Avoiding Insurance Surprises: Does Your New Car Have the Coverage It Needs?WARWICK, R.I. -- Auto manufacturers have rolled out 2007 new car lines, and consumers can find great deals as car dealers seek to unload To remove a program from memory or take a tape or disk out of its drive. 2006 inventories. However, new car buyers should make certain that they have auto insurance that properly protects their sizable siz·a·ble also size·a·ble adj. Of considerable size; fairly large. siz  a·ble·ness n. investmentsCoor
they may regret it.
"Take a few minutes to ensure that you truly have the auto insurance you need," said Ron Moore, manager of product development at MetLife Auto & Home. "Surprisingly, a new car depreciates up to 30 percent during the first year, and many insurers will take a deduction deduction, in logic, form of inference such that the conclusion must be true if the premises are true. For example, if we know that all men have two legs and that John is a man, it is then logical to deduce that John has two legs. for depreciation during this time. That means that a person could pay $20,000 for a vehicle, but only receive $14,000 if it is 'totaled.' In addition, if you have a loan on the vehicle or if the vehicle is leased, the bank or leasing company could ask you to pay for the difference between the amounts the insurance company pays and the payoff amount of the loan or lease. As a result, you might have to pay several thousand dollars out of your pocket." Moore also noted that many people assume all of the features of their new vehicle are automatically covered. "People just assume their auto insurance will cover the entire vehicle and everything in it," stated Moore. "If your new vehicle has any add-ons that are not standard equipment, such as a mobile video player for the kids or a GPS or navigation system A GPS-based electronic system in a car or truck that provides a real time map of the vehicle's current location as well as step-by-step directions to a programmed destination. See GPS and vehicle tracking. , they may not be covered by some insurance companies. By asking the right questions, however, you can avoid some nasty surprises, and also, find ways to save money on the insurance you're purchasing." Not every insurance policy is the same, and many consumers miss out on available insurance discounts. So, before purchasing a new vehicle, ask the following questions: * What does my auto coverage actually cover? Determine in advance the level of protection actually afforded under the terms of the policy. For example, if your new car is damaged beyond repair, will your auto insurer An individual or company who, through a contractual agreement, undertakes to compensate specified losses, liability, or damages incurred by another individual. An insurer is frequently an insurance company and is also known as an underwriter. replace the vehicle with a new one, or take that deduction for depreciation? * Is image everything? Certain cars look great and catch the eye, but you may end up paying more for the flair. Cars that are expensive to repair or have historically higher theft rates carry higher insurance costs. Specialty vehicles and sports cars typically cost more to insure Insure can mean:
* If my new auto is damaged beyond repair, would I be able to pay off the loan or lease? Does my insurance company offer Lease or Loan Gap coverage? * Would the extras that were added to my auto, such as special rims and tires, or video players, be covered if an accident occurred? Would my auto insurer cover the whole cost of the customization, or would they only pay a limited amount? * Can I use the accessories to my advantage? If your new vehicle comes equipped with such things as anti-theft/alarm devices or anti-lock brakes, you may qualify for discounts. * Are there other discounts that I qualify for? Insurers offer discounts for a number of factors: driving record, certain safe driving courses, the number of drivers using the vehicle, low annual mileage MILEAGE. A compensation allowed by law to officers, for their trouble and expenses in travelling on public business. 2. The mileage allowed to members of congress, is eight dollars for every twenty miles of estimated distance, by the most usual roads, from his , and whether the vehicle is kept in a garage overnight or parked on the street. * Can my good driving record work for me? In the event of a loss, certain insurance companies will reward customers for good driving habits, by reducing your deductible That which may be taken away or subtracted. In taxation, an item that may be subtracted from gross income or adjusted gross income in determining taxable income (e.g., interest expenses, charitable contributions, certain taxes). for each year of loss-free driving. Make sure to ask whether your company offers it. * How safe is the vehicle? Besides ensuring greater peace of mind, vehicles that are considered "crashworthy crash·wor·thy adj. Capable of withstanding the effects of a crash: crashworthy cars; crashworthy seats. crash " usually cost less to insure. Before making your final decision, pay a visit to www.highwaysafety.org to rate your prospective purchase. To get a better feel for the safety level of a prospective purchase, MetLife Auto & Home offers a free brochure called "Shopping for a Safer Car." This informative 20-page booklet outlines what safety factors should be considered, to reduce the risk of death or serious injury in the event of a crash. Another free brochure, on "Injury, Collision, and Theft Losses," summarizes the most recent insurance injury, collision, and theft losses of passenger cars, pickup Pickup A gain in yield made by selling one bond and buying another. Also referred to as "yield pickup." Notes: When the present yield is relatively low compared to the longer-term yields, pickups will be done by investors trying to increase the yield and duration of their trucks, and SUVs. Both have been co-branded with the Insurance Institute for Highway Safety The Insurance Institute for Highway Safety is a U.S. non-profit organization funded by auto insurers. It works to reduce the number of motor vehicle crashes, and the rate of injuries and amount of property damage in the crashes that still occur. , and are available by calling 1-800-638-5433 (MET-LIFE). MetLife Auto & Home([R]), a subsidiary of MetLife, Inc. (NYSE NYSE See: New York Stock Exchange : MET), is one of the nation's leading personal lines property and casualty insurance companies, insuring over 3.8 million autos and homes. MetLife Auto & Home has developed a reputation for innovation in product design, being the first insurer to introduce certain product enhancements that provide greater value to consumers, including Identity Theft resolution services to both its auto and home insurance customers, offered at no additional charge. Identity theft resolution services are not available in all states, such as Massachusetts (available homeowners only) and North Carolina North Carolina, state in the SE United States. It is bordered by the Atlantic Ocean (E), South Carolina and Georgia (S), Tennessee (W), and Virginia (N). Facts and Figures Area, 52,586 sq mi (136,198 sq km). Pop. . The company was named among the industry's leaders in customer service according to according to prep. 1. As stated or indicated by; on the authority of: according to historians. 2. In keeping with: according to instructions. 3. J.D. Power and Associates 2005 Auto and Homeowners Insurance Studies(SM). For more information about MetLife([R]) and its affiliates, visit www.metlife.com. MetLife Auto & Home is a brand of Metropolitan Property and Casualty Insurance Company and its affiliates, Warwick, RI. |
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