Vehicle theft is more than an inconvenience – it can cost car owners both time and money especially if the insurance company only covers the vehicle’s replacement cost of a stolen car – not the balance owed on the loan. By following the tips suggested by LoJack, owners can reduce the chances of becoming victims of car theft and really have a Happy Halloween.
Raising the deductible amount on their auto insurance policies certainly can save drivers money on their monthly premiums. But those consumers with little wiggle room in their monthly budgets would do well to think twice before making a move.
In most cases, gap insurance can save borrowers a lot of grief – and money – when the finance term is over 48 months and when the down payment is less than 20 percent. Smart borrowers – especially those with credit issues on tight budgets – then need to decide if they want to purchase it through a dealer or their auto insurance company.
Since insurance can be particularly expensive for credit-challenged borrowers, these consumers need to carefully weigh whether or not they should file a claim with their car insurance carrier – especially if the damage is only a few hundred dollars above the deductible amount.
If you have problem credit, it’s important to realize that taking out a subprime auto loan (or any auto loan, for that matter) will require that you buy full coverage auto insurance. And while it’s important that you get the right deductibles for both collision and comprehensive coverage, it’s also necessary that you have enough liability coverage, as well.
Taking out a minimum car insurance policy could probably save you money in the short term. But at the same time, this type of policy won’t satisfy the requirements of a lender if your vehicle is being financed and, even if your vehicle is paid off, if you have any assets such as a home, taking out this type of policy could end up costing you your current assets plus any in the future, as well.