Now that you have owned your first car, the next step is to purchase a motor insurance policy. A vehicle insurance covers the expenses for the insured and third parties in the event of a vehicle collision. As a newbie, purchasing a vehicle insurance can be quite overwhelming since you need to take a look at the different things to get the best insurance policy for your car. To help you, we have provided a simple guide on how to apply for an auto insurance policy.
Be familiar about auto insurance
As mentioned above, a vehicle policy is a type of insurance that provides protection to the car owner, its passengers, and its vehicles. Commonly, a vehicle insurance covers two things-person and property.
- Bodily injury coverage – This inclusion provides coverage for the injuries acquired by the driver, passengers, or third-parties.
- Property damage coverage – This inclusion provides coverage for the damage of property of the driver or another person during the accident.
These are the common inclusions of a basic motor insurance. However, you can still add some more additional coverages to have a more comprehensive motor insurance.
Compare and shop around
Now that you are familiar with motor insurance, the next step is to look for the best motor insurance coverage. Since there are many insurance providers in the market, it can be quite daunting for what to choose. You must shop around and compare different insurance providers. You can opt to shop online by using a comparison site. These websites have a wide of variety of insurance providers. They provide comparison tool so you can easily compare different insurance companies with just a few clicks.
Choose optional coverage
Apart from the basic coverage, many insurance providers offer additional coverage that give a more comprehensive coverage. Here are some of the common add-ons that you might want to include in your insurance policy:
- Roadside assistance
Roadside assistance is an additional coverage that provides services to a vehicle that experience sudden breakdown while on the road. This add-on comes with a variety of benefits. This may include towing services, on the spot repair, emergency fuel delivery, and flat tire service, among others.
- Uninsured motorist coverage
This additional coverage is helpful when you encountered a driver that does not have an insurance policy. This saves you from financial expenses brought by other drivers.
Complete necessary documents
After you selected the coverage that you want, it’s time to complete the essential documents needed in the auto insurance application. Every insurance company requires a different set of requirements. However, there is a common set of documents that are usually required when applying for a car insurance policy. Here are some:
- Valid ID
- Valid vehicle registration
- Body type
- Year model
- Premium payment
Make sure to double check your documents first before submitting. A complete set of requirements will make your insurance application quicker.
Wait for company’s feedback
After you submitted your application documents, wait for the feedback from the company whether your application is approved or not. Depending on the insurance provider you select, approval can be as fast as 24 hours.