When shopping for car insurance in Fargo-Moorhead, most people look at price and liability coverage. Second is the amount of comprehensive and collision insurance they need. In addition to the basic coverage, many insurance agencies offer additional products and add-ons. Some are beneficial while others may not be necessary for your situation.
Gap Insurance
If you finance a vehicle, you may be offered gap insurance through the finance company. It pays the difference between the value of the vehicle and what you owe if your vehicle is totaled in an accident. Your car insurance provider may also offer this coverage and at a lower price. It’s worth considering so the next time you buy a vehicle, talk to your Fargo car insurance agent and find out the cost.
Roadside Assistance
Most insurance providers offer roadside assistance if you are stranded on the highway somewhere. It usually includes towing service and other assistance, such as providing gas and changing tires. This is a valuable add-on to include at a minimal cost on your policy. The only time you might want to skip the coverage is if you have it with the warranty on your new vehicle.
Rental Reimbursement
Another add-on is for a rental car if your vehicle is in a body shop after a covered accident. If you absolutely must have a vehicle, you’ll need a rental car until yours is repaired. If the accident is someone else’s fault, their insurance policy pays for your rental vehicle. If it’s a no-fault accident, you’ll need to pay for it or have your insurance cover the expense. Some repair companies include a loaner vehicle at no charge. You should also know that this benefit won’t work if your car is in the shop for other types of repairs.
Accidental Death Insurance
Some insurance companies provide this benefit which may also be known as funeral coverage. It can pay for your funeral expenses if you’re involved in a car accident. If you have life insurance, you won’t need this coverage, but it might come in handy if you don’t carry a life insurance policy.
Vanishing Deductible
To save money on car insurance, many people choose a higher deductible. When they must file a claim, they have to pay out that amount before the insurance provider will make a payment. It can be difficult to come up with $500 or more for some drivers. A vanishing deductible can give you the best of both worlds. You pay a lower rate because you choose a higher deductible, but it decreases over time until you have none. The only requirement is you must maintain a clean driving record to qualify for the lower deductible.
Add-ons are one reason it’s a good idea to talk to an insurance agent rather than just getting online quotes. You might discover you need more coverage than just the basics. It’s best to determine the right amount of coverage, including add-ons, before you need to file a claim.