Category: Auto Insurance

Does auto insurance follow the car or the person?

Posted on by AHI Group

We’ve all driven other peoples’ cars on occasion, whether because ours was in the shop awaiting repairs or because we’re visiting another state or even country. You might not have thought too much about it. After all, you have insurance. Isn’t that good enough? But does auto insurance follow the car, or does it follow the person?

In a nutshell: car insurance coverage technically follows the car and not the person, but there are exceptions to this rule, including the state where you live, who’s listed as a driver on your policy, and the kind of endorsements you have.

Is there such a thing as “driver insurance?”

You can be listed on others’ insurance policies as an occasional driver, but there’s technically no such thing as driver insurance. There is also non-owner car insurance for those who don’t own vehicles at all but may regularly borrow/rent them, which can help to satisfy a SR-22 (or FR-44) form. You may also be able to purchase endorsements that will cover you while using rental vehicles or borrowing friends’ vehicles, but that’s limited in duration and applies situationally.

Friends and extended family members who don’t have vehicles but might want to sporadically take your vehicle out for a spin can be covered under your policy, but we recommend informing your agent or insurer of this first. They are unlikely to be covered if they were to get into an accident unless they’re included in your policy’s terms, but be mindful of the fact that their actions may impact your insurance.

What is non-owner car insurance?

If you don’t own a car but frequently need to rent cars or borrow the cars of others, you can purchase a liability policy separately known as non-owner car insurance. It’s also helpful if you ever need to show proof of car insurance.

Non-owned car insurance, depending on the state, can include liability coverage as well as other required options, like uninsured motorist or medical payments coverage. However, the primary focus of this coverage is on the liability insurance.

Only one person may be listed on a non-owner car insurance policy. Some companies will apply coverage to a spouse, but many don’t include this option.

Non-owner car insurance offers coverage if you get into an accident in a borrowed vehicle and helps to pay for the damages/injuries of others via the liability coverage provided by the policy. Keep in mind that non-owner car insurance is secondary to any existing coverage on the policy, so if you got into an accident with a friend’s car while having this insurance, and that friend had bodily injury limits of $15,000 but the accident capped out at $30,000 in medical bills, there’d be an outstanding $15,000 to pay. Non-owner car insurance could help cover the remaining amount. In short, non-owner car insurance covers:

  • Bodily injury and medical expenses caused while driving a vehicle owned by someone else
  • Property damages caused while driving a vehicle owned by someone else
  • Legal defense if you are sued for causing an accident in a car owned by someone else

Non-owned car insurance won’t cover damages to the car you’re driving, any injuries you sustain, any injuries sustained by other passengers, business driving, or personal belongings.

Who needs non-owned car insurance?

Here are some reasons why someone might choose to purchase non-owned car insurance:

  • You frequently use car-sharing services. Companies that offer these services, like Zipcar, usually have their own insurance but non-owned car insurance may help in extending the otherwise limited options that the companies provide.
  • You want to avoid having a gap in your car insurance.
  • You frequently rent vehicles while abroad or travelling, or just in general.
  • You’re faced with a state law to file an SR-22 or FR-44 form (which requires you to show proof of car insurance if you’ve ever had a DUI conviction, been caught driving without insurance, license suspension or revocation, etc.) This way you can get auto insurance and show proof of insurance without needing to own a car.

Will my auto insurance cover me if I’m driving another vehicle?

This goes back to the question of, “does auto insurance follow the car or the person?” The short answer is technically no, but if you are listed on the policy of that other vehicle, then you would be covered. It wouldn’t be your auto insurance per se, but you would be covered.

With some insurers, they’ll accept others driving your car as “being covered” assuming that there’s a reasonable belief that you’d have had permission to drive the car. This goes for a lot of situations, such as the following:

  • Borrowing a family member’s car while yours is in the shop for repairs
  • Driving the vehicle of a parent with permission, assuming you haven’t been excluded from their car insurance policy
  • Renting a car from a car rental company or car-sharing marketplace (with some exceptions)

With the above scenarios, your full insurance may not extend to these borrowed/rented vehicles. Generally, all you’ll have is liability coverage, but your comprehensive/collision coverage likely won’t apply. With certain car rental companies or agencies, you’ll often be asked to purchase the insurance that they offer to ensure that their asset and investment is fully protected.

Get unique coverage solutions with AHI Group

Don’t own a car but drive and rent others’ cars often? Own your own car but frequently use rentals when you travel? Lend your car to a friend? Whatever your unique situation is, AHI is happy to discuss your coverage needs with you and find a policy suited to how you drive. Give us a call today.

What is insurance fraud and why should I care?

Posted on by AHI Group

The total cost of insurance fraud in the United States is estimated to exceed $40 billion a year. You might think, “well, that’s a big number, but why should I care?” While you might not know it, unfortunately, insurance fraud impacts everyone, not just the insurance companies. They do the crime, and we all end up paying for it. Data from the FBI suggests that insurance fraud costs the average U.S. family between $400 and $700 in premiums to compensate for losses from fraud.

What is insurance fraud, and how do you recognize it when it’s happening?

Defining insurance fraud

In short, insurance fraud is the intentional misleading or activities that take advantage of an insurer’s agreement to pay claims. This can take many forms, but insurance fraud is always usually divided into two main categories: opportunistic and premeditated fraud. The former occurs when a policyholder takes advantage of an existing claim to exaggerate or mislead in order to receive a higher claim payout whereas the latter is intentional, organized crime that can oftentimes have very real consequences that go beyond the financial losses, including but not limited to severe body injury.

Examples of opportunistic fraud might include:

  • You get into an accident with another vehicle. Your vehicle has minor damages, but you file a claim for damages to your car that predated the event in order to receive a higher payout.
  • After a claim, you exaggerate the extent of your injuries and/or medical treatment needed.

