We continue with Part Two of our post, Advertised Insurance Features.
New Car Replacement
Do you know ‘Brad’? You know – the name of the car the young driver totaled on the Liberty Mutual commercial? She loved Brad, but she broke into her happy dance when Liberty Mutual paid for another car to replace it. That’s because she had New Car Replacement or Better Car Replacement coverage from her insurance company.
In most cases, insurers only cover a vehicle for its depreciated cash value. New Car Replacement is an add-on feature available from many different insurance companies that promise to replace a totaled vehicle with another one of the same year, make, and model. In the case of used cars, some insurers even pay for a vehicle with fewer miles and a full model year newer.
Terms and conditions tend to vary between companies, though. For example, Liberty Mutual’s New Car Replacement pays to replace a new car that is less than one year old. On the other hand, Travelers Insurance offers a Premier New Car Replacement program that will pay for a replacement for up to five full years of ownership.
How much would your insurance rates go up if you caused an accident? Unless you have Allstate’s Accident Forgiveness or a similar coverage from another insurer, it could be as little as 10 percent or as much as 40 percent. Allstate sells Accident Forgiveness to customers who enroll in the Your Choice Auto Program. To qualify, you may need a clean driving record and a good credit score.
While Accident Forgiveness can save you money in the event of an accident, it can also cost money to add it to your policy. Acuity, Progressive, The Hartford, Nationwide, and Integrity Insurance are just a few examples of insurance companies offering a similar coverage. Some, such as Integrity, even offer it for free after five years.
Next up is Roadside Assistance, another feature promoted by Liberty Mutual. The company will pay for fuel delivery, jump-starting your battery, unlocking your vehicle, or even towing your car to a repair facility. All of this comes at an additional cost, but it can provide peace of mind for policy-holders who want to protect themselves and other drivers on their policy against vulnerable situations.
Although Roadside Assistance is advertised in humorous Liberty Mutual commercials, several other companies offer similar coverage. Talk to an agent here at Frydach Insurance to add 24-hour roadside protection to your policy.
The Discount Double-Check commercials are State Farm’s way of saying they will find all of the discounts you deserve from their own company. Agents commit to combing through the policies of drivers to ensure every possible discount has been applied, from vehicle safety discounts to good student discounts. The catch is most other insurance companies offer the same or similar discounts, and another agent can do the exact same thing. However, only an independent agent can compare discounts from multiple insurance companies to maximize the value you receive on coverage.
When it comes to commercials, insurance companies have only seconds to sell you on a specific feature or benefit. However, there is usually much more than meets the eye. Next time you see a new ‘discount’ or advertised insurance feature that sparks your interest, contact your independent agent to get the real story. In many cases, the same coverage is available from competitors – and often at a more affordable price.