Keeping Your Auto Insurance Rates Low

Drivers looking to keep their auto insurance rates low know that being in an accident can have a dramatic impact on their rates.

Just one accident can send their rates upward, leading to higher costs and a riskier driving record for insurers to see.

One effort to reduce crashes apparently has been stuck in neutral.

A new insurance industry study from the Highway Loss Data Institute reports that state laws banning the use of handheld devices to make calls or send text messages while driving have not led to fewer vehicle crashes.

The study looked at insurance claims from crashes prior to and after such bans became law in California, New York, Connecticut and Washington, D.C.

According to the Highway Loss Data Institute, claims rates did not drop after the laws went into effect. The report also says there was no difference in patterns compared with nearby states without such bans.

According to the Governors Highway Safety Association (GHSA), six states and the District of Columbia ban talking on a hand-held device for all drivers. Meantime, 19 states and D.C. ban texting while driving.

The Highway Loss Data Institute, an affiliate of the Insurance Institute for Highway Safety (IIHS), states its findings "don't match what we already know about the risk of phoning and texting while driving" and reports it is compiling data to "figure out this mismatch."

The Institute reports that one explanation may be an increase in the use of hands free devices in places with bans on handset use while driving.

The GHSA notes that it is concerned that bans on handheld devices simply lead to more drivers using hands free devices, which, it notes, are just as risky. The GHSA adds it is looking for states to pass texting bans, but hold off on banning other cell phone use while driving until there is more data.

The best advice for consumers is to refrain from using any devices in the car that may increase the chances of an accident.

In order to keep your rates low and maintain a good driving record, drivers should only use hands free devices in the event of an emergency while in their vehicle.

At the end of the day, is that call you’re making from your car really worth possibly raising your auto insurance rates? Hopefully the answer is no.