Examples of premeditated fraud might include:

  • Staged collisions, where the other driver is either participating or unsuspecting.
  • Jump ins, where someone later files an injury claim against the unsuspecting driver despite not having been inside any vehicle involved in the collision.
  • Misrepresentation or misinformation regarding one’s primary address, driving habits, etc., to receive lower insurance premiums.

Fraud is fraud, whether it’s premeditated or opportunistic. Both have the potential to greatly impact other policyholders and insurance fraud is a felony that can be punishable with jail time in many states.

What are some common insurance fraud scams?

Here are some examples of common insurance fraud scams that take place in the United States. These fraud scams exist throughout all types of insurance, but are most common with auto.

  • Fake theft claims: Policyholders falsely report items stolen from their homes or vehicles to receive reimbursement from their insurance providers. In some cases, the items claimed as stolen never existed or were intentionally disposed of.
  • Exaggerated claims: We discussed opportunistic fraud in the point above; exaggerated claims are really the most common example of this. Policyholders inflate the extent of damage or injuries suffered in a genuine accident to receive higher payouts from their insurance companies.
  • Property arson: When premeditated fraud goes to the extreme, real damages and potential issues can arise. Property owners intentionally set fire to their homes or businesses to collect insurance money for the damages. Sometimes, they may even destroy valuable possessions before claiming the loss. This can cause damage to neighboring property unintentionally.
  • Worker’s compensation fraud: Both employees and employers may engage in fraudulent activities related to workers’ compensation claims, such as exaggerating injuries or underreporting payroll to reduce premiums.

This is only a few examples of different types of insurance fraud scenarios that take place. Identifying insurance fraud can be difficult, although many insurance companies have fraud detection systems in place intended to mitigate losses and preserve their integrity.

Unfortunately, the same can’t be said for policyholders. It’s hard to detect fraud. With a particular fraud scheme, “staged collisions”, you can end up becoming an unwitting participant in a scam, whether you were aware or not. We recommend familiarizing yourself with the different types of staged collisions that exist to keep yourself and your household safer on the roads.

How does insurance fraud impact me?

While insurance fraud may seem like a victimless crime and just “a few extra dollars” received from an insurance company, it’s more than that. Those extra dollars can amount to hundreds, thousands, and beyond over time and with thousands of criminals participating. The financial implications don’t just impact the insurance industry, but policyholders as a whole.

See, it boils down to the way insurance companies pay claims. Insurance companies use premium payments for a variety of things, including funding their operations, and revenue. Still, most of what premiums are used for is to contribute to a “pool” of funds, which are then later used to make payouts when claims are filed. All insurance companies are typically required to maintain a certain “safety fund” to ensure claims can be paid out in the event of an unexpected disaster in a single geographic region (a huge storm, wildfire, etc.)

When fraud is committed, claim payouts go up, and that pool is diminished. In order to ensure claims can continue to be paid out, insurance companies must raise rates for every policyholder across the board, which can make it seem like your insurance costs have gone up for “no reason.” That’s the unfortunate consequence of insurance fraud. While you may always be honest and upfront with your insurance agent and company, others may be abusing their policies for personal gain – and you end up paying for it.

Stay vigilant. If you have any questions about insurance fraud or its impacts, or are concerned about rising insurance premiums, please give us a call.

Here’s how to get rewarded for good driving behavior

Posted on by AHI Group

You’ve been driving for 2, 5, 10, or even 20 years without much issue (apart from maybe the odd fender bender or not-at-fault incident here and there), but you’ve noticed your auto insurance rates have increased. What gives? You’ve been a good driver, so why should you be paying the price?

Auto insurance rates increase for any number of reasons, and sometimes those reasons are out of our control – like owning a high-theft vehicle. Luckily, you can leverage your good driving behavior and even qualify for discounts on your insurance. Here’s how:

What is usage-based auto insurance?

Imagine this: your auto insurance prices are tailor-made based on how you drive, rather than being out of your control due to factors you cannot control, such as your location or age. This is essentially the description for usage-based auto insurance, an offering that many insurance companies are now making available to their policyholders in order to allow more control over their rates.

Usage-based auto insurance, also known as telematics insurance, is named because it uses a device—a telematics device—to track a user’s driving behavior. A user will either need to download a mobile application or install a device in their car that records certain aspects of their driving behavior, such as the following:

  • Braking time
  • Acceleration rate
  • Speed
  • How far you drive
  • How long you drive for
  • Idling time
  • Etc.

For good drivers (hopefully such as yourself) it means that if you consistently demonstrate safe driving behaviors, such as avoiding sudden stops, obeying speed limits, and driving during less risky times of the day, you can be rewarded with lower premiums. Depending on the insurance company, discounts can vary – but they can sometimes be up to 30%!

Why participate in usage-based driving?

There are several benefits to participating in usage-based driving.

For one, it offers fair pricing. Traditional auto insurance often relies on demographic factors like age and location to determine premiums. With usage-based insurance, your risk is assessed based on individual driving behavior. This means that safe drivers are rewarded with lower premiums, ensuring that you pay a fair price based on your actual driving habits rather than generalized statistics.

The better your driving, the stronger your potential is for savings. By consistently demonstrating safe driving habits such as obeying speed limits, avoiding sudden stops, and driving during less risky times, you can qualify for discounts and lower rates.

And, if you’re a semi-decent driver who is looking to be even better and increase your good driving habits, telematics can incentivize safe driving practices. Knowing that your driving behavior directly influences your insurance costs can be a powerful incentive to drive more responsibly. Usage-based insurance encourages safer driving habits, such as avoiding distractions, following traffic laws, and maintaining a safe distance from other vehicles.

