Wednesday 13 July 2016

Medical Insurance for Dummies


Medical Insurance for Dummies



What is Health Insurance anyway??!!


If you are like most people, you know very little about your health insurance. Usually provided through your employer, health insurance is there for you to help with the costs of your medical bills. Your employer may pay for you to have insurance, or you might pay a monthly premium in order to have insurance. Once people know they are eligible, they don't do their homework in finding out all the important details of their insurance plans. Then they are surprised when they receive a bill in the mail. I have worked in the health insurance field as a medical claims analyst for over 13 years, and in that time I have counseled many participants in their coverage and explanation of their bills. I really think that if these people were more aware of their coverage, they would have made better choices. So I would like to explain, as simply as I can, the basics of insurance and the important terms to know.

***Before I begin-I must state that all insurances are different, and there might be specific rules and exclusions that your plan has. The best thing would be to refer to your benefits booklet, or contact your insurance carrier directly if you need the most accurate information*****




HMO vs. PPO


HMO-Health Maintenance Organization

These insurance plans require participants to chose a Primary Care Physician or PCP. You will be required to see your PCP first, and if you need to consult a specialist, you will need to obtain a referral from your PCP. There is a network of providers that you must see in order to receive coverage.

PPO-Preferred Provider Organization

This insurance plan has a specific network of providers that one can see to get reduced charges, and therefore are responsible for less. Participants are not required to use an in network provider, they can go out of network, but the benefits are usually at a lower coverage level. Participants are also not required to use referrals to see specialists. A list of network providers can be found online, or by contacting the network directly.

Insurance terms


PROVIDER

Provider is a term used for health professionals who provide health care services. Sometimes, the term refers only to physicians. Often, however, the term also refers to other health care professionals such as hospitals, nurse practitioners, chiropractors, physical therapists, and others offering specialized health care services.

EXPLANATION OF BENEFITS (EOB)

This is what you will receive from your insurance company once they have processed a bill for you. It will show the date of the service, the provider, the total charge, and how it was paid. If additional information is needed from you, it will specifiy what they need and how to provide that information. It is best to keep all these EOB's and match them up with your bills as you receive them.

DEDUCTIBLE

Most insurance plans will have a deductible that must be met before the plan pays out any benefits for certain services. This amount is not collected by the insurance company, but by the providers whose bills the deductible was applied. Not all services are subject to the deductible.

CO-PAY

This is a set amount that your plan has determined to be paid out to your provider at the time of service. Generally primary care specialists and general practice physicians will have a lower co-pay then a specialist would have.

CO-INSURANCE

This is the amount that you are responsible for after the insurance has processed your claim and applied any deductibles or discounts. Usually on your insurance's explanation of benefits, or EOB, your coinsurance amount will be shown as patient responsibility, or patient balance. Make sure this amount matches up with the amount that is shown on the bill that comes from the providers office-if it doesn't-call the insurance before you pay!!

OUT OF POCKET

A set amount of money that the insurance determines, to be paid out of your pocket, before the plan will cover services at 100%. Be aware that some plan do not include your deductible and co-pays in this amount.

EXCLUSIONS

Each insurance plan will have a list of exclusions for things not covered. It is very important that you look over these exclusions, so that you will be aware of the services that will not be covered. When in doubt, contact your insurance company before having any major procedure done to make sure it is not listed as an exclusion.

ROUTINE SERVICES

Any service that is being done as a screening or for preventative reasons, is classified as routine. Some plans are very specific with their routine benefits, and may have certain limitations based on age, type of service, or dollar maximum.

PRE-CERTIFICATION

Certain services may require approval from the insurance company before it is done. Examples may include elective inpatient hospital stays,home health care, some outpatient surgeries, and medical equipment.

Summary


Understanding your insurance plan doesn't have to be as difficult as you think. If you arm yourself with the knowledge of these common terms, and familiarize yourself with your specific benefits, it will make it a lot easier to make sense of it all. Of course, you can always contact your insurance carrier and speak to a representative who can help explain your benefits for you. I am also available to answer any questions you may. I will do my best to help in any way I can!!!



