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Choose The Car Insurance Companies Methodically

Jun 3, 2008
Did you know that senior citizens get discounts on their car insurance premiums? This is because insurance companies tend to think that older people are more mature and more careful than younger people in driving. They believe that they are at less risk of speeding, getting into road rages and being adventuresome in the streets. Also, older people have more experience in driving and that's why there is lower risk of committing mistakes. If the driver has reached 50 years, he can expect to receive big discounts and a reduction in premiums. Now this is something to look forward to when you're growing older.

If you're renting or buying a car in the United States, expect that authorities will require you to purchase a car insurance. You will have to present a proof that you have insured your car before you will be allowed to drive your vehicle. This applies whether you have gotten a brand new car or a secondhand or even when you just rented it from a car lease company. You must also pay for damages on other vehicles and people when you have taken part in a car accident. There is also an inclusion of protection against the uninsured or underinsured motorist if they caused the accident.

If you are buying a car, remember that it will also need insurance. Choose the right car so you'll pay the right premiums. Consider buying a small car because the less powerful the engine of your car, the lower you will pay for your insurance premium. Also, pick local cars because an imported car will make your insurance more expensive. Do not modify parts of your car too much except when you add safety features: doing so makes your premiums costlier. Make sure your car is safe (that means it has safety features and it is not eye candy to burglars). Overvaluing or undervaluing your car influences your premium too; better know your car's worth in reality!

You got in an accident! Now what? First and most important of all: DON'T PANIC. Check if everyone's all right and seek medical help if necessary. With the safety of everyone taken care of, the next thing you must deal with is your car's insurance. See the damage done to your car and call the police for advice. Take pictures to establish fault and give these to your insurance agency. Look around for witnesses that will help you get your claim. Show all documents that is required by officers in processing the incident. Be honest to all those concerned to establish trust and make the process faster. But most important: learn from your mistakes!

Sounds like a bad idea, doesn't it? Well it depends on your situation! If by chance you drive an expensive car such as a luxury car, sports car, or a huge truck, you will be charged more because of the higher value that your vehicle possesses. Also there is a greater risk that it will be stolen by someone. Also, if you have a nasty driving history like you constantly get into arguments with other drivers, beat the red light or hit a tree or two, expect that the auto insurers will not like it and demand more payments from you. Consider also your car's sticker price and the amount that it takes to repair and replace it. If you have a vintage car with unique parts, definitely your premiums will skyrocket. It's reasonable though; they are charging you more not because they hate you, but because they want your car to be safer.
About the Author
Jon Caldwell is a professional content manager. Much of his articles can be found at http://automobileinsurance101.net
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