With roughly 6 million cars sold each year throughout the United States, most Americans spend a significant amount of time on the road. And while we rely on our vehicles to get us from place to place, there’s a good chance that a collision could impede your ability to provide your own transportation (at least temporarily). If and when that happens, you’ll want the assurance that you’ll be covered for potential damages. That’s where your car insurance agency will come in, of course. But if you make miscalculations pertaining to your insurance needs, you could find yourself dealing with mounting costs and no peace of mind. In today’s post, we’ll discuss a few key car insurance mistakes to avoid in the hopes that you’ll know for certain that your policy is among the options for car insurance Portland drivers can count on — no matter what.
MISTAKE: Forgetting to Shop Around
Whether you’re in the market for some classic car insurance or want more than just the bare minimum policy for your minivan, you’ll need to shop around before making any final decisions. Even if the very first insurance agency you talk to ends up being the right one for you, you should compare rates from at least a few different providers before making a choice. Different insurers may offer similar coverage at very different rates or policies that are similar in price but that are structured quite differently. You’ll need to weigh your options, especially if your current policy is about to expire. Rates and coverages can vary drastically, so failing to shop around will do yourself a disservice.
MISTAKE: Making Assumptions About Your Coverage
Because the insurance process can be quite confusing, it’s easy to become overwhelmed. When we feel rushed or simply just want to get this task over and done with, we might be prone to making assumptions about what a given policy will cover. If you assume that you’re covered for a certain scenario, you might end up paying for a policy that doesn’t suit your needs. Alternatively, you could be stuck paying for damages out of pocket if you find out later that your policy won’t help you. You’ll want to zero in on the gaps in your coverage before you buy and determine what you can do to minimize those gaps. You might choose to purchase a supplemental policy or go for a completely different option that provides the coverage you’re looking for. But if you don’t find out what’s covered from the start, you’ll be in for an unwelcome surprise later on.
MISTAKE: Overestimating or Underestimating Necessary Coverage
Before deciding on the insurance agency for you, you’ll need to accurately determine the amount of coverage you need. If you buy too much coverage, you’ll end up paying for a policy that’s worth more than your vehicle or its cost of repairs. You might also have policies that overlap, which means you’ll be paying more for an area to be covered twice. But on the other hand, buying too little coverage can have major financial repercussions. To save money on your premiums, for example, you might be inclined to purchase the minimum insurance coverage required by your state. But if you’re in an accident that exceeds what that policy covers, you’ll regret your frugal decision. Therefore, you’ll want to take an honest assessment of the kind of coverage with which you’re comfortable; while you don’t want to pay an arm and a leg to your insurance agency each month, you also don’t want to find yourself in a scenario that renders you unable to pay for damages.
One of the best ways to avoid the pitfalls of car insurance? Make sure your insurance agency has a stellar reputation and that your agent can answer any questions or address any concerns you may have. For more information on our insurance options, please contact us today.