bblhed

You are getting your lisence at age 22 in NYC? Most of the people from the left coast might not understand why I am asking this, but aren't you a little young?

Also why don't you see if you can get a garage in Folral park, or Carona to say you are parking there? In the city it is normal for people to park 20 to 100 blocks from home fro a better parking rate, so why not see if you can get a garage in a lower rate neigheborhood to say you are parking there? Carona or some place like that is probably going to be your best bet, you can say you only use the car to go out of the city, crime rate and population density is lower out that way, and you are more likely to find someone willing to do it for you. I would be willing to bet you could find a "Parking sopt" by spending 20 minutes in front of The Lemmon Ice King or any of the other fine establishebments in that area. I recomend eating at the Park Sider wile you are out that way, great food, just be dressed proper. Then desert at the lemmon ice king.

dp-_-

spikey is hit it pretty much on the head. There are some things that can be changed though.

Regarding who would be paid the insurance claim check, if the car is registered under your name, you would be listed as the additional interest therefore you would get the check. Much like how a leased vehicle lists the financing company as the lien holder AND additional interest. This, however, would only work out if you are not on the auto policy. Simply put, if she went to a non-standard company that allowed vehicles not registered to the named insured, she(or the insurance agent/broker) would list you as the additional interest so that you would be the one recieving the claim check. The only restriction is that if you're on the policy, then the policy holder would obviously be given the check based on the assumption that the named insured would give the check to the actual owner of the vehicle. If you & your aunt are not speaking and she refuses to give you the check, sue her ___, it's theft.

Second, what he said about the vehicle being registered to the named insured usually only applies to standard companies (like Geico, Farmer's, 21st Century,etc. the ones you see ads on TV for). Some non-standard companies, however, will allow the exclusion of a registered owner.

Your situation is fixable, but it's going to take alot of research. I would stay away from standard companies in your case and go with a non-standard one through a broker. BE SURE TO RESEARCH THE COMPANY ON CLAIMS PAID, FINANCIAL STRENGTH, ETC. Most non-standard companies can be complete crap to deal with.

BBLHED
Could you explain how he would be considered young to this left coaster I would consider him old as he could have had his license 7 years ago.

Lastly, I just re-read the first post and thought I might actually answer those questions.

I live in CA, so this might be completely different from new york. You are not required to have a license from the same state that you wish to register the vehicle in(or apply insurance either). Again, I stress that you need to check this out as I live in CA where we don't give illegals licenses yet we allow them to register the vehicles and obtain insurance....ironic isn't it?

If what spikeymike said was completely true, there would be no/less illegal immigrants in CA as the ways and means of living would be nearly impossible to come by. It would mean no insurance for any of them. The illegals with legal families usually have the legal person buy the vehicle, then insure it themselves. Non-standard companies help the more unfortunate/less responsible people make it without having to pay massive premiums. They take the risks that standard companies reject for the very reasons presented in all the previous posts. Now from a standard company stand-point, then yes what spikeymike said was pretty much completely true (pretty much b/c I myself don't know if it's 100% true otherwise I would say it was).

Also, if she were to place the insurance on the car, guess who will now have to buy the car to take delivery from the dealership. That, of course is unless you're on the policy (which I assume you would be as you would be stretching "permissive use" coverage quite a bit i.e. fraud)

I've been in the insurance business for a year. In that year I've advanced through the brokerage I represent by starting in the underwriting deptartment at our corporate headquarters(the dept. that makes sure the risk is acceptable per the company's guidelines) for 6-months, then moved to the fax desk at one of our offices to learn how we dealt with our dealerships (we place auto insurance for people on the spot at the dealership if they don't have full coverage insurance), and how the office-side vs. corporate-side of the company works.

Now considering that we offer over 50 different insurance companies that we can place a client with, and I had to learn the guidelines for every single one of them in order to underwrite, you can pretty much trust what I'm telling you. I learned the system and am now exploiting it by using different methods of avoiding high premiums all while keeping those methods within the insurance company guidelines. :D Most companies give bonuses for their sales agents for having "perfect" or "clean" files...files that don't uprate/aren't rejected/have all supporting documents/etc. Out of the two months that I've been selling insurance, I've had 4 "problem" files. And 2 of them were problems that I saw and just didn't care enough to fix as I was at a dealership writing the policies and when you're dealing with a customer that has been at a dealership for the past 3 to as much as 6 hours buying this car who is hungry, sick of signing documents, can't believe they just bought a car, can't believe that they now have to buy insurance, and really have just been stressed to the point where they literally just want to hurry up and leave.

These two problems were 1) forgetting to exclude a household member, & 2)I filled in a date wrong meaning he technically was our customer the day before the policy was actually in effect. Both of these "problems" were easily fixable. Anyway, the point that I'm getting at is that I've had a total for 4 and an agent who has worked for the company for 4 years and who used to be a manager for another one of our offices has had 24 problems with his files in the same time span. Short story that turned out long instead: I know what I'm doing even though I've had what some would consider little experience.

