Car insurance customer service doesn't want to know that we can pay less coverage for our cars if someone doesn't own properties, etc. They just want to sell the highest coverage. Thank You!
Another thing to consider when deciding to get collision and choosing a deductible, if you’re involved in a accident and fault is not clear, you have your own policy to fall back on. It can be infuriating to wait on the other person’s insurance to finish their investigation or only accept partially liability. In some states, if you’re any % liable, the other person’s insurance won’t cover any of your PD
I am glad to see more and more of these videos. I work as a liability adjuster for an auto insurance company (one that works with agents) and at least once a week I have a policy holder who doesn't have coverage for something demanding to know why we are not paying for something like they don't have rental coverage so it's, "Why aren't you paying for my rental car? You're my insurance company and the accident wasn't my fault." or "What do you mean you won't pay to fix my car because I only have liability coverage? What do I pay you every month for?" Um...liability?
Awesome video!!! My only question is if I get liability and I get in a car accident; it's not my fault will the car insurance pay for the value of my car if its considered totaled?
It depends on the state you are in. In no fault states you are responsible to cover your own vehicle. That doesn’t mean you can’t sue them but who wants to do that? In most states the other persons “property damage” coverage will cover your car unless they are driving without insurance in which case they’ll probably flee the scene and you’re stuck with the bill.
+Dominic McClure the best place to start is when you find a car you are looking at, call several companies in your area to get an idea of pricing. Your age and driving experience plays a part in the cost. I don't recommend calling the company your parents (if your on parents insurance) until talking with them first. Places like Geico, Foremost, Direct General are typically cheaper for new drivers. Just remember, sometimes you get what you pay for. With insurance it's in the form of service and handle times and repair options etc...
thanks for the video but i just want to let you know that the state of Connecticut have the option to select collision without comprehensive or vice versa
+Kofi Steve Great stuff Kofi! Thanks for contributing. It's hard to get it all in one video :0) I ran into that the other day where a customer wanted collision and no comprehensive. It's def an odd request since comprehensive is usually not very expensive but some people prefer that.
Truck rolled back into tree.. brake didn’t hold .. bumper and tailgate got it does insurance company’s put that on your record since no one was driving..
Yes it will go under your insurance under the primary on the policy. Be very careful how they claim it. Attempt to make sure they claim it as either a comprehensive claim or a not at fault accident. A lot of companies will claim it as an at fault accident due to you being responsible for maintenance and you can’t blame the tree for the incident.
Very informative. My twins will need car insurance soon. They do not drive yet but when they turn 18 in a few month they are moving to Florida maybe you can hook them up with the right insurance company. I have a question for you, what if they open a company and put the car in the company name, both of them can drive the car and if one of them gets in an accident the company can go out of business and they would not be liable for anything above the insurance policy, right. If I am on the right track would the insurance be that much higher for a company than a person?
I have twin daughters too (mine are only 5 though)! Great questions. I can def recommend some good insurance companies in FL. They will want to watch my video about what you need to know for FL insurance. th-cam.com/video/X0xFDSLelTs/w-d-xo.html Technically you could start a LLC or company and insure the vehicle under it but it would be a lot of work and most insurance companies would put commercial insurance on it which cost a lot more. On top of it if you claim against it and it's not a real company showing profit and loss the state could hit them both with insurance fraud. Trust me, you don't want that.
I'm not worried about the fraud part, they can sell any stupid thing from anywhere and that's a business. I think charging 4,000 - 6,000 a year for one person is crazy. If someone is screwing someone, it the state screwing the people. I don't see how half of these old people can pay their insurance. But it does not look like that is a solution either, since you said the rates would be even higher or a business. Thank you for responding.
I have a 2007 BMW X3 which I bought at the price of 3,500$ and my insurance cost me 270$ and it really milking me so bab. I was told I had to pay that much because it my first time driving in US. What can I do to pay less? Thanks
I had a claim recently (I work for auto insurance as a liability adjuster) where the driver who is not my policy holder was financing a car and based on my investigation was at fault for the accident (we were exiting our vehicle on a residential street and she hit the open door). She had let her insurance lapse and was pissed that we were not going to pay for her car. She also accidentally admitted to me that she lied about her address on her car registration (she lives in NYC but claims to be in VA). She now calls me up everyday at work threatening me and calling me racist and saying I only found her at fault because she doesn't have insurance. I am like, "I am very sorry you let your coverage lapse, that is sad but that has nothing to do with my decision."
It is said correctly. Each state is different but, In the State of Michigan and most other states, if you go through an agent the cost for a AAA roadside membership is $44/yr for the basic. If you're looking at the Premiere membership, that costs a lot more, closer to the $119 range(in MI).
@@ThinkInsurance We have the Premier because of the towing limit. But I am in California, and EVERYTHING IS MORE EXPENSIVE HERE... THE basic pkg towing is around seven miles, I think. 🤔. So if one gets stranded, the towing charges could be tremendous. So I haven't dropped my AAA yet...
