Categorized | Car Insurance

car insurance- be alert while choosing

“Save your money on car insurance”, “get cashless repair service” or “get hassle free Claim settlement support” are just few statements that allure many of us to buy car insurance from  any particular brand. If you ever get trapped into any of these statements, you may be further convinced to buy insurance Policy by the Insurer through his innovative marketing techniques. And then, there is no way to get out from the riddle.

To buy car insurance is one of the serious issues, not because it is compulsion to buy one, but because it concerns your financial health and more than that, it concerns you and your family. There are few of the insurers in market who are genuine but, most of them are interested in making money. Therefore, you should be cautious enough to not to get entangled in any of these traps.

Ask yourself these questions before signing the documents of car insurance policy and review your decision before acquiring one.

Amount of premium

Your insurer may try to increase your Premium by saying that there is young driver in your family or you drive your car more than your neighbor who has much less premium liabilities. At this point of time, you need to be alert and describe that your teenager son doesn’t have license and you mostly prefer pooling to reach your office and so on. Other than this, try to eliminate all other unnecessary facilities you are never going to avail of. This will drastically decrease the amount of your premium. However, be truthful while doing this, because if your insurer comes to know about your lies, he may refuse to provide you necessary car insurance cover.

Amount of deductibles

Deductible is the amount spent by you before asking your insurer to pay for the liability in case of any accident. The higher amount of deductibles you choose, the lesser is the premium you have to pay. Insurer may try to sway you by saying that he will pay the maximum in case of any need, so you choose lesser deductible. But, it’s you who is going to decide your affordability in case of any mishap. So, if you drive your car well and chances of collision are far less then you should go for higher deductibles to save more on premium.

Is your amount of premium outweighing the total value of your car?

One of the most common tactics adopted by car insurers is determining the amount of premium on highest possible value of your car. So, whenever you are shopping around for car insurance quotes, be ready with the value of your car. And, make sure that your insurer is calculating premium on the actual value of your car.
If in case, you want to procure car insurance cover for your existing car and not the new one, always get the premium amount estimated as per your present value of your car. Analyze it by yourself that the amount of premium to be paid is not outweighing the total value of your car. Moreover, if the car is old enough, you need not purchase collision Coverage or comprehensive coverage.
Is the service from cheap car insurance is also cheap?

If you are looking for cheap car insurance, insurers may provide you the one, but it is on your side that you consider required coverage too. If it does not provide required coverage, there is no point in buying cheap car insurance. Instead look for the one which is affordable with required coverage.

You also need to be vigilant when the insurer is offering higher discounts as he may not be proposing lesser premium. Higher discount on higher premium will again land you to unreasonable premium rates which you do not want to pay, so be alert when you choose for car insurance.