Finally, usage-based driving can also offer you direct feedback and insights into your driving behavior. By reviewing this information, you can identify areas for improvement and become an even safer driver. This feedback loop promotes continuous learning and helps you maintain good driving habits over time.

In short, here are some reasons to opt into usage-based auto insurance:

  • Receive fair pricing based on actual risk
  • Get access to additional benefits and rewards for good driving practices
  • Enjoy transparency in insurance pricing based on real-time data
  • Flexibility to adjust driving habits to lower insurance costs
  • Receive feedback and insights to improve driving skills
  • Have the potential for lower premiums based on individual driving behavior

Are you a good candidate for usage-based auto insurance?

Participation in usage-based auto insurance is ideal for drivers who prioritize safe and responsible driving habits. If you’re a cautious and conscientious driver who obeys traffic laws and has an overall decent safe driving record, then it can be hugely beneficial for you. Here are some examples of individuals who would be good candidates for usage-based auto insurance:

  • Experienced drivers
  • Defensive drivers
  • Low-mileage drivers
  • Eco-conscious drivers
  • Seniors with safe driving practices
  • Teens with responsible habits
  • Drivers looking to hold themselves accountable

If you’re seeing high rates due to a recent at-fault accident or have been labelled high-risk, but you’re otherwise a good driver, usage-based auto insurance can help combat the inflation in your rates.

Get rewarded for good driving with AHI Group

Want to be rewarded for good driving behavior? Contact AHI Insurance. Our agents would be happy to discuss your insurance needs with you and assess whether usage-based driving is the right choice for you. Insurance is unique, and no one’s needs are exactly the same. This is why it helps to have an agent in your corner who can help you make the tough decisions and find you the best auto insurance protection for the best price. Give us a call today.

What does high risk mean in insurance?

Posted on by AHI Group

In insurance, risk is everything. Risk is what an insurance company “accepts” in exchange for your monthly, semi-annual, or annual payments – or “premiums,” as they’re referred to in the insurance world. When you’ve been labelled high-risk, you’re someone whose risk is greater than the average. Often, as a result, your premiums will be higher (but that’s not the only impact).

Being high-risk isn’t a good thing, but it doesn’t mean you can’t get affordable insurance. Let’s dig in a little more into what being high-risk might mean for you.

Why was I labelled as high risk?

High-risk usually applies to auto insurance, but it can apply to home insurance as well. To have been labelled as high-risk, it’s likely that you’re someone who:

  • Has been involved in multiple at-fault accidents
  • Has received multiple speeding violations or tickets
  • Has been cancelled previously due to non-payment
  • Has been convicted of insurance fraud
  • Has been convicted of major violations, like DUI
  • Has a rural or non-standard property
  • Has a home that’s 100 years or older

If you’ve ever been told that you’re a high-risk driver or have a high-risk home, odds are it’s because of one or more of the reasons listed above. Sometimes, young drivers or inexperienced drivers (including immigrant drivers, who may not have had their driving history carry over from their country of origin) may see similar rate hikes as high-risk drivers, but may not have the same high-risk label.

What happens if I’ve been labelled high-risk?

Being high-risk means you do not qualify for standard insurance. You’ll probably end up paying more for your insurance, sometimes two or three times as much. You’ll be required to purchase non-standard insurance, otherwise known as “high-risk” insurance.

What happens if you’ve been labelled high-risk? How is it different than ordinary insurance?

  • High-risk insurance always costs more than standard insurance. It can cost a minimum of 20% more, but sometimes up to 2-3x as much. It depends on your insurance company and why you’ve been labelled as high-risk.
  • Your payment options may be significantly limited. The most common reason why drivers are labelled as high-risk is due to non-payment. As a high-risk policyholder you may only be able to pay via certain means, or may be forced to pay for your policy upfront.
  • Your coverage will be limited. You may not be able to customize your policy nearly as much as if you had standard insurance. You’ll usually have capped liability limits, higher deductibles, and your policy may have certain conditions placed on it.

Being high-risk won’t just affect you. If it’s for your auto insurance, every other driver listed on your policy will also be impacted. It may also impact others living in your household.

How long will I be considered high-risk?

It depends on why you were high-risk in the first place.

For homes, it’s a little more difficult. Usually, if you weren’t cancelled due to non-payment in the past, your home is high-risk due to its infrastructure or where it’s located. You may be stuck with your high-risk label, unless you make certain modifications to your home, such as renovating its roof, older features, etc. Ask an agent for ways to save on high-risk home insurance, or discuss your situation with us and we’ll see if we can make some suggestions.

For cars and auto insurance, it boils down to time. Whether you were cancelled due to non-payment or for an at-fault accident, usually your high-risk label will fall off after 3-6 years. During this time, we recommend reviewing defensive driving habits, avoiding impaired driving, setting up automatic withdrawals or being upfront and honest with your broker if you’re ever unsure if you can make your insurance payments on time. If your financial situation is especially tight, you may wish to consider alternative transportation until your rates can come back down with time.

Who are the best insurance companies for high-risk?

Not every company offers high-risk insurance, but it’s important to find one that works for you and your budget if you are ever labelled as high-risk. The right company will offer decent coverage options at low rates (low as far as high-risk goes) and potentially even offer discounts to help you save even more.

Here are some of the best insurance companies if you’ve been labelled high-risk:

  • Progressive
  • State Auto
  • SafeCo
  • American Modern

To discuss more about high-risk insurance, or recommendations on how to save money despite a high-risk label, give us a call at 913-839-1478 today or get a free quote. AHI Group is more than happy to walk you through your new circumstances or connect you with an insurance company who specializes in high-risk insurance policies, saving you money and time.

