Get covered

Insurance. Many see it as an unnecessary evil a drain on resources that has no investment value. It is understandable that many have a problem with insurance companies as there are so many horror stories of people paying their premiums only to be let down by their insurance companies as there are so many horror stories of people paying their premiums only to be let down by their insurance provider in their hour of need. It stands to reason that if you pay your premiums, you should be in a position to receive the benefits of your coverage without question, should an incident occur. This isn’t always the case as less reputable insurance companies fail to pay out as a result of them finding loop holes in insurance contracts that penalize their customers, often for some form of negligence–much to their surprise. Those companies that do pay out often find reasons to pay less than originally agreed based on some technicality. For cars… this can take the form of an adjustment due to the vehicles loss in value over time. Alternatively, many don’t realize that modifications to a car, any modification no matter how insignificant, can result in your insurance being invalidated. Dangerous driving resulting in prosecution from the authority can also exempt insurance companies from some liabilities.

With this being said, it’s important to find insurance companies that are known for the level of coverage they provide. Of course, expect to pay more than their less trustworthy counterparts… but what you lose in additional fees, you’re very likely to gain in additional coverage. This point become particularly important if you’re looking to protect your own personal estate from loss. Let’s take car owners for example: Those who have bought a cheap car for a little run-around… you know… something used for the daily commute and/or shopping trips and school runs… may only want very basic/cheap insurance coverage for their vehicle. After all, repair costs and/or the cost of replacing the car is likely to be affordable, should the insurance policy not provide full coverage following an accident. What’s important is that third-party’s are covered… which they should be by law. How about someone who has bought a Ferrari. In this situation, you could argue that most Ferrari owners probably have an abundance of wealth and resources; therefore money isn’t an issue in the event of a crash. However, it would be wise to seek insurance that provides the most comprehensive coverage possible… as it wont be cheap to personally cover loss or damage to such an expensive vehicle.