What happens to your insurance when you pay off your car?
I just paid off my 2017 Mitsubishi Mirage. Will my insurance rate go down since I no longer have a car loan? Will there be any other changes to my policy?
rate won’t change simply because you paid off your vehicle. However, most people choose to lower their insurance from full coverage, which is required by lenders, to
or liability only. A general rule is that if your annual insurance payment is 10% of the value of the car or more, you should switch to liability only.”
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