1 / 28

Chapter 16

Chapter 16. Buying and Owning a Vehicle. 16.1 Buying a Vehicle Page 336. Can You Afford to Own a Vehicle? Purchase Price Depreciation Financing Other Costs. What Kind of Vehicle Should You Buy? Page 336. What will I use the car for?

Download Presentation

Chapter 16

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript


  1. Chapter 16 • Buying and Owning a Vehicle

  2. 16.1 Buying a VehiclePage 336 • Can You Afford to Own a Vehicle? • Purchase Price • Depreciation • Financing • Other Costs

  3. What Kind of Vehicle Should You Buy?Page 336 • What will I use the car for? • Do I need certain passenger and cargo capacities? Will I need to tow anything? • How many miles will I drive each year? • Will I use the vehicle more for short trips or long trips? • How long will I expect to keep the vehicle?

  4. Vehicle Size-Page 337 • What to consider about vehicle size? • Smaller, lighter vehicle usually gets better gas mileage but does not offer as much protection in a collision as a larger, heavier vehicle. • Smaller vehicles are easier to maneuver than larger vehicles, especially when parking • A larger vehicle provides a more comfortable ride but is usually more costly to operate. • A larger vehicle has a greater capacity for passengers and parcels.

  5. Optional Equipment-Page 337 • What is optional equipment? • Be aware, optional equipment will add to the cost of the vehicle.

  6. Leasing a Vehicle-Page 338 • What does it mean to lease a vehicle? • At end of lease, you must choose one of the following three options: • Return the vehicle and lease another one. • Purchase the vehicle at a cost determined at the start of your lease. • Return the vehicle with no obligations to either lease another vehicle or purchase the vehicle you returned.

  7. Leasing Cont.-Page 338 • Leasing is not for everyone. Most lease agreements limit how many miles you can put on the vehicle. Extra miles are likely to cost you an additional charge.

  8. Buying a used Vehicle-Page 339 • Warranty

  9. How Much Should You Pay-Page 339 • Blue-Book Prices

  10. Choosing a Used Vehicle-Page 339 • Good mechanical condition. • Was it ever involved in a collision, or needs repair. • When possible, talk to previous owner about condition of vehicle and previous maintenance service that has be done on vehicle.

  11. Choosing Used Vehicle Cont.-Page 339-341 • Outside and inside checks. • Test Drive-When test driving a vehicle, drive vehicle on a rough road at 25 mph and TURN RADIO OFF. The vehicle should not rattle or feel unsafe. • Have vehicle inspected.

  12. 16.2 Insuring a Vehicle-Page 342 Financial responsibility law • What is it?

  13. What is Vehicle Insurance-Page 342 • Premium—A specified amount of money you pay for coverage over a specified period of time, to the company.

  14. Liability Insurance-Page 342 • What is liability insurance? • Liability insurance is the most important type of insurance to have. • Protects the driver who caused the collision.

  15. Bodily-Injury Insurance-Page 342 • What is bodily insurance? • Insurance that covers the driver who is at fault against claims.

  16. Property-Damage Insurance-Page 342 • What is property-damage insurance? • Insurance that protects the driver who is at fault against claims for damages to another person’s property, up to specified limits.

  17. Medical Payment Insurance-Page 342 • What is medical payment insurance? • Insurance that pays medical expenses for bodily injuries sustained by occupants in an insured vehicle.

  18. No-Fault Insurance-Page 342-344 • What is no-fault insurance? • Insurance that is recovered from your own insurance company because of long delays in litigation no matter who is at fault.

  19. Chart on Page 343 • Collision Insurance-Drop after 7-10 years for new or expensive cars of ownership or when value of car no justifies cost of coverages. • Comprehensive Insurance-Drop after 7-10 years of ownership for new or expensive cars.

  20. Collision Insurance-Page 344 • What is collision insurance? • Insurance that covers you if you are at fault in a collision, or not able to collect from the person who is at fault. • What is a deductible? • The amount you agree to pay towards the repair or replacement of the vehicle.

  21. Comprehensive Insurance-Page 344 • What is comprehensive insurance? • Insurance that for pay for the replacement or repair of your vehicle if it is damaged for some reason other than a collision.

  22. Uninsured and Underinsured Insurance-Page 344 • What is uninsured insurance? • Insurance that protects you if you are struck by another vehicle whose driver has no insurance. • What is underinsured insurance? • Your insurance company will pay any costs that exceeds what the other person’s company will pay as a result of a collision.

  23. Insurance Rates-Page 344Factors that determine what you pay for Insurance • Driving Record • Age • Miles Driven • Driver Gender • Martial Status • Type of Vehicle • Where Driver Lives • Driver’s Claim Record

  24. Reduced Premiums-Page 346 • Good grades in school and in some cases drivers who have completed a driver education course. • No claims or convictions for three years. • Multiple vehicles insured under same policy. • Vehicles with certain safety features like airbags and antitheft devices.

  25. Assigned-Risk Insurance-Page 346 • What is assigned-risk insurance? • Insurance provides bodily injury and property damage liability coverage to high-risk drivers for a much higher premium. • Must drive violation free several years before can qualify for standard insurance.

  26. 16.3 Environmental Concerns-Page 347 • What are CFC’s • CFC stand for chlorinated fluorocarbon. • CFC’s are a freon gas located in the air conditioners units of vehicles. • CFC’s are effective in cooling air, but when freon is released into the atmosphere, they break down the atmosphere’s ozone layer.

  27. Mass Transportation-Page 349 • Mass transportation is also known as mass transit. • What are some forms of mass transportation? • Car pooling or van pooling.

  28. Alternative-Fueled Vehicles-Page 350 • What is an example of an alternative- fueled vehicle? • Solar-powered vehicles. • Capture light from the sun and transforms it into electrical power.

More Related