What Insurance Add-ons are Worth the Investment?
Each state has a set of minimum requirements that drivers must meet to get on the road. Any additional feature that’s outside of the rules is considered an add-on. Whether you’re getting car insurance for the first time or you’ve switched providers several times, deciding what add-ons you’ll take and leave behind is no easy feat. You don’t want to miss out on a good deal, but at the same time, you don’t want to get duped into buying unnecessary products.
Here are a few car insurance add-ons that are worth considering:
Guaranteed Asset Protection insurance is a safety net that can come in handy for anyone, including the best drivers on the road. It’s ideal for someone who still owes a great of money on his or her vehicle. If the car is in an accident or stolen, the driver won’t have to continue making payments out of pocket. GAP insurance covers the difference.
“If the car is in an accident or stolen, the driver won’t have to continue making payments.”
Even people who aren’t bogged down with a ton of debt can benefit from GAP coverage. A car depreciates the moment it’s driven off the lot. If an accident occurs within the first few days, weeks or months of owning a vehicle, someone with a small loan would still be impacted unless he or she had GAP insurance. It’s important to note that GAP insurance won’t cover your car costs in other scenarios. If you lose a job or have to rent a car, this add-on won’t help.
Uninsured motorist coverage
Unfortunately, even the most responsible drivers have to watch out for reckless ones. In some states, it’s common for many drivers to operate a vehicle without any insurance. This not only puts that person at risk, but it can be a real nightmare for other drivers on the road. Who pays for damages if the other person isn’t insured? That’s where uninsured motorist coverage comes in handy.
Uninsured motorist coverage protects you from having to pay for car damages caused by other drivers. Some companies offer uninsured motorist coverage that extends beyond vehicle damage. For example, uninsured motorist coverage can potentially cover the costs of hospital bills if you were hit by a car while walking or riding a bike. It might seem unfair to have to cover for someone else, but it beats a hefty bill that isn’t covered by an insurer.
Most insurance companies offer drivers roadside assistance, but you can also get roadside assistance plans through auto makers, credit cards and associations. You may even be able to get it through your mobile carrier for as little as $3 a month. How can you say no to that?
This add-on is not only affordable, it’s helpful in several inconvenient situations, including running out of gas, jumping a battery or unlocking a vehicle. Some insurers offer towing as a part of this add-on.
Next time you’re shopping on compare.com, keep these add-ons in mind.