Reader question:

If I have insurance on my old car, can I get new car insurance coverage transferred to my new car when I buy it?

Morgan

Yes, you can, Morgan.

Car insurance companies make this pretty easy. Normally, when you go to the car lot to get your new vehicle, all they will ask you for is your current proof of auto insurance coverage. If you don’t have coverage, then you will have to buy it from the lot (this is a hassle), but if you do (which it sounds like you do), then all you have to do is let them see your auto insurance card and copy it. The reason that they let you go with just a look at the card, even if the new car isn’t on it yet, is because auto insurance companies will cover a new vehicle for up to thirty days before you actually have to go get new car insurance for it.

Adding a new car to your new car insurance coverage is pretty simple. All you have to do is stop by your car insurance office or call up your agent and inform them of the change. Some car insurance companies make he switch over from used car insurance to new car insurance very easy, by offering you the chance to edit your policy on their website. My car insurance company does this, and I love it. When we got our new car, all we had to do was log onto our account and enter in the information, and then receive our new quote. It is such a time saver, especially compared to all of the crazy stuff people used to go through.

Once you get your new car insurance quote, you’ll probably notice that it’s a little more than what you had been paying before. This is bound to happen regardless of what kind of car you get, because new vehicles are automatically placed in a higher risk category. Your new car insurance rate will also depend on what kind of vehicle it is that you bought. In order to avoid getting a terribly high auto insurance quote for your new car insurance coverage, I suggest that you get a quote on the cars you might buy BEFORE you go to the lot, and definitely before you drive one off. This can save you a lot of money in the future.

Making sure that your new vehicle is equipped with some of the best standard safety and anti theft features is another great way to lessen the blow of the higher priced new car insurance. Ask your car salesperson what your options are in this area. Remember that if you can afford OnStar and a back seat mounted 9 inch LCD DVD entertainment system, then you can afford traction control and some extra air bags. Enjoy your new car!

Cheers,

Fashun Guadarrama.