R&R Insurance Blog

Here are 13 ways to make sure you are getting the best value on your auto policy:

1. Drive safely

Accidents, especially accidents where you are at fault, may increase your insurance premium for 3-5 years. If you get into a minor accident, especially one in which yours is the only vehicle involved, you may want to pay out-of-pocket instead of reporting a claim—the amount you pay in accident surcharges can be more than the vehicle repairs if the claim is just a few hundred dollars.

2. Avoid tickets

Speeding tickets and other moving violations can drive your rates up substantially and these, like accidents, usually affect your insurance for 3-5 years.

3. Raise your deductible

Deductibles are what you pay towards a loss before your insurance policy kicks in. By requesting higher deductibles, you can lower your costs substantially. For example, increasing your deductible from $200 to $500 could reduce your collision and comprehensive coverage cost by 15 to 30 percent. Going to a $1,000 deductible can save you 40 percent or more.

4. Before you buy a car, compare insurance costs

Before you buy a new or used car, check into insurance costs. Car insurance premiums are based in part on the car’s value, the cost to repair it, its overall safety record, and the likelihood of theft. Many insurers offer discounts for features that reduce the risk of injuries or theft. Some companies also offer discounts for hybrid vehicles.

5. Reduce coverage on older cars

Consider dropping collision and/or comprehensive coverages on older cars. If your car is worth less than 10 times the premium, purchasing the collision and/or comprehensive coverage may not be cost effective.

6. Idle vehicle? Reduce coverage during winter months

If you have vehicles that you don't use during the winter months or for long periods of time during the year, you can save some money by removing the liability from them while they are idly stored. By carrying comprehensive only during these times, your vehicle is still covered for theft, fire, vandalism, etc. Your liability coverage can be added back on when you decide to use the vehicle again.

7. Package your auto & home policies together

Some companies that sell auto, homeowners and umbrella coverage will take 5 to 15 percent off your premium if you bundle two or more policies from them. Luckily, R&R Insurance represents numerous companies that do just that!

8. Maintain a good credit record

Establishing a solid credit history can cut your insurance costs. There is a statistical correlation between certain aspects of a person’s credit rating and the number of insurance claims the person might be expected to file. Insurers are increasingly using credit information to price auto insurance policies. Check your credit record on a regular basis and have any errors corrected promptly so that your record remains accurate. See improving credit rating.

9. Stay insured

Never let your insurance policy lapse. You may find it difficult to obtain insurance if your policy expires, and your insurance may be more expensive than it was before. Customers who let their insurance expire—even for a couple days—are statistically higher-risk, and insurance companies often charge extra for this.

10. Take advantage of low mileage

If you don't drive very far to work, or if you carpool, make sure this is accurately indicated. Underwriting will take into consideration how much time you spend behind the wheel. Be sure to keep this updated if you change jobs.

11. Hold a longer policy

There may be a price penalty attached to 3- or 6-month policies, so the longer your policy term, the better your rates will likely be.

12. Stay with the same insurer

If you've kept your coverage with a company for several years, you may receive special pricing for being a long-term policyholder. Typically insurers like to see loyalty for at least 3-5 years.

13. Last but not least, ask!

You could get a discount if you take a defensive driving course. If you belong to a professional association, from dental hygienists to fire fighters, you could be eligible for a discount. JUST ASK.

Wisconsin residents, be sure to contact knowledgebroker, Brandy Enger, for the best valued personal lines insurance in Wisconsin! We'll ask the right questions to ensure you are getting every discount available to you.

In an article by Jacob Hannah for USA TODAY, he states that nearly 9 out of 10 teenage drivers have engaged in distracted-driving behaviors such as texting or talking on a cellphone even though most of them know that their actions increase their risk of crashing.

The survey by Seventeen magazine and auto club AAA highlights the difficulty of the nation's efforts to stop texting while driving, especially among young drivers.

"Teens do continue to drive distracted even when they recognize the dangers," says William Van Tassel, manager of AAA's driver training programs. "Driving is the first real adult responsibility, but let's face it, they're still teens whose brains aren't fully developed."

