INSURANCE

Question: After a car accident, I had my car repaired at a body shop my insurance company referred me to. But I'm not happy with the work - what should I do?

Answer: Start by talking with the manager of the body shop directly. Explain that you selected the shop on the recommendation of your insurance company and express your confidence that the situation will be resolved in a satisfactory and professional manner. Then, be clear about your concerns and what you would like the repair shop to do about it. A service-oriented facility will be more than willing to try to make things right. Further, in some states, repair shops registered with the state are legally responsible for safe and proper repairs.

But what if the repair shop is uncooperative? First of all, don't sign anything saying that you're satisfied with the work done on your car. Next, call the claims adjuster at your insurance company and ask the adjuster to work with the repair shop on your behalf. And, don't hesitate to ask for a supervisor if your adjuster is busy and isn't making the progress you're looking for. In some states, insurance companies that use preferred shops may guarantee the quality of the repairs from their referral shops - giving you the confidence you need when asking for their help.

If you still aren't getting anywhere, contact your state's insurance division and find out if you have any recourse (e.g., arbitration). As a last resort, you might think about hiring a lawyer if the damage to your vehicle was substantial.

Question: Is a broken windshield covered under my auto policy deductible?

Answer: Broken windshields and other glass are typically covered under the comprehensive coverage of an auto insurance policy. Comprehensive generally provides coverage for physical damage to your vehicle not caused by a collision with an object or another vehicle, but by a variety of other specific situations, such as fires, floods, or hitting a deer. So, if your windshield is broken but you don't have comprehensive coverage, the cost of replacing it will not be covered by your auto insurance. If you do have comprehensive, the cost probably will be covered, but to what extent depends on the details of your particular policy. Most drivers purchase comprehensive coverage with a deductible, in which case you would have to contribute a certain amount out of your own funds toward the cost of replacing your windshield. For example, if you have a $250 deductible, you'll end up footing half the cost when your $500 windshield breaks.

Question: I heard that some companies cancel people's insurance if they have just one claim. Is this true?

Answer: Actually, it's very unlikely that any type of insurance would be canceled after you file a single claim. However, filing a claim could increase your premium on certain types of insurance.

For example, your auto insurance premium will almost certainly increase after an accident, especially if you're at fault. The reason for this is simple: statistical evidence indicates that people who have had accidents in the past are more likely to have accidents again in the future. This means the insurance company could see another claim from you someday, so there is a logical reason to charge you more for insurance coverage.

The big question is how much your premium will increase. This is more difficult to anticipate, because insurance companies can use different formulas to calculate rate increases. In most cases, your auto insurance policy will not be canceled unless you have a certain number of at-fault accidents within a given period (e.g., two or three in one year).

Homeowners insurance premiums, on the other hand, are far less likely to increase after you file a claim. Most insurance companies do not increase homeowners insurance premiums after a single claim, no matter how large, particularly if the loss is caused by a natural disaster.

However, with a second claim under your homeowners policy, it becomes increasingly likely that your premiums will go up. This is especially true if you could have done something to prevent the loss. If you don't maintain your home properly, if it is somehow unsafe, or if you make multiple claims for similar reasons, you'll likely see higher premium rates.

There is one instance, however, when your homeowners insurance premiums will go up after a single claim. If the claim is for a dog bite, and you do nothing to improve the situation (e.g., fence your yard, etc.), your rates are sure to increase. Your insurer may even refuse to renew your policy in this case.

Question: I am adding my son to my auto insurance policy and he'll be taking one of my cars with him to college. What do I need to do?

Answer: If your son is borrowing your car to take it to college, he will probably be listed as the principal driver of that vehicle on your insurance policy. If he attends school out-of-state, your company will make sure that the coverage options match those that are required in that state. There is certainly a chance that your insurance company does not do business in another state, and in that case, you may need to purchase a policy for him on his own, while he's at school. If this is the case, you may find it quick and convenient to comparison shop online for his new auto insurance.

Question: Why do auto insurance applications include questions asking for credit information?

Answer: A person's financial responsibility simply reflects the way they pay their bills. Studies indicate that financial responsibility is a good predictor of future insurance claims. This means that, by using financial responsibility when evaluating applications, insurance companies are able to more accurately understand the risk involved.

When our partner insurance companies use financial responsibility, they don't actually look at the credit report. They are only concerned with the financial responsibility grouping that the customer falls into based on the information collected by the credit reporting service. The insurance companies' rating software interprets the information and reflects it in the rate offered. The rating goes on behind the scenes and the system does all the work.

