Car insurance - Picking the right car insurance and coverage

One of the most common question people ask is what is the right car insurance and coverage for me. To determine this there are many variables and questions. 

Here are just a few questions you should ask yourself: 

1. What is the condition of my vehicle? 

2. How much do I drive? 

3. Where do I store my vehicle?

4. What is my net worth? 

One of the factors in determining your insurance level is based on the condition of your vehicle. This is because the more your vehicle is worth the higher your coverage should be and vice versa. 

How much do you drive is another factor in determining the right car insurance. In today’s environment people are working from home more than ever and as such using their vehicle less. Also, if you happen to live in an area with good public transportation you might not be driving your car as much as you think. If this is the case, you may want to look into new car insurance companies that charge per mile. You pay as much as you drive. 

Where do you store your vehicle impacts your car insurance rate. For example, if you store your car inside (garage) the rate will be lower vs storing it on the street. Cars on the street tend to be more at risk from theft, vandalism etc. This is another factor to keep in mind when picking the right insurance and coverage. 

When answering the what is my net worth question on car insurance you should think about what are you trying to protect. For example, if you own large assets your car insurance should be proportionate. Its probably not a good idea to have a basic car insurance if your assets are high as if something was to happen you could put your assets at risk. 

While there is no one answer on how much car insurance you should get as each person is different it is always good to have a comprehensive car insurance. 

Thanks for reading 

Cheers