Insurance Blog

Courtesy of iii.org

Older drivers are keeping their licenses longer and driving more miles than ever before.

The high fatality rates of this age group reflect the fact that older drivers are more easily injured than younger people and are more apt to have medical complications and die of those injuries.

There is a growing need to help older drivers sharpen their skills as well as recognize their changing abilities and adapt their driving practices appropriately. Insurers have partnered with state and local governments, and groups such as AARP and the AAA Foundation for Highway Safety to create programs designed to address these needs.

Improving Older Driver Safety

According to the Governors Highway Safety Administration, impairments in three key areas—vision, cognition and motor function—are responsible for higher crash rates for older drivers. Vision declines with age; cognition, which includes memory and attention, can be impacted by medical problems such as dementia and medication side effects; and motor function suffers as flexibility declines due to diseases such as arthritis.

A 2018 report from TRIP, a nonprofit organization that studies transportation issues, calls for  transportation improvements that will enable older Americans to maintain their mobility. Since there are about 46 million people age 65 or older, projected to more than double to over 98 million by 2060, roadway safety improvements are increasingly important as 90 percent of travel for this demographic takes place in a private vehicle. Almost 80 percent live in auto-dependent suburban and rural areas. Public transit accounts for only two percent of trips for older Americans. Ridesharing services can help seniors maintain their mobility although they often require the use of smartphones, which are owned by under one-third of older Americans. Self-driving and connected vehicles hold much promise for the mobility of older Americans.

Licensing requirements and restrictions

Many states routinely attempt to identify, assess and regulate older drivers with diminishing abilities who cannot or will not voluntarily modify their driving habits. According to the Insurance Institute for Highway Safety, 18 states require older drivers to renew their drivers licenses more often than the rest of the state’s residents. In addition, 18 states require more frequent vision tests for older motorists.  Sixteen states and the District of Columbia prohibit older drivers from renewing licenses by mail or online. One state, Illinois, requires older drivers age 75 and over to take a road test at renewal and the District of Columbia requires a doctor’s approval for drivers over the age of 70 to renew their licenses.

Some states restrict driving activities for people with certain medical conditions or after a serious accident or traffic violation. Depending on their ability, older drivers may be limited to driving during daylight hours or on nonfreeway types of roads. In most states restrictions such as these can be placed on anyone’s drivers license, regardless of age, if his or her medical condition warrants it.

A 2014 study published in the journal Injury Epidemiology found that no policy in state drivers license renewal laws examined had a significant impact on fatal crash involvement of drivers younger than 85 years of age. However, two provisions had some effect on the involvement of older drivers in fatal crashes. Mandatory in-person renewal was associated with a 31 percent reduction in the fatal crash involvement rates of drivers ages 85 and older. In states where in-person renewal was not required, requiring drivers to pass a vision test was associated with a similar reduction for drivers age 85 and older. But in states where in-person renewal was required, mandating a vision test was not associated with any additional reduction, along with requiring a knowledge test or an on-road driving test. Results were also not statistically significant for laws that require more frequent renewal or requiring healthcare providers to report cases concerning their patients’ driving ability.

Insurance discounts

According to the National Association of Insurance Commissioners, as of January 2015, 34 states and the District of Columbia mandated premium discounts for older adults. (These state laws have not been changed since February 2013.) All but Massachusetts require older drivers (usually age 55 and over) to complete an approved-accident prevention course. In addition, 12 states mandate discounts to all drivers (including older drivers) who take defensive driving or other drivers’ education courses. In general, the state-mandated discounts apply to liability coverages because they are most relevant. The regulations can vary by state. For instance, in Massachusetts the older adult discount applies to all coverages for drivers over the age of 65.

In addition, some insurance companies offer discounts in the states in which they do business for drivers who complete defensive driving or other approved courses, including discounts for seniors who take AARP courses.

Courtesy of iii.org

Every year, millions of Americans safely enjoy outdoor barbecues, but accidents do happen. According to the U.S. Fire Administration, about 5,700 grill fires take place on residential property every year, causing an annual average of $37 million in damage, 100 injuries and 10 deaths. The majority of grill fires are caused by malfunctioning gas grills. In addition, thousands of people visit emergency rooms every year because they have burned themselves while barbecuing.

In the rare instance of a grill fire spreading to your property, your homeowners insurance would provide financial protection as fire is a covered peril. A homeowners policy covers the following:

• Damage to the house itself.
• Damage to personal possessions such as lawn furniture.
• Damage to insured structures on your property, such as a shed or gazebo.
• Injuries to a guest, under the liability portion of the policy.

Keep in mind you’ll have to pay your deductible before your insurance kicks in, so if damage is minimal and your deductible is high, it may not make sense to file an insurance claim.

