Having been assigned a title and summary by the state attorney general's office, a proposed auto insurance initiative that would reward long-time policy holders for "continuous coverage" is one step closer to making it to the ballot in November 2012.

The action allows supporters of the American Agents Alliance to begin gathering the signatures required to put the issue before a public vote.

In short, the proposal will allow insurers to give discounts for prior coverage no matter what company provided it, and is similar to the unsuccessful Proposition 17 which was on the June 2010 ballot. But, the new proposal differs from Proposition 17 in several important ways.

Under the American Agents Alliance proposal, drivers can still be considered to have been "continuously covered" even if they have dropped coverage due to an absence for military service, have been uninsured for no more than 90 days in the past five years, have been uninsured for up to 18 months in the last five years because of loss of employment or are children living with parents who are eligible for the discount.

However, opponents of the proposal are claiming that it would actually hurt California motorists, and would punish consumers who have not had policies including low-income Californians and new drivers.

Santa Monica-based nonprofit group Consumer Watchdog issued a statement claiming the proposal "authorizes a currently prohibited surcharge on millions of California motorists who did not purchase insurance at some point in the prior five years, even if they had not been driving or did not own a car."

Attorney General Kamala Harris' office said in a press release that the measure would allow providers "to increase cost of insurance to drivers who have not maintained continuous coverage."

The proposal has become a big ticket issue for California motorists, but until supporters gather the more than 500,000 signatures to qualify for inclusion on the ballot, it will have no real substance.

—AJ Register

Territorial auto insurance ratings have been a staple in determining the cost of your premiums for decades. However, legislators in Connecticut have recently made a push to ban the practice with House Bill 5565.

Territorial ratings are fairly self explanatory, and can be easily summed up by the amount you pay for insurance in relation to where you live, which often times has nothing to do with your actual driving record and habits. Because the territorial benchmark can significantly affect the cost of your insurance, this practice that's been around almost as long as car insurance itself has become a hot button issue.

Supporters of the bill claim that the practice of using territorial ratings is controversial and unfair to those who have little choice in living conditions, especially when considering economic strains that have severely impacted Americans across the country, as well as claims that territorial ratings have undertones of racist components when viewing the close correlation of race and class.

The controversy surrounding the territorial rating process came about in Connecticut when legislative researchers were asked in 2004 to quantify the issue through an auto insurance comparison of costs across the state. What the researchers found was that rates sometimes fluctuated so widely based on territory that, for example, motorists in the suburban part of the state's capital would be charged 37 percent less for the same policy when compared to residents living in other parts of the same city.

Connecticut already has regulatory provisions in place that limit the effect of territory on a person's rates. Without these provisions, drivers in the urban areas of larger cities like Hartford, Bridgeport and New Haven would be paying around 10 percent more in premiums, but if the bill passes it would ensure that territory would no longer be a determining factor whatsoever.

But, the insurance industry is fighting the bill tooth and nail.

"Territorial rating is an important part of cost-based pricing and is used in every state in the development of auto rates. In fact, actuarial studies have shown that territory is highly predictive of future risk, much more so than driving record,” the Insurance Association of Connecticut (IAC) said in a statement issued after HB5565 was introduced.

The IAC went on to add to their distaste for HB5565, using similar language to those in support of the bill.

"HB5565 would cause unfair cost-shifting, impair the insurer's ability to judge risk, and do real harm to the marketplace to the detriment of consumers across the state," said the IAC in a statement.

—AJ Register

Breakthroughs in audio technology are making life sound better every day. One of the most coveted of these new technologies is sound cancellation that can make any flight next to a screaming infant that much more bearable. But one way this amazing feat of audio engineering is being used may have your car, and your wallet, singing a happy tune.

Recently, GMC has been using sound cancelling technology to increase the miles-per-gallon (mpg) rating on their new crossover vehicle, the Terrain. Initially implemented to reduce noise in the cabin and boast one of the best straight-off-the-assembly-line sound systems available on the market, engineers realized that this technology can be used to significantly increase your gas mileage when driving on the highway.

“The use of active noise cancellation for fuel economy benefit on Terrain is among the first at GM,” said Paul Beaker, program engineering manager for GMC Terrain, in a press release. “It has strong potential for implementation on other four-cylinder vehicle programs.”

Boasting a whopping 32 mpg highway, the Terrain’s noise cancelling technology is a solution to other problems that arose from a push to increase fuel efficiency. Because the Terrain uses what’s called an “Eco mode” where the Ecotec 2.4L four-cylinder engine runs at lower rpm torque, engineers were finding it was causing objectionable low-end frequency boom. To counteract that boom the engineers turned to active noise cancellation technology.

