According to research, there are an astounding 273 million registered vehicles in the U.S. Out of this massive number, the large majority of vehicles are insured. Almost everyone who invests in a car signs up for a secure insurance plan, and it’s easy to see why.
Car insurance covers damage to your vehicle, helps you avoid lawsuits and devaluation to your car, and covers extensive bills in case of theft, fire, accidents, etc.
While most people are aware of these benefits, they seldom look into additional insights. Needless to say, this can backfire and result in a not-so-favorable car insurance decision.
Here are some things you should keep in mind when applying for car insurance:
1. Your Credit Affects Your Car Insurance Rates
In most cases, auto insurance companies examine the individual’s credit history before offering them an insurance plan. This helps them determine risk when offering car insurance quotes. Depending on how good your score is, you can manage to slice a significant sum off your insurance rates.
Make sure you take measures to improve your credit score prior to applying for car insurance. In addition, we suggest monitoring your credit report on a biweekly basis to ensure everything looks good. If there are any errors, contact the credit bureau immediately for rectification.
Recommended Read: Buying Auto Insurance for the First Time: The Ultimate Guide
2. Expensive Cars Don’t Mean Expensive Insurance
If you recently splurged on a pricey car, you’re probably worried about the hefty insurance premium you’ll have to pay. Well, you shouldn’t be. Expensive cars don’t translate to exorbitant insurance rates.
If you’re being offered a suspiciously high premium rate for your vehicle, it’s most likely a red flag. Consult other insurance companies for a better idea of what you should be paying instead.
3.Paying Your Car Insurance Premium in Full Can Help You Save Big
Splitting your premium payments into installments is definitely more convenient, but not necessarily more budget-friendly. You’ll be required to pay an administrative fee each time, and these additional charges can easily rack up over time.
For instance, if you pay your premium every three months, you’ll be required to pay the associated convenience fees four times a year. If you pay your premium every month, these fees will accumulate to a bigger sum.
If possible, consider paying your car insurance premium in full. You’ll end up saving a ton of $$$ and avoid the hassle of worrying about late payments.
Recommended Read: How Auto Accidents Can Affect Your Insurance Rates
4. Not Every Car Insurance Agency Has Your Best Interests At Heart
When applying for car insurance, make sure you take the time to research the insurance agency beforehand. Consult your friends/family members, read up online reviews and testimonials, check their experience, and gather additional insights.
Ultimately, you want to make an informed decision to avoid partnering with a company that doesn’t have your best interests at heart.
As one of the leading insurance providers in Pennsylvania, we have an impressive track record, extensive experience, and ample expertise. If you’re looking for flexible, favorable, and secure car insurance plans, we can help you get started.
Find out more about our auto insurance services. Once you’re satisfied with what you see, fill out this form to request an online auto quote. We proudly serve clients in Scranton, Pittston, and Lehighton.