6 Car Insurance Buying Mistakes You Should Avoid

There are several good reasons why you should purchase car insurance. First of all, an auto insurance policy is required by law. Secondly, it offers you the guarantee that if you were to get involved in an accident, you would manage to avoid considerable expenses which would be covered by your insurer. Thirdly, it offers you peace of mind and the certainty that your most valuable belongings benefit from the highest level of protection.

People who acknowledge the importance of car insurance bend over backwards to select the right policy. Nonetheless, numerous first time buyers make impulse purchases that they end up regretting after a certain period of time. Some of them invest more money than they actually should, while others decide to cut corners and do not get enough coverage. Want to make an inspired decision, when it comes to buying car insurance? In this case, start by avoiding the most common mistakes listed below.

1)      Not Opting for a Multi-Line Policy

Here’s some good news: there are several insurance companies that may make you a more than decent offer. As a matter of fact, since this sector is very competitive, insurers rely on all kinds of strategies to keep their clients on their side. Most of them won’t hesitate to reward your loyalty. Old, devoted customers usually get the chance to profit from attractive discounts.

Also, those who choose to purchase all the coverage that they need from the same provider manage to save even more money. If you want to secure your property and your car at the same time, you could decide to invest in a multi-line policy provided by your favorite company. This type of policy is comprised of auto insurance and also renters or homeowners insurance. A multi-line policy can help you save up to 15% on premiums and redirect your resources towards the things that matter to you the most.

2)      Not Asking about Special Discounts

Do your homework properly to find out if you are eligible for special discounts. This way, you will manage to identify the factors that convince insurers to tempt you with lower monthly premiums. For instance, a spotless driving history, the fact that you are an old client or that you drive a car with extra safety features can determine insurance company representatives to make you an offer that you won’t be able to refuse. The key is to be one step ahead of your insurer at all times. Conduct extensive research to find out what kind of discounts may be in store for you. You can start by relying on InsuranceQuoteDepot.com to get free car insurance quotes and compare rates online.

3)      Not Opting for a Policy with a Higher Deductible

We can all agree upon the fact that unpredicted expenses are dreadful and scary. After all, we decide to buy insurance because we want to be prepared to face the unforeseen and also those unexpected costs that tomorrow may bring. This is why people usually tend to opt for policies with a low deductible. They hate the idea that, in the event of an accident, they would have to get a significant amount of money out of their pockets. Nonetheless, according to insurance experts, policies with high deductibles are not a bad thing. On the contrary, they unlock considerable financial savings. Believe it or not, those who get policies with bigger deductibles can save up to 40% on premiums on an annual basis. So if you can afford to raise your deductible from 250 dollars to 500 or even 1,000 dollars, just do it! This will help you save big on the collision and comprehensive part of your car insurance policy.

4)      Paying for Car Insurance in Installments

This is another common mistake that most drivers make, when it comes to investing in car insurance. They spot the policy that works best for them, but after putting all their monthly expenses on paper, they decide to pay the auto insurance policy in installments. This may come as a shock to you, but this approach can be quite counterproductive for one reason: insurance companies always find a way to make money, especially when all you want to do is save some cash. Therefore, insurers charge you a convenience fee (of approximately 7 dollars per month). This may not sound like a lot, but it can add up in the long run. To eliminate this drawback, make a lump sum payment.

5)      Not Shopping Around

Don’t want to throw money out the window? In this case, don’t assume that the initial offer made by the first insurance company that you have decided to contact is the best one that you will ever get. Take your time. Study different policies and compare them in terms of costs and benefits. How much coverage do you actually need? How much money are you willing (and able) to pay for it? Based on your answers, find a policy in your price range ensuring the level of protection that you demand and deserve. People who shop around can save up to 300 dollars on a 6-month insurance policy. This sounds like a pretty good reason to arm yourself with a lot of patience and conduct an insurance hunt, leading to considerable monetary advantages.

6)      Not Getting Free Quotes Online

Some drivers ignore the fact that not all insurers have their best interest at heart. If you are worried that your insurance company may not tell you everything that you would like to know about discounts that you could be eligible for, choose to conduct a small investigation on your own. To attain your goal, you just have to get free car insurance quotes online and spot the best deals offered by insurance companies operating in your area. Shopping around for insurance has never been easier. You can compare rates over the internet, select you favorite carriers and schedule a meeting with an insurer.