I'm not bagging on degrading the knowledge of spikemike as from what he has said, he seems to be very knowledgeable; but all he knows is standard insurance (as far as I know) and I'm pretty sure he would say that standard and non-standard are almost completely different. He gets to deal with people with mostly clean driving records, always pays their bill on time, hold multiple policies, etc. I get to deal with people who have had 4 accidents in the past 3 years and wonder why and complain that I'm ripping them off when they have to pay 300+ a month for their basic liability only policy (not to mention that out of the 50 companies we offer, 49 of them reject the risk as an unacceptable driver). The people that have to split up a $200 down payment, the people that literally have NO license what so ever, the people who own a house and only want basic liability insurance exposing themselves to incredible financial loss.

Like I said, there's ways around it, but I doubt that the standard company way will help. Unless of course you they give you sound advice

spikeymike78

dp- some of what u said.. and know... sounds like you the companies u work for have a very laid back or casual approach to the underwriting aspect... to you.. it may seem if your company is strict... but i will admit.. GEICO... doesnt play games when it comes to underwriting...

if you could actually visit one of the regional offices.... and see how many different departments are within any one given underwriting floor... forget it.... anything from Inspection dept, Renewal dept, Underwriting department, Movedown dept, Reissue dept, move up dept [for better rates], personal umbrella dept, cancel/re-write dept, NH/CT underwriting dept, NJ und dept, etc... the list is endless.

actually if u think about it... ... since you dont sell geico insurance in fact you may actually refere it.. and if u do deal with geico... .. you only deal with the assigned risk pool.... because geico sells directly to the insured.. cutting out the middle man and lots of unecessary costs... i have actually seen many a broker.. or agencies fraudulently try to pose as geico.. and sell geico policies.. those agents and brokers usually end up with pretty fines, lost agent/producer licenses or jail time lol
but anyway.. back to

geico has 3 different companies they write insurance for... depending on the risk... i have dealt with all.... standard and non standard... or aka... preferred risk and non preferred risk..

well to be honest geico has 4 companies but they are spread out into 3 actual differently risked levels.

GEICO [GE Policy]
GEICO GENERAL [GG Policy]
GEICO INDEMNITY [GI Policy]
GEICO CASUALTY [GC policy]

GEICO Assigned Risk [policies that are sold thru the pool.. and all or most insurance companies take on this sort of risk.


in regards to the insured being the registered only... in whole that is true... in every situation there is also an exception

a parent can have a child living under the same household be the sole owner of a vehicle... [ meaning if son named jimmy lives with his parents and he is 19 yrs old and ownes a 98 civic... he as an acception can have his car added onto the policy of his parents]

but a 29 yr old son who soley owns a vehicle wanting to add it to his moms policy is a strict no-no.

all insurance companies.. have different underwriting guidelines... or rating structures... from my experience GEICO has a great rating and tier placement structure..
who has the best rating structure?? Progressive... but they arent the best at customer service... orother areas...

i honestly think if anyone... kid or adult is going to pay anywhere from $3000 or more for insurance every 6 months.. they might as well just buy a Huffy or use mass transit.. because they will end up paying for a brand new car in insurance payments alone... and how does that sound lol

i honestly feel bad for people who live in the high rate areas.. like Brooklyn NY and Queens NY... who just for liability only policies... and great driving records.. pay at least $2000 every 6 months.. just because of where they live... which then usually equals out to alot of policies rated for Upstate NY.. with local NYC contact numbers or with nyc/long island mailing address only addresses lol

spikeymike78

back to the original post by stealth...

stealth.... have u had your license revoked?? suspended?? what kind of convictions do u have on ur motor vehicle report?? accidents with more than 67% negligence? first time insurance customer?? insurance lapses??
bad credit??? live in one of the 5 boroughs in NY?
there are probably over 100 underwriting characteristics that go into figuring your insurance rate...

ill tell you a few that are figured into a GEICO rate... regardless if u end up in the standard or non standard companies...