Understanding Your Health Insurance Policy
When searching for a health insurance plan or after one has already signed up, the plan terms, or descriptions of provisions and coverages can be hard to understand. When one is reviewing the terms they often confusingly say, What does that mean?

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Landlord Insurance and What it Covers


Landlords should understand what landlord coverage provides and how to minimize the amount they spend on premiums. | Source

Insurance is Vital to New Landlords


If you're relatively new to investing in rental properties, you'll want to protect your investments and keep them profitable. Your landlord insurance policy is an important way to shield yourself from catastrophic damage, but high premiums can erode your bottom line.

You've heard how people with a gripe "sue the deepest pockets", right? Welcome to the DPC - the Deep Pockets Club. Even though you don't really have untold wealth - at least, not yet - your tenants may see you that way.

Here's a primer on how to protect yourself and your property with landlord insurance, with tips on saving money on your premiums.


About Landlord Insurance


Focused on your structure with little regard for personal property

Covers 1-4 units (single family, duplexes, triplexes, and fourplexes)

Limits your personal liability (protection from lawsuits)



What is Landlord Insurance?


When I acquired my first rental property, I called my insurance company and said I needed landlord insurance. The agent I spoke with expressed confusion. "Do you mean you need a fire policy?"

After some discussion, I learned that what I thought of as a landlord policy was the same thing my insurance company called "fire coverage." Basically, a fire policy doesn't merely cover a building and its contents. In fact, it may cover no contents at all!

Over the last few years, though, the reverse has been true. If I say I want a fire policy, I hear confusion on the other end of the line. Today, it's easiest to say that I want a policy to protect a landlord from loss, because no matter what an insurance company calls this type of policy, it covers the same basic things:
Loss to the property itself because of accidents
Additional structures on the property, such as detached garages or sheds
Medical payments on behalf of someone injured on the property
Personal liability coverage to limit what you can be held responsible for



Basic Info and What to Look for in an Insurance Company



If a tenant starts a fire accidentally, your landlord insurance would cover your structure, but their items would only be protected if they have renter's insurance. |Source

IMPORTANT:

You must convert to a landlord policy if you rent out your house and have a mortgage on it. If you cancel your insurance, your mortgagor can place forced insurance at a much higher rate and foreclose on you if you refuse to pay it.
If you maintain your homeowner policy without converting it, and later need to file a claim, the insurance company may refuse to honor the claim if you are not the property's primary occupant!



Compare Homeowners Insurance to Landlords Insurance


The questions an insurance company will ask about the property are similar in many ways for both types of policies. They'll want to know how the structure is built:
Size (square footage and number of stories if it's not a standard, single family floorplan)
Age of house
Foundation type (basement, crawlspace, slab)
Type of construction (framed, modular, concrete)
Type of exterior (wood, aluminum, or vinyl siding, brick, masonry)
What kind of roof it has (composition shingles, slate, clay or concrete tile, tar and gravel, or wood shake) and when it was installed or replaced
What flooring materials are present
What kind of electrical service it has (modern copper wiring, older aluminum wiring, or knob and tube fuses present)
What heat source(s) may be present, including furnaces, fireplaces, wood burning stoves, and older systems like oil heating devices
Any additional safety devices, such as smoke alarms or burglar alarms
Any additional safety risks, like dogs, swimming pools, or other "attractive nuisances" that might appeal to children in particular.
Any upgrades to the property that would require special consideration if the structure had to be rebuilt (custom bathrooms, for instance)

Once they have this information, your insurer will calculate "replacement cost," which is far higher than what you paid for the property. This dollar amount takes into consideration what it would cost to demolish the structure, remove and dispose of debris, and rebuild it in its entirety. (Replacement cost policies are most common, but there are other types I'll address shortly.) Your insurance quote is based off the replacement cost for your property.

Some companies will send an inspector to report on the property's condition, too. This can result in paying a higher premium, which I'll discuss soon.

The differences between homeowners insurance and a fire policy are related to what the insurance company will pay for. Your tenants' belongings will not be protected by your landlord coverage. They're expected to purchase inexpensive renter's policies for themselves, something that savvy landlords place in their leases as a tenant requirement.