Here are some facts about the use of credit by insurance companies in general:

• It is estimated that over 90% of insurance companies use credit/financial responsibility when evaluating applications.
• Credit is merely one of the factors that companies look at when evaluating applications. Others include driving history, years of driving experience, and the type of vehicle.
• Insurance company queries are counted as "soft hits," and will have no impact on your credit score.

Question: How do "points" affect insurance rates, and when do insurance companies check driving records?

Answer: In most states, the motor vehicles department has a "point" system, which is used to track accidents and violations that affect your driving record. Insurance companies will order a copy of your driving history once you have purchased a policy, in order to confirm the information that you provided on the application. Your company may also check your driving record when your policy is scheduled for renewal.

Each insurance company has its own method of evaluating applicants, so the points on your driving record may or may not have a direct impact on the rates you pay for auto insurance. And, you should know that only "moving violations" will affect your insurance rates. Parking tickets and other non-moving violations are not used by insurance companies.

If a review of your driving record uncovers negative information, there's a chance your insurance rates will increase. Insurers typically use their own "point" system to determine the amount of the increase (if any).

Question: My son has been driving without insurance for a few years. Now he wants to get it, but I'm worried. Won't he have trouble finding a company willing to insure him?

Answer: You're right to be concerned for your son, but he can probably find an insurance policy even if he's been driving without one for some time. The real question is: How much will it cost?

Before issuing a policy, insurance companies review a driver's record and prior claims history. They will check to see whether your son has any tickets in the past several years or whether he has reported an unusual number of accidents.

Some insurers might reject his application when they learn he does not have auto insurance. An insurance company has no obligation to issue a policy to a person who has been driving without insurance. Some insurers do not penalize a good driver who has gone without insurance, while other insurers will issue a policy, but possibly at a higher premium than they would charge a driver who is not considered high risk. Your son should compare rates and payment plans from several companies - and ask about discounts that may be available to him as a safe driver.

Question: Should my 80-year-old father still be driving?

Answer: It depends on your father's abilities. If his eyesight, hearing, and reflexes are still "youthful" - and you feel comfortable riding in the car with him - there's no reason he should not be driving. Numerous states have instituted more stringent license renewal policies for older drivers, such as more frequent and in-person renewals, eye tests, and driving tests upon reaching a designated age. You may want to go along for his next license renewal.

When measured by crashes per mile driven, drivers between the ages of 25 and 64 have a fairly constant rate of accidents. This rate begins to rise at age 70 and goes up rapidly at age 80. Drivers 85 and older are more likely to be killed in a crash than any other age group. So, making a decision about driving becomes more important every year.

One way your father can improve his skills - and perhaps reduce the cost of his car insurance - is by taking a driver improvement course. Many states require insurance discounts for drivers (usually those over 55) who complete a state-certified course, while other states allow insurers to offer voluntary discounts for those who complete such a course. An insurance agent can provide information on available discounts and course requirements.

Question: I'm buying my first car. Can you give me some tips on finding a good insurance company?

Answer: Many insurance companies issue automobile insurance, so you should have little trouble finding a good one. There are many shopping options when looking for insurance:

• Shop online to compare multiple companies and rates at once. You'll save time and probably money as well, if you take the time to shop around.
• Contact a local insurance agent. You may want to look for an independent agent who can explain coverage and give you quotes from several companies. The best way to find a good agent is by asking for recommendations from people you know.
• You can also purchase insurance from a company that sells directly to consumers rather than through local agents. Remember that your profile will be a good fit for some companies but possibly not for others. This can result in quite a big variance in rate quotes. Shopping around will help you find the policy that's right for you.

Compare premiums offered by various companies and look for high customer service standards and financial strength. The ability to pay a claim promptly will be important if you're ever involved in an accident. Resources for researching insurance companies include state insurance bureaus and consumer reference guides.

Finally, you should ask about discounts. You may receive a multiple policy discount if you purchase your auto insurance coverage through the same insurer that covers your homeowners or renters insurance. An insurer may also offer you a discount if you have a safe driving record or have completed a driver's education course. And, if you are insured on a parent's policy today, that counts as "prior insurance" when you're completing an application for a new insurance policy of your own.

Take the time to compare multiple companies and rates to make the decision that's right for you.

Question: What is gap insurance and do I need it?

