Wish you could get a refund on an expensive auto insurance policy? Trust us, there are lots of people in the same boat. Many insurance companies compete to insure your vehicles, and it can be difficult to compare rates and uncover the absolute cheapest price
The cost of insuring your cars can be expensive, but there could be significant discounts to reduce the price significantly. Most are applied when you purchase, but some need to be asked for in order for you to get them.
As a sidenote, most credits do not apply to the entire cost. Most only apply to individual premiums such as liability, collision or medical payments. So even though it sounds like adding up those discounts means a free policy, insurance coverage companies aren’t that generous.
If you would like to see a list of insurers that offer multiple discounts, click here to view.
Many things are taken into consideration when pricing auto insurance. A few of the factors are predictable like a motor vehicle report, although some other factors are not quite as obvious such as whether you are married or your financial responsibility.Consumers need to have an understanding of the different types of things that help determine the rates you pay for car insurance. When you know what positively or negatively impacts premium levels, this helps enable you to make changes that can help you get cheaper rates.
The itemized list below are a partial list of the pieces used by insurance companies to determine your rate level.
When buying coverage for your personal vehicles, there is no “perfect” insurance plan. Everyone’s situation is a little different so this has to be addressed. For example, these questions may help highlight if your insurance needs would benefit from an agent’s advice.
If you’re not sure about those questions, you may need to chat with a licensed agent. If you want to speak to an agent in your area, take a second and complete this form or you can also visit this page to select a carrier It only takes a few minutes and you can get the answers you need.
Consumers constantly see and hear ads that promise big savings for switching by companies like State Farm, Allstate and Geico. They all seem to state the claim that people will save if you move your policy.
That’s great but how can every company cost less than your current company? This is how they do it.
Many companies have specific criteria for the right customer that will generate a profit. For instance, a desirable insured might have to be between the ages of 30 and 50, has few claims, and drives a safe vehicle. Any driver who matches that profile will probably get the lowest premium rates and will also save a lot if they switch.
Insureds who do not meet this ideal profile will probably have to pay higher premium rates and this can result in the customer not buying. The trick companies use is to say “people that switch” but not “everyone who gets a quote” save money. That’s why companies can make claims like that.
Because of these techniques, it’s extremely important to get as many free car insurance quotes as possible. Because you cannot predict which insurance companies will have the best premium rates for your profile.
Knowing the specifics of your auto insurance policy helps when choosing the right coverages and the correct deductibles and limits. The terms used in a policy can be ambiguous and nobody wants to actually read their policy. These are the normal coverages available from auto insurance companies.
Collision coverage protection
Collision coverage pays for damage to your Escape caused by collision with another vehicle or an object, but not an animal. You have to pay a deductible and the rest of the damage will be paid by collision coverage.
Collision coverage protects against claims like colliding with another moving vehicle, hitting a parking meter, driving through your garage door and crashing into a building. Collision coverage makes up a good portion of your premium, so consider dropping it from vehicles that are 8 years or older. Another option is to raise the deductible to get cheaper collision coverage.
Comprehensive protection
Comprehensive insurance coverage pays to fix your vehicle from damage from a wide range of events other than collision. You need to pay your deductible first and then insurance will cover the rest of the damage.
Comprehensive can pay for things such as a broken windshield, hail damage and vandalism. The maximum payout you can receive from a comprehensive claim is the ACV or actual cash value, so if your deductible is as high as the vehicle’s value it’s not worth carrying full coverage.
Medical expense coverage
Personal Injury Protection (PIP) and medical payments coverage reimburse you for bills like dental work, chiropractic care and rehabilitation expenses. They are used to cover expenses not covered by your health insurance policy or if you are not covered by health insurance. Medical payments and PIP cover you and your occupants and also covers any family member struck as a pedestrian. PIP is not available in all states but can be used in place of medical payments coverage
Liability
Liability coverage protects you from damages or injuries you inflict on people or other property that is your fault. It protects you against claims from other people. It does not cover your own vehicle damage or injuries.
It consists of three limits, bodily injury for each person, bodily injury for the entire accident, and a limit for property damage. You might see limits of 100/300/100 which stand for $100,000 in coverage for each person’s injuries, a limit of $300,000 in injury protection per accident, and $100,000 of coverage for damaged propery. Occasionally you may see a combined single limit or CSL which combines the three limits into one amount with no separate limits for injury or property damage.
Liability can pay for claims such as legal defense fees, repair bills for other people’s vehicles and pain and suffering. How much liability should you purchase? That is up to you, but consider buying as much as you can afford.
Uninsured or underinsured coverage
Uninsured or Underinsured Motorist coverage provides protection when the “other guys” either have no liability insurance or not enough. Covered losses include medical payments for you and your occupants as well as your vehicle’s damage.
Due to the fact that many drivers only purchase the least amount of liability that is required, their liability coverage can quickly be exhausted. That’s why carrying high Uninsured/Underinsured Motorist coverage is very important. Usually these coverages do not exceed the liability coverage limits.
Lower-priced 2005 Ford Escape insurance can be sourced on the web and also from your neighborhood agents, so you need to quote car insurance with both to get a complete price analysis. Some insurance companies do not offer online price quotes and most of the time these small, regional companies prefer to sell through local independent agencies.
As you go through the steps to switch your coverage, make sure you don’t skimp on coverage in order to save money. Too many times, an insured dropped liability coverage limits only to regret at claim time that a couple dollars of savings turned into a financial nightmare. The goal is to buy the best coverage you can find at a price you can afford, but do not skimp to save money.
We just covered quite a bit of information on how to lower your 2005 Ford Escape insurance premium rates. The key thing to remember is the more rate comparisons you have, the better likelihood of getting low cost car insurance. You may even discover the biggest savings come from some of the smallest insurance companies. They may cover specific market segments cheaper as compared to the big name companies such as Progressive and Geico.
Even more information is available at these sites: