Reader’s Question:

I live in Koolaupoko, HI and have just been recently involved in a car accident. I think the vehicle will be declared a total loss but I would like to know is, how soon can I remove the total loss car from my insurance policy?

Pam

Koolaupoko, HI

Most insurance carriers will advise you that you should not remove a total loss car from your insurance policy until you are no longer using a rental car and your damaged car is no longer registered under your name. The car is usually no longer in your name at the end of the process of insurance settlement when you sign over the title to the insurance carrier and receive your check for the actual cash value (ACV) of the vehicle.

In many states, an insurance company will be able to remove the vehicle from your policy retroactive to the accident date when you are ready to take it off of your policy. You should discuss with your insurance provider at what point they would advise you to remove your coverages from the totaled car and if they can make the cancellation retroactive or not.

To know more about your total loss car or claims procedures you can speak with the insurance adjuster working your claim or you may try contacting the consumer division of the Hawaii Insurance Department.

Tags: automobile, car, car insurance, insurance

Reader’s Question:

What are the advantages of purchasing Uninsured Motorist and Underinsured Motorist coverage in Hawaii? I live in Ewa, HI.

Mark

Ewa, HI

The minimum mandatory insurance coverage in Hawaii includes bodily injury liability of $20,000 up to $40,000 per accident and a $10,000 per property damage liability.

Hawaii insurance companies also offer uninsured motorist (UM) and underinsured motorist (UIM) coverages to policyholders of auto insurance. You may buy a minimum of $20,000 per person of UM and/or UIM coverages. Uninsured motorist coverage will pay for serious injuries or death if the motorist at fault does not have insurance or in case of a hit and run accident. Underinsured motorist coverage pays if the motorist at fault does not have enough auto insurance.

UM and UIM insurance coverage advantages are in the added protection you get. This is different with bodily injury liability coverage which covers the other driver if you are at fault. Bodily injury liability insurance takes care of injuries to other party that you are responsible for, while uninsured and underinsured motorist pays for any serious injuries if the other party was uninsured or underinsured for your injuries.

Tags: autos, car, car insurance, insurance