Auto theft trends in 2024

Posted on by AHI Group

Auto theft is on the rise. Just 2 years ago, it was estimated that there was 283 auto theft cases for every 100,000 people, which equates to around one motor vehicle theft for every 31 seconds. Unfortunately, as criminals indulge more and more in trends like street racing and the practice of stripping cars for parts and reselling them internationally, more and more vehicles are beginning to vanish off the road.

Part of the reason why theft has increased was due to the pandemic-related stay-at-home orders, but in 2024 the majority of us have returned to office and resumed life “as per usual.” So why should you still be concerned about auto theft in 2024? Why is motor theft still such a huge issue?

Is auto theft on the rise?

While we’re still in the early stages of 2024, it’s tough to say how auto theft will continue to evolve. What we do know is that theft had risen by almost 11% between 2021 to 2022, according to data from the FBI, and that it may continue to do so as manufacturers continue to pump out highly appealing vehicles and car theft cases continue to go unsolved.

Why are so few vehicles recovered in car theft cases?

Unfortunately, solve rates for auto theft have always historically been low, but the spike in auto theft incidents has caused them to drop even more. Public data from New York City shows that police make 14 arrests per every 100 car thefts and in Denver that number’s even lower with 7 arrests for every 100 reported car thefts.

This is for a number of reasons. One is that, typically with property crimes, law enforcement resources are minimal. Budget, staffing, and technology can’t keep up with the rate of auto thefts. Worse still, car theft is often associated with worse crimes. Many thieves will use vehicles to commit worse crimes as they can later ditch the vehicle and law enforcement can’t track them down using a single license plate.

Hyundai and Kia motor thefts in the country

If you didn’t read our previous blog on the latest Hyundai and Kia news, here’s the quick rundown: many major insurers, like State Farm (as the biggest example) are no longer insuring Hyundai and Kia model vehicles due to their high “theftability.” This “theftability” comes from a TikTok demonstrating how certain models of Hyundai and Kia cars could be broken into with a USB cord and a screwdriver. As a result, these vehicles were being lifted off the streets left, right, and center, and insurers no longer wished to stay on risk due to the high chance of a theft claim.

This isn’t old news. Tons of vehicles are considered higher theft than others, whether because of their specific luxurious features that are appealing for resell, their prevalence on the roads, or vulnerable points that allow hackers to steal them easier.

OLBG did a good “prediction” list of what will be the most stolen cars in 2024. When purchasing a car, we recommend drivers to be conscious of the cars on this list. Many insurers will hike the rates of vehicles with high theft appeal; to combat that hike, drivers can either consider alternative models or invest in aftermarket security products.

What are the expectations for auto theft in 2024?

It’s very early to see how trends will shape up in 2024, but we’re already starting to see some shifts that could suggest what we’ll see throughout the year.

One trend that may start to increase in frequency is the use of specific electronic locksmith tools, i.e. ProPads, to steal high-performance vehicles. Vehicles with keyless entry features can be stolen through relay attacks via a blank key FOB and tech found on the Internet. This seems to occur the most with high output engine vehicles, like Dodge Chargers, Durangos, and Challengers, as well as Jeep Grand Cherokees. These vehicles are usually stolen for the purpose of being re-tagged and then sold to unsuspecting buyers, or even later wrecked in street races.

Education in 2024 will be as important as it has ever been for decreasing the risk of auto theft. Vehicle thefts for cars that have been left with their key inside was extremely common in 2022 and 2023, and may be no different for the coming year. Even if you feel you live in a “safe” community, you never know. Never leave your vehicle running and unattended (yes – even in the cold!) and always take your keys with you when you leave your vehicle.

As always, regular auto theft methods such as key swaps at dealers following test drives, car-jackings, and vehicles being stolen at service centers by accessing key boxes continue to be an issue. This is likely to continue into 2024 as well.

With all these trends on the rise and new ones continuing to evolve on the horizon, it’s important to stay vigilant, to stay informed, and to keep in mind all the best ways to protect yourself and your vehicle against the risk of auto theft.

How do you protect yourself against auto theft?

Car theft happens even to the most secure vehicles. While you can’t 100% of the time ensure your car is safe from auto theft, there are a few things you can do to hugely decrease your risk.

Here’s our tips:

  • Always lock your car doors and close the windows when leaving your vehicle.
  • Park in well-lit and populated areas, especially at night.
  • Install an anti-theft device such as an alarm system, steering wheel lock, or immobilizer.
  • Don’t leave valuables visible inside the car; store them in the trunk or take them with you.
  • Use a visible deterrent like a “Car Alarm” or “Protected by [Security Company]” sticker.
  • Consider installing a GPS tracking device to help locate your car if it’s stolen.
  • Don’t leave spare keys inside or around your vehicle, even if it’s hidden.
  • Be cautious of where you leave your car keys, and avoid leaving them in obvious or easily accessible places.
  • If possible, use a garage or secure parking facility rather than street parking.
  • Be vigilant and report any suspicious activity or attempted theft to the authorities.

Note that certain aftermarket car security products can qualify you for a discount on your auto insurance. Call AHI Group to discuss insuring a high-theft vehicle or for tips on how to protect your vehicle better – and save at the same time.

Could EV remote control features be a security risk?

Posted on by AHI Group

There are 2,442,270 electric vehicles, or EVs for short, registered in the United States as of 2024. With the electric vehicle market estimated to sit around $49.1 billion in 2023, it’s no surprise that we’re starting to see more and more of these vehicles on the roads nowadays. EVs are all the rage, but one of the latest advertised features, “remote control,” is starting to raise some questions.

Auto theft is on the rise, and thieves are becoming more successful in leveraging certain aspects of cars as more and more manufacturers start to offer more interesting “perks.” Let’s explore how EV remote control features could be a potential security risk.

How does remote control work?

