It’s not something we like to think about too much for obvious reasons. Crashes are always expensive, never fun, and often cause bodily harm. But keeping your head in the sand isn’t the right way to deal with them. Statistics show that drivers are likely to get in at least two crashes in their lifetime. They might not all be serious, but even light collisions have the habit of doing damage that can cause huge ripples in your life, financially and otherwise. So, how do you prepare for the bump your wallet will take when your car takes a bump?
Expect it
The first tip is to be well-aware of the fact that a crash might be coming. That acknowledgement is an important part of starting off your preparations. Chief amongst those preparations is the need for some sort of emergency savings fund. These emergency savings can help cover not only the costs of car repair but should enough to tide you over through a potential inability to work for some time. You might seek legal reparations for an accident that isn’t your fault, but you need to be able to cover yourself while waiting for the results your finances need. If you’re not proactive in preparing, then you’re going to get caught off guard.
Look at that insurance
A lot of people think that their insurance is going to save them no matter what. However, that is not always the case. For instance, if you have property damage liability coverage, that doesn’t mean you get any coverage for damage done to your car. It only covers any damage you’ve done to someone else’s. To make sure you’re covered, look over your agreement and ensure that you have collision coverage. If you want to add collision coverage, but you’re worried about how much it will add to your costs, then take a look at other clauses that you might not necessarily need. For instance, most cars worth under a certain amount might not necessarily need the theft protection policies of comprehensive agreements.
Know your lifelines
Sometimes, you don’t want to take the hit to your insurance. It might actually cost less in the long-run to take the bump yourself. If you don’t have enough emergency funding prepared, however, then what are the steps you can take to make sure you don’t have to wait for several paydays to be able to afford any repairs involved? The truth is that there are plenty of options. One of the fastest available is taking out one of the many available same day loans. Many garages will also offer a finance agreement in-house, but you had better ensure you read the agreement beforehand and compare it to other available loans. Don’t let yourself be pressured into a decision on the spot.
Know the fact you’re likely to be involved in an accident at some point. Know what options are available to you. Know whether or not your insurance is going to fully cover the costs. Don’t let your finances be caught unawares by your next accident.