Here are some tips to consider when reviewing your automobile insurance coverage:
- Make sure you have selected “full tort” coverage and not “limited tort”. Without full tort coverage you may not be compensated for all of your injuries if you have the misfortune to be involved in an accident. This is true even where the accident is not your fault. Except in the case of serious injuries, selecting full tort coverage is a prerequisite to recovering damages for personal injury received in a car accident.
- Scrutinize your deductibles carefully. In the case of older vehicles which have depreciated substantially, consider increasing your deductibles to the maximum (which reduces your premium) and also consider deleting unnecessary coverages like comprehensive and collision. The premium savings, often several hundred dollars per year, can be viewed as self-insurance for minor scrapes and mishaps.
- Avoid coverage for towing, road service and loss of use on newer vehicles which are still under the manufacturer’s warranty. Many manufacturers and dealers provide loaner cars for free and towing and road service are typically covered under warranty. Also, if you are a member of AAA, why duplicate this coverage with your insurance policy.
- Look for discounts from your carrier for safety devices like air bags, stability control, and anti-theft equipment. Also explore the availability of discounts for accident free ownership and for covering multiple vehicles.
- Always remember that when you sell a car and do not replace it you are entitled to a refund of the unused premium already paid. Notify your agent on the day you sell your car and request a premium refund.
– Kevin Palmer