A 2008 wind storm is still causing problems for Ohio homeowners. This time instead of downed trees and ripped off roofs, homeowners are having to deal with higher homeowners’ insurance rates. According to the Ohio Department of Insurance, rates increased by an average of 9.7 percent. The Ohio Department of Insurance surveyed the top ten providers of homeowners’ insurance, according to the Dayton Business Journal.

The increase comes on the heels of a seven percent increase in 2008, which at the time was the largest jump in five years, according to reports. Insurance companies say they paid out more than $1.4 billion in 2008 as a result of the September wind storm that left millions without power for days. The storm was what was left of Hurricane Ike, wiping out power to 1.9 million electricity customers in the Dayton area.

In addition to increased homeowners’ insurance rates, Ohio residents will also see a 2.8 percent increase in auto insurance rates. But despite the increases, reports show that Ohio is still the sixth lowest in the country for homeowner’s insurance rates and the 11th lowest for auto insurance rates.

Many auto insurance companies are trying to keep your business by offering perks and incentives. Wondering what all of these things mean? Here are some key auto insurance terms defined:

Accident Forgiveness: In the past, every time you got in an accident your insurance premiums soared and you ended up paying way more. But now many insurance companies are offering accident forgiveness. If you’re in an accident that is your fault, accident forgiveness will protect your driving record and prevent your rates from skyrocketing.

Deductible Rewards: Many insurance companies have realized how annoying it is to be a great driver, but not get any incentive for it. Now with deductible rewards the insurance company will take a certain amount of money off of your Collision deductible every year you go without having an accident.

Safe Driving Bonus: When you don’t get into accidents, the insurance company doesn’t have to spend any money on you. Now some companies are giving you a piece of your money back as a reward for being a safe driver. Every six months to a year they’ll cut you a check if you haven’t had any issues. The amount of the check is usually equal to a small percentage of your premium.

New Car Replacement: This term is just like it sounds. Since cars lose their value so quickly, drivers who totaled their new cars ended up with a bad deal. They’d get the money equal to what their car was worth, which worked out to be a bad deal. Now some auto insurance providers are promising to give you a new car if yours is totaled within the first three years– not just the depreciated value.

Everyone is looking for ways to cut costs these days and your auto insurance coverage may have some hidden savings. Here are four ways you can lower auto insurance costs.

1. Reduce Coverage on Older Cars. Have a car that’s been around the block about a million times? Make sure you’re not buying more insurance than you need. There is no need to insure the car for more than it’s worth. If your car is totaled, you’ll only be able to get the value of what the car was worth anyway. Experts say it may be OK to drop collision and comprehensive coverage if your car is worth less than ten times the premium.

2. Raise Your Deductible. Going from a $250 deductible to $1000 can cut your monthly costs by as much as 40% which is no small savings. Just make sure you consider how easily you’ll be able to come up with the cash for the deductible if something were to happen.

3. Shop Around for Your Teen. Most people just assume that adding their teen drivers onto their own policies is the cheapest way to go, but that’s not necessarily true. You may be surprised what kind of rates you can find when you shop around with other companies that specialize in high-risk drivers.

4. Ask About Discounts. People that work from home or use public transportation can score cheaper rates because they’re not driving as much. Ask your auto insurance agent if there are any discounts available that you may qualify for. If you’ve been a customer for a while they may give you a lower rate or if your car has added security features.

A huge insurance company in California is accused of breaking state laws and could face big fines. The state Department of Insurance released a report Monday according to San Francisco Chronicle  that says that Mercury Insurance Group, the state’s third largest insurer overcharged customers and also denied some people coverage.

Mercury company officials released a statement maintaining their innocence. The company said in the statement that it “takes very seriously our responsibilities to consumers and our customers” adding, “We don’t engage in practices that would overcharge our customers.”

The report identifies 35 alleged violations in a span of about three months between March and May 2007. The violations include instances where Mercury supposedly barred people from coverage if they worked in certain jobs including bartenders, painters, cocktail waitresses or artists. Also, the report says that homeowners insurance premiums weren’t applied on time, resulting in overcharges for the insured. According to reports, Mercury has ten days to correct the violations and otherwise faces a $5,000 fine for each violation. This isn’t the first time Mercury has faced fines. In 2008 the company paid $200,000 in fines and in 2006, they paid $300,000 for violating insurance laws, according to Insurance Department officials.

There are many truths in the insurance world that the average person is not aware of. The problem is that not knowing the ins and outs of various types of insurance can cost you. What you don’t know about insurance could hurt you so start learning everything you need to know.

The number of no-fault insurance fraud cases have risen steadily in New York with 11,000 incidences reported already this year. Compared to last year this is a seven percent increase. The New York State Insurance Department is suggesting changes be made in required auto insurance coverage to hopefully eliminate the number of fraud cases. The changes will impact consumers in terms of the insurance requirements and the cost of auto insurance.

The Maryland Insurance Administration has a fraud division that is run by Carolyn Henneman. It is her division’s responsibility to process complaints indicating possible cases of all types of insurance fraud. The division recently published a report for the fiscal year just ending 6/30/09 and there was some interesting information in it.

Recently, New Jersey residents have been taking advantage of the lower auto insurance rates that have been offered by premiere insurance carrier, IFA Insurance Company, located in Clark New Jersey. Founded in 1972, the company is an independent property-casualty insurer that specializes in private passenger auto insurance for the states of New Jersey and Pennsylvania. IFA has garnered an impressive reputation in the insurance industry, taking its place as a real leader in the market.

With so many financial obligations that must be met by the average person, it is not surprising that many fail to meet one or more of these obligations.  If you fail to pay your mortgage payment, there can be serious consequences not the least of which is potentially losing your house.  What are some reasons? 

The American Association for Justice (AAJ), an organization representing the concerns of lawyers mostly working for plaintiffs in civil trials, gave Allstate its lowest rating today in its study of US insurance companies. This statement comes on the heels of a long history of legal conflict between Allstate and its customers, who have been taking to court their demands for allegedly wrongfully withheld claims. The AAJ asserted today that Allstate is the worst insurance company in the country, based on the rates it charges its customers and its unfair treatment of many customers.