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I am going to contribute something that may change you mind about insurance. We had just switched our policy from comprehensive to liability. I figured if I was involved in an accident, I would just pay to fix the truck. Four days later, a tire had the tread separate, the truck skidded onto the median and rolled over and hit a tree. It was totaled and we were both seriously injured. I was out $12,000. Expect the unexpected.
You need it, but everyone dreads insurance. You want to get the best deal and the right amount of coverage. www.InsWeb.com is a good place to start whether it is saving money on a new policy or lowering your cost on an existing policy.
Minimums, Maximums and everything in between--
Here are some common terms in relation to auto insurance:
Gap Insurance: This coverage "bridges the gap" between what the value of the car is and what is owed if the vehicle is stolen or wrecked. Most of the time this insurance is unnecessary and just to make more money on your vehicle purchase.
Body Injury Liability: Covers the medical expenses that the policyholder does to others involved.
Claim: When an incident occurs involving the vehicle and a request is made for repair or reimbursement.
Collision: Covers damage done to the policyholders vehicle from any collision.
Comprehensive: Covers vehicle damage that doesn't involve another vehicle This could be fire, theft, or mother nature.
Deductible: The portion you have to pay when there is a claim filed. The higher your deductible, the lower your premium.
Uninsured/Underinsured Coverage: Coverage in case you're involved in an accident with a motorist who has no insurance or proper coverage.
How do I save money???
- Ask about what discount are available, such as multiple policies, military, multiple vehicles, etc.
- Know your driving record & keep it clean
- Assume more risk by keeping a higher deductible
- Shop around!! For example Progressive Auto Insurance compares your rates with other competitors.
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