Do i need full coverage insurance on a car from a buy here pay here?
Many buy-here, pay-here places do not require as a part of your contract that you carry comprehensive and collision coverages (banks and other lenders generally do). BUT if something happens to the vehicle, they will require that you pay for the car in full, even if it has long since been junked. The insurance protects you from having to pay off a car you no longer have.
What is full coverage car insurance?
Full coverage insurance cover three area of loss. Collision your fault in an auto collision, comprehensive which covers fire theft and vandalism and liability - which covers damage and injury to others including passenger in your vehicle. There are endorsements that cover accesories added, rental car and tow. Also look for Personal Injusry Protection and/or Med Pay for injuries to the policyholder in an accident
Why do I need gap insurance on my car when I have full coverage?
It doesn't matter WHO pays the bill you or the other driver's insurance unless you litigate the accident all the prices are based on Kelly Blue Book values not what you think you should be paidIf you bought the car at $30K the SECOND you titled it the value dropped by minimum 10% and more likely 13 or 14%. The gap pays you to buy out the loanThat is why it is suggested to NEVER put down more money on a car loan then the minimal amountIn an accident you will never get your money back.The Gap ONLY pays the lender not youIf you had say put down $10K on the deal above and total it the day you bought it your insurance or the other driver will pay the VALUE of the car about $26,500Your loan is for $20K and so you come out with a check in your pocket for 6,500 and INSTANT loss of real funds of $3500 with NO way to recover it.NO gap coverage since there is no gap as you put down too much money.A car is a TERRIBLE asset to put any cash into for this exact reason. Unless you get into the exotic or antique where you and the insurance company agree in advance what the car is going to paid at in the event of total loss a daily use car is a financial loserYou MUST be upside down in order to qualify for gap coverage so make sure you are before paying the increased premium for the coverage. So many people put down large deposits and then buy gap where is NO chance of ever using it. Literally NONE since the car will never be upside down during the life of the loan. Dr D
Do I need full insurance coverage to finance a USED car?
some guy? knows squat ace. you need to pay full coverage on any financed car it will be in the contract and there is no way to get out of it. If you cannot afford the insurance you cannot afford the car its that simple the best thing for you to do is keep saving money put it in savings and forget about it and when you have 4 grand go buy a private party car and keep liability on it. If you buy a used car keep insurance until the next month and cancel full coverage the insurance co. cotifies the loss payee ( place you bought the car( and they come right out and reposses it for breaking the contract. /the only way out of full coverage is if they agree to it ahead of time and its in the contract. ( they wont)
Should I carry full coverage insurance on a car valued at $2,500?
First off, there is no such thing as “full coverage” insurance.There is Liability coverage, which protects other people from your negligence. This is the most important coverage to get.There is Med Pay coverage, which provides a limited amount of money for medical expenses for you and the occupants of your car regardless of liability (or PIP coverage in No-Fault states, which provide medical and wage loss for you and your passengers).There is Uninsured Motorist/Underinsured Motorist coverage that stands in place of the at-fault driver’s insurance if he is uninsured or under insured. This is for you and your passengers and is very important.There is Towing and Road Service coverage.And, finally there is physical damage coverage for your vehicle: Collision and Comprehensive coverage, which carry deductible amounts.If your car is only worth $2500, do not buy Collision, Comprehensive or Tow & Road Service coverages. Join AAA or another motor club for towing and road service. The annual membership is cheaper than the effect on your policy if you were to use that coverage on your auto policy: your premiums would go up.Do buy Liability, MedPay/PIP, UM/UIM coverages.Use the money you saved by not buying the other coverages to increase your limits on Liability, MedPay/PIP, and UM/UIM coverages. Statutory minimum limits are not enough!
Full coverage Auto Insurance? ?
law is liability only/anything else is for your coverage/comp is fire and theft basically/collision is for you/if car is over 8 years old cancel the collision and keep the comp/research the prices from more than one provider and go from there
Financing a used car, full coverage needed?
I've been looking into buying a used car for a good time now. The car payments are not a worry to me, those I can afford. But on top of full coverage insurance? I'm only 19, so insurance companies will have a hard time trusting someone this young and have been giving me quotes for 400+ a month which is outrageous. I only been looking into cars in the 5k-8k range, or even lower depending on milage. Question is do I absolutely NEED full coverage if I'm financing a vehicle as such, or can I settle for liability which would be much more affordable? Please go into depth if you can, I'd like as much information as possible! Thank you
Do I need to maintain full coverage auto insurance for the life of my auto loan?
I know in NYS you have to maintain full coverage until the loan is paid off. Even if it is a used car with a loan. After you pay off the loan then drop your insurance to just liability. The bank will come after you if you are in an accident and the car is not fully covered to repair it and you had stop paying your loan.
What are the benefits of the cheap full coverage car insurance policy?
A full coverage car insurance policy should not only offer cover for damages incurred to the car by accidents, natural calamities, burglary, theft, etc but it also should offer personal accident cover for the driver and passengers of the car. In addition to this, third party liability cover is a must wherein, the insurance company pays up for any injury incurred by the third party or any damage to their property in an accident caused by the policyholder. Since we are talking about a cheap full coverage car insurance policy, it is important to check that the policy provides the above mentioned coverage. There are chances that your ‘cheap’ full coverage car insurance policy might come with clauses. It is best to compare between policies in order to figure out if the benefits provided by the cheap insurance policy is actually good enough.Read More: Motor Insurance Guide