There you are, out car shopping on a sunny Saturday morning. Whether it’s your first car or your fifth, you can’t help feeling the bubbles of excitement as you stroll across the lot, coffee in hand, looking at all the different cars.
Of course you know what you want. Kind of. You’ve done your research! You have an idea what type of vehicle you need, looked into your financing options, made up your mind on whether you’ll buy a new or used car, and read up on gas mileage, crash test and safety ratings. You even know what colour you’d like.
Today is the day. You are ready to make a move and drive the new car home.
But did you call your insurance broker to make sure you and your new car are covered as you drive off the lot?
There are actually quite a few aspects to consider when you purchase a new or used car. Some of them are to ensure that you have insurance protection, others can save you quite a bit of money.
A quick phone call to us at Lloyd Sadd Insurance before you go out to buy can give you the head start you need to stay in control.
- Car Dealer says you have 14 days to insure your new car? Beware! It’s not always true!
- Used Car Deal Seem Too Good to be True? It probably is.
- Call a broker for your insurance not the dealer, we are the experts.
- Think twice before you co-sign for a loan
- Buying a Car for your teen? read more.
I have 14 days to get insurance for my car right?
The Car dealer told you that you have 14 days to insure your new car? Beware! This is not always true.
So you’ve found the car that you like and you are sitting down to do the paperwork. As you pick up the pen, it occurs to you that you forgot to call your broker to get insurance for your new car. No! It’s Saturday afternoon, you are exhausted and tired and you just want to drive it home. But along comes your car dealer with some fabulous news: “You have 14 days to add it to your insurance plan,” he says.
So there’s no need to fret…Right?
Unfortunately, that’s not quite true. There are indeed situations when you have 14 days to add the new car to your policy. But there are far too many variables to give a simple rule explaining when the 14-day cushion applies and when it does not. For example, it might work when you trade a vehicle but it won’t be applicable when you buy an additional vehicle.
Your safest bet: Don’t rely on the 14-day advice. Get your insurance now!
If you are beginning to think about buying a new car, give your insurance team at Lloyd Sadd Insurance a quick call right away and we’ll set you up right. We’ll make sure that when you finally go to buy your new car, you don’t have to worry. It’s as easy as that.
Used car too good to be true?
Buying a used car? Does the price or something about the deal seem too good to be true? If so, it is probably not the deal you want. Maybe you did your car-shopping online, and you found a great deal on a used car. Low mileage, good condition, and after the test-drive you find it runs like a charm. The price is good, too. In fact, it’s great! They could get much more for this if they wanted to…
Wait. Why don’t they?
The caveat with used cars is often that you can never be really sure what has happened to them. So you rely on the honesty of the previous owner…or you get a vehicle history report. Various providers offer these reports online for a fee.
Be smart. Call Lloyd Sadd Insurance before you buy your car.
Thinking about co-signing for a loan?
We don’t recommend it. Your grown-up daughter, who’s been living on her own for a couple of years, was just laid off from her job due to ever-present budget cuts. As if that wasn’t enough, her trusty old sedan just broke down as well, this time for good. Luckily, she has interviewed for a new position and things are looking pretty good…but if she gets the job, she will need a car to get herself there every day. Without a car, she can’t take the job. And even with the new job, adding a car payment to the budget will make things tight…very tight.
So, you consider helping her out by co-signing a car loan.
When purchasing and financing a new or used car for your adult child, think twice: If you co-sign on a loan for a car that your son or daughter will be driving, you may be held liable if an accident occurs – even if you weren’t driving, and even if the car was not listed on your insurance policy.
Why? Because liability follows the registered owner(s) of a car. If you are listed as a registered owner (which you are, if you co-sign), you can be held liable in case of an accident, and your assets are in jeopardy, often for the life of the loan.
So what can you do if you’d like to assist your child by helping him or her buy a car?
From an insurance standpoint, rather than risk your assets by co-signing, the best solution is to give financial support but to register the car in the child’s name only.
Buying a car for your teen? Read This!
Your son just turned 16 and, of course, he passed his driver’s license test on his birthday. So, down memory lane you go…Remembering how you drove the old beat-up blue pick-up truck to school (Pick-up? They should have named it Hick-up!) and were dreaming about that sleek convertible…
Now your son’s 16, and you want nothing more than make his dreams come true. What parent doesn’t? Since both of you are into cars, you agree on a sporty model. It stretches the budget but it’s affordable.
The surprise comes Monday when you call your broker to add the new car to your insurance plan.
How Much?
Young drivers in combination with new, sporty vehicles make for an expensive mix when it comes to your auto insurance. This is not a personal offense against your teen (who might be a very good driver). But studies have proven again and again that young drivers are the highest risk on the road. And insurance companies will rate young drivers as high-risk drivers, because they simply have not yet gained the experience of older drivers. Additionally, sports cars by their very nature tend to encourage speeding which makes for increased insurance rates. Brand new models and types like SUVs and Trucks may also trigger higher rates.
If you are looking to buy a car for your teen, we recommend that you opt for a mid-size, slightly older and reliable car with safety features such as airbags or anti-lock brakes. Older cars are generally less expensive to insure because they are less expensive to repair.
And remember, you can always give us a call for more advice or sample rate quotes!
One Stop Insurance Shopping
Buying a new car is very exciting! Get yourself cruising right by giving our team at Lloyd Sadd Insurance a call before you head out to the dealer. We can make sure you get adequate protection at the best rates, plus all the discounts you deserve. One quick phone call – much less hassle. Isn’t that the way to do it?
Contact us today at 403-245-1177. We’re here to help!