When buying insurance in Nashville, NC, the only coverage that you are legally required to carry is liability insurance on your vehicle. Liability insurance helps to cover the other party’s damages if you are found to be at fault in an accident. All other types of auto insurance, including collision and comprehensive, gap coverage, and replacement coverage, are strictly optional.
So here’s the question: Is it worth the extra cost of buying all that protection?
The Formula
The answer comes down to a simple formula: Are you spending more on premiums each year than your car is worth in total?
If the answer is no, then there’s not much reason to buy full coverage for your car. If you’re driving around an old 1990s Ford that you could replace yourself should something happen, then your insurance can’t do much for you that you can’t already do for yourself.
We do tend to have an emotional attachment to our cars. Maybe the bluebook value of your vehicle is only a couple thousand dollars, but the personal value makes it irreplaceable. Unfortunately, insurance can’t help on that front. The insurance covers the financial losses should something happen, but it can’t guarantee that nothing ever happens in the first place.
Check your car’s bluebook value now and then, and remember to be honest with yourself when buying insurance. We like to think our cars are worth a little more than they are.
If you’re shopping around for insurance in Nashville, NC, remember that full coverage might not be worth it when you call Steiner Insurance Group. Steiner Insurance Group can help you get covered against expected losses, but, unfortunately, the emotional value of any vehicle, whether brand new or a couple of decades old, can’t be salvaged.
