Have you finally had enough of scraping the payment together to pay your insurance coverage bill each month? You’re in the same situation as millions of other consumers. Due to the abundance of insurance providers from which to choose, it can be diffult for drivers to find the most cost effective insurance company.
The purpose of this article is to teach you how to get online quotes and some tricks to saving. If you currently have car insurance, you stand a good chance to be able to reduce your rates substantially using these tips. Drivers only need an understanding of the tricks to compare company rates online.
There are multiple methods to compare insurance prices and some are less time-consuming than others. You can waste a few hours (or days) driving to local insurance agents in your area, or you can stay home and use the web to get rate comparisons in just a few minutes.
All the larger companies are enrolled in a marketplace that allows shoppers to submit their information once, and at least one company can provide price quotes determined by their information. This saves time by eliminating quote forms to every company.
To find out what other companies charge click to open in new window.
The one downside to doing it this way is you don’t know exactly the companies you want to price. So if you prefer to choose specific insurance companies for rate comparison, we have a page of low cost insurance companies in your area. Click here to view list.
Whichever method you choose, be certain you are entering the same coverage information for each price quote. If you use higher or lower deductibles you can’t possibly make an equal comparison.
Some companies don’t necessarily list every possible discount very well, so we took the time to find some of the best known as well as some of the hidden credits that may apply to you.
Discounts reduce rates, but you should keep in mind that some of the credits will not apply to the overall cost of the policy. Most only reduce the cost of specific coverages such as collision or personal injury protection. So when the math indicates all the discounts add up to a free policy, nobody gets a free ride.
For a list of insurance companies offering insurance discounts, click this link.
When choosing adequate coverage, there really is no cookie cutter policy. Each situation is unique and a cookie cutter policy won’t apply. For instance, these questions can help discover whether your personal situation will benefit from professional help.
If it’s difficult to answer those questions, then you may want to think about talking to an agent. If you want to speak to an agent in your area, complete this form or click here for a list of car insurance companies in your area. It is quick, free and may give you better protection.
Many factors are used in the calculation when premium rates are determined. Some are pretty understandable such as traffic violations, but some are less apparent such as your marital status or your vehicle rating.
The factors shown below are just a few of the factors companies use to determine your premiums.
Consumers can’t get away from all the ads that promise big savings from the likes of State Farm, GEICO and Progressive. All the ads seem to make the promise that people will save just by switching to them.
But how can every company charge less that you’re paying now?
Insurance companies quote their cheapest rates for the type of driver that earns them a profit. One example of a driver they prefer could possibly be a female over age 40, has no prior claims, and drives less than 7,500 miles a year. Anyone that fits those parameters will most likely get cheap car insurance rates and most likely will save when switching.
People who do not fit those standards may receive a higher premium and the prospect going elsewhere. The wording the ads use say “customers that switch” not “everybody who quotes” save that kind of money. That’s the way insurance companies can confidently advertise the savings.
Because of these techniques, you need to do a rate comparison at every renewal. It is impossible to guess which auto insurance company will have the lowest rates.
Knowing the specifics of your car insurance policy helps when choosing the right coverages and the correct deductibles and limits. Car insurance terms can be impossible to understand and coverage can change by endorsement. Listed below are typical coverages found on most car insurance policies.
Uninsured Motorist or Underinsured Motorist insurance – Uninsured or Underinsured Motorist coverage protects you and your vehicle’s occupants from other motorists when they do not carry enough liability coverage. This coverage pays for injuries to you and your family as well as your vehicle’s damage.
Because many people only purchase the least amount of liability that is required, it only takes a small accident to exceed their coverage. For this reason, having high UM/UIM coverages should not be overlooked. Normally these coverages are similar to your liability insurance amounts.
Comprehensive coverage (or Other than Collision) – This coverage covers damage OTHER than collision with another vehicle or object. You first must pay your deductible then the remaining damage will be covered by your comprehensive coverage.
Comprehensive can pay for things like rock chips in glass, damage from a tornado or hurricane, hail damage, hitting a deer and a broken windshield. The highest 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 probably time to drop comprehensive insurance.
Liability coverages – Liability coverage will cover damage that occurs to other people or property. It protects YOU from legal claims by others. 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 commonly see values of 100/300/100 which stand for a limit of $100,000 per injured person, $300,000 for the entire accident, and property damage coverage for $100,000. Occasionally you may see one number which is a combined single limit which provides one coverage limit without having the split limit caps.
Liability can pay for things like funeral expenses, emergency aid, loss of income and repair costs for stationary objects. How much liability should you purchase? That is up to you, but consider buying as much as you can afford.
Collision coverages – Collision coverage pays to fix your vehicle from damage caused by collision with another vehicle or an object, but not an animal. You have to pay a deductible and then insurance will cover the remainder.
Collision coverage pays for things such as hitting a mailbox, crashing into a ditch, damaging your car on a curb and scraping a guard rail. Collision coverage makes up a good portion of your premium, so analyze the benefit of dropping coverage from vehicles that are older. Another option is to choose a higher deductible to bring the cost down.
Insurance for medical payments – Medical payments and Personal Injury Protection insurance provide coverage for immediate expenses such as nursing services, EMT expenses, surgery and ambulance fees. They are often used to fill the gap from your health insurance plan or if you do not have health coverage. Coverage applies to both the driver and occupants as well as any family member struck as a pedestrian. PIP is not universally available and may carry a deductible
There are still a few companies who may not offer price quotes online regional insurance providers only sell through independent agencies. Discount 2008 Dodge Ram Pickup 2500 insurance can be purchased online and from local insurance agents, and you should compare price quotes from both to get a complete price analysis.
As you go through the steps to switch your coverage, it’s a bad idea to skimp on critical coverages to save a buck or two. Too many times, an insured dropped comprehensive coverage or liability limits and found out when filing a claim that the few dollars in savings costed them thousands. The aim is to find the BEST coverage at an affordable rate but still have enough coverage for asset protection.
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