What You Want vs. What You Need

Many insurers offer the option to bundle multiple products together; referred to as a multi-policy, multiline, or multi-product discount, you should bundle your homeowners and auto policies if you:

• Find the combination of policies cheaper than what you currently pay.
• Cannot find cheaper rates at separate companies.
• Are trying to insure a home.

Some factors, such as the number of years you’ve been driving, are largely out of your control. Other factors, however, are less fixed and could directly affect your premiums. With this in mind, consider whether bundling your auto and home insurance would be more expensive than separate policies at two companies.

What are the benefits of bundling home and auto insurance?

There are a few reasons beyond price that may make bundling beneficial.

1. Having an auto policy with a company that also sells homeowners insurance may give that company more incentive to insure your home — despite the risks.
2. Having multiple policies with one insurer may make them less likely to drop you.
3. You could experience less hassle managing policies when they come from a single company. You’ll work with one agent, if applicable, and usually manage both home and auto policies within the same web portal.
4. It may be a good idea to pay a higher price for the bundle if you are having trouble finding a company to insure your high-risk home.

With the right bundle, you could be on your way to saving money on both your auto and home insurance policies.

In this guide, we’ll walk you through some maintenance tips that could delay or even prevent the need to pay for a big fix to your ride.

1. Inspect & Maintain Tires

The lifespan of your tires quickly depreciates if they aren’t properly maintained. A new tire, on average, costs about $120 dollars. Checking your tire pressure includes finding the recommended pressure and checking the PSI. For every 3 units of PSI below recommendation, your vehicle consumes 1% more fuel and incurs about 10% more tread wear.

A flat tire is a hazard that can be dangerous to you and your car. There are several preventative steps you can take to help avoid this, such as rotating your tires.

• When: Set a monthly date on the calendar to check your tires or check them every 5,000 to 10,000 miles.

2. Change the Oil

Routinely checking and changing your car’s oil is essential to keeping its engine in running condition. The simplest task to increase the life of your vehicle is to maintain the proper amount of oil in the engine. It’s better to spend as little as $25 to get the oil changed than to put it off and risk wearing out your engine.

• When: Check your oil each month or every 5,000 miles and change it as directed in the car’s owner’s manual.

3. Check Your Engine Air Filter

Many car problems are due to clogged air filters or loose fittings. A dirty engine air filter can allow dirt and other particulates into your car’s engine and reduce its efficiency. You can get the filter replaced by your mechanic or in the comfort of your garage in just 10 minutes.

• When: Inspect your car’s air filter once a year or every 12,000 miles, and replace it as needed.

4. Check the Fluids

Several fluids should be kept at the appropriate levels to help keep your car running properly. According to Popular Mechanics, you or your mechanic should check:

• Engine oil
• Coolant
• Power steering fluid
• Brake fluid
• Transmission fluid

A leak with any of these fluids can affect the way your car drives. If you spot a leak, you may be able to identify the fluid by its color

• When: It’s a good idea to check these fluids twice a year—once before the warm weather hits and again before the cold weather swoops in.

5. Check Your Battery

Corrosion comes in the form of a white or bluish powder and can form on the terminals of your battery. If you don’t keep them clean, the battery could develop a crack or not function properly, leaving you stranded. Buying a $5 wire brush and keeping the terminals looking spiffy is money well spent.

• When: Test your battery twice a year and inspect it for corrosion

6. Check Your Spark Plugs

If you notice that your car is not performing efficiently, or your engine is not working well, then the reason could be the spark plugs. You might want to check the spark plugs and wires if they are old or they could be covered in a buildup.

When: Spark plus usually lasts for 30,000 miles or more; see your owner’s manual for more information.

Set Up a Car Maintenance Line Item in Your Budget

Even though keeping up with car maintenance is less expensive than doing major repairs, it can still add up. Make a line item in your budget for car maintenance. This way you can save up over time for that new spark plug, oil change, or set of tires.

Just like regular car checkups, it’s also a good idea to review your car insurance policy from time to time. This can help ensure your policy’s coverages, limits and deductibles are up-to-date and suitable for your current situation.

Mistake #1: Buying the First Car You See

If you’re a busy person, it may be tempting to buy the first vehicle that meets your minimum requirements. Before you finance a car, however, it’s worth doing some comparison shopping to see if you’re getting a good deal. Take the time now so you can save time and money down the road. Websites such as Kelly Blue Book, NADA, and Edmunds can help you research and compare vehicles so you can narrow down the car options that may be right for you.

Mistake #2: Skipping the Test Drive

Maybe you have a lot of driving experience, and you’re certain that you know how the make and model of a car will drive. Even if you’re sure that you’ve found the car of your dreams, it’s always important to test drive the vehicle. What if the car has some major blind spots or the seats droop too low or the car jerks too much when starting and stopping? You never know what issues might come up once you’re actually behind the wheel, and it’s always better to experience the ride before you’ve made your purchase.

