Read our informative Online Car Insurance FAQ

Q: Just how safe is driving a car?
A: This page contains interesting and relevant statistics drawn from various sources. Some may prove frightening and will hopefully make you think more about driving safety. One fact they we find alarming is that automobile accidents killed just as many people as the World Trade Center attack in the month of September 2001.

Q: My automobile policy was canceled because I did not pay my premium on time. Is this legal?
A: Pennsylvania law does not require companies to extend a grace period for premium payments. If payment is not received by your due date, the company is permitted to cancel for nonpayment of the premium.

Q: Can my insurance company cancel my auto insurance policy if I am found guilty of drunk driving?
A: Yes. In some states, if you are convicted of driving under the influence, your driver's license may be suspended. A license suspension is a valid reason for a cancellation or nonrenewal.

Q: What should I do if I receive a cancellation or nonrenewal notice from my insurance company?
A: First, contact your agent or your insurance company for specific details regarding the action. Some state laws allow companies to cancel or nonrenew policies for certain reasons.

Q: What is a surcharge?
A: A surcharge is an additional premium charge, for a limited number of years, as a result of violations, suspensions or accidents on the driving record of any driver covered under your policy.

Q: What protection do I have against unreasonable surcharges or policy terminations?
A: Motorists in some states may no longer be surcharged or have their policy nonrenewed if the claim(s) resulting from the accident(s) in the preceding three years do not add to more than $1050 after payment of any deductible, or if the insurance company is reimbursed for at least 60 percent of the total amount of the paid claim.

Q: Can I exclude my spouse or teenager from my insurance policy to lower my premium or avoid being canceled?
A: Yes. The FIRST NAMED insured may exclude any family member from the policy provided that the person being excluded can prove he or she has auto insurance with another company or the Assigned Risk Plan.

Q: How much is my insurance company required to pay me if my car is damaged?
A: Your insurance company is required to pay the amount necessary to return the motor vehicle to its same condition just prior to the damage in question. At your request, you may obtain information from the insurance company regarding repair facilities within a reasonable distance of where the motor vehicle is located and where work will be performed in accordance with the written appraisal. You are not required to use any specific repair shop.

Q: How can I lower my auto insurance premium?
A: You may save money on your auto insurance premium by: choosing the limited tort option; increasing your collision and comprehensive deductible or dropping collision and comprehensive coverage on an older car; lowering or eliminating your uninsured (UM) and underinsured motorist (UIM) coverage; rejecting the stacking option of UM or UIM coverage; eliminating income loss or funeral benefits, lowering the medical benefits to the minimum limit requirement and inquiring about special discounts offered by your individual company. Make sure you understand the consequences of not purchasing the optional coverages, increasing your deductible or eliminating coverages prior to making your decision.

Q: 12. What are the risks of changing insurance companies?
A: You should be aware that an insurance company has 60 days to underwrite and investigate your application. The company has the right to refuse or cancel your coverage for various reasons within the first 60 days. However, the company may not refuse someone because of age, marital status, occupation or any other unfair discriminatory reason.

Q: Why do companies charge different rates for different geographical areas?
A: One factor used in determining insurance rates is the geographical area in which an individual resides. Based on the company's losses for that defined area, a company will determine premiums based on accident rates and repair costs for that area