03.08.10
/PRNewswire/ -- With household budgets tight, some consumers may be anticipating the next car insurance payment with a bit of anxiety. The prospect of having to pay a relatively large lump sum for three, six or twelve months of coverage could be making 30-day installment payments look like a smart way to hold on to a bit of cash. OnlineAutoInsurance.com advises consumers to consider both the short- and long-term implications before switching to a plan with smaller payment intervals.In the short term, the clearest advantage of paying monthly is the ability to locate a company that will offer low down payment auto insurance and continue coverage by putting in place a monthly installment plan. Paying up front for six months or a whole year of coverage for a family with multiple vehicles or high-risk drivers could prove daunting, and spacing that cost out into a monthly installment plan may be the best way to go for consumers in this situation. Another advantage to using smaller payment intervals is the flexibility afforded to the auto insurance consumer; the driver paying in 30-day installments would not have to wait such a long period of time for a premium refund in the event of cancellation of the policy.
Source: PR Newswire (press release)
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