Nobody likes buying insurance, especially knowing the prices are way too high. Consumers have many insurers to insure vehicles with, and although it’s a good thing to have a selection, so many choices can make it hard to find the best rates for your vehicles.
Lots of factors are considered when pricing auto insurance. Some of the criteria are obvious like a motor vehicle report, although some other factors are less obvious like where you live and annual miles driven.Consumers need to have an understanding of a few of the rating criteria that are used to determine your insurance rates. If you have some idea of what influences your rates, this enables you to make decisions that can help you get cheaper rates.
Listed below are just a few of the factors companies use to determine your prices.
There are multiple methods you can shop for insurance coverage but one way is easier and takes less work. You can waste a lot of time talking about coverages with insurance companies in your area, or you can stay home and use online quoting to get prices fast.
Many insurance companies enroll in a system where prospective buyers only type in their quote data once, and each participating company then gives them pricing determined by their information. This prevents consumers from doing quote requests to every company.
To participate in this free quote system, click here (opens in new window).
The only downside to using this type of form is you are unable to specify which carriers you want pricing from. So if you prefer to choose specific providers to request quotes from, we have a page of low cost insurance coverage companies in your area. Click here for list of insurance companies.
It’s up to you which method you use, but make sure you compare equivalent coverage limits and deductibles for every quote you compare. If your comparisons have different deductibles it will be impossible to determine the lowest rate for your Toyota Tacoma.
Consumers get pounded daily by advertisements for the lowest price insurance from the likes of Geico, State Farm and Progressive. They all seem to tend to make the same promise that you’ll save big if you change your coverage to them.
How does each company offer you a better deal? Just pay attention to how they say it.
Most companies have specific guidelines for the type of driver that earns them the most money. An example of this type of risk profile might be a female over age 40, has never had a claim, and has a short commute. A customer that matches those criteria receives the best car insurance rates as well as cut their rates if they switch.
Consumers who cannot meet the requirements will probably have to pay higher premiums and ends up with the prospect going elsewhere. Company advertisements say “people that switch” not “all people who quote” save that much money. This is how insurance companies can state the savings.
This emphasizes why it’s extremely important to get car insurance quotes from several different companies. Because without a comparison, you cannot know which company will fit you best based on your risk profile.
Buying insurance is not cheap, but there could be significant discounts that may help make it more affordable. Certain discounts will be triggered automatically when you get a quote, but a few must be requested specifically before you get the savings. If you check and find you aren’t receiving every discount you qualify for, you are just wasting money.
One thing to note about discounts is that many deductions do not apply to all coverage premiums. Some only apply to specific coverage prices like comp or med pay. Even though the math looks like adding up those discounts means a free policy, it doesn’t quite work that way.
A list of companies and their offered discounts can be read below.
It’s a good idea to ask each company or agent to apply every possible discount. All car insurance discounts may not apply to policies in your area. To find insurance companies that can offer you the previously mentioned discounts, click here.
When it comes to buying proper insurance coverage, there isn’t really a cookie cutter policy. Your needs are not the same as everyone else’s and a cookie cutter policy won’t apply. Here are some questions about coverages that may help you determine whether your personal situation will benefit from professional help.
If you’re not sure about those questions but one or more may apply to you, you may need to chat with a licensed insurance agent. To find an agent in your area, simply complete this short form or you can go here for a list of companies in your area. It only takes a few minutes and may give you better protection.
Understanding the coverages of a auto insurance policy aids in choosing which coverages you need and proper limits and deductibles. The coverage terms in a policy can be confusing and nobody wants to actually read their policy. Shown next are the usual coverages found on the average auto insurance policy.
This covers damage to your Tacoma resulting from colliding with an object or car. You will need to pay your deductible and the rest of the damage will be paid by collision coverage.
Collision insurance covers claims like sustaining damage from a pot hole, colliding with another moving vehicle, colliding with a tree, crashing into a building and sideswiping another vehicle. This coverage can be expensive, so analyze the benefit of dropping coverage from lower value vehicles. It’s also possible to raise the deductible to bring the cost down.
Uninsured or Underinsured Motorist coverage gives you protection from other motorists when they either have no liability insurance or not enough. Covered losses include hospital bills for your injuries as well as your vehicle’s damage.
Due to the fact that many drivers carry very low liability coverage limits, their liability coverage can quickly be exhausted. That’s why carrying high Uninsured/Underinsured Motorist coverage is a good idea. Normally the UM/UIM limits are similar to your liability insurance amounts.
Liability insurance will cover damage that occurs to other people or property that is your fault. This coverage protects you against claims from other people. It does not cover your own vehicle damage or injuries.
Coverage consists of three different limits, per person bodily injury, per accident bodily injury, and a property damage limit. You commonly see values of 25/50/25 which means a $25,000 limit per person for injuries, a total of $50,000 of bodily injury coverage per accident, and a total limit of $25,000 for damage to vehicles and property. Another option is one limit called combined single limit (CSL) which combines the three limits into one amount and claims can be made without the split limit restrictions.
Liability can pay for things such as funeral expenses, legal defense fees, court costs and structural damage. How much liability should you purchase? That is your choice, but consider buying higher limits if possible.
Comprehensive insurance coverage will pay to fix damage caused by mother nature, theft, vandalism and other events. A deductible will apply then the remaining damage will be covered by your comprehensive coverage.
Comprehensive can pay for claims such as damage from getting keyed, theft and hitting a bird. The maximum payout a auto insurance company will pay at claim time is the market value of your vehicle, so if it’s not worth much more than your deductible it’s not worth carrying full coverage.
Coverage for medical payments and/or PIP reimburse you for bills such as pain medications, prosthetic devices and funeral costs. They are often utilized in addition to your health insurance program or if you lack health insurance entirely. Medical payments and PIP cover all vehicle occupants and also covers getting struck while a pedestrian. Personal injury protection coverage is not an option in every state but can be used in place of medical payments coverage
When trying to cut insurance costs, never buy less coverage just to save a little money. Too many times, drivers have reduced uninsured motorist or liability limits only to discover later they didn’t purchase enough coverage. The goal is to buy a smart amount of coverage at an affordable rate while still protecting your assets.
We covered many ways to lower your 1999 Toyota Tacoma insurance prices. The most important thing to understand is the more rate comparisons you have, the higher the chance of saving money. You may even find the lowest prices come from a smaller regional carrier. Smaller companies can often insure niche markets at a lower cost compared to the large companies like Progressive or Geico.
Additional detailed information can be found by following these links: