Lower Your 1994 BMW 5 Series Insurance Cost

Looking for cheaper insurance rates for your BMW 5 Series? No car owner likes buying insurance, especially knowing the cost is too high.

Many insurance companies vie to insure your vehicles, so it’s not easy to compare every insurer to discover the definitive best rate

If you currently have a car insurance policy, you will be able to cut costs considerably using these techniques. Finding the best rates is not that difficult. Although drivers must understand the way insurance companies market insurance on the web and take advantage of how the system works.

Learn how to get auto insurance cheaper

Consumers need to have an understanding of the rating factors that help calculate the price you pay for auto insurance. If you understand what controls the rates you pay, this empowers consumers to make smart changes that will entitle you to better auto insurance rates.

Listed below are a partial list of the pieces used by companies to determine your prices.

  • Annual mileage and car insurance costs – Driving more miles in a year’s time the more you’ll pay to insure it. The majority of insurers charge to insure your cars based upon how the vehicle is primarily used. Cars and trucks left parked in the garage can be on a lower rate level as compared to vehicles used primarily for driving to work. Having the wrong rating on your 5 Series is just wasting money. Make sure your auto insurance declarations sheet is rated on the correct usage for each vehicle, because it can save money.
  • Extra coverages push up rates – There are many additional extra coverages that you can get tricked into buying on your 5 Series policy. Coverages like roadside assistance, towing coverage, and term life insurance are examples of these. They may seem good when talking to your agent, but if you don’t need them get rid of them and save.
  • Safer vehicles cost less to insure – Safe vehicles tend to have lower insurance rates. Highly rated vehicles have better occupant injury protection and fewer serious injuries translates directly to fewer claims and more competitive rates for policyholders.
  • Prevent theft and save – Buying a car with advanced anti-theft systems can help lower your premiums. Theft prevention devices like vehicle immobilizer systems, OnStar, and tracking devices like LoJack can help prevent your vehicle from being stolen.
  • Driver age impacts costs – Older drivers are shown to be more cautious, file fewer claims and get fewer tickets.Teenage drivers are known to be inattentive when behind the wheel so they pay higher auto insurance rates.
  • Which gender costs less? – Over time, data shows that females take fewer risks when driving. This data doesn’t prove that females are better drivers. Males and females have accidents in similar percentages, but the male of the species tend to have more serious accidents. In addition to higher claims, males also receive more major tickets like driving under the influence (DUI).
  • Stay claim-free and lower premiums – If you’re an insured who likes to file claims you can expect either policy cancellation or increased premiums. Insurance companies award most affordable rates to insureds who do not rely on their insurance for small claims. Your car insurance is intended for major claims that would cause financial hardship.
  • Combine policies and save money – Some auto insurance companies will award a discount to policyholders who buy several policies from them. It’s known as a multi-policy discount. The discount can add up to ten or even up to twenty percent in some cases. Even if you qualify for this discount already, you still need to get quotes from other companies to ensure the best deal.

Don’t overlook these insurance discounts

Some companies don’t list every available discount in an easy-to-find place, so we researched both the well known and also the more inconspicuous credits that you can use to lower your rates.

  • Discounts for Federal Employees – Employees or retirees of the government could cut as much as 10% off for 5 Series coverage depending on your company.
  • Driver’s Education for Students – Require your teen driver to enroll in driver’s education in high school.
  • Home Ownership Discount – Just owning your own home can save you money because owning a home is proof of financial responsibility.
  • Smart Student Discounts – Excelling in school may save you up to 25%. Most companies allow this discount up to age 25.
  • Sign Online – Many companies will provide an incentive for buying your policy on your computer.

A little note about advertised discounts, most credits do not apply the the whole policy. Most only cut the cost of specific coverages such as medical payments or collision. So when it seems like you can get free auto insurance, it doesn’t quite work that way. But any discount will help lower your policy premium.

A list of insurance companies and a selection of discounts are detailed below.

  • State Farm may have discounts that include anti-theft, defensive driving training, multiple policy, safe vehicle, and passive restraint.
  • GEICO offers premium reductions for emergency military deployment, anti-lock brakes, air bags, good student, and federal employee.
  • SAFECO offers discounts for homeowner, bundle discounts, accident prevention training, safe driver, teen safety rewards, and teen safe driver.
  • Farmers Insurance policyholders can earn discounts including pay in full, alternative fuel, distant student, business and professional, multi-car, and teen driver.
  • AAA may include discounts for pay-in-full, good student, multi-policy, anti-theft, multi-car, good driver, and AAA membership discount.
  • USAA may offer discounts for new vehicle, good student, safe driver, defensive driver, and vehicle storage.

