Consequences of Driving without Car Insurance

A majority of drivers view car insurance grudgingly as something they would really love to avoid buying. “It is a gamble” they say; “so many people spend their entire lives paying premiums without having to make a single car insurance claim!”

However when you are operating something that weighs atleast two tons and can cause serious damage (or be damaged) if it gets out of control, be prepared to bear the financial implications of driving without car insurance. This might sound far- fetched, but studies show that most people tend to get into some kind of accident atleast once in 7 years. Let’s take a look at some possible scenarios where you can suffer losses if you’re driving without car insurance:

1. You get into a car accident where you are found at fault: If you were driving without car insurance, you will have to pay the other driver for all the property damage, lost wages and medical expenses out of your own pocket. Now supposing you hit a successful doctor or a school bus full of kids; if you cannot pay out of pocket, your personal assets can be seized to pay off your dues. Can you imagine what happens if the parents of those kids sue you for medical expenses, or the doctor sues you for loss of wages due to confinement? Overnight you stand to lose every asset you’ve built in your life. Because the chances of this happening are so high in a sue-friendly society, most US states have made it mandatory to carry minimum liability car insurance so that you can atleast bear the cost of damages you have caused to others if you are found guilty in a car accident

2. If you get caught for DUI, speeding, or any other traffic violation, and it’s also found you’ve been driving without car insurance; you can have to shell out a fine, or get your car registration suspended. If this happens more than once, the penalty is going to get more severe with each successive time. You could have your license revoked or might even have to spend time in prison. Once you are caught driving without insurance, it is going to get exceedingly difficult to find a company that will sell you car insurance at affordable rates later. Not exactly a very comfortable situation is it?

3. You get into a car accident where the other driver is at fault: This is the worst case scenario. You’re not at fault, someone else is, and they are also driving without car insurance. You have no choice but to pay out of your pocket towards your damages unless you intend taking them to court and filing an expensive law suit. What’s even worse is that in some states even if you’re not at fault in an accident, and it’s found you were driving without car insurance, you are automatically treated as at fault!

So if your excuse for not getting car insurance is that it’s too expensive, you can atleast stay legal by going with the minimum liability insurance mandated by the DMV in your state. OH car insurance for example needs you to carry a minimum Bodily Injury Liability of $12,500 per person, limited to $25000 per accident and a property damage liability of $7500, which doesn’t cost much. Yet almost 16% drivers on OH roads are still driving without car insurance!

4. Your car is stolen or damaged in a freak weather related accident: Cars get stolen all the time, new ones to be resold and old ones for their parts. Winter driving related accidents are so common and anyone who has ever driven in snow will know how often cars skid and get banged up. If you car gets damaged, do you have the necessary funds to take care of your losses? If your glitzy new car gets stolen, can you buy another one out of pocket right away?

Think about all this when you try to save money by not buying car insurance, or don’t get your policy renewed right away when it lapses. Accident happen all the time so it’s always good to stay prepared for the worst.

Facts About Structured Settlements

Structured settlements are an innovative method of compensating injury victims. Encouraged by the U.S. Congress since 1982, a structured settlement is a voluntary agreement between the injury victim and the defendant.A structured settlement is a periodic payment plan, usually arranged between a claimant and a defendant in a tort suit. For example, a structured settlement might be arranged between a person who has been injured and the person who caused the injury (or often times, their insurance agency)That's why, structured settlement is an agreement that can satisfy the needs of both parties.Under a structured settlement, the injury victim doesn't receive compensation for his or her injuries in one lump sum. Rather, he receives a stream of tax-free payments tailored to meet future medical expenses and basic living needs.A structured settlement may be agreed to privately (for example, in a pre-trial settlement)or it may be required by a court order, which often happens in judgments involving minors. 

Historically, damages paid because of an injury lawsuit came in the form of a single lumps sum. This kind of payment, especially in catastrophic injury cases, often placed the injury victim (or family) in a difficult financial position. With the victim focused on adapting to a new lifestyle, there often was not the time to manage large sums of money. That can lead to serious trouble. A person who loses funds intended to cover a lifetime of medical care runs the risk of losing medical care and independence. They also risk winding up on public assistance.That's why, in 1982, a bipartisan coalition of legislators in Congress came together to pass legislation that amended the federal tax code. Their action, The Periodic Payment Settlement Act of 1982 (Public Law 97-473), formally recognized and encouraged the use of structured settlements in physical injury cases.

