Tag: car insurance Colorado Springs

How to Know If You Need Commercial Car Insurance in Colorado

How to Know If You Need Commercial Car Insurance in Colorado

Thanks to the popularity of Uber and Lyft, more people are earning money by driving their cars. However, this situation does pose a question for many of those drivers. Will your Colorado Springs car insurance policy cover you if you’re involved in an accident? You […]

Tips on Choosing the Right Car Insurance Provider in Colorado Springs

Tips on Choosing the Right Car Insurance Provider in Colorado Springs

When you’re searching for car insurance in Colorado Springs, you’re probably going to start out looking at price. While it’s important to make sure your premium fits in your budget, cost shouldn’t be the only factor in choosing a car insurance agency. Talk to Family […]

What You Should Know about Mechanical Breakdown Car Insurance

What You Should Know about Mechanical Breakdown Car Insurance

If you’re shopping around for car insurance in Colorado Springs, you may be thinking about collision and comprehensive coverage as well as liability. However, auto insurance has different types of coverage, including mechanical breakdown. Here are some basics you should know about this portion of a policy.

Understanding What Mechanical Breakdown Insurance Is

This type of coverage, known as MBI, is similar to an extended warranty. It pays for repairs to your car’s mechanical systems that have nothing to do with an accident. This coverage usually pays for repairs on the engine, drivetrain and transmission. It may also cover exhaust and brakes as well as electrical systems. You may even get coverage for the air conditioning and fuel system. You can usually choose from multiple levels of coverage.
MBI generally won’t pay for repairs that happen normally over time as wear and tear. It probably won’t pay for replacing your brake pads or shoes, spark plugs and filters. It also won’t usually cover tune-ups or wheel balancing. You’ll still have to pay for tires and fluids out of your own pocket.

Is It Worth It?

When you think about what is covered and what isn’t, you may wonder if mechanical breakdown insurance is worth it. Considering how expensive parts and labor are on a vehicle, it could save you money to carry a policy.

MBI is a better option than an extended warranty for several reasons. It usually is less expensive than the extended warranty and it may cover more parts. You can usually go wherever you want to get repairs done.

Another benefit for carrying this policy is you may be able to transfer it if you decide to sell your vehicle, which could increase the value to the buyer. You also don’t have to pay a large sum all at once, which makes it more affordable for the average person.

The Cost of MBI

The price of MBI depends on the age and model of your vehicle. Your driving record doesn’t factor in like it does with regular car insurance in Colorado Springs. Your credit score, age or other factors have no impact either.

You may spend just a few hundred dollars for this coverage or it could cost a few thousand. This coverage may be an add-on or purchased as its own policy. However, it doesn’t replace standard car insurance, so you will still need to have both.

You need to decide if this coverage is right for you. Do some research on the model you’re purchasing to see if it has a history of breakdowns or other issues. Find out the cost of repairs to see if you can afford them or if it would be better to pay the monthly premium for coverage.

In the end, choosing to purchase mechanical breakdown insurance is up to you and how much peace of mind you need for unexpected repairs. It’s something you should look into and learn about for your vehicle.

How You as a Driver Affect Your Car Insurance Rates

How You as a Driver Affect Your Car Insurance Rates

When you think about buying a new car, you probably realize that what you decide to purchase will impact your car insurance in Colorado Springs. A sports car is likely to have higher premiums than a sedan while an SUV may be even cheaper. However, […]

How Points Impact Your Auto Insurance Rates

How Points Impact Your Auto Insurance Rates

If you’re shopping for auto insurance in Colorado Springs, one of the questions you’ll have to answer is if you’ve had any traffic violations or claims. If the answer is yes, you’re likely going to be paying more for your insurance policy because of the […]

Do You Need Car Insurance If You Don’t Have a Car of Your Own?

Do You Need Car Insurance If You Don’t Have a Car of Your Own?

Most people know they need car insurance in Colorado Springs if they own a car. However, they may not see the need for a policy if they don’t have a car at the time. Why pay for something if you don’t think you need it? What they don’t understand is if they have a driver’s license, they should have car insurance.

Reasons to Have Car Insurance

Even if you don’t have your own car right now, you still need to carry car insurance. There are several reasons it is important to be insured.

If you drive someone else’s car, you are required by law to carry car insurance. While a friend’s policy might pay for an occasional driver to drive the vehicle if there’s an accident, it won’t cover you if you’re a regular driver and not included on the policy. For instance, you may borrow your roommate’s car to go to work every day since you don’t have your own wheels. Because you are driving it more than occasionally, you need to be listed on the policy as an additional driver. This means you have car insurance even if you don’t have your own vehicle.

You may ride as a passenger in a vehicle. If you’re injured as a passenger, you may need to have car insurance. More health insurance policies are excluding car accidents for coverage with medical care. You need car insurance to pay for your expenses if you’re injured in a collision.

Another reason to have car insurance even if you don’t have a car is to reduce your rates when you do finally get your own vehicle. If you don’t have car insurance for any reason, you will have to pay more because of a lapse in coverage.

How to Have Car Insurance Without a Car

If you don’t have a vehicle, you can be added on to someone else’s policy as an additional driver. Many college students do this by being listed on their parents’ policy. It ensures they can drive a vehicle even if they don’t own one.

Another option is to purchase a special non-owner car insurance policy through a car insurance agency. It will cover you for liability protection if you’re in an accident and at fault. It won’t pay for damage to a vehicle though.

If you lease a car, have a car that isn’t running or are sick and not driving, you shouldn’t let your policy lapse. Temporary situations don’t last long, and you don’t want to pay for a lapse in coverage.

Maintaining car insurance is a lot better and cheaper than dropping it and picking it up later. You don’t want to risk being uninsured and involved in an accident whether as a driver or as a passenger. While auto insurance is an added expense, it’s not one you want to do without. You can talk to your agent about finding a policy that fits your budget. Just remember, you need car insurance even if you don’t have a car right now.

Understanding the Limits and Requirements for Liability Car Insurance in Colorado Springs

Understanding the Limits and Requirements for Liability Car Insurance in Colorado Springs

If you have auto insurance in Colorado Springs or elsewhere in Colorado, you should be aware of the state requirements. It is required to carry liability insurance if you own a vehicle anywhere in the state.

Do You Know the State Requirements for Car Insurance in Colorado?

Do You Know the State Requirements for Car Insurance in Colorado?

If you own a vehicle or plan to buy a car, you should know that auto insurance in Colorado is required for all drivers. The requirements are enforced by the Division of Insurance in Colorado. At one time, Colorado was a no-fault state, but that […]