Are you planning to purchase auto insurance? Or do you already have insurance but are searching for an alternative insurance provider? Car insurance is not only mandatory but it is beneficial not only for you but for your family and passengers as well. It gives financial protection when a car’s driver, passengers and other people are physically hurt during a collision and other liabilities that may happen as a result of the incident. It also provides financial protection if your car is damaged due to natural causes or disasters and during collision with stationary objects.
The good news is, you can now buy auto insurance online. With internet technology becoming advanced through the years, more and more people are turning to online options including the purchase of auto insurance. Let’s take a look at the advantages and disadvantages of buying auto insurance online:
Advantages of Online Auto Insurance
- There is no insurance agent or middle man involved. You do not have to negotiate or talk with an insurance agent when you purchase online and this allows you to save money in the process.
- You can purchase anytime whether it’s day or night time. Regardless if you’re in town or on vacation in another country, you can still purchase auto insurance and you can do so whether it’s 6 in the morning or 12 midnight.
- You can acquire a copy of pertinent insurance documents anytime you want. You can get a copy of important documents anytime you request for it if you purchase your auto insurance online.
- All essential information is readily available to you. Online auto insurance companies and providers have FAQ’s set up on their websites and all you have to do is look through and read all the information indicated.
Disadvantages of Online Auto Insurance
- There is no one to assist you when you file a claim. Since you acquired your car insurance online there is no insurance agent to assist you when filing claims which can be daunting during a stressful time such as a time of loss due to car accidents.
- You have to do all the research on your own and be your own auto insurance expert. There is no one to assist you and you have to know the technicalities and vital information all by yourself.
- You still have to call someone through an automated system. There will be times when the answers you are looking for may not be found on the information provided online so you still have to contact an 800 number which can be time consuming and impersonal as well.
- You need to be computer-literate or should be comfortable using a computer. Being computer-savvy is important as you have to fill up online quote forms and if you’re not at ease using a computer then you have to think twice if you really want to purchase your car insurance online.
Important Tips When Buying Auto Insurance Online
- Canvass first and visit websites of online auto insurance providers and be sure to compare quotes.
- Make sure to visit your state’s insurance department as it contains websites of state-licensed insurance companies, consumer guides on auto insurance and price comparisons of competing insurance companies.
- Price should not be the only consideration when buying car insurance online. You should also ascertain that you have equivalent coverage amount and be sure to scrutinize the terms of agreement.
- Check out consumer satisfactions databases like ConsumerReports.org to check the financial stability of an online auto insurance provider.
- Ask around and seek recommendations from trusted friends and colleagues
The following are the various types of car insurance coverage:
- Collision insurance – It covers car damages during an accident including the replacement and repair of the insured car.
- Medical payment coverage – It covers payment of medical costs resulting from an accident.
- Liability coverage – It helps cover costs for injuries and property damage to other people whom you are legally accountable within a covered accident.This type of coverage is mandatory in most US states for you to be able to drive your own vehicle.
- Comprehensive insurance – It provides extra coverage in the event of an accident aside from collision and this includes vandalism, accident involving animals and weather-related incidents.
- Uninsured motorist coverage – It allows protection against hit-and-run incidents and drivers who are uninsured.
- Personal injury protection coverage – It covers medical expenses as well as loss of income resulting from a covered accident.
- Underinsured motorist coverage – It helps cover the costs in the event of an accident with another car whose driver has no adequate insurance to shoulder the expenses.
- Towing and labor insurance – This can only be availed if you already have existing comprehensive car insurance and provides reimbursement for towing and labor costs during car repairs.
Here are the steps to walk you through when filing an auto insurance claim in the event of a car accident or when you are liable for physical damages involving your car:
- Notify the police of the accident immediately so they can prepare a police report.
- Be sure to document and collect all the information concerning the accident as you will have to provide your insurance company with the details.
- Contact your car insurance right away and most preferably from the scene of the accident. Your car insurance company will assist you should you need help in towing your vehicle, among other things.
- A claims specialist shall be assigned in processing your claim. Be sure to provide him/her with all the necessary information concerning the accident. The assigned claims specialist is also there to assist you and answer all your questions related to your claim.
- Once the claims specialist has finalized all research you will then receive a cost estimate of the repairs that shall be done and any deductible payments that need to be settled. Upon mutual agreement of the terms, you can already claim your vehicle for the needed repairs.
Having a car takes on a great level of responsibility on your part and having auto insurance is necessary for your own safety as well as for your family and loved ones. Purchasing car insurance especially online is becoming a popular option for car owners these days allowing for more seamless and hassle-free transactions. Most importantly, you are confident and assured that your car, your life and the life of others are secured and covered.