Buying a new vehicle can be an exciting time. However, you should consider that there is more to the cost of a car than the simple sticker price at the car lot. Here are a few insurance questions to consider when buying a new vehicle.
How Will Insurance Rates on This Vehicle Compare to My Old Rates?
Do not assume that your insurance will stay the same vehicle to vehicle. Insurance rates are based on several factors. One important factor will be how new the vehicle is. Generally newer vehicles will have higher insurance premiums than older vehicles. Another thing you should consider is how different in make and model is this vehicle from your last vehicle. Different types of vehicles will fall under different insurance categories. Doing this research before purchasing your vehicle will help alleviate any shock value that might arise when you apply for insurance for your new car.
Insurance Must Not Lapse
In many states, there are laws in place which require that insurance be placed immediately on a vehicle before it can be purchased. This can be a huge inconvenience if you are not aware of this before visiting a car dealership. Be in contact with your insurance company prior to vehicle shopping, so that you can set up a seamless insurance transferral if you are trading in a vehicle.
What Is the Grand Total?
The real price of your new vehicle will be your car payment plus insurance. If you are operating on a budget you will want to evaluate how much this grand total may be, before signing any paper work to purchase your vehicle. Speak with an insurance representative and discuss insurance rates for the types of vehicles you are considering before visiting the dealership. This way you will have a better idea of what your grand total will be for your new vehicle.
If you would like to learn more about placing insurance on a new car call one of our helpful insurance reps at North Georgia Insurance Center serving Commerce, GA.