The online survey of 1,999 teens ages 16-19, conducted in May 2010, found that 84% were aware that distracted-driving behaviors increase their crash risk; yet 86% have engaged in those behaviors, including texting and talking on cellphones, eating, adjusting radios, driving with four or more passengers and applying makeup.

Almost 6,000 highway deaths each year involve distracted driving, the National Highway Traffic Safety Administration says.

"Everybody has heard the message that distracted driving can raise your crash risk," Van Tassel says. "They're getting the message, but their personal experience may influence them in the other direction."

That's what happened to Cheyenne Tontegode, 18. She was a passenger in a car driven by a friend last year in their hometown of Lincoln, Nebraska, and both girls were texting, Tontegode says.

"She was either texting somebody else, or I was showing her something on my phone," she says. "I looked up and saw that we had started to get over into the other lane. I called her name. She looked up, overcorrected, and we hit an SUV head-on."

Tontegode, who wasn't wearing a seat belt, was in the hospital for 10 days. One of her legs was cracked in 14 places, and she had broken ribs and glass in her eye; her friend was hospitalized for 14 days, she says.

She says she had gotten the texting-while-driving message before the crash.

"Well, yeah. Of course you hear it. You hear it all the time from adults," she says. "But people don't think about it until it happens to them, unless they get the message from another teen. If it happens to another teen, then I think they listen."

Tontegode says she now wears her seat belt "all the time," and her friend "only texts when she's at red lights. The minute it turns green, she puts her phone down and doesn't look at it again until the next red light."

The survey indicates that focusing solely on texting while driving will not eliminate distracted driving among teens. The top three behaviors that respondents had participated in: adjusting a radio/CD/MP3 player (73%), eating (61%) and talking on a cellphone (60%); 28% had sent a text message.

Among the survey's findings:

• Drivers ages 18-19 are more likely to engage in distracted driving than those 16-17.
• Teens gave researchers startling reasons why they engage in distracted driving: It takes only a split second (41%); they don't think they'll get hurt (35%); it makes driving less boring (22%); and they're used to being connected to people all the time (21%).
• Teens driving their own vehicles are more prone to distracted driving than those who share an automobile with others. For instance, 20% of teens who share vehicles had texted while driving, compared with 35% of teens with their own cars.

Useful links for parents of teenage drivers:

• For more information on distracted driving and Wisconsin's ban on texting
• R&R has developed a driving contract you can use with your own kids
• Travelers tips for teen drivers
• West Bend Mutual beginning teenage drivers
• Video: Young Drivers - The High Risk Years

Wisconsin residents, contact knowledgebroker Kori Cumley for more information.

Rental car insurance is always a sticky issue because of the differences in rental car company contracts and the wording of your personal auto policy. Since each rental company has different verbiage in their contract, and each car insurance policy is a little different, we'll be talking generalities below and leave it up to you to find out the specifics for your situation.

If you have a personal auto policy, you may have coverage that extends to your rental car. Most car insurance policies have wording that provides physical damage coverage to any 'non-owned auto' which is defined as any private passenger auto, pickup, van or trailer that is not owned by you or any family member and is being operated by you or any family member (this is not exact wording). A rental car fits into the definition of a non-owned auto, so physical damage coverage would apply either primary or excess if you carry physical damage coverage on any of your own vehicles. If you only carry liability coverage on your personal auto policy, there would be no physical damage coverage provided when you drive a rental car.

Very important note: If you noticed in the definition of 'non-owned auto', there was no mention of truck, jet ski, 4-wheeler, motorcycle, etc. Your personal auto policy does not provide coverage for these types of vehicles. So the next time you rent a U-Haul truck or other vehicle that does not meet the definition of 'non-owned auto', make sure you check with your insurance company to see if any coverage applies.

You may also want to contact your credit card company to see what rental car coverage is available if you charge the full rental cost to your credit card. Many cards provide some limited coverage on an excess basis, which could offer some additional protection.

In summary: Should I purchase the rental car loss damage waiver?

1. If you have physical damage coverage - not needed

2. If you only have liability or comprehensive coverage - definitely, yes!

Wisconsin residents, contact knowledgebroker Kori Cumley today for more information on rental car coverage!

