Saving Money: The True Cost of Low Cost Car Insurance in Massachusetts
People see ads for “low cost insurance” all day, every day. From the guy with the emu to the fast-talking woman in the apron, it may seem like cheap insurance is available everywhere. Sadly, none of these ads talk about how important it is to have the right kind of policy and enough insurance to cover your car in case of an accident, theft, or other damage. “You get what you pay for” has never been more true than when it comes to buying car insurance. However, you can get cheap car insurance in Massachusetts without giving up benefits. But first, you should understand how car insurance works.
Who Needs Car Insurance in Massachusetts?
People who live in the Massachusetts are required to have some form of car insurance. When you buy or lease a new car, most banks or loan offices require you to have full coverage insurance which means to include Collision and Comprehensive (fire & theft) coverage parts. Your state may not require full coverage, it is likely that you will need to have it until your vehicle is paid off. Auto insurance is something that most people have to deal with, so you should take the time to learn more about it.
A lot of these “low cost insurance” companies keep their rates low by giving policyholders less security. Your rates aren’t going down; they’re just giving you less insurance. When you drive, that means you won’t be as protected as you should be in case of an accident or other incident. It might look like you’re saving money, but when you need your insurance company to pay for bodily injury to others, or damaging other people’s cars or property, they won’t.
Can You Save Money on Insurance?
When you are quoted the premium, ask if the policy is an annual one or a six month policy. Then make sure you also ask about the levels or limits of insurance that are included and how high of a liability limit you should carry. Types of questions would be if you own a home or have a lot in savings for retirement. Such questions should bring to mind how much in assets you have that you need to protect. Also, let them know if you have any special needs or cases where you might need extra coverage. Your New Bedford insurance agent can review and eplain the whole policy, its benefits to you and the risks you are taking if you decide on the “cheapest” insurance.
Independent Insurance Agent in New Bedford
All car insurance plans offer the same seven basic things. Personal injury (no fault), body injury liability, property damage liability, physical damage to your car, medical payments, rental and towing. Your agent will tell you what kinds of coverage are required by Massachusetts law for car insurance.
No matter who was at blame in an accident, personal injury coverage can help pay for some lost wages and hospital bills after an accident. Body injury liability covers injuries to people in an accident, and property damage liability inlcudes damage to not only other cars but anything else including homes, buildings, street signs, lights, hydrants and so on. Low cost insurance plans leave drivers open to under-covered losses because they don’t carry high enough limits to cover many of the expensive cars on the road today. If these costs aren’t sufficiently covered, the driver has to pay for them themselves, which could be thousands of dollars .
Is Low Cost Insurance Worth It?
Going with a low cost insurance policy might save you a few bucks in the beginning, but it will cost you more in the long run if you ever need to make a claim. To get a better deal on your insurance, talk to your New Bedford insurance agent.
Some ways to save money on insurance without lowering your coverage are to keep your driving record clean and get your home, car, and life insurance all from the same company. Your agent will help you find ways to save money on insurance while still giving you good benefits you can count on to protect your investment. Give us a call, we are in New Bedford at 508-999-3636 to get a FREE quote on an auto insurance policy.