Number of doors – a four-door sports car is not very common. Usually, four doors indicate a vehicle designed for safety, and/or families. Two doors usually indicate a smaller vehicle (such as a coup) built with speed or maneuverability in mind. As such, a vehicle with two doors may signal your insurance company to offer you sports car-style coverage.

Engine Size – Bigger engines are indicative of speed and performance. However, this is not always the case. A truck or SUV may make use of a V8 engine to increase hauling power. More and more car models are offering V4 engines as standard for their basic trims – so driving a car with a V6 or higher may fit your insurance company’s sports car definition.

Height & Weight – To maximize their speed and performance, sports cars are generally lower to the ground and weigh less than their non-sporty counterparts. Therefore, your insurance company may take these factors into consideration.

For more information about sports car insurance, please contact your AIS representative today.

This content is offered for educational purposes only and does not represent contractual agreements. The definitions, terms and coverages in a given policy may be different than those suggested here and such policy will be governed by the language contained therein. No warranty or appropriateness for a specific purpose is expressed or implied.

Car customization is a popular pastime. Many people buy aftermarket parts and add-ons to enhance their vehicles to cater to their sense of style or to address their needs. However, when insurance companies assign pricing models to certain brands and types of cars, they base these on the features and equipment that the factory puts on the car. All equipment that you or others have added to the vehicle after it rolled off the lot is not insured. The same principle can apply to classic or antique cars you restore – your level of insurance may only reflect the condition of the car in its previous state, instead of its newly restored state. Before restoring or modifying your vehicle, you should take these steps

Know if modification is covered – As previously stated, most insurance companies do not cover aftermarket add-ons to a vehicle. Contact your insurance company and ask about their policy regarding vehicle modifications. Not only is this a great opportunity to learn about your coverage, but you may be able to purchase new coverage that is right for you and your modified car.

Have your vehicle appraised – This is an important step when restoring your classic car. An independent appraisal company can get comparable pricing for the restored vehicle, which will be important information for getting the right level of insurance.

Take pictures - Before and after photos for your insurance company are helpful collateral when adjusting your level of coverage for modifications and restorations.  

Itemize work done on the vehicle – This is yet another important step of modifying or restoring a vehicle. A detailed record of all the work performed on your car will help your insurance company accurately substantiate the car’s new value, ensuring you get sufficient coverage.

It may be prudent to insure this vehicle separately with a carrier specializing in classic and collectible automobiles. . If you have questions about this coverage, contact your AIS representative.

This content is offered for educational purposes only and does not represent contractual agreements. The definitions, terms and coverages in a given policy may be different than those suggested here and such policy will be governed by the language contained therein. No warranty or appropriateness for a specific purpose is expressed or implied.

Comprehensive coverage plan is usually true to its namesake. Typical vandalism coverages include:

• Graffiti on your vehicle
• Broken windows
• Malicious damaging to the vehicle, including tampering with vehicle equipment
• Flattened or slashed tires
• Fire damage to the vehicle
• Damage resulting from theft attempts

Natural disaster coverage is also quite broad and typically includes hail, storm damage, flood, earthquake, explosions, etc.

Specific types of damage covered can vary from provider to provider. This is especially true if you live in an area in which certain natural disasters are more likely to occur – like earthquakes in California. Many California insurers will cover earthquakes, but out of state insurers may not. When considering a policy, you can always speak with an AIS representative regarding specific coverage.

This content is offered for educational purposes only and does not represent contractual agreements. The definitions, terms and coverages in a given policy may be different than those suggested here and such policy will be governed by the language contained therein. No warranty or appropriateness for a specific purpose is expressed or implied.

Essentially, roadside assistance is a service that aids drivers who break down or experience mechanical failure on the roadway. As such, they cover a wide variety of problems. Common emergency services include:

• Towing – If your car breaks down and needs repair, roadside assistance can dispatch a tow truck to your location to take you to the nearest service station. Remember, although the tow is covered under roadside assistance, any repairs are not. For that, you should consider mechanical breakdown insurance.
• Tire change – Flat tires are a common issue on the road. Roadside assistance can help you change your tire, or transport you to a service station to purchase a new one if you don’t have a spare.
• Jumpstarts – If your battery dies, roadside assistance can get you moving again with a jumpstart. You don’t even need your own jumper cables.
• Fuel delivery – When you run out of gas, roadside assistance can give you enough to get moving again and find a gas station so your can fully refuel.

At AIS, we recommend Road America for roadside assistance services. In addition to receiving roadside assistance, Road America members can also enjoy valuable service offerings and discounts. Contact AIS to learn more.

This content is offered for educational purposes only and does not represent contractual agreements. The definitions, terms and coverages in a given policy may be different than those suggested here and such policy will be governed by the language contained therein. No warranty or appropriateness for a specific purpose is expressed or implied.

Part time insurance works for vehicles that you own, but do not use often or only during certain times of the year. Usually, this applies to seasonal vehicles (like snowmobiles), classic or antique cars, vehicles owned by deployed members of the military, and vehicles owned by vacationers.

When these vehicles are not in use, you can have them temporarily suspended from coverage. That way, you do not have to pay insurance costs for the vehicle. Of course, there are restrictions depending on your insurance provider. Most companies will only allow you to move vehicles on and off this standby coverage four times per year. They also may require that the vehicle has a certain level of coverage to be eligible.

Of course, there is also the danger of damaging the vehicle while it is not covered. The few hundred dollars you save by suspending the insurance on a vehicle can quickly be lost if the vehicle is damaged with no insurance to protect it.

Whether you can utilize part-time insurance is at the discretion of your insurance provider. Contact your AIS representative today to see if you are eligible.

