Don't Make One Of These 3 Costly Mistakes In Your Insurance Policy
Preparing to drive means you need to have proper auto insurance in place beforehand to remain in compliance with the law. While many people assume that all insurance is the same, that isn't the case. There are a lot of variables that come into play that could end up costing you more than what it should when getting car insurance. Consider some of the following mistakes to avoid when purchasing an insurance policy.
Choosing Deductibles That Are Too Low
While many people tend to choose the lowest deductible possible, it actually costs you more money on your premium payment each month. By raising your deductible, you can save 20% or more on your premium. How often are you really going to use your insurance policy for a claim anyway? Hopefully, not much. You are better off paying less now and spending a little more when something does occur.
Not Getting All of the Available Discounts
Many people assume that the insurance agent is going to give them all of the available discounts they are entitled to without having to be asked. However, that isn't necessarily the case. You want to make sure and ask about any other discounts that you could get to save on your insurance policy. Beyond the traditional safe driving discount, there are discounts for belonging to a credit union, being a college student, driving less than 5,000 miles per year and more.
Discounts vary by agent, so the best thing you can do is ask beforehand to make sure you are saving as much as possible on your policy.
Failing to Shop Around Before Deciding
For many, they end up jumping on the first quote they receive from an insurance company. This could end up costing more money than what you even realize. As much of a pain as it is to call around and give the same information to 10 different companies, it will be far better for you and your pocketbook in the end. While one company might not have many discounts available, another one might have five or so that you can take advantage of for your policy.
By spending some time looking into the different policies and coverage available to you, it will help you to make an informed decision about which policy is in your best interest. Shopping smarter will prevent you from being taken advantage of down the road when it matters the most.