Great help! Thank you for helping me come away from ignorant insurance usage / running on auto-pilot. I'd like to give something back. Here are my crib notes. Double check them against the Original Poster's (OP's) video content in case I misunderstood any details. Merry Insurance-hunting! :) (See below in "Read More...") Auto insurance basics: 1) Liability a. Income and Assets - Insurance needs to look better than myself if someone wants to sue. Compare my own income versus assets before selecting a plan. b. BI Limits (Bodily Injury for people in the OTHER car) i. 10/20 - 10,000 per person in the car, up to a total of 20,000 dollars total. ii. 25/50 - absolute minimum to consider. c. PD Limits (Property Damage) i. Recommended to be at least 50,000 - 100,000 better. ii. The other equipment / house / car that I hit - THE LEAST EXPENSIVE TO CARRY A HIGH COVERAGE ON d. UMBI Limits (Uninsured Motorist Bodily Injury) i. This is the protection for Myself and others I insure when the other motorist does not have insurance. Some medical insurance will cover this, so it may be duplicate coverage and can be dropped. e. UMPD Limits (Uninsured Motorist Property Damage) i. This is protection for Myself and others I insure when the other motorist does not have insurance. Some medical insurance will cover this, so it may be duplicate coverage and can be dropped. f. Med Pay Limits (Medical Payments) - Clarification needed? In any event - if I cause a car accident, no matter what happens I’m not covered by medical insurance because I caused it. This is also usually covered by medical insurance. i. 5,000 is common, sometimes 10,000...some states let you go up to 100,000. ii. This pays the listed limit for myself and anyone else in my car, per person, not total. g. PIP (Personal Injury Protection) - very similar to Med Pay. i. Can be bumped up later, but usually starts out lowball if required by law. ii. Find out what exactly it covers in my state. 2. Full Coverage: a. Take the value of the car. If in 3 years I pay more for Comp and Collision than say, 3,000 dollars or the car value, then don’t get this insurance. If I’m a low-risk driver then it doesn’t make sense to buy this coverage. Low cost repairs due to mistakes shouldn’t be applied to this because it will ding my records and raise my rates. i. Comprehensive 1. Damage that happens to the car while it is “sitting there.” a. Hitting An animal strikes b. Hail Damage c. Windshield Cracks 2. Comes with a deductible. Most commonly 100 to 250 dollar. 3. Comprehensive comes with collision as a requirement. 4. Sometimes adding comprehensive to collision under full coverage will lower the bill - Florida? ii. Collision 1. Regardless of who caused the accident, my car is covered. 2. Comes with a deductible. Most commonly 500 to 1000 dollars as it’s the most expensive component of vehicle repair. This is my responsible part towards the accident. 3. If someone else hits me, and has insurance, then usually the other insurance will pay my deductible. 4. Collision comes with comprehensive as a requirement. 3. Towing and Road service. Do I want this? a. Buy AAA - it’s the best deal. Don’t get it through your auto insurance. b. This will be about 7 bucks a month, maybe. Weigh it out if you want to bleed this monthly. 4. Rental Car a. In OP's opinion, expensive. Typically 5 - 8 dollars per month. Too expensive.
Hi Mark, Thank you for providing a detailed video on how auto insurance works and what are different components. I'm a first time driver and this was very helpful. really appreciate your effort.
Ambulance ride is a couple of thousand dollars, alone. Then ER bills? You don't even have to hurt someone badly to blow right by a State min BI limit. Yeah, I'm licensed, too. Too many people bragging about how little they spend on insurance and not enough of them actually understand what insurance is supposed to do. Same people bragging about how MUCH they spent on their phones, sneakers, sunglasses and whatnot. SMH. Kill or maim someone while you're diddling your iPhone and you're going to wish you'd spent more on BI and less on your toys. There is a young woman here somewhere advocating $1000 deductibles. That's insane, too. Yes, New Jersey does PIP. And many of those PIP states are No Fault states where it doesn't matter who was at fault, you only file claims with your own insurance. Yeah, it's not great, but the dude with no insurance loses instead of milking your insurance for a new car. And it's not "full coverage." That's a a layman's term. No such thing in insurance.
In Wa state, don't know about other states, it's 100 deductible on UM PD if you can identify or have the information of the other driver who is responsible and doesn't have insurance. Otherwise, it's 300 deductible
Hey Mark I work for the largest auto insurance company in Florida and have been selling/servicing auto policies for over 13yrs with them and even I have found your videos extremely useful. I like to find different ways to explain insurance from other insurance professionals.
So as a lower income earner I should spend more on my insurance? To an extent that makes sense, but he reality is that I have to skimp on everything I can to save a buck. Good advice to insure large investments, when it comes to driving and car insurance; I will be as prudent as ever and drive defensively sir....
Thank you for your comment. What I am saying is find coverage that fits your budget. Don't look at insurance as a cost even though it is. My recommendation is sit down and see how much insurance you need to protect you and your family in the unfortunate event there is an accident. My personal rule of thumb is call 3 companies and quote 2 options. The minimum in your case if you want a more budget friendly option and a higher limit. In some states it's not going to cost you much and in other states having a higher coverage "can" in rare occasions be less expensive. Know your options so you're in control not the agent.
Determining how much car insurance you need can be tricky. You’ll need to know how much coverage the law requires you to have while ensuring you have adequate coverage to protect your assets and yourself. You also need to find the right plan to fit your budget.
