Should I go down to a liability-only policy on my 10-year-old car to save money on my insurance?
I live in Florida and my car is about 10 years old. I have full coverage, but I found out that I can cut my rate in half if I drop down to a liability-only policy. I hadn't thought about making this change before, but now I am wondering if I should.
“It is always hard to decide if you should keep full coverage or not. Here are some things to think about:
- What is the actual cash value of your car?
- If your car is deemed a total loss, do you have enough money saved to make a down payment on a new one?
- Have you gotten quotes with a higher deductible than you are currently carrying? Did you find significant savings by doing this?
One option is to remove the collision coverage and keep the comprehensive coverage. This way, the car will have some physical protection from things like fire, theft, vandalism, and glass breakage.
Weigh your options carefully and speak with your insurance agent for more guidance. “
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