Helpful agents are standing by: (888) 973-0178
Press play below to listen to our audio commercial:

How Collision Insurance Requirements Affects Auto Insurance Cost

Paying your auto insurance cost every month is a hard pill to swallow. Paying for something that you may never use seems so senseless when you barely have enough to pay all your bills as it is. If, however, something was to happen, if you didn’t have insurance, it may be something you can never recover from. The potential cost can be disastrous not only physically, but financially. Making sure that you have all the appropriate coverage you may need may not be something that you really worry about but it should be something that you should consider.

None of us are looking for ways to increase our monthly bills. Paying for insurance is something that is necessary but doesn’t feel good. It will feel really good though should you ever need it. As you watch all the natural disasters that have been plaguing communities everywhere over the past decade, you may be asking yourself who is paying for the damage. If those people who went through such horrific damages did not have the proper insurance, they are financially doomed. That is the tough reality, if you don’t insure yourself to cover every emergency, the consequences could be disastrous. If you are shopping around for insurance, or perhaps looking for ways to change your current policy, look into the additional coverage that is optional and makes sure that it is not something you think you should add.

No one ever thinks an emergency is going to happen to them, nor an accident. That is why it is called an accident, it happens unexpectedly. There are other insurance coverage additions that you should consider adding to your policy, especially in light of all the natural disasters as of lately.

Just because you are being responsible and following the laws of your state by being insured, doesn’t mean that the rest of the drivers around you are. There are some individuals who still continue to drive without any coverage at all. If you get into a collision with them, and they are at fault, the responsibility for the accident falls back on you. The addition of underinsured coverage will extend your own coverage should an at-fault party not have any insurance, or not have enough coverage to pay for damages. If you add this addition to your coverage, should you be injured, your medical bills will be covered, otherwise they would not. Uninsured drivers increase within a recession. Although unable to be counted, the probability that you will encounter an uninsured driver is probably higher than average in these economic times.

Comprehensive insurance is another not mandatory but necessary addition. Comprehensive insurance is insurance that will cover you should you incur any damage that does not happen as a result of a collision. Those things that fall into this category are things like floods, fire, theft, vandalism, animal damage. It will cover damage to your car that does not result from an at-fault accident without another party driver involved.

Loss of use or rental coverage is coverage that will pay for a rental car should you be in accident and lose your car for an extended period of time. If being without a car is not something that you can do then the addition of this rider to your policy is very inexpensive. However, it can save you substantially should it take some time for repair your car or to settle the insurance claim should it be inoperable in the interim.

Loan/lease payoff is a recent addition to riders that companies offer. When you drive a car off of the lot, the amount of the car decreases sharply automatically making the amount to pay off the car far greater than the replacement value of the car. Should you need to replace your car, this insurance will make up for the “gap” in the equity versus the cost of replacement. Although there are limitations, it is a good option if you have a new car or a leased car. It may not make sense in an older model, but for new cars it can mean the difference between owing more on the loan payoff than you will get to replace the car. In that instance you will be responsible for the additional cost.

Towing is an expensive component of any accident. Although some insurance policies have this additional expense built into collision insurance, if it was a comprehensive damage, it will not be covered. There are cases where towing can really be an expensive endeavor. Vehicle towing coverage, or roadside assistance coverage, is insurance that will cover any tow needed that is a result form mechanical breakdowns, gas outage or flat tires. It covers all those things that can happen that are not a result of an accident. In reality, these are the types of tows that happen much more frequently and can really put a dent in your wallet.

When you get into an accident it is very rare that your car is empty at the time. Although the damage to the car is covered, the contents of the car are not. If you have expensive things in your car that you travel with like ipads, cell phones, laptops, none of them would be recoverable from your insurance company. A personal property coverage rider would include all those things in the car that are damaged in the case of an accident. Sometimes the car and its contents are not recoverable. Make sure that the things you carry are replaceable as well with this gap addition.

There are so many things related to operating motor vehicles that can be very costly. Unfortunately, you don’t consider them until you need them, and by then it is too late. Looking for more ways to pay more for your insurance may not be something you want to do, but making sure that you are fully covered should something happen, is definitely something that you should do. Comparing insurance policies across companies, and the coverage offered, is always a good idea to make sure you are getting the best policy for the best price. It can’t hurt to at least investigate other policies and carriers.

Take the time now to input your zip code and some other relevant information and within moments receive several different rate quotes. Why wait to make sure you are not paying more for your auto insurance costs than you need to. Start saving today. Auto insurance policies, as well as, auto insurance cost can vary greatly from one insurance carrier to another.