All motorists are required to carry a certain amount of liability coverage as prescribed by the state. But, your insurance agent may also offer you other ancillary or add-on coverage that is optional. While there are some that are worth the extra cost, there are those that are simply not worth the cost. Hence, it is important to choose them with care and do a lot of research before purchasing auto insurance.
The first one is Gap Insurance and this one offers protection in case you owe much more on the vehicle when compared to what the insurance companies will pay you.There are standard evaluation procedures that are used to determine the worth of your vehicle at the time it was involved in an accident. So, that is the amount that they would be paying you. But if you have taken the vehicle on lease or finance and then the amount you owe would be far greater than what the insurer will give you.If you don’t have gap insurance, you will end up shelling money out of your pocket in case you are involved in an accident.
The next important add on is the roadside assistance. This will cover the repair and towing services in case you have a vehicle breakdown. You will have mechanics to change tires or fill an empty tank and also assess the other mechanical problems in the vehicle. If the problem is major and if it cannot be fixed then your vehicle would be towed to the nearest auto repair center. This is a very important add-on especially if you travel alone very often or if you travel with children.
Vanishing deductible is another important feature that is being offered with premium insurance policies. This means your deductible would be reduced by a certain amount at the start of the policy and then it would be same amount subsequently until it reaches zero. These deductibles will continue to drop so long as your driving record remains clean and free of accidents.
PIP insurance covers a number of expenses in case you are involved in an accident but that would depend on the policy. The insured driver can get the costs covered for medical expenses. Even the injured passengers are covered up to a certain amount. PIP can also cover loss of income and funeral costs.
Uninsured motorist coverage is important in a no-fault state. Without this you will have no cover if an uninsured motorist hits you.
