Gap Insurance for Graduates

After four long, challenging years, Ken has finally graduated from a university and has luckily been able to walk straight into his dream job. His impressive new salary has allowed him to take out a mortgage on an attractive new house in the area of his work. However one thing is missing. Ken believes that his days of roughing it out on public transport are over and instead chooses to invest in the new Vauxhall Corsa.

However graduates like Ken, and let's be honest, the majority of drivers in the UK are simply unaware of how disastrous and in some cases, life changing owning a vehicle can be. According to industry experts, the average vehicle can depreciate by up to 50% within the first three years. And no vehicle is immune to this, not even James Bond's Aston Martin. In addition to this, according to Government statistics, 600,000 vehicles are written off each year in the UK. However despite these figures, drivers continue their day to day affairs without the correct form of protection.

Drivers, like Ken assume that their basic comprehensive insurance will protect them from deprecation rates. This is incorrect. Your comprehensive insurer will only pay you the market value of your vehicle at the time it was written off.

This is where Gap Insurance comes into the scene. Gap Insurance is a supplementary form of Insurance and sits alongside your comprehensive insurer. In the simplest of terms, Gap Insurance will pay the difference between the market value of your vehicle when it is written off and the invoice price originally paid.

The three most populist Gap Insurance policy types are: Return to Invoice, Vehicle Replacement and Contract Hire/Finance Gap.

The most basic form of Gap Insurance is Return to Invoice, as shown here:

• Ken purchases a Vauxhall Corsa for £10,000
• Three years later, Ken is involved in a motoring accident that thankfully leaves him unhurt but his Vauxhall Corsa is written off
• Ken receives a settlement payment of £5,000 from his comprehensive insurer
• This means that Ken now has a total Shortfall or Gap as it is commonly referred to of £5,000
• To be able to purchase another Vauxhall Corsa, Ken needs an additional £5,000

Return to Invoice (RTI) Gap Insurance will pay Ken this outstanding Shortfall/Gap of £5,000 and as the name says, return Ken to the invoice price originally paid for the Vauxhall Corsa.

We Hope that this article has allow you to develop an understanding of Gap Insurance and how important it is to your finances.

Get the Best Car Insurance For Rental Vehicles Abroad

It is important to realize that the same laws and regulations in your home country may not apply across the globe. If you are heading overseas for that long overdue vacation, make sure that you understand the difference in legislation between your home country and holiday destination. One important aspect in this regard is car insurance. Unlike in most developed nations, car insurance is not mandatory across the globe. The rental car that you may be driving in a foreign country may in fact be uninsured thereby opening up a host of legal implications for you.

Many travelers place their trust fully in their travel agent, car hire company and hotel concierge. But if you do not ask the relevant questions and do you own research ahead of time, you could walking a legal minefield when you drive abroad. Car insurance not only protects the vehicle owner, it also protects the driver. And if you are buzzing around in unknown territory in a your rental vehicle, you will need as much protection as possible as you may be at a higher risk of an accident than the local drivers.

Rental cars are not your property but the implications of a traffic accident while you are behind the wheel can lie solely on your shoulders. Car insurance should protect you against these eventualities but without insurance, you are open to litigation that could turn a pleasant holiday into a nightmare abroad. It is always important that you ask your rental company if their vehicles are insured. It is equally important to look at any additional cover that can protect you. While your main focus is the cost of vehicle damage, both to the car you are driving and any other cars involved in a traffic accident, you should also ask about public liability.

In the event that you knock a pedestrian, damage private property or injure the occupant of another vehicle in a car crash, you may be liable for the associated costs. This could easily run into large sums of money where permanent disability, death and extensive property damage is involved. Usually the liability in this regards would be paid by the public liability portion of your car insurance policy. But without insurance on your rental vehicle, it is you as the driver who is responsible irrespective of the fact that you are not a citizen of the country.

Most of us holiday on a budget these days. Given the tough economic times, we still want to experience the joys of a vacation abroad. But even if you are on a tight holiday budget, do not forsake essential car insurance cover on your rental vehicle that could financially cripple you or even cause you to see the inside of the local jail. Ensure that you top up with the best car insurance cover that you can afford. You may have to forsake some of the holiday luxuries but at least you can enjoy your vacation without fearing the consequences of an accident.

