Opting for a leased car is an excellent way to drive a relatively new car without paying for the full price tag. What many motorists forget about leased vehicles is that they still need auto insurance in Hudson.
The state laws govern minimum requirements for all car owners, but the leasing companies, as the titled owners of the vehicles involved, get to dictate their own conditions. All leasing companies will demand that drivers have full coverage, comprehensive and collision, to pay for the car that is totaled or stolen. Comprehensive coverage pays for repairs after an accident, while collision protects the vehicle against damage from vandalism, natural disasters, and other potential causes for loss. In the fine print of your lease agreement, the lender will typically set a maximum deductible, too. Leasing companies may also ask for liability coverage beyond what the state wants, in order to protect the vehicle.
Most leases require a small down payment or, in many cases, none at all. That means vehicle depreciation will quickly outpace payments, leaving a huge gap of money if you're involved in a serious accident. Gap insurance is a must with a lease. In most cases, it's mandatory and is built into the lease, but it's always worth confirming that you have this coverage. Gap insurance pays only if the car is totaled, and if the car's actual cash value is less than the amount owed to the lienholder. If you have a choice, gap insurance is typically cheaper through your insurer than through the lender. Visit the professionals at Lofgren Agency to secure the right car insurance in Hudson, New York professionals today!
