Did you learn about comprehensive, collision, and liability insurance at school? How about deductibles? And all the other tricks to help you save money on your car insurance? Although you probably didn’t know it, if you are one of the majority who drives a car you either learned quickly, or took the advice of family and friends about insurance. Or you will learn the hard way. Let go of the guesswork involved in choosing car insurance. Read up to make informed decisions.
Drivers often pay more for a lower deductible but still take minimum liability coverage. While you could probably afford the $500 deductible in case of an accident, could you afford to be sued for $400,000 in damages if that happens? To protect your assets and yourself, you should budget for car insurance. Consider increasing your deductible to increase your liability protection. You’ve got more protection if you are worth more (e.g. you have a job, or are studying for one), or you have assets. An umbrella policy is a good option if you have substantial assets.
Examine your insurance policy to see if you have personal injury coverage.
Keep a high credit score. Many companies use it for deciding how much to charge and whether or not to insure you.
You don’t need an extra car, but your insurance company may pay for a rental car in the event of an accident. It could cost you a lot to rent a car for a week as your car is being repaired.
Compare quotes from different companies. A comparison website is a great place to begin. Compare quotes from several companies and compare the policies to find out how they compare. You should notify your old insurance company immediately if you have changed policies. This will ensure that there is no gap in your coverage before the new one takes effect.
Although car insurance can be costly, there are many discounts you may be eligible for. A good driving record will help you lower your premiums. You can also get discounts for low-mileage, safety features and multi-policy seniors. To get the lowest rate, take advantage of every discount available.
Teenagers can increase your car insurance premium. Consider letting your teenager drive the cheapest car in the family and excluding them from any other policies. You can remove your teenager from the policy if they move out. You must ensure that you don’t lend the car to your teen when they visit. You can still have your teenager on your policy, but you should check with your insurance company to see if they will offer a discount for them while they are away at school.
Consider dropping collision coverage if your car is in poor condition. Your insurance company may only cover your vehicle’s value, so it might not be worth the cost of collision coverage.
You need to understand the consequences of an accident, and what options you have. Is your insurance going to pay for the original parts or generic ones that are needed to fix your car? If you are in an accident, can you choose your own body shop or mechanic? Make sure you read your policy thoroughly and are satisfied with it.
After an accident, make it your top priority to call your insurance company. Most insurance companies have a deadline for filing a claim. This is usually 48 hours.
If you’re unfortunate enough to have to file a claim, make sure you get a copy. Also, keep all receipts. Include everything in your loss estimate. If your car is written off, you may be eligible to receive registration and sales tax reimbursements.
To speed up the process, put in some effort to get your claim processed. To track progress, get estimates and keep in touch with your insurer.
To get the best result, work with your adjuster. If you are not satisfied with the amount offered by the adjuster, write to him. Keep your cool, and explore your options if you don’t receive a satisfactory answer. Talk to the claims manager and ask for your case to be reviewed. You may also consider filing a complaint to the state insurance department.