Avoiding The Potholes Of Car Insurance
Car Insurance is an issue that we all of face in our lives. Do we insure our car or not?
For example, what type of policy should you get? What should you look out for when signing on the dotted line? Car insurance can be a minefield if you do not investigate and take time out to research and evaluate the many types of insurance on offer in today's market.
Some of the main questions you need to ask yourself include do you want car insurance in the first place or are you willing to let luck prevail? Do you want comprehensive cover? Do you want to be covered just for fire and theft or do you want third party property damage insurance?
There is a significant difference in each of these policies and they vary from company to company. Basically comprehensive cover is full cover of your car and the other person's car (or the traffic light you demolished).
Third Party Fire and theft insurance is the next step down and then you have third party cover. Third party protects you for damage to some else's car but not yours.
After working out what type of insurance you want, ask yourself do you want to insure the car at an agreed value or current market value of the car? This is very important to consider. If your car is a special model with lots of modifications, you might consider the agreed value option because it allows you to include added extras.
The majority of people go for the market value option but it is important to read the fine print. This option has a catch. The insurance company pays out the amount the car is worth at the time of the accident. Hence the amount could be different to the market value originally spelled out in the policy when you signed up because of depreciation.
Once you have worked out what type of cover you want you start getting down to the smaller, more tedious options.
Some of the main ones you need to consider include:
(i) How much is the excess?
(ii) Do you want to choose the repairer?
(iii) Do you want loan vehicles if your car is stolen?
(iv) Do you want the policy to cover the car for business use?
(v) What drivers are covered?
(vi) Is it repaired using only genuine spare parts?
(vii) Is there a limit on towing fees?
(viii) Does it cover damaged property and personal belongings inside the car?
(ix) Does it Cover taxi fares?
RAC's Assistant General Manager for Insurance Services, Sam Mola believes it is very important for people to research and investigate all options before taking out car insurance.
"People need to watch out and make sure they are signing up for cover that suits their needs. You need to review the benefits provided and then make an informed decision," he said.
"People need to make sure they are familiar with the cover provided by the policy and not just compare policies on price. They need to make sure the company can provide the appropriate claims service when a claim is made. For example the company should provide a high quality of repairs for a minimum amount of fuss. People need to consider the reputation of the organization. Cheaper does not always mean better."
The Australian Insurance Council's Group General Manager for Western Australia and the Northern Territory Daryl Cameron said in 85 per cent of cases policies are bought on price alone, which can be dangerous for people who do not read their policies extremely carefully. He also said if you are not honest with your potential insurer they may refuse to pay out if the time comes.
"It is vital that all known information regarding the vehicle or any intended driver is fully disclosed to the insurer when taking out a policy or when one is up for renewal. If anything changes that may effect your policy you must tell the insurer; It is extremely important, remember you have a duty of disclosure," Mr Cameron said.
"If you smash into the back of a Mercedes, and you forgot to tell your insurance company about your dangerous driving conviction, they may refuse to pay out despite the fact you are covered by them. So be careful otherwise you may have to foot the bill yourself," he warned.
So be careful, take your time and watch out for the traps that catch many unsuspecting motorists. It is important that you understand what you are getting into and ask as many questions as you can. Remember there is no harm in asking and it could save you a lot of money in the long run.
Here are 10 points to remember when considering car insurance
Thomas Murrell MBA CSP is an international business speaker, consultant and award-winning broadcaster. Media Motivators is his regular electronic magazine read by 7,000 professionals in 15 different countries.
You can subscribe by visiting http://www.8mmedia.com. Thomas can be contacted directly at +6189388 6888 and is available to speak to your conference, seminar or event. Visit Tom's blog at http://www.8mmedia.blogspot.com.
