Fred had worked hard for several years. He had a nice small business that was growing and a comfortable home and almost enough saved to put both kids through college.
One day he purchased a used car from a friend for his son to drive. It was during the busy part of his season and he was covered up with work. He thought any car he purchased would be automatically covered on his insurance for the first 30 days.
His son took the car out and decided to let his friend drive it. The friend drove carelessly and caused a terrible accident. Two people in the other car were seriously injured and one died.
The others involved were treated and released. Fred called the insurance company to report everything and found out he was not covered. He had owned the car only 20 days and thought he was covered. His agent informed him that he was covered for only 15 days automatically. Fred had not yet called and added the new used car to his policy.
Needless to say lawsuits followed. Fred lost his business, his home, his money for the kid’s college tuition and almost had to serve time in jail. All because he got too busy to take care of important matters like car insurance. He assumed he was covered when he was not.
That does not have to happen to you. Car insurance is very important and not to be taken lightly. It can be your best friend when you need it. Do not assume. Be familiar with your policy and how it works. Ask your agent anything you are unclear about.
And make sure you are covered at all times. Find out how many days you are automatically covered when you purchase a vehicle. Go over your policy and make sure of everything. Don’t let what happened to Fred happen to you.