When to drop collision insurance? You might be thinking of replacing your older car and saving money on collision insurance. Although it might seem sensible to drop collision coverage, you may not be sure if it is the right choice for you and your car. Talk to your agent about the best move for you. Collision insurance protects you car from any damage. You don't want it to be too expensive. These are the top reasons to make sure you have collision coverage on your car.
10% rule
If you're planning to drop collision insurance, there are several reasons to consider. Firstly, you'll save money in the long run. A 10% discount can save you hundreds of dollars every year, depending on the value of your car. This is because most collision insurance premiums do not exceed 10% of the car's value. It is therefore not worth paying more for collision or comprehensive insurance if your car has a market value of $400.
Your tolerance for failure
Consider your tolerance for risks before you decide to get rid of collision insurance. Do you like the idea of losing all your possessions? Are you afraid of hitting ice or deer? Are you able to set a time frame for reaching your goals? These questions will help guide you in making the best decision. It is also important to consider your financial stability in order to be able to afford the potential of a car crash. This decision will depend upon your personal risk tolerance level and the value your car.
Your car's age
Age determines when to cancel collision coverage. You might have used mileage and age to decide in years past. However, not all cars lose their value. It may still be worth paying collision coverage even though you no longer drive them. A $10,000 car, which is 10+ years old, is likely to be worth the cost of collision insurance even though you don't drive it very often.
Your annual premiums
The type of coverage you select will impact the amount that you pay annually for collision and comprehensive insurance. For your premiums to be determined, insurance companies often use information such as your credit history or any previous accidents. You should check your credit report for accuracy. Your credit score could be affected by a judgment, bankruptcy, late payment, liens, or other financial problems. The same applies to multiple credit inquiries. Your premiums may increase.
Your deductible
When should you stop collision insurance? The 10% rule doesn't have to be followed. Your car's value will decrease over time, in addition to your deductible. High premiums for collision coverage can mean that you are overpaying to cover the actual risk. To avoid this, consider dropping collision insurance if you no longer have a loan or lease on your vehicle.
FAQ
What is the distinction between a mechanic or an automotive technician?
The two are similar but not identical. An automotive technician maintains cars, while a mechanic repairs them.
A mechanic must be skilled in manual dexterity and able to complete simple tasks quickly. A mechanic should also be able accurately diagnose and repair problems.
An automotive technician must be more technically proficient than a mechanic. They need to be able use tools such drills and wrenches, and read blueprints.
They must be able and competent to safely perform complicated procedures. They must also be familiar with different types of engines and electrical systems.
They must also be able to understand how various parts interact with each other.
As a result, a mechanic usually earns less money than an automotive technician. Both careers have many options.
What are the requirements for an automobile technician?
High school graduation or GED is required with excellent grades in English and math. It is also necessary to be able both to read and to write. After passing a written test, you will need to complete a series of practical tests before you are allowed to begin working.
To be a car mechanic, do you need a degree? Can I do part-time studies?
It is not essential, but it is helpful. Employers will prefer candidates who have completed a degree. This shows you have put in the work and achieved success.
However, it doesn't mean you can't still work while studying. Some universities let students complete their coursework in the summer and then continue their studies during the school year. Others allow students to study part-time all year.
What kind of car mechanic jobs exists?
There are three main areas of employment for car mechanics:
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Automotive repair shops
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Dealerships
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Independent garages
Automotive repair shops
This is the place most people begin to consider becoming mechanics. In fact, it's probably the easiest way to get started. You can either work at a shop owned by someone else or set up your own business.
If you choose to work at a store, you need to join a union. After being accepted into the union, the union will provide training.
After completing the training, you'll be ready to start work.
If you plan to open your own garage you will need to register with government. After you have registered, you will need to meet certain standards.
You will receive a license to run your garage once you have registered.
Your license will allow you to sell spare parts and do minor repairs. It won't allow you to fix major engine problems.
You will be expected to sell spare parts and also offer guidance and advice to customers.
Dealership jobs
Most dealerships employ mechanics who can specialize in a particular area of the car. They might be able to only fix brakes or replace tires.
However, some dealerships also hire general mechanics who can handle all aspects of car repairs.
Some positions require that applicants complete training before they can be allowed to work. This allows employers to pick the right candidates for their jobs.
