Did a good deal turn out to be an underperforming, overpriced insurance policy? You’re preaching to the choir because many consumers are feeling buyer’s remorse and feel like there’s no way out.
Popular companies such as Geico, 21st Century and Progressive promote their brand names with advertising and consumers find it hard to sift through the bull and take the time to shop coverage around.
It’s a good habit to do rate comparisons every six months due to the fact that insurance prices tend to go up over time. Just because you found the best price on RX-7 insurance last year a different company probably has better rates today. There is a lot of bad information regarding insurance online but in just a couple of minutes you can learn some tested techniques to buy insurance cheaper.
There are multiple methods you can shop for car insurance but one way is less labor-intensive and much quicker. You can spend countless hours talking about coverages with agents in your area, or you can utilize online quoting to get pricing more quickly.
Many companies belong to a marketplace where insurance shoppers only type in their quote data once, and each participating company returns a rated price for coverage. This prevents consumers from doing quote requests for each company you want a rate for. To compare pricing click here to start a free quote.
The one downside to pricing coverage this way is you don’t know exactly the insurers you want pricing from. If you prefer to choose from a list of companies for rate comparison, we have assembled a list of companies who write car insurance in your area. Click here for list of insurance companies.
Whichever way you choose to compare rates, make sure you compare equivalent coverage limits and deductibles for each price quote. If the quotes have different limits and deductibles on each one it’s not possible to make an equal comparison. Just a small difference in insurance coverages or limits could skew the results. And when comparing car insurance rates, know that more quotes helps improve the odds of finding lower pricing.
Car insurance companies do not list every available discount in a way that’s easy to find, so we took the time to find a few of the more well known and also the more inconspicuous credits that may apply to you.
It’s important to understand that some of the credits will not apply the the whole policy. Some only apply to individual premiums such as liability and collision coverage. Despite the fact that it seems like you would end up receiving a 100% discount, that’s just not realistic.
A few of the larger companies and some of the premium reductions they offer are detailed below.
If you need lower rates, check with each company or agent to apply every possible discount. Savings might not apply in your area.
When it comes to buying coverage for your vehicles, there really is not a cookie cutter policy. Every situation is different and your policy should reflect that. These are some specific questions can help discover if you would benefit from professional advice.
If you don’t know the answers to these questions, then you may want to think about talking to a licensed agent. To find an agent in your area, fill out this quick form or you can also visit this page to select a carrier
Learning about specific coverages of your policy can help you determine which coverages you need at the best deductibles and correct limits. Policy terminology can be ambiguous and coverage can change by endorsement. Listed below are typical coverages found on most auto insurance policies.
Auto liability insurance
Liability insurance will cover damage or injury you incur to a person or their property by causing an accident. It protects YOU from claims by other people. Liability doesn’t cover your injuries or vehicle damage.
Coverage consists of three different limits, bodily injury for each person injured, bodily injury for the entire accident and a property damage limit. You might see policy limits of 100/300/100 that means you have $100,000 in coverage for each person’s injuries, $300,000 for the entire accident, and property damage coverage for $100,000.
Liability coverage protects against things like legal defense fees, emergency aid and court costs. How much liability coverage do you need? That is up to you, but buy as much as you can afford.
Uninsured/Underinsured Motorist coverage
This coverage provides protection from other drivers when they either have no liability insurance or not enough. It can pay for injuries sustained by your vehicle’s occupants as well as damage to your 1994 Mazda RX-7.
Since many drivers only carry the minimum required liability limits, it doesn’t take a major accident to exceed their coverage limits. So UM/UIM coverage is a good idea.
Medical payments coverage and PIP
Coverage for medical payments and/or PIP kick in for bills such as EMT expenses, chiropractic care, pain medications, X-ray expenses and dental work. They can be used in conjunction with a health insurance plan or if you do not have health coverage. Coverage applies to both the driver and occupants and also covers if you are hit as a while walking down the street. PIP coverage is not available in all states and gives slightly broader coverage than med pay
Collision insurance
This pays to fix your vehicle from damage from colliding with another vehicle or an object, but not an animal. You have to pay a deductible and then insurance will cover the remainder.
Collision coverage pays for claims such as colliding with another moving vehicle, crashing into a building, sideswiping another vehicle and hitting a parking meter. Collision coverage makes up a good portion of your premium, so analyze the benefit of dropping coverage from older vehicles. Drivers also have the option to choose a higher deductible to save money on collision insurance.
Comprehensive coverage
This 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 coverage pays for claims like a tree branch falling on your vehicle, vandalism, hail damage, damage from flooding and hitting a deer. The most your auto insurance company will pay is the ACV or actual cash value, so if the vehicle is not worth much consider dropping full coverage.