Auto Insurance Exposed

There is an old adage among insurance agencies. It goes: “there is a sucker born every minute”. Well – they may not have invented the saying, but they certainly have taken it to heart in such a fashion rarely before seen. It matters not if you’re talking about Life Insurance, Homeowners Insurance or, where this article is focused, Auto Insurance.

It’s know the country over that you can’t hop in your car and go anywhere without having some form of auto insurance. It’s widely known that in a lot of states if you get pulled over and you don’t have an auto insurance card you can lose your license, get a fine and won’t be allowed to drive yourself out of the mess.

Insurance was set up to help consumers. People get into tough binds all of the time. If your house catches on fire and you have no insurance policy you’re out a home and all of your possessions. With your insurance in place you’re now protected from that loss.

The same goes with your auto insurance. If you get into a fender bender and you don’t have a plan then you’ll most likely have to pay for damages to your car, your victims’ car and any other property as well as medical bills or lawyer fees that may arise. On the other hand if you have auto insurance you are somewhat protected under the policy. Of course, if you kill someone, that’s on you and no amount of insurance will save you there.

Cost is always a factor when you go to purchase your auto insurance, just like any other. You have a car payment to worry about among many other term payments so when you go in to get your insurance you’re looking at many plans at many prices. You can walk away with full coverage to protect you from just about everything to simple coverage for just collision. There are severe pitfalls with walking away with too little and money issues for walking away with too much coverage. The likelihood you will be carjacked by terrorists or picked up by a tornado is quite remote.

Insurance agents are there to sell you everything that you don’t need. They want your money. And it’s fine to spend it for coverage you need, but wasting money on useless coverage plans just isn’t justified. The bottom line to any insurance plan is what you’re getting and for how much. Your rates may be cheaper if you take higher deductibles but if your car is old and you bust it you run the trouble that your deductible is worth more than your car then you’re really out.

They auto insurance agent will jump at the bit to get you in the door and paid up, but what is their track record for actually paying out on claims? As soon as you need that insurance plan to work for you they will run as fast and as far as they can to keep from paying you. Weigh the company as much as the policy.