How to insure your brand new car

new cars ready for buyers

June 15, 2017

This post is part of a series of insurance blogs on showcasing the expertise of local independent agents and aimed at helping you understand insurance coverage and other important issues.

You just bought a new car. What about insurance?
We admit that buying insurance for your new car isn't quite as exciting as buying the car itself, but it just might be your most important purchase. Why? Well, first of all, it's usually required either by your state, your lender, or both. More important, however, is the financial protection auto insurance provides.

Auto insurance coverage options.
The type and amount of insurance everyone needs is unique. You most likely know about collision coverage, which pays for damage when you cause a collision with another vehicle or an object, and comprehensive coverage, which pays for repairs when your car is damaged by something you can't control, like a fallen tree.

Other coverage options aren't as well-known, but can be crucial when it comes to protecting both your car and yourself.

You should buy as much personal liability (PL) and uninsured motorist (UM) coverage as you can, because both can protect you from having to pay large out-of-pocket repair and medical bills. And once you have basic liability coverage, increasing your limits won't cost you much more at all.

Don't skimp on property damage (PD) coverage, either. It's expensive to replace a new vehicle, and if you are at fault in a crash, not having enough insurance can expose you to unnecessary financial risks.

Other coverage options to consider are rental reimbursement and towing/roadside assistance. Even new cars break down sometimes! You might also want new car replacement coverage, which will pay for a brand-new car in case of a total loss, or gap coverage, which pays the difference between the value of your car and what you owe on your loan. Both are good options if you owe more on your car than it is worth.

How do I get insurance right away?
Don't worry if you have insurance on your current car, you're fine to drive your new car home, even if you pick it up after business hours. Your current auto policy will extend coverage for a number of days, depending on the state where you live. This gives you time to contact your local independent agent or insurance company to add the proper coverage.

Be careful, however, because this extended coverage in most cases will be the exact coverage that you currently have - which means you could be driving a brand-new 2017 car with insurance based on your beat-up 1999 model. It's always a good idea to call your local independent agent before picking up your new car, just to be safe.

You'll need to let your lender (if you have one) know about your insurance, too. They're taking the risk by financing the vehicle, so they will want proof you have coverage. They don't want to be left holding the bag if you total the car, after all.

You don't have to do it on your own.
It can be just as hard to choose the right insurance coverage as it is to choose the right car. That's where your independent agent comes in! Call us, email us, even text us. We are the experts - we deal with these issues on a daily basis, and we're here for you!
About Shaun Murphy and Pablo Beach Insurance

About Shaun Murphy and Pablo Beach Insurance
Shaun Murphy brings 27 years of insurance experience to Pablo Beach Insurance, the independent insurance agency he founded in 2005 with his wife, Emily. Pablo Beach Insurance has three locations across Florida and counts one of the Murphys' children, Spencer, as part of its leadership team. Shaun strongly believes in providing customers with a broad choice of insurance coverages from a variety of carriers and at a variety of prices. That's why he started Pablo Beach Insurance, after experiencing firsthand how limited customers are when purchasing insurance directly from a carrier rather than from an independent agent.

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