How to Buy Car Insurance

http://carloansratesnow.com Expand the description and view the text of the steps for this how-to video.Check out Howcast for other do-it-yourself videos from Dynamic and more videos in the Car Insurance category.You can contribute too! Create your own DIY guide at http://www.howcast.com/videos/new or produce your own Howcast spots with the Howcast Filmmakers Program at http://www.howcast.com/filmmakers/apply.Follow these helpful hints before you sign on the dotted line.To complete this How-To you will need:A credit reportKnowledge of local lawCareful considerationCompeting quotesExtra coverageA credit reportKnowledge of local lawCareful considerationCompeting quotesExtra coverageStep 1: Check your creditCheck your credit report for errors. Insurance companies use your credit rating to help determine your rate.Tip: Request a copy of your credit report by logging onto annualcreditreport.com or by calling 1-877-322-8228. You are entitled to one free copy per year.Step 2: Obey the lawFind out the minimum car insurance required by law on your state's Department of Insurance web site.Tip: Only New Hampshire and Wisconsin don't require car insurance. But since they do require people to pay for accidents they cause, many people carry it anyway.Step 3: Consider more liability coverageConsider buying more liability insurance than your state requires. Consumer groups recommend a minimum of $100,000 for injuries per person, $300,000 per accident, and $100,000 in property-damage liability.Tip: Most American car insurance does not cover you if you're driving outside the United States. Some policies are valid in Canada and Mexico, but check if your coverage meets those countries' requirements.Step 4: Crunch some numbersCollision coverage pays for the repair or replacement of your vehicle. If your car is more than five years old or worth less than $4,000, it may not be worth it.Step 5: Consider comprehensive coverageComprehensive coverage covers you if someone steals your vehicle or if it's damaged by a windstorm, fire, hail, or vandalism. But if your car is more than 12 years old, unless it's a valuable vintage set of wheels, the cost may outweigh the potential benefit.Step 6: Weigh the advantage of add-onsWeigh the advantage of other add-ons, such as extra medical coverage, emergency roadside assistance, and glass breakage.Tip: Consider buying uninsured or underinsured motorist protection, even if your state doesn't require it. This provision protects you if someone with no insurance causes a collision with you.Step 7: Shop aroundShop around. Get a general quote from an insurance company's web site by plugging in basic information like your zip code and car model. Some web sites offer quotes from several companies so you can compare rates. Just be aware that these quotes reflect a bare-bones policy with no add-ons.Step 8: Ask about discountsOnce you choose a company, ask if you're eligible for discounts. Having air bags, antilock brakes, or an antitheft device can reduce your rates. So can a clean driving record, carpooling, a car with low mileage, and good grades if you're a student. Drivers between 50 and 65 also may qualify for discounts.Step 9: Choose a deductibleChoose the highest deductible you can afford in order to pay the lowest premium possible.Step 10: Pay up-frontOnce you decide on a policy, pay the entire premium up-front to save the monthly service fee.Thanks for watching How To Buy Car Insurance! If you enjoyed this video subscribe to the Howcast YouTube channel! http://www.youtube.com/subscription_center?add_user=howcast

Category:

Autos & Vehicles

Tags:

• hothowtos
• cars
• transportation
• auto
• automobile
• buying
• purchasing
• getting
• insuring
• money
• paying