Auto Insurance Specialists

Temporary car insurance can offer you the safety net for short term period with liability or comprehensive coverage, depending on your insurance needs. What are the situations where temporary car insurance is your best bet?

When you are traveling for trip for business or pleasure and are not familiar with the place , you may have to use the services of a driver not known to you. A temporary car insurance will not only protect against any accidents that might happen during your trip, it will also not get reflected on your established auto insurance policy. You will have the choice to cover all the people who drive the car during your vacation.

When you purchase a new car and are not yet sure on the best insurance options for your car, temporary car insurance can be your savior. Generally, you can’t bring home your uninsured car without having it insured. However, you can get a temporary insurance for the period it takes you to investigate various auto insurance companies and choose a suitable policy. You can also have your family members , who might be driving the car, covered under the temporary auto insurance.

When you are planning to keep a car only for the short term and don’t want to pay high premiums towards insuring it, then you can opt for a temporary insurance policy. The short term car insurance will guard your car against accidental damages for the duration of it’s ownership and may even help you save some money.

You can also buy short term car insurance in seasons when natural disasters like hurricane are likely to cause damages to your car. An adequate temporary car insurance cover will protect you against financial losses from unforeseen natural calamities. In places where hurricanes are common, auto insurance specialists will advise you to supplement your existing policy with a short term car insurance. Although temporary car insurance is costlier than an established auto insurance policy, it is well worth the value for the benefits it comes with.

Auto insurance deductible is the amount that you agree to pay out of your own pocket before the insurance company pays the rest of the amount up to your coverage limit when you file a claim for damages to your car. So, if your car suffers damages worth $1200 in an accident and you have selected a deductible of $500, then that means you will have to pay $500 and your insurance provider will pay the remaining $700.

You would obviously want the company to pay all the expenses. So you may apparently prefer a zero deductible. But that may not work to your advantage because the lower your deductible, the higher your auto insurance premiums and vice versa.

This makes sense because every time you have an accident, it will cost your insurance company more money and you are more likely to file claims. So a higher auto insurance deductible will mean lower insurance premiums each year thus saving you significant amount of money annually.

However, when selecting your deductible you must remember that this is the amount you “have to” pay if you were to file claims with your insurance company for damages to your car. So, make sure that it’s an amount that you can afford to pay without any financial hardships. It’s always better to ask your insurance provider for auto insurance price quotes for both higher deductibles and lower deductibles so you can pick the one that suits you best.

A car is said to be totaled when the cost of repairing the car exceeds the cost of it’s replacement. This can happen if the car is so damaged in an accident that it’s considered beyond repair. This may also happen if the car owner is covered only by the minimum insurance and the insurance costs won’t cover the repair costs of the car.

For totaled cars, insurance companies prefer to make a settlement than paying for the repair costs. The totaled car value is calculated on the basis of the make, model, mileage covered by the car and condition of the car at the point of settlement. When determining the totaled car value, the depreciated value of the car is taken into account. Hence, insurance companies consider only part of the present market value of the car. This may vary from 60 to 80 percent depending on your insurance company.

If the car in consideration is totally beyond repair, then auto insurance specialists will advise you to settle for the salvage value of the vehicle. Once you accept the settlement amount, the car is then sent to the salvage yard where it’s parts are auctioned. The salvage value that you get paid should restore your financial condition to a point before the accident happened.

However, if are unsatisfied with the settlement amount being offered , then you can always approach the salvage yards in your locality to find out the approximate salvage value of your vehicle. You can average out the quotes to check whether your settlement amount is close to your estimated salvage value. It’s advisable to do your own due diligence for the ACV of your vehicle.
You should be aware that insurance companies themselves don’t calculate the totaled car value. They get it done through third party sources like certified collateral corporation, to be fair to the car owner and for protection against litigation. If you feel that the totaled car value is inappropriate and that your car qualifies for a higher settlement amount, then you can retain the salvage value and sell your car off at a higher salvage value. The second option is to get the repairs done yourself, if it’s financially viable, and get a few more years out of your car.