R&R Insurance Blog

Every year, one and a half million collisions with deer kill close to 150 people and cause more than $1 billion in vehicle damage. Most collisions happen in the fall, when deer are in the rut or mating season. The odds of colliding with a deer this season for a Wisconsin resident is 1 in 97 - the state of Wisconsin has the 7th highest deer-incident rates nationwide.

Here's how to avoid an unwanted wildlife encounter:

• Don't veer away. Often a deer will do less damage to your car than you might cause by swerving, possibly into oncoming traffic
• Dusk and dawn are when deer are most active - stay alert when on the road
• Deer are herd animals and migrate in groups. If you see one, slow down - there are probably more nearby
• Consider a deer whistle device, but always have a watchful eye even if you have one

Wisconsin residents, contact a knowledgebroker to review your current policy, get a free quote and improve your coverage.

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.

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!

Here are 10 tips you should think twice about before you leave your home or let a business person in!

1. Hey, thanks for letting me use the bathroom while I was working in your yard last week. While I was in there, I unlatched the back window to make my return a little easier.
2. Yes, I really do look for newspapers piled up on the driveway. And I might leave a pizza flyer in your front door to see how long it takes you to remove it.
3. Of course I look familiar. I was here just last week cleaning your carpets.
4. I always knock first. If you answer, I’ll ask for directions to somewhere, or offer to clean your gutters.
5. Sometimes I carry a clipboard. Sometimes I dress like a lawn guy and carry a rake. I do my best to never ever look like a crook.
6. I’m not complaining, but why would you pay all that money for a fancy alarm system and leave your house without setting it?
7. I love when you announce your vacation plans on Facebook. It’s easier than you think to look up your address.
8. If you don’t answer when I knock, I’ll try the door anyway. Sometimes I hit the jackpot and walk in.
9. I’ll break a window to get in if necessary, even if it makes a little noise. If your neighbor hears one loud sound, he’ll stop what he is doing and wait to hear it again. If he doesn’t hear it again, he’ll just go back to doing what he was doing. It is human nature.
10. A loud TV or radio is a better deterrent to me than an alarm system. Sometimes people out-smart me by buying a $35 device that simulates the flickering glow of a real TV.

Your credit report not only has an impact on your financing options for your home and car, it also affects your insurance score, which ultimately affects your homeowners insurance premiums. Insurance companies only consider those items from credit reports that are relevant to insurance loss potential. Both an insurance score and a credit score are derived from the same thing – a credit report, but they are distinctly different. Insurance scores are calculated using the following types of information:

• Payment history: Have you made late payments or missed a payment?
• Length of credit history: How long have you been using credit?
• Current balance on each account compared to your highest balance: For example, if you had high credit card balances before are they lower now?
• Number of credit accounts: How many accounts do you have? This may include credit card accounts or installment loans.
• Credit inquiries: How often have lenders made inquiries into your credit report? This does not include “soft inquiries,” such as when a company reviews your credit report to make a promotional offer. (Credit inquiries are not used in all states.)
• Bankruptcies, foreclosures and other collection activity (Bankruptcy information is not used in all states.)

An insurance score does not take into account income, race, gender, religion, marital status, national origin, geographic location.

Why do insurance companies use insurance scores?
Insurance scores provide an objective tool that insurers use along with other applicant information to better predict the likelihood of a consumer to file a claim. Insurance scores also help to streamline the decision making process, so that policies can be issued more efficiently. By accurately predicting the likelihood of future claims, insurers can control their risk, enabling them to offer insurance coverage at a fair cost.

How do I get a copy of my credit report?
Because information obtained from a credit report is used to determine an individual’s insurance score, customers should periodically obtain a copy of their credit report to confirm its accuracy. Your credit report can be obtained from the three major credit bureaus.

• Equifax: 800-997-2493
• Experian: 888-397-3742
• Trans Union: 800-888-4213

What can I do to improve my insurance score?
Here are a few things you can do to improve your credit report and insurance score:

• Apply for and open new credit accounts only as needed. Although it is generally good to have established credit accounts, too many credit card accounts may have a negative effect on your score. Over time, responsible use of credit can increase a customer’s insurance score.
• Keep balances low on unsecured revolving debt like credit cards. High outstanding debt can affect an insurance score.
• Pay bills on time. Delinquent payments and collections can have a major negative impact on an insurance score.

If you are a Wisconsin resident and would like more information on improving your insurance score, contact knowledgebroker, Dan Wolfgram.