Hidden facts about Car Insurance you must know
Worried about your beloved car security? Why to wait? Go for car
insurance. But wait, do you know the hidden secrets behind these vehicle
insurance policies? Let’s peep throughthose hidden facts, you are unaware of
yet influence your policy and its coverage hugely.
1) Your
occupation plays a vital role while taking the vehicle insurance policy:
Depending on your profession you will
be assigned discount on your car insurance. Elaborating this, teachers,
doctors, engineers are considered to be less probable to bang their vehicle at
the trunk of the tree.
2) Profile of
your car also stands as the biggest factor:
Based on the cost of the vehicle,
safety and theft data, your insurance cost will vary. Insurance rates will be
lower for low profile vehicles or the ones which are less likely to be stolen.
However the “Insurance Institute for Highway Safety” has data that you can
research to help you make an educated decision.
3) Stolen
personal assets or items due to car theft are not or less likely to be covered
under car insurance policy:
If you are regularly carrying laptop,
i-pods, expensive gadgets or other expensive belongings in your car or having
habit of keeping it into your vehicle as per your convenience, make sure that
your motor insurance policy does cover these belongings and assets as well. It
has been strongly observed that most of the car insurance policies don’t cover
these items, giving justification as your home insurance covers the same.
4) Vehicle
information should be precisely listed on your auto insurance policy:
Inaccurate or inadequate information
can make huge difference to your motor insurance policy. It is commonly seen
blunder insured does.
5) Group
insurance policies provided by employers are economic:
Check with your employer if they
provide any group insurance policies as these policies are cheap or economic.
Affiliation of these organizations or corporates with insurance companies sinks
the extra costs on your car insurance policies.
6) Abstainer
discount:
If you are non-alcoholic or having
anti-theft device in your vehicle, you can surely ask for the discount.
However, taking vehicle and home policies or multi-policies from the same
company, it will drop the cost of your discount.
7) Insurance
risk score gets affected by your credit score:
If you pay your bills on time and
you’ve had the same credit accounts for a long time, then you’re generally more
steady and firm. It makes huge difference to your policy. Insurance companies
keep a rigid record of all these information to come up with an “Insurance risk
score”.
8) Mistaken
belief: Colour of the vehicle affects the insurance cost:
Undoubtedly, colour of your car
indicates your personality and driving habits but considering a myth, 25%
vehicle owners have mistaken belief that your vehicle colour affects your motor
insurance cost. It has really no effect on your car insurance policy.
9) Stopping
the payment has dark impact in the long run:
Switching over to new or another
vehicle insurance policy and curbing the payment of the previous one can harm
your credit score negatively. In such cases, previous insurer will cancel your
policy due to non-payment. Hence, once should always cancel the previous policy
to switch over to a new one.
10) Brand loyalty does not get paid
off:
Internet is flooded with websites full
of calculating and comparing difference between insurance companies. Having
misconception that choosing a “Brand” as an insurer and paying the premium and
everything else gets taken care off, you will reap nothing out of this. You are
not getting paid off for your brand loyalty here. There’s huge difference
between, plans, quotes, premium, benefits and coverage of different insurance
companies. One should study and analyze these things and then go for the best
one rather than sticking to one brand pointlessly.
One must understand that choosing car
insurance is not a rocket science but selecting the best insurer for
their beloved car is a great deal. There are many elements affecting your
vehicle insurance and its cost such like, you driving habits, age, marital
status, your regular driving purpose and mileage of the car, your alcoholism,
the geographical area you are living in etc. one must take all these things
into consideration while choosing a motor insurance.
Comments