Every structured settlement involves a unique negotiation between claimant and defendant. The amount of each payment and the frequency of payments can be decided in any manner if it is agreeable to both parties.Some examples of common methods of distributing payments in a structured settlement include annual payments in which the claimant receives a small sum every year for a certain period of time -- often times, his or her lifetime. This can be a good option for claimants whose medical needs are expected to stay relatively stable over a long period of time. Another common method is to disburse a larger lump sum every few years.This can be a good option for people who may nIn any physical injury case, the plaintiff and defendant negotiate issues such as the victim's medical care and basic living and family
needs. Oftentimes, one side (or both) will bring in an expert, such as a structured settlement broker, who provides calculations on the long-term cost of these needs. When there is agreement on the benefits due to the injury victim (which can happen before, during or after a lawsuit), the defendant will agree to fund a stream of payments that meet these needs. The defendant then assigns this obligation to an experienced third party, such as life insurance company, that funds the damage payments with an annuity. An annuity has been the preferred way of funding because of its pricing and flexibility. An alternative is a trust fund which invests only in United States Treasuries. As these issues involve complex calculations, you should always consult your attorney and a structured settlement professional.

Structured settlements can be ideally suited for many types of cases, including:

#Persons with temporary or permanent disabilities;
#Guardianship cases that may involve minors or persons found to be incompetent;
#Workers compensation cases;
#Wrongful death cases where the surviving spouse and/or children need monthly or annual income; and
#Severe injury, especially with long-term needs for medical care, living expenses and support of family.

If you are now involved in lawsuit then you should consider structured settlement because:

#Relieve the financial pressures of medical expenses and living needs;
#Meet long-term rehabilitation or permanent care facility expenses;
#Provide for the future costs of college funds, retirement, down payment on a
#home, or mortgage payment; and
#Provide long-term financial security.

Effective ways to reduce your Auto Insurance Bill

In a recession hit economy it can be very stressing paying steep bills one after another.

While looking to cut costs, one area you can focus on is how to reduce your auto insurance

bill. Since carrying auto insurance is a necessity in most states of the US, it’s never a good idea t o do away with it completely, but you can tailor your policy and find other smart and easy to reduce auto insurance rates successfully.

Fact 1: Use public transport as often as you can and let your auto insurance company know about it – The logic is very simple; the less you use your car, the less you expose it to any kind of risk ; a good way to reduce auto insurance rates. So walk, cycle, car pool or use public transport and make sure your auto insurance company knows about it when it’s renewal time. 

Fact 2: Choose a car that costs less to insure – This is something to do before you buy your next car. The internet has made it very easy to conduct research online. There are websites that let you know the average auto insurance rate of each car model. Most auto insurance websites also have free quote calculators that let you get a fair idea of how much your rate will be for a particular car. Make use of these to ascertain the insurance rate so that you don’t get a nasty surprise when it’s time to insure. You can reduce auto insurance rates by selecting a low risk safe car as against a flashy sports car.

Fact 3: Maintain your car well – a well maintained car not only shows the auto insurance company you take proper care of it and are less prone to being careless with it, it also raises the bluebook value of your car in case you ever need to claim. Keep pictures of your cars from different angles with you as also receipts of any parts you’ve got installed, like new tires etc. This will make it much easier for you to be able to get a fair claim for your well preserved auto. A safe car which is well maintained will definitely help you reduce auto insurance rates.

Fact 4:Buy your teen driver a separate car – Anyone who has teen drivers at home will know how rates hit the ceiling as soon as they are added to their parents’ policy. An effective way to reduce auto insurance is to buy them a separate car, an old beater for starters; and their own auto insurance. Not only will this keep your rates manageable, but also in case your teen files any claim/ or gets any traffic violation tickets (and they all do at some point) it will not go on your record, preventing unnecessary rise in premiums.

Fact 5: Revisit your auto insurance policy – Few people take out the time to read their policies once they have bought them. Over time situations change and your auto insurance needs change accordingly. You might want t o make revisions to your policy to meet your present requirements.