A good student discount is a reduction of auto insurance premiums for a young driver who falls into the “good student” category of the insurance provider. The definition of a good student varies from one insurance company to another. Here are a few of the requirements to be labeled a "good student":

• Ranks in the upper 20 percent of his or her class
• Has a B (3.0) grade point average (GPA)
• Dean’s list or honor roll

A discount for a good student is based on the premise that good students are better drivers. Statistics have shown that students with higher grade point averages (GPA) tend to be more responsible when operating an automobile.

Underwriting guidelines vary on the percentage for the good student discount. On average it is 10 to 15 percent and is compiled into an overall rate - it does not show as a specific line item on your policy.

There are other student discounts to ask about as well. Some insurance companies offer discounts if your child is in college without a vehicle, or if your child has a graduate degree.

Wisconsin residents, contact knowledgebroker, Kori Cumley to make sure your policy is taking full advantage of every discount available to you!

Jay Mueller, Whitefish Bay, Wisconsin resident and long-time personal lines customer of R&R Insurance Services, explains that even with 5 kids behind the wheel and a few minor accidents along the way, dealing with his insurance agent has been "painless".

Have a teenage driver? Here are some short articles we've put together that can help keep your children safer:

Teen Drivers
Travelers' Tips For Teen Drivers
West Bend Mutual Insurance's Beginning Teenage Drivers

Wisconsin residents, for more information about insuring your family with R&R Insurance Services, contact knowledgebroker Dan Wolfgram.

Yesterday's announcement of UWM's data breach of 75,000 student and employee records is just another example of the exposure that all organizations have when it comes to their computer networks and the data that they are responsible for protecting.

How is your organization protected against a data breach like this? Learn what coverages you should have in place to protect your organization from a costly data breach experience and about the process of recovery.

How a business can protect itself against cyber crime
Cyber Liability SeminarMRA conference Center in Waukesha, WI.

Wednesday, October 5, 2011
8:00am - 11:30am

Companies receive an average of 4 million attacks against their networks on a daily basis. Sure, companies can employ the best IT talent around, but that’s no guarantee that your network won’t be compromised, or that your data won’t be breached. No system is 100% secure!

Attend our free Cyber Liability Seminar. Learn this and a whole lot more...

Recent news about data breaches and losses sustained due to lack of insurance coverage for cyber crime:

UWM: 75,000 records breached!
Texas Spends $1.8 Million on Data Breach As Lawsuits Loom
WellPoint Fined $100k for Failing to Report Data Breach
Losing the War on IT Security
Sony Laid Off Employees Before Data Breach Lawsuit
RockYou Data Breach Lawsuit Moves Forward
Data breaches may lurk in office copiers and printers
Michael's Department Store Breach 4 Suspects Sought
Average cost of a corporate data breach is $7.2 million
Class slams Michaels for Data Breach

357 People Affected by Data Breach at North Carolina's Wake Forest Baptist
Nurse Accused of Accessing 2,500 Medical Records at Memorial Hospital in Colorado
Walgreens.com site exposed patients’ pharmacy records to other patients?
Hospital employee and three others accused of stealing patients’ identities
An unintended exposure leads to a mea culpa from an online psychiatry journal
Personal Info Stolen From Patients At DeKalb Medical
Drug, paternity test records exposed
Morgan Stanley loses 34k customer records on unencrypted CDs
Groupon loses 300,000 user details
SEGA hacked, records exposed
Eight million health records lost on NHS laptop

Surveys tell us that half of all American households have no life insurance other than a group policy at work. Most people say they know they need more life insurance protection for their loved ones, but haven’t done anything about it. Here are the leading reasons people give for not having life insurance. Does this sound familiar?

1. Don’t know what I need to buy.
   There are no dumb questions when it comes to providing protection for your loved ones. R&R Insurance offers free advice, no obligation.
2. Don’t think I can afford it.
   High price is a common misconception about life insurance. As average life span continues to get longer, life insurance rates continue to decline. A 25-year-old male can get $250,000 of term life insurance for as little as $17 per month. Term life for a healthy 45-year-old would cost about $31 per month. A 65-year-old male could get $10,000 of final expense coverage for $49 per month. Female rates are generally even lower.
3. Haven’t gotten around to checking into it.
   Time will cost you money. Every birthday that you have without putting a policy in place will raise your rates. Basically, the younger you are, the more affordable your policies will be.
4. I am immortal!
   Really! We hear it all the time - but reality is that none of us are. Our staff hears startling examples of totally unexpected and untimely deaths all too frequently. The best time to buy life insurance is when you are healthy, while coverage is affordable.

