5 Things that You Need to Know About Car Insurance Now

Do you have car insurance? Is it giving you the coverage that you require and that too at an affordable price? Here are the 5 important factors that you need to consider while purchasing new insurance or renewing your old policy.

1.Do the comparison: Every insurance company has its own set of rules and regulations, on the basis of which the pricing part is decided. This implies that there can a considerable difference between the costing of two insurance companies even when the coverage being offered by both is similar. For example, Geico mechanical breakdown insurance price is going to vary from another insurance company despite the fact that the latter is also covering mechanical breakdown only.

You could be sticking along with your trusted car insurance firm for years, however, there is always a possibility of another insurance company being out there which is providing similar coverage and services but at half the price of what you are paying now.

Doing a little market research never hurts- Start the recce today itself and you’ll be surprised at the amount of savings that you are likely to make just by making a switch.

lowest possible deductible amount 5 Things that You Need to Know About Car Insurance Now

2. Car insurance deductible value matters: The mistake that you are most likely to make is selecting the lowest possible deductible amount without realizing the fact that it is inversely proportional to the premiums that you’ll be liable to pay later.

Simply put, if your deductible value is on the lower side, you’ll be compensating it by paying hundreds more in the form of the hefty premiums. On the contrary, by raising the bar on the deductibles, you could considerably bring down the insurance cost- the big save that you make can then be used to fund the breakdowns or major mishaps.

Collision coverage 5 Things that You Need to Know About Car Insurance Now

3. Collision coverage is not a requisite: Collision coverage makes sense only if you have just taken out the car from the showroom. For the older models though, it is nothing but a sheer wastage of money that you can be put to better use elsewhere. Why is to so? Because in case of an accident, most of the insurance companies will pay you only the value of the car even in the case of a total loss- And the deal is never profitable with the old car!

Don’t believe us yet? Do a little calculation of the premium amount, both with and without collision coverage while keeping the value of the car in the forefront and decide accordingly.

4. Minimum insurance might not be a good idea after all: You must get your car insured for all the right reasons and just not because your state requires you to do so. Although, bare minimum insurance will entitle you to take your car on the road, however, it is never going to be enough to cover you up in case of a mishap of a major breakdown.

5. Save more on car insurance simply by changing the payment method: There are many insurance companies, which are known to offer substantial discounts simply if you agree to link your credit card for the premium deduction. Some of them might also offer you the best price on the insurance if you attach the bank account for auto-debit.

Getting discounts is not the only bright side about these payment methodologies but with the help of automatic deductions, you are saved from the risk of missed payments, which can even lead to coverage lapse.

Interested to know more about the insurance plan coverage and the savings that you can make on the go?

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