Did you fall for a flashy sales pitch and buy an overpriced insurance policy? It’s quite common and many drivers have buyer’s remorse.
Many auto insurance companies vie to insure your vehicles, and it can be difficult to compare rates to find the cheapest price
Companies offering auto insurance don’t always list all their discounts in a way that’s easy to find, so the next list breaks down some of the more common as well as some of the hidden credits available to lower your premiums when you buy car insurance online.
One thing to note about discounts is that most credits do not apply to the overall cost of the policy. Most only cut individual premiums such as comp or med pay. Even though it may seem like it’s possible to get free car insurance, companies wouldn’t make money that way.
A few companies who may offer some of the above discounts are:
When quoting, ask all the companies how you can save money. Some of the earlier mentioned discounts may not apply in your area. If you would like to choose from a list of companies that provide some of the discounts listed above, click this link.
Many things are part of the calculation when premium rates are determined. Some of the criteria are obvious like your driving record, but other factors are more transparent like your continuous coverage or your commute time.Part of the insurance coverage buying process is learning the rating factors that help determine the rates you pay for insurance coverage. When you know what positively or negatively determines premiums, this allows you to make good choices that will entitle you to cheaper rates.
When buying adequate coverage, there is no “perfect” insurance plan. Coverage needs to be tailored to your specific needs so your insurance needs to address that. Here are some questions about coverages that can help discover whether your personal situation will benefit from professional help.
If you don’t know the answers to these questions, you might consider talking to 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.
Insurance providers like Allstate and Progressive continually stream ads on TV and radio. All the companies advertise the message that you’ll save big just by moving to them. How does every insurance company give you a lower rate? Here is how they do it.
Most companies have a preferred profile for the type of driver that makes them money. A good example of a driver they prefer might be over the age of 45, has other policies, and chooses high deductibles. A customer getting a price quote that fits those parameters will get very good car insurance rates and will probably save when switching.
People who are not a match for the “perfect” profile may be required to pay more expensive rates and this results in the driver buying from a lower-cost company. The trick is to say “people who switch” not “everyone that quotes” will save that much if they switch. That’s the way insurance companies can make those claims.
This really drives home the point why you need to do a rate comparison at every renewal. It is impossible to guess which insurance company will have the lowest car insurance rates for your situation.
Knowing the specifics of car insurance helps when choosing which coverages you need and proper limits and deductibles. Car insurance terms can be ambiguous and coverage can change by endorsement. Shown next are typical coverage types offered by car insurance companies.
Insurance for medical payments
Personal Injury Protection (PIP) and medical payments coverage reimburse you for immediate expenses like doctor visits, pain medications and rehabilitation expenses. The coverages can be used in conjunction with a health insurance program or if you do not have health coverage. They cover you and your occupants and also covers getting struck while a pedestrian. Personal injury protection coverage is not universally available but can be used in place of medical payments coverage
Uninsured Motorist or Underinsured Motorist insurance
Uninsured or Underinsured Motorist coverage gives you protection when the “other guys” are uninsured or don’t have enough coverage. Covered losses include injuries to you and your family as well as damage to your 2010 Volkswagen Routan.
Since many drivers have only the minimum liability required by law, their limits can quickly be used up. This is the reason having UM/UIM coverage is important protection for you and your family. Frequently your uninsured/underinsured motorist coverages are set the same as your liablity limits.
Collision protection
This will pay to fix damage to your Routan caused by collision with an object or car. A deductible applies then the remaining damage will be paid by your insurance company.
Collision insurance covers things such as hitting a mailbox, damaging your car on a curb and hitting a parking meter. This coverage can be expensive, so analyze the benefit of dropping coverage from vehicles that are older. You can also raise the deductible to get cheaper collision coverage.
Liability car insurance
This protects you from injuries or damage you cause to a person or their property. It protects you from legal claims by others. Liability doesn’t cover your own vehicle damage or injuries.
Split limit liability has three limits of coverage: per person bodily injury, per accident bodily injury, and a property damage limit. As an example, you may have policy limits of 25/50/25 which means $25,000 in coverage for each person’s injuries, a limit of $50,000 in injury protection per accident, and property damage coverage for $25,000. Some companies may use a combined single limit or CSL which provides one coverage limit and claims can be made without the split limit restrictions.
Liability insurance covers things such as attorney fees, medical expenses and court costs. How much liability should you purchase? That is a personal decision, but it’s cheap coverage so purchase as large an amount as possible.
Comprehensive coverage (or Other than Collision)
This coverage pays for damage from a wide range of events other than collision. You first must pay your deductible and then insurance will cover the rest of the damage.
Comprehensive coverage pays for things such as rock chips in glass, theft, a broken windshield, hitting a bird and fire damage. The maximum amount you can receive from a comprehensive claim is the actual cash value, so if the vehicle is not worth much it’s probably time to drop comprehensive insurance.
Low-cost 2010 Volkswagen Routan insurance is possible online in addition to local insurance agencies, so you need to shop car insurance with both in order to have the best chance of saving money. There are still a few companies who may not have online price quotes and these regional carriers only sell coverage through independent insurance agencies.
As you quote car insurance, never sacrifice coverage to reduce premiums. In too many instances, someone sacrificed collision coverage only to discover later they didn’t purchase enough coverage. The ultimate goal is to find the BEST coverage for the lowest price, but do not skimp to save money.
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