Mexican Auto Insurance Policies

Planning to take a trip and drive to Mexico? Or maybe to a more specific location, say, planning to drive to Baja? Before you pack your bags, here are some important facts you need to understand.

If you're planning to drive down to Mexico without Mexico auto insurance and by some unfortunate twist of fate, you get involved in a vehicular accident and you don't have the necessary means to compensate for any damages caused or the resources necessary to obtain legal counsel, you could very easily end up in prison. Don't take that risk!

Before taking a drive to Mexico or to Baja, as a responsible driver you should arrange and apply for a Mexican auto insurance policy. Insuring your automobile or vehicle for taking a trip to Mexico is very important. Vehicle insurance is a must if you are driving an American or Canadian vehicle, whether it's a car, van, truck or RV, across the Mexican border. The law in Mexico requires drivers to have a minimum of $50,000 worth of proof of financial liability for any sort of bodily injury or property damage they instigate to others involved in the accident. Purchasing an insurance policy endorsed by a Mexican company is the only sensible means to avoid a run-in with the law, as Mexican authorities do not acknowledge foreign insurance policies for privately owned vehicles or automobiles in Mexico. Only licensed Mexican insurance companies are able to provide the necessary auto insurance coverage that is acknowledged and accepted by the legal system in Mexico. Without proper insurance, a minor vehicular accident could very well turn into a nightmare, necessitating jail time and enormous monetary penalties.

As Mexican law requires that the liability insurance must be obtained from a licensed Mexican company, then it also means that your auto insurance policy must be issued by a Mexican insurance company, or arranged via a broker in the US that's affiliated with a Mexican insurance company. Another way is to arrange your vehicle insurance coverage online before you decide to travel as you can get insured at a much better price, arrange immediate coverage online and won't have to worry about filing all the necessary paperwork.

All insurance policies are purchased from brokers. It's essential that you know which insurance company is endorsing the policy you are purchasing from the broker, as the insurance company who is endorsing your policy is more important than the broker selling you the policy. In selecting a broker, pick one that is properly licensed and has the necessary resources to appropriately attend to your claim and needs when you're in Mexico.

There are well over 50 insurance companies in Mexico. Make sure you ask your insurance broker about the size and financial stability of the Mexican auto insurance company they work in conjunction with. Purchasing insurance from a more reliable and financially stable insurance company may be more expensive, but the supplementary premium presents a lower risk to you in the event of claim. Guard yourself and your financial investment by ensuring that the insurance company who endorses your insurance policies has a reliable, stable and strong history.

Auto Insurance And The Essential Points To Consider When Choosing It For Your Car

Driving around in an uninsured vehicle is one of the biggest and most foolish risks you can take. You are just an accident waiting to happen. We are certainly not exaggerating when we say this. Just the act of getting behind the wheel means you're ready to face the risks on the road. Remember that you're not the only one who will be driving. Apart from the other vehicles, there are also the pedestrians to consider. It would be too much to think that you can exercise control over everything that's happening on the road. So if you're uninsured and a mishap occurs, you'll be the one to suffer the most.

These days, there are still a fair number of vehicle owners who drive even though they have not secured coverage for their vehicles. If you happen to be one of them, then try to take stock of your situation. It's imperative that you should obtain the proper insurance policy immediately so you'll be spared from all these. Of course, one of the main reasons why some owners do not take out policies is because of the exorbitant premiums. However, this will only happen if you take out a policy without understanding your needs first. Thus, before finally deciding on your policy, make sure you take these things into account beforehand.

First of all, thoroughly examine the extent of the coverage you and your vehicle need. Go over the current condition of your car and the kinds of risks you're generally exposed to. For example, a car with a bank loan on it will certainly need full coverage. But it will probably be enough to have minimum liability if the vehicle is already an old one. Moreover, if the nature of your work requires you to travel with your vehicle to different locations every day, you might consider a comprehensive coverage. You would do well with this coverage since it includes medical liability.

