An installment fee is the small per-payment charge you make on your home insurance premium. The fee covers the cost of the service of processing additional payments on a monthly, quarterly or semi-annual basis. Most insurance companies charge this fee unless you pay the policy in full each year. Installment payments are another consideration when choosing an auto insurance payment plan.
Credit card companies and financial institutions often charge a fee for processing payments, and many insurance companies recover it by adding an installment fee to your monthly bill. These installment fees are generally small, but they are not regulated either. An insurance company can set their own fee amount, even if the installment fee is higher than what they are being charged to process their payment. During your progressive quote, you won't be able to select car insurance coverages that don't apply to you.
If you lend your car to someone and that person causes an accident, Progressive may cover some of the damages they are responsible for. In addition, if your policy includes car rental reimbursement and your car is damaged in a covered accident, Progressive will pay the rent (up to a specified limit and term) while your own car is repaired. Bankrate has broken down the pros and cons of dividing your car insurance premium into monthly installments so you can decide which payment plan option is best for you. However, the vehicle must be regularly parked at your residence overnight for Progressive to insure it in your policy.
Leave Reply