Some of our companies, like Auto-Owners Insurance Company, offer substantial multi-policy discounts on your homeowners and auto policy when you have your life insurance with the same company. These savings can go a long way toward paying the cost of your life insurance.

Remember, life insurance is for the ones you love. Wisconsin residents contact knowledgebroker, Dan Wolfgram today for more information or a quick life insurance quote!

One of R&R's best resources for information, The National Underwriter, has published a slide show on its website showing the top 10 stolen pieces of heavy equipment in the U.S. You can view it here:

Is your equipment covered in the event of theft? Please spend some time reviewing your current inventory of equipment and call your agent to be sure it's adequately covered. Remember that our loss control specialist, John Brengosz, can offer advice and assistance in your loss prevention program.

Mary Baer of Waukesha, WI explains that "giving back to the community" is just one of the many reasons why she has her personal insurance with R&R Insurance.

To learn more about how R&R gives back to the community or to ask us about personal lines insurance for Wisconsin residents, contact Jeff Wolfgram. He'll take care of you just like Mary says! Learn more about Jeff!

Volunteerism is alive and well in our communities. We are fortunate to have so many volunteer organizations which are made up of excellent people giving of themselves to help and protect others. Volunteers, whether it be as a coach, 4-H advisor, chamber of commerce committee member, church board member, or even if you helped raise contributions for the last United Way campaign in your community, do have some liability exposure.

Have you ever thought about how your existing insurance policies might respond if legal action was brought against you while conducting volunteer activities? If someone is injured during a project that you are overseeing, are you covered? If you serve as a board member and are sued for breach of duty, imprudent investments, discrimination in hiring or wrongful termination, are you covered? To answer these questions, there are two places to check: your personal liability insurance and the organization's insurance. Here's a look at both of them:

Your Homeowners or Personal Liability insurance policy gives you liability protection for bodily injury and property damage to others while participating in non-business activities, i.e. if you are sued for injuries to a child who is unintentionally hurt while you are the volunteer football coach or 4-H advisor. Your existing homeowners policy would also be an excellent place to endorse coverage for your personal property if using it in a volunteer capacity, for example, if you were using your video camera to cover the organization’s summer camp and the camera fell in the lake.

It’s important to remember that no liability protection is provided if your volunteer activity is related to a business (i.e. trade or professional association representative) or if you receive any compensation. Most homeowners policies also specifically exclude coverage for any act or omission while serving on the board of an organization. While your policy will outline additional specific exclusions, common ones include intentional acts, legal action taken against you other than for bodily injury and property damage, and lawsuits related to personal injury (i.e. libel, slander or false imprisonment).

It’s also important to check for coverage under the organization's liability policy. Ask the organization’s leadership for proof of insurance for general liability, directors and officers liability, and employment practices liability. Also check to see if volunteers are covered (named as additional insureds) under those policies and whether or not the organization is carrying sufficient liability limits for potential loss situations, including:

• Failure to examine documents signed
• Silence with respect to improper conduct of fellow officials
• Improper rejection of bids
• Failure to exercise diligence in management
• Incurring unnecessary expenses

One solution to some of these exclusions may be to purchase a Personal Umbrella, which is designed to provide coverage for personal injury and would be an important investment on the part of anyone looking to volunteer. The best news: a $1,000,000 Personal Umbrella can be purchased for as little as $15.00/month!

This article is not meant to discourage any present or prospective volunteers. If you do volunteer, or have ever considered donating your time to a cause that is close to your heart, our intent is to help you be well-informed, comfortable and adequately protected when it comes to volunteering. Let us help you make compassionate judgements as you evaluate how you will serve your community. Feel free to discuss your activities with knowlegebroker, Brandy Enger to help put your mind at ease!