Trying to come up with a payment for overpriced car insurance can bleed your family’s budget and put a big crunch on your finances. Performing a rate comparison is free and is an excellent way to lower your bills every month.
Insurance companies such as Geico, Progressive and Allstate all claim big savings with advertising and it is difficult to ignore the propoganda and take the time to shop coverage around.
When shopping for auto insurance there are multiple ways to get quotes from auto insurance companies in your area. The easiest way by far to comparison shop is to perform an online rate comparison. This is very easy and can be done using a couple different methods.
For a list of links to companies insuring cars in your area, click here.
It doesn’t matter which method you choose, just make darn sure you compare nearly identical coverage information with each company. If you enter different deductibles it’s impossible to make a fair rate comparison. Having just a slight variation in limits may cause a big price difference. And when comparison shopping, comparing more company’s prices helps locate more affordable rates. Not every company provides online quotes, so it’s necessary to compare rates on coverage from those companies, too.
Companies do not advertise every policy discount very clearly, so the below list has both the well known in addition to some of the lesser obvious savings tricks you should be using when you buy insurance online. If you aren’t receiving every discount you qualify for, you are not getting the best rate possible.
Just know that many deductions do not apply to your bottom line cost. Some only reduce individual premiums such as comp or med pay. Even though the math looks like you would end up receiving a 100% discount, insurance companies wouldn’t stay in business.
Large insurance coverage companies and a summarized list of policyholder discounts include:
Check with each company which discounts you may be entitled to. Some discounts listed above may not apply to policies in your state. To see a list of insurance coverage companies that provide some of the discounts listed above, click here to view.
When it comes to choosing the right insurance coverage for your vehicles, there isn’t really a one size fits all plan. Coverage needs to be tailored to your specific needs and your policy should reflect that. These are some specific questions can aid in determining if you will benefit from professional help.
If you can’t answer these questions, then you may want to think about talking to a licensed agent. If you don’t have a local agent, fill out this quick form or you can also visit this page to select a carrier
Learning about specific coverages of a auto insurance policy aids in choosing the best coverages at the best deductibles and correct limits. Auto insurance terms can be impossible to understand and nobody wants to actually read their policy. Shown next are typical coverages found on the average auto insurance policy.
Comprehensive auto insurance – This pays to fix your vehicle from damage that is not covered by collision coverage. You need to pay your deductible first and the remainder of the damage will be paid by comprehensive coverage.
Comprehensive coverage protects against things like a broken windshield, hitting a bird and hail damage. The maximum amount you can receive from a comprehensive claim is the cash value of the vehicle, so if it’s not worth much more than your deductible consider removing comprehensive coverage.
Liability insurance – Liability coverage protects you from injuries or damage you cause to other’s property or people by causing an accident. It protects YOU from legal claims by others, and doesn’t cover your own vehicle damage or injuries.
It consists of three limits, bodily injury for each person injured, bodily injury for the entire accident and a property damage limit. As an example, you may have policy limits of 25/50/25 that means you have $25,000 bodily injury coverage, a total of $50,000 of bodily injury coverage per accident, and $25,000 of coverage for damaged propery.
Liability insurance covers claims like court costs, bail bonds, emergency aid and structural damage. The amount of liability coverage you purchase is up to you, but buy as much as you can afford.
Coverage for medical expenses – Coverage for medical payments and/or PIP reimburse you for expenses such as surgery, X-ray expenses, nursing services, ambulance fees and doctor visits. They can be utilized in addition to your health insurance policy or if you are not covered by health insurance. It covers not only the driver but also the vehicle occupants in addition to being hit by a car walking across the street. PIP coverage is not available in all states but can be used in place of medical payments coverage
Coverage for uninsured or underinsured drivers – Uninsured or Underinsured Motorist coverage gives you protection from other drivers when they are uninsured or don’t have enough coverage. This coverage pays for injuries sustained by your vehicle’s occupants as well as your vehicle’s damage.
Since many drivers have only the minimum liability required by law, their liability coverage can quickly be exhausted. This is the reason having UM/UIM coverage is important protection for you and your family.
Collision coverage – Collision insurance pays to fix your vehicle from damage from colliding with an object or car. A deductible applies then the remaining damage will be paid by your insurance company.
Collision coverage pays for things such as sideswiping another vehicle, colliding with another moving vehicle, damaging your car on a curb, hitting a parking meter and rolling your car. Collision is rather expensive coverage, so analyze the benefit of dropping coverage from vehicles that are older. You can also increase the deductible to bring the cost down.