What information does the insurer need to issue auto insurance?
Chances are, when you consider purchasing a vehicle, the seller or dealer will ask if you have auto insurance, and if this is your first time, it may not be clear what documentation you’ll need to present to the insurer.
Ideally, before submitting any document or making any payment, you should consider two aspects: a) how to choose the right insurance company; b) what kind of insurance you need.
In addition to hearing recommendations from friends and family about companies they’ve had positive experiences with, you can check this page to find the right carrier for your auto insurance and get a list of carriers in your state using a very simple tool from the Insurance Information Institute ( Find an Insurance Company ).
The first thing the insurance broker or agent will want to know is the type of car you are going to insure. Since this is one of the factors that influence the price of a policy and the type of insurance you need.
Basic information about your car
- Year, model and make.
- The vehicle identification number or VIN ( Vehicle Identification Number ).
- Security accessories that the vehicle has: airbags, seat belts, anti-lock brakes, security systems against theft, alarms, etc.
- Approximately how many miles will you drive per year and how many do you spend commuting to work each day?
- Whether it is a new or used car; the miles already traveled; if you are financing it, and the name and contact information of the financing company.
- If the car will spend the night in a garage, a closed public parking lot, or on the street.
Some insurers offer discounts on new cars and the agent may want to examine the vehicle and/or take photos of it to find out its condition.
When you have special cars or particular models, such as race cars or collectors, it is likely that the insurance will be more expensive than when it is a regular one. And it is even possible that some companies do not insure certain vehicles and you should go to a specialized insurer that does.
Driver data
It is very important that when you obtain insurance for your car, you identify all drivers who live in your household and who may drive it. This is to prevent that in case, for example, children who are of driving age take your car without your permission, they are covered in case of any problem that has to do with the insured car.
The insurer will find out about the driving history of the owner of the vehicle and the policy. It depends a lot on your trajectory and behavior as a driver, and whether the insurer treats you with more or less consideration. As in everything, the higher the risk, the more expensive it will be to insure it.
If you have had numerous crashes or speeding tickets, this history is going to cost you more money when buying insurance; but on the other hand, if you have a good driving record, you will enjoy additional discounts and there are even special programs for safe drivers and/or those who take additional defensive driving classes.
Likewise, if the young drivers in your household have taken driving courses, these can mean discounts – as well as peace of mind -; and if they are good students, they may also receive discounts on their annual or semi-annual premium.
If you have other cars, you may just need to add the new car to your existing policy and get some “loyalty” and long-standing customer discounts for that. Also, if you have home insurance, you can place your car insurance with the same insurer. In such a case, inform the broker of the company with which you insure your home.