Many electric vehicles today can be controlled remotely by using mobile applications or web-based systems. This allows the owners of EVs to perform a variety of tasks, from maintenance and assessing battery life to even monitoring the status of a vehicle’s charging, adjusting temperature, and locating the vehicle on a map. These features have greatly improved as newer models roll out, adding on additional hardware and software to improve user experience greatly.

Tesla is one such vehicle that offers remote control. Here’s an overview of what the system entails:

  • Locking and unlocking vehicles
  • Enabling or disabling AC and heating, as well as monitoring cabin climate
  • Checking vehicle’s charging status
  • Viewing vehicle’s estimated driving range
  • Opening the front trunk
  • Opening or closing the charging port
  • Seeing where the vehicle is located
  • View the vehicle’s VIN and current software
  • Flash lights/honk horn to find where car is parked
  • Park and retrieve the vehicle using the “Summon” feature

Electric vehicle safety features

Most electric vehicles, like Tesla, feature numerous security features to prevent or reduce the risk of auto theft. For example, Tesla features a Security tab on its mobile app which enables drivers to:

  • Pair their phones to the vehicle
  • Enable and disable autopilot and autopark modes
  • Enable notifications that trigger when the vehicle’s driving speed is within 5km/h of the maximum selected speed. You can disable or enable this mode as well

Although these modes may help reduce your odds of theft, they don’t prevent your chances altogether. Electric vehicles may be the most at risk due to their luxury appeal and high value. We recommend investigating aftermarket products to buff your security. Some products may even qualify you for a discount on your auto insurance!

How is remote connectivity a security risk?

For any vehicle that has remote connectivity and a computer chip, there’s a vulnerable point. In today’s tech-powered world, car thieves need to think beyond the old-school “bash in the window” in order to steal cars, and that’s just what they’ve done. Modern hackers have found EVs to be particularly vulnerable.

Connectivity features using Bluetooth, Wi-Fi, or cellular networks are the number one way hackers access electric vehicles. Even having a remote starter can serve as an entryway for hackers to gain access to your vehicle (and this applies to gas-powered vehicles, too!)

Another prominent vulnerability for EV security is public charging stations. The United States alone is home to well over 60,000 public charging stations, a majority of which are connected devices. These devices are, unfortunately, prone to being hacked as well and can be an entryway for thieves to steal away with electric vehicles – especially those that are left unattended by the owner. Public charging stations are also a vulnerability when it comes to identity theft, as to use these stations you’ll need to use an app or frequency ID card which houses IP addresses, network info, and location data. Hackers can manipulate this data and use it for personal gain.

Most vulnerable vehicles

The list of most commonly stolen vehicles changes each year based on statistics and trends. However, statistics aside, these vehicle manufacturers were found to house the most vulnerabilities:

  • Hyundai
  • Acura
  • BMW
  • Ford
  • Ferrari
  • Genesis
  • Infiniti
  • Kia
  • Jaguar
  • Land Rover
  • Mercedes-Benz
  • Porsche
  • Rolls Royce
  • Toyota
  • Nissan

How do you protect your electric vehicle?

There’s still a ton of work for manufacturers to do in order to protect electric vehicles against thieves. Remote control features are a great addition to have and enjoy for ease of access and convenience, but they do pose a serious risk as of where they’re at right now. Here are some ways you can reduce the risk of your EV (or any vehicle) getting stolen or hacked:

  • Consider using an at-home charging station as opposed to a public one. If you need to use a public station, choose a busier location where your car is more in the “public eye.”
  • Install a traditional anti-theft device that locks to your steering wheel. As old-school as these might be, they’re still a true and tried means of deterring thieves.
  • Avoid or limit the use of third-party apps that connect to your vehicle.
  • Always install the latest patch or software update from your vehicle’s manufacturer.
  • Park your car in a secure location, such as in a garage or private driveway.

For additional questions about protecting EVs or to talk about insuring an EV, give AHI Group a call.

What do I do if I’ve been hit in a parking lot?

Posted on by AHI Group

When you think “car crash,” you might think Highway 50 side-swipe or getting T-boned turning left after someone runs a red light, but not all crashes are as dramatic as that. You might be surprised to learn that many collisions happen in public (and private) parking lots.

Busy parking lot, people backing out without looking, rushing to turn left before oncoming traffic—the hustle-and-bustle nature and close confinement in parking lots can lead to some unfortunate scenarios. As careful as we try to be, we can’t control the behaviour of others. So, what do you do if you’ve been in a parking lot crash?

Things you need to know about getting hit in a parking lot

Getting hit in a parking lot is more common than you might think, but you’d be surprised at the potential severity of injuries and property damage, even with the low speeds. If you’re in your car at the time of the incident and there are injuries, the first thing you’ll need to do is call 911. If no one’s injured, then you’re safe to exchange information with the other driver. Make sure to get their registration, auto insurance, and driver’s license information on the scene.

Preparing to file a claim for a parking lot accident is no different than filing a claim for an accident that took place on a major highway. You’ll want to document the accident, take as many photos as possible, and possibly even call the police if there are injuries or the estimated damages exceed $2,000. If there are witnesses around, you’ll want to get their statements. If the parking lot where you were hit was outside a store, ask the store owner for any possible security footage they may be able to produce.

What if I don’t know who hit me?

Imagine you ducked inside a store to do a little post-work shopping and you came back outside to find the front of your car had been backed into. No other car in sight, and no one nearby seems to know who hit you. In this unfortunate scenario, sometimes known as a “hit-and-run accident,” an incident where a driver who is unidentified or even a driver who is identified but has insufficient insurance hits your car may be covered under collision insurance.

