Phoenix - Pranks and trickery have no place in the insurance world, but even making an honest insurance mistake can cost consumers.

Its easy to be fooled by insurance when you dont have a relationship with a trusted agent, said Brad Oltmans, vice president of insurance services for AAA Arizona. Always read your policys fine print, and work with a trusted and reputable insurance agency to make sure mistakes arent made and you understand your coverages.

Here are five things to avoid with auto insurance:

Dont lie to the car insurance company: Some drivers will lie about who drives their car, what they use the car for and where they keep it to get a lower rate. If the truth comes to light, it could put their coverage in jeopardy. Also, not updating a policy if you move, add drivers or change cars could result in additional problems.

Dont be clueless: Some people say they have full coverage, but that term means something different for many people. Also, some coverages are not automatically included and need to be added. An agent can advise consumers on their insurance needs.

Dont drop coverage to save money: Many consumers opt for a deductible as high as $1,000, but they cant afford it when an crash occurs. Sure, they might save a few dollars in the short term, but if they ever need it, can they afford to pay their share?

Dont do the bare minimum: According to Arizona law, motorists must carry only liability insurance. When they only buy the minimum insurance requirements, however, theyre putting their entire financial future at risk. Many policyholders also drop collision and comprehensive coverage for older vehicles. But if they cant afford to pay for costly repairs or buy a new car, it may be more prudent to buy the coverage.

Dont stay in the dark: Insurance is complex. Dont wait until youre in a crash and need to have your insurance agent explain your policy. Go over terms and exclusions ahead of time so there arent any surprises and dont be afraid to ask questions.

AAA Arizona offers automotive, travel, insurance, gas and traffic safety products, tools and resources. To receive a free auto, home or life quote, call 1-866-298-1232 or visit AAA.com/insurance.   back...
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