Car insurance is one of those things everyone prefers to save money on. While you know deep down having insurance is a necessity if you have an accident, it also helps to know you’re getting the best coverage for the money you pay. Watching out for these six common car insurance mistakes can help you avoid spending more than you should on your auto policy.
1. Failing to Properly Calculate How Much Coverage You Need
Auto insurance is broken down into several different categories, and you can often choose to increase the coverage for specific parts of your policy. For instance, you might want to increase your comprehensive coverage if you live in an area where you’re at higher risk for having an accident, or you may prefer to have more personal injury protection. Working with an insurance agent can help you avoid paying for coverage you don’t need while making sure you have what you do want in place.
2. Omitting Information on Your Car Insurance Application
Telling the truth on your car insurance application is important, since it helps the insurer determine your level of risk along with how much coverage you need. While it might be tempting to avoid mentioning a recent traffic ticket, the insurance company is likely to check your driving record. Hiding the truth could cause your application to be turned down, which could force you to have to work with a more expensive company.
3. Choosing Not to Compare Quotes
It might seem faster to just pick an insurance company and accept the policy the company offers. However, you might find rates vary substantially from one company to another. Take the time to get a few quotes so you can compare them. As you do, be skeptical of any quote that’s too low. It’s possible the policy is skimping on coverage.
4. Forgetting to Update or Renew Your Policy
It happens. Life gets busy, and you might forget to tell your insurance company about a new teenage driver. Or you might not get around to filling out your renewal paperwork. Unfortunately, this can lead to problems if you have an accident. Try to make a note on your calendar to update your policy with any changes. Giving yourself a reminder can ensure you’re fully covered when you need it the most.
5. Going with the Bare Minimum for Coverage
While some people can get away with just the required liability coverage to comply with state laws, this isn’t the solution for most people. If you have a new car you still owe money on, comprehensive coverage can help you avoid paying thousands of dollars for car repairs. The same is also true of uninsured motorist coverage.
6. Ignoring Potential Discounts
You may be eligible for discounts that can help you lower your insurance rates by quite a bit. For example, bundling policies can help you score a better rate. You might also be eligible for a discount if you complete a driving safety course or use a monitoring system. If you aren’t sure what your company offers, just ask. You might be surprised to find you fit within several discount guidelines.
Nobody wants to pay more than necessary for anything, including auto insurance. San Diego drivers are already challenged by the area’s high cost of living, so it makes sense to save money wherever possible. For affordable, reliable auto insurance, reach out to the experienced agents at Altra Insurance Services. Call one of our friendly representatives today at (800) 719-9972 to find out how you can save money on your auto insurance.