What You Need To Know Before Getting Used Car Insurance Quotes

January 30 2009 by author in Uncategorized |Comments Off

Reader’s Question:

I recently bought for myself a used car. What are the things I need to know before I ask for used car insurance quotes?

Rainier

Los Angeles LA

When asking for an automobile insurance quote, the motorist is expected to know the type of coverage he wants for his vehicle, or if he isn’t sure yet, to at least have an idea of what types of coverages are available in the market. Used car insurance quotes will still require you the same information that insurance brokers and providers ask from other motorists. This will include the type and amount of coverage selected. Before you can choose the coverage, you need to know about them first. Every state requires motorists to have liability insurance. Definitely, this will be part of the used car insurance quotes you will be asking from insurers. Liability insurance protects you from damages when you injure a person or his property while driving your vehicle. Comprehensive and collision insurance is an optional coverage in every state. If your car and its implements are not of high value, you can forego having this coverage. But in case it’s valuable, this will cover damages to your car resulting from collision and other factors like vandalism, theft and fire. There are also optional coverages that you may want to include in your used car insurance quote. This are the uninsured/underinsured coverage and medical payments.

Tips in Buying Used Car Insurance

January 29 2009 by author in Uncategorized |Comments Off

Reader’s Question:

I plan to a car next month. But with my tight budget, I think I can only afford a used car. Do I need to insure the car even if it’s used and has a low market value? If yes, can you give me some tips on how to buy cheap used car insurance?

Brent

Baton Rouge, LA

In LA, it is mandatory that each registered car owner get liability insurance-whether it’s a used car insurance or not. The state requires each insurance policy to have the 10/20/10 minimum liability limits. This stands for $10,000, $20,000, and $10,000 worth of coverage for bodily injuries of one person, bodily injuries more than one person, and property damages, respectively.

Just like in any other state, an insurance policy is used as a proof of financial responsibility while a person is driving a car. This is to make sure that the driver who’s accountable for the damages he has caused can take care of his financial obligations. Therefore, it is not really the type of car that matters, but the ability to be financially responsible while you are driving that car.

The car’s market value will only matter when the car insurance company computes for your car insurance policy rate. Often, companies use this factor to know how much it would cost them to repair or replace your car if it gets damaged, totaled, or lost. If they find that the cost of repair is higher than the car’ market value (this normally happens with high powered or custom-made cars), then they would charge the customer a high rate. If the repair wouldn’t cost that much, then an average rate would be given.

One way to lower down your policy rate is to drop the insurance for physical damage (this is the comprehensive and collision coverage). If you think you can handle the repair of your vehicle on your own, then I suggest you avoid getting this type of insurance for your used car.

Other than this, try to drive more safely, and avoid getting into accidents or making traffic violations because each of these incidents could pull your car insurance rates up.

Used Car Insurance Quotes for Second-Hand Cars

January 24 2009 by author in Uncategorized |Comments Off

Reader’s Question:

What do I need to look for when buying a used car? And are there insurance companies willing to give used car insurance quotes for free?

Kristine

Philadelphia, PA

Since you are still shopping for a second-hand car, it would be good to obtain used car insurance quotes, so that you have a general idea of how your car of choice will be rated by insurers. Companies have a devised a system of categorizing cars to help them figure out the insurance risk of each type of vehicle. The higher the category the car belongs in, the more expensive its premiums will be. So, get a low-category car.

Although this information will never be made available to you, it is safe to assume that cars that have low performance engines get to be rated with affordable rates. Just make sure that when you buy that used car, check the accident history and mileage. The first one is important as car insurance companies will definitely look into the car’s record. If it had been involved in numerous accidents in the past, then chances are the vehicle is not that safe and will be perceived as a huge insurance risk. Mileage, on the other hand, while not a very good indication of vehicle reliability, will be important to note, as well. Buy one that has run not more than a thousand miles in a year. Your best choice would be a three-year-old car that has a mileage of not more than 30,000. Anything beyond that must have been used in a business operation or was driven hard. You can get used car insurance quotes for free and without obligation from various car insurance company websites.

Buyer’s Guide To Used Car Insurance

January 24 2009 by author in Uncategorized |Comments Off

Reader’s Question:

Do I have to purchase full car insurance coverage for a used vehicle that I’m planning to get here in Alabama?

