Insurance Fraud on the Rise, Costing Everyone Higher Premiums

The National Insurance Crime Bureau found a sharp increase in "questionable insurance claims" with the current economy. Insurance fraud is costing Northwest Households about $300 per year in higher premiums.

Seattle NICB investigator, Scott Wagner, says so far this year vehicle arson is up 27% nationwide. In many cases, he's found that vehicle owners are behind on their payments so they torch it and call it stolen. "The car ends up burning and the insurance company ends up finding out that they're four months behind on their payments," said Wagner.

In another example, Wagner shows a surveillance video of a woman pulling her S.U.V. into a Seattle restaurant parking lot. The video seems innocent enough, until she walks away from her car - forever. "She parked her car, set her alarm and then left and reported it stolen," said Wagner.

According to the NICB, in the first quarter of this year compared to the first quarter of last year, vehicle owner give-ups are up 24 percent.

Darrin Sanger with the Northwest Insurance Council calls insurance fraud a crime against everyone. He says that's because in the end all of us pay in the form of higher premiums. "When someone commits insurance fraud they're not just stealing from insurance companies," said Sanger, "They're stealing from fellow customers."

A recent study from the NICB shows property/casualty insurance fraud costs Americans nearly $30 billion each year.

The Northwest Insurance Council offers a reward for citizens who help investigators track down people who've committed insurance fraud.


Thank you to King5.com

Amazing Savings!

These Sav-on Clients were the top 10 savers through our Graduate Department for March! These savings are over the course of 6 months!!

Top 10 Savers:
Viktor L. of Kent $1207
Brandi S. of Renton $1004
Rosa L. of Renton $832
John B. of Edmonds $753
Miguel C. of Seattle $720
Olga P. of Kent $540
Tim H. of Bellevue $502
Johnny R. of Tacoma $468
Amber K. of Lynnwood $413
Erica V. of of Snoqualmie $411

The total savings was 33% and the total dollar amount saved was a whopping $13,844 !!

Graduate Results: February

These are savings for our February Graduates off their 6 month policies!

Alla D. of Tacoma - $1546   WOW!!!
Derendida V. of Kirkland - $813
Mario G. of Tukwila - $807
Lyubov K. of Kent - $754
Alfredo H. of Federal Way - $721
Julie D. of Issaquah - $621
Bonifacio G. of Mountlake Terrace - $619
Noe R. of Seattle - $526
Jason D. of Maple Valley - $498
Raul M. of Everett - $494

OUR TOP SAVERS SAVED AN AVERAGE OF $1479 PER YEAR!! And all our savers saved an average of 38%!


Do you know how the program works? We have a special department dedicated to looking at clients with "high risk" policies and work to move them to lowest-cost "preferred" companies.

It's the cornerstone of what we do and our clients happiness to show for it!

Top 10 WORST Foods to Eat While Driving

“Driver distraction” causes 25 percent of the car crashes reported to police. While cell phones get a bad rap, they actually rank in fourth place among distractions, according to insure.com, which recently reported results from a Response Insurance Agency survey. Eating was a major culprit, topped only by tuning the radio.

In a separate Exxon survey, 70 percent of drivers said they eat while driving. Eighty-three percent said they drank coffee, juice, or soda while behind the wheel. (A handful even admitted to wishing they had a microwave oven in the car!)

With such widespread freeway foraging, it’s probably no wonder that eating plays a big part in single-vehicle and rear-end collisions where the feasting driver fails to stop in time.

The problem, say investigators, often comes with a confluence of unexpected events – a sudden stop ahead or a sharp curve combined with a food spill.

Most of the food-distracted drivers agree. They report it wasn’t the food that caused them to take their eyes and minds off the road. It was trying to mop up a spill.

Mornings are the worst when coffee-swilling drivers abhor ruining their work clothes for the day. Fearing they’ll be late for work, they try to clean up the spill on the go rather than pulling over.

Keeping spills in mind, insure.com reported these as the top-10 worst foods to eat in a car:

1. Coffee. Those spill-proof lids aren’t – plus the hot temperature adds pain to the distraction.
   
2. Soup. Same problem as coffee.
   
3. Tacos. They self-destruct even under the best circumstances.
   
4. Chili. It drips and must be eaten with a spoon, taking one hand off the wheel.
   
5. Hamburgers. Grease, ketchup, and mustard are a stain waiting to happen.
   
6. Barbecued foods. Ditto.
   
7. Fried chicken. Greasy fingers mean greasy steering wheels.
   
8. Jelly or cream-filled donuts. The filling often ends up on your shirt.
   
9. Soda pop. Prone to spills, pop swallowed too fast also gives you a nasty nose fizz.
   
10. Chocolate. Since it melts from the warmth of your hands, it gets all over the steering wheel.

Driving a stick shift while eating seems to double the danger (one hand shifting, one hand holding the food, no hand left to steer). The danger increases further when you add yet another distraction such as a chatty passenger, cell phone, or tuning the radio.


Thank you to PEMCO Insurance Company.

The Economy is Down, And Theft is Up

According to a recent study by Javelin Strategy & Research, the number of identity theft cases increased 22 percent in 2008 to 9.9 million.

Some key findings from the study:

• 2008 was the first year that the number of cases increased since Javelin began tracking ID theft in 2003.
  
