Auto Trend and Auto Insurance News

Where should I shop for my car insurance?

The growing number of comparison websites are a great tool for finding competitive insurance quotes, but it’s worth shopping around a few to find the best deal. No one site has every insurer, and some companies, such as Direct Line and Norwich Union, refuse to be quoted on comparison sites. Three of the best for car insurance are confused.com, gocompare.com and tescocompare.com.

Third party or fully comprehensive?

Third party insurance will only cover the other person’s costs if you have a crash. If you have an accident and it’s your fault - or you don’t get the other driver’s details - then you won’t get anything back. Comprehensive insurance will pay out in all situations, but costs more. You’re legally required to have car insurance, but if you’ve got an old car, it may not be worth paying for anything more than third party. If your car’s newer and more expensive, the extra cost is probably well worth it.

How can I lower my insurance premium?

Women tend to pay lower premiums than men, and married couples tend to pay less than non-married. Conversely, young drivers tend to pay very high rates. If you’re under 25, it may be worth considering a pay-as-you-go scheme, such as More Than’s Drive Time, which helps to lower the cost by monitoring driving habits. Another way to lower your premium is to pay annually rather than monthly, which carries a hefty mark-up. Finally, don’t get any speeding tickets. These push your premiums up for several years.

What’s wrong with the cheapest policy?

Be careful to compare all the policy details before you decide which insurer to go for. Check how large the excess is - it’s often quite high on the cheapest policies. Also, ensure you’ve entered your details correctly. Any false information could invalidate your whole policy.

Tags: Carinsurance

Swiss Re said on Thursday its investment portfolio remains sound despite tough financial markets and reaffirmed its targets as additional writedowns were lower than many had expected.

The world’s largest reinsurer also said it had taken steps to reduce its exposure to corporate bonds, equities and the underlying quality of its reinsurance business. “The company is doing the right thing because it said it will reduce exposure to corporate bonds and structured assets,” said analyst Rene Locher at Sal. Oppenheim.

Swiss Re shares were indicated to open some 2 percent higher, according to pre-market data from Clariden Leu.

Swiss Re said it maintains its targets of earnings per share growth of 10 percent and return on equity of 14 percent over the cycle and sees opportunities for attractive returns from its Life & Health and Admin Re operations.

But the reinsurer had a mark-to-market loss of CHF 245 million ($225 million) between June 30 and August 31, 2008 in structured credit default swaps (CDS), the company said in a slide presentation.

For the period from the end of August to September 19, Swiss Re estimated a CDS mark-to-market loss of CHF 32 million [$29.5 million].

These add to previous writedowns of some CHF 2.7 billion [$2.491 billion] in its financial services unit, which creates products to transfer risk to capital markets.

“Structured CDS is the weak spot and we may see more of these (writedowns), but this is as the market expected,” Locher said when asked if today’s additional writedowns came as a surprise.

Swiss Re also said it had hedged sub-prime exposures within its trading portfolio and gross notional exposure was now CHF 3.2 billion [$2.95 billion].

Tags: Insurance

Greenlight Capital Re, a specialty property and casualty reinsurer based in the Cayman Islands, has elected Bryan Murphy to the company’s board of directors.

Mr Murphy has over 40 years of experience in the insurance and reinsurance business and has held senior executive positions in companies located in the Cayman Islands, Ireland, Ethiopia and Saudi Arabia.

From 1996 until his retirement in December 2007, Mr Murphy was the founding director and CEO of Island Heritage Holdings, a Cayman Islands-based property, liability and automobile insurer. He was responsible for providing commercial property insurance and reinsurance services to organizations in 16 Caribbean countries. Prior to joining Island Heritage, Mr Murphy acted as a consultant to Trident Partnership, and was employed by International Risk Management Group for 16 years.

Len Goldberg, CEO of Greenlight Re, said: “At a time when the industry is facing significant challenges and Greenlight Re is building on our strengths to continue to identify new opportunities, Bryan’s expertise and leadership will contribute substantially to our efforts.”

http://biz.yahoo.com/bw/080922/20080922006398.html?.v=1

Greenlight Re Expands and Strengthens Board of Directors with Appointment of Bryan Murphy Monday September 22, 2:15 pm ET

GRAND CAYMAN, Cayman Islands–(BUSINESS WIRE)–Greenlight Capital Re, Ltd. (NASDAQ: GLRE - News), a specialty property and casualty reinsurer based in the Cayman Islands has elected Bryan Murphy to the company’s Board of Directors.

