Insuring your leased vehicle.
Even if you lease a vehicle, it still needs protection. It is common for the leasing company to require comprehensive and collision coverage on leased vehicles, and it’s important that you are aware of how to accurately protect the car. Since you will not be the rightful owner of the vehicle, there may be certain requirements of the lender, so be sure that you understand what is expected of you. Although you may think that this will raise your auto insurance premiums significantly, there are ways to save money when insuring a leased vehicle.
Know the requirements
Talk to your trusted Tompkins Insurance advisorand the leasing agent to clarify this information. What is most important is protecting the value of the vehicle. It is only necessary to insure a vehicle based on its current worth, in most cases. Be sure that you are purchasing just enough coverage based on the value.
Raise the deductible
One way to save money is to raise your deductible. This means that you take on more financial responsibility in the event of a claim and, in turn, your monthly premiums get cheaper. Keep in mind that you will need to pay your deductible out-of-pocket, so be sure to keep it to an affordable price.
Maintain a clear driving record
You can save a significant amount of money simply by being a safe driver. Insurance companies base costs, in part, on how much risk you present to the company. A driver with numerous previous claims from accidents is going to pay more. This applies to leased vehicles, too. The more risk you are, the higher those premiums are.
Add security features
You can also reduce your costs for auto insurance on a leased vehicle by adding more security features to the car. This may include a GPS tracker or a security system. If the car doesn’t already come with these features, work with the leasing company to install them.