better insurance

7 Tips That Will Help You to Get a Better Insurance Deal

Image Credit: David Fulmer on Flickr

When you buy a car for your business, it’s important to invest in a good insurance plan as well. Insurance protects your investment and helps to maintain its value. Here, we share some tips that will help you get a better insurance deal. What’s more, we’ll also give some suggestions about how you can save money while you’re at it.


Will Your Current Insurance Will Cover Your New Car?

If you replace the car on your policy, the same coverage might not be extended to a new car. Therefore, check before you buy.




Take Care of the Paperwork Yourself

An automobile dealership is a busy and hectic place. Sometimes, paperwork gets lost in the shuffle. Therefore, it just makes sense that you should take care of the paperwork yourself.

The staff at the dealership will probably offer to do this for you. However, they will most likely assume that you checked ahead of time and know the terms you’re agreeing to. If you want to get a better insurance deal, you need to handle the details yourself.

Moreover, if you must take out a loan to pay for the car, the lienholder will mandate that you have not only liability insurance but also comprehensive and collision coverage as well. Therefore, if you already have liability coverage but need to add comprehensive and collision for your new car, be sure to take care of it before you leave the lot. Don’t trust others to take care of this properly for you.


Understand the Legal Requirements

When you buy a car, you should know the cost of the car. You should understand what coverage, limits, and deductibles you need to buy. For instance, lienholders generally ask for deductibles of $500 or less. Therefore, speak to an insurance agent to get a better insurance deal.

Liability coverage is the basic car insurance you must have in order to drive on public roads. Most states require you to have this coverage. It will pay for damages or injuries that you are responsible for when you drive your car.


Better Insurance Will Give You Better Personal Injury Protection

Personal injury protection pays for medical expenses up to the limits on the policy. What’s more, it pays out regardless of who is at fault in any accident. In order to get a better insurance deal for personal injury protection, talk to an agent. Additionally, make sure you know exactly what the policy covers with regard to personal injury protection.


Gap Insurance Gives You Peace of Mind

Gap insurance pays the difference between the value of your car at the time of a loss and what you still owe.

Therefore, gap insurance is a must if you owe more than what your vehicle is worth. It’s important to keep in mind that the car will depreciate as soon as you drive it off the lot. Your financial situation would quickly deteriorate if you should happen to total your car soon after you purchased it, especially if you owe more than the insurance covers.


Collision Insurance Is Required

Collision insurance pays for damages to the car in the event of an accident. What’s more, the car remains the lienholder’s asset until you pay off the loan on your car. This is why lienholders require you to carry collision insurance.


Comprehensive Insurance Covers the Car Against Various Types of Damage

If you live in a place that has harsh weather conditions, then you need comprehensive coverage. Even if you don’t experience harsh weather, comprehensive coverage protects your car against damage by fire, vandalism, and theft. Again, your lienholder will require you to have comprehensive coverage.

The best place to start ensuring yourself of a better insurance deal is by working with your agent. She or he will guide you toward the best coverage for your new car.


A Final Word

It’s important that you understand how the insurance market works. This knowledge will help you to save money. It will also help you to get a better insurance deal. What’s more, better insurance will better safeguard the value of your car while you own it.