The answer is: maybe. It all depends on your insurer and policy. Some policies will automatically cover your new vehicle under your current terms, but some will only provide this coverage for a limited time. Still, other policies may not cover you at all. The rules can vary even more if your new car is not a replacement for another car you own.

When it comes to automatic coverage for new vehicles, your insurance company will know your liability better than your dealer will – hands down. Before you buy a new car, call your insurance company or AIS representative and clarify their policies for automatic coverage on new vehicles. At the very least, call them after your purchase to notify them of your new car. This also gives you a good chance to purchase additional coverage for your new vehicle, which may only have the same coverage you have for your old car. That way, you can better protect your new investment.

Remember to always ask your insurer to clarify the terms of your policy that you don’t understand. Keep the lines of communication open and you can quickly enjoy owning your new car.

This content is offered for educational purposes only and does not represent contractual agreements. The definitions, terms and coverages in a given policy may be different than those suggested here and such policy will be governed by the language contained therein. No warranty or appropriateness for a specific purpose is expressed or implied.

• Severe weather (hail, high winds, storm damage, etc.)
• Natural Disaster (flood, earthquake, etc.)
• Fire and explosions
• Malicious damage (vandalism, theft, rioting, etc.)
• Flying or falling objects
• Windshield damage
• Collision with an animal (which is not typically covered under standard collision coverage)

While drivers are required by law to carry liability insurance in the state of California, comprehensive insurance is optional. However, if you are financing or are leasing your vehicle, your lender will likely require that you purchase comprehensive and collision insurance.

If you are not under the authority of a lender, should you get comprehensive coverage? Largely, this depends on your vehicle and the amount of coverage you desire to carry. Because of its far-reaching claim coverage, in some areas comprehensive auto insurance is the most expensive insurance you can buy for your car. If your car is an older model or if it is not worth very much, the premium, while reduced, when coupled with the deductible, may be more than the perceived benefit. You should also note that comprehensive coverage does not cover claims from neglect or lack of repair to  the vehicle.

This content is offered for educational purposes only and does not represent contractual agreements. The definitions, terms and coverages in a given policy may be different than those suggested here and such policy will be governed by the language contained therein. No warranty or appropriateness for a specific purpose is expressed or implied.

Few people are aware of this, but most insurance policies will only cover damage to equipment originally provided by the manufacturer of the vehicle. This means that all equipment that you or others have added to the vehicle after it rolled off the lot is not insured. Such equipment includes:

• Cosmetic equipment: such as custom rims, wheels, paint jobs, decals, fins, spoilers, chrome, etc.
• Utility equipment: such as fog lights, bed liners, trailer hitches, camper shells, and more.
• Entertainment equipment: which includes any permanently installed TV, radio, or DVD player
• Dealer installed equipment: this includes equipment provided by the dealer, but not offered by the manufacturer.

To protect these assets in your vehicle, you will need to purchase customized equipment coverage. Collision coverage may come with some customized equipment covered, but this varies. Even so, if you have spent a lot of money personalizing your vehicle, you should consider adding customized equipment coverage to make sure you can recover the full amount of your vehicle’s worth in case of an accident.

California uses what is popularly known as the “15/30/5 rule” for minimum auto insurance coverage. These numbers mean that at all times you must carry $15,000 of coverage for bodily injury/death for an individual, $30,000 for the injury/death of more than one person, and $5,000 coverage for property damage. In addition to minimum coverage, California also has several auto insurance regulations that you must adhere to.

For example, your vehicle must always carry proof of minimum coverage. If you are pulled over on the road and cannot produce documentation that your vehicle is insured by at least the minimum coverage as outlined by the state of California, a number of penalties may ensue, including a $500 fine, court expenses, and vehicle impounding.

Of course, there are certain periods where you will be unable to produce proof of coverage and there are grace periods to allow for this. When you first register your vehicle with the state of California, you are granted 30 days before you need to provide the state with your insurance information. If you cancel or change your current insurance policy, you are granted 45 days before you need to obtain and submit information for replacement insurance. If you pass these deadlines without obtaining auto insurance, your vehicle registration may be revoked and you may incur additional fines. It’s also important to note that insurance companies are required by the California Vehicle Financial Responsibility Law to report auto insurance coverage lapses to the state – so California always knows which drivers are going without insurance.

If you are getting ready to purchase new auto insurance or switch providers, this information is important to remember.

This content is offered for educational purposes only and does not represent contractual agreements. The definitions, terms and coverages in a given policy may be different than those suggested here and such policy will be governed by the language contained therein. No warranty or appropriateness for a specific purpose is expressed or implied.

Mostly, insurance companies tend to consider a vehicle’s brand, utility, and market price when determining an insurance premium. Brand-wise, European model cars almost always cost more to insure. Meanwhile, American and Japanese vehicles are typically insured at lower rates. In terms of utility, mini-vans and family cars are less expensive to insure than sports cars or hot rods. A colloquial rule of thumb is that, the more cylinders the engine has, the more expensive it is to insure. And then of course, the more expensive the car is, the more it tends to cost in insurance, because damage and repair costs are often reflective of the car’s value.

In addition, these are not the only factors that come into play when determining insurance premiums. Whether or not a vehicle is a common target of theft can determine how expensive it is to insure. This usually applies to older vehicles which lack many security features common to newer vehicles. Demographics can also play a role. Insurance costs can approach luxury car-levels if the model is preferred by young and inexperienced drivers.

Naturally, your own rates may vary based on your personal situation, but it is good to be aware of these factors when shopping for a new car.

This content is offered for educational purposes only and does not represent contractual agreements. The definitions, terms and coverages in a given policy may be different than those suggested here and such policy will be governed by the language contained therein. No warranty or appropriateness for a specific purpose is expressed or implied.