Dr Joe Vitale : My son is going to college and needs to get temporary car insurance, can you explain if this is possible and what is the advantage?

Response : Temporary car insruance for college student of teens would not be the answer to your needs. Check out why?

</h1> Temporary car insurance  </h1>

Temporary car insurance is for very short period of time for 1- 28 days only. Temporary car insurance is also called short term car insurance. Basically, this is a car insurance policy you would need when you are travelling to another country or to a state, where you might need higher car insurance coverage than what is required in your state, if you want to be safe.

The other reason you might get temporary car insurance is when you do not noramlly  have car insurance and decide to go for a holiday and drive a car for a temporary time.

Short term or temporary auto insurance is easy to get since most of the car insurance companies would provide you with this coverage.

You need to remember that the short term charges or rates for car insruance are high for a month, when compared to 12 months, since you would be charged for the paper work and also the administration cost, even for a month, which is higher.

<h2> You need “Pay as you go”  car insurance</h2>

The best option avaliable now in 2013 and this started in 2012, is to get “Pay as you go” car insurance. This is car insurance which is rated on the basis of  how many miles you drive, your driving history and driving habits. Joe, this would be a blessing for you, where you can get car insurance at a cheaper rate and also at the same time be able to guide and monitor your son’s driving record.

“Pay as you go” is now offered by most car insurance companies like Progressive, State Farm Insurance and many other car insurance companies. You can get your car insurance quote also here. Check out this video for further information and insight on temporary car insurance.

You have heard that you can buy car insurance and you need not worry. This is a myth. The realty is that no insurance, anywhere in the world is a blanket coverage. Even an “All risk ” insurance policy would have certain limitations. There are three very common situations for young drivers, or teens or students which they should be aware of when their personal  car insurance coverage will not respond.

1. Business purpose

When you are using the car for example for pizza delievery or delivery of goods for a business that they are doing your car insurance policy which is a personal insurance policy would not respond to this, unless you have already mentioned that you would be using it for business purpose and have acquired a commercial insurance policy. It is best to verify the policy wording, call your agent or insurance company and ensure that business use of the vehicle is covered. At times self-employed persons do buy personal insurance and declare on the application that they would be using the vehicle for business purpose. Even if this is mentioned, it would be a good idea to ensure that you are insured for business use. Most of the insurance company would not cover business use and this is a specific exclusion on their policy.

2. Drunk driving

Suprised! You should not be . Drunk driving is a criminal offence and the personal auto insurance policy of 37 states of USA clearly excludes drunk driving coverage under an auto insurance policy.  If you would like to know which states do not allow drunk driving coverage on personal auto insurance policy read the State drunk driving laws here. Your car insurance would provide coverage for third party injury but would limit your coverage of medical treatment to self. This is beacuse you took the risk yourself and would be responsible for yourself. Sounds very fair.

This is true even if you were using drugs and driving under intoxication.

Beware, never to drink and drive or drive intoxicated, since you would be paying your own medical costs.

3. Excluded driver or unlicensed driver

Before you borrow your parents car make sure that they do not have the excluded drivers clause on their policy. If your parents have specifically excluded you as the driver of car, since this would save them the high car insurance cost, you would not be covered when driving their vehicle even with permission. Make sure that there is no such clause on the policy, before you borrow your parents car for that ride.

Also, if you have a car and are lending it to your friend, verify that your friend is a licensed driver. Sounds  a bit odd to ask, nevertheless, better to know than to land your self or your friend in trouble. Most car insruance policies have the exclusion of an unlicensed driver. Hence if your friends license has been suspended make sure that you do not lend your car to him for driving. Your car insurance coverage will not respond.

Still looking for a better teen car insurance rate. Just go up and fill in the form. Just do it to get the best car insurance rate- today. Offers change and you would miss your chance!

Get cheap car insurance- once you understand what discriminates you.

Latest report reveal truth on getting cheap car insurance…..!

Rating Factors working against cheap teen car insurance

Latest car insurance report which studied the rating factors of car insruance used by insurance industry has brought to light certain factors, which work against getting cheap  teen car insurance. Check out the entire report at the link given here. Auto insurance report.

This is  a discrimination against low income groups and teenagers. Why? Check the image given here:

This report  shows that besides the common talked and discussed factors which each teenager  and their parents struggle to get right so that they can aspire for getting cheap teen car insurance are not the only parameters looked into by the insurers.

Lets disccuss the factors which are considered besides the good driving record, the geographical zone, the mileage you drive and the car you use are :

Marriage : Marriage for a teenager is something they would not consider and probably should not consider since they still need to study, get settled and are also not physically and emotionaly prepared for marriage and settleing down. This would be also true for low income families, since the struggle for survival is constantly an important factor in deciding to settle down or not.

Home owner and higher income zip codes   : For homeowners the same arguments as the above are true. With the changing economic times and uncertainty buying a home is becoming more and more challenging for both the teenagers and the low income families. This is getting especially ture in all parts of the world where in the west there is uncertainity of income, while in the east the inflation cost are jumping higher and higher.

High income earners would be buying homes in higher income zip codes. The higher income zip codes would also have less crowded traffic since this would be quite areas with plenty space to avoid congestion of traffic.

Professional : Teenagers are still on the way to become professionals. On the other hand most low income famlies are in this category because they are not professionals and have not been able to establish themselves.

No breakage of coverage would be easier for the high income group since for them insurance premium cost would be a very low percentage of their income. For the teenager the insurance premium is almost 60% of his income and for a low income famliy the insurance premium is almost 25% of their income, hence it is most likely that a little difference in income is going to put a heavy burdern on the teenagers shoulder – compeling him or her to have a breakage of coverage.

The waging of the car insurance rating war is ongoing between the car insruance companies the legeslation and the general public, who is naturally aggravated with the above factors, since they feel that they are being cheated and paying a higher price. The insurers argue that these are factors which help them in assesssing the risk. Howevr, the competition is wide open and the public knowledge is also increasing with media and online blogs like ours.

If you think you are paying very high car insurance premiums and need cheap car insruances- here is your chance- compare teen car insurance quotes and get your cheap car insurance rates now.

Demi Lovat : Would insurance be cheaper then normal for this car?