Arlington drivers might be able to save significantly by leasing a car from a Texas auto dealer. However, you will need to factor in the cost of auto insurance when deciding whether to buy or lease a car. Here are a few types of insurance that you might need if you change from buying a vehicle to leasing a vehicle.
By Texas law, you are required to purchase liability insurance whether you decide to purchase or lease a vehicle. But keep in mind, if you lease a vehicle, you will likely have to purchase liability coverage above the state minimums. Be sure to inquire with the dealer to determine what these minimums are before you sign the lease.
Collision and Comprehensive Coverage
While liability coverage is mandatory for all drivers, collision and comprehensive coverage are optional. However, if you lease a vehicle, your dealer might require you to carry both forms of coverage. Collision and comprehensive coverage extend beyond the protections of liability insurance by providing coverage for body damage, theft, and vandalism.
If you decide to lease a vehicle, it is strongly recommended that you consider adding gap coverage to your insurance policy. If you completely total your vehicle or it is stolen before your lease expires, gap insurance steps in to reimburse you for the full amount left on your contract. Gap insurance is useful because it prevents you from being shortchanged after an accident.
How an Independent Agent Can Help
Don’t let these extra insurance requirements scare you away from leasing a vehicle. Even if you plan on buying a vehicle, it is always a good idea to obtain additional forms of coverage through collision or comprehensive plans. If you contact us today, an independent agent can help you obtain coverage for your leased vehicle that is comparable to the cost of insuring a purchased vehicle.