You can carry collision but not comprehensive in CA or vice versa! I carry comp only because of how expensive it is to replace catalytic converter if it's stolen since I drive a Lexus. And I pay $35 for roadside service through my insurance. I've already used it twice so already paid for itself!
Never advocate for removal of COM/COL unless you understand the cost of replacement of that vehicle to it's owner and the principle of diminished value. Oh, and DO NOT RELY ON EMERGENCY ROADSIDE ON YOUR INSURANCE. MOST OF THEM ONLY COVER CLAIMABLE EVENTS, NOT MECHANICAL BREAKDOWN. A 5 mile tow might run $75 - $200. If you commute, you'll be way better off with AAA than your insurance. Generally speaking this guy is in the ballpark, but I get the feeling he hasn't been doing this as long as he'd like you to believe.
I had a Toyota truck in Hawaii and loaned it to my neighbor who is a professional tuna fisherman. His truck broke down. I felt sorry for him and he is a friend. Well he is 34 yrs old unlikely to crash IMHO. He gives the truck to the Grandmother and she totals it. I am kind of bummed bc I did not carry comprehensive insurance. I carried Liability insurance bc I was afraid they would forget to pay their insurance. They also carried liability so in April 2020, no comprehensive. Now they are mad at me bc they under insured the truck. Anyway be careful helping people. Sometimes no good deed goes unpunished LOL.
I commented on your 45 stats comment on another post. Your obviously a broker , I guess it’s possible. Ok work on the green screen. Under insured also covers if they don’t have enough insurance. My company in Ca, one of the good ones, won’t cover a hit and run , how do you know if they weren’t insured or under insured ??? You have to use your insurance , but it’s not at fault. Medical will still cover copays even if you have insurance. It’s not full coverage !! What if you wanted towing and you didn’t have it? You wouldn’t be fully covered. At least your licensed
very good video. one thing though about AAA - I cancelled when they refused to tow my car from a large deep puddle (about 14" deep due to flooding), had the insurance coverage, they towed the car no problem.
Hey quick question I’m essentially done researching which car I will get. So I would need to get my quote with Geico (which I could do online) and purchase the instance and then head to the dealership ? Or should I call the insurance instead ? Thank you for the video too very helpful!
Doing a quote online isn’t bad. It wouldn’t hurt to call and verify everything is correct on the phone. That way they can review any additional discounts and make sure your reports were run. Companies like Geico, Progressive direct, Esurance and 21st century were built for online and direct purchase.
Having Hella time getting FULL= Damned REbuild- didnt ell me until title- + 1 speed trap 32 mph in 15 mph school . FLORIDA, PIP they are wanting 130 down & 104 monthly!!! Been w Hartford 13 yrs quoted me #2, 200.oo per year= 200+ monthly- NO CREDIT. ANY help for me?
In Florida I would look into Safeco (866) 472-3326, State Farm and Geico and see if they can help. If you have a low credit score maybe try Liberty mutual as well. Def let me know if any of them are helpful
Really stupid question, does the insurance follow the car or a person? Say if I got a driver's license and drove my parent's car, and I crashed, would the insurance pay for that or would I need to have my own personal insurance?
Typically insurance follows the car. If you live in the house with your parents and get a license you are supposed to be added to their policy unless the underwriter gives approval to be left off or you exclude yourself in which case you will not be covered. If you don’t live with with them then your accident would be considered permissible use and would most likely be covered.
in the worst car accident scenario, if I am sued and injuries and liabilities are high - my concern is being sued. I would not want to be underinsured but not over-insured I own a 2017 SUV and my home. Should I consider both values when deciding my insurance limits? If I am sued and cannot pay, I do not want my home in jeopard. Thank you for your videos. Great information and delivered well!
You need to consider all of your assets when factoring how much liability insurance you should carry. Income as well. Most of the time you won’t lose your house but it is possible. Most likely you’ll lose 20%+ of your income. For the liability limits an umbrella is going to give you the most coverage for your dollar.
In my country its simple. Everyone must have OCTA insurance- this covers damage to third party - its around 80 Eur/year no matter the value of the vehicle. Then there is optional KASKO - its around 850-1200 eur for 50k Eur new car. The max package covers 90% of the car value. None of those have any medical coverage options.
Wow, do not the entire car can be covered? You really have a reason to not crash there. I do wish our states would just pick one way of doing insurance instead of each state having its own rules. Thanks for sharing!
7'00'' and if you don't have this coverage(uninsured motorist), you are not covered, The only senior that you would be covered is if you do full coverage on the vehicle which I'll explain in a little bit. Question: even if I buy the full insurance, it seems like not cover the body injury, am I right?
If I understand your question correctly yes. Uninsured bodily injury only covers the medical to your or others in your car if they are at fault and don’t have insurance. In some states you can purchase uninsured motorist property damage and that would cover your car otherwise you would need collision coverage.
Thanks!! Custom parts are sometimes added to your policy. If so it's usually up to $1500 for upgrades to your vehicle such as a higher end radio or stereo system. It can be for handicap vans or modified vehicles as well. Some companies will allow you raise the limit as much as $10,000 in extra equipment. You can use it in the event of a covered claim whether you have comprehensive and it's stuff that is stolen or you're in a covered accident and it's damaged etc...
