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Wall Street Journal
3 days ago
- Business
- Wall Street Journal
That Strange NFL-Disney Deal
This week's deal giving the NFL part-ownership of Disney's ESPN reflects the NFL's importance as a prop under the otherwise rapidly sinking traditional television business. But honorable mention should also go to the car-insurance advertisers, Geico and Progressive, which have done more than their bit to keep linear, ad-littered television not only financial ambulatory but entertaining. Geico with its gecko and cavemen, and Progressive with its long-running ensemble featuring Flo and her aproned insurance mavens, are among the best things on television. They also inject much of the cash that keeps the old machine ticking over.
Miami Herald
4 days ago
- Automotive
- Miami Herald
Florida's auto insurance rates are dropping — proof that legal reforms work
Auto insurance rates always seem to go up. But after more than a decade of steady increases, including some of the steepest hikes in the country, rates are finally declining in Florida. Recent filings show that major insurers are lowering auto premiums for Florida drivers, with some reductions topping 10%. This is not a fluke. It is the direct result of legal reforms enacted in 2023 to end litigation abuse and bring stability back to the system. But it is not guaranteed to continue. The state's five largest insurers — Progressive, Allstate, GEICO, State Farm and USAA — are collectively cutting rates by an average of 6.5% this year. These companies cover close to 80% of Florida's insured motorists. Yet just before our reforms, premiums spiked by 30% in the span of a single year. What changed? In 2023, while I was speaker of the House, the Florida Legislature passed and Gov. Ron DeSantis signed comprehensive civil litigation reform targeting the root causes of out-of-control insurance costs: legal abuse. Florida's system had become a magnet for excessive and often meritless lawsuits — not just in auto insurance, but also in the homeowner's market. The imbalance was striking. In 2019, Florida accounted for just 8% of all U.S. homeowners insurance claims, but an astounding 76% of all homeowners insurance litigation in the nation. Our litigation climate encouraged high-volume lawsuits, inflated settlements and, ultimately, higher costs for policyholders. The same Wild West litigation rules drove up auto insurance rates. Our legal system was broken, incentivizing trial lawyers and bad faith actors to game the system at our expense. Florida's 2023 reforms brought that environment back into balance. We eliminated one-way attorney's fees in most property and auto cases, reformed laws to require real grounds before lawsuits could proceed and introduced reasonable notice and transparency requirements. The Legislature changed the incentives, insurers responded and consumers are now the winners. Some claim our reforms were a victory for insurers, but we also strengthened laws to hold insurers accountable to policyholders. The big winners are Florida consumers, who finally get some help to ease their cost of living. Our reforms are a case study in success that other states should follow. Across the rest of the country, auto insurance continues to be one of the top drivers of inflation. The July 2025 Consumer Price Index shows that motor vehicle insurance increased nationally by 6.1% this past year, making it one of the largest contributors to core inflation. While other states still struggle to contain insurance costs, Florida's legislative reforms are reversing the trend in our state, proving that the price decline in Florida is the direct result of our bold reforms. We cannot go backward. Some in the Legislature want to undo these reforms. Why? Because the reforms upset a lucrative political ecosystem. Florida's pre-reform litigation culture gave trial lawyers a cash cow, a gravy train. They want to repeal reforms that put savings in consumers' pockets so they can put those millions back in their own pockets. Not surprisingly, they remain among the largest campaign contributors in our state. The effort to reverse course is not about protecting consumers. It's about restoring a system that was profitable for a few and costly for everyone else. Along with the governor and my colleagues, I was proud to lead the reform effort to make our courts fair for all concerned. The result is a measurable decline in premiums and the first signs of long-term cost relief for Floridians who need it. It's working. Let's not let politics get in the way of continued progress. Paul Renner was speaker of the House in Florida from 2022-2024. He is a former Republican state legislator from Palm Coast and was recently appointed to the state Board of Governors overseeing higher education.
