Wish you could get a refund on an expensive car insurance policy? Trust us, many consumers are feeling buyer’s remorse and feel like there’s no way out. Due to the large number of online and local companies to choose from, it is hard for the average consumer to locate the lowest cost car insurance provider.
You should make it a habit to compare prices at least once a year because car insurance prices go up and down regularly. Even if you think you had the best deal on Elantra coverage a couple years back you can probably find a better rate quote now. There is a lot of wrong information about car insurance out there, but we’re going to give you some great ideas on how to quit paying high car insurance rates.
When buying car insurance it’s important to understand some of the factors that aid in calculating your policy premiums. When you understand what determines base rates, this empowers consumers to make smart changes that can help you get cheaper rates.
The items below are most of the major factors car insurance companies consider when setting your premiums.
There are a variety of methods to compare car insurance quotes, but one way is more efficient than others. You can spend your afternoon talking about coverages with insurance companies in your area, or you could save time and use online quoting to get prices fast.
Most of the best insurance companies take part in a program that enables customers to enter their policy data once, and at least one company returns a rated price based on that information. This saves time by eliminating quotation requests to every company.
To find out what other companies charge click here to open in new window.
The only downside to using this type of system is that consumers can’t choose the companies to get pricing from. So if you prefer to pick specific insurance companies to compare prices, we have a page of companies who write car insurance in your area. Click here for list of insurance companies.
Compare rates however you want, just be sure to compare the same coverages for each price quote. If you enter different data then you won’t be able to determine which rate is truly the best.
Consumers constantly see and hear ads that promise big savings from companies such as 21st Century, Allstate and State Farm. All the ads advertise the message that you can save just by moving your policy.
That’s great but how can every company give you a lower rate? Just pay attention to how they say it.
All companies can use profiling for the type of customer that will add to their bottom line. For example, a profitable customer could be over age 30, carries full coverage, and insures a new vehicle. A customer who matches those parameters will probably get cheap prices and have a good chance to save quite a bit of money when switching.
Drivers who may not quite match this ideal profile must pay higher rates which results in the customer not purchasing. The wording the ads use say “customers who switch” but not “all drivers who get quotes” can get the lowest rates when switching. That’s the way companies can lure you into getting a quote.
This really drives home the point why you need to do a price quote comparison at every renewal. It’s just not possible to know the company that will fit you best based on your risk profile.
Some providers don’t list every available discount very clearly, so we break down both the well known and the harder-to-find ways to save on insurance.
Discounts reduce rates, but you should keep in mind that most credits do not apply to the entire cost. Most only reduce specific coverage prices like physical damage coverage or medical payments. If you do the math and it seems like all the discounts add up to a free policy, companies don’t profit that way. But any discount will lower your insurance premiums.
A few popular companies and some of the premium reductions they offer are detailed below.
When getting a coverage quote, ask every prospective company which discounts they offer. Discounts may not apply in your area. To see a list of providers that offer many of these discounts, follow this link.
When it comes to choosing the right insurance coverage, there is no best way to insure your cars. Everyone’s situation is unique so this has to be addressed. Here are some questions about coverages that may help you determine if you might need an agent’s assistance.
If you can’t answer these questions but one or more may apply to you, you may need to chat with a licensed insurance agent. To find an agent in your area, simply complete this short form or you can go here for a list of companies in your area. It is quick, free and can help protect your family.
Having a good grasp of your car insurance policy can help you determine the best coverages at the best deductibles and correct limits. The coverage terms in a policy can be ambiguous and reading a policy is terribly boring. Listed below are the usual coverages offered by car insurance companies.
Liability coverage
This can cover damage that occurs to other’s property or people that is your fault. It protects YOU from claims by other people. It does not cover damage sustained by your vehicle in an accident.
Coverage consists of three different limits, per person bodily injury, per accident bodily injury, and a property damage limit. You might see values of 50/100/50 that means you have a $50,000 limit per person for injuries, a total of $100,000 of bodily injury coverage per accident, and property damage coverage for $50,000. Another option is a combined single limit or CSL which provides one coverage limit rather than limiting it on a per person basis.
Liability coverage pays for claims like emergency aid, funeral expenses, court costs and repair bills for other people’s vehicles. The amount of liability coverage you purchase is a decision to put some thought into, but consider buying as much as you can afford.
Medical expense coverage
Personal Injury Protection (PIP) and medical payments coverage reimburse you for short-term medical expenses for things like nursing services, funeral costs, doctor visits and prosthetic devices. The coverages can be used to fill the gap from your health insurance plan or if you lack health insurance entirely. They cover you and your occupants in addition to being hit by a car walking across the street. PIP coverage is only offered in select states and may carry a deductible
Collision insurance
This coverage pays to fix your vehicle from damage resulting from a collision with an object or car. You will need to pay your deductible then your collision coverage will kick in.
Collision coverage pays for things such as crashing into a ditch, sustaining damage from a pot hole and colliding with another moving vehicle. This coverage can be expensive, so consider removing coverage from vehicles that are older. It’s also possible to choose a higher deductible to get cheaper collision coverage.
Comprehensive protection
This pays for damage from a wide range of events other than collision. You first must pay your deductible then your comprehensive coverage will pay.
Comprehensive can pay for claims such as a tree branch falling on your vehicle, rock chips in glass, damage from a tornado or hurricane and falling objects. The maximum amount you can receive from a comprehensive claim is the cash value of the vehicle, so if your deductible is as high as the vehicle’s value it’s not worth carrying full coverage.
Uninsured or underinsured coverage
This coverage provides protection when the “other guys” either are underinsured or have no liability coverage at all. It can pay for injuries sustained by your vehicle’s occupants and also any damage incurred to your Hyundai Elantra.
Because many people only carry the minimum required liability limits, it only takes a small accident to exceed their coverage. That’s why carrying high Uninsured/Underinsured Motorist coverage should not be overlooked. Most of the time the UM/UIM limits are similar to your liability insurance amounts.
While you’re price shopping online, don’t be tempted to reduce coverage to reduce premium. In many cases, drivers have reduced comprehensive coverage or liability limits and learned later they didn’t purchase enough coverage. The goal is to get the best coverage possible at the best price and still be able to protect your assets.
You just read quite a bit of information on how to reduce 2002 Hyundai Elantra insurance prices online. The key concept to understand is the more rate comparisons you have, the better likelihood of getting cheaper insurance coverage. Drivers may discover the lowest prices come from a lesser-known regional company. Some small companies may have significantly lower rates on certain market segments than the large multi-state companies such as Allstate and Progressive.
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