Other than this difference, however, the coverage is largely the same. You'll have a deductible to pay if you file a claim. Deductibles may be $500, $1,000, or a larger amount. The higher your deductible, the lower your annual cost for insurance. Of course, you should choose a deductible that you can afford. If you choose a $5,000 deductible, for instance, your premiums may be dirt cheap, but it wouldn't make sense to file most claims, because the repair cost would be less than your deductible.

Like with your homeowner's policy, there will be coverage limits. Here is a sample of coverage limits for one of the properties I own - a foreclosure I purchased for about $43,000 and spent another $20,000 for repairs and updates:

Replacement Cost: $178,000

Other structures $17,800

Personal Liability (each occurrence) $300,000

Medical Payments to Others $5,000

Deductible: $1,000

A crack in the sidewalk could result in being sued. Smart investors maintain landlord insurance for this protection even if they own their property free and clear. | Source


Your Opinion

How important do you think landlord insurance is for an investor?
Very. It would be foolish not to maintain a policy.
Somewhat. It's not as useful as it might seem.
Not very. It doesn't provide enough benefit to offset the costs of keeping a policy.
Don't know / don't care / I'm not an investor.See results without voting

Insurance companies hold a vast amount of wealth in their hands. The gold adorned Met Life building is one symbol of this. Do you know how to save? | Source

Inexpensive Ways to Save on Landlord Insurance
Zircon 63931 Leak Alert Electronic Water Detector Batteries Included, 3-Pack


Leak sensors won't prevent or fix a water problem, but they'll notify you before other problems like mold or damaged drywall become a problem. Some insurers offer discounts for this reason.
Buy Now

Fortress Security Store (TM) S02-A Wireless Home Security Alarm System DIY Kit with Auto Dial


Security systems mitigate risk from intruders. You may be able to save on your insurance AND use this to make your rental property more appealing to potential tenants.
Buy Now


How to Lower Your Premiums on Landlord Insurance


There are some steps you can take to lower your premiums. They are:
Multi-policy discounts
Safety features discounts
Type of policy

Let's look at each one.

Multi-Policy Discounts

Your insurer probably offers a discount on your coverage if you have multiple policies with the company. Keeping your auto coverage, homeowner's insurance, and landlord policy in the same place typically saves about ten percent of your total amount of yearly premiums.

Remember, though, the name of the game is "money!" Some insurance companies refuse to provide landlord coverage if you do not have your primary home insured with them. This was a real problem for me when I remarried and moved into my new husband's home. I was not on the title of his house, and he was not on the deeds for my rental properties! I would have faced the same problem if I'd rented instead of buying my house when I relocated, because I owned investment properties but wouldn't have owned the place where I lived. My husband and I added his house to my existing policy, but we're now spending $1,500 a year more than we were previously as a result.

Safety Features

Your premiums will be lower if you have a burglar alarm system and smoke detectors. Be sure to ask your insurer for discounts if you have other safety devices, too, such as fire extinguishers in the kitchen and garage. Other hidden savings to look for:
Newer roof (some companies refuse to insure a property if the roof is more than ten years old).
Impact-resistant roofing can lower your costs. A high number of recent hail damage claims in the midwest are responsible for much higher premiums over the last two years than I paid in the several years before we had severe weather damage.
Gated communities mean lower risk for the insurance company.
Some companies discount for properties that belong to a homeowner association.
Renovation credits if you fix or update something that created a safety hazard, such as missing handrails for stairs or leaky plumbing.
Sensors that detect water or gas leaks may provide discounts with some insurers

Type of Policy

Besides a replacement cost policy, you could obtain a market value policy if your insurer offers one (not all do) or reduce your amount of coverage on the replacement policy you were quoted. However, these techniques can be risky, so consider them carefully and avoid them if your property is potentially high risk.

Market value policies cover a maximum up to the market value of a property - what a typical buyer in the marketplace would pay for the property. Demolition, debris removal, and rebuilding expenses would not be covered.

