Reader’s Question:

I just paid my car off could my full coverage be lower?

Bill

Chicago, IL

Congratulations on paying off your car so now you own your car and no longer having a lease holder or a lien holder to answer to. Without having a lien holder to mandate the type of insurance you need on the car any longer you can decide on what car insurance you want for your car, beyond the state minimum required coverage.

You may be surprise that the cost of these optional coverages are not needed because of the age or condition of your car and therefore may decide to remove them from your insurance policy or you might instead want to change the deductibles to a higher amount, and lessen the premium rate, and keep the coverages.

It is a personal decision to make depending on your insurance needs and financial situation for your particular car whether to keep physical damage coverages once you no longer have a lien holder requiring you to do so.

Reader’s Question:

If a government or private employer requires a clean driving record, how many years should it have been clean? Is it one year? Do they also check the 5-year or even 10-year driving history? I have a 26 year old brother with no accidents in his driving record, except for speeding ticket two years ago. I am wondering if he should give up fire fighter dream, because they require clean driving record.

John

Lafayette, LA

A clean driving record is define as one that is free of moving violations or points and accidents. An insurance provider likes a record that is free of claims as well.

What an employer or insurance companies, etc, considers a bad driving record can differ. A simple speeding ticket for only a few miles over the limit may not affect your insurance rate or be a problem for some employers but others may want a driving history that is completely free of any type of moving infractions or accident, no matter how minor.

Your brother would need to speak to the HR personnel of the job, or in the case of being a fire fighter perhaps the training manager, to find out clarification on what exactly the company, either government, public or state employer, determines “clean driving record” to mean.

Generally, a company will want 3 to 5 years without moving infractions on the person’s record, thus a clean driving history. Many employers also prefer or require ten years with a clean driving history.

Reader’s Question:

What discounts will be available that I can take advantage of to get a cheaper auto insurance?

Dan

Newark, NJ

There are many types of discounts available to the average motorist.

Make sure to ask if you qualify for any discounts for a cheaper insurance when getting your car insurance policy set up.

Some of the common discounts you might be eligible for are:

1. Multi-Vehicle- if you insure more than one car with the same insurer, you can get discounts.
2. Defensive Driver Courses- if you have just taken a defensive driver course (this is only available in some states).
3. Safety features- if you have a airbags, car alarm, anti-lock brakes, or automatic seat belts in your vehicle.
4. Multi-line- if you have car insurance and homeowners through the same carrier
5. Pay in full or through EFT (electronic fund transfer)- you can save on finance charges if nothing else.
6. A full time student with a grade average “B” or higher (only available with some insurance providers).

Reader’s Question:

When you show proof of insurance in the court, does it have to be under my name, or can someone else be the insurance policy holder?

Ben

Burlington, VT

State laws differ as to what certain court jurisdictions requirements on what you can bring to court to show proof of insurance if you were charged for operating a vehicle without insurance. If you were driving a vehicle which you would have been covered by the owner’s car insurance policy then many times as long as you bring in proof from their insurance provider stating that the car had coverage on it by the owner at the time of your citation and this coverage would have extended to you, then this proof of insurance is acceptable by the court.

There are many states though that require you as a motorist to be insured, and just not drive a vehicle around that is insured by others without you being a policyholder or listed motorist. Since laws differ from state to state, if you were cited for operating a vehicle without insurance you will need to call the court listed on your ticket to find out what proof of insurance they will accept according to state laws.

You may also contact the clerk of the court at the courthouse listed on your ticket for driving without insurance and you should find out what exact proof of insurance documentation you will need to show the court to be able to get your citation dismissed.