Collision Car Insurance Or Not

Every article seems to urge you to consider the book value of your car before you decide to purchase collision insurance for you car. Their logic says that the value of the car is all you will get anyway, and so you might as well not overinsure. However, I think that many people will make a mistake by eliminating this type of coverage from their car.

If you are judged to be at fault for a car accident, liability insurance covers the other guy's car. Your car may still need to be repaired or replaced. If you need your car, and you don't have the funds to do that in a handy place, you really should think about keeping your collision insurance. Collision insurance usually also pays for a rental car, and if it takes a week to repair your car, that bill can be hundreds of dollars all by itself.

If you want to save some money, why not consider raising your deductible a bit -- of course within limits you can afford. The difference between a $250 or $500 deductible can be more signifigant than you think!

If you haven't shopped for car insurance for awhile, quote car insurance before you buy car insurance -- and you may find another company with lower car insurance rates!