Car insurance Singapore is costly; with this in mind, you don’t have to fall into the trap and deal with misconceptions which most individuals fall into when it comes to buying a policy. Due to the nature of the industry, you are going to find that many insurers offer a wide variety of policy options. You can find policies ranging from $700 to over $3K per year. Depending on the type of cover you choose to get, you will find that there are many options from which you can choose. So, before the time comes to choose a policy and an insurer, know what these 7 mistakes which many individuals fall into when they purchase insurance policies.
- It covers everything
This is not the case; even if you buy the most costly policy and go with the top insurance companies, you are not 100% covered if you are in an accident. There are incidentals, deductible costs, there is repair work, and sometimes you are also going to find that your coverage does not cover all medical bills and costs. You are going to have to pay for this out of pocket, if you are the driver who is at fault (or if the other does not have insurance). So, even if you are sold the priciest policy, make sure you know you are not 100% covered when you purchase an insurance policy.
- Red is more
Sure, it call attention to yourself, but a red car isn’t a clear cut sign your policy is going to cost more. So, if you want to buy a red car, don’t let a higher price on an auto policy be the reason you do not purchase it. You will find your driving record, where you live, if you have ever been in an accident, and other factors will play into the cost of your policy. It is not just a red car which is going to make your policy rates go up when you are comparing insurance policies.
- Women are worst drivers
This adage may be true in some cases, but there are many women who are far better drivers than men. So not, just because you are a woman does not automatically mean you are going to pay more for coverage. Especially if you are a safe driver, if you take the time to compare, and if you know how to go about comparing policies, you will find that the price of your policy is going to be the same as, if not cheaper than, what men will pay when they get a car insurance policy with an insurance provider.
- Older car = higher rates
Again, this misconception is not true. In fact, the older the car, and if it is paid in full, it is highly likely you are going to pay less to insure it. SO, make sure you know what you are doing, and where to go when you are comparing insurance, in order to ensure you do not over pay for coverage when you do not have to. You will find that by simply visiting to and comparing a few insurance companies, you will find a lower rate; the same goes for an older car. So, take the time to shop and see what is out there, so as to find the best policy coverage, and to find the cheapest rates when you choose the insurer and coverage needs.
- You should go comprehensive
Yes it does cover more; but, it is not always the best choice. If you do not drive much, if you have an older car, or if you don’t need that much coverage, why would you pay for it? It simply does not make sense for you to pay more for coverage you are never going to use, if you do not have to. Make sure you compare all policy options, know what you are covered for, and understand how the policy terms work. This is the best and easiest way to know you are going to pay a reasonable price, and also to know you are fully protected if you are in an accident.
- Driving another’s vehicle
If you are driving another person’s car, and you have insurance, you are covered, right? Not necessarily; the individual’s car you are driving has to have a policy as well. Your auto policy is only going to extend to your vehicle; it does not go with you to drive another person’s car. You can of course add this to your policy, but it is not automatically included in the policy you choose, with any insurer, when you are choosing a car insurance premium. So, know what is, and what is not going to be covered. It will save you immensely if you are driving someone else’s car, and you do happen to get into an accident in it.
- Don’t compare when renewing
You have been with an insurer for some time, so why compare when you are ready to renew? This is a huge mistake. Not only can you get your insurance company to possibly come down on rates, you can find out what other companies have to offer. This will end up costing you less, and can buy you more coverage for the price that you are currently paying for your insurance. So, why not take a peek and compare a few other policies? The worst that can happen is you do not find a lower rate and you stick with the same provider, but sometimes you can end up with much more, better, and a lower price by simply comparing a few insurers prior to purchasing a policy of choice.
When the time comes to buy or to renew your car insurance, you will find there are many misconceptions floating around out there, which can lead you to believe you are covered when you are not. So, rather than simply go with the flow, or believe any and everything that is being said about insurance, take the time to find out what is true and what isn’t when you are ready to buy.