Nobody I know looks forward to paying for insurance, in particular when their premiums are through the roof.
Big companies like State Farm, Allstate, Geico and Progressive increase brand awareness with ad campaigns and it is difficult to avoid their marketing magic and take the time to shop coverage around.
If you are paying for car insurance now, you will most likely be able to cut costs considerably using these tips. Choosing the best insurance company for you is not rocket science. Nevertheless, vehicle owners can benefit from knowing how the larger insurance companies market insurance on the web and take advantage of how the system works.
An important part of buying insurance is that you know the factors that play a part in calculating the price you pay for insurance coverage. Understanding what controls the rates you pay enables informed choices that could result in lower insurance coverage prices.
Shown below are some of the factors insurance coverage companies consider when setting premiums.
There are a lot of ways to compare insurance quotes, but some are easier and takes less work. You can waste hours driving to insurance companies in your area, or you could use the internet to get rate comparisons in just a few minutes.
Most car insurance companies take part in a program where prospective buyers complete one form, and every company returns a rated price based on the submitted data. This eliminates the need for quote forms to every company. To fill out one form to compare multiple rates now click here (opens in new window).
The one downside to comparing rates this way is you don’t know exactly which insurance companies you will receive quotes from. So if you prefer to choose specific insurance companies to compare rates, we have a listing of low cost insurance companies in your area. Click to view list.
It’s up to you which method you use, but compare the exact same coverage information for every quote you compare. If each company quotes different deductibles it’s impossible to truly determine the lowest rate. Slightly different insurance coverages may cause a big price difference. And when price shopping your coverage, comparing more company’s prices will increase your chances of finding the best price.
Companies offering auto insurance do not advertise all their discounts very clearly, so the following is a list of some of the more common as well as the least known savings tricks you should be using.
A little note about advertised discounts, many deductions do not apply to the entire cost. The majority will only reduce the price of certain insurance coverages like liability, collision or medical payments. So despite the fact that it appears it’s possible to get free car insurance, it just doesn’t work that way.
Car insurance companies who might offer these money-saving discounts include:
Check with all companies you are considering which discounts they offer. Discounts may not apply in every state.
When it comes to buying the best car insurance coverage for your vehicles, there really is not a single plan that fits everyone. Each situation is unique and your policy should reflect that. These are some specific questions may help highlight if your insurance needs might need professional guidance.
If you can’t answer these questions, then you may want to think about talking to an insurance agent. To find lower rates from a local agent, complete this form or go to this page to view a list of companies.
Having a good grasp of a car insurance policy can be of help when determining the right coverages at the best deductibles and correct limits. The terms used in a policy can be ambiguous and even agents have difficulty translating policy wording. Below you’ll find typical coverage types offered by car insurance companies.
This coverage pays to fix your vehicle from damage OTHER than collision with another vehicle or object. You need to pay your deductible first then your comprehensive coverage will pay.
Comprehensive can pay for things such as damage from getting keyed, damage from a tornado or hurricane, falling objects, a broken windshield and vandalism. The maximum payout your car insurance company will pay is the cash value of the vehicle, so if your deductible is as high as the vehicle’s value consider removing comprehensive coverage.
Med pay and PIP coverage pay for bills for things like funeral costs, prosthetic devices, chiropractic care and hospital visits. They are used in conjunction with a health insurance program or if you are not covered by health insurance. Medical payments and PIP cover both the driver and occupants as well as if you are hit as a while walking down the street. Personal Injury Protection is only offered in select states but it provides additional coverages not offered by medical payments coverage
Liability insurance will cover injuries or damage you cause to other people or property in an accident. This insurance protects YOU from legal claims by others, and doesn’t cover damage to your own property or vehicle.
It consists of three limits, bodily injury per person, bodily injury per accident and property damage. You might see limits of 50/100/50 which stand for $50,000 in coverage for each person’s injuries, a total of $100,000 of bodily injury coverage per accident, and property damage coverage for $50,000.
Liability coverage protects against claims such as structural damage, repair costs for stationary objects and emergency aid. How much coverage you buy is a decision to put some thought into, but buy as high a limit as you can afford.
This coverage provides protection from other motorists when they are uninsured or don’t have enough coverage. Covered losses include hospital bills for your injuries and damage to your Oldsmobile Toronado.
Due to the fact that many drivers carry very low liability coverage limits, it doesn’t take a major accident to exceed their coverage limits. This is the reason having UM/UIM coverage is very important.
This coverage pays for damage to your Toronado from colliding with another car or object. A deductible applies then your collision coverage will kick in.
Collision coverage protects against claims like sideswiping another vehicle, colliding with another moving vehicle, colliding with a tree, crashing into a ditch and crashing into a building. Paying for collision coverage can be pricey, so consider dropping it from vehicles that are 8 years or older. Drivers also have the option to increase the deductible to bring the cost down.
As you shop your coverage around, you should never sacrifice coverage to reduce premiums. There have been many cases where an insured dropped liability limits or collision coverage only to discover later that the few dollars in savings costed them thousands. The aim is to purchase a proper amount of coverage at an affordable rate.
Lower-priced 1991 Oldsmobile Toronado insurance can be bought both online and with local insurance agents, so compare prices from both to have the best chance of lowering rates. Some insurance coverage companies do not offer the ability to get a quote online and these smaller companies work with independent agents.
Additional insurance coverage information is available at the links below