For many people out there when it comes to car insurance, a lot tend to opt for the car insurance their friends or family use, or go for the one they see the most on TV. The truth of the matter is, that’s not the best way to qualify buying insurance from them.
Like any other business out there, insurance companies provide different coverage’s, different rates, the speed of claims service, and even their office hours. What works for your friend or family members may not be the best for you.
So the last thing you want is to walk into this blindly. This article will help to avoid that by providing 5 basic but great questions to ask an insurance agent before you buy car insurance from them.
Who will my policy cover to drive my car?
This is a great question that is often overlooked by many people. Your insurance broker doesn’t know the details of your family life of course, however it’s important to know this in certain cases. For example what happens if a friend or your son or daughter get in a car accident with your car? Will your insurance cover that cost? What if you use that car for business and you get into an accident?
Every insurer handles those differently so it’s important to factor that into what your needs are and what they can provide.
What will my deductible be?
Depending on the type of coverage you are getting you may need to offer a deductible up front, however you also need to set it as well. What a deductible is is the amount you need to pay up front before the insurance company covers the rest of the bill. This is in situations where you get into any sort of accidents. Furthermore the higher the deductible is, the less premium you will be charged. The drawback though is if you do get into an accident you will need to pay a higher than usual sum if you went for a lower deductible.
In the end, your insurance broker will give you some deductible amounts which can vary from company to company.
Do you offer Car Insurance discounts?
Every insurance company has a multitude of discounts but don’t expect them to hand them out to you if you qualify for them. You’ll need to ask them about it and to get them to add the ones you are eligible for. Some discounts can be given to you for certain safety features like car alarms and air bags, or you’ve already purchased other insurance with them. Some other ambiguous ones are things like graduating from a specific college or university, parking in a garage, or owning a hybrid or eco-friendly vehicle. Ask about them.
What are my payment options?
Car insurance payments are quite affordable, however it gets easier when you are able to budget them. A lot of insurance companies tend to offer annual lump sums which can work for some people, but it’s also very helpful if you had some flexibility to it as well. Some companies can accept payments as frequently as once per month. Quarterly may also work for you as well. In the end, having these choices helps you a lot.
How will you value my car?
This is a big one and a lot of people overlook it as well. A lot of people find old vintage vehicles that they snagged at junkyards for cheap only to find out the insurance rate is too high or may be not insurable. In those kinds of instances, you want to know exactly the value of the car and how much the insurance company will charge for that before making those decisions. Even for renewal as well, you should keep a mindful eye on it too.
Insurance doesn’t have to be a complicated thing. What’s important is that you aren’t afraid to ask questions and you really shouldn’t be. It’s your money that is coming out first and you want to make sure you get the best deal.