Car insurance is a type of policy that most drivers have. But even so, most policyholders don’t know exactly how this policy works, what it covers and what it doesn’t. And while that’s partly an assumption, not knowing the facts about your policy can get you in financial trouble when an unsubstantiated claim is denied.
So we’ve listed the basic car insurance facts you need to know.
Car insurance policies differ
Types of auto insurance policies include liability insurance, collision insurance, comprehensive coverage, medical benefits coverage, and bodily injury protection insurance.
Liability insurance will cover damage to other parties or their property. Collision coverage reimburses car accidents, while comprehensive coverage provides the best financial protection for the policyholder. Medical coverage and personal injury protection are additional plans to add to your policy.
So when looking for the cheapest car insurance in Connecticut or elsewhere, be sure to first determine what type of policy you need.
Where you park affects your policy
Several key factors determine your premiums. These factors include your age, gender, accident history, claims history and where you park your vehicle.
If you park your car overnight on the sidewalk, your insurer will increase your premiums because your car is prone to damage and theft. Therefore, it is important to park in covered and secure spaces.
You can ask for discounts
Even if your insurer provides you with a seemingly decided quote, you can still inquire about available discounts. Sometimes, the installation of a tracker in your vehicle allows policyholders to benefit from a reduction on their premiums and additional services such as roadside assistance.
In other cases, pensioners can also benefit from reductions. Although, more often than not, the insurer will keep mum on available discounts. So it’s important to ask.
Claiming too often is a mistake
You bought a policy to help you deal with the financial impacts of unpredictable events as a driver, so it makes sense to claim when those costs arise. However, it is essential that you only claim from your policy when you need to because each time you claim, your premiums will increase. And it can be quite devastating if a claim is rejected.
Only insured drivers are covered
A common mistake that new drivers make is lending their vehicles to friends and family without adding them to their insurance policy.
There are tons of legal liabilities that can arise from lending your car, and these kick in at the worst possible time when another driver is involved in an accident with your vehicle. Your insurance will refuse to pay for the negligence of another driver and yours.
You can really reduce your premiums
Again, it makes sense that so many drivers assume their premiums are set in stone. Either way, you can effectively reduce your premiums by comparing quotes with insurance companies, keeping your car in good condition, avoiding unnecessary claims, adopting safe driving habits and increasing your deductible. deliberate.
Knowing the facts about your auto insurance policy helps you get the most out of your premiums.
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