Here's a question on collision insurance: If I have collision insurance and get into an accident but the other driver is at fault, whose insurance covers the damage on my car? If the other person is at fault, would their insurance be liable for the damage on my car or does my collision insurance pay for my damages?
Stack is when you can take your liability or property damage from one vehicle and stack it onto another. IE: uninsured property damage of $50,000 stacked Xs the number of vehicles you have. If 3 then $150,000. Same goes for stacked bodily injury limits etc… Not stacked is simply not carrying it. You still have what coverage you chose but nothing more
+Jes Bui Some what. The Collision will cover the car up to value minus your deductible but the bodily injury won't be covered unless you have either medical payments, uninsured or underinsured motorists. The underinsured motorist covers the difference between what the other person carries vs what you carry. Example: you carry 25/50 underinsured but the person that hit you only has 10/20. If your medical is more than the $10,000 then your underinsured motorist will pay the diff up to the $25,000 per person you have covered and instead of maxing out at $20,000 it will be $50,000 per accident because you chose to protect yourself if this occurs.
Not sure if you'll see this but i have a question. I just got my license last week and I'm not on the insurance yet. I talked to my friend and his dad and they both said that once you get a license you're automatically covered for 30 days. I did a lot of research on this and i couldn't find anything. Do you know anything about this? Because I'm really excited and want to get on the road as soon as possible. ( I live in SC if that makes a difference. )
Technically you’re supposed to be added onto your parents policy but also “technically” you’re also already covered under the permissible use on the policy. Most if not all companies will cover it if you or a friend from out of town drives the car. I can’t say it is covered because I don’t know your insurances guidelines but I have yet to see a company not cover that situation. Think of it this way. Even if you took your parents car without a license it’s still likely insured. Either way your parents are supposed to add you even if you don’t drive. If you have a license it’s no different
Not if they live with you. It’s considered rate evasion for him if he doesn’t disclose the situation for approval. For you, you’re not allowed to make profit on insurance and since you don’t own the car, you could potentially make money off it, if you have full coverage and get paid due to a claim
Depending on the state you’re in yes. In most cases collision will cover your car minus your deductible. The benefit of umpd is that there usually isn’t a deductible and it can be really cheap. Once again each state does it a little differently.
Thank you for explaining me the difference between the car insurance policy in different states.
Ohhhhhhh, the things I was not taught in n kindergarten. 😂 Thanks so much for the info!!!!!!
I’m watching this at 15 years old I recommend you do the same because they don’t teach you this in school
School sucks and it won't help u in the real world
Why don’t they teach this in school? I had no idea and I’ve been driving for 12 years.
Car insurance customer service doesn't want to know that we can pay less coverage for our cars if someone doesn't own properties, etc. They just want to sell the highest coverage.
Thank You!
Another thing to consider when deciding to get collision and choosing a deductible, if you’re involved in a accident and fault is not clear, you have your own policy to fall back on. It can be infuriating to wait on the other person’s insurance to finish their investigation or only accept partially liability. In some states, if you’re any % liable, the other person’s insurance won’t cover any of your PD
video was awesome! it helped me follow along better by looking at my car insurance statement as i watched you explain. thank you!
Same here 🙌
You're the hero I've searched for my whole life.
Great explanation! However, FL does not allow you to purchase UM PD, and you can only buy it in limits equal to or less than your BI
That is true, thank you for the correction ❤️
I am glad to see more and more of these videos. I work as a liability adjuster for an auto insurance company (one that works with agents) and at least once a week I have a policy holder who doesn't have coverage for something demanding to know why we are not paying for something like they don't have rental coverage so it's, "Why aren't you paying for my rental car? You're my insurance company and the accident wasn't my fault." or "What do you mean you won't pay to fix my car because I only have liability coverage? What do I pay you every month for?" Um...liability?
Thank-you! Very informative!
You’re welcome!!
Awesome video!!! My only question is if I get liability and I get in a car accident; it's not my fault will the car insurance pay for the value of my car if its considered totaled?
It depends on the state you are in. In no fault states you are responsible to cover your own vehicle. That doesn’t mean you can’t sue them but who wants to do that? In most states the other persons “property damage” coverage will cover your car unless they are driving without insurance in which case they’ll probably flee the scene and you’re stuck with the bill.
Virginia allows having Collision without Comprehensive.
Just as a side note, some credit cards will give you road side assistance!
Thank you
great video i've learned a lot .
what would be good to do for your first time getting insurance
+Dominic McClure the best place to start is when you find a car you are looking at, call several companies in your area to get an idea of pricing. Your age and driving experience plays a part in the cost.
I don't recommend calling the company your parents (if your on parents insurance) until talking with them first.
Places like Geico, Foremost, Direct General are typically cheaper for new drivers. Just remember, sometimes you get what you pay for. With insurance it's in the form of service and handle times and repair options etc...
Mark Flockhart thank you your video was a huge help.
+Dominic McClure Thank you! I'm glad it helped.