CNET
4 days ago
- Business
- CNET
I Found Out Just How Much a Home Security System Can Save on Home Insurance
I frequently run into the claim that a home security system or even a single device can save you money on your homeowners insurance -- the type of insurance that covers things like theft and break-ins. So I decided to research insurance companies like Allstate, Progressive and State Farm to see if that's true. The good news is that you can save and I was surprised at how substantial some of those discounts can be because home security is a strong theft deterrent. Many people pay about $100 for their home insurance and security technology can cut that down by $10 to $20 per month, nothing to sneeze at. But I dug a bit further to find out if specific devices can save you cash. A single device like a video doorbell or security camera Savings: Probably 2% to 5% discount One security camera can probably get you a small insurance discount. Amazon A single security camera or video doorbell on your property can usually knock off a few percentage points from your homeowners insurance premiums. Insurers like to see cameras not only as a preventative option but as a way to collect evidence in case of a crime or property damage, making their jobs much easier. These cameras often don't require subscriptions and don't include monitoring services, so you can consider them a one-time purchase. Take a look at our outdoor security camera recommendations to see some popular options. Insurance companies may have rules regarding what features a camera must have to qualify, such as motion detection (very common), self-monitoring alerts (always included via app) or a higher resolution on the camera. Some may count cams only if they're connected to a larger home security system. Check the details to learn more. Important note: Discounts will vary based on the insurance company. Some won't offer many discounts at all. Some may have a flat rebate, like $20 to $40 off your annual premium. But percentages are common and provide a useful way to gauge potential savings, so we're using them. Always contact your insurance agent to ask about your specific discounts before buying home security tech. A smart lock Savings: Possibly a 2% to 5% discount Smart locks of the right caliber can help you save. Lockly A smart lock makes managing access easier and fixes problems like forgetting to lock the front door. You can also create temporary passes for people rather than handing out precious physical home keys. Watch for homeowners insurance discounts like a smart deadbolt that includes a keypad, or smart locks on every external door in the house. A full home security system Savings: Likely a 5% to 15% discount Abode's starter kit is super affordable and works with many third-party products. Abode A full home system includes door and contact sensors to help detect break-ins. These systems can be fully DIY, and cheap versions may cost only a couple hundred dollars to start with. Plus, most allow you to add more sensors, cams or other devices in the future. Abode and Vivint in particularly have excellent support for third-party devices from other brands. Because of the more complete coverage, home security systems are even more likely to qualify for insurance discounts and make it easier to increase potential discounts by adding more devices. Contact sensors, glass break sensors, a panel to arm or disarm and a security cam or two is a powerful combination that many insurers offer benefits for. Adding a compatible temperature monitoring system or leak detector can bump savings even higher. Again, watch for requirements like having certain types of sensors, having sensors on all access points in your home and other fine print that insurers may have. Professional home monitoring services Savings: Up to 20% discount Home security monitoring is most likely to net you discounts. Frontpoint A professional eye on your home can cost about $20 to $30 or even less per month and connects your system with a monitoring center that can watch for trouble and contact first responders even if you aren't available. They may even be able to use audio or sirens to scare burglars away. SimpliSafe's advanced system even recognizes friends from strangers to improve reactions. Monitoring is an excellent way to mitigate damage from break-ins or fires so they're very likely to gain some discounts from insurance companies. Note: Insurance companies may offer different rebates for different types of monitoring. You may get one discount for burglar monitoring and a separate discount for professional fire alarm monitoring. Most professional monitoring services offer both in a combined package. Environmental sensors like leak detectors or smart smoke detectors Savings: Possibly a 2% to 5% discount Kangaroo includes a climate sensor, aka leak detector, in it's expanded eight-piece home monitoring kit. Kangaroo Leak