With more than 200 years of combined experience writing car insurance in New Hampshire, Holt Proctor McBriarty Insurance Agency in Milford has answered many questions over the years about car insurance.
Here is a list of some of our most frequently asked questions in regards to personal auto insurance in NH:
1.My car is getting older so the cost of my insurance should go down.
False: Most companies base the price for the collision and comprehensive coverage on a symbol, which typically represented by a number. Generally speaking, the higher the number, the higher the cost of insurance. This symbol does not change as the vehicle gets older, so therefore your collision and comprehensive rates do not go down either over time.
2. Because my car is getting older, I don't need to keep collision coverage on it.
True: If you are in an accident, your company will pay you the LESSER of the actual cash value (ACV) or the amount necessary to repair or replace the vehicle with another vehicle of like kind and quality. If it is cheaper for the company to pay you the ACV than to fix the car, then then will do so. One resource to determine the current ACV of your vehicle would be to go to http://www.nadaguides.com. Compare that information with what you are paying in collision coverage to make the best decision for you. BUT...... this answer may be
False: In New Hampshire, most drivers are not required to have car insurance. If you get in an accident with someone who does not have insurance and you do not have collision coverage, then you would be on your own in trying to collect for the damages to your car from them. This can be a problem if you are involved in a hit-and-run accident as well, because though you may not be at-fault, you would end-up with paying out of your own pocket for the repairs.
3. My teenager is away at school, so I can finally take them off my insurance.
False: Your auto policy insures you, the named insured, as well as your "family members" who are a resident of your household. If your child is at school and you continue to financially support them, they are still considered part of your household and should not be removed from the policy.
Though this may seem unfair, your policy can extend benefits to your child, even if they do not have their own car. Examples of this include if your child is hit by a car as a pedestrian or is injured as a passenger in a vehicle without insurance or with inadequate limits.
The good news is that If your child is more than 100 miles away at school without a car, most companies will add a significant credit to your car insurance as it is assumed that the teen's usage of your cars will be minimal.
4. If I file a claim, my insurance will go up.
True: This is the short answer because if you file a claim where you are found at-fault, then most likely your premium will go up, BUT.....
most companies do not increase your premium if you are in an accident where you are found not to be at-fault, or if you have a broken windshield, or hit an animal. Regardless, you may want to always file a claim if you have a car accident because if you decide to start paying a claim out of your own pocket, but then decide that it is too much to pay for on your own, the carrier can deny paying the claim for late reporting.
5. I don't want to buy a red car because they are more expensive to insure.
False: We have never worked with a company that uses the color of your car as a factor in determining the price of auto insurance. As discussed in question #1, the cost of your car insurance is in part determined by the symbol.
That said, perhaps people who buy red cars are more likely to speed. Speeding tickets do impact premium so perhaps this is where this myth began.
If anyone has any other questions they would like Holt Proctor McBriarty Insurance Agency to address in our blog in the future, please feel free to e-mail me directly at firstname.lastname@example.org.
The information presented in this blog is based on our experience with most of the insurance companies we represent. It is no way intended to interrupt coverage for any or every company, but instead get the reader thinking about possible coverage issues. For a personal review of your policy and coverage, you are encouraged to contact your agent or company directly.