Safe Driver Bonus Check
If you are a cautious driver, you deserve to be rewarded for your safety behind the wheel. Allstate’s Safe Driver Bonus Check aims to do just that, rewarding you with a check every six months you remain accident-free. Think of it as a reimbursement of up to 5 percent of your paid premiums. If you pay $100 per month to insure one vehicle, for example, your bonus check could be worth up to $30. To qualify for a Safe Driver Bonus Check, Allstate also requires a good credit score, a clean driving record, and enrollment in the Your Choice Auto Program, which comes at an additional cost.
While Allstate is famous for this policy ‘perk,’ other companies offer similar benefits for similar purposes. For example, some companies offer upfront discounts for safe drivers. Others reward accident-free drivers with deductibles and premiums that get gradually lower over time.
GAP protection may not get much airtime on TV or the radio, but it is still a very popular (and sometimes misunderstood) insurance feature. Drivers typically purchase GAP coverage when they owe more on the balance of a car loan than the vehicle is actually worth. Since car insurers only cover the actual cash value of a vehicle, GAP insurance can help pay off the balance of the loan if you total your vehicle in an accident.
While purchasing GAP protection can be a good idea, be careful where you get it from. Car dealers and lenders often sell this coverage when you first finance your vehicle, offering protection for the life of the loan in exchange for an upfront payment – usually about $400. However, you could be paying for more coverage than you need.
Most loan balances eventually fall below the actual cash value of the vehicle, eliminating the need for GAP protection. Why pay for coverage you do not need? Always talk to an independent agent here at Feivor Insurance before purchasing insurance protection you may not need. In some cases, GAP coverage is automatically included with enrollment in certain programs offered by some insurers. If not, it may still be possible to purchase GAP protection from your car insurer and drop it later when you no longer need it.
State Farm’s Discount Double-Check claims to get you all the discounts you deserve. Do not be fooled, though; any insurance agent can double check for discounts, but only an independent agent can search and compare discounts available from multiple insurers instead of just one. From defensive driving and good student discounts to vehicle safety and low mileage discounts, we know which questions to ask and how to help you get the most value from the coverage you need.
New Car Replacement Coverage
There’s nothing quite like that new-car smell, but you risk losing it as soon as you drive off the car lot. If you total your brand new car, chances are your insurance payout will not cover the cost of a brand new car. Fortunately, some insurers offer benefits designed to prevent such a loss.
For example, with Liberty Mutual New Car Replacement, a driver who totals his brand new car gets to replace it with a new one of the same make and model. To qualify, the vehicle must be less than one year old and have fewer than 15,000 miles. Also, the cost to repair it after an accident must exceed the cash value of the car.
Besides Liberty Mutual, several other insurance companies offer similar benefits for car insurance policies. Travelers Insurance offers a feature that guarantees new car replacement within the first five years of ownership. Others extend coverage for a newer car with fewer miles to drivers of used vehicles.
Come back next month when we will continue unveiling the truth with Advertised Insurance Features.