Trying to come up with a payment for high-priced car insurance can overdraw your checking account and maybe even restrict other spending.
Consumers have many insurers to pick from, and though it is a good thing to be able to choose, it can be more difficult to find the lowest rates.
It’s important to compare prices on a regular basis because rates are constantly changing. Even if you got the best premium rates for Odyssey insurance at your last renewal a different company probably has better prices today. Forget anything you know (or think you know) about car insurance because I’m going to let you in on the secrets to the right way to reduce your cost while improving coverage.
The purpose of this article is to introduce you to how car insurance quotes work and some tricks to saving. If you have car insurance now, you stand a good chance to be able to save some money using these methods. But car owners should learn how insurance companies determine prices.
There are multiple methods to shop for auto insurance, but there is one way that is easier and takes less work. You could waste a few hours talking about coverages with agents in your area, or you could save time and use online quotes to achieve your goal.
Most major companies participate in a marketplace where prospective buyers enter their policy data once, and each company can give them a price based on that information. This prevents consumers from doing form submissions to every company.
To find out what other companies charge click here (opens in new window).
One minor caviat to using this type of system is buyers cannot specifically choose which providers you want pricing from. If you wish to select from a list of companies to receive pricing from, we have a page of low cost auto insurance companies in your area. Click to view list.
Whichever way you use, try to keep identical coverage information for every quote you compare. If the quotes have different liability limits you will not be able to get a fair rate comparison. Slightly different limits can make a big difference in price. Just remember that getting more free quotes helps you find a lower rate than you’re paying now. Some regional insurers cannot provide online quotes, so it’s recommended that you also compare prices from those companies as well.
Some providers don’t always publicize every available discount very well, so the below list has a few of the more common and also the more inconspicuous credits available to lower your premiums when you buy car insurance online.
Discounts reduce rates, but you should keep in mind that most discounts do not apply to the overall cost of the policy. Most only reduce the cost of specific coverages such as physical damage coverage or medical payments. Even though the math looks like all the discounts add up to a free policy, insurance companies wouldn’t stay in business.
To view providers that offer many of these discounts, click here.
When choosing adequate coverage for your vehicles, there really is not a cookie cutter policy. Every situation is different so your insurance should reflect that These are some specific questions could help you determine whether you may require specific advice.
If it’s difficult to answer those questions but a few of them apply, you might consider talking to an agent. If you want to speak to an agent in your area, take a second and complete this form or click here for a list of insurance companies in your area.
A large part of saving on car insurance is knowing some of the things that are used to determine the level of your policy premiums. If you have a feel for what controls the rates you pay, this enables informed choices that may result in much lower annual insurance costs. Lots of things are used in the calculation when pricing auto insurance. Some of the criteria are obvious like a motor vehicle report, although some other factors are more transparent such as whether you are married or your commute time.
Knowing the specifics of your policy aids in choosing which coverages you need and the correct deductibles and limits. The coverage terms in a policy can be difficult to understand and even agents have difficulty translating policy wording. Listed below are the usual coverages found on most insurance policies.
Coverage for medical payments and/or PIP provide coverage for short-term medical expenses such as funeral costs, dental work and hospital visits. They are utilized in addition to your health insurance policy or if you do not have health coverage. Coverage applies to you and your occupants and also covers getting struck while a pedestrian. PIP coverage is not universally available and may carry a deductible
This coverage pays to fix your vehicle from damage resulting from colliding with another vehicle or an object, but not an animal. You will need to pay your deductible and the rest of the damage will be paid by collision coverage.
Collision can pay for things such as sustaining damage from a pot hole, crashing into a building, rolling your car, driving through your garage door and scraping a guard rail. Collision coverage makes up a good portion of your premium, so you might think about dropping it from vehicles that are older. Drivers also have the option to bump up the deductible to get cheaper collision coverage.
Your UM/UIM coverage gives you protection when other motorists either have no liability insurance or not enough. Covered claims include injuries to you and your family as well as your vehicle’s damage.
Since many drivers carry very low liability coverage limits, their limits can quickly be used up. For this reason, having high UM/UIM coverages is important protection for you and your family. Usually these limits are identical to your policy’s liability coverage.
This coverage protects you from damages or injuries you inflict on other people or property in an accident. This coverage protects you against other people’s claims. Liability doesn’t cover damage sustained by your vehicle in an accident.
Liability coverage has three limits: per person bodily injury, per accident bodily injury, and a property damage limit. You might see liability limits of 25/50/25 that translate to a $25,000 limit per person for injuries, a total of $50,000 of bodily injury coverage per accident, and property damage coverage for $25,000. Occasionally you may see one limit called combined single limit (CSL) which combines the three limits into one amount with no separate limits for injury or property damage.
Liability insurance covers claims like medical expenses, legal defense fees, structural damage, repair bills for other people’s vehicles and pain and suffering. How much liability should you purchase? That is a decision to put some thought into, but it’s cheap coverage so purchase as much as you can afford.
This coverage will pay to fix damage OTHER than collision with another vehicle or object. You first must pay your deductible and then insurance will cover the rest of the damage.
Comprehensive coverage protects against things like hitting a deer, fire damage, damage from getting keyed, falling objects and damage from flooding. The maximum amount you’ll receive from a claim is the actual cash value, so if your deductible is as high as the vehicle’s value it’s probably time to drop comprehensive insurance.
Cost effective 1999 Honda Odyssey insurance is definitely available both online in addition to many insurance agents, and you should be comparing both to have the best selection. Some insurance companies may not provide online quoting and most of the time these smaller providers provide coverage only through independent insurance agents.
When searching for affordable car insurance quotes, do not buy less coverage just to save a little money. In many instances, an insured dropped liability coverage limits and discovered at claim time they didn’t purchase enough coverage. The aim is to buy a smart amount of coverage at the best price, but don’t skip important coverages to save money.