Trying to come up with a payment for pricey insurance coverage can bottom out your accounts and put the squeeze on your family’s finances. Price shopping at each renewal is recommended to cut your insurance bill.
Since drivers have many options when it comes to insurance coverage, it can be diffult for people to find the best insurance coverage provider.
This article will let you in on how car insurance quotes work and some tips to save money. If you currently have a car insurance policy, you will most likely be able to lower your premiums substantially using this information. But consumers do need to learn the way companies determine prices and take advantage of how the system works.
There are several ways to compare rate quotes from local insurance coverage companies. One of the best ways to do a complete rate comparison is to use the internet to compare rates. It’s really quite simple and can be done by using one of the methods below.
The simplest way consumers can make multiple comparisons would be an industry-wide quote request form click here to open form in new window. This method saves time by eliminating separate quotation requests for every prospective company. Completing one form gets rate comparisons instantly.
A different way to find lower rates consists of visiting each company website and request a quote. For sake of this example, let’s say you want to view quotes from Nationwide, Allstate and Travelers. To do that, you would have to spend time on each company’s site and repeatedly type in your coverage information, and that explains why we recommend the first method. For a handy list of car insurance company links in your area, click here.
Compare rates however you want, just ensure you’re using the exact same quote information on every quote. If you compare different data you will not be able to make a fair rate comparison. Just a small difference in limits may result in large price differences. And when comparison shopping, quoting more will enable you to find lower pricing.
Companies don’t always publicize every policy discount in a way that’s easy to find, so here is a list both the well known and also the lesser-known discounts you could be receiving when you buy auto insurance online.
It’s important to note that most discounts do not apply to the entire cost. Some only reduce individual premiums such as medical payments or collision. Just because you may think having all the discounts means you get insurance for free, companies wouldn’t make money that way.
A few popular companies and some of the premium reductions they offer include:
When comparing rates, check with every insurance company to give you their best rates. Some credits may not apply to policyholders in your area. To see companies that have a full spectrum of discounts, follow this link.
When it comes to choosing the right insurance coverage, there really is not a single plan that fits everyone. Everyone’s needs are different and a cookie cutter policy won’t apply. Here are some questions about coverages that might point out whether your personal situation may require specific advice.
If you don’t know the answers to these questions, then you may want to think about talking to a licensed agent. If you don’t have a local agent, fill out this quick form or you can also visit this page to select a carrier
Many factors are part of the equation when quoting car insurance. A few of the factors are predictable such as traffic violations, but others are less apparent like where you live or how financially stable you are.
Listed below are some of the factors auto insurance companies consider when setting prices.
Having a good grasp of a auto insurance policy helps when choosing the right coverages and proper limits and deductibles. The terms used in a policy can be ambiguous and even agents have difficulty translating policy wording. Shown next are the normal coverages found on the average auto insurance policy.
Collision insurance
This coverage pays to fix your vehicle from damage from colliding with another car or object. You will need to pay your deductible then the remaining damage will be paid by your insurance company.
Collision coverage pays for things like sustaining damage from a pot hole, backing into a parked car and crashing into a ditch. Paying for collision coverage can be pricey, so analyze the benefit of dropping coverage from vehicles that are 8 years or older. It’s also possible to choose a higher deductible to save money on collision insurance.
Comprehensive (Other than Collision)
Comprehensive insurance coverage covers damage OTHER than collision with another vehicle or object. You first have to pay a deductible and then insurance will cover the rest of the damage.
Comprehensive coverage pays for claims such as rock chips in glass, damage from flooding, a tree branch falling on your vehicle and theft. The maximum amount you can receive from a comprehensive claim is the actual cash value, so if it’s not worth much more than your deductible consider removing comprehensive coverage.
Protection from uninsured/underinsured drivers
Uninsured or Underinsured Motorist coverage gives you protection when other motorists either have no liability insurance or not enough. Covered losses include hospital bills for your injuries and damage to your 2004 Pontiac Aztek.
Since a lot of drivers only carry the minimum required liability limits, their liability coverage can quickly be exhausted. So UM/UIM coverage is important protection for you and your family. Normally the UM/UIM limits are set the same as your liablity limits.
Medical expense insurance
Personal Injury Protection (PIP) and medical payments coverage kick in for expenses like surgery, prosthetic devices, EMT expenses and funeral costs. They are often utilized in addition to your health insurance policy or if you lack health insurance entirely. Medical payments and PIP cover you and your occupants and will also cover getting struck while a pedestrian. Personal Injury Protection is not an option in every state but can be used in place of medical payments coverage
Liability car insurance
Liability coverage protects you from damages or injuries you inflict on a person or their property in an accident. It protects you against other people’s claims. Liability doesn’t cover your injuries or vehicle damage.
Coverage consists of three different limits, bodily injury for each person injured, bodily injury for the entire accident and a property damage limit. Your policy might show limits of 50/100/50 which means a limit of $50,000 per injured person, a total of $100,000 of bodily injury coverage per accident, and a total limit of $50,000 for damage to vehicles and property. Some companies may use one limit called combined single limit (CSL) which combines the three limits into one amount and claims can be made without the split limit restrictions.
Liability can pay for claims such as medical services, bail bonds and funeral expenses. How much liability coverage do you need? That is up to you, but consider buying as large an amount as possible.
As you shop your coverage around, don’t be tempted to reduce coverage to reduce premium. There are a lot of situations where an insured dropped liability coverage limits only to find out that their decision to reduce coverage ended up costing them more. The goal is to buy enough coverage for the lowest price, but don’t skip important coverages to save money.
We just presented a lot of ways to lower your 2004 Pontiac Aztek insurance prices. It’s most important to understand that the more times you quote, the better your chances of lowering your rates. You may even find the best prices are with a lesser-known regional company. Some small companies may only write in your state and offer lower rates compared to the large companies like State Farm, GEICO and Nationwide.
Cheaper insurance is possible on the web as well as from insurance agents, and you need to price shop both to have the best rate selection. Some insurance companies don’t offer rates over the internet and many times these smaller companies provide coverage only through independent insurance agencies.