VERY HELPFUL MATE,,,,
Fine
thanks for the video but i just want to let you know that the state of Connecticut have the option to select collision without comprehensive or vice versa
+Kofi Steve Great stuff Kofi! Thanks for contributing. It's hard to get it all in one video :0) I ran into that the other day where a customer wanted collision and no comprehensive. It's def an odd request since comprehensive is usually not very expensive but some people prefer that.
Plainville ct here
thanks MArk - very usefull.
looking into insurance, thank you very helpful
thank You Man. I learned a lot.
SuperFlint88 You're welcome, I'm glad it was helpful
Do you need a new insurance everytime you buy a new car?
No, you can keep your current insurance and change vehicles as needed
Truck rolled back into tree.. brake didn’t hold .. bumper and tailgate got it does insurance company’s put that on your record since no one was driving..
Yes it will go under your insurance under the primary on the policy. Be very careful how they claim it. Attempt to make sure they claim it as either a comprehensive claim or a not at fault accident. A lot of companies will claim it as an at fault accident due to you being responsible for maintenance and you can’t blame the tree for the incident.
this video is good
Very informative. My twins will need car insurance soon. They do not drive yet but when they turn 18 in a few month they are moving to Florida maybe you can hook them up with the right insurance company. I have a question for you, what if they open a company and put the car in the company name, both of them can drive the car and if one of them gets in an accident the company can go out of business and they would not be liable for anything above the insurance policy, right. If I am on the right track would the insurance be that much higher for a company than a person?
I have twin daughters too (mine are only 5 though)! Great questions. I can def recommend some good insurance companies in FL. They will want to watch my video about what you need to know for FL insurance. th-cam.com/video/X0xFDSLelTs/w-d-xo.html
Technically you could start a LLC or company and insure the vehicle under it but it would be a lot of work and most insurance companies would put commercial insurance on it which cost a lot more. On top of it if you claim against it and it's not a real company showing profit and loss the state could hit them both with insurance fraud. Trust me, you don't want that.
I'm not worried about the fraud part, they can sell any stupid thing from anywhere and that's a business. I think charging 4,000 - 6,000 a year for one person is crazy. If someone is screwing someone, it the state screwing the people. I don't see how half of these old people can pay their insurance. But it does not look like that is a solution either, since you said the rates would be even higher or a business. Thank you for responding.
I have a 2007 BMW X3 which I bought at the price of 3,500$ and my insurance cost me 270$ and it really milking me so bab. I was told I had to pay that much because it my first time driving in US. What can I do to pay less? Thanks
What state are you in and how old are you?
I'm in New Jersey and I'm 31 years
Is that your actual house?
No. It's a green screen :-). I can't keep my house that clean lol....
If your car is being financed, then it's mandatory to buy Comprehensive+Collision
9 out of 10 times yes. It up to the loan company. Some buy here pay here places don’t require it.
I had a claim recently (I work for auto insurance as a liability adjuster) where the driver who is not my policy holder was financing a car and based on my investigation was at fault for the accident (we were exiting our vehicle on a residential street and she hit the open door). She had let her insurance lapse and was pissed that we were not going to pay for her car. She also accidentally admitted to me that she lied about her address on her car registration (she lives in NYC but claims to be in VA). She now calls me up everyday at work threatening me and calling me racist and saying I only found her at fault because she doesn't have insurance. I am like, "I am very sorry you let your coverage lapse, that is sad but that has nothing to do with my decision."
Triple A is NOT $45!! IT'S $150!! Please be accurate!
It is said correctly. Each state is different but, In the State of Michigan and most other states, if you go through an agent the cost for a AAA roadside membership is $44/yr for the basic.
If you're looking at the Premiere membership, that costs a lot more, closer to the $119 range(in MI).
@@ThinkInsurance We have the Premier because of the towing limit. But I am in California, and EVERYTHING IS MORE EXPENSIVE HERE... THE basic pkg towing is around seven miles, I think. 🤔. So if one gets stranded, the towing charges could be tremendous. So I haven't dropped my AAA yet...
STOP SAYING "SO"!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!
Heh do you have a contact number. I wanted you to look at my coverages. I think I am being ripped off.
KrissyfoReal what State are you in?
Mark Flockhart In Texas. How do I get u to look it over for me?
This video is the bible of car insurance.
Great help! Thank you for helping me come away from ignorant insurance usage / running on auto-pilot.
I'd like to give something back. Here are my crib notes. Double check them against the Original Poster's (OP's) video content in case I misunderstood any details. Merry Insurance-hunting! :) (See below in "Read More...")
