Avoid These 3 Insurance Mistakes At All Costs

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Investing in Auto Insurance for Your Teen

Investing in auto insurance for your newly licensed teen driver can be expensive. The high costs of teen auto insurance is partly due to their limited driving history and their inexperience on the road — this makes teens a high risk for insurance companies. Luckily, there are a few things that can be done to save some money on auto insurance for your teen. Combining insurance policies for all vehicles in your household, enrolling your teen in accredited driving courses, and making sure that good grades are achieved in school are just a few options. On this website you’ll find a variety of ideas on how to save money on auto insurance and what kinds of services to look for in a policy for your teen.


Avoid These 3 Insurance Mistakes At All Costs

15 November 2022
 Categories: , Blog

One of the most crucial rules of owning a vehicle is insuring it. However, having the best insurance products in the market does not give you the freedom to make poor choices on and off the road. Thus, to enjoy a positive relationship with the insurer, you should learn the dos and don'ts when dealing with accidents and claims. Here are four mistakes you should avoid at all times.

Accepting Liability After an Accident

It is good to stop after a crash, and it is also human to feel sorry for the hurt individuals. The standard procedure also recommends offering other motorists your personal and insurance information. However, you should avoid speaking in a manner that suggests you accept liability for the accident. Moreover, apologizing to the other party and using phrases like it is your fault will complicate issues. Note that your insurer is there to handle cases, so you do not have to do it. Therefore, your only responsibility is to call a lawyer or inform them you have been in an accident.

Giving Inaccurate Data in the Application

Most people will lie in their insurance application if they believe it will give them some edge. Typically, the lies involve the car mileage, what they intend to use it for, the number of people using it, and their driving record. However, once an insurance agent catches you in a lie, they will want to dig deeper to find the truth. In addition, they might cancel your policy or raise your premiums. Therefore, it is best to tell the truth from the start and allow the insurer to decide whether they want to insure you and how much it will cost. 

Overlooking Major Life Events

Insurance might not be among the first things you think about when you experience changes in life events. However, it is crucial to consider ways that significant changes in your life affect your insurance situation. For example, if you bought a car while single, getting married might mean someone else will habitually use the car. Hence, you should add your spouse as someone who uses the vehicle. Failure to do so creates complications in case of an incident and might lead to claim denial.

These are mistakes auto insurance holders make all the time. To avoid them, it is best to speak to a competent broker and understand all the terms in your policy before signing any documents. You should also contact your agent any time something comes up that you don't know how to tackle.

Reach out to an insurance agent to learn more about auto insurance.