by Guest » Sat Oct 01, 2005 11:02 am
For the last five years I am driving my car. Thank god I have not yet received any ticket, fines nor my car has collided. Well I think this is my time to drop insurance coverage like the collision coverage. Can I do that now?
Posted: Fri Dec 14, 2007 01:00 am Post Subject:
For the last five years I am driving my car. Thank god I have not yet received any ticket, fines nor my car has collided. Well I am thinking of dropping the collision coverage. Can I do that now?
Speaking as a lay person, I've heard the best way to decide if you need the coverage is if you can afford to fix your car if the worst happened, then you probably don't need it. You're the only one that can decide whether you should drop insurance coverage like this one. I'm sure there are other considerations you should take into account the professionals here will share with you. :)
I always feel that when you do that you're tempting fate though! :lol: Your own driving record is obviously good, but it's the others on the road you need to worry about.
You can contact your insurance company to see what you'd need to do to drop it. If you plan to do so to try and cut costs, it may be worthwhile shopping around for insurance quotes elsewhere. You never know, you could get similar collision coverage to what you have at a reduced rate from another provider. No harm in asking!
Hope that helps.
Posted: Fri Dec 14, 2007 07:38 am Post Subject:
For the last five years I am driving my car. Thank god I have not yet received any ticket, fines nor my car has collided.
Wow!!! liver10, you are one of those angel drivers. I bow down to you mate :D
Posted: Fri Dec 14, 2007 08:40 am Post Subject:
fines nor my car has collided
Well liver, I'll say that you are quite blessed that way. Lilac has rightly mentioned that it's the other fender-bender drivers you need to worry about. Sometimes people do drive like hell.
Anyways, coming to your auto insurance problem, collision coverage is mostly required when the car is new, i.e. when the market value of the car is high. The value of the car depreciates with time and I believe, that the value of a five year old car will be enough low (although, you haven't mentioned its make). You need to carry collision coverage as long as the cost of repairing it remains high or more than the value of the car. Therefore, if you drop insurance coverage to save money, I would rather suggest that you drop it.
Try to find out the value of your car from kbb.com. Normally this is the value the insurer will offer you if they have to total it at a given point of time. Shopping around is also not a bad idea.
Hope the input will help you to decide.
Posted: Fri Dec 14, 2007 10:19 am Post Subject:
Good advise guys, but I need to add that this while helpful this isn't correct...
Try to find out the value of your car from kbb.com. Normally this is the value the insurer will offer you if they have to total it at a given point of time. Shopping around is also not a bad idea.
I know of no insurance carriers that use the kelly blue book to determine a vehicles ACV (actual cash value) most either have computer programs like CCC, or valuemate, or use either NADA or Edmunds...just a minor technicality..the blue book can help you find the ACV of your vehicle just not the source that insurance adjusters will use (to my knowledge anyway)... :DPosted: Sat Dec 15, 2007 10:03 am Post Subject:
Thanks, for sharing this valuable piece of information Lori.
Posted: Sat Dec 22, 2007 02:43 am Post Subject:
I am always scared to drop insurance coverage on my vehicles, I have them both under full coverage, full collision and comprehensive, with full tort on both and all drivers covered, covered, covered, covered, I probably over do it and could pull some of it off my pick up, but I always think about what it would cost to replace it. I rarely drive it but think what if, what if, what if. I guess I would rather be safe than sorry. I have to keep everything on my other vehicle because it is financed, but even if it was not financed I would keep every thing on it to cover me and the other drivers in the house.
Posted: Mon Dec 24, 2007 03:24 pm Post Subject:
Have you inquired as to what the cost difference will be if you DO drop your collision coverage? The difference may not be significant enough for you to even do it. Especially if you pay monthly, which would stretch your payments out and seem like an even less savings. I had a client to drop their collision coverage to save a few dollars a month and it wasnt 3 months after that, they had an accident which THEY were at fault. I'm sure if they couldve forcasted that incident, they wouldve held on to it a little longer. So put a pencil to it and see if its really going to make sense for you to do even when its about collision insurance old car coverage.
Web address deleted - Evan
Posted: Wed Dec 26, 2007 05:44 pm Post Subject:
I would not drop the coverage, I keep what I need and more to be covered in any accident, don't care what I am driving at the time, I keep full coveraga and full tort options always.
Posted: Thu Dec 27, 2007 03:44 am Post Subject:
I would not either, but then again, I don't usually have a few grand laying around for paying for fixing a vehicle or replacing a vehicle, I would keep it even if it only meant getting a few bucks back, that is a few bucks toward another vehicle, unless you are driving a really bad vehicle. It is really a personal choice.
Posted: Thu Dec 27, 2007 07:31 pm Post Subject:
I always look forward to the decreases, this is a really hefty jump, $336 a year, I commented in this thread about being overly insured, guess I will take it all back, cause now I am thinking about dropping some coverage on the vehicle that we don't drive that often. It is paid off and is a 1996 pickup, what I take off still won't match the increase. I love my truck and wanted to keep the full coverage to protect her, but I guess that I will have to reconsider.
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