Auto insurance basics:
1) Liability
a. Income and Assets - Insurance needs to look better than myself if someone wants to sue. Compare my own income versus assets before selecting a plan.
b. BI Limits (Bodily Injury for people in the OTHER car)
i. 10/20 - 10,000 per person in the car, up to a total of 20,000 dollars total.
ii. 25/50 - absolute minimum to consider.
c. PD Limits (Property Damage)
i. Recommended to be at least 50,000 - 100,000 better.
ii. The other equipment / house / car that I hit - THE LEAST EXPENSIVE TO CARRY A HIGH COVERAGE ON
d. UMBI Limits (Uninsured Motorist Bodily Injury)
i. This is the protection for Myself and others I insure when the other motorist does not have insurance. Some medical insurance will cover this, so it may be duplicate coverage and can be dropped.
e. UMPD Limits (Uninsured Motorist Property Damage)
i. This is protection for Myself and others I insure when the other motorist does not have insurance. Some medical insurance will cover this, so it may be duplicate coverage and can be dropped.
f. Med Pay Limits (Medical Payments) - Clarification needed? In any event - if I cause a car accident, no matter what happens I’m not covered by medical insurance because I caused it. This is also usually covered by medical insurance.
i. 5,000 is common, sometimes 10,000...some states let you go up to 100,000.
ii. This pays the listed limit for myself and anyone else in my car, per person, not total.
g. PIP (Personal Injury Protection) - very similar to Med Pay.
i. Can be bumped up later, but usually starts out lowball if required by law.
ii. Find out what exactly it covers in my state.
2. Full Coverage:
a. Take the value of the car. If in 3 years I pay more for Comp and Collision than say, 3,000 dollars or the car value, then don’t get this insurance. If I’m a low-risk driver then it doesn’t make sense to buy this coverage. Low cost repairs due to mistakes shouldn’t be applied to this because it will ding my records and raise my rates.
i. Comprehensive
1. Damage that happens to the car while it is “sitting there.”
a. Hitting An animal strikes
b. Hail Damage
c. Windshield Cracks
2. Comes with a deductible. Most commonly 100 to 250 dollar.
3. Comprehensive comes with collision as a requirement.
4. Sometimes adding comprehensive to collision under full coverage will lower the bill - Florida?
ii. Collision
1. Regardless of who caused the accident, my car is covered.
2. Comes with a deductible. Most commonly 500 to 1000 dollars as it’s the most expensive component of vehicle repair. This is my responsible part towards the accident.
3. If someone else hits me, and has insurance, then usually the other insurance will pay my deductible.
4. Collision comes with comprehensive as a requirement.
3. Towing and Road service. Do I want this?
a. Buy AAA - it’s the best deal. Don’t get it through your auto insurance.
b. This will be about 7 bucks a month, maybe. Weigh it out if you want to bleed this monthly.
4. Rental Car
a. In OP's opinion, expensive. Typically 5 - 8 dollars per month. Too expensive.
My God 2019 and I find this Gem of a channel. Thank you so much
Thank you
Hi Mark, Thank you for providing a detailed video on how auto insurance works and what are different components. I'm a first time driver and this was very helpful. really appreciate your effort.
You are welcome! I’m glad it was helpful
@@ThinkInsurance I have a qestion for you! What car insurance are YOU on?
I’m insured for Home, Auto and a personal umbrella policy with Safeco
The insurances in the USA really suck.
Man I appreciate you taking the time to go over this in detail! Now I feel confident about my policy! Thanks!
You’re welcome! I’m glad it was helpful
Thank you for the great advice. God bless you
Ambulance ride is a couple of thousand dollars, alone. Then ER bills? You don't even have to hurt someone badly to blow right by a State min BI limit. Yeah, I'm licensed, too. Too many people bragging about how little they spend on insurance and not enough of them actually understand what insurance is supposed to do. Same people bragging about how MUCH they spent on their phones, sneakers, sunglasses and whatnot. SMH. Kill or maim someone while you're diddling your iPhone and you're going to wish you'd spent more on BI and less on your toys. There is a young woman here somewhere advocating $1000 deductibles. That's insane, too.
Yes, New Jersey does PIP. And many of those PIP states are No Fault states where it doesn't matter who was at fault, you only file claims with your own insurance. Yeah, it's not great, but the dude with no insurance loses instead of milking your insurance for a new car.
And it's not "full coverage." That's a a layman's term. No such thing in insurance.
Really helped out a lot. Thanks Mark!
+jin tae glad it was a help! Thanks for commenting to let me know!
In Wa state, don't know about other states, it's 100 deductible on UM PD if you can identify or have the information of the other driver who is responsible and doesn't have insurance. Otherwise, it's 300 deductible
Hey Mark I work for the largest auto insurance company in Florida and have been selling/servicing auto policies for over 13yrs with them and even I have found your videos extremely useful. I like to find different ways to explain insurance from other insurance professionals.
Thank you!
My UMPD is $50k while my car is only worth $12k LMAO.
Y tho
I learned a lot!!!!!
Thank you!!
Where were when I was 16. I just become an expert! 😀
Just got a Subaru today and I want to get the insurance in my name so this helps.
So as a lower income earner I should spend more on my insurance? To an extent that makes sense, but he reality is that I have to skimp on everything I can to save a buck. Good advice to insure large investments, when it comes to driving and car insurance; I will be as prudent as ever and drive defensively sir....
Thank you for your comment. What I am saying is find coverage that fits your budget. Don't look at insurance as a cost even though it is. My recommendation is sit down and see how much insurance you need to protect you and your family in the unfortunate event there is an accident.
My personal rule of thumb is call 3 companies and quote 2 options. The minimum in your case if you want a more budget friendly option and a higher limit. In some states it's not going to cost you much and in other states having a higher coverage "can" in rare occasions be less expensive. Know your options so you're in control not the agent.
