Vehicle insurance companies are brilliant; they try to give you deals with loopholes and make you believe that you have a great deal on your vehicle. If you do not know how they can take advantage of you, you will be paying them a lot of money and getting ripped off. If you have a small vehicle, they may earn less from it. Still, if you have an expensive exotic car, the insurance will be very high, and knowing ways to reduce that insurance cost is very useful to save as much money as possible.
You must know what to do when you need to get insurance. So that if something unfortunate happens, you can quickly do the necessary claim insurance on your vehicle.
Contents
What Is A Declaration Sheet?
This is the first sheet in your policy. In this sheet, you write everything in a good and precise way to let the client know what your policy entails. Most people feel they know what is in this sheet, but there are a lot of restrictions that you must know. You must read this sheet very carefully, and you are aware of what it says.
Vehicle Depreciation
As you own a car for a long time and drive it for more and more miles, its value depreciates quite often, especially if you own expensive luxury cars. Their value takes a big hit. Your vehicle will be much cheaper to replace or fix because it is older, and a lot of companies do not reduce the insurance cost you have to pay. So it makes sense to change companies more often when your car is brand new.
For example- If your car costs thirty thousand dollars, and the insurance is two hundred dollars every month. What usually happens is that your car loses about half its value in about five years. So it makes sense that your insurance cost also reduces by half, but if you stay with the same company, they might keep the price as it is at two hundred dollars even though your car is worth half now.
The Insurance Increasing Rates
You should keep checking the insurance rates because sometimes they may slowly increase over time. Many times your insurance cost may increase if you get into an accident. The company may give you the insurance at a low cost, but that cost rises if you crash. When something like this happens, it is alright to change companies, especially if they increase the rates for no apparent reason.
Medical Bills
There are insurances just for your vehicle, but some are to cover you and our family’s medical bills too, in case of accidents. There are many ways these companies try to avoid paying.
- They Will Decide Then You Have Had Enough Treatment– If you have been in the hospital for a long time, then they will appoint a doctor of their own who will, in most cases, say that you are over-treating and the insurance company refuses to pay the rest of the bills.
- They Will Ignore Bills And Leave Them Unpaid– If you do not follow up with them, they will ignore your bills and not pay them. If they deny you the money, you have to raise an objection, or else they will not pay for it.
- They Pay For Just A Year– If you have a lot of money that has to be paid then for over a year of treatment, then they may refuse to pay for it for more than a year. Even if you get a costly plan, it does not make a difference to them.
- They Decide What Bills Are Valid To Them- Many times, they may refuse to pay bills by saying it is not valid. They may say this simply by finding some fault when you submitted your statement or anything else that they can find.
Conclusion
The main point of this is that they do not want to pay you money. You may be very continuous with your payments, but they will delay and refuse and hope you will not come back when it comes to them paying you. But you have to keep going to them and bug them until they pay up. A lot of people lose money simply because they do not fight with these insurance companies. You should be aware of their rules and inform them as soon as possible and submit all the bills so that there is no delay and they do not get a chance to refuse to pay you your money.