Fact 6: Drop unnecessary coverages if your car is now an old beater and you can afford to pay off any damages to it out of pocket. Go over every auto insurance coverage in detail and analyze if you really need it at this point. It’s usually a good idea to drop collision once your car is over 7 years old and comprehensive once it’s over 10 years old. Any claim you make after this point will not amount to a significant value t aking into account the deductibles you’ll have to pay before claiming and your car’s blue book value. Dropping collision and comprehensive alone will reduce your auto insurance rates

significantly.

Fact 7: Choose the right deductibles – Selecting t he right deductibles can easily reduce auto insurance rat es by anywhere bet ween 10-40%! The higher your deductibles, the lower will be the rates. Raising your deductible from $250 to $1000 can get you huge savings but only do it if you can afford to shell the

$1000 out of pocket at short notice if need be. Another option can be raising your deductibles really high for a short time to set some emergency money aside. But remember that ’s a gamble…anything can happen anytime!

Fact 8:Grab all the discounts you can – Check with your agent about auto insurance discounts that are available and work towards them. Defensive driving certification, aircushions and anti-theft devices, low mileage, no claim bonuses, multi car and multi-policy are some of the common ones. If you’ve recently got married or crossed 25, these events will also reduce auto  insurance rates.

Important Facts of Laser Hair Removal Treatment

Fact -1: Laser Hair Removal techniques best work on people with dark hair and light skin. A new device, Aurora by Syneron, uses both intense pulsed light and radio frequency to treat women with blonde or gray hair, but they are only about 50% as effective as other lasers.

Fact-2: Lasers use pulsed light to target, break down and destroy the melanin (dark pigment) in hair. This is why it works only on dark hair. Lasers will also target the melonin in dark skin, which can cause discoloration. Hair grows in three phases: growing, resting and shedding. Lasers and pulsed lights targets hair in the growth phase. After the laser treatment, hair falls out within 10-14 days.

Fact-3:It takes 4-6 laser hair removal sessions spaced 4 weeks apart to see 70-80 percent reduction in hair growth. By the way, no guarantee  is provided how well this techniques will work.The average experience is 70-80 percent reduction in hair growth if you do a full 4-6 course treatment.If You like to have one ,then you have to shave the treatment area three days before. Laser technicians can tell you better how to prepared yourself for this.

Fact 4: Some normal side effects may occur after laser hair removal treatments, including itching, redness, and swelling around the treatment area. These side effects rarely last more than three days. The most common serious side effect is change in skin pigment.Some level of pain should also be expected during treatments.Unwanted side effects such as hypo- or hyper-pigmentation or, in extreme cases, burning of the skin can occur.It depends on the adjustment in laser selection or settings as well as laser technician skill.

Factors That Should Be Considered in Affordable Car Insurance

In order to have better control over rates, it is necessary to be careful in selecting the appropriate coverages and features that make your car insurance meet all your needs. It’s also import ant to look for an insurance company t hat gives you fair,prompt and reliable customer service at good rates.

Know Present Value of Your Car

The other important factor is to know the of present value of your car. Your car insurance quotes would vary depending on the model of your car. For example, a Mitsubishi Lancer is going t o be costlier in terms of repairs than the Honda Pilot. Similarly, there are cars which are charged high premiums when it comes to safety features, theft, injury, repairs and collision claims. The simple equation here is; the safer (read lower risk) your car is, the more affordable will be your car insurance.

State Laws

A good starting point is to know the minimum insurance cover you must have in accordance with your state laws. Car Insurance is mandatory in most states and each has different requirements for the basic minimum coverage you need to carry in order to take your car on the road. Depending on your state law, you must devise an insurance plan that meets the basic requirements as well as covers other risks, which you may preempt , depending on the model of your car, your driving record, distance traveled, number of people using your car, etc; also take into account your other fellow drivers and what kind of coverages they usually carry. Every place has a different trend and it’s always good to be in the know so that you have an idea about the general claim figures doing the rounds. For example, the minimum st ate regulated requirements for Texas auto insurance cover $25,000 for bodily injury and property damage each, going up to $50,000 towards an

accident. However, be prepared when you buy just this coverage you have onlyensured that you are protected in case you are found at fault in an accident and the other driver claims from your car insurance. This gives you a rough idea about the liability amounts you should be purchasing.

