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Should I get comprehensive and collision auto insurance, if I am financing a car(not a lease)?

01 Apr

GMAC, not a new car.

 
8 Comments

Posted in Uncategorized

 

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  1. samuel b

    April 1, 2010 at 10:06 am

    I guess it would depend on how much the car is worth, and if you are willing to take a chance on carrying a loan even if the car is written off in an accident or fire. I would suggest you add the extra if you are going to carry a large loan. Also most financial institutions will require you to do so. This is because they want to protect their collateral,or interest in the vehicle. If the amount of the loan is small you may want to take a chance. Hope this helps.

     

  2. J

    April 1, 2010 at 10:53 am

    In general yes. Collusion covers you if you damage your car e.g. skid into a tree. Comprehensive covers you if someone knocks off your side mirror or throws a rock through your window.

    Many recommend having coverage but setting the deductible (the amount you pay before the insurance company does) high e.g $1000. That way your premium is lower and you get coverage if you total your car.

     

  3. john r

    April 1, 2010 at 11:43 am

    I would be surprised if they didn’t require it. You should get it anyway. Nothing sucks like making notes on a wrecked car. And do not waive (refuse) uninsured/underinsured motorist coverage. Thats what pays you if you get hit by someone with no insurance, or too little insurance. This day and age with illegals and other uninsured motorists on the road your odds of being hit by someone without proper liability insurance are pretty good.

     

  4. Patrick

    April 1, 2010 at 11:48 am

    You are required to carry full coverage insurance whenever financing a vehicle.

     

  5. Robert G

    April 1, 2010 at 12:00 pm

    Yes, its required by the finance company.

     

  6. Michael B

    April 1, 2010 at 12:22 pm

    GMAC, as well as pretty much every other vehicle finance company, will require you to carry comprehensive and collision insurance. In most cases you must carry a deductible of $500 or less. If you’re buying from a dealership and financing the car, they probably won’t even let it leave the lot without proof of those coverages.

     

  7. UCANTCME

    April 1, 2010 at 12:36 pm

    THEY ARE GOING TO REQUIRE IT FOR THEIR PROTECTION AND INVESTMENT.

     

  8. G W

    April 1, 2010 at 12:51 pm

    The finance company will surely require full coverage to protect “their auto”