Make Sure Your Auto Insurance Covers These 5 Things

Commercial truck dealers are closing their year-end deals on used trucks and cars, just in time to roll out the new inventory. Now it’s time to shop for the most affordable and reliable insurance for your vehicle. Knowing how much insurance is necessary and how much coverage you need to have, in case the other vehicle isn’t insured, can be a challenge.

Beyond the basic coverage that includes your premium, coverage limits and no-fault coverage, there are extended and premium offerings that you can add on to ensure that you won’t be paying too much out of your pocket if the unexpected accident does occur.

There are lots of add-ons that you may or may not need. How to decide which ones to add and which ones to throw back? We’ve boiled it down to five basic points you want to have included in your insurance: Liability Coverage, Deductible, Collision Coverage, Comprehensive Coverage, and Guaranteed Auto Protection.

Liability

Even if you’re not at fault in the accident, having full liability coverage can help with expenses that you would have to pay out of pocket, if you didn’t have the coverage. According to the Wall Street Journal, it’s best to get the maximum coverage of $50,000 to cover any medical or property damages. Depending on the insurance provider you go with, this could amount to cost a lot or very little in your premium, but it’s worth it in the long run.

Deductible

Most drivers will go with a low deductible, but Insurance.com recommends that you get a high deductible because that will result in a low premium. The chances of you paying that high deductible rate is not as high as you paying your premium every month. So, it’s best to ask for the $1,000 deductible, instead of the $500.

Collision Coverage

Accidents happen, and the reason why collision coverage is so important is whether you’re the party who’s at fault or the other guy, both parties are fully covered to repair or replace the vehicle if it’s a total loss. So, even if the other guy was at fault and driving an uninsured used cargo van, you’re still covered and can walk away without footing the bill.

Comprehensive Coverage

For the odd damages incurred by natural disasters, like a flood, fire, storm or even the random hailstorm, having Comprehensive coverage can come in handy. So, if a tree falls on your Ford pickup truck, you’re covered and won’t have to worry about the cost of replacing or having anything fixed.

Guaranteed Auto Protection

Now, some insurance sources, like DaveRamsey.com, claim that Guaranteed Auto Protection, or GAP is excessive if you buy your car with cash. However, there are people who lease and finance new cars. For who people still have payments owed to the bank, at the time their car is totaled, GAP covers the unpaid balance of the car so that the driver doesn’t need to settle the loss with the bank.

Now that you’ve done the necessary research to make an informed decision when either purchasing or re-evaluating your coverage, remember that insuring a used pickup truck or cargo van is actually less expensive than getting coverage for a new vehicle. Visit U-Haul Truck Sales® and find out how you can save by purchasing a premium used vehicle from U-Haul.