detectors are helpful for alerting home occupants to leaks in bathrooms or under sinks, while smart smoke detectors offer better monitoring options and blessedly quiet battery updates. However, neither of these by themselves may be enough to qualify for an insurance discount. Instead, these sensors are more likely to qualify for savings if they are part of a larger home security system or connected to a professional monitoring service. Insurance companies especially like to see leak detectors in a security system and may offer additional savings if you add one. Many platforms offer support for things like leak sensors, but for a particular compact and affordable option, check out Arlo's eight-in-one sensor approach. Note: For specific devices like leak detectors, insurers may have specific brands that they require. Does homeowners insurance ever require a home security system? It's not universal but certain insurance packages or additions may require specific home security devices and even professional home monitoring. These requirements can also vary based on location or the value of nearby homes: If you're moving to a new home, study your homeowners insurance policy carefully to note any home security mandates. What if the bank pays for my homeowners insurance? In some cases, people pay homeowners insurance into an escrow account managed by their lender, which in turn chooses to pay for homeowners insurance and other fees. This may be a requirement of a mortgage, at least for the first year or so. In situations like this, insurance companies may not offer the same kind of discounts, or you may not be able to save much money depending on the details of your mortgage. However, you can contact your lending bank to discuss remitting the escrow payments for insurance and handling the insurance directly, if you prefer. To save even more money, consider bundling your insurance policies or looking for especially cheap home security cams. There are also ways to save a lot of money on professional home monitoring.
Yahoo
6 days ago
- Automotive
- Yahoo
Car insurance options for low-mileage drivers
If you don't drive much, paying hundreds or more a month for car insurance can feel like a waste of money. You can't get rid of the insurance expense entirely, but you may have a way to trim your insurance costs. Requesting a low-mileage discount or switching to insurance designed for your limited driving habits could lower your premiums. This embedded content is not available in your region. Learn more: How car insurance works. The basics explained. Can you get low-mileage car insurance? Yes, you can get low-mileage car insurance. Several insurance companies have lower-cost programs for vehicle owners who log fewer hours behind the wheel. Each company sets its own rules regarding who qualifies as a low-mileage driver, how premiums are calculated, and the type of insurance offered. Types of insurance for low-mileage drivers There are three main types of car insurance programs for low-mileage drivers: Standard car insurance with a discount for low annual mileage. American Family Insurance, National General, Progressive, State Farm, Travelers, and others provide standard car insurance at cheaper rates for low-mileage drivers. Pay-per-mile insurance. Pay-per-mile car insurance has an adjustable premium based on how much you drive. Usually, you will pay a low base rate plus a per-mile rate. If your mileage is low, the sum of the two rate components can be cheaper than standard car insurance. Pay-per-mile insurance policies can provide the same coverage as standard insurance, but this may vary by provider. Allstate, Nationwide, and Mile Auto offer pay-per-mile insurance. Usage-based insurance (UBI), also called telematics insurance. UBI sets pricing based on your driving habits, including the number of miles you drive. If you don't drive a lot and drive safely, your rates with UBI coverage can be competitive. UBI providers monitor your driving behaviors and mileage with technology installed in your vehicle called telematics. Root and others offer UBI insurance. Learn more: How usage-based car insurance works How many miles a year is considered low mileage? Each auto insurance company sets thresholds for low-mileage discounts. Often, there are tiers. According to John Espenschied, agency principal at Insurance Brokers Group, insurance companies may characterize 7,500 annual miles driven as low mileage. But someone who drives 3,000 miles a year often gets a larger discount than another driver who drives 7,000 miles annually. You can also define low mileage as being less than the average miles driven. Average miles driven is estimated at roughly 11,000 to 14,000, depending on the source. Kelley Blue Book estimated the 2023 average mileage at 12,200 miles, based on total miles driven divided by the number of drivers. The Federal Highway Administration reported 11,106 