You’ve probably seen commercials recently stating the driver had an accident, his new vehicle was totaled and his insurance company did not give him enough money to buy a new car. This is actually typical of insurance companies. They pay the current value of the car.
You’ve probably seen commercials recently stating the driver had an accident, his new vehicle was totaled and his insurance company did not give him enough money to buy a new car.
This is actually typical of insurance companies. They pay the current value of the car. I’m sure you’ve heard people say cars depreciate the minute you drive them off the lot. That may be an exaggeration but it’s true that the depreciation begins pretty quickly.
Erie offers an endorsement to provide you with a new car if your new car is totaled within the first two years of purchase or lease.
If you have full coverage and the New Auto Security Coverage Endorsement and you are the original owner of the vehicle, they will pay to replace your vehicle with a new similar vehicle.
This endorsement also includes GAP coverage. If your new vehicle is totaled, Erie will pay the unpaid amount due on the lease or loan. This does not include any money you may have rolled over from a previous loan or any payments that were due before the accident occurred.
Erie Auto Plus is another great endorsement. This endorsement provides for a diminishing deductible. Your deductible is reduced by $100 for every year you do not have a claim up to $500.
Additionally, this endorsement waives your auto deductible if your home and auto are damaged by the same incident. If there is a hail storm that damages your home and your car and Erie pays on the claim on your home, there is no deductible accessed on the claim for damage to your car.
Normally, once it has been determined that your car is a total loss, Erie only lets you keep your rental car for about 3 days. Erie Auto Plus extends that time to allow you to keep the rental car for up to ten additional days not to exceed the maximum coverage provided by your policy.
If you are on vacation and your car breaks down and you have to spend the night in a hotel, your Erie auto policy already provides up to $75 a day for emergency travel costs. This endorsement increases that amount to $150 per day.
Give our office a call to get more information about these endorsements.
The Agent Insurance Services