Lower Your 2005 GMC Sierra 1500 Insurance Rates

Buyers have lots of choices when searching for the best price on GMC Sierra 1500 insurance. They can either spend hours driving around trying to get quotes or save time using the internet to get rate quotes.

There is a better way to shop for auto insurance so we’re going to tell you the absolute fastest way to price shop coverage for a GMC and locate the lowest price from local insurance agents and online providers.

How to Compare Insurance Costs

Lowering your 2005 GMC Sierra 1500 insurance rates is actually quite simple. You just need to spend a few minutes on the computer getting comparison quotes provided by online insurance companies. This can be accomplished in just a few minutes using one of these methods.

Probably the best way to find low rates is to use a rate comparison form like this one (opens in new window). This easy form eliminates the need for multiple quote forms for each company. Completing one form will return price quotes from multiple companies. Just one form and you’re done.

A harder way to compare prices requires visiting each company’s website to complete a price quote. For example, let’s say you want to compare rates from Allstate, State Farm and American Family. To find out each rate you need to visit each site to enter your coverage information, which is why the first method is quicker. For a handy list of car insurance company links in your area, click here.

The least recommended method to get comparison rates is to spend time driving to and from local insurance agencies. The ability to buy insurance online makes this process obsolete unless you require the professional guidance of a local agent. You can, however, obtain prices from the web but still have the advice of a local agent and you’ll learn how to do that later.

However you get your quotes, ensure you’re using identical coverages with each company. If your comparisons have different values for each quote you will not be able to truly determine the lowest rate.

GMC Sierra 1500 rates are complex

Smart consumers have a good feel for the factors that help determine the price you pay for insurance. Knowing what determines base rates empowers consumers to make smart changes that can help you get much lower annual insurance costs.

The following are a partial list of the pieces used by your company to calculate your rates.

  • Proper usage rating affects rates – The more you drive in a year’s time the more you will pay for insurance. Most companies price each vehicle’s coverage determined by how the vehicle is used. Cars and trucks left parked in the garage qualify for better rates as compared to vehicles used primarily for driving to work. Having the wrong rating on your Sierra 1500 can cost quite a bit. Make sure your insurance policy is showing the correct driver usage.
  • Where you live is a factor – Being located in small towns and rural areas can save you money when buying insurance. Fewer drivers means reduced accidents and also fewer theft and vandalism claims. Drivers who live in large cities tend to have traffic congestion and a longer drive to work. Longer commute distances means higher likelihood of an accident.
  • Pay less after the wedding – Having a wife or husband can get you a discount when buying insurance. It translates into being more mature and statistics show married drivers get in fewer accidents.
  • Women pay lower rates – Statistics show that women are safer drivers than men. However, this does not mean women are better drivers. They both tend to get into accidents at a similar rate, but the males have costlier accidents. They also get more serious tickets like reckless driving and DUI. Teenage male drivers are most likely to cause an accident and therefore are the most expensive to insure.
  • Theft deterrents lower rates – Driving a car with a theft deterrent system can get you a discount on your insurance. Anti-theft features such as tamper alarm systems, vehicle immobilizer technology and General Motors OnStar all hinder car theft.
  • Never let your coverage lapse – Driving with no insurance can get your license suspended and your next policy will cost more because you let your insurance expire. Not only will rates go up, getting caught without coverage can result in a license revocation or jail time.
  • Higher safety ratings means cheaper insurance – Vehicles with good safety scores are cheaper to insure. Safer cars reduce injuries and better occupant protection means less money paid by your insurance company and more competitive rates for policyholders. If your GMC Sierra 1500 is rated at least an “acceptable” rating on the Insurance Institute for Highway Safety website it may be receiving lower rates.
  • Bundling policies can get discounts – Many insurance companies will give a discount to insureds who have multiple policies with them, otherwise known as a multi-policy discount. Even if you’re getting this discount you may still want to compare other company rates to make sure you are getting the best deal. You may still find a better deal by insuring with multiple companies.

Companies offer discounts so take them!

Car insurance can cost a lot, but there are discounts available to help offset the cost. Most are applied at the time of quoting, but a few must be requested specifically before they will apply. If you’re not getting every credit available, you are throwing money away.

  • Payment Method – By paying your policy upfront instead of paying each month you could save up to 5%.
  • Auto/Home Discount – When you combine your home and auto insurance with the same company you may save approximately 10% to 15%.
  • Low Mileage – Low mileage vehicles can qualify you for discounted rates on garaged vehicles.
  • Drivers Education – Make teen driver coverage more affordable by requiring them to take driver’s ed class if it’s offered in school.
  • Anti-lock Brake Discount – Cars that have steering control and anti-lock brakes can avoid accidents and will save you 10% or more.
  • Defensive Driving Course – Successfully completing a defensive driving course can save you 5% or more and easily recoup the cost of the course.
  • Discount for Swiching Early – Some insurance companies reward drivers for switching policies prior to your current policy expiration. The savings is around 10%.
  • Air Bag Discount – Cars that have air bags or automatic seat belts can get savings of more than 20%.
  • Safe Driver Discount – Drivers who don’t get into accidents may save up to 50% more on Sierra insurance than drivers with accidents.

