What to do Following a Car Accident

Car accidents are always a scary thing, even low impact accidents. Sometimes it can be difficult to stay focused on what you need to do right after an accident occurs, especially if you are injured. Obviously the most important thing to do after an accident is to move yourself and if possible the vehicles out of harm's way. Once you have done that make sure to exchange names and contact information. This is key. Now a days the police tell you to just give them the contact information and then wait for the police report to get the other party's information. This approach can causes a major delay for you and the other parties involved. Police reports, depending on the location of the accident, can take up to 10 days. That means that you will have zero information on the other party until that time. If you were not at fault in the accident it is going to be their insurance that takes care of you and your damages. Their insurance company won't be able to get a hold of you for up to 10 days because they won't know how to contact you until they get your information from the police report. If, however, you had exchanged information at the scene of the accident then you or your insurance agent would be able to call the other party and give them your information which would greatly expedite the whole process. So, even if the police officer tells you not to worry about the other parties information be sure to try and get at least a name and phone number.

Cincinnati Insurance Company Billing Options

For our clients that have Cincinnati Insurance Company policies they have some new billing options. To help with budgeting they have a pay plan called "Electronic Funds Transfer" (EFT). This is where Cincinnati Insurance Company will automatically withdraw your premium directly out of your checking account each month. Call a friendly Fey Insurance Services representative today to setup this option.

Also, Cincinnati Insurance Company has online billing. You can go to http://www.cinfin.com/ and setup a login. This is found in the top right of the webpage. Once you have done this you can pay bills online at your convenience. Note that you should talk with your Fey Insurance Services representative prior to setting this up. They may need to activate this option for you.

Mind the GAP

Every time you step off the Tube in London's Underground you hear a women's voice in her perfect British accent reminding you to "Mind the gap". It is a good thing too. At some stops on the Underground there is a pretty big gap waiting for you as you exit and if you got caught in one of those monsters you could be in some trouble. The same is true for the gap that occurs in leases and loans on cars. Normally over time a vehicle's value depreciates faster than the loan or lease can be paid off. This is commonly referred to as being "upside down" on your loan or lease. If during this "upside down" period you total a vehicle in an accident there is going to be a gap between what the insurance company will pay you (actual cash value of the car) and what you still owe on your loan or lease. The good news though is there is insurance that covers this gap and it is appropriately named GAP insurance.

GAP insurance coverage helps pay for the difference between actual cash value of the car and what is owed on the loan or lease. One thing to keep in mind though, GAP insurance from personal auto insurance companies does not cover the cost of warranties or other add on charges that might have been included in the loan or lease.

So for an example, you totaled your vehicle and the insurance company is going to value your car at $5000 but your loan was still $7000. Let’s also say that of the $7000, $500 of it is because of the warranty that you had purchased. Therefore, the insurance company (if GAP insurance was on your policy) would give you $6500 ($7000 due on the loan minus the $500 warranty cost) instead of $5000.

Use of Credit Score in Insurance

Here is a message from Dan Kelso of the Ohio Insurance Institute in Columbus:

There's no need to create a "fear factor" when it comes to the use of insurance scores. The Ohio Department of Insurance regulates it, having established a credit insurance rule in 2003. This rule provides consumer protection as it pertains to insurer use of credit and prohibits insurers from using insurance scores as the sole determinant in underwriting or rating decisions.

Before calling for an overhaul to Ohio's process of determining insurance premiums, consumers should weigh The Blade's Oct. 28 guest editorial against their pocketbooks. Ohio has some of the lowest premiums in the country. Our average homeowners insurance expenditure is tied for fifth lowest at $530. The U.S. average is $804. Ohio's $654 average auto premium is 13th lowest, well below the U.S. average.

The Dallas Morning News editorial cited California and Maryland as states to emulate. Consumers are worse off in these states. California's average auto insurance premium is $843 and Maryland's is worse: $949. California's homeowners insurance averages $937 and Maryland's is $721.

States envy Ohio's affordable and competitive market. Consumers benefit from the fact that we have more auto and homeowners insurance carriers than in all but two states.

