Auto Insurance: How to Customize a Policy

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When it comes to insurance, there is no such thing as a one-size-fits-all policy. Everything you’ve fought so hard for is yours alone, and it should be preserved as such. Today, most insurance companies provide the specialized coverage you need to safeguard what matters most to you — car, vintage motorcycle, business, health, and so much more.

Getting the Best Auto Insurance Policy

Every person is unique – that’s why customized auto insurance policies are becoming more and more popular each passing day. Let’s look at the main types of coverage offered by most insurance companies to help meet car owners’ requirements. After reading this, you can call your agent to get a bespoke insurance proposal that suits your specific needs:

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  • Collision coverage – covers the costs of repairing your car after an accident or other forms of collision.
  • Comprehensive coverage – covers the costs related to the damage to your car caused by theft, hail, vandalism, fallen trees, and more.
  • Liability coverage – covers expenses related to death, injury, or damage to other people’s property when you are at fault.
  • Valuable add-on coverage – Also referred to as add-ons, these types of coverage can personalize a policy to suit your needs. They include:
  • Getting involved in an accident with an underinsured or uninsured driver. This can be when you or someone you get into an accident with has auto insurance from a different state than the state they live in. If you are wondering if your car can be registered in one state and insured in another click here.
  • Custom equipment coverage that covers the cost of replacing damaged or stolen aftermarket parts, electronics, equipment, as well as video and audio installations not installed by your car’s manufacturers.
  • Coverage that covers an accident that causes dismemberment or death.
  • Medical expense for your pet when they are in your car during an accident.
  • A policy that protects you from becoming car-less, for example, when your car is in the repair shop.

And that’s not all. Do you have a business car that requires coverage while you and your staff are on the road? Do you use your car for ride-share services?

Ask your agent about the above and any other additional coverage they have that can protect your unique needs.

Switching to a More Customized Insurance Policy

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As we have mentioned, over time, your insurance requirements and associated expenses may change. Different insurance providers may be able to provide you with better quotes for your needs. That’s why; it’s a good idea to examine your existing auto insurance coverage to see if new discounts are available or whether you should switch to a new provider who can give you a more customized policy.

That said, when switching policies, there are several things to keep in mind to ensure the whole process goes on smoothly.

1. Shop Different Policies

Vehicle insurance policies usually need to be updated bi-annually or annually. When you buy a new car, add custom equipment to your vehicle, add a new driver to your policy, or move houses, it’s advisable to check out other providers. It’s also wise to shop for a new policy following a significant life event like having kids, getting married, or buying a house – as many insurers provide bundles like the one here.

2. Compare Auto Insurance Quotes From Multiple Providers

If you’ve decided it’s time to switch insurance companies, another thing you should do is seek quotes from different insurers. This will allow you to compare premiums, discounts, and coverage options. However, ensure you are getting quotes for the same policy so that you can compare apples to apples.

Also, have the following information on hand when you plan to talk to an agent about getting a quote:

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  • Vehicle year, model, and make
  • Address where your vehicle will be stored
  • Vehicle identification number
  • Driver’s license or SSN (insurance companies use this info to assess your driving record and other personal factors that may impact your premium, like your credit-based insurance score)

Again, we cannot emphasize this enough. When you are researching insurance companies, review the available discounts. Asking insurers to include all the discounts you are eligible for on a quote can help you land cheaper coverage.

3. Let Your Current Insurer Know

When switching your insurance policy for a more customized one, let your current provider know about it ahead of time. They may suggest better coverage to keep your business. But, if they can’t provide you with a more competitive deal, it might be the perfect time to make the switch.

4. Confirm There Are No Penalties Involved

Confirm if there are fees linked to switching your policy. Typically, there should be no fees or penalties if you complete your coverage period, as per the contract. However, if you wish to cancel your policy early, make sure you won’t be penalized.

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5. Cancel Your Old Policy

Notify your old insurer that you are terminating the policy with them and validate the same in writing. Notably, taking such measures ensures that your previous provider will not continue billing you and mess up your credit.

6. Print Out Your ID Card

Remember to print out your new insurance identification card. Whenever the authorities stop you or get in an accident, you must show proof of coverage. And your new insurance ID card suffices in such situations.

So, now that you understand the advantages that come with customized coverage, contact your provider to create a bespoke policy that ensures your car never goes unprotected.