Guide to choose Car Insurance Companies

Guide to choose Car Insurance Companies

Ask:

I just bought an used car. This car is two years old and still in a perfect condition. Unfortunately this car does not come with insurance. How to choose a good car insurance companies?

Answer:

Previously we need to know  some kind of car insurance as described below :

      

      The first type is Comprehensive. This type is protecting your car in all condition , is your car is stolen, damaged or broken. Premiums for this type is high enough according to the merits. And how to calculate the premiums? Says that the rate of premiums for Comprehensive benefits is 1.75% and the market price of our cars amounting to $ 10.000, then we have to pay premiums is 1.75% x $10.000  = $ 1.750 .

      The second type is a TLO or Total Loss Only. This type will only protect your car from loss or substantial damage. Premiums for this type is not too high. In the market, a premium rate for this kind just 0.6%. So for a car valued at $10.000  in market, the premium payable amounting to $ 60 .

       In addition to these two types of above, we can also add additional protection from riot event. If you add this benefit, you must pay an amount of additional premiums. There is also the benefit of TPL or Third Party Liability, this benefit will be paid if the other car we hit need improvement. In addition to some extent benefit TPL is no additional premium. But if we want to increase these limits, then we will have to pay additional premiums.

       

Noteworthy to mention is when a claim is filed. Some car insurance companies products require the presence of the cost of the claims filed, known as the risk itself. For example, amount of the risk itself is $ 15, then when our car need repairs due to accidents and cost $ 300, we have to pay $ 15 and the rest will be borne by the car insurance company.

Once we know what kind of car insurance, next step is looking for a decent car insurance companies for the purchase of its products. You can search for information in newspapers, magazines or from your friends who've bought this car insurance products.