Your SlideShare is downloading. ×
Before They Hit the Road
Upcoming SlideShare
Loading in...5
×

Thanks for flagging this SlideShare!

Oops! An error has occurred.

×
Saving this for later? Get the SlideShare app to save on your phone or tablet. Read anywhere, anytime – even offline.
Text the download link to your phone
Standard text messaging rates apply

Before They Hit the Road

141
views

Published on


0 Comments
0 Likes
Statistics
Notes
  • Be the first to comment

  • Be the first to like this

No Downloads
Views
Total Views
141
On Slideshare
0
From Embeds
0
Number of Embeds
0
Actions
Shares
0
Downloads
0
Comments
0
Likes
0
Embeds 0
No embeds

Report content
Flagged as inappropriate Flag as inappropriate
Flag as inappropriate

Select your reason for flagging this presentation as inappropriate.

Cancel
No notes for slide

Transcript

  • 1. Before They Hit The Road Presented by Eric S. Poe, Esq., CPA Chief Operating Officer
  • 2. Teenage Driving
    • Part I: Statistics That Tell A Grim Story
    • Part II: What You Can Do To Make Sure Your Child is Not a Statistic
    • Part III: How to Manage Your Car Insurance Costs When Your Child Gets Their License
  • 3. Teenage Driving Statistics: Fatal Injuries per 1,000 Drivers by Age
  • 4. Traffic Tickets per 100 drivers
  • 5. DWI accident incident rate by age
  • 6. The Common Tickets for Teens
  • 7. What Causes Teen Crashes?
  • 8. Key Teen Driving Statistics
    • 16 year-olds have higher crash rates than drivers of any other age.
    • 31% of teen drivers killed in 2006 had been drinking, according to NHTSA. 25 percent had a blood alcohol concentration of .08 or higher.
  • 9. What you should know about your teenager before they hit the road
    • Studies have shown that teenagers learn from consequences NOT lectures / warnings
    • Studies show that teenagers need to be provided warning of loss of privileges and enforcement of those consequences
    • 2005 study by Temple University indicates that the frontal lobe of the brain leads to inability assess risks until 25 years of age
    • Catch 22 as a parent: Discourage Drinking? or Acknowledge Drinking and Open Doors to Alternatives to Driving?
  • 10. Part III: How to Manage Your Car Insurance Costs When Your Child Gets Their License
    • Learn how an auto insurance policies determine your rates, because your costs may depend on the company, not just the age of your newly licensed teen.
    • Purchase a car for your teenager
    • At all costs: know what courts consider insurance fraud and what the consequences of failing to disclose your teenager to your auto insurer.
  • 11. Basic Changes in NJ Since 2003
    • Use of credit scores were permitted –92% of auto insurers nationally use credit scores to determine your rates
    • Only two notable insurers decide NOT to use credit scores – CURE / NJ Manufacturers
    • Use of Education and Occupation utilized by GEICO to determine eligibility into preferred company with lower rates
    • January 1, 2009 introduced new territory rating factors and new criteria for acceptance (Take All Comers phased out)
  • 12. New ways for auto insurance carriers to rate you
    • Credit score
    • Educational Attainment (Liberty, GEICO, Skylands, Progressive)
    • Occupation – white/blue collar GEICO
    • Home ownership (Allstate)
    • Prior Insurance in drivers’ name
    • Lapse in coverage
    • Years with the prior insurance company
  • 13. 3 Simple Ways to Save Money
    • If you are gainfully employed full time with health insurance – choose the Health PIP Option savings can range $25-$50 per car/yr
    • Buy a older car for your child to drive
    • Increase your deductibles for collision coverage – remember it primarily only covers the physical damage to your car as a result of an accident that is YOUR FAULT
  • 14. Example of cost savings
    • Husband and Wife both 40 years old with a newly licensed 17 year old female daughter living in Princeton, NJ both insuring 2005 Honda Accord LX, with $850 deductibles for COMP/COLL, no tickets/accidents in 3 years, Basic Policy:
    • CURE Annual Premium BEFORE child “hits the road” $1,717
    • With 2 cars and 3 drivers (AFTER):
    • Annual Premium with CURE $3,211 annually
    • With 3 cars and 3 drivers (AFTER) with 2000 Honda with NO physical damages:
    • Annual Premium with CURE $2,548 annually
  • 15. Summary
    • Price for car insurance is not everything
    • Open discussions with your child – you should always be an alternative to drinking and driving
    • DO NOT COMMITT FRAUD – Reinforced in Palisades v. Bastien (Supreme Court Case) defines threshold of fraud sufficient to “void ab initio” - which cited Mass Mut. V. Manzo (1991) explaining that a a misrepresentation is material if it “naturally and reasonably influences[s] the judgment of the underwriter in making the contract at all, or in estimating the degree or character of the risk, or in fixing the rate of premiums"

×