Unfortunately, many parents are advised to do this either from a friend or an insurance agent that doesn’t know what the consequences of taking this action. They think if they buy a separate policy for their teen driver, the rates for their other cars won’t go up but it can cost much more if there is an accident.

Yes, the rates for your cars may not go up, but the rate for the teen driver’s car be as much a 3 times higher. This happens for 2 reasons. First, your child won’t get a multi-policy discount for the single car on the teen’s car insurance policy which can be as much as 25% off and second, you will have to buy a policy from a “high-risk” insurer. “High-risk” insurance companies charge rates that are more than double of a standard company.

And if that isn’t reason enough to add your teen to your own car insurance policy, here’s another.

You can be sued if your teen causes a car accident!

The most dangerous problem insuring your teen with a high-risk insurance company is that you can’t buy limits high enough for a teen driver. The liability limits offered by these companies are usually no higher than 100,000 per person, 300,000 per accident for bodily injury and 50,000 for property damage.

Some parents think that’s fine- that they will only sue their child’s insurance company if there’s a big claim. Wrong- a good attorney will go after the parents too. As long as the child is living in the parent’s home or is a dependent, any good attorney will drag you into the lawsuit.

There is something you should know about auto liability for teen drivers. A teen driver is 5 times more likely to cause an accident and the cost of their claims are 3 times higher that an experienced driver. That means your teen is at high risk of causing an accident and the cost of the claim can be much higher leading the need for higher limits for bodily injury and property damage liability insurance.

If your teen only had liability limits of $100,000 per person, $300,000 per occurrence for bodily injury and $50,000 for property damage, what would happen if your teen caused an accident where someone driving a new Mercedes Benz was seriously injured and had medical bills of $250,000? You are going to get sued!

The smart way to insure your young driver is too insure them on your auto insurance policy with the highest liability limits you can get. It is also recommended that you carry a personal liability umbrella with a million dollar limit. This is the least expensive way to protect your assets from a lawsuit.

For a personal protection risk assessment, call 866-869-3335 and we’ll help you get the right insurance protection for your family at the lowest cost.

This article first appeared at the Paramount Insurance Agency blog here by Tom Wiecek

Vehicle Maintenance- Check all of your fluids (anti-freeze, windshield washer, oil, power steering and brakes). Make sure you have good tread on your tires or consider mounting snow tires. Be prepared for an emergency by packing a kit containing a blanket, flash light, matches, flares, bag of sand for traction, windshield scraper and brush, toolkit, bottled water, booster cables and a rope.

Driving Conditions- The majority of auto accident insurance claims occur during tough winter driving conditions. Icy and snow covered roads if driven upon must be done so carefully. If you’re vehicle has anti-lock brakes, be sure to slam the brake when needed without pumping to allow your anti-lock braking system to work properly. Take turns slowly and never too sharp.

Increase Following Distance- The 3 second rule should be increased 1 second for each additional hazardous condition. So, if you are driving at night, add 1 second to your following distance. If you are driving at night in the rain, add another second.

Reduce Speed- As conditions worsen, so does the ability to control your vehicle. Simply driving slower allows you to better react to hazards as they arise.

Don’t drive- When in doubt, stay at home. Unless it’s an emergency, it’s not worth the risk of getting hurt in an accident and having an insurance claim.

What to do if you have an auto accident insurance claim.

If you do have the unfortunate luck of getting into an accident and if everyone is okay, the first thing you should do is call our office. We’ll walk you through the entire process and help you get your claim handled fairly and fast. Here are some of our suggestions:

• Call 911 if someone is injured
• Take pictures with your cell phone
• Never admit fault
• Gather witnesses and wait for police to take their statement
• Collect the other driver’s insurance company name, policy number, claims phone number and agent’s name. Also get the other driver’s name, drivers license number, address and phone number
• If your vehicle is not drivable, call a towing service

We at Paramount Insurance, wish you a safe and fun-filled holiday season. Feel free to give our office a call at 866-869-3335 if you have any insurance questions or needs.

Tom Wiecek, President
Paramount Insurance Agency

This article originally appeared at http://paramountinsurance.net/holiday-travel-safety-tips/

1. 2011 Ford Fiesta

– Subcompact Car: Smaller cars have some of the top fatality and injury rates in the past. The only mini car to earn an IIHS Top Safety Pick, the Ford Fiesta is the new standard. It has the most standard airbags in its part, counting a side-curtain inflators and a driver’s knee bag.

2. 2011 Honda Civic -

Small Car: With advanced compatibility engineering body structure, the Civic is famous for Honda’s signature. This car is designed to protect not only the occupants but pedestrians. With gears such as windshield wipers and hood structure that collapse easily on impact to lessen pedestrian injuries.

3. 2011 Subaru Forester -

Small SUV: This car has great all-wheel drive and handling, help keep the car on the road and lessen the possibility of a deadly rollover.

4. 2011 Hyundai Sonata -

Family Sedan: The Hyundai Sonata is equipped with six standard airbags, counting side curtains for both rear and front. 30 have been tested of 2011 models and this car is one of only two to earn five star rating from IIHS.