Check with each company or agent how many discounts you can get. Depending on the company, some discounts may not apply in your area. If you would like to view insurers that offer discounts, click here to view.

When to get professional advice

When it comes to choosing the right insurance coverage, there really is not a “best” method to buy coverage. Everyone’s needs are different so your insurance needs to address that. Here are some questions about coverages that might help in determining whether you would benefit from an agent’s advice.

  • Am I covered when driving in Canada or Mexico?
  • Do I need special endorsements for business use of my vehicle?
  • How much liability insurance is required?
  • Am I covered if my car is in a flood?
  • What if I don’t agree with a claim settlement offer?
  • Do I have coverage if my license is suspended?
  • Do I need higher collision deductibles?
  • Where can I find high-risk insurance?
  • When can I cancel my policy?

If you can’t answer these questions but you think they might apply to your situation, you may need to chat with an insurance agent. To find an agent in your area, take a second and complete this form or go to this page to view a list of companies.

Coverages available on your insurance policy

Learning about specific coverages of your insurance policy helps when choosing the right coverages and proper limits and deductibles. The terms used in a policy can be confusing and even agents have difficulty translating policy wording. These are typical coverages available from insurance companies.

Uninsured/Underinsured Motorist (UM/UIM)

Uninsured or Underinsured Motorist coverage protects you and your vehicle when the “other guys” are uninsured or don’t have enough coverage. It can pay for hospital bills for your injuries and also any damage incurred to your BMW 5 Series.

Due to the fact that many drivers carry very low liability coverage limits, their limits can quickly be used up. So UM/UIM coverage is very important.

Med pay and Personal Injury Protection (PIP)

Med pay and PIP coverage pay for immediate expenses for hospital visits, pain medications, funeral costs, rehabilitation expenses and nursing services. The coverages can be used in conjunction with a health insurance program or if you are not covered by health insurance. Coverage applies to both the driver and occupants as well as being hit by a car walking across the street. PIP is only offered in select states but can be used in place of medical payments coverage

Comprehensive insurance

This coverage pays to fix your vehicle from damage OTHER than collision with another vehicle or object. A deductible will apply and the remainder of the damage will be paid by comprehensive coverage.

Comprehensive can pay for things such as theft, a broken windshield and falling objects. The maximum payout you’ll receive from a claim is the market value of your vehicle, so if your deductible is as high as the vehicle’s value consider dropping full coverage.

Collision protection

Collision coverage will pay to fix damage to your 5 Series caused by collision with an object or car. You first must pay a deductible and the rest of the damage will be paid by collision coverage.

Collision coverage pays for things such as hitting a mailbox, driving through your garage door, sideswiping another vehicle, sustaining damage from a pot hole and rolling your car. Collision is rather expensive coverage, so analyze the benefit of dropping coverage from vehicles that are 8 years or older. Drivers also have the option to bump up the deductible to get cheaper collision coverage.

Auto liability insurance

Liability coverage provides protection from damage or injury you incur to other people or property that is your fault. It protects you against claims from other people, and does not provide coverage for your injuries or vehicle damage.

Coverage consists of three different limits, per person bodily injury, per accident bodily injury, and a property damage limit. You commonly see policy limits of 100/300/100 which means $100,000 bodily injury coverage, a limit of $300,000 in injury protection per accident, and property damage coverage for $100,000.

Liability can pay for claims like legal defense fees, pain and suffering, attorney fees, medical services and loss of income. The amount of liability coverage you purchase is your choice, but it’s cheap coverage so purchase as high a limit as you can afford.

Take this to the bank

Cheap 1994 BMW 5 Series insurance is attainable from both online companies as well as from independent agents, so you need to quote insurance coverage with both to have the best chance of lowering rates. Some insurance companies may not have rate quotes online and these regional insurance providers only sell through independent insurance agents.

When you buy insurance coverage online, it’s very important that you do not buy poor coverage just to save money. There are a lot of situations where an insured cut comprehensive coverage or liability limits only to regret that a couple dollars of savings turned into a financial nightmare. Your goal should be to purchase plenty of coverage at a price you can afford but still have enough coverage for asset protection.

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