Maybe your current ride is being less reliable. Or maybe it’s time to upgrade to something nicer. Whatever your reason for buying a new car, you should enter the process with some knowledge.
Follow these tips to avoid any unpleasant surprises down the road (literally):
- Thinking of trading in your older vehicle? Do the research ahead of time and be prepared to stand your ground. Remember, they’re in the business of giving you the least possible amount for your car. Be willing to speak up if you feel like you’re not getting a fair trade. In some cases, it might make more sense to sell it on your own.
- Be selective about the bells and whistles the dealer might try to sell you on. These packages can add thousands of dollars to the final price of your car. Do you really need leather or heated seats? Be a smart shopper and ask questions to make sure you know exactly what you’re buying.
- Opt for safety. Extra features are worth every penny, especially if you are transporting children. A rearview camera, forward collision warning is and adaptive cruise control are newer technologies that can pay dividends.
- Don’t fixate on the sticker price solely. You’ll need to take into account the overall cost of the car, the value of your trade-in, and your financing terms.
- Don’t skip the test drive. A vehicle is an investment so you want to make sure you absolutely consider how it handles, comfort, and the overall feeling you get while driving it. Cars that look good on paper (or on the lot) aren’t always what you expect when you get behind the wheel.
If you’ve ever purchased a new vehicle, you may remember the dealer asking about your auto insurance. You may even have been required to provide proof of coverage before driving off the lot with your beautiful new car!
If you're in the market for a new car, be prepared to call us to either add the new vehicle or replace an existing vehicle on your policy (if you have a trade-in).
When you call, here is some information that’s good to have on hand:
- Make and model of the new vehicle
- VIN (vehicle identification number)
- Do you want the same coverage you have on your other vehicles?
- How will you use your new car (pleasure, work commute, business)
- Expected mileage per year
- Safety features
- Lienholder information such as name, address, telephone number. (Depending on the lender, you may be required to carry full coverage (comprehensive/collision) and have a certain deductible amount.
We will use the information to properly rate the premium for the new vehicle. You shouldn’t have to pay anything immediately, but we likely will adjust the cost of adding the new vehicle by dividing the premium among the remaining payments of your policy term. If you buy a less expensive vehicle, you may even end up getting a refund.
Once your new vehicle has been added to your policy, you can have proof of coverage faxed to the dealership or you may even be able to download proof-of-coverage to your telephone. Also, many state law enforcement agencies now accept electronic proof of insurance with a mobile insurance ID card.
Are you thinking of getting a new vehicle? That’s very exciting! Contact us if you have any questions about how the new vehicle will affect your auto insurance premium. We’re here to help with all your insurance needs.
Call us at 281-998-2500 or email your questions to firstname.lastname@example.org
If you have recently purchased a new set of wheels, what other tips can you offer? Share them on our Facebook Page.