In the even more unfortunate scenario where you or even a passenger were still inside the car when it was hit and the driver is unable to be identified, you may have some coverage for their or your injuries under a section of auto insurance known as uninsured motorist bodily injury coverage.

Still, before you go through insurance, it’s important that you take a few steps to ensure you and your passengers are safe and your car isn’t in any further risk of being damaged:

  • Move your car to the side of the road, if possible
  • Turn on your hazard lights and try to mark out the area to avoid further accidents.
  • Once everyone’s safe, get in touch with law enforcement. If your car is OK to drive or the damage was only minor, you can drive to the nearest station to file a report.
  • You may also consider asking nearby shop owners if there are any security cameras overlooking the parking lot. This can help to identify the driver who hit you.

If you don’t have collision car insurance, the odds are you may have to pay out of pocket for the incident. If you do have collision coverage, you’ll need to pay your deductible before insurance covers the rest.

Travelers, one of AHI’s partners, has some good information on car insurance and covering hit-and-runs.

Getting in touch with your insurance provider

Call your insurance provider as soon as you’re done dealing with the police (if applicable) after an accident. Even if you’re not at fault, it’s important to let your insurer know to avoid delaying your coverage and/or repairs. Remember, you are not responsible for contacting the other party’s insurer, whether you’re at fault or not! In an accident where you’ll need to file a third-party car claim (such as where the other driver was at fault) you may need to file a claim with them, but you can do so virtually or by simply reaching out to your own provider to consult about next steps.

Calling your own insurance company is recommended because of these reasons:

  • It can help expedite the claims process
  • It can assist in providing coverage ASAP for injuries or damages (especially for families and individuals who are struggling financially)
  • You may end up having out-of-pocket costs if you fail to report the accident right away
  • The other driver involved in the accident could allege damages or injuries later, which could cause the story to not correlate with what you said initially at the scene

You should always inform your car insurance company, even if there’s minimal damage/no injuries at a collision or accident. We recommend doing so even if you’re not technically obligated to do so, as it’ll ensure that they have a record if you need to file a claim later or even if the other driver ends up filing a claim against you.

If you’re confused about what to do following a parking lot crash, not to worry. AHI Group is here to help answer any questions that you may have and help alleviate your concerns or worries. At some point, the majority of us will have been involved in a car accident. It can be stressful, but knowing what to do can be a huge aid. Give us a call today.

What does it mean to have full car coverage?

Posted on by AHI Group

When it comes to auto insurance, you have options. Nearly every state in the USA has mandatory auto insurance, and of those states there’s a certain kind of auto insurance you are required to buy. You may be eligible, depending on your record, to purchase insurance add-ons to further customize your coverage, such as comprehensive and collision. Some consumers opt for what’s known as “full car coverage” – but what is that, really?

What is full car coverage?

To break it down briefly, full car coverage doesn’t actually exist. There’s no way to buy auto insurance coverage that fully insures your vehicle against every potential risk out there. Full car coverage generally refers to an automobile owner who drives a vehicle that is insured with collision, comprehensive, and liability coverage. Insurance companies may also offer additional protection, such as coverage for rental cars or even ticket forgiveness.

While it’s not “full car coverage” in the sense that it insures against every possible risk, it’s the fullest available car coverage there is. So, when you see the term “full car coverage,” this is actually referring to the combination of insurance coverages designed to protect a driver financially for damages done to their vehicle, the passengers or occupants of that vehicle, and any other individuals involved in the accident.

*Key takeaway here: there is no definition for full coverage auto insurance. Your best bet is to work with an agent to determine what options give you the fullest, most attainable peace-of-mind.

What are all the coverages included in full car coverage?

While the definition of full coverage may differ from insurer to insurer, here are the coverages you may expect to have included in a “full car coverage” plan:

Liability Insurance

If you are in your vehicle and get into an accident, this coverage helps pay for the damages and injuries. It is required in virtually every state in the USA, with the exception of New Hampshire. Certain states will mandate certain levels of coverage, usually between $200,000 and $1 million. Most insurers offer the option to increase your coverage.

Uninsured or Underinsured Motorist Insurance

In states where it’s mandatory to have insurance, some drivers still opt to go without. If you get into an accident with an uninsured driver, or perhaps a driver who flees the scene, this coverage will protect you from the damages to your vehicle, or even medical expenses you incur in the accident.

Personal Injury Protection (PIP)

Depending on the state, PIP or personal injury protection may be mandatory to protect you from the cost of medical expenses for you or others in your vehicle. Some types of PIP can include coverage for lost wages and other expenses for injuries in an accident.

Collision Insurance

Collision insurance is optional and may be purchased to increase your coverage to protect against damages done to your vehicle in an accident, even if you were responsible. It may also protect against damage to your vehicle if you hit something stationary or if your vehicle rolls over.

Comprehensive Insurance

Comprehensive coverage is optional as well and insures your vehicle against damages due to things other than accidents, specifically when your vehicle is not moving. An example of this is if a tree falls on your vehicle in a storm or if someone breaks your window attempting to steal something in your car.

With some optional coverages, specifically collision and comprehensive, a deductible will apply. This means that to have a claim paid out, you’ll need to pay your deductible amount towards the repairs before your insurance company pays for the remainder.

Other auto insurance options

Depending on your state and your insurer, you may be eligible for additional insurance options to help further “round out” your policy. Some examples include:

  • Gap Insurance: Aka loan or lease payoff insurance, this insurance helps to pay for the gap left on what you owe for your vehicle if it’s wrecked in an accident.
  • Car Rental Coverage: This insurance option offers car rental reimbursement, as rental shops will often offer insurance, but at a very high price with very minimal coverage.
  • Towing and Roadside Assistance: Some insurers will automatically offer this coverage, where for others it’s an option to include it. Roadside assistance coverage, to cover the costs of towing and changing flat tires, can be a great asset to have.
  • Glass Breakage: Glass damage regularly falls under comprehensive coverage, but if you have a high deductible that could wipe out any glass coverage you’d get. With full coverage, you might have the option to get better protection for glass coverage with no deductible (but a slightly higher premium).

