How Inspections Impact Your Car Insurance Premiums

In most cases, auto insurance companies work with inspection agencies to finalize insurance rates for drivers. The inspection services provide insurers with access to photos from a car inspection they performed. Insurance companies use photo inspections to assess the status of different vehicles and to adjust coverages or finalize claims.

Are Inspections Required to Obtain Car Insurance?

Some insurance companies do require an inspection, while others only require an inspection if you have filed a claim. Generally, brand new cars are exempt from inspections. If you have purchased a used car and you want to get full coverage, your insurer may inspect the car before finalizing coverage. Insurance companies require inspections to help reduce fraud. If you add collision and comprehensive insurance to a used car, your insurer may deny any claims until the vehicle has been inspected. Having your car inspected is also beneficial because it helps make sure that your insurance will cover any potential issues. Remember that filing a fraudulent claim could lead to your insurer canceling your policy.

State Required Inspections

Each state has different guidelines in regard to auto insurance requirements. Many states mandate that you have to have car insurance in order to pass an inspection. If you are applying for a discount, your insurer may require your vehicle to pass an inspection before adding the discount to your policy. State-required inspections are mandatory before a vehicle is registered through the DMV. The goal of state-required inspections is to make sure that the vehicle is safe to drive and not a threat to other drivers on the road. Some of the states that do not require vehicle inspections include Florida, Michigan, South Carolina, Wyoming, and Montana.

General Cost of an Inspection

The cost of a car inspection varies greatly according to the location. The average cost of an inspection is around $30. Each state has a different licensing process, which impacts the price. It’s recommended that you contact your DMV to learn more information.

What Items Are Required to Get an Inspection?

In order to get a vehicle inspection, you will need the title, an inspection form, proof of insurance, and your driver’s license. It’s recommended that you contact the DMV or your insurer so that they can give you a list of approved inspection locations. Vehicle inspections are often performed at repair shops and gas stations.

Why Are Inspections Important?

Vehicle inspections are important because they reduce the number of accidents caused by faulty cars, as well as the number of insurance claims. Research shows that vehicle inspectors help improve road conditions for everyone by pinpointing faulty brakes, windshield wipers, and other issues before they become significant problems. Vehicle inspections are also beneficial because they help lower car insurance premiums by reducing the number of fraudulent claims being filed. If you fail your inspection, you may be fined if the issues aren’t repaired in a timely manner. Some of the common issues that lead to failed inspections include fuel leaks, horn damage, steering issues, and mirror damage.

Cover Your Car with Premier Risk, LLC

In most cases, inspections have direct ties to car insurance rates. If you own a used car, your insurer may require you to have your car inspected in order to prevent a future issue down the road. Car inspections are relatively inexpensive and can help you save money on auto insurance premiums in the long run. If you have any questions, contact the Premier Risk, LLC team, and we will assist you.