Second, spend an adequate amount of time shopping around for quotes. Most of these companies actually provide free quotes. Grab this opportunity to make close comparisons of the different products and packages. Third, research on the company's background and check his registration with the better business bureau in your state. You have to make sure it possesses the necessary license to engage in business. Lastly, use your web resources to scour for feedback and other reviews given to the company. These will help you a lot in making the most appropriate decision.

Don't Let Health On the Job Go Up in Smoke

A workplace wellness program can pay big dividends in a variety of ways, most of them involving financial savings. According to one industry study, employers can save three to four dollars in medical care costs for every dollar they invest in a wellness program. A three-to four hundred percent return on investment simply can't be ignored, yet there are many compelling reasons to put a spotlight on wellness in the workplace-better experience ratings, lower premium costs, and healthier employees who are less likely to become sick or injured, just to name a few. However, it can be daunting to try to address the many personal medical problems that typically abound in the workplace, so consider focusing on the top one or two challenges that employees are facing which in turn may be driving up the claims experience for the operation's used car dealership workers compensation program.

Smoking is very social in some environments

For example, nearly every member of the sales and service staff at a very busy pre-owned luxury vehicle lot is a heavy smoker. In a business culture where cigarettes and cigars are readily shared during coffee and lunch breaks, and boxes of expensive imported brands are considered desirable gifts, it was difficult for Jack to kick the habit despite constant urging from his wife and children. When a piece of heavy equipment fell on Jack at work, breaking his leg, Jack found out that smoking created other difficulties for him as well. As a pack-a-day smoker, Jack found that his broken bone would take much longer to heal that it would have had he been a nonsmoker. That's because broken bones take longer to knit together in smokers, whether it's a fractured ankle or other bone. In fact, when it comes to heavy smokers, cervical and lumbar fusions frequently fail because the bones do not adequately grow together. For this reason, smokers can end up costing their employer much more in claims because their recovery can take months or years longer to complete, which in turn can adversely affect the employer's permanent impairment rating.

Going smoke-free increases health and safety for everyone

Talk to a professional insurance agent, who can provide not only a quality used car dealership workers compensation program but also offer tips on risk management to help reduce and eliminate exposures. The agent may be able to offer guidance on how to successfully adopt a smoking cessation program at the workplace.

Online Car Insurance - Can You Rely On This?

Are you unsure about whether you should take online car insurance or not? You are probably used to buying all sorts of products and services on the internet but is it a good idea to buy vehicle insurance this way? After all, if there is a mistake then you might end up with insufficient cover or none at all when you need it the most. Keep in mind that having this insurance is a legal requirement.

Buying online car insurance offers you many benefits that include:

- Complete reliability: All the top insurance companies do business using the medium of the internet since this is where most of their customers can be found. They ensure that customers get accurate information regarding packages available. A potential customer can read all the terms and conditions in order to be absolutely certain about what a particular policy entails. In addition, these companies offer people complete security for all their online monetary transactions. This is a very major concern for online shoppers because many people have fallen victim to online scams and thieves.

- Best rates: It is very easy to do detailed rate comparisons on the internet and this enables you to get your car insured at the lowest possible premium. Many insurers also offer specially lowered rates through this medium. Customers can get insurance at low premiums without missing out on high quality service.

- Quick response: If you need to get your vehicle insured in a hurry then online car insurance is definitely the best option for you. Your insurance policy comes active as soon as you pay money for it. The insurer will send you the paperwork for your policy within a very short time after that.

- Convenience: You can buy insurance at any time of the day or night if you use the internet. This medium also simplifies the entire process of getting insured since all you have to do is provide the insurer with the necessary information and then the payment after you approve a quotation.

As you can see, you can definitely rely on the car insurance that you buy on the internet. Just make sure that you choose the right policy that gives you sufficient cover at a very good price.

You should also ensure that your insurance company offers you discounts based upon your eligibility so that you do not miss out on anything you are entitled to.

Will My Car Insurance Premium Increase If The Accident Wasn't My Fault?