Some financial guides recommend keeping a replacement policy, but reducing coverage to 80 or 90 percent. At one time, this was a sound principle because insurers would pay for the full amount of coverage plus up to twenty percent more if a total loss occurred. Today, they will pay only a maximum of 80% of the actual replacement costs, meaning you would be responsible for 20% of the expenses.

Let's take a look at how this would work on a little foreclosure I got for a very low price. I paid $15,000 for the property because I knew the bank's Vice President, who told me that the former owner had paid off all but a few years of the mortgage before she died. Her children refused to continue paying it, and let it go into foreclosure. I snapped it up, my husband replaced the plumbing and we installed a new air conditioner and furnace. With a little paint, it would have sold for about $50,000, but instead we rented it.

My landlord policy suggests a replacement cost of $176,000, (which is too high in my opinion!)

If lightning struck the house and burned it to a degree that was considered a total loss, here are how these policies would and wouldn't provide coverage:

Normal replacement cost policy: Let's say that demolition, debris removal, and rebuilding charges totaled $140,000. My existing policy would pay 100% of the costs after I paid my deductible. If the total cost was $180,000, I would pay my deductible, the insurer would pay slightly more than my covered amount - $179,000 instead of $176,000 - and I would owe nothing else.

If I reduce the amount of coverage to 80% of replacement cost and faced the same total loss, the insurance coverage would look far different. I would be responsible for $28,000 if the costs only came to $140,000, even though 80% of the covered replacement cost is $140,600. The company would only pay a maximum of 80% of actual costs.

If I obtained a market policy instead (my current company doesn't offer this option), the insurance company would determine what similar houses typically sell for and offer me that amount, which in this case would be around $50,000. I would be responsible for any demolition, debris removal, or rebuilding at my own expense.




Is Landlord Insurance Worth Having?


Buying insurance coverage is like gambling on how likely you are to be struck by problems. In all my years of property ownership, I've only filed one claim that paid a few thousand dollars to fix an outbuilding that was struck by a very large tree. I have paid many thousands of dollars in insurance premiums, however!

I would prefer to pay that premium into an account and use that account to pay for losses, because I would save a ton of money. So why don't I do that?

The reason is simple. If someone falls and cracks their head open, I could pay their medical bills and be done with it... as long as they don't decide to sue me because there's a crack in the sidewalk or an ice patch that they didn't see that they claim is my fault because I didn't have enough light in the area. The costs of a lawsuit can be extremely high, and the personal liability coverage provided in my landlord coverage ensures that the company that charges the big bucks to insure my property will have to handle that fight instead of me.

They're the deep pockets, not me. I pay them to protect me against tenants who might think I'm the one who can afford to enrich their lives.

Only Having Liability Insurance on Your Car


Only Having Liability Insurance on Your Car



My beloved car. I carry only liability insurance on it, but I have taken measures to ensure I can fix it if need be. | Source

I Used To Have Full Coverage Insurance


I didn’t always only have liability insurance on my car. I once had full coverage.

It all began when I started reading Dave Ramsey’s book Financial Peace. He made a point about how so many people who struggle financially often have two new (or newer) cars sitting in their driveways.

People often squeak by, with no savings and have credit card debt. Many of these same people also have new cars with auto loans. If you have any kind of a loan on a car, full coverage insurance is generally compulsory.

Then I was reading another book about How To Survive Without a Salary. The author makes a point about the ridiculousness of having full coverage on a car that isn’t worth much.

I began thinking about the value of my manual two-door hatchback. I was paying full comprehensive and collision insurance and I had long ago finished making payments.





My husband's truck. We also only have liability insurance on it - it's nearly 20 years old. I LOVE how it was built to last. | Source

What Will Your Next Car Be?
A new Car - life is short!
A new, but very stripped down car.
A newer-used car.
Eh, as long as I carry liability insurance on it, I don't really care.See results without voting

New Cars Require Full Coverage Insurance


I bought my car new. Usually in my tendency to save money and be green, purchasing a new car wasn’t something I considered lightly. But, I had had a small Volkswagen car that had been in five accidents (they weren’t my fault). I traded that in for a Subaru that later leaked oil and I had to replace 5 rear-wheel bearings. Those repairs were not cheap.

