Tag Archives: Insurance

Why Auto Insurance Is More Expensive for Electric Vehicles

electricIf you live in the state of California, you have likely seen quite a few electric cars and small SUVs making their way onto the roads within the past few years. With gas prices on the rise here in California, many people have been looking for vehicles that operate without the need of gas. Are you currently considering making an investment in an electric vehicle in order to save money on gasoline? Well, believe it or not, you could be paying a little more for auto insurance if you own an EV and here is why.

Vehicle Value
We all know that the more a car, truck or SUV is worth, the higher the auto insurance will be. Electric vehicles tend to cost more than traditional gasoline vehicles, which is one of the reasons why auto insurance will be slightly more expensive.

Repair Costs
Since electric vehicles are generally more valuable than ones that operate on gas, any repair is typically also more expensive. As a matter of fact, the battery systems alone in an electric vehicle can cost thousands of dollars to repair. Not to mention, if a repair is needed, you will likely have to seek the advice of a mechanic that has been trained to work on electric vehicles and this could increase the cost as well.

While auto insurance might be a little more expensive for an EV, it’s still not at all a bad idea to make the switch. In fact, the federal government actually offers a substantial tax credit for those who purchase an electric vehicle. This credit could definitely offset the higher price tag and more expensive auto insurance. When shopping around for auto insurance for your electric vehicle, it’s recommended you ask if the insurance company offers any discount for those who own an EV. Chances are you might even get a discount that will make the cost of owning an electric vehicle more affordable.

Top 10 Most Common and Costliest Small Business Insurance Claims

small-businessNot many small business owners are aware of their risks when it comes to general liability coverage. Once they become aware of the most common and costliest claims, small business owners can then focus their time, energy and resources on the aspects of their company that can save them the most money in the long run. This is why the Hartford, a Connecticut based insurance company, recently performed a national study in order to determine the most common and the most costly general liability claims filed by small businesses. While conducting their research, the team at the Hartford analyzed small business claims from over a million property and liability policies spanning a five year period. The majority of small business owners who have reviewed the statistics provided by the Hartford are actually a little surprised by the findings of the study. This is because you’ll notice that their research has found that the most common claim is actually the least expensive. Burglary and theft is by far the most common small business claim making up nearly 20% of all filed claims, but it typically only costs the company around $8,000. On the other hand, reputational harm is less likely to occur but carries the largest price in terms of numbers.

If you’re curious about the most common and costliest small insurance business claims, take a look at the findings of the study below. It’s important to point out that this study was conducted nationwide and costs are estimated averages, so it may vary for small businesses from state to state. As a matter of fact, the Hartford study has discovered that claims are more costly in the western states due to the higher cost of legal representation and the litigation process.


1) Burglary and Theft – 20%
2) Water and Freezing Damage -15%
3) Wind and Hail Damage – 15%
4) Fire – 10%
5) Customer Slip and Fall – 10%
6) Customer Injury and Damage- Less than 5%
7) Product Liability – Less than 5%
8) Struck by Object – Less than 5%
9)Reputational Harm – Less than 5%
10) Vehicle Accident – Less than 5%


1) Reputational Harm – $50,000
2) Vehicle Accident – $45,000
3) Fire – $35,000
4) Product Liability – $35,000
5) Customer Injury or Damage – $30,000
6) Wind and Hail Damage – $26,000
7) Customer Slip and Fall – $20,000
8) Water and Freezing Damage – $17,000
9) Struck by Object – $10,000
10) Burglary and Theft – $8,000

The Hartford group has also provided a few tips for small business owners in order to minimize their risk of liability. For instance, it’s suggested you perform vigorous background checks on all of your employees prior to hiring, install security cameras and take extra measures to secure your assets to cut back on theft. When it comes to reducing water damage, ensure the utilities of your business location are in good shape. Also, take the appropriate steps to protect your pipes when there’s a freeze in the forecast. Another thing you can do to reduce your costs in case of an unexpected fire is install a high quality fire detection and sprinkler system.

