Preventing Future Auto Insurance Difficulties

Get Coverage As Soon As You Can

Auto insurance companies use your insurance history to assess your risk. Your risk designation determines whether the insurance company can sell you coverage and how much they should charge you. The assessment is possible since your coverage history:



• Shows that other insurance companies trust you enough to cover your risks
• Shows you have not committed serious insurance mistakes, such as insurance fraud, that might lead to coverage denial
• Shows you have not committed serious driving mistakes, such as multiple DUIs, that might bar you from getting insurance coverage

The longer your insurance history is, the more favorable insurance companies will consider it. Thus, you should get insurance coverage as soon as possible. You don’t have to buy coverage on your own – your parents or guardian can include you in their insurance policy.

Maintain Coverage

Lapses in insurance coverage are often suspect. Insurance companies might suspect that:

• You didn’t have the money to pay your premiums, which means you might lack the money again
• You made a mistake that forced your carrier to cancel your coverage
• You were such a high risk that no one wanted to sell you insurance
• You lost your driving license

All of these things make you a risky driver to insure. Thus, ensure you have auto insurance coverage at all times. Consider a reduction in coverage, but not a cancellation, if you don’t need insurance or have the money for it.

Coverage cancellation is one of the worst ways to lose auto insurance. For example, an insurance company can cancel your policy if:

• You lose your driving license
• You fail to pay your premiums

Do your best to avoid coverage cancelation or nonrenewal.

Keep a Clean Driving History

Your driving history is the premier factor insurance companies use to determine your risk level. You should especially watch out for:

• Accidents
• Traffic tickets
• DUI convictions
• Driving without insurance

Watch out for these issues the minute you start driving. Some issues, such as DUI convictions, can stay on your record for a relatively long time. This might become even worse for you if you have a history of alcohol dependency. If that is the case, it might be better for you to find alcohol rehab in White Plains or wherever you live and manage your addiction as proof to the insurance company that you would be taking the responsibility of driving safely.

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