Mistake #3: Buying a Car That Needs Work

If you buy a car that already needs work, you could end up getting yourself into a sticky financial situation. While you may be getting the car at a lower price, any small issues can increase the likelihood of major repairs down the road. It’s better to err on the side of caution, and make sure you’re buying a reliable car that hasn’t already experienced its fair share of damage. If you think the car could have any potential problems, it may also be a good idea to protect your investment by getting or extending a warranty.

Mistake #4: Ignoring the Vehicle History

You might not immediately recognize a car that’s had issues or been in an accident. It’s therefore important to check the vehicle history report. These records contain critical information about service, recalls, repairs and collisions. Those who skip this step could miss out on some important safety information that may prevent headaches in the long run. It’s always helpful to check the full vehicle history report with Carfax before buying any car, so you can know exactly what you’re getting.

Mistake #5: Buying More Than You Can Afford

The price of the car is not the only cost associated with driving. When you are financing your car, remember that you have to pay for car insurance, gas mileage, routine maintenance, repairs and vehicle registration. If you forget to consider these other costs, you may end up with a car that’s out of your budget.

Inspect the vehicle thoroughly to ensure that there is no structural damage that may affect its performance. You should also be on the lookout for cars with “salvage titles,” which means they were previously totaled in a serious accident, fire, or flood. In most cases, you want to steer clear of vehicles with salvage titles because they might still have hidden issues. Check the full vehicle history report with Carfax before buying a used car so you know exactly what you’re getting.

Check the Engine and Tires

A car is only as good as its engine. It is always a good idea to have a qualified mechanic check the used car to make sure you’re not buying a lemon. If you have to replace the engine, the car may end up costing you more money than it’s worth. It’s also important to double check the car’s tires. If they’re eroded, you may need to spend even more money to purchase a new set, which could easily cost hundreds of dollars. It may be a good idea to look into extended warranties to protect your vehicle against expensive repairs.

Access to Spare Parts

With a used car, you should expect that some of the parts will eventually need to be replaced. It’s important that you can find these parts on the market, otherwise you may end up paying more if they are not readily available. Try to opt for a vehicle that has accessible spare parts.

Some experts (including Phong Ly, CEO of used car website iSeeCars.com), recommend buying Japanese vehicles due to their reputation for reliability and customer satisfaction. With brands such as Toyota, Honda, Mazda, Nissan, and Mitsubishi, Japanese car makers typically provide reliable vehicles with accessible parts that can be easily replaced.

Check the Vehicle’s Documents

Verify the validity of the vehicle’s documents before finalizing any used car purchase. A mechanic may be able to help confirm the quality of the car if you have any doubts; if the seller is skeptical about letting a mechanic look at the vehicle, this may be a red flag.

If you’re at a new car dealership and you’re told that the vehicle is certified pre-owned, this usually means the car has already been thoroughly inspected and includes an extended factory warranty. In this case, you probably don’t need to take the car to your mechanic, since a certified pre-owned vehicle already meets certain standards.

It’s always a good idea to protect your investment. If you purchase a vehicle that isn’t certified pre-owned, you may want to extend the warranty to avoid paying for expensive repairs on your own.

First things first, it’s time to take out your notepad and favorite pencil, pen, or other writing utensil; it’s time to do some research! Do you know what is the minimum insurance requirement for where you live? Some states vary in insurance rates all over the place. It’s also important to know the, whether it is for comprehensive coverage or collision coverage. You could even use a usage-based plan. That way, your safe driving will lead you to discounts based on how much you drive rather a yearly premium. When you know what you are looking for let’s dig in!

The four major big brand insurance companies are always a good place to get an idea of your rate. These are Progressive, Allstate, Geico, and State Farm. Remember your rate is for you. Some people pay more or less but the reason is because they may have more collisions or possible safer drivers or so on. However always know that you are not limited to one company. So it may be worth looking into or investing in smaller insurance companies near you. Use the internet or look around in your area to find local insurance companies! Whatever it is, just don’t limit yourself.

Avoid falling for lines such as “someone else is interested in this vehicle”. Don’t be pressured into a purchase.

2. So Called Deal Bundles – Deal bundles, where the seller consolidates the vehicle sale with auto insurance and auto loans, may seem attractive at first, but often costs the buyer more in the long run. Use different organizations for different aspects of your car sales, eg. search for separate loan acquisition from car sales dealership, or from top providers online.

3. Quoting a Higher Price Based on Gender or Ethnicity – Unfortunately, even in this day and age, some dealers may quote women or minorities at higher prices simply due to bias.

4. Yoyo Financing – This is what happens when car buyers with bad credit are tricked into paying up to 5% more than they should. Buyers are normally informed that their financing has fallen through a few days after they have taken the vehicle. As a result, they finance at a higher rate. Nicknamed “yoyo financing” is the sudden change in pricing. Avoid it if you can’t make a car payment.

5. Overseas Car Buyers Sending Payment Via Paypal – Lastly, this scam is one to watch for if you’re buying from a long distance buyer. Here’s how the situation goes: 1) Buyer claims issues with freight company. 2) Buyer offers a higher price if the seller pays the freight cost. 3) Selling over Paypal allows them to pocket the money. Avoid paying through Paypal if you can help it and meet buyers face to face whenever possible.

Stay vigilant!