Do the economy and insurance have something in common?
As the economic downturn continues to cause financial stress on individuals and families, more and more people are going without auto insurance these days. Recent reports indicate that 1 in 6 drivers are uninsured. What does this mean for those of us who continue to pay our auto insurance regularly?
In the short run it means we should be extra careful that we have the right coverage and enough coverage to take care of ourselves and our vehicles should we be unfortunate enough to be hit by one of these uninsured motorists. You should certainly have plenty of uninsured motorist coverage on your policy and make sure your collision deductible is at an amount you are comfortable with.
In the long run, if this trend continues, it could mean higher premiums for the rest of us as insurance carriers scramble to recover some of the lost premiums.
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