Check the reputation of the insurance company

Make sure you do a background check of the financial reputation of the company that you wish to get insured with; know their complaint index; read some testimonials about them. The last thing you want to do is go with a company that promises affordable car insurance, but finds every reason in the book to short change you on your claim.

Consider Additional benefits
Some companies offer plenty of other benefits in place of discounts that actually make for affordable car insurance. Benefits like lifetime car repair guarantee, 24/7 insurance claim hotline, waiver of the deductible for a “Not at Fault” Accident, etc all actually save you more money in the long run.

Coverages That Should Not Be Ignored

Additionally coverages like Uninsured/Underinsured Motorist, Comprehensive, Collision, and PIP should all be considered depending upon the age of your car and your specific requirements. Ideally it makes no sense to keep collision coverage once your car crosses 8 years. Similarly comprehensive coverage should be dropped once it’s over 10 years old. The logic is simple. Any claim you make from your insurance company at this stage will not be a very significant amount once factors like depreciation and deductibles are counted in. However if you feel you might not be able to bear out of pocket expenses
to replace/ repair your damaged car, stick with these coverages.

0 % Interest Fee on Purchase Via Credit Cards -How Does It Work

Purchase via credit card is very popular now a days. Banks and financial institution offers different schemes on credit cards. One of the scheme that attracts most customers is 0% interest rate on purchase if paid within 45 or 60 days. But most of the credit cardholders does not know how to use this facility or scheme. To understand this, we need to know two basic things related with credit card business. They are :


Statement Day – the day in which your statement is generated.

Payment Due Date – the day in which you have to pay minimum payment on your out understanding.

In statement day, all your outstanding ,interests and other fees are calculated and you see the reflection of your total outstanding on your statement. In payment due date, you have to pay at least the minimum payment or clear all the dues. Here, I am going to give an example:

Suppose ,your –

Statement day -25 th day of month

Payment due date – 10th day of month.

Now the question arise how you get 45 days grace period on purchase(no interest charged)?

The most interesting fact here is that if a transaction or purchase is not reflected in your statement, you are not required to pay that debt on current billing cycle. More specific I want to say—

On 25th march, your statement is generated and you have dues of $100 dollar which you have to pay or pay at least minimum payment within 5th April. Now you have made a purchase or transaction of $500 dollar on 26th march. Now, you don’t need to pay this $500 dollar on 5th April because it is not reflected on the statement day of 25th march. So, on 5th April, payment due day, you have to pay only $100 dollar or minimum payment that is reflected on your statement. Now you get the grace period of 45 days on purchase :

26 March – Purchase Day

10 April – Payment Due Date

25 April – The statement is generated where purchase of 26th march will be reflected.

10 May – Payment Due Date

So, from 26 march to 10 May, you will get 45 days. Now, if you pay the whole transaction bill within this period, then no interest will be calculated on this purchase.

Now, suppose, you made a transaction on 15 March. For how many days ,you will get grace period or no interest charged on purchase?

15 March – Purchase Day

25 March – Statement Day

10 April – Payment Due Date

So, from 15 march to 10 April, you will get 25 days. Now, if you pay the whole transaction bill within this period, then no interest will be calculated on this purchase.

Hope, readers got my point. The outstanding you need to pay in a billing cycle is normally depends on the fact that the purchase or transaction should be reflected in your statement day. The transaction or purchase that is not reflected on your current billing cycle or statement is called the unbilled transaction.

But never think that banks or financial institutions are fool. If you are not able to pay full amount of purchase after 45 days then in your next statement day, you will find that interest have been imposed from first day of your transaction day. That means, you have to pay,

Purchase Amount+ Interests of 45 days+10 days(until statement day)

This does not mean you have to pay full amount. You are unable to pay full amount then you can pay the minimum payment that is reflected on your statement on Payment due date. But interests will be calculated compound way until you pay the full outstanding of your credit cards.

FEW THINGS TO NOTE:

1.Always ask your credit card vendor or banker about the statement date and payment due date.
2.Find out other hidden charges related with it.
3.Make sure you are able to pay within 45 days or 60 days otherwise you have to 4.pay huge interest on purchase or transaction.
4.Interest will be calculated from the first day of the purchase or transaction if minimum payment is not paid on payment due date.
5. 0 % interest  fee normally applicable for 45 days to 60 days from the transaction date depending on financial institution.

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