Ask an agent about these coverages for more information, or for more suggestions on what to include to have fuller car insurance.

Should I have full car insurance coverage?

In no situation is full car coverage beyond the state mandatory technically required, although certain coverages may be asked of you if you’re lending or leasing a car. Otherwise, optional coverages are entirely up to your preference.

We would recommend considering additional protections, specifically collision and comprehensive, especially if you don’t have enough money saved to cover yourself in the event of an accident. You are best off purchasing coverage which addresses the biggest likelihoods. Note that having a low deductible may result in high premiums, so if you want to save on your premiums you’ll choose a lower deductible.

Talk with an agent if you aren’t sure. A representative from AHI can help you decide on what options are best suited to your needs, what makes the most sense, and what’s the most affordable. Call us today!

What’s Driving Up the Cost of Auto Insurance?

Posted on by AHI Group

Auto insurance rates are on the rise. Just in the last year alone, auto insurance rates have risen by 18.9%, according to data from the U.S. Bureau of Labour Statistics. For states whose rates were already on the higher end, it seems like there’s no relief in sight. For many vehicle owners, this can be incredibly discouraging. Auto insurance is a must-have purchase, but why is it becoming so expensive?

In previous articles, we’ve covered topics related to rising auto insurance prices like the hard market its relation to insurance rates as well as high auto insurance pricing for teens and new drivers. In this blog post, we dig a little deeper into the issue with data from SafeCo. We aim to take a look at some global events causing significant ramifications to auto insurance pricing, stats, and more to help broaden your understanding of the current issue as a policyholder, and perhaps give you a starting point on how best to manage your premiums.

Ripples from the COVID-19 Pandemic

This article was written in 2023, and so while the initial outbreak is long behind us and it isn’t looking like we’re going to be seeing any unexpected closures for some time, COVID-19 has had a ripple effect on the economy. During COVID-19, we saw a tremendous depletion in the supply of both new and used vehicles, and even now we have yet to see those inventories come back to what they were. Since 2020, the price of new cars has risen by 20%, and the price of used cars has increased by 37%. 

*Source: Federal Reserve Bank of St. Louis, Consumer Price Index.

What does this mean when it comes to insurance? Well, it’s not really about the number of used or new cars available on the market – it’s about the same market dynamics impacting the number of car parts available to do repairs. Since the end of 2022, car parts and equipment have been about 22.3% This means that the cost to repair vehicles has increased, resulting in higher claim payouts for insurance companies. As a result? Higher claim payouts = the need to raise rates to ensure an adequate pool of payout money for insured losses. 

*Sources: Consumer Price Index, 2022 TechForce Foundation Technician Supply & Demand Report.

Medical Care Costs on the Rise

During COVID-19, work-from-home and stay-at-home orders had fewer vehicles driving on the road, and therefore the number of fatalities and injuries declined – severely. That spiked when many orders were lifted in 2021, peaking, before somewhat falling again. With the rising cost of medical care, personal injury protection and bodily injury liability claim costs continue to spike. Between 2020 and 2022 alone, the cost of medical care in the U.S. jumped by 6.8%.

*Source: Producer Price Index, Federal Reserve Bank of St. Louis.

The Higher the Cost of Losses, the Higher the Premiums

Although it might seem unfair, especially if you have not made a claim or been in an accident, the way insurance works is that to afford the high cost of claim payouts, insurers need to raise rates. It’s a hard hit for low-income and otherwise vulnerable drivers, some of which may need to weigh the cost and benefits of car ownership altogether. 

Premiums Vary State-by-State

Although the average change in car insurance premiums between 2022-2023 was around 17% on average across the United States, that number has varied drastically between each state. An infographic from FINN America at the Washington Post gives us the breakdown, the most notable of which we will highlight in a list below:

  • Minnesota: 4% increase
  • Kansas: 11% increase
  • Colorado: 53% increase
  • Florida: 88% increase
  • Texas: 21% increase
  • Nevada: 51% increase
  • California: 16% increase
  • Nebraska: 46% increase
  • Iowa: 29% increase

State-specific increases can be due to a number of reasons, for example: Colorado’s car insurance premiums have seen a tremendous increase of 50%+, largely in part due to the huge number of tornadoes, blizzards, and hailstorms resulting in an increased number of claims. Florida, by the same token, has increased its premiums due to insurers needing to make up for losses resulting from hurricane damages. All states have been impacted by payouts driven by natural disasters, the high cost of replacements and repairs, inflation, the higher cost of luxury vehicles, and more. 

What Do We Do?

To many, it might seem like there’s really no escape from higher premiums, since many of us are dependent on our vehicles to get to work and manage family affairs. Car insurance is required by law, so to drive, you must have it. Getting caught driving without is oftentimes costlier than a year’s average premium, so it’s just not worth the risk. 

In the face of rising auto insurance premiums, it’s good to have a subject-matter expert in your corner. Working with an agent, like any representative from AHI, can help you gain industry insights and arm you with knowledge on how best to save. We’ll recommend different discounts you may be eligible for and offer personalized advice to help you cut costs.

Navigating a Costly Insurance Landscape

The matter of factors influencing auto insurance rates demands a nuanced understanding, and although we hope that our exploration has shed some light on key contributors, the field is ever-changing.

As policyholders try to make sense of the shifting dynamic, AHI Group stands as a steadfast partner committed to providing tailored solutions for residents of Kansas, Nebraska, Texas, and beyond. AHI is poised to guide you through the intricacies of your coverage. We encourage you to take an active role in managing your insurance costs by reaching out to our dedicated team. Contact AHI today to discover potential avenues for cost reduction, discount opportunities, and more. 

