For the first-time buyer, car insurance can seem like a tough nut to crack. There are different types of plans available and several insurance terms you need to wrap your head around. However, with the internet at your disposal, the entire buying process has become quite straight forward. And to make things a little easier for you, the following article will also highlight some common mistakes people make when buying a car insurance. This will help you stay away from committing similar blunders and ensure that you make sound purchase decisions.
1. Not Comparing Before Buying.
This is the most common mistake that people make when buying a car insurance policy. They either buy a plan because a peer told them to or because they have a personal preference to a specific insurance provider. However, this is as good as picking a plan with your eyes closed! The ideal way to buy a plan is first to get instant quotes from the various insurance companies. This will help you check which insurance company offers the protection you want at the most affordable price.
2. Looking For The Most Affordable Plan.
Cost is an essential factor when buying car insurance, but it certainly isn’t the only factor that needs to be looked at. You also need to look at the coverage the plan provides, the number of cashless garages available, the claim settlement ratio of the provider, the reviews of the plan, and so on. Once you shortlist plans based on all these factors, you can see which one of your shortlisted has the least premium. This ensures you get quality protection and affordable rates.
3. Not Buying Online.
Many buyers choose not to buy car insurance online. They prefer going to a branch to buy a policy. However, online car insurance has many benefits. Plans are more comfortable to purchase; it takes less time and often involves zero paperwork. In some cases, online plans are often more affordable than their offline counterparts as well!
4. Not Considering Add-ons.
Add-ons are often considered as an added expense rather than added protection. They offer extra layers of protection by covering you from specific perils that you may encounter on and off the road. One should go through the list of add-ons available and decide if they are needed instead of just ignoring them. For someone who lives in a low-lying area, getting an engine protector could protect the engine against flooding. If you live in a theft-prone area, you could opt for personal belongings to cover losses if your car’s contents are burgled.
5. Buying The Plan That Comes With The Car.
Settling for the plan that comes from the dealership might seem convenient, but it is not always wise. These plans follow a one size fits all when insurance needs to cater to the policyholder’s exact needs. Moreover, these plans generally do not allow you to choose add-ons or come with fixed add-ons that you might not need. Instead of taking one that’s forced onto you, you instead compare plans and find one that best suits your needs.
These were some of the most common mistakes people make when buying car insurance. We hope this article will help you buy a policy for your needs and get the protection you require. Good luck and drive safe!