Answer: Whether you lease or finance your car, gap insurance can provide valuable protection during the early years of your car's life. As we all know, a new car's value drops the minute you drive it off the lot. And unfortunately, if your car is totaled five minutes after you buy it, your insurance generally only covers the actual cash value of the car. So, there's a good chance the insurance check isn't enough to pay off your outstanding lease or loan balance, unless your insurance company offers Guaranteed Replacement coverage.

Gap insurance was created for just such a situation. If a "total loss" occurs (the car is stolen, costs more to repair than it's worth, etc.), gap insurance will pay the difference between the actual cash value of the car and what you owe on your loan or lease. Some lenders and leasing companies actually require you to carry gap coverage until the outstanding loan/lease amount drops below the value of the vehicle.

If you decide to purchase gap insurance, make sure you don't keep the coverage for longer than necessary. Once the outstanding balance on your loan or lease drops below the value of your vehicle, gap insurance becomes an unnecessary expense.

Gap insurance is typically not very expensive, since the coverage amount is relatively small. However, the cost will vary depending on the type and value of the vehicle you purchase, and from one insurer to another.

Question: I live in the city and rely on public transportation, but I occasionally borrow or rent a car for trips to the city. Should I have an auto insurance policy?

Answer: With the rising cost of fuel, insurance, and automobiles, more and more urban Americans are choosing to use public transportation for day-to-day travel. But when it's time to flee the city, you probably find that a car is the easiest way to get where you want to go. If you drive at all, it's a good idea to have an automobile insurance policy - even if you don't own a car.

Many insurance companies offer a "nonowners policy" for people who drive occasionally but don't own their own car. Nonowners policies typically include liability, medical payments, and uninsured/underinsured motorist coverages. Non-owners policies do not include comprehensive, collision, towing reimbursement, or rental reimbursement coverage.

You can get approximately the same coverage if you buy the limited coverage offered by car rental companies. But if you rent a car for more than, say, 10 days per year, buying a nonowners policy is usually more cost effective. A typical nonowners policy will cost from $300 to $500 per year, depending on where you live, your driving record, and various other factors.

What's more, a nonowners policy provides coverage for any car you drive, not just rental cars. If you borrow a car from a friend and get into an accident in a borrowed car, your friend's insurance would kick in first. But if, for example, the accident was your fault and the damage to the other driver's property exceeded the liability limits on your friend's policy, your nonowners insurance policy would cover the excess (up to policy limits).

Question: My child is heading off to college this fall. What insurance issues does this raise?

Answer: As you send your children off to college, you probably have a lot of things on your mind - whether they'll eat right and get enough sleep, how to pay the tuition bills, what to do with that empty bedroom, etc. For most people, insurance concerns are pretty low on the priority list. But there are some important issues you should consider.

Issue #1.  Health insurance - make sure your child is covered.  Your medical plan probably covers your children until they're somewhere between 20 and 24 years of age, regardless of whether or not they live at home. But if the plan is an HMO and your child's college is far from home, accessing an approved provider may prove difficult. As an alternative, consider purchasing health insurance coverage through your child's college. Many colleges and universities offer low-cost health insurance for students. Cost and level of coverage vary greatly from one school to the next, but school-subsidized health insurance is often less expensive than continuing coverage through your existing health plan. And since health care is typically provided on-campus, it may be easier for the student to access.

Issue #2.  Homeowners/Renters insurance - make sure your child's possessions are covered.  If your child lives in a dorm or other university housing, their personal property is typically covered under your homeowners insurance policy. Check your policy for coverage limitations on computers and stereos. Once a student moves out of the dorms and into an apartment, they may still be covered under the personal property limit of your policy. If not, off-campus students should purchase renters insurance to cover their possessions.

Issue #3.  Auto insurance - make sure the car is covered.  If your child will be taking a car to school, make sure the car is properly insured. If the child owns the car, then the insurance policy must be in the child's name as well. If the child is "borrowing" a car from Mom and Dad, the child must be listed on the insurance policy. Some insurance companies may require the child to be listed as the primary operator, since the car is in the child's possession and not the parents'.

Question: I am buying a used car that is worth only a few hundred dollars. Do I need to insure it?

Answer: A standard auto insurance policy is a package of different kinds of coverage. You generally have some flexibility in terms of both the types and amounts of coverage you select. However, practically every state has enacted insurance laws that require drivers to carry at least some auto insurance. Many states even require that you present proof of insurance before you register a car. So the short answer to the question is that you will probably need to insure your car, regardless of its value.

