Are you kicking yourself for buying an overpriced insurance policy? Don’t sweat it because many consumers are feeling buyer’s remorse and feel like there’s no way out.
Because there are so many options when it comes to insurance, it can be hard to choose the most affordable insurance company.
Buying auto insurance is not cheap, but there may be some discounts that could drop your premiums quite a bit. Many discounts should be triggered at the time of quoting, but some need to be specifically requested before being credited.
As a sidenote, some credits don’t apply to your bottom line cost. Some only apply to individual premiums such as medical payments or collision. Even though it may seem like you can get free auto insurance, auto insurance companies aren’t that generous.
Companies and a summarized list of policyholder discounts are shown below.
If you want the cheapest auto insurance quotes, ask each company or agent the best way to save money. Depending on the company, some discounts may not apply to policies in your area. For a list of insurance companies that have a full spectrum of discounts, click here to view.
Most larger insurance companies such as Allstate and Progressive give prices from their websites. Doing online price comparisons is pretty painless because it’s just a matter of typing in the coverage amounts you desire into the form. After you submit the form their quoting system gets your driving record and credit report and provides a quote. Online quotes streamlines rate comparisons, but the time it takes to visit different websites and enter the same data into a form is repetitive and time-consuming. Unfortunately, it is important to have as many quotes as possible if you want to find a lower rate.
An easier way to compare insurance pricing requires only one form that gets price quotes from more than one company. It’s a real time-saver, requires less work, and makes online quotes much more enjoyable and efficient. After sending your information, your coverage is rated and you can choose any or none of the returned quotes. If one or more price quotes are lower than your current rates, it’s easy to complete the application and buy the policy. The entire process just takes a couple of minutes and you will find out if you’re overpaying now.
To find out what other companies charge, simply click here to open in new window and enter your vehicle and coverage information. If you have a policy now, it’s recommended you input the coverages as shown on your current policy. This helps ensure you will have an apples-to-apples comparison for the exact same coverage.
It’s important that you understand the factors that help calculate your premiums. If you have some idea of what positively or negatively impacts your premiums, this allows you to make educated decisions that may result in big savings. Lots of factors are used in the calculation when premium rates are determined. Some are pretty understandable such as your driving record, although some other factors are less apparent like where you live or your vehicle rating.
The following are some of the major factors companies use to determine premiums.
When buying coverage, there really is no perfect coverage plan. Each situation is unique so your insurance needs to address that. For instance, these questions can aid in determining if you may require specific advice.
If it’s difficult to answer those questions, you may need to chat with an insurance agent. If you don’t have a local agent, simply complete this short form or go to this page to view a list of companies.
Allstate and Progressive seem to constantly run ads on TV and radio. All the ads advertise the message that drivers will save a bundle if you change your insurance coverage to their company. Is it even possible that every company can sell you cheaper insurance coverage? This is how they do it.
Different companies have specific characteristics for the type of driver they prefer to insure. For instance, this type of risk profile might be between 25 and 40, is a homeowner, and drives less than 7,500 miles a year. Anybody that matches those criteria will get a cheap rate quote and most likely will save a lot if they switch.
People who do not fit this ideal profile will be charged higher prices and the customer not purchasing. The trick is to say “drivers who switch” not “everybody who quotes” save that much money. That’s the way companies can truthfully advertise the savings. Because of this risk profiling, you really need to do a rate comparison at every renewal. Because you never know the company that will be your best fit.
Learning about specific coverages of car insurance aids in choosing appropriate coverage at the best deductibles and correct limits. The terms used in a policy can be ambiguous and even agents have difficulty translating policy wording. Shown next are typical coverages found on the average car insurance policy.
Liability insurance
Liability insurance will cover damages or injuries you inflict on a person or their property. This coverage protects you against other people’s claims, and doesn’t cover your injuries or vehicle damage.
Liability coverage has three limits: bodily injury per person, bodily injury per accident and property damage. You might see policy limits of 50/100/50 that means you have a limit of $50,000 per injured person, $100,000 for the entire accident, and $50,000 of coverage for damaged propery.
Liability coverage pays for things like loss of income, legal defense fees, pain and suffering, structural damage and medical expenses. How much liability should you purchase? That is your choice, but buy as high a limit as you can afford.
Collision insurance
Collision coverage covers damage to your Five Hundred caused by collision 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 protects against claims like hitting a parking meter, colliding with a tree, sustaining damage from a pot hole and colliding with another moving vehicle. Collision coverage makes up a good portion of your premium, so consider dropping it from lower value vehicles. Another option is to choose a higher deductible to get cheaper collision coverage.
Med pay and Personal Injury Protection (PIP)
Med pay and PIP coverage provide coverage for short-term medical expenses such as doctor visits, chiropractic care, X-ray expenses and prosthetic devices. They are often used to fill the gap from your health insurance plan or if there is no health insurance coverage. It covers not only the driver but also the vehicle occupants and will also cover if you are hit as a while walking down the street. PIP coverage is not available in all states but it provides additional coverages not offered by medical payments coverage
Uninsured/Underinsured Motorist (UM/UIM)
Your UM/UIM coverage gives you protection from other motorists when they do not carry enough liability coverage. It can pay for medical payments for you and your occupants as well as damage to your Ford Five Hundred.
Due to the fact that many drivers carry very low liability coverage limits, it doesn’t take a major accident to exceed their coverage limits. This is the reason having UM/UIM coverage should not be overlooked.
Comprehensive insurance
Comprehensive insurance coverage covers damage OTHER than collision with another vehicle or object. You need to pay your deductible first then your comprehensive coverage will pay.
Comprehensive coverage pays for claims such as damage from getting keyed, damage from a tornado or hurricane, damage from flooding and hitting a bird. The highest amount you’ll receive from a claim is the actual cash value, so if your deductible is as high as the vehicle’s value consider removing comprehensive coverage.
Cheap 2000 Ford Five Hundred insurance is attainable on the web and with local insurance agents, so get free auto insurance quotes from both of them to get a complete price analysis. Some insurance companies may not offer online quoting and many times these small insurance companies work with independent agencies.
When getting auto insurance quotes online, do not reduce needed coverages to save money. In too many instances, an insured dropped uninsured motorist or liability limits to discover at claim time that it was a big mistake. Your focus should be to purchase a proper amount of coverage at a price you can afford.