Cheaper Car Insurance--Not Cheap Car Insurance
Just because your credit may be rocky doesn't mean that it's impossible to find affordable car insurance. And note: we advocate that all drivers seek out affordable car insurance--not cheap car insurance. There is certainly a difference, and we hope some of the tips we highligh in today's post bear out the importance of still getting quality car insurance--even when budgets are tight and credit is low.
Imagine: you've finally been approved for a car. You're signing the final papers, all your references have spoken highly of you. Maybe your co-signer is there, cheering you on. The finance specialist drives the car up front for you to review...and, oh, wait...there's just one last thing to take care of. Do you have insurance? No.
We've all been there. We see ourselves crusing down the highway--or just finally having safe transporation to work, or for our kids. And then that last hurdle looms large. "Just gimme whatever you got, Google!" you say, clicking "cheap car insurance" ads, and filling out the first form that falls into your lap.
But not so fast. A lot can be learned--and saved--from doing your car insurance homework before the ink is dry on your car loan. By investing some time upfront researching auto insurance rates, and car insurance companies, you'll be well on your way to isolating the best policy for you and your needs.
Know Your Credit Score
We've said this before, and (ahem) before, but knowing your credit score--even if it's bad, or needs a little TLC--is one way to prepare yourself for the added expense of car insurance. And, if you know that your bad credit score might increase your car insuance rate, then it's easier to save for this added expenditure ahead of time, instead of at the last minute. Not knowing your credit score--and being blown away with how expensive car insurance can be--is a sure way to send you searching for cheap car insurance that's no good.
Why I Shouldn't Settle For Cheap Car Insurance
As others have pointed out, cheap insurance pretty much never equates to "good" car insurance. Or, quite frankly, even more affordable car insurance in the long run. Also, the cheaper the insurance, the more likely you will have limited coverage, and will have to pay many more out of pocket costs than if you had spent a little more time saving for, researching about, and choosing an affordable car insurance tier.
In the end, just as with the car buying experience, shopping for car insurance doesn't have to be a nightmare--or a poor investment--if you do your homework up front, and plan for your long-term well-being.
Got any hot tips on searching for good, afforable insurance? Please sound off in the comments section!