You’ve just purchased a new vehicle and now it’s time to think about auto insurance. We get it – you just made a serious investment – you probably aren’t looking to spend any more on insurance than you have to. But keep in mind, cheaper doesn’t always mean better when it comes to auto insurance. Cheap auto insurance, while tempting, generally comes with less coverage, higher deductibles and lower limits. Read on to see why it may be important to spend a few extra dollars to make sure you are getting the coverage you need.
Why Cheaper Isn’t Always Better
“Cheap car insurance” rarely translates to “best car insurance”. Oftentimes, extremely discounted policies aren’t giving you the coverage you need in case of a collision. Here are a couple reasons why you should always question any insurance quote that is drastically cheaper than other companies:
- Less coverage = less protection. While buying a policy that offers only the minimal protection required by your province will definitely save you money short term, if you find yourself in an unexpected accident, you could end up paying out of pocket for your own costs.
- Higher deductibles = Higher out-of-pocket costs. Opting for a high deductible is another way people save on insurance, but if you choose an unreasonably high deductible, you’ll be stuck paying a large amount in order to file a claim. Nobody thinks they are going to get into an accident, but the truth is it happens. It’s important that you choose a deductible that you can afford to pay in the event of an accident, instead of just choosing one that gives you the lowest premium.
- Lower limits can be easily exceeded. You’d be surprised at how quickly an average policy limit can be reached and even exceeded. Choosing a lower limit may seem like a good idea at the time, but you’ll be singing a different tune after to have a run in with a fancy imported vehicle whose bumper needs to be special ordered from Germany!
- Poor customer service. You may find that your insurance company, while inexpensive, is lacking in customer service. Make sure you check out reviews to see how the company handles claims, questions, etc. The last thing you need to deal with after you’ve been in an accident is an unhelpful claims department.
You Get What You Pay For
When it comes to auto insurance, the cost is always going to be relative to the coverage and services you receive. There is a difference between cheap coverage, and affordable coverage. Cheap coverage will give you the bare bones you need to legally be on the road, and will most likely leave you high and dry in the event of an accident. Affordable coverage offers you customized protection that gives you what you need at a rate lower than what you are currently paying.
Get A Quote Today
The best way to find affordable auto insurance is to shop around and compare quotes. ARC Insurance offers great service and competitive rates that will keep you and your wallet happy. If you’re interested in getting a quote, give our team a call!