I finally decided to get a new car that I knew hadn’t been in an accident and was under warranty for repairs. I got a small, gas-efficient stripped-down Focus. I love my car.

Because I was making payments on it, I carried full coverage insurance. The value of the car far exceeded any cash that I had lying around.

When you’re making payments, lenders require that you have full coverage. In the event of an accident, fire, or theft, the insurance companies will still be able to collect on any amount you still owe. The full coverage insurance covers repair costs for your car and will also give you a check for your car’s value should you total it.

But, what happens when you finish all those payments?

I kept full coverage for awhile. In fact, I kept it on until my car’s value depreciated to about $5000. That was in late 2010.

After that, I called my auto insurance company and canceled my comprehensive and collision insurance.

Why would I do that when the insurance company would pay to repair my car if it was in an accident?

Why I Canceled My Full Coverage


I had two reasons. First, I wanted a lower insurance premium. Canceling my full coverage saved me $600 a year.

Second, I now could afford car repairs. I was now willing to repair my car up to the cost of its value and had saved the cash to do so.

Thus, if the condenser for the air conditioning went out, I could fix that. If the motor stopped running, I could afford to repair it. However, if repairs exceeded the value of the car, I knew it would be time to get another car.

The thing is, I may get a new car again in the future. I am eyeing the electric cars on the market because you can get tax rebates for such purchases.


Our "spare" car. This one is a great vehicle, but it mostly sits. We don't have it licensed or insured, but if we needed to fix one of the other cars, we could easily add it on to our insurance policy. | Source

New Car and Drawbacks


But the drawbacks of having a new car are serious. For most of us, buying a new car entails car payments. You pay interest on those car payments.

Thus, a car costing $20,000 will cost you $27,000 after paying it off for 5 years at an interest rate of 7%. 20,000 x (.07/12) x 60 = 7,000. That’s a lot of extra money with which you could do a lot of things: an extra vacation, a remodel on the house, or even a down payment for a new car.

Plus, there’s the fact that you’ll have to pay for full coverage insurance throughout the life of the loan. An extra $60/month for 5 years (which is what I had on my Volkswagen when I had it) = $3600. That’s a lot of money in insurance costs. Now, you have an extra $7000 you’re paying in interest, plus the cost of full coverage at $3600. That’s $13,600 worth of extra costs over 5 years for the car!

You also have to think about how a car depreciates. As soon as you drive it off the lot, chances are, you now owe more than it’s worth. This happened to me. After about the third time someone hit my Volkswagen, I started thinking that I needed another car. I was driving a dent magnet. Unfortunately, the value of the car was less than what I owed. I had to wait another year and a half (and two more accidents) before I could finally trade it in and come out ahead.

I’ve all but convinced myself always to buy a car where I’ll need liability insurance only. Basically, liability insurance will cover the cost of repairs for the other person’s car if I’m in an accident and it’s my fault.

My policy may even help to cover medical costs, but it’s up to the individual policyholder. Insurance companies and policies are different - it's always a good idea to check with your insurance provider about the specifics of your situation.

Having a car with liability insurance means that I have a cheaper car in the first place and I don’t have to pay nearly as much in insurance costs.

I may have to fork over money for repair costs. That part is a gamble. But, chances are good that I won’t have to pay repair costs or that they won’t be that costly.


When Should You Cancel Full Coverage Insurance?


It’s definitely up to you as an individual to determine whether to carry liability insurance only on your car. Would you be comfortable footing the bill for the repair costs? Would you rather pay your insurance company to take care of that for you?

A good guideline is to determine the value of your car. I stopped carrying full coverage when its value was at $5000 because I am comfortable paying for repairs up to that value. It’s not worth the extra $600/year for me.

It also helps that my husband is great with cars – he rebuilds them. Thus, if I get into an accident, I have his truck as a backup, as well as a third car that he’s working on. It stays parked, but if I had to, I could put plates on that and add liability insurance easily.

No, it’s not as glamorous to drive around an older car. We’re programmed to like new and innovative things in our society. I’m not saying whether that’s good or bad, but if you’re a money-saver like I am, you don’t always win the “ooohs” and “aaahs” with your friends and family when you’re driving an unassuming older car.

