Everyone wants affordable car insurance, but no one wants to pay the price. It may not make much sense to you, but the insurance buyer needs to be better informed. It takes some time to educate yourself enough to make smart decisions about your next insurance purchase. Too many people avoid liability when it comes to buying car insurance. You don't need an insurance course to understand the fundamentals of auto insurance pricing. Consult the declarations page on your car insurance and you will find everything you need to know.
The declarations page
1. Policy Period - This is the specific time period that the policy is in effect. Some car insurance policies have an annual renewal and others have a six-month renewal. Don't buy auto insurance with a declarations page that says your policy period has expired. This could lead to you being placed in an inferior carrier. Buy at least a month before your insurance is set to expire.
2. Vehicles – Your vehicles will affect your physical damage rate. When shopping, be sure to give the quoting company the identification number of all your vehicles. This is usually found on your declarations page.
3. Drivers in Household - Each resident relative with a driver's license must be listed on the policy unless they have other insurance.
4. Limits of Liability – These are the limits of bodily injury and property damage insurance. This is very important coverage and not a good place to cut costs if you are a homeowner. This part of your policy pays benefits to the party you may have injured in a car accident. It also pays for damage to their vehicle.
5. Physical Damage - This is your collision and overall benefit that you see on your claims page. This is the coverage for your automobiles. Your deductible selection will increase or decrease the rate.
Here are some of the many policy benefits you will find on your declarations page. Ask your insurance company about discounts and the tort option. Learn all you can and you can help make your car insurance more affordable.
