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Could You Get Caught Out By Hidden Auto Insurance Costs?


Every driver needs insurance to be on the roads, so it’s something we all know and understand fairly well. Because we know we need it, people often hurry and make rash decisions. Choosing the cheapest car insurance option might seem like a good idea at the time. But are you wary of the hidden costs that could be involved?

Installment Fees

Sometimes we just can’t pay our car insurance up front, so a monthly installment plan seems like the best option. It can be a good way to manage the cost of getting a vehicle insured. When you choose an installment plan, make sure you check if you’re getting charged a fee for each payment. It may work out cheaper to select an option that looks more expensive. A slightly more costly policy might not have any extra fees.

Adding Extra Drivers

Adding another driver to your policy can make it cheaper for both drivers. It can also make it more expensive. Shop around using comparison sites like so you can be sure you have the best deal. Some insurers will have extra fees related to adding other drivers to your policy. Especially you add a teenager to your policy.

Replacement Vehicles

Some insurance policies will off your a courtesy car if your vehicle is unusable. It’s a great service to have and can be a lifesaver in certain situations. Not every policy includes a courtesy car as standard, so you may have to pay a fee for it. Check when you sign up for a new policy, so you aren’t in for any surprises if you breakdown.

Mileage Limits

Some insurance policies will have a mileage limit on them. Consider how much you travel and take this into account when shopping for a policy. If you go over this limit, you could find yourself having to fork out for hefty fees. It’s better to overestimate your mileage than to underestimate it.


It’s worth mentioning that where you keep your car, will affect your policy. It's possible for a friend that lives a few streets to have cheaper insurance than you. You’ll notice the additional cost in extra fees because of your area. There’s not always much you can do to avoid this, but it’s good information to have.


There are many ways you can make your insurance perfectly suited to your lifestyle. You can add on extras and change the way your policy benefits you. But, if you don’t have the necessary add-ons when it comes time to claim you’ll be paying out a lot more than expected.

If you read your policy with a fine-tooth comb and ask about all the costs, you should be okay. Never choose the first and cheapest option without knowing what you’re buying. You should always read all the information. It can take a while and isn’t convenient if you’re in a hurry, but you’ll be thankful in the future.

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