I'm getting my tC next Friday and will be switching from geico to another insurance company (based on the quotes i've gotten there's a $300-$400 savings going to state farm or progressive)
I would like some advice from anyone who knows about a few things, since I've never had more than liabilty on any car I've owned.
1. First off, is the "medical payments" option worth getting if I have health insurance? It seems that any damage to myself would be covered under all the other coverages... or is this pretty much a necessity?
2. Also on the comp/coll, is ok to go with $1000/$1000? What do you think?
3. Finally, on progressive there is a lease/loan payoff option if the car is totaled, but would that be covered by comp/coll anyway? Seems like a scam on that one, but I could be wrong.
4. Any other tips would be greatly appreciated, I've got just a week to decide.
Thanks in advance for the help.
Brian

 

The coverage you get is going to based on a number of factors. A couple of them being driving habits and material possessions. Hopefully my response will help you out. If you have more questions feel free to ask. I am not an expert but I am an insurance adjuster and see coverages issues all the time.

medical or excess medical you can think of from this standpoint. medical is good for people who do not have medical insurance, such as many self employed people. excess medical is used in conjuction with your own medical insurance. It will cover your medical bills after you have reached a certain monetary threshold. There are restrictions with these coverages so make sure and find out before you add them.

Think of your deductible as how much you are willing to shell out if you get in an accident. Many people choose high deductibles because it lowers their rates and when they have to pay them they find themselves in a hard place. For comprehensive insurance it is better to have a lower deductible as most companies will not waive them. Collision may possibly be waived if the accident is not your fault so many people will choose a higher deductible.

If your insurance company has an option such as Uninsured Deductible Waiver I suggest to add it. I know with my company its inexpensive and it saves a lot of headache with having to deal with other insurance companies.

As for the lease/loan payoff, its sounds like GAP insurance. You wouldn't necessarily be covered by comp/coll. Let's say you just bought your car and now the car has depreciated several thousand and it's a total loss. Now your loan has to be paid off and you owe 18,000 but your car is valued at 16,000. The insurance company will pay the Actual Cash Value and you will have to come up with the difference. If you did not buy GAP insurance when you bought your car from the dealership then this might be an option you would want to consider. remember you can always change your coverages, so say you have your car for a couple years and now the value is equal or greater than what you owe, then you can remove that coverage.

As for your policy limits it will be dependent on driving habits and how much of your own money you are trying to protect. Say you hit a mercedes and you cause 15,000 in damages but your policy limit is 10,000. God forbid you hit several cars and how the damages add up to a lot more. Well your insurance company will pay up to your policy limits to the other insurance company/companies but now the other persons insurance company had to cover the additional amount. well guess what they are now going to want their money back. Now if you dont have any possessions possibly no worries, but if you have a home then the other insurance company will probably go after you and maybe even put a lein against your home. This is kind of an extreme case but just make sure you have coverages that are reasonable for you.

The important thing to remember is there is no such thing as "full coverage." You get the insurance that you pay for. Many people go around with the belief that they are covered a lot better than they actually are.