As a disclaimer on discounts, most discount credits are not given to the entire cost. Most only apply to the cost of specific coverages such as comprehensive or collision. So despite the fact that it appears you can get free auto insurance, companies don’t profit that way. Any qualifying discounts will reduce the cost of coverage.

To see a list of insurance companies with discount car insurance rates, click here.

Do I just need basic coverages?

When it comes to choosing the right insurance coverage, there really is no “best” method to buy coverage. Each situation is unique.

For instance, these questions could help you determine whether your personal situation might need an agent’s assistance.

  • Should I waive the damage coverage when renting a car?
  • Who is covered when they drive my 2005 GMC Sierra 1500?
  • Are all vehicle passengers covered by medical payments coverage?
  • What are the best liability limits?
  • What should my uninsured motorist coverage limits be in my state?
  • Does my policy cover my teen driver if they drive my company car?
  • How much liability insurance is required?
  • Does my insurance cover my expensive audio equipment?
  • Is my nanny covered when driving my vehicle?

If you’re not sure about those questions, you might consider talking to a licensed insurance agent. To find lower rates from a local agent, take a second and complete this form. It is quick, free and you can get the answers you need.

Car insurance coverages for a GMC Sierra 1500

Having a good grasp of a car insurance policy can be of help when determining appropriate coverage and the correct deductibles and limits. Policy terminology can be difficult to understand and even agents have difficulty translating policy wording.

Medical payments coverage and PIP

Med pay and PIP coverage provide coverage for expenses for nursing services, ambulance fees, funeral costs, chiropractic care and pain medications. They are often used to cover expenses not covered by your health insurance policy or if you do not have health coverage. Coverage applies to both the driver and occupants as well as if you are hit as a while walking down the street. PIP is not an option in every state and gives slightly broader coverage than med pay

Uninsured/Underinsured Motorist coverage

Uninsured or Underinsured Motorist coverage gives you protection from other motorists when they are uninsured or don’t have enough coverage. Covered claims include medical payments for you and your occupants and damage to your GMC Sierra 1500.

Due to the fact that many drivers only purchase the least amount of liability that is required, it only takes a small accident to exceed their coverage. So UM/UIM coverage is a good idea. Usually these coverages are similar to your liability insurance amounts.

Coverage for liability

This coverage can cover damage that occurs to other people or property. It protects you from claims by other people. It does not cover your injuries or vehicle damage.

Liability coverage has three limits: bodily injury for each person, bodily injury for the entire accident, and a limit for property damage. You might see values of 50/100/50 that means you have $50,000 bodily injury coverage, a per accident bodily injury limit of $100,000, and $50,000 of coverage for damaged propery. Alternatively, you may have a combined limit which provides one coverage limit rather than limiting it on a per person basis.

Liability can pay for things like bail bonds, court costs, legal defense fees and pain and suffering. The amount of liability coverage you purchase is your choice, but buy as much as you can afford.

Comprehensive coverage

This coverage pays to fix your vehicle from damage caused by mother nature, theft, vandalism and other events. A deductible will apply then your comprehensive coverage will pay.

Comprehensive insurance covers things such as damage from flooding, falling objects, a tree branch falling on your vehicle, rock chips in glass and hitting a deer. The maximum 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 consider removing comprehensive coverage.

Auto collision coverage

Collision insurance pays for damage to your Sierra 1500 caused by collision with another car or object. A deductible applies then your collision coverage will kick in.

Collision can pay for things like rolling your car, hitting a mailbox, hitting a parking meter, colliding with another moving vehicle and sideswiping another vehicle. Collision is rather expensive coverage, so you might think about dropping it from older vehicles. It’s also possible to increase the deductible to get cheaper collision coverage.

More quotes mean more savings

We’ve covered some good ideas how to save on 2005 GMC Sierra 1500 insurance. The key concept to understand is the more providers you compare, the better your comparison will be. You may even discover the best prices are with a company that doesn’t do a lot of advertising.

Consumers who switch companies do it for a variety of reasons including questionable increases in premium, poor customer service, denial of a claim and even being labeled a high risk driver. Regardless of your reason, finding a new company is pretty easy and you might even save some money in the process.

When shopping online for car insurance, do not buy lower coverage limits just to save a few bucks. In many instances, drivers have reduced uninsured motorist or liability limits and found out when filing a claim that the small savings ended up costing them much more. The proper strategy is to buy enough coverage for the lowest price, not the least amount of coverage.

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