Reader’s Question:

I am just wondering what the car insurance policy cover when I use rental car? I live in El Paso, Texas.

Danny

El Paso, TX

Its a good question Danny.

It actually depends on your car insurance policy.

It would be best if you speak to your car insurance agent in El Paso, Texas to better explain what your car insurance policy covers when you rent a car or you may go over or review your car insurance policy. Your car insurance policy may not cover cars rented for business; it may cover for pleasure, like special events or vacations.

If you do not have the physical damage coverage of collision and comprehensive coverage for your own automobile, you may not have coverage for a rental vehicle. And if you damage a rental vehicle, your car insurance policy may not cover lost revenue the rental vehicle company incurs while the rental vehicle is being repaired; or the cost of a new vehicle if you total the rental automobile.

Tags: auto insurance, rental car insurance

Reader’s Question:

Im 19 years old and I just got my drivers license and I am just wondering if I need to get car insurance in Beaumont, Texas for the driving test or it is okay as long as the car that I will be using is insured. I will be using my mother’s car.

Mary

Beaumont, TX

I suggest that you verify with the Texas Department of Public Safety what kind of insurance you will need for driving test. Your mother’s insurance carrier will likely require to be listed in her car insurance policy so you may be covered while driving your mother’s vehicle.

According to the Texas Department of Insurance, young drivers may be able to satisfy the financial responsibility law by being added to their parent’s car insurance policy. Your mother may expect an increase on her car insurance policy if she adds a teenager to her car insurance policy but it is much cheaper than getting a separate policy.

I suggest that you make sure that you are added to your mother’s car insurance policy in Beaumont, Texas by contacting her insurance company to make sure you will be covered in case accident happens. Insurance companies require policyholders to list all licensed household members to their car insurance policy because if they do not and the insurers finds out later, the insurance carrier will charge the policyholder for the extra premium that should have been paid.

Tags: cheap auto insurance, Student car insurance, teen insurance, Young driver car insurance

Reader’s Question:

I purchased new car and I put a collision coverager on it. I am financing part of the car’s purchase price through a finance company. My question is why does the finance company get paid the full amount of the value of the vehicle if the automobile gets into a collision? I mean if they get the full amount of the vehicle, I will get nothing meaning whatever I paid for the vehicle will be lost and Ill be empty handed? I live in Galveston, TX.

John

Galveston, TX

Your finance company holds the title to your car until your loan is paid or satisfied. If your car is totaled, the check will most likely be issued both on your names. Whatever amount is left after your loan is paid would go to you. Your insurance carrier in Galveston, TX will determine the value of your car at the time of a loss and pay that amount to the finance company and to you. Most of the time, as soon as you leave the dealership the value of your car depreciates. So you may be upside down as soon as you leave the dealership lot if you were to get into an crash. You can buy GAP insurance in order to protect yourself from that type of loss. This will cover the difference of what you paid for the car and what the actually value is.

Tags: auto insurance

Reader’s Question:

I am 19 years old and my father is letting me have his vehicle. He is financing it through a bank and makes the monthly payments. Is it possible to buy my own auto insurance on the car even though the vehicle is in his name? We live in El Paso, Texas.

Michelle

El Paso, TX

It can be hard to find auto insurance for a vehicle that you do not own and therefore do not have your name on the title. Most insurance providers typically will want you to have insurable interest in the automobile in order to get car insurance on it. Having insurable interest means being an car owner, lien holder or co-signer.

If you do not have insurable interest in the vehicle, you may still be able to get auto insurance on the car in El Paso from other insurance providers. In some cases some insurance companies will permit you to buy an auto insurance policy even if you do not own the car.

Tags: auto insurance, teen insurance

Reader’s Question:

My mother passed away and I would like to know how long do I have to change the car insurance under my name in Northwest Harris, Texas.

Ben

Northwest Harris, TX

Sorry for the loss of your mother. Since terms of auto insurance policies vary you will need to check from your mother’s insurance company in Northwest Harris, Texas how long you have to change over the car insurance policy and what steps to take to have the auto insurance policy for at least your car under your name.

Normally a car insurance policy cancels upon the death of the policyholder, usually by the request of the estate.

It is important in your case to read over the insurance policy issued to your mother. If you need more informations, you may contact your mother’s insurance agent or company for verifications and information on what the process is now that your mother has passed away.

Tags: auto insurance

Reader’s Question:

I am married and I would like to know if its required to have my husbands name on the policy. We have two vehicles and only my name is on the car insurance on both vehicles. If an accident happens, does it go against my driving record only? We live in Harlingen Texas.