5. 2011 Volvo XC60

– Midsize Crossover: Volvo has a city safety system uses a laser to sense traffic ahead and automatically brakes to avoid fender benders. Add to that standard rollover sensors, all-wheel drive, hill descent control and both lane-departure warnings and blind-spot, and you have a safety cocoon on wheels.

6. 2011 Buick LaCrosse

- Large Car: A heads-up display lets the driver keep his eyes on the road, a radar-based system alerts drivers when a car is lurking in blind spots and adaptive headlamps swivel up to 15 degrees to peer around curves at night.

7. 2011 BMW 5-Series

– Luxury Car: BMW has the advanced safety system like blind-spot and lane-departure warnings, adaptive cruise control, and the first night-vision system that senses pedestrians and highlights them on-screen in the navigation display.

8. 2011 Toyota Sienna

– Minivan: The all-new 2011 Sienna is a huge improvement over its predecessor, especially in the safety department. An optional radar-based pre-collision system scans the road and preps the brakes for maximum stopping power if it senses a potential impact.

9. 2011 Jeep Grand Cherokee

– Sport-Utility Vehicle: Beneath its handsome new skin, the redesigned Jeep Grand Cherokee shares its rock-solid chassis with the far pricier Mercedes-Benz ML. This IIHS Top Pick boasts roughly 45 safety and security features, including stability control with electronic roll mitigation.

10. 2011 Volkswagen Jetta Sport Wagon

– Station Wagon: The Volkswagen Jetta Sport Wagon earns our nod because it combines honest utility and affordability with the kind of sporty European handling that can help drivers stop or steer around potential trouble.

There are two sneaky tricks I’ve uncovered that may save you some money in the short term but can cost you dearly in the long term.

Sneaky Trick #1 Teaser Rates-

Some car insurance companies will offer you a low rate at first just you get in. Then at your next renewal, they will jack up your car insurance rates. Sometimes, they will only increase your rates slightly just so that you don’t realize it at first. Then at every renewal, they will increase again and before you know it, you’re paying way more for your car insurance than you ever did.

Sneaky Trick #2 Cut Important Coverage-

Some of these slick car insurance companies will give you a quote with bare bones coverage that provides little protection should you have an accident. Unfortunately, you may not find out how poorly you’re protected until it’s too late. They give you the lowest liability limits or may cut Uninsured and Underinsured Motorists coverage so they can get you the lowest rates. They know that if you cause an accident and seriously hurt someone or cause property damage, they won’t have to pay much for a claim. And since they are not paying much for claims, they can keep their rates down.

So, if you really want to save money on your car insurance, here are some tips that have helped thousands of North Carolina drivers save serious money over the years without the risks that come with poor car insurance coverage.

1. Raise your comprehensive and collision deductibles:

   The amount you pay when you make a claim before your insurance begins to pay is called your “deductible”. Let’s just say if you have a $2,500 claim and a $500 deductible, you pay the first $500 and your insurance company pays the next $2,000. If you increase your deductible, you’ll pay more when you have a claim but you can really save over the long term if you don’t turn in any claims… as much as 15% to 25%!

2. Make sure you’re getting every discount you deserve:

   Safe driver, good student, anti-lock brakes, accident-free, claims-free, airbags and mature driver to name a few. If you’re a safe driver, there are certain insurance companies that offer the greatest discounts for you. You can contact our office to find out who these companies are.

3. Buy a  safe, lower profile vehicle:

   The kind of car you own is part of what determines the cost of the insurance. There are cars that are more expensive to repair and there are also desired cars for thieves. Normally, these cars will cost more to insure. Insurance companies use “Symbols” when rating cars. The higher the symbol, the higher the rate.  You can call our office for the symbol rating for a vehicle.

4. Insure your automobile with the same company that insures your home:

   Almost all companies offer discounts when you have all your insurance with the same company. If you have your auto insurance and homeowners insurance with the same company you can save up to 20%. You will also get a discount on your homeowners insurance.

5. Use an Independent Insurance Agent:

   This is the best way to save over the long term. Only an independent agent can shop your car insurance with multiple insurance companies and knows which companies offer the most discounts. Plus, if your car insurance rates ever go up in the future, your independent insurance agent can shop again for you year in and year out.

So, give our office a call today at 866-869-3335. We’ll learn about your specific car insurance needs, shop your coverage for you and help you get the right protection and savings over the long term!

What you do as soon as an accident occurs can make a big difference in the safety of those involved and how your claim is handled.

So, what do you do when a car accident occurs?

First of all, don’t panic. Here are the steps you should follow:

1. Move your car, if needed, to protect it from further damage to avoid another accident.
2. Call the police, especially when there are injuries or hit and run accidents
3. Get the following information: The other drivers name, address, phone number, license plate number, and drivers license number. Make sure you get the insurance company name, policy and agent’s name and phone number too.
4. If there were any witnesses, get their name and phone number
5. Don’t agree to forget about the accident as there may be some hidden damage, unknown injuries or later find that a lawsuit has been filed against you.
6. Call our office! If it occurs during our off-business hours, call your insurance company directly. You should have their 24 hour claim number on your insurance card.

It is very important to make sure you have your insurance card in your vehicle at all times. If you would like a holder for your insurance card and a free copy of the instructions on what to do in the event of an accident, either give us a call at 866-869-3335 or send use an e-mail to service@paramountinsurance.net. We’ll send you one immediately.