4 Things Every Driver Should Know About Car Insurance

Owning a car means you’re going to have to pay for insurance. Finding car insurance isn’t hard—you can do a search online—but that doesn’t guarantee you’ll get the policy that’s right for you. After buying a car from a Ford dealer, there are some things you need to know about insurance.

 

1. Auto Insurance Protects the Car, Not the Driver

When you buy auto insurance, you’re not buying it specifically for yourself. You’re buying it for the vehicle. That means that if you let a friend or family member borrow your car and an accident occurs, your policy should cover the damages. Depending on your coverage there may be exceptions to this rule, but for the most part, your insurance policy probably won’t care who was behind the wheel during an accident.

2. Every Insurance Company Calculates Their Rates Differently

There are some basic factors that are included in the equation that determines how much you’ll pay each month for your premium, but every insurance company uses its own formula to determine its insurance rates. The basic factors typically taken into consideration include the make and model of the car you’re driving and how your vehicle is used (whether you drive long distances or make short trips).

In addition, some of the other factors that go into calculating your monthly premiums include the following:

• Where you live
• Your credit score
• Your gender, age, and marital status

 

3. Personal Insurance Won’t Cover Side Gigs

If you bought your vehicle because you want to use it to make some extra money on the side by delivering pizzas or other food items or being a ride-share driver, you need to realize that is classified as a business venture, and your personal insurance won’t cover any damages that might occur while you’re engaged in your side gig.

4. Comprehensive and Collision Coverage Are Not the Same

Typically, there are two different types of insurance coverage you can get on your car: comprehensive and collision. Knowing the differences between the two is essential should you find yourself in an accident. Comprehensive insurance coverage will protect you against theft and damage caused by issues other than a collision, including your vehicle catching fire, getting dented by hail, or hitting an animal.

Collison coverage reimburses you for costs associated with damaged caused by getting into an accident with another vehicle or slamming into an inanimate object such as a guardrail or tree. If you roll your vehicle or hit a pothole, those damages should also be covered by the collision portion of your insurance policy.

Your car is an investment, and to make sure it’s protected, you need to have the right insurance coverage. If you’re looking for a vehicle that’s worth insuring, visit Chestatee Ford today!

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