While the use of insurance scores is greatly misunderstood, the majority of insurance consumers pay less for auto and homeowners insurance with its use.

This isn't on the minds of Ohioans. ODI complaint data shows only 47 related to homeowners insurance costs in 2008. Complaints on auto insurance rates have been declining since 2002 with only 43 last year.

Ohioans aren't penalized by the use of insurance scoring models. In fact, comparing our premiums to states highlighted in the editorial, we should leave well enough alone.

Identity Theft: A Fast Growing Crime

Identity theft is becoming a major concern as it has become one of the fastest growing crimes in America. Victims face the task of notifying and communicating with creditors, debt collectors, law enforcement agencies, financial institutions, national credit bureaus and others in an attempt to restore their good credit standing. The cost of all of this can mount up.
You can add Identity Theft coverage to your Homeowner Policy to provide protection for these costs in the event you are forced to reclaim your identity and financial status. The additional premium is minimal.
One of our fine insurance companies is even providing Advocacy Services which gives you access to a qualified personal advocate to provide you with useful information and guidance to address the theft of your identity quickly.
What is identity theft? Identity theft is the unlawful use of another person’s identifying information, such as name, address, phone number or Social Security number to obtain credit fraudently from banks or retailers, steal money from existing accounts or open new accounts
for financial gain, apply for loans or other similar fraudulent activities.
Reclaiming your identity and restoring a damaged credit record following identity theft can take a considerable amount of time and expense.
The advocate that one of our leading insurance companies uses, provides easy access to a qualified person to assist you with the paperwork, telephone calls and other tasks required to address your situation quickly.
In addition, identity theft insurance will pay up to an amount ($25,000 with some companies subject to a $250 deductible) for expenses such as notarized fraud affidavits, certified mail and long distance telephone calls to law enforcement and credit rating agencies, loan application fees when required to reapply for a loan denied due to identity theft, reasonable attorney fees to defend against lawsuits, to remove wrongly entered criminal or civil judgments or to challenge the accuracy or completeness of information in your consumer credit report. It will also cover lost wages at $250 per day up to $10,000 when you take off work to meet with law enforcement agencies, legal counsel or similar related activities (included within the $25,000 limit of insurance).
Please contact us about this additional protection to your Homeowner Policy now.

Fact vs. Fiction: Uncovering auto insurance myths

Like a teenager eager to try a new video game, playing before reading the rules, many drivers buy insurance without really understanding what they’re buying.
In the rush to feel “covered,” they can skip the details. That can lead to frustration.
Following are five insurance myths heard by some of the more than 13,000 claims people at Progressive, one of the country’s largest auto insurance companies:

Myth: I bought “full coverage” so everything’s paid for.
Reality: There is no such thing as “full coverage.” In most states, only liability insurance is mandatory. There are a lot of other coverage options out there, so select what you need and can afford based on your personal situation.

Myth: I need three estimates before my wrecked vehicle can be repaired.
Reality: Not necessarily. Very few insurers actually require this, although some might. If you decide to use a shop that’s in an insurance company’s “network” of pre-approved shops you may just have to get an estimate from that shop.

Myth: My insurance premium always increases if I’m involved in an accident.
Reality: It depends. Your rate can increase, decrease or stay the same. The information about your accident is combined with other information about you, your car and your driving history to determine your rate.

Myth: If I lend my car to someone and he/she crashes it, I’m covered.
Reality: Not so fast. If you or your friend don’t have optional physical damage coverages, damage to your vehicle generally won’t be covered.

Myth: If I buy a new car, my auto insurance company automatically knows; and my new car is covered.
Reality: No. Most insurance companies require that you notify them or your agent within a specified number of days. Generally, you have 30 days to add the new vehicle to your policy.

To learn more, contact a friendly Fey Insurance representative.

This ad is to remind people we can also help them with Progressive Insurance products. Also, we have found more often than not going through an agency is a cheaper way to buy Progressive Insurance products. Give us a call.