There are many factors to consider when purchasing a car insurance policy, so it’s important to spend some time learning about what you are going to need. For example, will you need comprehensive or full coverage, liability coverage, and uninsured and under insured motorist coverage? With all of the options available, how do you choose the best coverage? Here are 5 tips to help you find the right auto insurance policy.
- Know what you need. What are you going to do if your car is totaled or is inoperable? Do you have a backup plan? Many comprehensive insurance policies include a rental car option. How much insurance for bodily injury do you need? Determining these things is going to take more than 15 minutes. Be sure to set aside some time to review all the options, and what they mean, with your agent.
- Know who to buy from. This is harder because most of us speak for or against an insurer based on subjective experiences with a particular company. Check instead with third party resources for recommendations. Consumer Reports (consumerreports.org) or National Association of Insurance Commissioners (naic.org) are reliable and objective. JD Power (jdpower.com) is another good resource.
- Know your budget. Buying insurance for every eventually may sound great, however, few of us can afford everything. Often, the plan offered to you might not even be the right fit for you. For example, you may hear, “comprehensive insurance means that I will be able to replace my car.” Maybe, and maybe not. Check with your agent to find out how much you will receive if the car were totaled today, and understand that the amount changes as your car ages. Make sure that each option you add to the policy will add the value you expect.
- Know your discounts. All companies offer discounts from bundling to loyalty. How’s your driving record? Are you a veteran, senior citizen, or maybe a member of a club or union? Check with your organizations for discounts too.
- Know what you have. If you are looking for a good deal, make sure to do your research. You hear the ads on TV and radio, before calling the new guy give the current guy a chance. It’s possible that what you’re hearing about is available with your current insurance company – all you need to do is ask.
These tips will get you on the right road. Inform yourself about what is out there and what is working well for others from an objective source, and then review your current policy. After, you have completed these steps, you will be ready to take advantage of the best options for you.
Contact us at Larson Insurance today for more information.