Almost every state requires that drivers carry liability insurance or Personal Injury Protection (PIP) coverage. The liability coverage section of an auto insurance policy provides financial protection from liability claims against you when you (or certain other people) cause an accident that results in bodily injuries to other people and/or damage to their property. Every state has mandatory minimum levels of coverage in this area. The rationale behind such laws is that at-fault drivers should be able to compensate victims who suffer accident-related losses. But the required minimums in most states don't even come close to covering the costs of a serious accident. Consequently, if you wish to be adequately protected from liability claims, your liability coverage should probably exceed your state's requirements.

Other coverages are required in some states and optional in others. Medical payments coverage and uninsured/underinsured motorist coverage are two such coverages. Medical payments coverage covers medical expenses incurred by you, your family members, and your non-family passengers. Uninsured/underinsured motorist coverage covers losses you and others suffer as a result of an accident caused by a driver who either has no insurance or insufficient insurance. If buying these coverages is optional in your state, base your decision on your needs, circumstances, and other factors. Consult your insurance agent for more information.

Collision and comprehensive insurance is optional in virtually every state. The collision and comprehensive section of your policy covers physical damage to your own vehicle resulting from collisions and a variety of other causes (e.g., fire, falling objects). It may also cover losses associated with theft. However, your car's value plays a big part in assessing your need for this type of coverage. It may not be cost-effective if your vehicle is worth less than $1,000 because you'll have to satisfy a deductible, and the most you'll receive (even if your car is totaled) will be its actual value (i.e., after depreciation). That's not much, especially taking into account the premiums you would have been paying for coverage.

Question: If someone borrows my car, are they covered under my auto insurance?

Answer: As a general rule, auto insurance coverage actually follows the vehicle, not the driver. So if your car is involved in an accident, the car typically receives the full coverage provided by the auto insurance policy, regardless of who is driving.

Auto insurance policies normally provide coverage for your car if it is driven by anyone to whom you lend your car.

Your insurance company may require that certain conditions be met in order for other drivers to be covered under your policy. For example, anyone who drives your car must typically be a licensed driver. Additionally, most insurance companies require that anyone driving your car be doing so with your permission. This doesn't mean that you have to give explicit permission each time someone takes your car for a spin, but the person driving must have a reasonable belief that he or she is entitled to do so.

Because these conditions can vary, it is important to check your policy carefully and make sure you understand any limitations that might apply before you allow others to drive your car.

Question: I forgot to pay my auto insurance premium last month. Will my policy be canceled?

Answer: Each state has its own rules governing the cancellation of automobile insurance policies. You should check your personal auto policy for information about when, how, and for what reasons coverage can be terminated.

If you fail to pay your premium on time, your insurance company has the right - after providing you with the legally required notice--to cancel the policy. Some companies may send an overdue notice, asking you to pay the past-due premium plus a late fee. Other companies may send a cancellation notice, stating that if payment is received prior to the effective cancellation date, your coverage will be considered "reinstated" and will remain in-force.

If you are sent a notice of cancellation, it will inform you of the date and time the cancellation will take effect.

It may also be possible for you to reinstate coverage after the effective cancellation date by paying the overdue premium and perhaps an additional sum. However, it is likely that you will not be covered for any accidents between the effective date of cancellation and the date of reinstatement.

Many companies accept online payment and payments by phone - so, if you've missed a payment, call your company or check online as soon as you remember.

Question: Why do certain vehicles cost more to insure than others?

Answer: Insurance companies consider the likelihood that a particular vehicle will be stolen, vandalized, or involved in an accident. They also track the costliness of repairs. Insurance companies obtain their information by consulting various claim statistics. The Highway Loss Data Institute, for example, indexes the amount of money insurance companies have paid out (on average) for collision, injury, and theft claims for various types of motor vehicles. Therefore, the vehicle that is most attractive to thieves across the country will probably be more expensive to insure than the one that is stolen least often.

In addition to these industry wide statistics, insurance companies consider their own experience with claim payouts. For instance, if one company has paid numerous claims regarding a particular vehicle, it may charge higher insurance rates for that type of vehicle than another company would. For that reason, it's wise to obtain quotes from several insurance companies before insuring your vehicle.

Note: In some cases, the state, not the insurer, decides how each vehicle is rated.

Question: I'm moving to a state with "no-fault" auto insurance - what exactly does this mean?

