How To Get More Affordable Car Insurance with the Help Of Usage-Based Insurance

UBI, short for usage-based insurance, is a type of policy offered by car insurance providers. Drivers may lower their insurance rates if they allow for a small telematics device to be installed in their vehicles. This device will monitor the driving habits and how much a policyholder is driving. For me, the toughest task about using the device is finding out where to plug it in. I went to to find out where the port was for my vehicles. In some instances, all it involves is a download to your smart phone instead of using a device.

Usage-based insurance has several advantages:


Policyholders can get fast discounts. 

Insurance companies will install telematics devices for a short period of time (usually 90 days). This period is enough for insurers to determine if a driver can qualify for a good driver discount. You usually get a discount just for signing up. You typically do not get penalized if you are a bad driver

Encourage better driving habits.

Knowing that they are monitored and any bad driving habit is penalized will make the drivers adopt better driving habits. There is typically a penalty for driving late at night, so if you are typically a day time driver the discount can be higher.

Obtain a low-mileage discount. 

Insurers consider that drivers that drive fewer miles are less likely to be involved in accidents. And for that reason, insurance companies offer the low-mileage discount.

UBI can help accident investigation.

The telematics devices often record data like speed, acceleration, hard braking, direction, and airbag deployment. This data can sometimes be important for investigators when they try to find out what happened and who is responsible in case of an accident.

Consistent discounts for teen drivers.

Teen drivers automatically pay high insurance premiums. One way to lower their car insurance rates is through UBI. For that is necessary for teen drivers to have good driving habits while the telematics device is installed.

Does Your Luxury Home and Auto Insurance need to be reviewed?

Luxury home coverage is specifically designed for properties that have an above-average reconstruction value. Many homeowners are unaware that luxury home insurance offers more coverage than a standard policy. Customers often assume that a standard policy offers the best value, which is not necessarily true.

Some agents leave the determination of your home’s replacement cost to the real estate market rather than the actual cost to reconstruct your home. This is especially problematic with luxury homes. It will often leave a homeowner dangerously under-insured. This will position them for financial catastrophe in the event of an under-insured claim. The primary reason is that there is a higher cost to employ quality artisans. It is also more costly to purchase the higher quality materials that are used to reconstruct a luxury home.

Making the switch to the appropriate carrier and broker will provide you with the comprehensive solutions you need and the proactive service you require. The alternative is an out of the box policy that auto-renews and may leave you under-insured at a time of loss.

While shopping for insurance can be stressful, working smart to protect your luxury autos, home and its contents should never be left to chance. Financial stability is reason enough to invest in the right policy.

Claims, inflation, property value, security systems, and even pets can all have implications on your rates. Lifestyle changes often changes in your risk profile. If your risk exposure increases or decreases, so do your rates. Being able to accurately measure your risk profile is essential to determining policy limits, deductibles, and a schedule of your homes contents.

Some Important Questions to Ask…

  1. Does your agent provide you with options from different carriers?
  2. Are you currently insured for the true luxury replacement cost of your home or is the insurer using builders grade finish out to lower your premium?
  3. Do you know what your policy limits are?
  4. Is your most expensive jewelry, art and other valued items scheduled on your policy?
  5. Does your liability coverage match your lifestyle?
  6. Do you use domestic workers for cleaning, cooking, gardening or lawn maintenance?
  7. Do you host gatherings where alcohol is served?
  8. Do you have pool parties?
  9. Do you have a trampoline?
  10. Do you carpool other people’s children?