Meyer

Harlingen, TX

If you are married normally you would want both spouses’ names to be on the auto insurance policy. It may be up to the car insurance company’s procedures but if both you and your husband will be driving the cars then both of you will most likely need to be on the insurance policy. If your name is listed as the policyholder on both insurance policies then your husband would need to be listed as a driver for the vehicles.

If your were to buy an auto insurance policy in the future and you are excluded, then your accident most likely will not affect him. But, with a comprehensive claim some insurance company may consider it as an insurance claim for the household - even if you are not listed on the insurance policy as a driver. You may consult your insurance carrier on how they will handle this type of situation.

Tags: auto insurance claims

Reader’s Question:

The insurance coverage on my car has lapsed. It is not not insured at all currently. My friend has a non-owners auto insurance policy with the sr-22. Can my friend drive my vehicle legally with only the non-owners insurance, or is my car required to have its own insurance policy if it is to be driven? I’m in Amarillo, Texas.

James

Amarillo, TX

According to Texas state law, which is the same to most states, every owner and driver of a vehicle must maintain financial responsibility (insurance). If your friend got involve in an accident that was their fault the car’s insurance (thus you as the owner) would be primary. If the car did not have insurance the individual hit could go after you, the owner, personally for the cost of repairs, medical, etc.

Your friend’s non-owner SR22 will be secondary on whatever car he or she drives. So your friend will have to make sure that the car has auto insurance on it as well.

Tags: auto insurance, non owners insurance, sr22 car insurance

Reader’s Question:

Hi, Im from Odessa, Texas. Am I covered under the car insurance policy for natural disasters? Are there exceptions to the car insurance policies?

Joey

Odessa, TX

In Texas, most catastrophes are covered under the car insurance policy. However, earthquake and flood damage, are not covered by a standard policy and both are more common than many people realize. Check with your car insurance agent about special catastrophic policies for normally excluded conditions like floods and earthquakes. There may be exceptions listed and defined in your policy such as neglect, intentional loss, “earth movement,” general power failure and even damage caused by war. If you fail to take care or neglect your property, you may not be covered. Generally, if you intend to lose an object or damage your own property, there is no coverage.

One other exception that can be costly is the Ordinance or Law exclusion. Building codes established by governmental bodies that drive up the cost of rebuilding or repairing after a loss occurs may not be covered under your car insurance policy. So if you discover that current law demands higher grade or more expensive materials than the original ones being replaced when replacing damaged property, the new materials may not be covered for the full cost. Comprehensive insurance that covers you for fire and theft, generally covers you against damage by flood, earthquake, hail and other natural disasters, except when your car is overturned (which is considered a collision).

Reader’s Question:

Can you have more than one car insurance policy on one car in Houston, Texas?

Marla

Houston Texas

Yes, it is possible to have more than one car insurance policy in Houston TX on one car if there are two different person that want to buy insurance for one vehicle. But, finding insurance carriers that would permit this “duplicate” coverage will likely be not easy.

Insurance guidelines vary so you would have to verify with different insurance carriers to check if you can find one that allows what you want. This type of double insurance on a car is not typically necessary and may go against insurer underwriting guidelines, since hopefully one policy would be able to cover all the motorists of the car.

So while it might be possible to have more than one motor vehicle insurance policy on a car in Texas it might be hard to find an insurance company or insurance carriers that would permit this since normally one auto insurance policy is typically all that is needed to cover a car and its drivers.

Reader’s Question:

Where do I acquire an SR-22 certificate in Texas? Does my insurance carrier already have copies?

Sara

El Paso, TX

When you get at least the minimum auto insurance coverage that the state of Texas is requiring of you to get and maintain then the insurance provider will fill out the SR-22 form and file it with the state on your behalf. Not all insurance providers file the SR22, form of financial responsibility, so you will need to be sure the insurance carrier you obtain your car insurance policy with does offer the filing of the SR22.

An insurance agent in Texas can provide you the actual SR22 form, or it will be mailed to you with your policy documents. Each state has various form requirements, typically though it is a pink form that has your name, policy number, etc. It is used in the drivers license office to show proof that you have the state’s minimum liability insurance. The insurance company will also manually or electronically file with the DMV an acknowledgment that you have the SR-22. If you are shopping for auto insurance and need to file an SR-22 with the state be sure to tell any insurance company you get quotes with so you can verify they do offer this SR22 service.