-credit
-age
-sex
-driving usage what kind? work school pleasure?
-rated location [what zipcode is the vehicle kept in]
-highest level of education
-occupation
- additional operators
-youthful operators
-prior insurance coverage?
- prior insurance lapses?
-license status... [restricted, cdl, etc]
-moving violations/convictions
-at fault or not at fault accidents
-what were ur limits of coverage at prior company? [low limits or minimum limits are frowned upon]
-homeowner?renter?

and so on.... yes these are all factors that go into a rating of a policy... at geico..

other insurance companies may use different underwriting characteristics to rate your policy... but majority of them are now using the same.. to be more competitive.
-

spikeymike78

thank god my insurance... is only $350 every 6 months for my 06 tc...

i live in wilmington nc.. which has the biggest cause of my rate...

but i have limits of

Bodily injury liability $300,000 per person /$300,000 per occurence
Property Damage liability $100,000 per occurence
Medical Payments $10,000
Combined UM $300,300/$300,000

Comprehensive deductible at $0.00 [yes i have the lowest deductible possible basically... i pay nothing in the event my tc is subject to fire, theft, vandalism, glass, animals, storms.. remember the lower your deductible the higher the cost of insurance premium]

Collision deuctible at $100.00 [for hitting a solid object.. ie: mailbox, another vehicle, telephone pole, guard rail]

Mechanical Breakdown Insurance aka MBI aka Geico's bumper to bumper extended warranty... which is not financed into my car payment... basically covers everything except normal wear and tear.. this coverage beats almost every dealer extended warranty.. on price and coverage.

Towing coverage... up to $100 onsite labor at breakdown, lock outs, flat tires, jump starts, etc

Rental Reimbursment aka Loss of use- up to $1500 limit to get me a rental car for 30 days if my car is involved in a covered loss... ie: vandalism... collision... etc

spikeymike78

maybe looking into a used car... wont be a bad idea

bblhed

For those on the West cost, as far as that goes anyone that doesn't live in the NYC area this may be hard to understand and may even shock you but there is really no need to ever get a lisence. Most people that live in New York City go their entire lives without a drivers lisence. Unlike most places in America getting a lisence at 16 is not an automatic rite of passage, in fact you can not even drive in the city until you are 18. The mas transit system in the city rocks and you can get just about anyware worth going with a $10 metrocard. As a result most people don't get a lisence until they are in their late 20s to early 30's and even then it isn't to drive in the city. If you had to pay $18,000 to $30,000 a year just to park you wouldn't get a lisence either.

dp-_-

And there you have one of the main differences between standard and non-standard companies. They don't mess around and don't play games which is why your rate with a standard company is usually higher. (In my experience except those with clean driving records)

Also, the examples of the limits of insurance that spikeymike gave are another prime example of the differences of Standard vs. Non-Standard.

Coverages like Mechanical Defect, medical payments of over $5000 (most non-standard pay $1000 tops....many don't offer it at all) are almost NEVER AVAILABLE with non-standard companies. Standard companies can afford the risks which is why they're so picky with their guidelines and acceptablitiy of insured. They don't mess around because they don't want to pay, but it doesn't mean that they won't. They're in the industry to make money, just like any other industry with anything else. A high risk driver (one with multiple tickets/accidents/claims) will reject that client with no regrets. Almost no one wants to accept a risk that is almost guaranteed to pay out. (I say almost because we turn to standard company Progressive for risks with more than 2 accidents within 3 years - they took this 55 year old guy that I wrote that had FOUR accidents in the past 3 years and 9 in the last 7-years...)

I too have seen many a broker/agent spend jail-time/pay fines/etc. due to the fraud that they commit doing the things that they do, but personally speaking, this is why I went into the underwriting dept.....so I could learn about the companies we offer and exploit their cost saving guidelines.

Also, what spikeymike said about the middleman fees and such is 100% true. There always is a fee associated when you're dealing with a broker, but this fee is negotiable and so long as you're active and paying attention to the details, it should be ok with you so long as the fee is cost effective in your eyes.

In my example of the 21 year old driver driving an Expedition. Had I not used the company that I placed him with expolit, the lowest rate that I could get was $340/mo. or $4080/yr. By using that exploit, I dropped it to $145/mo or $1740/yr, with 5 times the limits of liability & some uninsured motorist protection. In doing this, I collected the maximum fee that I'm allowed to charge of $500 so his total on the year was $2240. In this case the fee was completely justified in my opinion....not to mention that if he chose to continue and renew his policy, it would be a bit less than $1740/yr (subtract a renewal discount).

I consider myself a "rare find" when it comes to brokers. I life by the phrase, "you scratch my back, I scratch yours." in regards to the insurance industry. I keep you happy, you keep me happy by coming back and buying additional or renewing your policy. Most agents/brokers go the screw them the first time route unfortuantely. Why do you think most insurance agents & companies are regarded as sleezy and/or crooks? We're (They're) often compared to the likes of a car sales man.

The worst story that I've heard coming from an insured due to a broker completely screwing her over:

Boyfriend had international license, broker changed the license to a CA one to make him acceptable to the insurance company. The broker collected the submittal amount and charged a $250 broker fee. The insurance company requested a valid copy of the CA license, when they found out he never even had one, they covered her for 2 months (the submitted amount included in the down-payment) and then cancelled the policy. Therefore, the $250 that was charged by the broker was a complete waste.

