It is a smart idea to sit down and review your auto coverage at least once a year. Reviewing your auto coverage provides you with an opportunity to update outdated information, make changes to your policy, and ensure you have enough coverage. As you review your policy, there are some specific things you are going to want to look for.
1. Who Is Covered
First, you are going to want to review who is covered as a driver for your home. If someone lives in your home and drives your vehicle, they should be listed on your insurance policy to ensure any future claim will be approved.
For example, if your teenager got their driver's license this year, you will want to add them to your policy. If a significant other moved into your home and drives your vehicle, you will want to add them to your policy. Overall, if someone lives in your home and drives your vehicle, you will want to add them as a covered driver to your policy.
2. Home Address
Second, check your home address on your auto insurance policy. Your home address can impact your insurance rates and coverage. If you have recently moved, you will want to update your home address with your insurance company. That way, if you have to make a claim, it will not be denied for having the wrong primary residency. Also, your rates could go down (or up) with a change of address.
3. Minimum Coverage
Third, you will want to make sure your policy provides you with at least the minimum coverage as required by the state for both bodily injury liability and property damage. Some states also require you to carry uninsured motorist coverage. If you live in one of these states, make sure you have that minimum covered as well.
4. Beyond Minimum Coverage
Fourth, you are going to want to assess the coverage limits you have and make sure those coverage limits actually take care of your needs and protect you as well. The minimum coverage limits are rarely completely adequate; you may want to consider increasing the coverage limits when you review your policy.
5. Deductible Check
Fifth, check and see where you have your deductible set for your collision and comprehensive coverage and consider if that amount works for you. If the amount is too high, and you couldn't cover the deductible if you were to get in an accident tomorrow, you may want to lower the deductible amount. If you can easily cover the deductible amount, you may want to raise it to lower your premium.
Ask to see what claims are on your policy. Ensure there are no claims that shouldn't be there. If there are, get them removed and corrected.
Once a year, you should review your insurance policy and make sure all the information is up-to-date and accurate and that you have enough coverage. You want to ensure your coverage is accurate, as that can impact your ability to have your claims covered and impact your premium.