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ERIESENSE BLOG

How to Keep That New Car Feeling

Ah, there’s nothing like that new car feeling when you buy a car -- that distinct new car smell and the lush interior. The techy gadgets and the sweet sound system. But after you finish selecting all the options you want, there’s one more you might consider. And that’s a small add-on to your auto insurance policy.

Let’s say you get into an accident a week after buying your new ride. Cars do depreciate the minute they're driven off the lot. According to Carfax.com, new vehicles lose value at an average decline of 15-25 percent each year during the first five years. That means if your new ride gets totaled, your insurance payout could be much less than what you paid for the car (or what you owe on your loan, for that matter).

How ERIE can help

Erie Insurance offers a coverage endorsement called New Auto Security, and you can add it to your ERIE auto policy for a nominal increase in premium. If you’ve owned your car less than two years and it gets totaled, ERIE will reimburse you the cost to replace it with the newest model year (minus your deductible).

And if your new car is in an accident but it’s not a total loss, ERIE will pay to repair the vehicle without a deduction for depreciation. That’s good news for your wallet.  

Older cars are covered too

The endorsement from ERIE isn’t just for brand-new cars. Here’s another reason to add it to your policy: if you’ve owned your car longer than two years, ERIE will pay the cost to replace it with a model that’s two years newer. That means the coverage is good to have no matter what the age of your vehicle.

Plus, New Auto Security coverage isn’t restricted to when you buy the car or when you first insure it with ERIE, you can add it at other times too.

So don’t let worries over a possible accident ruin your new- (or used) car moments. Drive the car you love and rest easy knowing you’re a step ahead of depreciation with New Auto Security from ERIE. Talk to a local Erie Insurance agent today who can explain the details and give you a quote.

A vehicle is considered new when it is less than two years old. Eligible vehicles must carry both comprehensive and collision coverage and replacement must be made with a comparable model. The endorsement is sold on a per-vehicle basis, not per policy, and contains the specific details of the coverages, terms, conditions and exclusions. Coverage is not available in all states. Please refer to our disclaimer and talk to an ERIE agent for policy details.

Ah, there’s nothing like that new car feeling when you buy a car -- that distinct new car smell and the lush interior. The techy gadgets and the sweet sound system. But after you finish selecting all the options you want, there’s one more you might consider. And that’s a small add-on to your auto insurance policy. /blog/new-auto-security-add-on Erie Insurance https://www.erieinsurance.com/-/media/images/erieinsurance/erieinsurancelogo.png

ERIE® insurance products and services are provided by one or more of the following insurers: Erie Insurance Exchange, Erie Insurance Company, Erie Insurance Property & Casualty Company, Flagship City Insurance Company and Erie Family Life Insurance Company (home offices: Erie, Pennsylvania) or Erie Insurance Company of New York (home office: Rochester, New York).  The companies within the Erie Insurance Group are not licensed to operate in all states. Refer to the company licensure and states of operation information.


The insurance products and rates, if applicable, described in this blog are in effect as of June 2018 and may be changed at any time. 


Insurance products are subject to terms, conditions and exclusions not described in this blog. The policy contains the specific details of the coverages, terms, conditions and exclusions. 


The insurance products and services described in this blog are not offered in all states.  ERIE life insurance and annuity products are not available in New York.  ERIE Medicare supplement products are not available in the District of Columbia, New York and Wisconsin.  ERIE long term care products are not available in the District of Columbia and New York. 


Eligibility will be determined at the time of application based upon applicable underwriting guidelines and rules in effect at that time.


Your ERIE agent can offer you practical guidance and answer questions you may have before you buy.