autofaq

Answers -FAQ

With "no-fault" insurance, people who are injured in a vehicle accident are compensated by their own insurance company no matter who was "at fault". The compensation is determined by the amount of PIP (Personal Injury Protection) the injured person has. Once the limits of the PIP are exhausted, liability must then be determined for additional benefits to be paid.

PIP

In Kansas, the basic PIP allows for $4500 each for medical and rehabilitation expense; up to $900/month for work loss; $25/day for 365 days for essential services; $2000 per person for Funeral Expense; Survivors' Loss of up to $900/month 'earnings' and up to $25/day essential services to a maximum of 365 days.

Need

Kansas requires liability insurance only: $25,000 for bodily injury to a maximum of $50,000 for each occurrence and $10,000 property damage for each occurrence (frequently abbreviated 25/50/10). Since these limits can easily be exceeded even in a relatively minor accident, we recommend higher limits. How much higher depends on your individual situation.

Deductible

Having a higher deductible is one way of saving money on your premium. You need to consider what you can easily afford if you have to fix your car.

Towing

We normally recommend a good roadside assistance plan rather than towing coverage because companies not only look at size of claims, but frequency of claims. Since towing coverage tends to increase the frequency of claims, it can also cause your overall premium to be effected.

Credit Check

Most companies do look at your credit standing simply because they have found that individuals with credit problems usually have more insurance claims. They do not actually look at your full credit report, but receive a ranking from the credit bureaus based on criteria the companies supply.

Lending my car

Normally, your car will be covered under your policy if you lend it to a friend even without specific permission if your friend has a reasonable belief that you would grant permission.

Agent Value

Agent's bring additional value by helping you more fully understand your policy, helping you make changes in your policy when needed and searching the market for you. Just because you don't use and agent, doesn't mean you will save money. In fact, not using an agent might end up costing you money.

Child's Car

Your child turns 16 and you have purchased a car for them. To encourage pride of ownership and responsibility, you title the car in both your name and the child’s name (or in their name alone). Now it is time to insure it.

By state law, the insurance has to be written the way the vehicles are titled. You and your spouse are covered for vehicles you or your spouse own, together or separately. However, since your child now owns a vehicle, a separate policy has to be issued to cover that vehicle. The advantage of a separate policy is the child can pay for their own vehicle on a separate bill. The disadvantages are numerous. For example, since the vehicle is on a separate policy, it may not receive a multi-car discount. Also, due to the driver’s age and inexperience, some companies will only insure it in the sub-standard company, which means the premium will be higher.

There are legal purposes for insuring vehicles the way they are titled. If your name is on the title of a vehicle and you are not a "Named Insured" on an insurance policy, then you do not have liability coverage in case of an accident and may be held personally responsible.

The cost of kids

Automobile accidents are the leading cause of death for children ages 15-19. In 1999, there were more than 2,000,000 teen driving accidents and 6,000 deaths which cost the nation $150,000,000,000 ($150 billion). One out of three teens has an accident during his/her first year of driving. Teen drivers account for 7% of the driving population but 14% of all vehicle accidents and deaths. According to police reports 82% of these accidents are due to driver error on the part of the teen driver.