We continue with Part Two of our post, Advertised Insurance Features.
The one thing no driver wants to deal with is a car accident. Despite safe driving habits, though, the average driver will be in an accident about three to four times in his or her lifetime. If you find yourself filing a claim, your insurance premiums are likely to soar – sometimes by 40 percent or more. That is unless you have Accident Forgiveness, a feature from Allstate that promises your rates won’t go up just because of a first-time accident.
Accident Forgiveness is also available in various forms from several other insurance companies, examples of which include Acuity, Nationwide, Progressive, and The Hartford. It typically costs extra to add this protection to your policy, but Integrity Insurance is known to offer it for free to customers after five years. Talk to an agent here at Gutman Insurance for help adding Accident Forgiveness features to your policy.
Name Your Price Tool
Everyone likes saving money – especially when it comes to things like car insurance. However, most drivers know that quality of coverage is more important than cost when it comes to protecting yourself against accidents and liability. Despite that fact, Progressive created the Name Your Price Tool to capture a part of the insurance market that prioritizes price when shopping for coverage. It allows users to see price differences when adjusting the features and coverage levels within a policy.
While the Name Your Price Tool locks in minimum coverage levels required by law, it still creates an opportunity to reduce or eliminate coverage to achieve a particular price. Here at Gutman Insurance, we believe that these types of practices can be dangerous for drivers, putting you at risk of being under-insured. Instead of selling you a bare-bones policy, we find other ways of helping you save money on the coverage you really need, from raising deductibles to shopping and comparing rates from multiple insurers.
That brings us to our next advertised feature, the Discount Double-Check. Seen on State Farm commercials, the premise behind it is that agents will double-check to make sure they didn’t miss any discounts you may qualify for when selling you coverage. The commercials highlight this service as a unique benefit, but the truth is any agent could do the same, albeit from the companies they work for – not State Farm.
If you truly want to maximize your discounts, we recommend using an independent agent. Unlike the captive agents at State Farm, independent agents do not work for any particular company. That means you can easily compare and double-check discounts from multiple insurance companies before purchasing coverage.
Finally, we wrap things up with GAP insurance, which is designed to pay the rest of what you owe for a totaled vehicle after your primary coverage issues a settlement. Since vehicles rapidly depreciate in value and insurers typically only cover the actual cash value of a car, you could still owe money to your lender if you total your car soon after you purchase it. GAP protection pays off the balance, helping you to start over debt-free.
While GAP protection can be beneficial and is generally recommended for people who finance new vehicles, it is also easy to over-pay for more coverage than you need. Lenders and car dealers often sell this protection at the time you buy a vehicle, charging hundreds of dollars up front for protection that will last the life of the loan – even into the latter months or years when the loan balance falls below the vehicle’s valuation. Instead of buying from a dealer or lender, we recommend adding GAP protection to your car insurance, where you can easily drop it once you no longer need it.
Remember, in a world where insurance advertisements dominate commercial breaks and Internet sidebars; everything is not always as it seems. The team here at Gutman Insurance is always happy to answer your questions and assist you in finding the discounts and coverage benefits you deserve.