide insurance to all businesses will also insure your car business. If you need workers compensation, be sure to ask about if they provide it before you buy. This will make sure you get all your coverage from the same company.

Car Insurance Under 25: The Basics

Posted by on November 17, 2010 5 comments

When you buy car insurance, you obviously want to get the best deal possible. Going into it blindly and not gathering all the facts beforehand could cost you a lot of money. You won’t know where to look for discounts and might be taken advantage of. If you understand the details of buying car insurance under 25 and why the costs are usually higher, you can develop a game plan and know exactly what to expect when you begin speaking with insurance companies and getting quotes.

How to Get Discounts

Trying to get cheap car insurance for young drivers is similar to getting cheap import car insurance. They both have several of the same factors that raise the price of the premium. As I have said in other articles, you need to understand the insurance point of view and think like an insurance salesman. What would you charge to cover yourself, in other words, what is it about you and your car that you would give a discount for or raise the cost. If you drive a fast car with a history of car accidents or traffic tickets, you would obviously charge more. If you drive a safe and reliable car and you have a good history, you would probably give some discounts here and there. Before you begin to contact insurance companies for quotes, make a list of things about you and your past that show you are a good person that deserves a discount. Things like good grades, outstanding achievements, a house or property you own, good driving record, driving training you have completed, a degree, etc. If there is anything you can think of that the insurance company might give you a discount for, add it to the list. If you are not sure, add it anyways, all they can do is say no. When you go to compare car insurance quotes, let them know about all of these things on your list and see if discounts are awarded. Don’t expect them to ask, because they won’t, you have to ask for it.

Why Do I have These High Costs?

It is just a fact of life that car insurance for teenagers and people under 25 is just higher. When you go to the insurance company, you need to be prepared for certain things they will charge you for. It is a fact that young drivers are prone to accidents and speeding tickets. This is the main reason for the higher prices. On average, young drivers also drive cars that are fast or sporty. This is just another reason for the insurance company to jack up the price. If you buy a car that is cheap, safe, and reliable, you are already setting yourself up for a cheaper premium. If you have a few tickets and a fender bender on your record, be prepared for an expensive quote. The combination of a young driver and a poor record is subject to extremely high car insurance, trust me I know.

This information gives you some insight to how and why insurance companies determine the cost of car insurance. Now that you have this knowledge, you are able to get the cheap car insurance you are after.

Cheap Car Insurance for Men Online

Posted by on November 4, 2010 No comments

A male definitely has some advantages in life; however, paying for car insurance is not one of them. It is true that women get cheaper car insurance than men, so guys have to do a little extra work to get the best deals for their car insurance coverage.

Insurance companies are not judging you for your character and assume that you will be more expensive to cover than a woman; they are simply going off the facts about men and women drivers. It is a fact that women have fewer accidents than men. It is a fact that men spend more time driving than men. It is also a fact that a woman is more likely to win a court case than a man when it comes to car accident settlements. Women are also more defensive drivers and so on and so forth. Insurance companies take these facts into account and consequently are more willing to give cheap car insurance for women than men. Does this mean men are screwed and just need to bit the bullet? Well, not exactly.

The same principles that are used to find cheap car insurance for young drivers are used to find it for men. You need to use every good thing in the eyes of the insurance that you can to show them you are a good and responsible driver. You should be thinking about this even before you buy your vehicle. Unlike obtaining cheap import car insurance, you have the opportunity to lower your insurance by getting a vehicle that is favored in the eyes of insurance companies. Think about what women usually drive compared to men. I guess I’m telling you to think like a women. On Average, women like to drive cute comfortable cars that are reliable and safe. Men on the other hand, like sport cars that go fast and cost a lot of money. I’m not saying that women want cheap cars, but they don’t spend their money on speed and a badass look. Instead, they spend it on luxury, reliability, and safety. So, when you are out shopping for a car, forget about going fast and a sporty look. Look for something that is reliable and safe. I’m not saying you need to drive something that is lame, just stay away from the fast sport cars. Instead of the Pontiac GTO, go for the G6 or G8.

If you have a good driving record, make sure you tell the insurance company about it. Most companies will give you a discount for not having accidents or speeding tickets. It is like the progressive commercials where the guy gets discounts for several different things, like owning a home. The more you can prove to the insurance company that you are a good and responsible citizen, the more likely you will get a cheap car insurance quote. The main thing is to ask them about this when you get a quote. Insurance agents won’t always ask you about yourself, so you have to tell them and ask for discounts.

Japanese Import Car Insurance

Posted by on November 4, 2010 1 comment

If you are looking for answers to why you cannot get insurance for your Japanese import, or why it is so expensive, you need to understand a little more about those cars and how they are viewed by the insurance companies. These cars are not treated the same as American cars or even Japanese cars that are made in America. Japanese imports are a different entity all together and knowing what the insurance knows will help you get the cheap import car insurance you are looking for.

First of all, American cars have certain quality standards they must meet before they can be sold to the American consumer. Japanese cars also have standards, but they are not the same as American cars and are not recognized by America or American insurance companies. This certainly does not mean that Japanese cars are cheaply made or sacrifice on quality. It just means the U.S. has no say into how the cars are made. Insurance companies can use this lack of recognition as a reason to charge more for coverage, even though the car could be of better quality than an American made car. This is just another cost to add on to your import car insurance.

Secondly, mechanics are few and far between for imported cars. These cars are a lot different than the American designs and your average American mechanic cannot repair these vehicles. This means the mechanics that do have these specialized skills are able to charge more for repairs and there’s not a thing you can do about it. On top of the higher cost per hour for repairs, the parts are more expensive because they are more difficult to find and have to be shipped from overseas. These two factors make repairs for imports extremely expensive, and your insurance will charge more because of this.

Another thing you must realize is the demographic of people that are usually driving these imports. I know when I think of imported cars, I Fast and the Furious and young males who are into racing and driving fast. This is probably the single largest factor that causes insurance to be higher for Japanese imports. It’s not like classic car insurance, where an older guy has the car take it for a nice slow Sunday drive. These people are going to drive fast and probably modify their car to go faster. An insurance company will see this as a major liability and jack the cost up even more. These drivers are probably going to have more claims than anyone else, or at least one major claim when they total the car and put themselves in a coma.

All these things are what cause imports from Japan to be more expensive when it comes to insurance coverage. However, having an understanding of this can help you get a cheaper premium. If you let your insurance company know that you are not into driving fast and can show them you have a good driving record, it can greatly reduce your premium. They will see you as less of a liability and will be more likely to cover you at a cheaper price.