1. How much liability protection should I carry on my auto policy? - Mistakes happen and accidents occur. You don't even have to be 100% at fault to be held financially liable. Your buying Bodily injury and Property damage limits to cover injuries and damage you cause. If these limits don't fully cover the cost of the injuries and property, you can be held financially responsible for the rest. In the event of a judgment against you, your assets can be attacked. By purchasing liability limits greater than the sum of your assets, your insuring yourself against such an occurrence. Consult with your financial advisor as to proper asset protection limits you should carry.  

 2. Who is covered to drive my car? - Those who are specifically listed as drivers on your policy declarations and fall within the scope and terms of the insuring agreement will be covered under the provisions of your policy. A "permissive use" policy can extend coverage to an "occasional use" operator who does not reside within the household, holds a valid drivers license, has the owners permission and is not specifically excluded from the policy, however these types of policies tend to be more expensive and can still contain coverage limitations. Consult with your broker or agent and read your policy carefully before allowing a non-listed operator to drive your covered auto. 

 3. What is an SR-22? - An SR-22 is a certificate issued by an insurance company and kept on file at the Department of Motor Vehicles (DMV). An SR-22 will lift a suspension, or a pending suspension of your drivers license from the DMV. An SR-22 certifies to the DMV that at least the required minimum liability coverage has been obtained by the respective person. The insurance company issuing the SR-22 will notify the DMV if the insurance coverage should lapse or be cancelled for any reason.

 4. Will my auto policy cover my car for business purposes? - Not automatically. Your vehicle is not covered for business use unless specifically requested and designated on your insurance policy. "Business use" coverage is available from most insurance carriers for a percentage, or point surcharge in premium.

 5. Can traffic school tickets still count against me? - By signing up and completing a traffic school course, California DMV will "mask" one eligible violation every 18 months and should not appear on you driving record. However, if you have gone to traffic school more than once within the last 18 months, the first one will be "masked", but the others may still appear on your driving record and all can be used against you in rating your insurance premiums. 

 6. Are driving record points the same as insurance points? - No. This is a common misconception. They are totally separate, but they are directly related. Drivers license points are determined by your Department of Motor Vehicles and vary from state to state. Insurance points are determined by your individual insurance carrier and are one of the main factors used to determine the cost of your insurance premiums. This rating factor varies widely among insurance carriers so it is always a good idea to comparison shop rates.

 7. What is a "good driver" discount? - Many of us like to think we are good drivers but insurance companies use strict guidelines in determining a "good driver" from a not so good driver. The main benefits of being considered a "good driver" is two fold. First, you receive a 20% discount off your insurance. Second, once you qualify as a "good driver" it opens up more available markets to place your business through. In order to qualify as a "good driver" you must be able to show you have been licensed to drive for the last three years without lapse, have no more than one moving violation point on your driving record or one non-injury accident against you.   

 8. WHAT IS A "CLUE" REPORT? - C.L.U.E. stands for Comprehensive Loss Underwriting Exchange. It is a loss history database which enables insurance companies to access consumer claims information when they are rating or underwriting an insurance application or policy. For homeowners coverage, the report includes the property address and for auto coverage the report contains specific vehicle information. The report also includes policy information which may include the insured persons name, policy number, date of birth, included and/or excluded drivers, loss date, type of loss, loss amounts and description of the property covered. Credit reports, criminal records, civil lawsuits, legal judgment's are not stored in CLUE database.

 9. Will a parking ticket raise my insurance rate? - No. Parking tickets do not factor into rating your insurance premiums.

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