Some dealerships hire students straight out of college. These graduates are already familiar with basic mechanics and can therefore learn about cars.
Independent garages
Independent garages don’t have to be associated with any particular dealer. They are more focused on providing top-quality service.
Independent garages are not associated with any companies so they can afford higher wages. Because these jobs don't have to be associated with any company, they can generally offer better wages than dealerships.
Independent garages can be just as good places to work, but this does not mean they are better. Many owners prefer to control their businesses themselves, rather than delegating it to employees.
It is possible to work long hours, but not have any control over the day.
Additionally, you should expect to earn lower wages if employed by a dealership.
It's possible to switch between jobs. It is possible to switch between different types of jobs if your current employer would prefer you to work at a dealer.
Alternativly, you can apply directly to the garage owner if you are interested in working at an independent garage.
Unfortunately, finding a new job can be difficult. There are many factors that affect how much you make.
Consider, for example, what type of vehicle you are repairing and whether additional labor charges will apply.
What does it matter which college I attend?
Not really. There is no difference in the programs offered by colleges for getting into automotive work. However, some schools offer better programs than others so if you're looking for something more specialized, look elsewhere.
Statistics
- There were 749,900 jobs available for automotive service technicians and mechanics in 2016, which is expected to grow by six percent through 2026. (jobhero.com)
- The U.S. Bureau of Labor Statistics (BLS) reports that the job outlook for automotive service technicians and mechanics is expected to decline by 4% from 2019 to 2029. (indeed.com)
- According to the BLS, total auto technician employment is expected to exceed 705,000 by 2030. (uti.edu)
External Links
How To
How to Become an Auto Technician
An automotive technician performs repairs and maintains vehicles. He/she works in car dealerships as well as auto shops, garages, and service centers. He/she repairs cars, trucks, motorbikes and snowmobiles for customers. An automotive technician must have the ability to quickly diagnose and fix problems.
An associate degree should be obtained from a vocational school if you wish to work as an auto technician. After completing this program, he/she must pass the National Institute for Automotive Service Excellence (ASE) certification exam. ASE stands for American Society of Mechanical Engineers. Two sections make up the ASE certification examination. One section tests knowledge of mechanical components, while the other section tests skills in practical areas. You will need to attend an authorized testing site in order to pass the test. These locations can be found online or at your local auto dealer.
A candidate must pass the state exam after passing the test to become an automotive technician. The process will vary depending on where an applicant lives. Some states require candidates to complete a training program, while others let them study on their own. Some states require technicians to be licensed immediately upon receiving their license. Other states wait until they have been employed as automotive technicians for at least six month.
To become an automotive technician, one must apply at a local dealership. Once hired, most new employees start out working as apprentices. Apprenticeship programs last about three years. A student will learn to repair basic things like changing oil, adjusting brakes or replacing tires. They also learn how spark plugs are cleaned and inspect engine compartments. Some students learn how to do advanced repairs, such as installing air filters, replacing shocks, repairing engines, and replacing transmission fluids. Schools offer classes during business hours. However, there are some schools that offer evening classes for those who need them.
Once a student finishes his/her apprenticeship, it is possible to become a Journeyman. Journeymen usually spend four to five year learning how to install major systems like transmissions, differentials steering gear, suspensions, drive shafts, and steering gear. They also learn to perform complex repairs, such as remanufacturing engines, rebuilding transmissions, and troubleshooting electrical components. Because they have a good understanding of the job and what customers expect, many employers prefer to hire journeymen.
After passing the exams, candidates may be eligible to open their own shop if they pass all requirements. According to the Bureau of Labor Statistics in 2010, nearly 1.7 Million automotive mechanic jobs were available. The Bureau of Labor Statistics predicted that this number would rise by 18% from 2009 to 2020. When a candidate plans to open his/her own shop he/she should be ready to invest thousands of dollars in equipment.
The salary of an automotive technician will depend on many factors including where you live, your education level, experience and the type of employer. A jobless person could make an average of $20,000 annually. A person with only a high-school diploma could make around $21,000 annually. A bachelor's degree is equivalent to approximately $24,000 annually. Technicians with bachelor's degrees earned about $27,000 per year. And those with master's degrees made around $32,000 per year. Salaries are increasing so that a professional earning less than $30,000 could expect to make $40,000 in a few years.