Car insurance policies can be rather confusing. There are so many options. However, it is well worth your time to sit down and figure out all the different options you have. This will help you to get the best value and best policy possible. One thing to really consider are the add-on items that can add some good value to your policy. On the other hand, some of the add-ons are just a waste of money. Knowing the difference is key.
What Is an Add-On?
Before you start to look more closely at add-ons, it helps to understand what they are. An add-on is just an extra coverage item that is not part of the regular coverage. It is something that you don’t have to have but that can add some extra protection.
If you have a loan for your vehicle, GAP insurance is something you might want to consider. This add-on will pay the difference between what your insurance company deems the value of your car and what you still owe on it. In most cases, you are going to owe more than your car is worth due to depreciation. If you get into an accident, the insurance will only pay the fair market value for your car, which is not going to be the same as what you owe. You are stuck financially responsible for paying off the loan. To avoid this, get GAP insurance.
The roadside assistance add-on can be a life saver. Most insurance companies offer it for a very small fee that is added to your monthly premium. It offers you things like towing, gas delivery and lock out service. If you don’t have roadside assistance somewhere else, then this is worth considering.
If you are a good driver, then the vanishing deductible add-on is something to consider. Basically, what it offers is a reduction on your deductible if you don’t file a claim and keep your driving record clean. Eventually, you will end up with no deductible at all, which can be huge if you ever do get into an accident.
Personal Injury Protection
This add-on pays for injuries to you or anyone in your vehicle. If you don’t have medical insurance or your regular passengers don’t have it, then this a good add-on to get. However, if you do have medical coverage and the people who ride with you do, too, then this is just an extra cost on your policy that you don’t really need.
This is a good idea to get unless you can afford to pay for any damage or injuries out of your own pocket. This add-on will protect you if you are in an accident with someone who doesn’t have auto insurance. There are more of them on the roads than you think and most generally can’t afford Greensboro auto insurance, so you will never see a dime in damages form them. It’s much better to protect yourself.
Add-ons can be good, and they can be bad. It all depends on your personal situation. So, choose your add-ons carefully to get the best value out of your insurance.