You have to think about what’s more important to you: to be out of debt and save more money or to drive a sleek new car. Either way you pay, just in a different way.


Do You Only Have Liability Insurance On Your Car?
Yes, and I always will.
Yes, but I still want a new car.
No, but I will consider dropping it when my car's value is low enough.
No, and I am willing to pay extra for the full coverage.
No, I need a new car with all the bells and whistles, thank you very much.See results without voting

Lower Your Insurance Premiums


Indeed, it is up to you, the individual, to determine whether you will carry full coverage or liability coverage.

Weigh the cost of the premiums against the value of your car. If a car is worth $3000 and your comprehensive and collision insurance is about $200/year, you've paid 1/2 the value of your car in insurance premiums in one year. But, if you total it, the insurance company will give you a check for the value of the car at the time (which is often lower than you would think), minus the deductible. That $3000 car might be worth $1500 if you totaled it, plus the deductible. That could amount to a total of $2000.

To save on premiums, you can also raise the cost of your deductible. By going from $500 to $1000, your rates have the potential to drop dramatically. Just be sure you can handle the amount of the deductible should you ever need to pay it.

Something else to consider is the fact that if you only have liability insurance, youmust purchase the extra insurance if you ever rent a car. Your insurance will not cover you - generally - if you are in a rental car. Each policy is different, however. Check with your insurer to be sure.

Final Thoughts


When I bought my Focus, I intentionally looked for a stripped-down version. They're much easier to work on that way. They're also everywhere, so it's easy to find parts for them.

It's also nice if you have someone who's good at working on cars in the family. My husband is my insurance policy. All jokes aside, we can find parts we need and my husband can install them and/or tweak them.

If you have the space, buy a very cheap alternative car. My sister has two used older cars. When one breaks down, she can still use the other one. That way, she won't have to depend on the insurance company to come through for repairs and deductibles.

I admit it's great to have a sleek new car with all the bells and whistles. However, it's more important to me to save up for a trip to Spain or a ski trip to Patagonia than it is to have a new car.

About the Author


Cynthia is a freelance writer, photographer, artist and teacher. She loves studying language, arts and culture and sharing that knowledge with others.

Did you know you can write for HubPages? It's fun, easy and you can even make some money doing so.

How to Fix Fender-Bender Damage & Save Car Insurance Claims?


How to Fix Fender-Bender Damage & Save Car Insurance Claims?



Nobody likes to have an auto accident, not even a minor fender-bender. It is possible, however, to come out of a fender-bender with hundreds of dollars that you can save towards the purchase of your next car.

First let’s clarify what this article is not about.
We hope you weren’t seriously injured. If you had minor injuries, we hope that either your insurance or the at-fault party’s took care of that.
We’re not talking about lawsuits. There may be a place for legal action, but it is not discussed here.
We’re presuming that your car is either still drivable or can be repaired to safe, drivable condition.

By the way, some insurers only pay for repairs actually performed. That is, they pay the shop, not you, and you can’t pocket any difference. I won’t say they’re being unfair, but if your company is like that, don’t waste your time reading this article. If it’s a big deal to you, you might shop for another insurance company—I would.


Your claims adjuster


Assessing the damage


Your insurance company is going to assess the damage. They do that in one of three ways, depending on the company. Sometimes they have you bring your car (if still safely drivable) to a regional center where they have their own claims adjuster write up a damage estimate. If your car is not drivable, they may have their field adjuster come to the car. Sometimes they hire an independent claims adjuster to come to your car. Sometimes they ask you to get two or three written repair estimates to submit to them.

There can be a lot of variation in repair quotes. The adjuster has no motivation to be generous with you. Depending on how closely allied he is to the insurer, he may actually have incentive to be somewhat stingy. It is also possible for him to miss things, especially if he doesn’t have a lot of experience.

