Car insurance excesses to avoid

Auto insurance can be a tricky topic. Most of the time, people hate having to pay for a service that they may or may not use. There are so many misconceptions about auto insurance that confuse your judgment and influence your decisions when purchasing insurance. Here are 4 mistakes you should avoid when purchasing your policy.

Mistake 1: Buying coverage based on the minimum requirements of the state rather than taking into account your needs and requirements.

While it is important to meet state coverage requirements, it is important to ensure that the coverage you choose protects you appropriately, should you ever need it. Keep in mind that while it is important to meet the minimum requirements of your state, choosing the minimum coverage may leave you with additional expenses that you might not be able to afford if you had to file a claim. Choose an upper limit if you think you may not be able to pay out-of-pocket compensation. Choose your coverage wisely. You will be glad you did.

The second mistake: buying the cheapest insurance policy, instead of thinking about what you can get at the price you pay

It's always a good idea to get multiple quotes from at least 3 different vehicle insurance companies. But if you decide to go ahead with the cheapest quote, you might have made a mistake. Think about it - yeah, it's great to get a cheap deal. Who does not like to save money! But auto insurance isn't just about finding the cheapest deal. There is a lot to consider. Do they offer 24 hour claims service? How quickly do I follow up on claims? Is their service hassle free? Do they pay for original factory spare parts? Sometimes you may have to pay a little extra, but for the service you get, it can be worth the extra money, especially after a stressful accident.

Mistake 3: Lying About Your Driving Record In a Car Insurance Claim

Honesty is always the best policy. Especially when it comes to buying car insurance. Lying to your car insurance company is never a good idea. Failure to disclose tickets, past incidents, or other violations affecting your claim could have serious repercussions. For starters, the auto insurance company may cancel your policy or even reject your claim. Going forward, other insurance companies may view you as a high-risk candidate and charge you higher rates. So if you've been thinking of lying to your policy to save a few dollars, think again. Insurance companies have a way to find out things like this. They check your driving record, driving records, credit rating, etc., so your lie is sure to be found.

Fourth mistake: Assuming your insurance company doesn't need to be aware of life changes.

Auto insurance rates depend on a number of factors. This includes your age, gender, marital status, where you live, credit, driving history, etc., so if there are recent changes in your life - moving to a different city, marriage, divorce, retirement, etc., let your insurance provider know. as soon as possible.

Make a mind note to avoid these mistakes before purchasing your car insurance. You should be glad that you did.

Bethany Collins is a mother of two who works from home and lives with her husband. She is an avid reader and always searching for personal finance related topics. She specializes in auto insurance related topics and uses her spare time to write on topics related to auto insurance, auto insurance rates, etc.