Los Angeles, CA, April 17, 2020 --(PR.com
)-- The ongoing COVID-19 crisis has brought devastation on multiple levels, including the economic one. Millions of people lost their jobs in the US only and more are expected to soon follow.
With a tight budget, policyholders are worried about paying the premiums. In the case of car insurance, there are certain ways to cut off some expenses:
Check if the current provider is refunding premiums. Fewer cars on the roads means a lower risk of accidents and fewer claims and some companies have considered supporting their clients by refunding some money. Some companies give policyholders an approximate 25% credit on premiums paid between March and May, while others give a fixed amount of money. Contact the current provider and ask about premium return options.
Ask the current insurance provider about coronavirus-related payment delays or plans. Some companies renounced to canceling policies for non-payment or non-renewal. Furthermore, they provide flexible payment options and even payment assistance.
Pause the coverage while not driving the car. Usually, companies do not allow clients to suspend their policies, but in this case, they may make an exception. Either way, it is recommended to talk to the insurer and get its confirmation. This option may not be available for those who have car loans since lenders will ask for coverage on the vehicle.
Cancel the whole coverage until the economic climate improves. Policyholders can ask to cancel coverage with any insurer and sign a new contract when the economic climate is more favorable. Just like the previous option, canceling coverage is likely unavailable for those who have car loans. Use this option only if you do not plan to drive the car after canceling the contract.
Remove certain coverage and stick only to the minimum state-required. In these times it makes sense to keep only the basic, minimum required coverage. It would be a total waste of money to keep full coverage or add-ons if not required by a lender,
Keep only the essential driver on the policy. Excluding drivers from a family's car insurance plan is a sound way to get cheaper premiums. If some family members do no longer need to use the car, they should be excluded from the policy. Since schools and universities are closed, it makes sense to exclude teen drivers from policies.
For more information, money-saving tips and free online quotes, please visit https://lowcostcarsinsurance.us/.