Using two microphones embedded in the headliner of the vehicle, the noise cancelling system is able to detect the low-end hum and activate an onboard frequency generator to create counteracting sound waves through the audio system’s speakers and sub-woofer. The system also reduces higher rpm engine noise at highway cruising speeds. By actively cancelling annoying sound waves to the ear, the system also cancels annoying sound waves to the engine and aerodynamics of the vehicle that would normally cause vibrations reducing fuel efficiency.

Easily trumping the 28-mpg rating of Honda CR-V, Toyota RAV4 and Ford Escape, the Terrain not only will save you money at the pump, but because of its higher mpg rating than it’s comparable competitors, it will also save you money when it comes down to insurance quotes.

Insurance companies love to offer discounts on cars that get good gas mileage, and recently there has been a push to offer even more discounts to cars that are eco-friendly. Although the new eco-savvy crossover will set you back $24,250 MSRP, the investment may be worth the piece of mind knowing that you’re not only helping out your wallet, but helping the environment as well.

—AJ Register

Toyota brand vehicles are some of the most popular cars on the road today, and because of that reputation the company has built, they are some of the most affordable to insure.

When getting your Toyota insurance there are a few variables that will determine the cost. Probably the biggest variable that will affect your car insurance quote, that doesn’t have anything to do with your driving record (which is a whole other animal in itself), is the age of the vehicle.

Older Toyotas will be much easier to find cheap car insurance for, because in the event of an accident there are simply more of them in the junk yard to pull parts from for repairs. Also, older Toyotas are easy to order parts for, because the various distributors of replacement parts and the manufacturers have already been making the parts for some time, working out the kinks in producing them more quickly and efficiently.

Another variable of Toyota insurance is the model of the car. Toyota offers a wide variety of models with a very broad range of price tags. Simply put, the cheaper the car, the cheaper it will be for your insurance company to replace it in the unfortunate event of a total loss, which means a cheaper car insurance quote. Moreover, to stimulate the shift into a more environmentally conscious America, many insurance companies give discounts for paying a little extra to get behind the wheel of a hybrid, and Toyota manufactures several models of hybrids including SUVs like the Highlander.

Even though Toyota has been in the news a lot recently for issuing recalls, they are still some of the most dependable cars on the road, which also translates into savings on your Toyota insurance. Next to Honda brand vehicles, Toyota has the second highest resale value, and an average vehicle lifespan of 10 years. Auto insurance companies love cars that last a long time, because, assuming you drive the same vehicle without an accident for the life of the car, they will not have to pay for costly repairs or reevaluate your policy to conform to the new car that you would be buying.

If you drove, for example, a Chrysler that has an average lifespan of approximately 4 years, it is likely that your insurance would be more expensive, because a car with a shorter lifespan is also much more likely to break down more frequently, costing car insurance companies money to repair, and is going to have to be replaced more frequently, costing insurance companies time to set up a new policy for the new car. And, as we all know, time is money.

—AJ Register

Comprehensive car insurance is usually mandatory if you’re leasing a vehicle and/or financing one, but for a car owner it is voluntary. Fully comprehensive car insurance is available for the driver who wants to make sure her property is protected from the more unpredictable events in life. This coverage is designed to provide a safety net against things like theft, fire, flood, and animals.

If your car gets stolen and never recovered, your comprehensive coverage will pay for your new car, or if it is recovered, it will pay to have it fixed. If you accidentally hit a deer and total your pick-up, the same applies. But, this is all in relation to your deductible.

Getting a comprehensive car insurance quote will vary greatly depending on many factors such as your driving record, location, make and model of your car, age, and most importantly the deductable. This is why it’s important to get as diverse of a comprehensive car insurance comparison before signing the dotted line.

Having a high deductable will always get you cheaper comprehensive car insurance, but it will leave you at risk for paying a lot more out of pocket if you do need to cash in on your policy. But, that’s the risk you take when deciding how much coverage you want stacked up against the level of coverage you can afford. If you have a brand new car or one in excellent condition, the cost of repairs is likely to be higher, so you may benefit from full coverage car insurance. But if you have an older or less than perfect vehicle, a comprehensive car insurance policy may not be worth the money, better to go with a liability insurance policy.

For example, if you have a deductable of $1,000 and your car is attacked by a bear, causing $1,500 worth of damage, your policy will only pay for $500 of the repairs. So, shopping around to get a good comparison of what insurance companies will quote you for comprehensive coverage is always a good idea.

—AJ Register