The most common query in car insurance is, "will my premium increase, even when I am not at fault?" The answer to the question is quite ambiguous and in many instances is unclear and unexplained. This could be in part of the customer not having revealed the entire scenario of the accident or in a few instances; it could be an overlook on part of the car policy company as well.

Following are a few scenarios where you could possibly face an increase in your car insurance premium:

Premium rates set by the car insurance company
The premium rates for car policy companies are set based on the perceived risk that an insured driver will file a charge. The more likely the insurer is to file a car policy claim, the more likely the rates are aid to increase. This depends on the previous accident history, if any. The moment insurance companies understand that the driver is prone to accidents; it is likely that the premiums might increase with a renewal in the policy.

Involved in a single accident
For car insurance companies, it is unlikely that the car policy rates will go up when the individual is involved in only one accident that he/she is not at fault. With a single accident at hand, car insurance companies are likely to perceive that there was no fault played by the driver and they are unlikely to make a claim, when compared to non-accident prone drivers who have chances to make a claim in future.

If you are involved in multiple accidents
If you are involved in multiple accidents, although with several years of time span between the two, insurance companies are likely to perceive that you are accident prone and the rates of premium could rise on the front. It could be deduced that the driver is at a higher risk of accidents and therefore should payout higher levels of premium.

Claiming the deductibles
Apart from instances of hikes in premium, drivers, in a few instances, land up paying for the deductibles from their policy. There are many insurance companies that help the driver recover the deductible in the event of accidents that aren't the driver's fault. However, many companies, in case of ambiguity, leave it to the driver to recover the deductible from the person who caused the crash.

Aside the above, there are reasons that are situation specific and cause a rise in your car policy premium rates. Nevertheless, it is wise to understand that the hike in the car premium rates is situation dependent and not mandatory that every individual will undergo the same. If you are a safe driver, with a clean history of driving, it is likely that your rates of premium might not increase even with multiple renewals. However, a bad history of driving could lead you to hikes, even during mid-term payment of your car policy premiums, and more.

Analyze, plan, and choose from a car policy that best fits your needs and requirements and never hesitate to compare, to select the best of all.

I Already Have Car Insurance, So Why Do I Need Gap Insurance?

This article has been written to assist your understanding of Gap Insurance and to help you recognise its full importance to not just your vehicle, but most importantly, to your finances.

Before you read the following article, please note:

• 600,000 vehicles are written off in the UK each year
• 100,000 vehicles are stolen in the UK each year

The majority of drivers in the UK assume that they are fully protected by their basic comprehensive insurance. This is incorrect.

If in the unfortunate case your vehicle is written off or stolen, you will receive a settlement payment from your basic comprehensive insurer. This payment will be based on the market value of your vehicle at the time it was written off or stolen. Please note that this value will not represent what you originally paid for your vehicle.

Why? This is because of vehicle depreciation. Industry experts claim that the average vehicle will deprecate by up to 50% in its first three years. In order words, in the first three years, your vehicle will lose 50% of its value.

Please consider the following example. Mark purchases a Vauxhall Corsa for £10,000. Three years later it is stolen. Mark's comprehensive insurer pays him £5,000 because this was the market value of his Vauxhall Corsa at the time it was stolen. This means that it has depreciated by 50%. This means that Mark has lost £5,000. This means that Mark now has a GAP/Shortfall of £5,000.

This demonstrates that the basic comprehensive insurance does not provide full protection. This is why Gap Insurance is made available.

Gap Insurance will pay the difference between the market valuation of your vehicle and the invoice price originally paid for your vehicle. It will work alongside your comprehensive insurance and act as a supplement. GAP is an acronym for guaranteed asset protection. It will provide guaranteed protection for your asset. The asset being your vehicle.

Without Gap Insurance, you could be left with a significant financial GAP or Shortfall.

There are several Gap Insurance policy types: Return to Invoice, Vehicle Replacement, Contract Hire/Finance Gap and Agreed Value. Each policy is designed to suit driver's individual's needs and wants.

If you shop online, you find Gap Insurance for as low as £39.99 inclusive of insurance premium tax. The average dealership will charge an average price of £395 for Gap Insurance.