The first thing you need to do is get your insurance company to accept a fairly high repair estimate. If at all possible, get a couple of estimates of your own even before seeing the claims adjuster. If it’s a late-model car, take it back to the dealer. Otherwise, take your car to a couple of reputable collision centers or national chains. Tell them you are getting an estimate for an insurance claim, that you want it done right, that you don’t want them to miss anything. Your shop should understand from this that you are looking for an estimate on the high side of what is reasonable and customary. Don’t let them get the impression that you are comparison-shopping for the lowest bid—quite the opposite! There should be no discussion of deductibles.

When you have the claims adjuster from the insurance company look at the vehicle, let him know that you have a couple of quotes already. He won’t offer you a settlement without knowing what those are. But tell him that you want to see what he comes up with before showing him what your own shop came up with. If he’s higher, take it. If he’s lower, you’ve got leverage with your estimates. Maybe he missed something—that’s common. A repair shop hoping to do your work isn’t going to miss as much of that because it’s bad for business.


This car went through a hedge and was probably declared a total loss. Used parts and no paint would get this back on the road cheap and ugly--with the rest of the insurance money in hand. | Source

What if they say it’s totaled?


If the estimate to repair the damage is more than about ¾ of what they figure the car would be worth in undamaged condition, the insurance company will want to pay you only what the car is worth. They determine value based on the lowest trade-in value of that make, model and year of car—regardless of restoration or rusty relic. At that point, you have a second determination to make: Is the car worth more to you than it is to them? This goes back to the third assumption in the introduction: that your car is either still drivable or can be repaired to safe, drivable condition.

If the car is customized, unusual or rare, you might be able to make a case for valuing the car above “the book value.” I have a 1981 Toyota that is registered as a coupe. It was actually one of just 900 convertibles sold new in showrooms that year. It took quite a bit of hard-to-get documentation before the insurance adjuster doubled the value. They still said it was totaled. I didn’t see it that way, of course, and restored it, but they gave me twice as much money to work with as they initially offered.


The door skin is merely dented--fixing it is optional. The mirror is simply folded out of the way. | Source

Pocket the cash & drive it as-is


So far we’ve established that your car is damaged, but repairable, and that the insurance has paid you what it will cost to repair it. There is probably bent sheet metal that will require a body shop for repairs. Often, there is no mechanical damage—like a punctured radiator or bent wheel rim—that renders the car either undrivable or unsafe. In this case, you might want to ask yourself, “Do I actually need to have this car repaired?” If the car is several years old, you really don’t need to have it repaired to like-new condition.

If the driver’s door or hood won’t open, you probably need to get it fixed, at least enough so that it will operate. On the other hand, the whole side could have been side-swiped and cost well over $1,000, but still have working doors, windows and mechanical parts. Can you live with it ugly like that? If so, pocket the insurance money and save it for your next car. A few examples will illustrate:


This car is completely drivable, although the passenger door won't open. It just needs a mirror and windshield to be a "daily driver". |Source



Example 1: Oldsmobile

My daughter’s Oldsmobile bumped the car in front of hers. The hood worked fine, and for $2.50, we replaced a bulb with a broken filament. She pocketed slightly more than $1,000 on that one. A year later she was sideswiped by a pickup truck. She replaced the mirror and side marker light and lived with the scraped-up body panels that worked just fine. Again, she pocketed just over $1,000. Next, the car was struck broadside by an SUV. The insurance company said it was totaled and gave her $2,300. Doors on the passenger side wouldn’t open, but the car was still completely drivable. And she did drive it for another couple of months before deciding it was time to upgrade. All totaled (pun intended), that old car helped her save—or should I say earn—$4,300 towards her next car.
Example 2: Passat

One time I was run off the road by a city vehicle whose driver didn’t see me. Since there was a curb, there was significant damage to the undercarriage—the VW dealer estimated $3,500, and the city paid. The damage did not affect the alignment or anything mechanical, although it certainly looked nasty if you put it on a lift and looked at it from the underside. Since I don’t expect most people to look at my car from that angle, I didn’t have it repaired.

Repair it on a tight budget; pocket the rest


OK, but suppose that you do have mechanical damage, broken glass, or doors or hood that won’t open. You’re going to have to repair the car in order to keep driving it. But there are three ways you can economize here, individually or in combination—and this is not at all the way it was estimated to begin with. That means that whatever insurance money you don’t spend is what you get to keep. This is more palatable for a car that is several years old than for last year’s sports coupe!


