We continue with Part Two of our post, Advertised Insurance Features.
GAP protection is available when you finance a new vehicle purchase. You can add it to your insurance policy, or lenders and car dealerships sometimes sell it at the time of the sale. This type of coverage pays off the balance that remains on your car loan after insurance reimburses you for your totaled vehicle. Since insurance settlements cover actual cash value based on depreciation, it may not be enough to pay off your balance in the event of an accident.
If you finance a vehicle, we recommend purchasing your coverage through an independent agent here at Mid-Rivers Insurance. Although lender and dealer-issued GAP coverage provide the same basic protection, it could also be more costly and require upfront payment of premiums for the life of the loan. With traditional insurers, you can put money back in your pocket by dropping GAP coverage when you no longer want or need it.
New Car Replacement
The New Car Replacement program from Liberty Mutual gets a lot of airtime these days. Commercials are constantly talking about how the company can replace your new vehicle when you total it – not just hand you a check for the depreciated value. Similar benefits also happen to be available from other insurance companies, although the details and coverage stipulations may vary from insurer to insurer. For example, Liberty Mutual’s New Car Replacement is available for new cars less than one-year-old and with fewer than 15,000 miles on them. Travelers Insurance Premier New Car Replacement, on the other hand, pays for replacement for up to five years of ownership.
Whether you drive a new car or a used car, replacement-value coverage may be available to you at an additional cost. Talk to an agent here at Mid-Rivers Insurance for more information about how you can better protect your investment in your vehicle.
Car insurance companies are notorious for raising rates when drivers file accident claims. Depending on the insurer, the rates could go up significantly and stay up for between three and five years. Perhaps that is why Allstate frequently advertises its Accident Forgiveness program, which promises rates will not go up because of a first-time accident.
With Allstate, drivers typically need a good driving record and perhaps even a good credit score to qualify for Accident Forgiveness. Other insurance companies offer similar ‘forgiveness’ for accidents, examples of which include Acuity, Progressive, The Hartford, Nationwide, and Integrity. Most charge extra to enroll in a forgiveness program, but Integrity Insurance provides it for free to certain customers after at least five years.
Like most other insurers, State Farm Insurance offers several discounts to eligible drivers. The discounts award savings on premiums to policy-holders who are good drivers, good students, or who exhibit other qualifying criteria. The Discount Double-Check is a phrase coined by the company to describe the thorough review its agents perform to ensure drivers get all the savings they deserve.
Of course, double-checking for discounts is not something exclusive to State Farm. In fact, any agent can do the same, combing through your policies to ensure nothing was overlooked. Here at Mid-Rivers Insurance, we take it a step further. Instead of just searching for discounts from one insurer, we can compare rates and discounts from multiple insurance companies to maximize the value you receive for your coverage.
Remember your independent agent is your closest advocate in the search for quality coverage at affordable rates. We can help you sort through the noise you hear in advertisements to determine which insurance features may be right for you.