Reasons to Drop Full Coverage

For many, the cost of car insurance is often a deciding factor when it comes to reducing coverage. Though you might think that you have to have full coverage, only those that still owe money on their vehicle are required by the lender to hold a full coverage policy. For those in the Lansdale, PA area, the agents with Farrell Insurance Associate Inc. can help you determine what policy is right for you.

There are a few different reasons why you might consider dropping full coverage in Pennsylvania. The first is that you have paid off your car and therefore are no longer required to have a full coverage policy. This might seem like a wonderful reason to drop full coverage, but it can also have some drawbacks. When you drop full coverage you are no longer going to be able to get your car replaced if it is totaled, you are simply going to get help with some medical bills and with the bills that are associated with the other driver’s insurance.

Another reason you might consider dropping full coverage is to save money on your monthly premiums. Full coverage policies cost more each month than liability coverage policies. You can save a great deal of money by switching to a liability only policy if you do not get into an accident. If you are in an accident, however, you could be out far more money than you would have paid in premiums.

No matter what you choose to do in Pennsylvania, a great agent can help to better explain so that you can find the policy that works best for you and your particular situation. For those in the Lansdale, PA area, the agents with Farrell Insurance Associate Inc. can help you find the perfect policy each and every time.