How to get insurance for your new vehicle

| March 20, 2014

While looking for car insurance in Greensboro and talking to agents about what they can provide for you, you may end up feeling a bit rushed. After all, the government requires you to get insurance for your new vehicle within the first few days of ownership in order to use it legally. However, you should not let these feelings push you into picking up the first insurance policy that you come across. Make sure that you ask all of the right questions to find one that is really going to give you what you need. These questions are a good place to start:

1. What is the deductible?

Some companies will offer you low monthly rates, so you think that working with them is a good deal, but then, they hit you with a huge deductible – like $2,000 – that you have to pay before they will help you out. If your car is totaled, the insurance is still useful, but you are going to end up paying for most of the repairs on your own for minor accidents. If you do not have the cash on hand, this plan may not be worth it.

2. Does the policy cover a rental car?

One thing that people never think about is the reality of totaling a car. If your vehicle is in the shop for a week, it is still an inconvenience for you, even if the repairs are fully covered. How are you supposed to get to work or even do simple things like go to the grocery store? Those who live in the city may be able to turn to public transportation, but this is not for everyone. Ideally, you want a policy that is going to pay for a rental car, giving you something to drive while the repairs are done.

3. How should you pay for the policy?

Many insurance companies will now allow you to pay for your policy by going online and sending in a payment with either a credit card or a bank account; a debit card can also be used if you want to draw money out of the account. This is faster than trying to mail in a check, which could end up being late and voiding your policy, so it is good to know your options. Electronic payments can also be made automatically.

Category: Finances

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