ADVERTISEMENT Murphy, 63, has over 40 years of experience in the insurance and reinsurance business and has held senior executive positions in companies located in the Cayman Islands, Ireland, Ethiopia and Saudi Arabia. From 1996 until his retirement in December 2007, Murphy was the founding director and chief executive officer of Island Heritage Holdings Ltd., a Cayman Islands-based property, liability and automobile insurer. He was responsible for providing commercial property insurance and reinsurance services to organizations in sixteen Caribbean countries. Prior to joining Island Heritage, Murphy acted as a consultant to Trident Partnership, and was employed by International Risk Management Group for 16 years. His responsibilities there spanned all areas of claims administration, risk management and insurance underwriting.

“Bryan Murphy is an outstanding addition to our firm, with his significant experience and leadership roles in the insurance and reinsurance industry,” said Len Goldberg, CEO of Greenlight Re. “At a time when the industry is facing significant challenges and Greenlight Re is building on our strengths to continue to identify new opportunities, Bryan’s expertise and leadership will contribute substantially to our efforts.”

Murphy holds a degree in economics and mathematics from University College in Dublin, Ireland.

Tags: Carinsurance

Lloyd’s has reported interim results, which show a marked decline in profits for the first six months of 2008. Nonetheless, compared to what’s been happening in the global financial sector (where Lloyd’s has very little exposure), profits were better on average than most of its competitors.

– Profit before tax of £949 million [$1.764 billion], compared to £1.807 billion [$3.36 billion] for the first six months of 2007.)
– Combined ratio of 89 percent, which Lloyd’s said, “continues to compare well with our peers who recorded an estimated average of 99 percent for US P/C insurers, 98 percent for US reinsurers, 86 percent for Bermuda, and 96 percent for European insurers and reinsurers.” (the sources for the comparisons are given in the full bulletin)
– Investments returned £346 million [$643.3 million]
– Strongest ever central assets of £1.936 billion [$3.6 billion]

Lloyd’s explained the decline as reflecting “softening in market conditions and a rise in attritional claims.” Its investment returns were approximately 1 percent, reflecting a very conservative strategy. In the current financial turmoil that’s a good result. Lloyd’s noted that its investments had “outperformed many peers, but showed the impact of the extreme volatility in the capital markets, with both equity and bond holding adversely affected.”

Chairman Lord Levene commented: “We have reported a strong performance in extremely challenging circumstances. The result reported for the first half comes as no surprise with profits heavily influenced by falling investment income and increased cost of claims, while the second half will remain subject to the incidences of natural catastrophes.”

CEO Richard Ward added: “The market remains in a good position to face the challenges ahead even though the external conditions in which we operate are about to test our structure and resolve.”
The full report and Lloyd’s presentation to analysts can be accessed at: www.lloyds.com/2008interims.

Source: Lloyd’s - www.lloyds.com

Tags: Insurance

Have you ever wonder why car insurance costs vary from one car insurance company to the other? This is due to the different type of computation factors that car insurance companies use to derive the car insurance cost. Based on the answers that you replied to the car insurance company, they will add or discount the cost before arriving at a final price for your car insurance. Thus, it is important for you to shop around first before you commit yourself to a particular car insurance company as different companies take a different view of the various high risk factors. We will look at some of the factors that car insurance companies take into considerations.

1.Having a clean driving record.
Without a doubt, car insurance cost would increase if you have been convicted of a driving conviction. Thus, it pays to be a safe driver so that unnecessary costs won’t be incurred.

2.Adding additional drivers to the policy
By adding additional drivers to the policy, extra premiums will be added. Thus, do not add in drivers into the policy just because you think that this person might be using the car in the future. Consider carefully whether it is necessary to add this person into the policy.

3.The age and gender of the driver
If the driver is under the age of 25 the rate will mostly likely be fairly high. This is due to the lack of driving experience. Usually, you will need to have over three years driving to be quoted a lower rate. Also, a single male driver rates higher than a single female. This is because males are rated as a higher risk to car insurance companies.

4.Your credit report history.
Most car insurance companies take into account of your credit history. Paying your bills on time and maintaining a good credit history will allow you to enjoy lower car insurance cost.

