TIP! Most auto insurance policies are actually issued on the particular driver who buys the insurance, not the car itself. In the event you let your friend borrow your car and s/he gets has a wreck, your insurance company will be very unlikely to pay.
Auto insurance is large part of being a responsible vehicle owner. However, auto insurance policies seem to be written in the most confusing terms possible. This article can help you to better understand what all of those terms mean. By understanding the terms of the auto insurance world, you will be a more informed consumer.
TIP! When switching over to a different auto insurance company, it is important to not leave your current insurance policy before your new policy is in hand. Avoid being uninsured for any period of time, since an accident can happen anytime.
You need to maintain a clean license. Accidents and moving violations on your record will drastically increase your insurance premiums. There are times when you can’t avoid the accident or ticket, so you should check out traffic school to see if this will help clean your record and make your insurance premiums lower.
TIP! Write down a list of each discount your insurance company offers. Go through that list and put a check mark next to any that apply to you.
If you’ve been thinking about adding aftermarket parts to your car, check with your insurance company to see if they will cover the damage of these parts. Insurance often doesn’t cover these parts separately, but only the difference between the value of the car with and without those parts, which is often not a lot.
TIP! Insurance companies are not all created equal. If you don’t like the quote you receive from one provider, check with a few of their competitors.
In a number of states, you’re required to carry liability insurance if you are the driver of a car. You need to know what is required by your state, and what the minimum coverage is that you need. If you’re not insured or are under-insured and have an accident, you could suffer through a serious financial outcome. In addition, you could be charged with breaking the law.
TIP! If your driving record contains negative items, such as points or tickets, your auto insurance rates can substantially increase. However, when your infractions expire, your rates will go back down.
Many people believe that auto insurance rates go down automatically for young drivers once they reach 25. The truth is that they start to decrease once they reach 18 as long the driver is responsible and drives safely.
TIP! Think about 100/200/100 coverage if you have a decent vehicle. In a number of states, you must carry a minimum amount of liability insurance.
The insurance world is full of confusing, technical words and phrases. Reading this article will help you gain a better understanding of auto insurance and assist you in making informed and confident decisions. When you break it down, the big words are just a way to say pretty simple things. Learning them will make you an informed customer.
