1998 GMC Sierra 2500 Car Insurance Quotes – 10 Savings Tips

Are you intimidated by the number of insurance coverage company choices? You’re not the only one! Consumers have so many companies to choose from that it can easily become a big hassle to find the best price.

It’s smart to compare prices on a regular basis since rates change frequently. If you had the lowest rates on Sierra coverage two years ago you can probably find a lower rate today. Forget anything you know (or think you know) about insurance coverage because you’re about to find out the proper way to find the best coverage while lowering your premiums.

Shopping for affordable car insurance is simple if you know the tricks. Just about every driver who is required by state law to have car insurance should be able to cut their insurance bill. But consumers do need to understand how big insurance companies sell online and apply this information to your search.

Do you qualify for a discount?

Car insurance is not cheap, but there are discounts available that can drop the cost substantially. Larger premium reductions will be automatically applied at the time of purchase, but some must be requested specifically before you will receive the discount.

  • Homeowners Discount – Owning a house can save you money because of the fact that having a home requires personal responsibility.
  • Discounts for Safe Drivers – Safe drivers can pay as much as 50% less on Sierra coverage than drivers with accident claims.
  • No Charge for an Accident – A few companies allow you one accident before hitting you with a surcharge so long as you haven’t had any claims for a certain period of time.
  • Payment Discounts – If paying your policy premium upfront rather than paying monthly you could save up to 5%.
  • Theft Prevention System – Anti-theft and alarm systems can help prevent theft and earn discounts up to 10%.
  • Use Seat Belts – Drivers who require all occupants to use a seat belt could save 15% off your medical payments premium.
  • New Car Discount – Adding a new car to your policy is cheaper because new vehicles have to meet stringent safety requirements.
  • Employee of Federal Government – Being employed by or retired from a federal job may qualify you for a discount on Sierra coverage depending on your company.
  • Military Discounts – Having a deployed family member can result in better rates.
  • Early Switch Discount – Some companies give discounts for switching to them prior to your current policy expiring. It’s a savings of about 10%.

Consumers should know that some credits don’t apply to your bottom line cost. Most only apply to the cost of specific coverages such as liability and collision coverage. Even though it may seem like you can get free auto insurance, you’re out of luck. But all discounts will cut the amount you have to pay.

To see a list of companies who offer auto insurance discounts, follow this link.

How can Geico, State Farm and Progressive save drivers who switch?

Companies like Geico, State Farm and Progressive constantly bombard you with ads on television and other media. All the ads have a common claim about savings if you switch to them. But how can every company make the same claim? This is how they do it.

All companies are able to cherry pick for the driver that is profitable for them. An example of a profitable customer could be between the ages of 30 and 50, has no prior claims, and drives less than 7,500 miles a year. A driver that hits that “sweet spot” gets the lowest rates and is almost guaranteed to pay quite a bit less when switching companies.

Potential customers who don’t meet this ideal profile must pay higher prices and ends up with the driver buying from a lower-cost company. The ads state “drivers who switch” but not “drivers who get quotes” save that much money. This is how insurance companies can confidently make the claims of big savings.

This illustrates why drivers should compare many company’s rates. It’s just too difficult to predict which insurance company will provide you with the cheapest GMC Sierra 2500 insurance rates.

What coverages do I need?

When it comes to choosing the best insurance coverage, there really is no “perfect” insurance plan. Every situation is different.

Here are some questions about coverages that can aid in determining whether you would benefit from an agent’s advice.

  • Do all my vehicles need collision coverage?
  • If my 1998 GMC Sierra 2500 is totaled, can I afford another vehicle?
  • Why am I required to get a high-risk car insurance policy?
  • Why is insurance for a teen driver so high?
  • How can I get my company to pay me more for my totalled car?
  • Does coverage extend to a rental car in a foreign country?
  • What is the rate difference between pleasure use and commuting?
  • Can my babysitter drive my car?
  • Why am I required to buy liability insurance?

If you can’t answer these questions, you may need to chat with an agent. If you don’t have a local agent, fill out this quick form.

Coverages available on your policy

Having a good grasp of a car insurance policy helps when choosing which coverages you need and the correct deductibles and limits. Car insurance terms can be impossible to understand and reading a policy is terribly boring.

Collision protection

Collision coverage pays to fix your vehicle from damage from colliding with a stationary object or other vehicle. A deductible applies then the remaining damage will be paid by your insurance company.

Collision insurance covers things such as hitting a mailbox, crashing into a ditch and scraping a guard rail. This coverage can be expensive, so consider dropping it from lower value vehicles. You can also increase the deductible to bring the cost down.

Uninsured Motorist or Underinsured Motorist insurance

Uninsured or Underinsured Motorist coverage gives you protection when other motorists do not carry enough liability coverage. It can pay for injuries to you and your family as well as damage to your GMC Sierra 2500.

Since many drivers only purchase the least amount of liability that is required, it doesn’t take a major accident to exceed their coverage limits. That’s why carrying high Uninsured/Underinsured Motorist coverage should not be overlooked. Usually these coverages are set the same as your liablity limits.

Liability

Liability coverage provides protection from injuries or damage you cause to people or other property in an accident. It consists of three limits, bodily injury per person, bodily injury per accident and property damage. You commonly see policy limits of 25/50/25 that means you have $25,000 bodily injury coverage, a limit of $50,000 in injury protection per accident, and a limit of $25,000 paid for damaged property. Occasionally you may see a combined single limit or CSL which combines the three limits into one amount and claims can be made without the split limit restrictions.

Liability coverage protects against claims such as medical services, structural damage, emergency aid and attorney fees. How much liability should you purchase? That is a decision to put some thought into, but consider buying as much as you can afford.

Comprehensive coverage (or Other than Collision)

This coverage will pay to fix damage OTHER than collision with another vehicle or object. A deductible will apply then the remaining damage will be covered by your comprehensive coverage.

Comprehensive insurance covers claims such as falling objects, damage from getting keyed, a broken windshield, damage from flooding and theft. The highest amount you’ll receive from a claim is the market value of your vehicle, so if the vehicle is not worth much it’s probably time to drop comprehensive insurance.

Insurance for medical payments

Medical payments and Personal Injury Protection insurance kick in for bills for things like funeral costs, ambulance fees and pain medications. The coverages can be used to cover expenses not covered by your health insurance program or if you are not covered by health insurance. Medical payments and PIP cover not only the driver but also the vehicle occupants and also covers any family member struck as a pedestrian. PIP coverage is only offered in select states but can be used in place of medical payments coverage

Shop smart and save

When trying to cut insurance costs, it’s a bad idea to skimp on coverage in order to save money. In too many instances, an insured dropped liability coverage limits and learned later that the savings was not a smart move. The aim is to buy enough coverage at an affordable rate while still protecting your assets.

We just covered many ideas to compare 1998 GMC Sierra 2500 insurance prices online. The key thing to remember is the more you quote, the higher the chance of saving money. You may even discover the most savings is with the least-expected company.

Cheaper insurance can be purchased from both online companies as well as from independent agents, so you should be comparing quotes from both to have the best chance of lowering rates. Some insurance companies don’t offer you the ability to get quotes online and many times these small insurance companies only sell through independent insurance agents.

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