Hey Mark! Thank you for this. I work in IT and helped me understand the insurance domain and how it works in the US.
Very informative, as someone who's literally buying my first used car today, this was incredibly helpful!
I’m glad it was helpful!
Me too where do you get insurance?
Very easy to follow and detailed video about car insurance. Much appreciated sir.
Wow, this video opened my eyes! I need to redo my policy!
Determining how much car insurance you need can be tricky. You’ll need to know how much coverage the law requires you to have while ensuring you have adequate coverage to protect your assets and yourself. You also need to find the right plan to fit your budget.
You can carry collision but not comprehensive in CA or vice versa! I carry comp only because of how expensive it is to replace catalytic converter if it's stolen since I drive a Lexus. And I pay $35 for roadside service through my insurance. I've already used it twice so already paid for itself!
I'm going into a new field which is insurance. Thank so much for the info. very helpful!
Never advocate for removal of COM/COL unless you understand the cost of replacement of that vehicle to it's owner and the principle of diminished value. Oh, and DO NOT RELY ON EMERGENCY ROADSIDE ON YOUR INSURANCE. MOST OF THEM ONLY COVER CLAIMABLE EVENTS, NOT MECHANICAL BREAKDOWN. A 5 mile tow might run $75 - $200. If you commute, you'll be way better off with AAA than your insurance.
Generally speaking this guy is in the ballpark, but I get the feeling he hasn't been doing this as long as he'd like you to believe.
I had a Toyota truck in Hawaii and loaned it to my neighbor who is a professional tuna fisherman. His truck broke down. I felt sorry for him and he is a friend. Well he is 34 yrs old unlikely to crash IMHO. He gives the truck to the Grandmother and she totals it. I am kind of bummed bc I did not carry comprehensive insurance. I carried Liability insurance bc I was afraid they would forget to pay their insurance. They also carried liability so in April 2020, no comprehensive. Now they are mad at me bc they under insured the truck. Anyway be careful helping people. Sometimes no good deed goes unpunished LOL.
I commented on your 45 stats comment on another post. Your obviously a broker , I guess it’s possible. Ok work on the green screen. Under insured also covers if they don’t have enough insurance. My company in Ca, one of the good ones, won’t cover a hit and run , how do you know if they weren’t insured or under insured ??? You have to use your insurance , but it’s not at fault. Medical will still cover copays even if you have insurance. It’s not full coverage !! What if you wanted towing and you didn’t have it? You wouldn’t be fully covered. At least your licensed
Hi Mark, Thank you for providing a detailed video on how auto insurance works
Nice house!
I got so lucky when you said Florida lol
very good video. one thing though about AAA - I cancelled when they refused to tow my car from a large deep puddle (about 14" deep due to flooding), had the insurance coverage, they towed the car no problem.
Someone finally breaking it down. Hey, could you cover renter's insurance? Thanks so much for this.
I’ll see if I can :0).
I like this video. He explained clearly, i understand. Thank you.
Thank you this was extremely helpful!
thanks mate . like the background
Thank you sir !!😊
Thanks for the info.
Hey quick question I’m essentially done researching which car I will get. So I would need to get my quote with Geico (which I could do online) and purchase the instance and then head to the dealership ? Or should I call the insurance instead ?
Thank you for the video too very helpful!
Doing a quote online isn’t bad. It wouldn’t hurt to call and verify everything is correct on the phone. That way they can review any additional discounts and make sure your reports were run. Companies like Geico, Progressive direct, Esurance and 21st century were built for online and direct purchase.
Mark Flockhart thank you ! Will do
Just bought a new car. Listening to this as I get quotes. Thanks! I used to just have limited on my old car, but trying to up the coverage now.
Why the f woud you need car insurance to drive a car thats shity in croatia you only need a driving lisence thats it
Having Hella time getting FULL= Damned REbuild- didnt ell me until title- + 1 speed trap 32 mph in 15 mph school . FLORIDA, PIP they are wanting 130 down & 104 monthly!!! Been w Hartford 13 yrs quoted me #2, 200.oo per year= 200+ monthly- NO CREDIT. ANY help for me?
In Florida I would look into Safeco (866) 472-3326, State Farm and Geico and see if they can help. If you have a low credit score maybe try Liberty mutual as well.
Def let me know if any of them are helpful
Thank you for the video. I'm buying my first car and this was extremely informative and helpful.
+Matthew Hawkins You are welcome. Congratulations on the car.
Really stupid question, does the insurance follow the car or a person? Say if I got a driver's license and drove my parent's car, and I crashed, would the insurance pay for that or would I need to have my own personal insurance?
Typically insurance follows the car. If you live in the house with your parents and get a license you are supposed to be added to their policy unless the underwriter gives approval to be left off or you exclude yourself in which case you will not be covered.
If you don’t live with with them then your accident would be considered permissible use and would most likely be covered.
Telefono Dela aseguranza Mercury en Riverside county
You’re so clutch bro 💯💞
in the worst car accident scenario, if I am sued and injuries and liabilities are high - my concern is being sued. I would not want to be underinsured but not over-insured I own a 2017 SUV and my home. Should I consider both values when deciding my insurance limits? If I am sued and cannot pay, I do not want my home in jeopard. Thank you for your videos. Great information and delivered well!
