Auto Insurance Policy
An auto insurance policy is considered by many to be a confusing and boring document. Whenever purchasing an auto insurance policy, you’re bound to come across the term declarations. This section title may consist of several pages or even a single page in some circumstances.
Whatever the case may be, knowing how to read an auto insurance policy is so crucial so as to be aware of the different types of coverage you’ve signed up for and the terms of agreement involved. Once you are able to understand your cheap auto insurance, costly coverage gaps can be avoided as well as the pain and frustration that comes with it.
An overview of the declaration page
This page is notably one of the most important pages that encompass yours. The page states or declares the choice of coverage you’ve made and the ones you have declined. Any details related to driving name, prices of coverage offered as well as deductions are also mentioned. Information commonly mentioned includes:
- Personal information
- policy period
- Any discounts and surcharges mentioned
- The schedule of coverage
- Names of insured drivers and vehicles under the policy plan
Whenever any alterations regarding your policy are made, a new declaration page should be sent to you that shows all the amendments made. A waiting period no longer than one week should be awaited for after which the new policy should be delivered. If not, a call to the agent should be made.
Overview of coverage levels
Making sure the proper coverage levels are declared on your car insurance policy is very important. Common coverage that should be mentioned includes the following:
Medical payments or personal injury protection
Be mindful of the general information page and ensure the information mentioned is correct and updated
Particular attention should be provided to any exclusions being mentioned in each section
- Beware of the notes section.
- Look over the driver’s list
- Glance at the vehicles being mentioned and the proper VIN code
- Know when the policy is expiring and when you need to renew the document
Your auto insurance policy is a legal contract that binds you with your auto insurance companies, under specific circumstances and for a specific time period. As a responsible individual, you should resist the temptation of just glancing over the agreement. After all, an ounce of prevention is worth a pound of cure.