Now, there is a resolution to this as what the broker did was completely illegal. What could and would happen to the broker pending she reported what happened to the dept. of insurance, would be the $250 would be returned, she would be fined, and the dept. of insurance could go as far as revoking her license and putting her in jail. (which is exactly what I told the customer to do)

Now considering these consequences, there are still brokers/agents that risk this just to make a quick buck. So like I said, BE CAREFUL. Jones family insurance vs a big brokerage like Automotive Insurance Specialists, Eastwood, Southcoast, Survival, etc. (all CA brokerages btw, sorry.) would be setting yourself up to get screwed over by an example similar to what I've just given you. Major brokerages would not and do not wish to expose thier entire corporation to be red tagged and shut down by their state's dept. of insurance.

deepfrieddoggie

Yea, I'm aware of this already and it makes sense.


There's a lot of good information in this thread for everybody, especially from spikeymike and dp. Thanks for the info.

There has got to be a reason why this guy is getting an $8000 quote though, one that isn't based on just location alone. If it were just because he's in NYC, cabbies and The Donald would be only ones driving.

dp-_-

WOW, to hell with that.

I had a feeling that mass transit was a reason for your comment earlier

In CA, I advise EVERYONE to get their license at 16 wether or not they're going to be driving. California Good Driver Discount (20%) only applies with at least 3 years of verifiable driving experience. A $2000 policy would only be $1600 and if you have continous insurance in those 3 years (at least 1 year usually for most companies) you can get a 5 - 15% discount on top of that. And let's face it, when you're 19-23 and you're saving 20 - 35% on insurance while being a full-time student, living on your own, etc., It can only help.

Those of you that don't have kids yet, get them their license the day they turn 16. You'll thank me when you have to pay for thier insurance down the line.

wibblywobbly

If I were you I would buy an 800$ beater car....

Even if you can register in Massachusetts (which is up there with New Jersey as an awful state to get insurance in) it's not worth it.

God forbid you total your car or you have to make a claim because insurance company will do everything in their power to avoid paying a claim and they WILL screw you. Any kind of registration scheme like that will leave you wide open for it.

dp-_-

^^ what he said

Stealthx017

Thanx again guys for your responses.

Spikeymike you named it all man.

I had my permit revoked a while ago, paid the fines and got my drivers liscence a month ago.

First time buyer with extremely bad credit.

Guess i will try to locate a broker. Hopefully it will be below 4gz a year. If not then i guess the TC and I were not meant to be.......

Kilo6_one

becareful with the broker, also make sure you know what your finacning comapnies minimum requiremnts are for insurance, some companies will not let you have 1000.00 deductibles or/and so forth.

versello

I'd try to work on fixing your bad-credit first, because 4 grand a year for insurance is still very high.

GammaTNT

iTrader: (8)

[quote="versello"

Can you be on your parents insurance policy if you're over 21? I didn't think it was possible.[/quote]

I am almost 27, and still under my parents's.

deepfrieddoggie

Wise words here for sure.

It takes seven years for dings to disappear off your credit report, so the best thing to do is to hang back instead of signing up for new high-interest loans. What sucks about bad credit is that when you buy the same things as other people you're paying more for them in interest.

Maybe get an xA or a more affordable car? An $800 beater like someone mentioned sounds great as long as it's reliable. Nothing new and beautiful is going to stay pristine if you're driving it in New York City.

BTW, since it's been brought up in this thread before, why do you want a car if you live in the city? $70 for a metrocard every month is a heck of a lot cheaper than car payments, insurance, and gas. Generations of New Yorkers live without drivers' licenses. Do you need a car to commute?

dp-_-

I'd say drop the car and fix your credit.

It's obvious that your idea of purchasing this car was probably induced the same way that bad credit record was. (No offense intended)

Best advice that I have for you is "see what it takes to get what you want, not get what you want then see what it takes to keep it." Apply that quote to any of the topics discussed or life in general. I guarantee that if it's well thought out and planned, you'll get what you want in life and hold on to it forever.

WOW....wtf was that.

Just read over the post and..............................

/me hits submit anyway as he is too lazy to hit back yet not lazy enough to type out this whole sentence.

This job will result in the end of my life. I'm getting delirious and stuff over here. Hit submit already....

Griever

holy crap, and I thought 1200 a year was high

markbvt

I agree with everyone else -- don't bother with a new car. Fix your bad credit first. Then get yourself an inexpensive used car -- or better yet, a motorcycle (but not a sportbike). Something like a well-maintained '80s Honda or Yamaha motorcycle will be relatively cheap to buy and very cheap to insure, it'll hold its value well if you keep it in good shape, and it'll be a hell of a lot easier to park than a car (just get a brake disk lock -- and don't forget to remove it before you get going!).

By the way, riding a motorcycle will also make you a much better car driver. (Personally, I think everyone should have to spend a year on a motorcycle before they're allowed to drive a car.)

--mark