Reviewing Your Coverage: When to Revisit Your Auto Policy

2018 05 16 Reviewingyourcoverage Woman In Coffeshop

By Erin Thompson

Re-evaluating your auto insurance coverage sounds like a chore. We get it. Knowing the ins and outs of car insurance isn’t your job…but it is ours. That’s why we are here to share some significant life events that should kick-start a review of your car insurance coverage.

1. Saying I do

Did you just tie the knot? Congratulations! Once the wedding bells have stopped ringing, it's a great time to take a look at all your accounts together.

As you are combining finances and canceling one of your Netflix accounts, make sure you revisit your car insurance and add the additional driver. Marriage affects your insurance rate but in a good way. Statistics show that married people drive more safely, so providers can cover you with less risk. And you typically see the benefits of this with a lower rate.

Either way, this new partnership is a great time to update your coverage. We don’t want you to miss out on a potentially lower rate.

2. Buying a car

Are you splurging on that dream car you’ve always wanted? Or are trading in the two-door for a more family-friendly sedan? Either way, purchasing a car is a critical time to look into your policy.

A car make, model and age can all impact your insurance rate. For example, luxury cars often lead to a higher insurance rate because the cost to repair is higher than your average mini-van. If you know this up front, you can make more informed decisions about what kind of car you want.

You’ll also want to review your coverage. With a new car, you may consider adding Uninsured Motorist Property Damage. If you have an accident with someone who doesn’t have insurance, this will help pay for the damages to your new car. Collision coverage would be one to check out as well. This helps you replace your vehicle after an accident, no matter who is at fault.

Buying a car should be an exciting experience. Make sure your auto insurance can hold up and protect that shiny new car.

3. Making a move

Whenever you move to a new town or state, we suggest a car insurance check-up. States have different rules and laws, and you always want to ensure you are in the know and on top of your coverage.

First off, check and make sure your insurance provider offers coverage in the new state. Then look at state requirements for insurance. Does the new state require a different type of coverage that you don’t currently have? Take no-fault states for example. These states require no-fault car coverage that will help you pay for your medical costs after an accident, regardless of who is at-fault.

We know your insurance provider may be low on your list of people to tell about your exciting new move. However, in addition to updating your coverage to fit the new laws, a move can also impact your rate. In urban areas, you will see an increase in your rate to account for the potential for more vandalism and theft. In rural areas, you’ll see your rate lower because there is less risk for those same issues.

Whether you’re moving for a new job or just needed a scenery change, don’t forget to take a quick look at your policy and update us about the move.

4. A 16th birthday

Is it finally time for that nerve-wracking DMV visit? If you’re adding a new 16-year-old driver to your policy, you should review what your policy includes. Adding a teen driver will likely affect your rate, so you’ll want to keep your coverage top-notch and make sure your new driver is completely covered and safe behind the wheel.

One update you might consider would be raising your deductibles for collision coverage. Collision coverage helps you fix your car after an accident with another car, an object (like a pole) or your car alone. Raising your deductible would mean you pay more out of pocket for repairs and replacement. Once you’ve paid your share, Say pays the rest. The savings could help offset the increase from adding the new driver.

Having a new driver can be scary, but if you make sure your coverage is up to the challenge you’ll have a little less to worry about as they hit the road.

5. A yearly review

If we’re being honest, even without these major changes, you should review your car insurance policy once a year. Things change, life goes on, and we always want you to be getting the deal you want and the coverage you need.

During this review, you can update your provider about any of these significant changes you may have overlooked at the time. You should also review what car insurance discounts your provider offers to ensure you’re getting all the possible savings.

No one likes to sift through documents and read an insurance policy, but a review of your car insurance coverage is a great chance to learn more about insurance should you ever need to use it. So visit a fun coffee shop or sit down with some tea at home and settle in!

If you have questions about your policy, just reach out to the Say Service Squad at 1-800-225-5729 and we’ll be happy to help.

Not a Say driver yet? Get a free quote here!

Erin Thompson is the Marketing Manager for Say Insurance. She's responsible for guiding the strategic direction of all Say marketing campaigns. Prior to joining Say, Erin worked for a media agency based in Columbia, MO. She spent several years developing successful advertising campaigns for a diverse set of clients across the United States. Erin began her career in television advertising after earning her Master’s from the University of Missouri Journalism School with an emphasis in Strategic Communication. Her love of communication and helping people directed her to the insurance world.

Posted December 31, 2019 in Insurance Know-How.