Article Side

Online Article Directory!

Hello Guest! Login or Register to submit articles!

Getting the right amount of insurance excess when applying for auto insurance

By Jerry Subscribe to RSS | March 14th 2012 | Views:
loading
 
  



When you are looking to get auto insurance, you may become confused about all the variables that you may need to consider. Some insurance companies may have lots of optional features that you can decide to use or not, which makes the whole process of finding the right insurance product that much harder. One of the things that you may have to seriously consider when you are getting auto insurance is the insurance excess. This is something that many people take for granted, but it is actually very important that you get the right kind of excess for you.

The role of auto insurance is very simple. Once you get involved in an accident, the insurance company is supposed to foot the bill for repairs of the car. This may seem very straightforward, but on deeper examination the issue may be a bit more complex than this. For instance, there are some insurance companies that will only foot a part of the bill, and others will take care of all the costs of repair. This means that for any new driver, the issue of auto insurance represents a minefield that may be difficult to navigate.

The issue of insurance excess does not do much to ease the complexity. In a nutshell, excess is the amount of money you would need to contribute towards fixing the damage. Most of the time, the insurance company will not release any funds unless you pay the excess first. This may seem a bit confusing, since the main role of auto insurance is to help you fix the car as has been mentioned above. However, insurance excess is still a very important tool, since it makes the insurance more affordable to many people.

When you go to apply for auto insurance, you will most often be given a chance to choose how much excess you should pay in case you are involved in an accident. In many cases, the higher the excess you choose the lower your cost of monthly premiums. This means that if you decide to take on a huge proportion of any costs, you will be required to pay very little in monthly premiums. This often tempts people to get the maximum excess they can find so that they do not have to pay much in terms of monthly premiums.

While this may be a great cost reduction strategy, it does have a few flaws. For starters, if you take on an amount of excess that you cannot afford, you may find yourself in dire straits when you are involved in an accident. In such cases, you would not be able to pay the excess, and this means that the insurance company will not be able to cover the rest of the cost of repair. This means that when you are considering excess, you should ideally try and get an amount you can afford. The best case scenario is to not get any excess at all, so that in case of an accident the company will pay for damage without any contribution on your part. However, this often means you would have to pay the highest premiums.

Jerry - About Author:
It would also be good to remind your social circle and family members with these tips on auto insurance excesses. After all, this is one area often neglected by people looking to get local auto insurance agents.

Share on Facebook Tweet It Stumbleupon this post This post is delicious !

Article Source:
http://www.articleside.com/insurance-articles/getting-the-right-amount-of-insurance-excess-when-applying-for-auto-insurance.htm

Related Insurance Articles Subscribe to RSS

Compare car insurance quotes before renewal
Published by Stevediaz on February 25th 2012 | Insurance
It is illegal to drive car without car insuranceas per law. So everyone who drive or owns a car need...
 
How to go about getting cheap van insurance
Published by Gregorypeck on March 20th 2012 | Insurance
There is no doubt that if you have a van, you need van insurance coverage. As you probably know, van...
 
Individual medical health insurance Procedure
Published by Lessardcasey on March 28th 2012 | Insurance
HealthInsuranceAdvisory.org is a website devoted to helping people find affordable Individual Medica...
 
Why we should acquire Commercial liability insurance
Published by Andrew Edwards on December 12th 2011 | Insurance
Since the competition has reached a significant value, we have to be quite selective when it comes...
 
Dental insurance plans
Published by Lessardcasey on January 13th 2012 | Insurance
Most people have experienced the unpleasant feeling of a cavity or other nagging tooth problems. How...
 
Tips to find cheap classic car insurance
Published by Anneshirley on March 20th 2012 | Insurance
Classic car insurance coverage is different from the regular type of insurance coverage. The definit...
 
Several categories of Group health insurance
Published by Morgan001 on March 27th 2012 | Finance
The Group health insurance makes individual insurance coverage’s accessible on a member of group b...
 
How to get cheap classic car insurance
Published by Anneshirley on February 24th 2012 | Insurance
Classic cars are very valuable things for every owner. It has become a passion for people to own a c...
 
Why You Need a Private Medical Health insurance
Published by Adamson Baker on July 7th 2012 | Insurance
When NHS is not adequate for a certain treatment, most patients seek the assistance of private consu...
 
Steps to make good car insurance comparison
Published by Geenadavis on April 20th 2012 | Insurance
You have always heard how much important car insurance comparison is, but you are not familiar with ...
 
Vauxhall Corsa Insurance gives you best insurance
Published by Ahmadgill on January 26th 2012 | Insurance
Now a day our company is committed in giving you cheap insurance and cutting rates on Vauxhall Corsa...
 
How to find auto insurance
Published by Phil Richard on January 25th 2012 | Insurance
Whether we see it from the safety point of view or take it as a compulsion by law it’s must to get...
 
What is Home insurance and Its Benefits?
Published by Mbrewster on March 25th 2012 | Insurance
House is the best place of our comfort and generally our precious investment we ever had. Even most ...
 
Affordable medical insurance procedure
Published by Lessardcasey on March 28th 2012 | Insurance
Medical treatments and preventative care are not cheap. For the 40 million citizens of the United St...
 
Comparing Auto insurance Companies
Published by Matthew Bugin on January 16th 2012 | Insurance
The best automobile insurance companies are the ones who do the best job of marketing to their custo...
 
Secure your rights with public liability insurance
Published by Lauraallen on April 4th 2012 | Insurance
It has been notice in past few years that people are highly demanding for the insurance of their bus...
 
Finding cheap Arizona auto insurance
Published by Auto Insurances on January 13th 2012 | Finance
Let’s not take more risks with our valuable autos. While applying for Arizona auto insurance make ...
 
Cherishment for businesses, searching for commercial insurance
Published by Andrew Edwards on May 7th 2012 | Insurance
While hoping for successful running business, you have to plan everything according to market needs...
 
An easy guide to getting reliable auto insurance
Published by Jerry on March 12th 2012 | Insurance
Finding the right auto insurance product for yourself can be a difficult task if you approach it in ...
 
How to find cheaper van insurance quotes
Published by Robmarshall on April 17th 2012 | Insurance
No matter for what purpose you own a van whether for a commercial or personal use, an individual has...