Chris O'Shea
It’s never a bad time to review your car insurance policy. With insurance, it’s about having the proper balance of the right amount of coverage, while also not paying for things you don’t need. Here are some considerations when reviewing your policy.
Types of Car Insurance
Liability Coverage. Most states require you to have a certain level of liability coverage to operate your vehicle legally. Liability covers you in the event you’re in an accident that was deemed your fault. You may consider carrying more than the minimum just to be on the safe side. Liability coverage has two types:
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Bodily Injury. Coverage for injuries or death of others in the event of an accident.
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Property Damage.Coverage for the cost of damage inflicted on another person’s property. This may include anything from a car to a house.
Comprehensive Coverage. Comprehensive covers vehicle damage when there is no accident or collision involved. Examples may include things like vandalism, storm damage, etc.
Uninsured Motorist Coverage. This coverage pays you if you’re involved in an accident with someone who does not have car insurance.
Personal Injury Protection. PIP or personal injury protection covers medical expenses regardless of who is at fault in an accident or collision.
How to Save on Car Insurance
After reviewing your policy, if you think you can lower your costs without limiting coverage, shop around. There are many different insurance companies in the marketplace. You may find a better car insurance carrier with lower costs and more features, a better mobile app, or more customer support. Insurance isn’t one size fits all, so find the best insurance coverage at the best price for your situation.
If you want to stay with your current insurance company, call and ask for discounts, see what options they have available, and what they can offer you for sticking with them. You can sometimes save money by bundling different types of insurance together. One study found that bundling can save you anywhere from 5 to 20 percent per year. Whether you stay with your current company or find a new one, asking about bundling is likely worth your time.