  
• Crimes of opportunity, such as stolen wallets, represented 43 percent of cases, compared to 33 percent in 2007, indicating an increase in the desperation of criminals.
  
  
• Women were 26 percent more likely to be victims of identity theft, reporting a higher incidence of lost or stolen information during purchases in stores.
  
  
• The survey showed that only 11 percent of cases involved online access.

Thank you to Safeco Insurance Company

Graduate Results: January

These are savings for January Graduates off their 6 month policies!

Tara H of Federal Way $781
Alejandro A of Auburn $683
Harold F of Renton $648
Michael D of Seattle $510
Phaly S of Seattle $508
Piter P of Auburn $480
Katy Q of Sumner $453
Andres T of Bellevue $446
Drago P of SeaTac $442
Lois S of Burien $407


That's an average savings of 33%!


Think you might be a graduate? Call your Sav-on Special Agent and find out today! 1-888-867-2866.

Washington Tenth Highest Uninsured Rate

Washington has the tenth highest rate of drivers without insurance and research suggests the number of uninsured drivers is rising.

According to The Insurance Research Council Washington 16% of drivers are uninsured. And a study shows that the number of uninsured drivers is, ironically, very close to the unemployment rate...and with estimates of a raising unemployment rate through 2010-- the number of uninsured drivers is also likely to rise.

What some people are doing, and what we suggest, is lowering coverage, raising deductibles, or removing coverage instead of canceling completely.

A graph showing uninsured rates vs. unemployment rates and the estimated number to the year 2010.
Click photo to enlarge in new window

Talk to your agent...

• to decipher which coverages to keep and which to drop
  
• about discounts you may be eligible for
  
• to raise your deductibles (note: there are sometimes limitations due to auto financing-- most require $500 deductibles)
  
• let us shop for you! We have 30+ companies both high risk and preferred to find you the best rates

Bad Economy Causing Many to Drop Insurance

With the economy at it's worst since the depression (and some speculating worse), many people are trying to cut back costs in their lives...some by dropping their auto insurance.

According to the Wall Street Journal, a study by the Insurance Research Counsil shows that several hundred thousand drivers dropped their insurance in the past year alone as the unemployment rate increased.

The Bureau of Labor Statistics' most recent update on our economic situation shows that unemployment rose to 7.2% in December-- up from 6.8%. And in December alone, payroll employment fell 524,000.

What can YOU do?
If you don't have insurance, get insurance. And we ALWAYS recommend Underinsured Motorist Coverage. This covers you in a hit and run or, more importantly these days, if the person that hit you does not have enough insurance or doesn't carry any insurance. It usually costs as little as $15-$20 a month but worth so much more than that if an uninsured driver hits you. What would you do if there's no one to pay? That's where underinsured motorist coverage comes in.

Theft also seems to be a rising issue. By carrying comprehensive coverage, your vehicle will be covered (less the deductible) for things like theft, vandalism, or if, say, a tree falls on the vehicle. The costs depends on your carrier, what deductible you choose, and what type of vehicle you drive most but times it can be quite inexpensive.

Please note, however, that comprehensive coverage only covers your vehicle for stock parts. Have an after-market stereo system? Rims? Paint job? Hold onto your receipts and invest in "Special Equipment Coverage".


Would you like a Quik Quote? Our rates may be better than you think! We shop from over 30 different companies to find you the best rate. We can insure you whether you fall into the "Preferred" market or if you have tickets, accidents, no credit, poor credit, or require an SR-22. Call us at 1-888-867-2866 OR visit us online at www.sav-on.com.


Thank you to: Auto Loan Daily and Bureau of Labor Statistics.

Our November Graduate Results!

We had 44 total grads for the month of December for a total of 533 for the year.

Our top 10 savers:
Trevor G. - Federal Way $1051 SAVED!
Gwendolyn T - Seattle $839
Tracey P - Des Moines $594
Pedro S - Federal Way $519
Jordan K - Renton $464
Donjanique B - Bellevue $431
Charles J - Federal Way $427
Reyes G - Renton $420
Alfonso L - Federal Way $420
Jose A - Kent $403

We saved our Sav-on Graduates an average of $256 -- that's 30% savings off their current policy. Congratulations Graduates!

Does smoking affect AUTO insurance??

We got a really interesting question from one of the kids at the driving school last week (for more details, check out the 11/12/08 post on our teen blog www.savon-teendriver.blogspot.com). A young woman asked "I heard that smoking can make your insurance higher?" I replied that I'd never heard of anything like that...we certainly don't have any companies that surcharge for smoking (unless it's a life insurance policy which is a whole 'nother ballgame). But I decided to look into it...

I found that some companies do surcharge for a home policy...which makes sense. A smoker runs a higher risk of burning down the house. I'm sure you've heard stories in the news about a house or apartment catching fire and the cause was a lit cigarette. You also have to take into account that smoking inside your home will lower its value and the value of your possessions (due to the smell and damage caused by the smoke) which, in turn, could affect your premium of a renters or condo policy.

And evidently, auto premiums can be higher for smokers due to the fact that smokers tend to be more reckless drivers.

Again, I've never run into this problem with any of our companies we represent and I was unable to find out what states this affects. Has anyone else heard of this?


Thank you to www.ampminsure.org