average miles traveled by light-duty vehicles in 2023. How is mileage tracked? There are five ways an insurance company can track your mileage. Odometer photos. To maintain a low-mileage discount on standard insurance, you may need to submit photos of your car's odometer reading once a year or every quarter. Service records and claims. Auto dealers, oil change providers, and independent service shops may report work on your vehicle and odometer readings to national databases. Espenschied noted that insurance companies can access that data to determine how much you drive. Device installed in the car. Some insurance companies provide a device that plugs into your car's diagnostic port. The ports may be located under the steering wheel, near the center console, or under the dashboard. You can check your owner's manual to find the exact location. Connected car. Some modern vehicles have built-in technology that collects data on your driving and sends it to your insurance company. For example, some Toyotas made in 2018 or later can share driving data with Nationwide. Smartphone app. You may have the option to use a mobile app that automatically detects when you're driving and records mileage and other data. Who might want low-mileage insurance You may be a candidate for low-mileage insurance if: You work from home. You are retired. You have multiple cars. You live in a walkable city. You favor public transportation or bicycle riding over driving. In short, if you don't drive a car daily or take long trips, low-mileage insurance may be an option. Up Next Up Next How much does car insurance cost for low-mileage drivers? Espenschied estimated that driving less than 7,500 miles annually can lower insurance premiums by 5% to 15%, depending on the state and the insurer. Mileage example The table below shows how monthly insurance premiums can vary by annual mileage across different insurance companies. Quotes assume full coverage and a clean driving record. For this driver, Travelers and Progressive quoted lower rates for lower mileage, while Geico quoted the same rate for all mileages. Because many factors contribute to insurance pricing, your experience may be different. How to get a low mileage discount on your car insurance Know your mileage. You can estimate your annual mileage by checking your odometer weekly during three or four weeks of normal driving activity. Calculate your average weekly miles and multiply by 52 to approximate your annual miles driven. Ask your current provider. Contact your insurance company and ask if there is a low-mileage discount available. You may need to prove you don't drive much, with dated photos of your odometer. Ask your provider what information you'll need to provide and when the discount can take effect. Use a safe-driving app. Install a safe-driving app like Hum and use it to evaluate your driving habits. If the app gives you a good safety score, consider getting a quote for usage-based insurance. UBI is not advisable if you have risky driving habits, since it may cost more than standard insurance. Shop other providers. Your current insurance company may not have a low mileage discount, or the discount may not be competitive. To get the best rates, gather quotes from other companies. Look into standard coverage with discounts, pay-per-mile insurance, and — if you are a safe driver — usage-based insurance. Note that some online quoting tools may not request or consider your annual mileage. In that case, follow up with a broker or agent to ask about a mileage discount. Read more: How to get all the best car insurance discounts Low-mileage car insurance FAQs Is car insurance cheaper if you drive less? Car insurance may be cheaper if you drive less, depending on your car insurance company and where you live. Each insurance provider decides how important annual mileage is as a pricing factor in car insurance rates. Some treat it as a minor factor, and others weight it heavily. How much cheaper is low-mileage insurance? The potential savings for low-mileage driving can be 5% to 15%, according to Espenschied, of Insurance Brokers Group. Are hybrids good for low-mileage drivers? Hybrid cars deliver the biggest fuel efficiency gains in city driving conditions. On longer drives at steady speeds, hybrids rely more on fuel than electricity. Therefore, hybrids are suitable for low-mileage drivers who take short trips in urban areas but are less efficient for low-mileage drivers who only take occasional highway trips. What mileage is the cheapest for insurance? "There is not one cheapest mileage for insurance, but generally, the fewer miles you drive, the bigger the savings," said Espenschied. In other words, those who drive less than 3,000 miles per year can earn larger discounts than those driving 7,000 miles annually.
Yahoo
25-07-2025
- Automotive
- Yahoo
Nearly 1 in 3 Americans Have Cut This Expense in 2025 — What Are the Risks?
