What You Should Know Before You Buy A Car



In the Market for a New or Different Car?   Before you switch vehicles, here is what you should know….

The common rules are below but there are certain companies that vary from this.

-You have FOUR days to add a vehicle to your policy if you want full coverage and have no other vehicles currently with full coverage on your policy.

-You have 14 days to add a vehicle to your policy with liability coverage only.

-If you currently have a vehicle with full coverage- you still only have 14 days to notify the insurance company of the change (this can vary per company- some are less)

-A dealership CAN’T make the change for you- you have a contract between the insurance company and yourself, the agent can take the information from a dealership but you still need to call and let them know it’s okay to move forward with the change. Legally, they should not make the change without hearing from you first.

-If you forget to add a vehicle and more than 14 days have gone by, you have no coverage on that vehicle (unless it’s a replacement vehicle, then you have till your policy expires but if you’re policy expired/renewed two days after you got the vehicle, you have no coverage).

-If you are looking at a different vehicle, you should call your agent and get a quote. Most companies go off of the car’s symbols and safety ratings. 4-Wheel drive vehicles are typically always more to insure. Don’t have sticker shock when you come home with your new car and find out you can’t afford the insurance.

-If you have a loan on your vehicle, you will most likely be required to have full coverage on the vehicle. Full coverage is always more expensive than liability only. When the loan is satisfied, you must contact your insurance agent to remove the loss payee/lienholder.

-Motorcycles and Campers do not count for the automatic coverage, they typically need their own policy.

I know you’ve all heard, you have 30 days to let your insurance company know or the dealership has said they’ll call and get that change made for you- the truth of the matter is – they can’t make the change and you don’t have 30 days. The best way to ensure your vehicle is covered is to call the agent yourself with the VIN #, coverage you want and the loss payee information so the change can be made before you leave the lot and it’s fresh on your mind.

-You can take the auto ID card out of your old vehicle and use that until the new ID card arrives in the mail. If you get pulled over, just let the officer know you’ve just purchased the vehicle and haven’t gotten the new card yet.

One last thing- the above information applies to personal vehicles. Commercial auto there is NO automatic coverage- you have to call in and add the vehicle before there is any coverage.

If you have any questions, I would be happy to help. Stop in and see me.

By Tressa Walton

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