Top questions to ask when purchasing an auto insurance

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Purchasing the right auto insurance is important. However, getting it right isn’t easy. Plus, there are numerous insurance policies on the market—making it difficult to choose a policy that suits your explicit needs. For new car owners, getting the right policy can be a daunting task. However, this shouldn’t overwhelm you. The following questions will guide you in securing an auto insurance policy you can be proud of.

How Much You Normally Drive

How frequently do you drive your car? Do you commute to work on a daily basis or drive your kids to school? Make sure the insurance policy you purchase reflects how often you use your vehicle. If you don’t drive a lot, you might want to go for mileage-based insurance.

What Type of Vehicle Do You Own?

Insurers are well-informed, and they know exactly what types of cars are more or less likely to incur accident claims. For instance, a flashy sports car with a robust engine might be more vulnerable to theft and its bodywork costs will be higher than those of a mid-sized sedan. So, your insurance will be priced accordingly.

Certain types of vehicles- such as modified and classic cars- need special insurance. If you own a “safe” car- one featuring the latest safety gear and a good safety record, you might end up receiving significant discounts.  

What’s Your Area of Residence?

Where you reside will also impact your car insurance rates. Plus, it will also go a long way in determining the type of coverage you purchase. For instance, vehicles parked on the street in urban cities face a greater risk for theft and vandalism, so comprehensive insurance might be an excellent choice. If you move from an urban area to a suburb, you’ll realize that your premium rates are lower.

Will Other People Use The Car?

Generally, your car insurance will protect other occasional drivers. Nonetheless, if other drivers live with you and also use your car, they should be listed on your insurance policy. These might include your spouse, housemate, or teen child.

Is The Vehicle Financed Or Leased?

If you still owe some money on your vehicle or have to return it in good condition once the lease expires, you’ll need to inspire the car for its full value. Collision and comprehensive coverage will cover any damages to your car while supplemental gap insurance will cater for the rest.

Bear in mind that your age, gender, as well as driving record will also affect your insurance options. It’s also important to note that your credit score can also impact your car insurance rates. Thus, try as much as you can to maintain a positive credit record so as to improve your chances of getting affordable insurance coverage.

The Bottom-Line

Don’t purchase any auto insurance policy. Get a policy that suits your car’s explicit needs. The above questions will guide you when shopping around for the best insurance policy for your car.