North Dakota car insurance customers are given two options when it comes to paying for their coverage. They can pay for their coverage on a monthly or annual basis. Each choice has its advantages and disadvantages, and there is no one solution that is right for everyone.
Paying for car insurance coverage on a monthly basis is a convenient way to pay for coverage. For many people, having to come up with the full amount of their car insurance premium for the year at once would be difficult, if not impossible. Spreading the payments out over the year is much easier to manage.
Choosing this option can be more expensive than paying for a year’s worth of coverage at once, though. The customer may be charged administrative fees to cover the extra cost of processing multiple payments when the monthly payment plan is chosen.
Paying for the North Dakota car insurance once a year means that the customer avoids the extra charges that are added to the bill when the payments are being made monthly. A seasonal worker who receives a lump sum payment when a work term is finished may want to consider this option, since he or she may find it challenging to make payments throughout the year.
The annual payment option does make switching insurance companies a bit more challenging, since the customer will need to seek a refund for unused premium if they wish to make a change partway through the term.