Purchasing the right auto insurance means asking the right questions while shopping for your policy. If you don’t know what you need or what you are looking for, you may end up paying too much for coverage that may not be adequate. What questions should you be asking yourself to ensure that you get a policy that fits your needs and your budget?
1) How Much Could I Pay On My Own?
Each state mandates that you have a minimum level of insurance protection for your car. However, that minimum is rarely enough coverage to pay for damages that are incurred in an accident. Therefore, it is always a good idea to pay an extra $10 a month for an extra $10,000 in general liability coverage as opposed to paying $10,000 out of your own pocket if you get into an accident.
2) Do I Need Anything Other Than General Liability Coverage?
If you are driving an older car, you may not need collision or comprehensive coverage added to your policy. However, if you are driving a new car or a car that you are still making payments on, it is typically a good idea to get that extra coverage. Keep in mind that comprehensive coverage will protect you if your car is damaged by a falling tree branch or some other event that is beyond your control.
3) How Do I Choose My Insurance Company?
It may be tempting to go with an insurance company that promises you the lowest price for your next policy. Unfortunately, you are not getting what you paid for in most cases. This is because many discount online companies are not actually insurance providers at all. They are typically run by scam artists or by insurance agents who are not at all interested in returning your phone call if you have to file a claim on your policy. Whenever you are shopping for car insurance, it is always a good idea to go with a reputable company that has a national presence.
4) Am I Getting All Discounts That I’m Eligible For?
Make sure that you are getting all the discounts that you are entitled to. If you don’t file claims on your policy, there should be a discount for that. If you are a safe driver, ensure that there is a discount for that as well. Discounts can save you hundreds of dollars a year off the price of your auto insurance policy.
5) Is This The Best Possible Deal For Me?
You should always compare several different quotes before settling on an insurance policy. This is because different companies will treat your driving record differently. For example, if you got a ticket two years ago, one company may ignore it while another company will add $100 to your premium every six months.
You need to make sure that you are getting a policy that fits your budget while also providing adequate protection. Therefore, you need to shop around, get as many discounts as possible and buy only the types of coverage that you need. If you can do that, you will get a great policy at a great price.
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