You need to consider all of your assets when factoring how much liability insurance you should carry. Income as well.
Most of the time you won’t lose your house but it is possible. Most likely you’ll lose 20%+ of your income.
For the liability limits an umbrella is going to give you the most coverage for your dollar.
In my country its simple. Everyone must have OCTA insurance- this covers damage to third party - its around 80 Eur/year no matter the value of the vehicle. Then there is optional KASKO - its around 850-1200 eur for 50k Eur new car. The max package covers 90% of the car value. None of those have any medical coverage options.
Wow, do not the entire car can be covered? You really have a reason to not crash there. I do wish our states would just pick one way of doing insurance instead of each state having its own rules. Thanks for sharing!
7'00'' and if you don't have this coverage(uninsured motorist), you are not covered, The only senior that you would be covered is if you do full coverage on the vehicle which I'll explain in a little bit.
Question: even if I buy the full insurance, it seems like not cover the body injury, am I right?
If I understand your question correctly yes. Uninsured bodily injury only covers the medical to your or others in your car if they are at fault and don’t have insurance.
In some states you can purchase uninsured motorist property damage and that would cover your car otherwise you would need collision coverage.
😂😂nice house
This video was awesome. Thanks!
This was very helpful. You did not cover custom parts and equipment coverage? What does it all cover and how often can you use it within a years time?
Thanks!!
Custom parts are sometimes added to your policy. If so it's usually up to $1500 for upgrades to your vehicle such as a higher end radio or stereo system.
It can be for handicap vans or modified vehicles as well. Some companies will allow you raise the limit as much as $10,000 in extra equipment.
You can use it in the event of a covered claim whether you have comprehensive and it's stuff that is stolen or you're in a covered accident and it's damaged etc...
Here's a question on collision insurance: If I have collision insurance and get into an accident but the other driver is at fault, whose insurance covers the damage on my car? If the other person is at fault, would their insurance be liable for the damage on my car or does my collision insurance pay for my damages?
There are a few ways it can go. Whet state are you in?
Thank you for your video. Can you please explain about stacked and no stacked when you have more than one vehicle? Thank you
Stack is when you can take your liability or property damage from one vehicle and stack it onto another.
IE: uninsured property damage of $50,000 stacked Xs the number of vehicles you have. If 3 then $150,000.
Same goes for stacked bodily injury limits etc…
Not stacked is simply not carrying it. You still have what coverage you chose but nothing more
Thank you Mark, this video really helps, keep up the good work!
+Joshua Segoviano Happy to have helped
Awesome video!
Is there any video specifically for Brooklyn NY?
Sorry, no NY one. I may do one in the future but it would be a few months from now
I have a $500.00 deductible. So my car slightly flooded 3 weeks ago, the repairs came to $480.00. My insurance isn't covering anything.
Very helpful video Mark! Thank you so much!
I live in Washington state. Does the comprehensive & collision cover the Underinsured Motorist BI/PD?
+Jes Bui Some what. The Collision will cover the car up to value minus your deductible but the bodily injury won't be covered unless you have either medical payments, uninsured or underinsured motorists.
The underinsured motorist covers the difference between what the other person carries vs what you carry.
Example: you carry 25/50 underinsured but the person that hit you only has 10/20. If your medical is more than the $10,000 then your underinsured motorist will pay the diff up to the $25,000 per person you have covered and instead of maxing out at $20,000 it will be $50,000 per accident because you chose to protect yourself if this occurs.
txu so much for great info :>))))
Not sure if you'll see this but i have a question. I just got my license last week and I'm not on the insurance yet. I talked to my friend and his dad and they both said that once you get a license you're automatically covered for 30 days. I did a lot of research on this and i couldn't find anything. Do you know anything about this? Because I'm really excited and want to get on the road as soon as possible. ( I live in SC if that makes a difference. )
Technically you’re supposed to be added onto your parents policy but also “technically” you’re also already covered under the permissible use on the policy. Most if not all companies will cover it if you or a friend from out of town drives the car. I can’t say it is covered because I don’t know your insurances guidelines but I have yet to see a company not cover that situation.
Think of it this way. Even if you took your parents car without a license it’s still likely insured. Either way your parents are supposed to add you even if you don’t drive. If you have a license it’s no different
Hi, Is it a crime to insure/add a friend's car to my car insurance policy?
Not if they live with you. It’s considered rate evasion for him if he doesn’t disclose the situation for approval.
For you, you’re not allowed to make profit on insurance and since you don’t own the car, you could potentially make money off it, if you have full coverage and get paid due to a claim
Isn't uninsured property damage be covered under collision?
Depending on the state you’re in yes. In most cases collision will cover your car minus your deductible. The benefit of umpd is that there usually isn’t a deductible and it can be really cheap. Once again each state does it a little differently.
Do your rates go up if you have to use umbi?
Thank you! So helpful!!!!!!
Thanks! This video helped me a lot.
So...if the policy is ($25k per person and $50k per accident) do you get that $25 and $50k if medical bills are over $100k
Hey that's my house man
+Mark Flockhart please suggest insurance company for 650 credit score and first time driver for Florida !!
nice video
Thank you