What Not To Do When Purchasing Car Insurance
Everyone wants the best car insurance rates possible. However, in your quest for low cost premiums, could you be damaging your insurance record or even committing a crime? Nowadays, car insurance companies are taking a much more hands on approach when it comes to verifying the accuracy of the applications they receive for car insurance. The reason behind this is that in today’s day and age, there is more insurance fraud than ever. As such, it is important to know some of the no-no’s of purchasing car insurance so that you do not find yourself in the precarious position of having to defend yourself or pay for your own damages in the event of an accident claim.
Firstly, do not lie about where your car is kept. Car insurance companies are on to the fact that people claim to live in Florida, but really live in NYC. Insurance companies now have behind-the-scenes technology to help confirm your actual address. If caught misrepresenting where your vehicle is used, many companies will now cancel your policy immediately and that cancellation will go onto your insurance record.
Secondly, do not try to hide other household drivers by not adding them to your policy. Many companies will now ask you to disclose any licensed drivers living in your home, whether they drive your vehicle or not. If you do not disclose them and they drive your vehicle and have an accident, the Youi car insurance nz company may have the right to deny coverage for your claim based on you not disclosing this information up front. This could leave you liable for paying for your own vehicle’s damages even if you were paying for collision coverage.
Most people’s intent is not to purposefully defraud the car insurance company when purchasing a policy. However, every insurance company has a policy contract which has some sort of language which specifies if any pertinent material is misrepresented by the consumer at that time of the policy purchase, the car insurance company may reserve the right to disclaim (or deny) coverage. By keeping these simple pieces of advice in mind, one can help ensure they will never find themselves in the position of damaging their insurance record or being disbarred from coverage by their car insurance company.