7 Things That Affect Commercial Auto Insurance Premiums

commercial-autoBusinesses that rely on the transportation of goods, customers or equipment to operate definitely need to insure all company vehicles. Whether you own or rent the vehicles your company uses, you need to have them covered with adequate commercial auto insurance. Some business owners are shocked to find out just how much their premiums are when it comes to insuring vehicles for business use. This may be because they’re not fully aware of what determines the rate they pay. If you’re a business owner, check out these 7 things that can affect your business’ commercial auto insurance premium.

1. The Driving History of Employees – The biggest thing that will impact your commercial auto insurance premium is the driving history of your employees. If there is an employee of yours who will be using one of the company’s vehicles and they have a lousy driving history, this could surely raise your premium. This is why it’s important to check the driving history of any employee who will be driving for the company prior to hiring them.

2. Vehicle Use – Of course what the vehicle is used for can impact insurance premiums for the company. If the vehicle is primarily used to just deliver food or general items, the insurance premium will understandably be lower as compared to vehicles which are used to transport hazardous materials or customers.

3. The Vehicle Itself – Another thing that is considered by insurance companies when determining commercial auto insurance rates is the actual vehicle itself. For example, if the vehicle is a newer model with the latest safety features, it’s very likely that your rate would be lower than if it were older. Larger vehicles are generally safer than smaller compact ones, so you may also want to look into purchasing or renting spacious sedans, trucks or vans for company use to cut insurance costs.

4. Where the Vehicle is Parked – Similar to personal auto insurance policies, where the vehicle is usually parked can impact premiums. Businesses who store their company vehicles in a garage or secure covered space can save a bit on insurance because there is less risk of theft. Vehicles with alarm systems or GPS locator devices installed in them also usually save business owners a little on their premiums.

5. The Number of Claims Previously Filed – As with any type of insurance, the number of claims that have previously been filed by your company can definitely impact the premium you pay.

6. Location of the Business – As with all commercial insurance policies, the location of the business can definitely have an impact on premiums. Companies who are located in or will be doing business in areas of town with high crime rates are almost always subject to higher auto insurance premiums that those located in better neighborhoods.

7. Coverage Limits – The type of coverage limits you choose also affect commercial auto insurance premiums. You may want to consider a higher liability limit to protect both your business and the driver’s personal assets in the event of an accident.

Contact us today for a Commercial Auto Insurance Quote or call us today at (909) 986-2550.

Why Get Insured Before Traveling to Mexico

travel-to-mexicoA vacation to Mexico is a great quick getaway from the daily grind, especially for many residents of border states like California. Many American travelers making their way to their favorite Mexican destinations often forget that they are entering a whole other country due to its proximity and never bother to insure themselves. When traveling to a foreign country, it’s high recommended that you purchase a travel insurance plan to cover you and your family in the event of theft, loss or any emergency medical issue. Although, keep in mind that most policies do not cover extreme sports or dangerous activities such as scuba diving, motorcycling or parasailing.

If you’re driving your vehicle across the Mexican border, you’ll need to make it a point to insure your car in case it develops mechanical problems while on your trip or if you are in a wreck. For vehicles driving into Mexico, it’s actually required that you have proper insurance and if you are renting, you’ll need to pay an additional premium to be covered on the other side of the border. You can purchase auto insurance at the border, but you’ll more than likely save more money by exploring your options and making arrangements before you begin your travels.

Many basic medical insurance policies here in the states don’t provide coverage when you’re traveling outside of the country. Be sure to check with your provider while planning your Mexican vacation and if you’re not covered, you’ll want to purchase a premium separately because when it comes to health care, Mexico does not have any reciprocal agreements with any other country and does not accept Medicare. In the event of a medical emergency, a non-insured tourist will have to fork over the money out of pocket to pay for any care, treatment, or medications he or she needs. This is why it’s important to arrange to have your travel insurance situated before you depart for a stress free travel experience.

For more information and to find out how we can assist you, please email us or call Tony Moreno Insurance at (909) 986-2550