Things to Look for When Buying Car Insurance for a New Car

Posted April 1, 2021 by in Lifestyle

When it’s your first time buying a car, everything about the process can feel overwhelming and confusing. You of course need to be well covered, but at the same time, you may worry that the cost of car insurance is going to be so high that it’ll become a financial burden. Most people do find themselves overpaying because they don’t take their time to shop for car insurance. If you find yourself in this case, it is best to get help from an independent insurance company like G&G Independent Insurance. They will do the shopping for you and provide you with the best insurance rates with the best coverage. Aside from saving time, you can end up saving extra cash as well. By the way, G&G offers this service for free

When you do comparison shopping, you can end up saving extra cash. 

Acquiring a car insurance policy is a decision-making process that needs to be done carefully. There are tons of things you need to check out for when you are purchasing a car insurance policy. And if you don’t get it right you may end up not covered for some vital stuff or you may be spending more cash for a cover you don’t require.

Are you concerned about the things you can consider when choosing a car insurance plan? Don’t worry! This post will give you a clear picture of the factors you need to have in mind to acquire a decent insurance policy for your new car:

Your Budget

Are you a generous spendthrift? If you are one, consider retaining a tight budget when it comes to car insurance costs. When you have a fixed budget it will help you to grab only the crucial add-ons instead of purchasing every sort of coverage. Besides, you can save up to 25 percent with Surex, read here to understand more about their auto insurance services.

Premium Versus The Insured Declared Value (IDV)

IDV or Insured Value(IV) is the amount paid to buy or renew an insurance policy. Insurance professionals advise on selecting a car insurance policy that is inexpensive and desirable depending on an individual’s needs. Also, avoid making a quick decision based on the insurer’s offer without analyzing your necessities. IDV is the cumulative sum the insurer is responsible to reimburse if the claims are eligible. 

A car insurance plan may give low premiums but also of low insured value. Make sure you do a firm examination of your car insurance needs. You can consider several types of covers and riders incorporated in the policy. This is alongside the insured value and premium payable to uncover the best fit before acquiring a policy.

The Range of Insurance Cover 

You can obtain insurance to save money in case of accidents and meet the legal regulations. Moreover, you can buy to tick the compulsory insurance box. In many cases, the first alternative is better.

By buying a wide range of covers like the comprehensive plan, you ensure insurance coverage for the inclusions is cited in the plan. 

No Claim Bonus (NCB)

This is the benefit a car insurance policyholder gets in the form of a discount in the yearly premium payable. It’s for failing to file any claims in the year. Before you buy an auto insurance policy, you have to understand the NCB. This is to be able to come to the best decision if the need for a claim emerges in a year.

For instance, damage costing less than the NCB can be settled by the insurance policyholder from his or her pocket. Thus making most of this factor. You need to familiarize yourself with the No Claim Bonus. This is because it helps you to make a reasonable decision on whether to file a claim.

The Discounts Offered 

Truth be told! nobody can detest paying less to get more. The discounts do not pertain to third-party plans. For the comprehensive plan, the discounts are in the form of offers, deductibles, anti-theft among others. The reason for this is there are standardized rates for third-party policies.  The company offering the plan decides on the premium for a comprehensive policy.

Online Insurance

Purchasing an insurance plan online has lots of advantages.  The services, convenience, and pricing are much better compared to the conventional offline technique. Online insurance firms don’t have a considerable number of employees, physical office space, and infrastructure like the traditional players. In return, this decreases their operational expense to a larger extent.

This is among the main reasons why they can offer low rate policies without curtailing the coverage

Add-on Features

Nowadays many insurers offer unique stuff. For instance, breakdown assistance where the insurance policy gives roadside assistance and a helpline service. Some insurers offer assistance in the event of a car key loss. If you may spend more than the minimum on a car insurance policy, it’s advisable to list the desired features before you narrow down on an insurer. Besides, other details may comprise zero depreciation cover, defined natural calamities like a storm, and natural calamity cover.

Also, personal accidents cover the household of the policyholder in case of death or disability. Car insurance policies normally factor in the depreciation of the vehicle’s worth as it gets old. Sometimes, this summarizes into adjustment in the auto’s value. Choosing a zero depreciation cover assures the whole claim amount without accounting for the depreciation total.

The Customer Care Reviews

When making a claim you’ll be mainly interacting with the company’s helpline or customer service. You can check to confirm the reviews about their service is ideal.  Delays and Ineffective customer service coupled with the claim process can be too frustrating at the time of crisis

The Voluntary Deductibles

When you notify the insurance company of your willingness to share the risk of insuring your car, it may consider lowering the premium.  This also decreases the insurer’s risk liability.


You are now familiar with the things to check out when buying car insurance, right? Go ahead and make an informed judgment and get the best-suited policy. It’s essential to comprehend the policy well so you can have valid and ample insurance coverage.

Hence, you won’t experience cash dilemmas when you are already under trauma because of an accident. Remember, you have to be a creative shopper! Research properly, compare the quotes and come up with a package suiting your budget and coverage needs.

*Photo by Cleyton Ewerton