When money gets tight, Americans are often forced to cut expenses to save money. It can be especially tempting to cut or downgrade insurance coverage, since it doesn't deliver any immediate or tangible rewards (apart from peace of mind). In fact, insurance is one purchase you make hoping that you never need it. However, canceling or downgrading insurance coverage can leave you exposed to added costs and extra stress during an emergency. A new survey from Guardian Service found 29% of Americans downgraded or cut insurance coverage in the past year to cope with rising costs. Of those, 15% downgraded or canceled car insurance, while 8% cut health insurance and 5% downgraded homeowners coverage. Read Next: Find Out: Each of these decisions has inherent risks. '[Cutting insurance] increases financial exposure when every dollar matters,' said Kara Credle, a licensed insurance agent at Guardian Service. Experts in each industry agreed that there are better ways to save. Car Insurance While car insurance is mandated in every state except New Hampshire, there are different levels of coverage you can choose. Most states require drivers to carry liability insurance. No-fault states, and a few at-fault states, also require personal injury protection, according to Progressive. If you have a car loan or lease, your lender will often require that you carry collision coverage to protect their financial investment. Credle pointed out that 8% of Americans went from full coverage to only the required coverage last year, often once their car loans were paid off. 'It's a risky trade-off,' she said. 'Cutting components … can save money now, but it might mean footing the full bill later if an accident happens.' Before reducing your coverage, shop around for cheaper rates. You may not even need to switch insurers to get a better deal or more flexible payment terms. 'Talk to your provider,' Credle said. 'Many insurers offer flexible plans or discounts.' Check Out: Health Insurance Neal Shah, chairman of Counterforce Health, an AI-powered startup that helps people fight denied health insurance claims, likened downgrading health insurance, specifically, to removing your seatbelt in a car. 'You could get in a crash,' he said. 'The risks really outweigh the long-term savings.' In his book 'Insured to Death: How Health Insurance Screws Over Americans — And How We Take It Back,' he wrote that roughly 60% of medical-related bankruptcies involve people who did have health insurance when they got sick. 'Reducing coverage makes you even more vulnerable,' he said. He suggested using tactics like a health savings account (HSA) and direct primary care (DPC) to reduce your overall costs. With a DPC program, patients pay a monthly or annual fee to the provider and the subscription fee covers preventive care, unlimited visits, vaccines and other elements of basic healthcare. Patients would still need insurance to cover costs like testing or specialized care. 'Direct Primary Care is underutilized and gaining momentum,' Shah said. '[It] eliminates a lot of hassle for routine care.' Homeowners Insurance Like car insurance, homeowners insurance is typically required by your lender if you have a mortgage. But some types of home insurance, like flood or wildfire coverage, is often optional. 'Using historical data and trend, you can tailor coverage to your unique situation,' said Robb Lanham, chief sales officer for HUB Private Client. You can take that savings and use it to make your home more resilient against the greatest perils. But this comes with risks, as weather patterns are changing. 'As we are seeing, the weather is not predictable. You can't always outsmart the unpredictable and if you guess wrong, it could cause financial disaster,' Lanham said. 'The probabilities of something occurring are very seldom never.' Sharing data from United Policyholders, CBS News reported that nearly two-thirds of fire victims were uninsured or under-insured. 'In some cases, [homeowners] had to put retirement on hold because those funds were needed to rebuild,' Lanham said. 'Others had to move because they could no longer afford the increased cost of rebuilding and sold their property at discounted prices. In most cases, the financial burden was enough to cause major life and lifestyle changes.' If you can afford to take the financial risk, Lanham said you can increase your deductible or even consider a cost-sharing plan to save money. '[That] means the client pays half of the claim and the insurance company pays half,' he explained. 'But this could be substantial if there was a major loss.' A better step, he said, is 'strategic mitigation planning,' a process where you make your home and lifestyle more resilient to loss and, as a result, you may also receive insurance discounts. More From GOBankingRates 3 Luxury SUVs That Will Have Massive Price Drops in Summer 2025 Are You Rich or Middle Class? 8 Ways To Tell That Go Beyond Your Paycheck 4 Housing Markets That Have Plummeted in Value Over the Past 5 Years This article originally appeared on Nearly 1 in 3 Americans Have Cut This Expense in 2025 — What Are the Risks? Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