Answer: The shortest explanation in broad and simple terms is that it means your car insurance company will pay you for your injuries or damaged property resulting from a car accident, regardless of who caused the accident. In that sense, "no-fault" insurance is different from "at-fault" insurance, in which the car insurance companies pay based on a decision about who caused the accident.

A more formal explanation is that most states have what is called a "traditional tort liability system," otherwise known as an at-fault system, for auto insurance. Under this system, fault is determined by the legal principles of "provable negligence." Thus, if you cause a car accident, you are legally responsible (liable) for the damages, hence the term "liability insurance."

In 12 states (FL, MI, NJ, NY, PA HI, KS, KY, MA, MN, ND and UT), people are either required or allowed to use a no-fault system. Under this system, in addition to payment irrespective of the determination of fault, the law places limits on the ability of people who are hurt in a car accident to seek monetary recovery from the owners or operators of other cars involved in an accident. For medical payments and lost wages, many no-fault systems only allow the person incurring those expenses to sue for damages that are not covered by their own insurance. For pain and suffering, most no-fault systems only allow the injured person to sue if they suffered "serious" injury.

Kentucky, New Jersey, and Pennsylvania have "choice" no-fault laws; people can choose between at-fault and no-fault systems when their policy is written or renewed; once the choice is made, it can't be changed unless the policy is rewritten. In both Kentucky and New Jersey, people are assigned the no-fault option unless they specify otherwise. In Pennsylvania, however, the at-fault option is the default.

The idea behind no-fault insurance is that it can lower premium costs by reducing lawsuits regarding the cause of an accident, and at the same time provide quick payments for injuries.

Question: I'm marrying someone who has a poor driving record. Will my insurance premium go up?

Answer: If your fiance has a poor driving record, you can expect it to affect your insurance premium after you get married. Your automobile insurance policy covers you, your spouse, any other named insured under the policy, and any licensed driver in your household. If any of those people have a bad driving record, it will affect your rates.

Of course, insurers consider marital status when calculating risk, so the very act of tying the knot may improve your future spouse's risk profile. But if his or her driving record is really bad, you may want to consider additional strategies to stave off a hike in your premium.

If you arrange to purchase all of your insurance policies (including your homeowners policy) from one company, you may benefit from multiple car and/or multiple policy discounts. Additionally, in some states, your future spouse can take driver safety courses to improve his or her driving record. Further, with a combined income, you might be in a position to raise your deductibles to keep your premium down.

Your fiance may also qualify for a low mileage discount by using public transportation for his or her commute to work. If all else fails, you may be able to use a "named-driver exclusion" clause after you're married to exclude your spouse from your insurance policy. But be careful: that means your spouse is not covered by your insurance company to drive your car. Your spouse could insure his or her car separately, and if it is an older model, waive collision and/or comprehensive coverage. Whether any of these strategies will work for you depends on your circumstances. Your insurance agent can discuss all of your policy options with you and make recommendations.

Question: What is an SR-22 Financial Responsibility filing?

Answer: An SR-22 filing is a car insurance form, required by many state Departments of Motor Vehicles (DMV) in certain situations, that provides proof of state-mandated liability insurance.

Often, a DMV will require an SR-22 form to be filed when a driver is caught without insurance after an accident, or for a serious traffic offense such as a DUI. The driver usually must have an insurance company licensed in their state file an SR-22 on their behalf before they can reinstate their license or register their car. The insurance company must notify the DMV if the policy lapses or is terminated for any reason. If it is, the license of a driver will usually be suspended until they can provide proof of insurance that complies with the SR-22 requirements. In most states, the driver must maintain an SR-22 for a certain period (usually three years) from the end of license suspension or revocation.

In addition, many states require you to fulfill the requirements of the SR-22 even if you move to a different state. The minimum liability limits of the state requiring the SR-22 may also be kept in force for your new insurance in this situation.

Not all insurance companies offer to file SR-22 forms, although many do.

Question: My teenager just got his license. How can I insure him without going broke?

Answer: As you have probably discovered, insuring a teenage driver can be very expensive. Drivers under the age of 25 pose the greatest risk to insurers because of their high level of at-fault accidents. The least expensive option would probably be to add your teenager to your existing auto insurance policy once he gets his permanent driver's license. Although this can still be an expensive prospect, your teen might be able to take advantage of certain discounts as a driver on your policy (e.g., Good Student, Safe Driver, and Minor Child discounts, if eligible).

