Car Insurance – Do not Buy Too Much, Do not Pay Too Much

You can make a lot of savings in car insurance by using commonsense. But it must be pointed out early enough that commonsense alone can not get you the type of savings we are talking about here – Several hundred dollars. Here's a way you can save much more …

There are different policies as far as your car insurance is concerned. Examples of such policies are third party only, collision and comprehensive. At extra cost, you can get certain additionals to suit your specific needs. However, not getting the right policy will cost you a lot more on the long run.

A third party only cover guarantees that you pay the least for any chosen insurance company. The law in most places will be okay with just that. This policy takes care of the other vehicle, not yours, in the event of an accident. Your own car is not covered. Any damages to your car will be borne by you. If your car is an old one, this should be your choice.

Just to ensure we are all on the same plate, let's explain briefly the other popular policies: Comprehensive and collision. A comprehensive policy will take care of the following: Your car, the other party's car, persons involved in the accident and losses due to theft, fire and vandalism. If you crash into another object, a collision policy covers your car. Now, back to our disc …

The fact that your reimbursement is based on the value of your car at the time of an accident or theft makes it a poor decision to buy a comprehensive and or collision cover for an old car. Without your car is a classic, what you'll get is not going to be worth the premiums you had paid. If an insurance policy will not pay off on the long run, it certainly is not worth the pains.

Before we leave …

Here is a clearing factor in making huge savings in your car insurance: Different insurance companies offer different rates for similar policies. You can use this to your advantage by getting and comparing as many quotes as possible from car insurance quotes sites. I recommend up to using up to five quotes sites for the best results.

Source by Chimezirim Chinechem Odimba

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