However, the best way to enjoy a summer of outdoor barbecues is to take steps to prevent accidents, including maintaining your grill and using it safely.

Grill Maintenance and Storage

Gas grills are generally safe if they are properly maintained and checked for leaks. In some instances, grills are unsafe due to faulty design or construction. (You can search the website of the Consumer Product Safety Commission to see if there has been a recall on your grill.) When setting up at the start of each grilling season, the following tips can help ensure everybody’s safety:

• Check grill hoses for cracks, holes and brittleness. Look for blockages as well, especially in the Venturi tube that runs to the burners. Clear blockages—caused by food drippings, spiders or insects—with a wire or pipe cleaner.
• Run a soap solution (one part liquid soap, one part water) along hoses and at connections, then open the valve at your tank and check to make sure that gas isn’t escaping, which will be indicated by bubbles at the leaking points.
• Adjust hoses as needed away from hot areas or where grease might drip on them.
• Store propane tanks outside, away from your house. Always check to make sure valves are firmly turned off.

Safe Barbecuing Practices

When barbecuing, use common sense and follow these guidelines:

• Operate your barbecue on a level surface, away from your house, garage and landscaping. Don’t move the grill once it is lit.
• Keep children and pets away from ther grill.
• Protect yourself—or whoever is doing the grilling—with a heavy apron and oven mitts that reach high on the forearm.
• For charcoal grills, use only lighter fluid designed for grilling. Never use gasoline or other flammable liquids, and never add more lighter fluid once the fire has started.
• Never grill indoors or in enclosed areas. Charcoal grills produce carbon monoxide (CO) fumes, which can be fatal in unventilated areas.
• Keep a fire extinguisher nearby.
• When you’re done with your cooking, remember that the grill will remain hot for a while. Don’t cover or store your grill until it has cooled, and soak coals with water before throwing them away.

In Case of an Accident

If a grill accident—or any kind of accident—does occur, injuries should be addressed immediately. Run cool water over minor burns, but do not cover injured areas with bandages, butter or salve. In the case of more serious burns, victims should visit the emergency room or an urgent care facility. If needed or when in doubt, call 911.

Once you have dealt with any injuries, assess your property damage and, if the situation calls for it, contact your insurance professional to discuss filing a claim.

Courtesy of iii.org

For parents, the excitement of having a first-time driver in the house is usually tempered with worry. With little driving experience, immature drivers are at a higher risk for accidents. Of course, safety concern is uppermost in most parents' minds but other stressors—like the high cost of insuring your new driver and the financial liability implications of a teen driving mishap—can be reduced with these steps.

Before getting a learners permit, make a call to your insurance professional

Your agent or rep can clearly explain the costs involved in insuring a teenage driver. The good news is, as your teenager gets older, insurance rates will drop—providing he or she has a good driving record. Therefore…

Involve your teen in the car insurance discussion

From the outset, it's important to talk to your kid about the relationship between driving a car and the attendant responsibilities, including insurance costs. Explain and reinforce driving safety tips and the serious consequences of driving infractions or accidents, including increasing the cost of insurance.

Encourage positive behaviors

Auto insurers offer discounts or reduced premiums to:

• Students who maintain at least a “B” average in school
• Teens who take a recognized driver training course
• College students who attend school at least 100 miles away from home and don't bring their car to campus

Choose the right auto insurance company

It's generally less expensive for parents to add teenagers to their auto insurance policy than it is for teens to purchase one on their own. By insuring your teenager’s car with your insurer, you may also qualify for a multi-vehicle discount. That said, insurance companies differ in how they price policies for young drivers, so do some research into prices to be sure to find the best fit for you and your teen.

Assign your teen to the right car

Find out how your insurer assigns drivers to cars—some insurers will assign the driver who is the most expensive to insure (generally the teenager) to the car that is the most expensive to insure. If possible, assign your teen to the least valuable car.

Note that with this kind of arrangement there can be no exceptions; your teen must use only the car to which he or she is assigned, even in an emergency. If your teenager is involved in an accident with an unassigned car, penalties could be imposed and your own premiums might increase.

Increase your liability insurance for greater protection

If your teen gets into an accident, state minimums for liability insurance will not be enough to fully protect you from lawsuits. Consider purchasing higher amounts of liability coverage—if your teenager is found negligent in an accident and the damages exceed your insurance limits, you will be held financially responsible and could be sued in court for those amounts not covered by your insurance. Depending on the value of your financial assets, you may even want to have the extra protection that a personal umbrella liability policy provides.

Raise your deductible to save on your premium

The higher your deductible, the more money you can save on your premium, so consider raising your deductible from the minimum amount required. You may want to use those savings to increase your liability insurance.