If you drive an expensive vehicle, it will be even more costly to add your teen to your policy. In this case, you might want to help your son buy his own car (a safe but used economy model, of course) and insure it in his name, rather than add him to your own policy. Older vehicles generally pose less risk to insurance companies, because repairs tend to be less expensive than repairs to newer models. Lower risk for the insurer typically translates into lower insurance premiums for you.

To determine your most cost-effective option, compare some vehicles online or contact your insurance company. If you're thinking about purchasing a used car for your teen, be prepared with the make, model, and year of the cars you're considering. This way, you can get accurate, comparison insurance quotes, to help you decide whether to purchase separate insurance for your son or add him to your policy; they may also help you decide which car to purchase, if you go that route.

Question: My car was totaled in an accident. Is there anything I can do to get it back or at least get a larger settlement amount?

Answer: An auto insurance company's decision to declare a car a total loss is based on two factors:

• The value of the car.
• The amount it would cost to repair the covered damage Basically, if the cost of repairs exceeds the car's value, the insurance company will declare your car totaled and give you a cash settlement rather than pay for the repairs. So a relatively minor accident could be enough to total an older or inexpensive car, while a very serious accident may not cause a more expensive model to be totaled.

When your car is totaled, the insurance company has an obligation to "make you whole," as that is defined in the policy. This essentially means you have to be left in approximately the same financial position you were in before the accident. To accomplish this, the insurance company will typically write you a check for the actual cash value of the vehicle, minus any deductible on your policy. After the settlement is paid, the damaged car goes to a salvage yard, where it is typically auctioned to the highest bidder and used for parts. The insurance company keeps the proceeds of this sale.

If you want to keep your damaged vehicle, some insurance companies will forgo the auction process and turn the car over to you (usually in cases where the car is over 10 years old). They will still have to pay you the actual cash value of the car, minus any amount the car would have brought at auction. At that point, it is up to you to pay for the necessary repairs. If your insurer allows you to do this, you will have to inform your insurer right away if you want your car back. Once it goes to the salvage yard, you'll have little chance of getting it back, since only licensed auto salvagers are normally allowed to attend these auctions.

Even if your insurer allows you to keep the car, it may not be worth the time and expense to get it back on the road if your state has a number of special requirements you must satisfy (e.g., buying a salvage title or having the car inspected by the state police after it's been repaired).

Question: I go away for the winter to Florida and don't bring my car. Can I get my auto insurance suspended to save money?

Answer: Of course, everyone wants to save as much as possible when it comes to auto insurance. But it's important to remember that auto insurance is not just coverage for accidents that happen while your car is being driven. Different parts of your auto insurance policy serve different purposes, so the question is really more complicated than it appears.

Collision coverage, liability coverage, uninsured/underinsured motorist coverage, and medical payments coverage are what most people think of when they hear the phrase "auto insurance." Each of these coverages protects you against some aspect of a potential automobile accident. But comprehensive coverage is another important part of your auto insurance policy. Comprehensive coverage insures you against damage to your vehicle caused by events other than an accident - for example, fire, theft, flooding, or vandalism. Any of these things can happen to your car, even when it's not being driven. The risk of certain occurrences, such as theft and vandalism, may be heightened if your vehicle will be parked outside an unoccupied house for any length of time. So, the basic answer to your question is that you might be able to suspend part of your auto insurance if your car won't be driven for an extended period of time, but it would be unwise to cancel your policy entirely.

Now the question is whether your auto insurance company (and your state) will allow you to temporarily suspend part of your insurance coverage. Most states require that all registered vehicles carry a minimum amount of insurance coverage, so suspending your coverage may also mean dealing with the hassles of suspending or canceling your registration (and reinstating it when you return). And even if the state does have a system that allows this, your insurance company may or may not be willing to allow you to suspend part of your coverage temporarily. To find out for sure, you'll need to contact your insurance company and ask. One more important consideration: if you have an outstanding car loan on your vehicle, the terms of the loan probably require that you keep the car fully insured. Check your loan documentation carefully before you take steps to suspend your insurance coverage.

Maybe your insurance company is unwilling to suspend part of your coverage, and you think there's little risk that your car will be damaged or stolen from your garage while you're gone. Whatever you do, don't think that you can simply stop paying your premiums, let the insurer cancel your policy, and then purchase a new policy when you return from your winter in Florida. That will almost certainly end up costing you more.