Oliver

Huntsville, AL

Not necessarily, car insurance for used vehicles would usually cost much lower due to the fact that the value of the vehicle itself has depreciated. This means that you can maintain adequate comprehensive and collision coverage for much less than it would normally cost you on an expensive vehicle. If the actual cash value of your vehicle there in Alabama is low enough, you may even find it more cost effective to have relatively minor damages fixed yourself, and drop comprehensive and collision coverage all together. You can even opt to increase your policy’s deductible and take advantage of lower premiums for doing so.

You should still maintain the required amounts of liability insurance coverage, as mandated by the financial responsibility laws of your state. No matter how old or used your vehicle is, it’s still a moving object that still has the potential to inflict damage to property and injuries to people, which you may be sued for, so dropping liability is something you do not want to do.

With used cars, you actually get the flexibility of balancing risk versus costs. Here are some other helpful tips to insuring a used vehicle:

1.Do you have good medical insurance coverage? If so, then you may choose to drop Personal Injury Protection since your medical insurance will pay for treating injuries caused in a car accident.
2.Driving a used car won’t disqualify you from discounts that you may be eligible for, so don’t forget to ask.
3.Always shop around. This website is a great way to start your search or affordable used car insurance.

Do I Need To Get Auto Insurance Before I Buy A Used Car?

January 23 2009 by author in Uncategorized |No Comments

Reader’s Question:

My friend is selling me his car and I would like to know I should buy used car insurance before I buy the car.

Ben

Boston, MA

Well if this is your first automobile then yes you will need to buy used car insurance for the vehicle that your friend is selling before you take the ownership of that used car. If on the other hand you already have car insurance and will just replace a car on your current car insuranc policy, your insurance may be able to cover the used car that you are planning to buy for a couple of days. I suggest that you speak with car insurance company regarding this and check with your laws in your state with regards to car insurance law.

Before you buy a vehicle or used car insurance I suggest that you speak with your car insurance agent about the vehicle that you are planning to buy so that they can give you a car insurance quote on how much your car insurance premium will be if you add the new car to your car insurance policy. In this manner it will help you to budget for your vehicle purchase. So if you already an existing auto insurance policy, your car insurance provider will be able to tell you when you could inform them when to add the “new” vehicle so it will be properly covered.

Why Buy Used Car Insurance

January 16 2009 by author in Uncategorized |Comments Off

Reader’s Question:

I just bought a used car that’s really low priced. Do I need to have used car insurance?

Tom

Colorado Springs, CO

No matter how much your car costs, whether it is a very expensive brand new sedan, or a really cheap old clunker from the used car garage, you will need to provide at least the minimum levels of liability insurance as it is required in your state. This is because the insurance coverage is one way of showing to the state that you can very well pay for the damages you are most likely to inflict from driving your car on the streets. Not having one would cost you your driving privileges. You will also end up depleting your savings from paying state-imposed fines for driving around uninsured. Worse, your car might just be seized by the government to make sure that it is not loose on the streets without insurance.

Since you have a used car, obtaining used car insurance would be your best option, so you do not have to pay enormous amounts on coverage. Most owners of used cars choose the higher deductibles on their Comprehensive Insurance to considerably decrease their premiums. And this is just a good move as there is no point in insuring your used car for such high limits since it only costs really cheap on the used car lot. Additionally, it would hurt to pay expensive rates on Comprehensive Insurance and just end up accepting a really small settlement if it gets to be declared a total loss after an accident.

Used Car Insurance In California CA

January 7 2009 by author in Uncategorized |Comments Off

Reader’s Question:

This year I am planning to buy my first used car. I am just wondering if I need to get used car insurance in California first before I buy the car?

Erik

Los Angeles CA

If this is your first car then yes you will have to obtain used car insurance before taking over the ownership of a used car in the state of California. If you already have car insurance and you are just replacing a car on your existing car insurance policy then the car insurance coverage might insure your first used car for a couple of days. I suggest that you check with California Laws to be sure and ask your car insurance company.

Keep in mind that before you buy a used car, I would advise you to speak with your car insurance company to inform them about the car you might want to buy. Your car insurance agent should be able to provide you a car insurance quote of what it will cost to add the car to your car insurance policy, that may be able to help you budget for your used car and used car insurance purchase. Your car insurance carrier will be able to inform you when you should call and add the car so it will be have coverage.

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