Everyone turns to the internet for cheap insurance. Whether it be home insurance, life insurance, health insurance, or car insurance, there are ways to get cheap insurance quickly online. Some insurances, like life insurance, you really can’t get away with lying, because you will have to get a health exam. But car insurance is easy enough to tell a fib or two while filling out your application.
How rates are determined
Car insurance rates are broken down by a number of different things. No two people will pay the same price for car insurance premiums. Car insurance companies offer different kinds of coverage, discounts and deductibles, all of which are determined based on the information that you provide them, which then determine the rates you pay. If you are in the market for cheap car insurance, you should find a website that will compare policies side by side, allowing you to choose the rate you can afford. It is best to provide the most accurate information you can when filling out the online application.
Some factors insurance companies take into consideration when formulating a rate are:
- Driving Record
- Type of vehicle you drive
- How many other drivers are in your household
- Age of drivers
- How far you drive to/from place of employment
Since auto insurance premiums take into considerations a person’s driving record, the more suspensions and accidents, as well as tickets a driver receives, can greatly influence the premiums. So, when someone is online filling out a form to obtain insurance, a person may decide to not disclose some, or all, of that information. The less infractions one has, the less their premiums may be. While the person may think it’s okay to lie on the application, the fact is, insurance companies do check that information out. If it is determined that you provided false information on your insurance application, you can be denied coverage, or have your policy cancelled. This will then make it very difficult to find insurance elsewhere.
One way to save money on auto insurance is to carry all of your vehicles on one policy. Many insurance companies will allow discounts for multiple vehicles, as well as homeowners and life insurance, as well. If you fail to tell your insurance companies about other vehicles or policies, you may be losing out on saving money.
Ramifications of giving false information
Giving false information about the vehicle you are insuring will also hurt you in the long run. Some cars cost more to repair than others, so if you provide an incorrect VIN number, you may end up paying more out-of-pocket costs if your vehicle is ever damaged in an accident. Even the year of your car is a big player in how much you pay in insurance rates. In order for you to not lose money after an accident, be honest about the following:
- VIN number
- Year, Make and Model of the car
- Certain accessories on the vehicle, like alarm systems or automatic locks
It is of the utmost importance that you pass along 100% correct information to your auto insurance company. The correct car, the correct VIN number, year, and your correct informatics as well. Lie on your auto insurance application and rest assured it will catch up with you. That is not a legitimate way to obtain cheap insurance. You can not save money by misrepresenting yourself, and, in fact, you are actually committing fraud. Always be completely honest and look for legitimate ways to save money on your insurance. In the long run, your honesty will reward you.