Latest News
 WNCT | Insurance rise at coast could help protect plan Forbes, NY - By GARY D. ROBERTSON , 12.03.08, 11:58 AM EST Property owners in 18 coastal counties soon will pay more for insurance premiums through a state-sanctioned ... Insurers Urge Surcharges, Reforms to Fix North Carolina Beach Plan Insurance rise at coast could help protect plan Coast's risks may sting state |
NIIT Technologies Announces Key Appointments to Insurance and ... MarketWatch - Goutam Kundu, an Insurance industry specialist joins NIIT as Global Practice Head - Insurance Vertical. In this role he will work closely with the sales ... |
Life Insurance Patent Issued for Future System Advisors, LLC MarketWatch - The FSLM is an entirely new form of life insurance that solves many of the problems caused by traditional product chassis, such as UL and VUL RGA Financial ... |
DTRIC Insurance Company in Production With DRC's DecisionMaker for ... MarketWatch - (DRC) today announced that DTRIC Insurance Company is now in production with DRC's DecisionMaker Policy Administration System. ... |
Convergence of Negative Economic Factors to Severely Test US ... MarketWatch - These factors will force insurance carriers to adopt new skills and business discipline in order to survive the economic turmoil, according to new research ... |
CURE Auto Insurance Announces the Launch of a Revolutionary ... MarketWatch - PHILADELPHIA, Dec 02, 2008 (BUSINESS WIRE) -- Representatives of CURE Auto Insurance announced the availability of a revolutionary new alternative in auto ... New car insurer in Pa. denounces ‘unfair’ practices |
Research and Markets: Insurance Technology Spending Forecasts ... MarketWatch - The insurance technology spending forecast model provides a current and comprehensive assessment of revenue opportunities for technology providers across a ... |
FHA Insurance Fund Has Fallen 39 Percent Washington Post, United States - Instead, FHA borrowers pay premiums into an insurance fund to cover defaults and foreclosures. As of Sept. 30, that fund had an estimated $12.9 billion, ... |
Affordable Health Insurance: A Memo to Obama Spero News - If you already have insurance, the only thing that will change under my plan is that we will lower premiums. If you don't have health insurance, ... Insurance Industry Releases Their Plan - Will The Media Question It? Medicare waste Sorting Out Health Cards and Insurance in Canada |
Chaney sees gains for Miss. insurance markets since 2007 SmartBrief, DC - Mississippi Insurance Commissioner Mike Chaney applauds the progress his state has made since 2007 in rebuilding insurance markets devastated by Hurricanes ... Some say "crash taxes" can add insult to injury Fewer workplace deaths seen in Virginia for 2007 Texas Supreme Court to rule on policy exclusion case |
Resources
-
The Secret Information Site
"
-
Pet Insurance
Discover the secrets that pet Insurance companies don't want you to know.
-
Safety Employment Safety Jobs
Jobs in occupational safety, Insurance loss control, health/environmental, etc.
-
Free Prescription Medicine at Medicine For Free - Home
Free Prescription Medicine is Available to those who qualify. Millions of Americans daily choose between buying food or medicine. This choice is often a life or death matter faced by those with no Insurance to cover medicine or governmental prescription a
-
Welcome to PMI Savings :: Save On or Get Rid of Hidden Mortgage Insurance
How to Cancel Pmi with Official Form.
-
Real French Life ebook
Real French Life eBook guide to schooling, Insurance, day to day life and more in France.
-
Sales Lead Generation. Health Insurance, Real Estate, Life Insurance, Mortgage Leads and MLM Leads
Sales Lead Generation for Pennies. Learn How We Generate Business Sales Leads using our Affordable,Proven Sales Lead Generation System.
-
Annuity Online Quote Annuities Fixed Variable Immediate Equity Indexed Annuity Retirement Planning I
Annuity annuities online quote comparison variable fixed annuity indexed retirement planning tax deferred immediate annuity investment retirement annuity planning Fixed Annuity Life Insurance Company Annuity Rate Comparison Variable Life Annuities Definit
-
Insurance Leads Generation
Insurance Leads Generation
-
Used Cars For Sale By Owner, Used Car Dealers, Sell Your Used Car Free, Auto Insurance, Financing -
Used cars for sale by private owners, sellers, sell used cars free, dealerships, used car finder service, used cars quotes, used car financing, and more.