When you lease a new car, it is important to realize that there are some stipulations to your lease agreement that you may not realize. There is so much paperwork to sign when you lease a car that minor details can easily be overlooked. One major stipulation you need to know is the insurance coverage that is required for the vehicle. The following guide will walk you through getting the right insurance for your leased vehicle.
Amount of Coverage Needed
The first thing you need to look for when you are looking for the insurance coverage stipulation in your lease agreement is the amount of coverage you are required to have on the vehicle. Many companies require you to have full coverage on the car the entire time you lease it. This ensures that any damage that is done to the car can easily be repaired right away. Full coverage insurance will cover damage that is caused by you or by someone else.
Discounts Offered by Insurance Company
There are often many discounts offered by insurance companies if you take the time to ask an agent about them. You can get discounts for grouping multiple policies together, for being a military member, and even because of your age. When attempting to get a discount, you may have to prove that you are eligible for it. Showing a military identification card or your driver's license may be required to prove you are truly eligible. You can often fax a copy of the identification to the company so that you do not actually have to spend time going into the office.
Length of Time Coverage Will be Needed
If you know that you are only going to need to insure the car for a very specific amount of time, you should opt to pay for the entire policy in full. When you pay for a policy in full, many insurance companies allow you to pay less for the overall coverage. The company does not have to worry about you making monthly payments and gets the money that they are due without any hassle. This is something that many companies reward and thus allow you to save a little money on the overall cost of your policy.
It is important to make sure that you never allow your policy to lapse when you are insuring a leased vehicle. If you fail to keep the vehicle properly insured, you could end up losing the vehicle because many car dealerships include a statement in their lease agreement that states they can repossess the car if you do not get it properly insured. Talk to a professional like Green Light Auto Insurance Specialists for assistance.Share