Discount Auto Insurance-Buyer Beware!


Let’s be real. Do you feel excited about the idea of saving money? It does, and I can bet your bottom dollar it does. It’s hard to believe that anyone would not want to save money, particularly if it’s on discount automobile insurance. We are constantly bombarded by radio ads and infomercials promising the best auto insurance discounts. Are these offers too good to be true, or are they just too good to be true. Are they as effective in saving us money as they claim?

Discount auto insurance is so competitive that companies will offer huge discounts to get your business. However, it may be worth paying more than you think. Be careful! Although they may be tempting you to sign the dotted line at a high price, it could end up costing more than you anticipated.

Before you purchase any discount auto insurance, there are a few things you should know.

Before you sign anything or agree to anything with the company that offers you discount auto insurance, learn as much as you can about their payment policy.

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* What are their payment terms

* Do they accept all major credit cards?

* What about a cheque? They will allow you to pay with a check.

* Can you pay in monthly installments? Or must it be paid annually?

While some companies may charge extra to allow you to pay monthly, there are discount auto insurance companies that will require you to pay a yearly amount upfront. They will then deny any claims and take your money. Scam companies that have taken your annual payment upfront will disappear from the face of the Earth and become a sham company. Your insurance policy is null and void once this happens.

After you are aware of the payment terms, ask questions and carefully read the policy terms. You should read all the fine print. You should not sign or agree to anything until you are certain that you have fully read and understood the details of your discount auto insurance policy. These are the questions that you should be asking:

* Which costs are deductible from any claim you make

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* What are the costs that the discount insurance company will cover if you are involved in an accident?

* Will they be responsible for property damage?

* What about injuries to other people? They will pay for any hospital expenses.

Ask questions. Before you pay any money, learn as much information as possible about the insurance policy you need. Don’t be afraid to ask questions if the sales representative is not willing to answer them. You are putting your hard-earned money at risk and want to ensure that you keep most of it. You are searching for auto insurance at a discount price, right?

OK. You are satisfied with your auto insurance discount and are confident that you will be covered for all claims. But there is one more thing you need to do. How reliable is the insurance company? Is their reliability assured? Are they located in your local area? If so, do they have offices nearby. You can find their phone number and address to check.

It is crucial that you feel satisfied with your insurance company and are as informed about it as possible. You will be less likely to pay a higher price for discount auto insurance if you do your research.

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