Buying a new car? Congratulations! Buying a new car comes with lots of excitement and perks. However, one thing you mustn't forget is to insure it with the right policy.
Here are some of the things you need to know when buying an insurance policy for your new car:
New vs. used car insurance
Lenders can ask for some type of coverage that may affect the cost of insurance.
It all depends on your budget. Used cars can give you flexibility regarding insurance coverage which you can't get if you buy a new car. Used car insurance gives you some control over your premium.
How much coverage is required in the state you live in?
You first need to know how much coverage you need to find the right auto insurance. The main covers include third-party, third-party fire, theft, and comprehensive. Take your time to find out what coverage is required in the state you live in. Once you know what is required, your decision will depend on your degree of risk. If you have any past driving offenses, it can influence the type of coverage you may need.
Do you need to study your new insurance policy?
Yes! Read through your current policy or contact your auto insurance agent for the necessary information. Note the coverage you have and how much you are paying for it. Additionally, note the yearly and monthly costs of your insurance.
Is the insurance rate for a new car high?
Most people frequently ask if the insurance rate for a new car is high. This is not necessarily true, as there are many factors insurance companies consider when giving quotes. The rate of car theft and vandalism in the area you'll park your car in, years of driving experience, and driving record influence the insurance rate. Safety measures such as airbags and anti-lock brakes also affect the rate of insurance.
Are there available insurance discounts for you?
When buying insurance, ask your agent or insurance company if there are any available discounts for you. Insurance companies give discounts for good driving records, a computerized monthly deduction, paying in full, and your car security system. Depending on your state, you can get discounts if you use the same insurance company for your home and car coverage.
Should you update your insurance before driving off the lot?
Yes, this is highly essential! You should request a rough quote from your insurance agent to balance your budget just in case your insurance premium increases due to the new purchase.
As a new car owner, you may be searching for an insurance company offering quotes, information, or options. At Rolland & Associates, we offer the best auto insurance guidance and coverage options you may ever need. Contact us today to get started.