Loans & Insurance

Time to Review Your Auto Insurance Policy

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As you work your way through tax season, it might also be a good idea to re-evaluate your auto insurance policy.

“The beginning of the year is a great time to get your financial house in order,” says Wade Bontrager, vice president of Marketing for GMAC Insurance. “While you’re already looking at your finances, it’s easy to get out that auto insurance policy and make sure you’re getting everything you can from it.”

Bontrager says it is also worthwhile to review your policy when it comes time to renew. “While 43 percent of drivers report comparison-shopping when looking for an auto insurance policy, 33 percent of drivers don’t even think about it -; they simply renew their existing policy and leave it at that.”

Bontrager advises Americans to review their auto insurance policies when:

  • Your insurance company has new offerings. Your insurance company might have introduced new, beneficial services. So, take advantage of them.
  • You drive less. If high gas prices have lowered your annual driving mileage, some companies now offer a substantial low-mileage discount, such as the Low-Mileage Discount launched in 2008 by GMAC Insurance in collaboration with OnStar.
  • You could save money. Make sure your coverage is at a sufficient level to protect your assets, but also research any discounts that you may qualify for, such as a multi-vehicle discount that saves you money when you insure more than one vehicle with the same company.
  • You have a specialized vehicle. If you have a specialized vehicle, whether it’s an RV or a commercial vehicle, a standard auto insurance policy will not provide the coverage you really need. Check with your auto insurer to see if they offer specialized policies. If not, consider switching to a company that does. If you move all of your auto insurance policies to one company, you may be eligible for a loyalty discount.

“It’s so important that you fully research your policy,” adds Bontrager. “For example, our customers are offered a series of concierge-style services, and we want everyone to know the extra value they are receiving free of charge.”