There are many insurance companies to choose from when it comes to home and auto coverage. Some of them seem to advertise around the clock, constantly promoting special features, benefits, or discounts in an effort to attract your business. With so many commercials coming your way, how do you know which features are right for you and which ones you should avoid? In this two-part post, we’ll attempt to answer your most pressing questions about some of the most frequently advertised insurance features.
Safe Driving Bonus Check
Hard work should be acknowledged. Insurance companies have long rewarded safe drivers with special discounts, but Allstate has taken it a step further with its Safe Driving Bonus Check. Often advertised with actors bragging about what they will buy with their check, the Safe Driving Bonus Check is actually equivalent to no more than five percent of the premium paid during the previous policy period. For reference, that would be just $25 on a $500 policy.
To get the check, you must remain accident-free for the duration of each policy period. You must also enroll in the Your Choice Auto Program at an additional charge, which comes with specific eligibility requirements like good credit and a good driving history. Alternatively, you could just talk to your independent insurance agent here at Patriot Insurance to find out what types of safe-driving savings are available from other insurers. Some companies will award a safe driving history with discounted premiums, whereas others may feature programs that lower premiums or deductibles as you remain accident-free over time.
New Car Replacement
New Car Replacement is a feature that Liberty Mutual has been promoting as of late. This coverage ensures your totaled car will be replaced with another one of the same year, make and model. This is in contrast to typical insurance settlements, which only cover a vehicle for its actual cash value. Thanks to depreciation that is usually not enough to buy the same vehicle – particularly if the car is brand new or only a few years old.
If you drive a new car, Liberty Mutual is not the only insurance company willing to offer replacement coverage. Several others feature similar benefits – at an additional charge, of course. Some companies even extend coverage availability for several years of ownership – up to five years in the case of Travelers Insurance.
Another Liberty Mutual commercial touts the benefits of Roadside Assistance when you break down, run out of fuel, lock your keys in your car or have a flat tire. For an additional charge, the company offers round-the-clock assistance, giving you peace of mind that you and the other drivers on your policy are covered at your most vulnerable moments. Of course, you do not have to be insured with Liberty Mutual to benefit from Roadside Assistance. Even though the company is a primary advertiser of this coverage, nearly all insurance companies offer similar benefits. Talk to an agent here at Patriot Insurance for more information or to add this important protection to your policy.
Forgive and forget – wouldn’t it be great if insurance companies adopted that philosophy? Unfortunately, insurance rates tend to soar after a single car accident, sometimes by as much as 40 percent or more. With Accident Forgiveness, you don’t have to worry about your rates going up just because of a first-time accident.
Allstate frequently advertises Accident Forgiveness, which comes at an additional cost. Other companies like Progressive, Nationwide, Liberty Mutual, and The Hartford offer similar coverage – also at an additional cost. One company – Integrity Insurance – offers it for free to customers who have held policies for five years or more.
Generally, you must have a good driving record free of accidents and moving violations to qualify for Accident Forgiveness from any insurance company. Talk with an agent here at Patriot Insurance for more information about how you can add this benefit to your coverage.
Continue reading part two of our post, Advertised Insurance Features.