5.Anti-theft alarm
Fix up an electronic central locking and alarm on your car. Discount could be given by insurance companies when you have anti-theft devices install in your car.

Tags: Carinsurance

If want purchase a new car, There is no thrill like cruising around town in your brand new car you worked so hard for. But before you start cruising, you have to think about getting insurance for your new car.

How can you get cheap insurance for your new car if you have never had a car insurance policy? Consider these three tips:

Check out the safety of your new car. Before you purchase your new car, check out the safety features. If you have already purchased your new car and it does not include certain safety features, add them. Cars with safety features are seen as less risky to insure than cars without safety features; therefore, insurance companies give cheaper car insurance quotes to drivers who own safe cars.

Ask about “spinning off” of another car insurance policy. If you have ever been on another driver’s car insurance policy, such as your parents’ car insurance policy, ask the insurance company about “spinning off” of that car insurance policy onto your own car insurance policy. You will have your own car insurance policy, and you will most likely get a cheaper premium than you would if you purchased a new car insurance policy out right.

Add yourself to another car insurance policy. If you are married, or have parents who trust your driving habits, ask if you can be added to their car insurance policy. This may raise their premiums a bit, but you can pay the difference and the difference will be much cheaper than purchasing a completely separate car insurance policy.

Remember, all states require some form of car insurance or financial responsibility. Do not risk huge fines and a suspended driver’s license by neglecting to purchase insurance for your new car.

When you plan to purchase a new at car dealership, you must have car insurance before you can drive your new car home. Sometimes car shoppers wait until they are at the car dealership before contacting their current car insurance companies about the new car. Sometimes, car shoppers who are shopping for their first cars – car shoppers who do not already have car insurance for another car – wait until the day of the purchase to buy a car insurance policy.

These methods are tricky. Neither gives the new car owner time to shop around for a cheap car insurance quote, and leaves the new car owner with few car insurance options.

If you are in the market for a new car the best method is to get a cheap insurance quote before buying your car, and you can do so by following these tips:

Choose your car before you actually buy it. There are several steps to this. First, decide what kind of car you want. Keep in mind a safe, reliable car with many safety features will get you a cheap insurance quote. Then, look at sales papers, taking note of the car dealerships in your area that sell the car you want. Finally, visit the car dealership just to introduce yourself and let a salesman know your intentions.

Contact your current car insurance company. Let them know you are in the process of purchasing a new car. Tell them the make, model, and year, as well as all safety features. Ask them if they can give you a new car insurance quote.

Contact other car insurance companies. If you do not have a current car insurance company, or you want a cheaper insurance quote than what your current company gave you, now is your chance to shop around. Talk to several car insurance companies to get a cheap insurance quote before you actually buy your car.

which covers the cost to repair damages caused by you, is usually your state’s minimum automotive insurance requirement; however, if you are still making payments on your vehicle, your financer may require you to purchase additional automotive insurance coverage until you own the vehicle.

There alot of different kinds of additional automotive insurance, and collision automotive insurance and comprehensive automotive insurance are probably the most popular kinds of additional automotive insurance. But what is the difference between collision automotive insurance and comprehensive automotive insurance? Don’t they both cover everything?

No. Collision automotive insurance and comprehensive automotive insurance are actually quite different.

Collision automotive insurance is automotive insurance that will cover the cost to repair damages to your vehicle that result in an accident caused by you. If repairs to your vehicle cost more than the value of your vehicle, the automotive insurance company may deem your vehicle a total loss, in which case you will be compensated for the current and actual cash value of the vehicle.

Collision automotive insurance is usually the most expensive of the additional automotive insurance options, which is understandable since the automotive insurance company is paying for damages caused by their own policy holder.

On the other hand, comprehensive automotive insurance is insurance that will cover the cost to repair damages to your vehicle that result in an accident for which you are not at fault. These damages may be caused by incidents involving natural disasters, theft and vandalism, fire, and animals (think of deer running out in the road during your innocent drive home). Comprehensive automotive insurance will compensate you for the total cost of your vehicle before the accident.

Although many people opt to purchase only liability insurance since it’s usually the only insurance required, consider paying extra for these additional automotive insurances. You never know when you, or an animal, will be the one to cause damage to your vehicle.