Auto Insurance: Things Every Car Owner Needs To Know
Protecting your car is not the only reason to have auto insurance. It also covers you, as well as other drivers, in case of injury. You need to know that it covers all the things you need it to. You can use your auto insurance policy to its greatest benefit by applying the ideas in this article.
Tailor the amount of your vehicle coverage to the actual value of your car. Driving an older vehicle will probably cost less to insure, than a newer model. The rate at which cars are stolen is also something that is a factor. A commonly stolen car can cost much more to cover for theft.
You should keep collision coverage on your automobile. Collision coverage will pay for any damage done to your vehicle in the event of an accident. Be sure that you can afford to pay for an expensive repair in full before dropping collision coverage.
You should always check the possible insurance rates if you are purchasing a new vehicle. You can ask an insurance agent about the vehicles that have great rates. This should help you choose your next vehicle, whether it's new or used. A higher safety rating means lower insurance policies.
Be aware that the cheapest insurance quote may not mean it is the best policy for your automobile needs. The cheapest car insurance may turn out to be the best one, but not always. You have to get to know more about the company and the policy that you are opening before you rely on it to cover any damages that occur during an accident.
If all the drivers in a family want to be insured together, many auto insurance companies will offer significant discounts. You could save hundreds, even thousands of dollars per year in monthly premiums by insuring all of your vehicles together.
Keep track of all the insurance bills that you pay. If there happens to be a problem with your insurance company, you can show this proof, in case you are pulled over, and keep from getting a ticket for not having insurance, on top of any other tickets you may receive.
Keep careful records when you are involved in an accident. Insurance companies need documentation and proof. Use your cell phone to take pictures right after an accident occurs to record documentation that can be given to your insurance company. Keep your camera in your glove box if you do not have a camera on your phone.
When you are buying car insurance, make sure you get property damage liability. This covers damages that your vehicle may have caused during an accident. The majority of states require drivers to carry this coverage. If you do get into an accident, having property damage liability can save you quite a bit of money.
If you want to make lower premium payments, find ways to increase your deductible. The amount of your deductible is the biggest factor in determining how high your premiums will be. Understand however, that this is the amount you will pay in the event of an accident. If you choose a high deductible, ensure that you have the means to pay it if necessary, such as through the establishment of an emergency fund.
To lower your auto insurance rates, work on increasing your FICO score. Auto insurers will check your credit before pricing your policy. More insurers have factored credit scores into their rating models lately, especially since studies show that people with poor credit tend to get in more accidents. Good credit equals lower insurance premiums.
You will have to pay a greater sum than a driver with a clean record, but some companies are different. There are even insurance companies that specialize in offering services to drivers with less than perfect records.
Check with your department of human resources to find out if your company has employee group rates for car insurance. Many companies allow employees to pool their risk through the company, which results in lower premiums for everyone. If you have seniority, you may get a larger discount. If you employer doesn't offer a special group plan, suggest that they possibly get one.
Now that you've read the article, go review your policy with your new found knowledge. It is possible that your policy lacks some coverages you need, and has some that you don't.