The car is about 25 years old. The owner decided a used door from another car was fine and he isn't picky about paint color. It gets him around town just fine in this condition. | Source

Partial repairs

The suspension and drivetrain need to function. Safety items like windshield, headlights, taillights and turn indicators have to operate. You need to be able to get into and out of the car and open the engine compartment. If you stop there, you will have what is called a daily driveror a commuter car—something to put the miles on when you’re by yourself and don’t really care what the sheet metal looks like. Depending on who or what you typically transport, you may need more than one door operable and the trunk lid as well. You might be able to get by with partial repairs.
Shops with low overhead costs

You got your repair estimates from quality repair shops. If you need the car to last another ten years, then that’s probably where you should get it repaired. But if it’s already five years old and you only need it to last another three years or so, you can cut quality and save 50-75% of the repair cost.

Ask a trusted friend who is in the automotive business—any part of it. He knows people, or he knows others who know people. What you’re looking for is some independent guy who has no advertizing but word of mouth. He works in conditions with low overhead expense, possibly just one unit in a warehouse. He won’t accept any form of payment except cash—and doesn’t issue receipts. But he does paint and body work of good (or at least acceptable) quality, does it cheaply and is trusted and respected by someone you trust and respect.

Buy used parts

A third way to save on collision repairs is to get used parts from a salvage yard or on eBay. If you’re working with a nationwide repair chain, they probably won’t like the idea, unless it’s just for a headlight or taillight assembly. If you go with abudget shop as described above, he’ll love the idea, but don’t be surprised if he wants you to do the legwork to locate the parts. At salvage yards, you don’t necessarily have to get too greasy, but you will get dirty. Buying from eBay will cost a bit more, and the seller will already have cleaned up the part some for you. Due to the shipping, eBay works best with small but expensive items like headlight and taillight assemblies.

When my 30-year-old convertible was damaged, I needed three parts that are no longer manufactured. A quick internet search showed me which local junk yards had cars that were similar enough to have the same part. The next step was for me to drive out there and see for myself whether the needed parts were available and usable. The junk car could have been damaged on that corner or someone could have beaten me to removing those parts. When I found the parts I needed, I paid someone to remove them for me—they were big and greasy—so I could deliver them to the shop that would install them.

Where you can save a ton of money this way is on headlight and taillight assemblies, bumpers, whole doors, hoods, deck lids and glass. These are relatively easy to remove and not too dirty—not compared to a frame member or axle. I was shocked at how cheap it would be for them to install a used windshield for me right there and give me a one-year warranty. (If it’s going to leak or break due to faulty workmanship, it certainly won’t take that long to happen.)

Monday 25 April 2016

When you hear about the country India,

When you hear about the country India, 

you think of one of the oldest cultures and traditions in the world isn't it? And yes that's true. It is the oldest culture.And this is based on the religion present in India.
India was one of the richest countries in the world during the reign of kings and Queens.It had temples made out of Gold.The fields of different spices and vegetables were really vast. And many years later, now it still is the world's biggest source of rice and vegetation. Sanskrit originated in India.The corpus of Sanskrit literature encompasses a rich tradition of poetry and drama as well as scientific, technical, philosophical and dharma texts. Sanskrit continues to be widely used as a ceremonial language in Hindu religious rituals and Buddhist practice in the forms of hymns and mantras.
India has 28 states and each state is different.Each state has their own language, dressing,food and more.Different coloured people and different religion people live
in India too.India has 18 languages and 1600 minor languages and dialects.Though the majority in India is Hinduism ,Islam is practised by around 13% of all Indians.The
country had over 23 million Christians, over 19 million Sikhs, about 8 million Buddhists and about 4 million Jains.And therefore different festivals too are celebrated
in India. And the best part is even though theres a mixture of different people, Indians still live together peacefully and celebrate festivals together.They even don't
care about what colour or religion you are.Bharatnatyam is the official dance of India .This dance is very popular in India. The musical instruments in India are very classical like the harmonium ,flute ,tabla etc.