State Farm No Longer Insuring Hyundai or Kia

Posted on by AHI Group

Car owners across the country have started to see what the impacts of auto theft are doing to their insurance rates, and some more than others. Certain vehicles are stolen more frequently than others, which can cause insurance rates for drivers of those cars to appear much higher. Among the list of most stolen vehicles includes Hyundai and Kia; in some instances carriers are removing them from their “insurable” list altogether, refusing to insure new customers and non-renewing current ones. State Farm, the largest provider of property and casualty insurance in the United States, has done the very thing.

Why is this? What are the options for drivers of Kia and Hyundai vehicles? How can we still get affordable auto insurance, even if we drive these vehicles? We cover this topic – and more – below.

Kia and Hyundai vehicles as top targets for auto theft

Kia and Hyundai vehicles are both being sought after by auto thieves due to their ease of access. Back in 2021, a social media “craze” popped up wherein it was demonstrated how easily these vehicles’ manufacturers’ anti-theft tech could be overridden. The easier vehicles are to steal, the likelier they’ll be stolen – and this logic applies to any vehicle, which is why we so heavily stress the importance of making your vehicle more difficult to thieves.

Now, the manufacturer oversight is being remedied. Before this, all that a thief needed to steal a Kia or Hyundai vehicle was a USB cord and a screwdriver. This was due to the fact that the vehicles being targeted did not have a specific immobilizer safety feature, leading to the hike in thefts and the vulnerability of these specific cars.

Which models of Kia and Hyundai are being targeted?

This list is subject to change as situations evolve and can depend on your specific carrier. As it stands, the following list of Kia and Hyundai are the ones being targeted by auto thieves due to their lack of immobilizer safety feature and ease of access.

The following models of Kia being targeted include:

  • 2011-2022 Sorento 
  • 2011-2022 Seltos 
  • 2021-2022 K5 
  • 2011-2021 Forte 
  • 2011-2020 Optima 
  • 2012-2021 Rio 
  • 2011-2021 Sedona 
  • 2011-2022 Sportage 
  • 2020-2022 Soul 

The following models of Hyundai are being targeted:

  • 2013-2020 Elantra GT 
  • 2020-2021 Venue 
  • 2011-2019 Sonata 
  • 2011-2022 Elantra 
  • 2013-2014 Genesis Coupe 
  • 2011-2022 Tucson 
  • 2011-2022 Kona 
  • 2019 Santa Fe XL 
  • 2020-2021 Palisade 
  • 2013-2018 Santa Fe Sport 
  • 2013-2022 Santa Fe 
  • 2018-2022 Accent 
  • 2012-2017 and 2019-2021 Veloster 

How to protect your vehicle from car thieves

In a world where car theft remains a persistent concern, safeguarding your vehicle is an essential aspect of car ownership. Whether you own a popular model or a prized possession, taking proactive measures to protect your vehicle from potential theft is crucial. From leveraging advanced security technologies to adopting simple yet impactful habits, we have some key steps to help you fortify your vehicle against the ever-present threat of car thieves.

Use steering wheel locks

Consider using a steering wheel lock as an additional physical deterrent. These devices make it more challenging for thieves to steer the vehicle, even if they manage to start it.

Install a car alarm system

Invest in a reputable car alarm system that includes loud sirens and flashing lights. Visible deterrents can discourage thieves from attempting to steal your vehicle.

Be mindful of keyless entry vulnerabilities

If your vehicle has keyless entry, be aware of potential vulnerabilities. Consider using a Faraday pouch to block signals and prevent relay attacks.

Park strategically

When parking, turn your wheels toward the curb, making it more difficult for thieves to tow your vehicle. If you have a garage, use it to secure your car.

Register with a vehicle recovery service

Enroll in a vehicle recovery service that works with law enforcement to track and recover stolen vehicles. Check if your insurance provider offers such services.

Stay informed about local crime trends

Stay updated on local crime trends and be aware of any specific risks in your area. Knowledge about recent thefts can help you take extra precautions.

Educate family members

Ensure everyone in your household is aware of security measures and follows them consistently. A collective effort enhances overall vehicle security.

Can you still get insurance with a Hyundai or Kia vehicle?

There are still carriers who will insure Hyundai and Kia, so if you have been non-renewed there are options available for you. You may have to take your vehicle to your nearest dealership and request that they make theft deterrent upgrades, as well as keep the documentation to show your insurer.

Working with AHI Group can help you find the best, most affordable insurance for your Hyundai or Kia. We work with a variety of carriers, many of which are still willing to insure your Hyundai or Kia vehicles.

What you need to know to insure a Hyundai or Kia with carriers like State Farm

While State Farm and similar carriers may be refusing to insure Hyundai or Kia vehicles, there are some exceptions. To be insurable through your current carrier, whether State Farm or similar, you may need to follow one or more of these criteria:

  • Have the anti-theft security kit or software installed, plus have a copy of the service record as proof for your insurer to see.
  • Have a push button start. Usually push button models will not be affected by this new ruling. You may need to supply a photo of the push button as well as your vehicle’s VIN number.
  • Have a kill switch installed. You will need to supply documentation of this.

If you fail to meet these eligibility criteria with State Farm-like carriers, then the vehicle may still be insured – however it will be insured with liability only and cannot be insured with physical damage coverage. You won’t be able to add collision or comprehensive coverage unless you have completed one of the above eligibility criteria.

To discuss more about insuring Hyundai or Kia vehicles today, or if you’re looking for a free auto insurance quote for your Kia or Hyundai, give us a call at AHI Group.

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