No car owner looks forward to paying premiums for car insurance, especially knowing they could find better prices if they shop around. Many insurers vie for your insurance dollar, so it can be very hard to choose a insurer to find the best rates possible.
If you have insurance now or need a new policy, you can learn to find better prices while maintaining coverages. Finding the best rates is quite easy. Vehicle owners only need an understanding of the tricks to shop on the web.
Smart consumers have a good feel for a few of the rating criteria that aid in calculating the rates you pay for insurance. If you have a feel for what influences your rates, this enables informed choices that could result in better insurance rates. Multiple criteria are considered when premium rates are determined. Some are obvious like your driving record, although some other factors are more obscure such as your credit history or how financially stable you are.
The following are some of the things companies use to determine your rate level.
There are a lot of ways to shop for insurance, and some are more efficient than others. You could spend the better part of a day talking about coverages with insurance agencies in your area, or you could use the web to quickly compare rates.
Most major companies belong to a marketplace where prospective buyers submit their information once, and each company provides a quote based on the submitted data. This saves time by eliminating form submissions for every insurance company. To use this form to compare rates click here (opens in new window).
The one disadvantage to using this type of form is you cannot specify the companies you want to price. So if you prefer to pick from a list of companies to compare prices, we have a listing of companies who write insurance in your area. Click here for list of insurance companies.
Whichever way you use, double check that you are using equivalent coverage information with every price quote. If you use different liability limits it will be very difficult to determine which rate is truly the best.
Drivers constantly see and hear ads that claim the cheapest car insurance rates from the likes of 21st Century, Allstate and State Farm. They all advertise claims that drivers can save some big amount if you change your auto insurance policy to them.
It sounds good, but how can they all give you a lower rate? It’s all in the wording.
Companies provide the lowest rates for the type of customer that will not have excessive claims. A good example of a desirable insured could possibly be a female over age 40, carries full coverage, and drives a safe vehicle. A customer getting a price quote who fits that profile will get very good prices and therefore will save when switching.
Drivers who don’t qualify for these criteria must pay higher rates which usually ends up with the customer not purchasing. The ad wording is “drivers who switch” not “everyone that quotes” can get the lowest rates when switching. This is how companies can truthfully state the savings. Different companies use different criteria so you really need to get auto insurance quotes from several different companies. You cannot predict which company will have better rates than you’re paying now.
Not too many consumers would say auto insurance is affordable, but you may qualify for discounts that you may not even be aware of. Some discounts will apply when you purchase, but less common discounts must be asked for before they will apply.
Discounts save money, but please remember that most of the big mark downs will not be given to all coverage premiums. Most only reduce individual premiums such as physical damage coverage or medical payments. Just because you may think all the discounts add up to a free policy, companies don’t profit that way.
To view providers that offer many of these discounts, follow this link.
When it comes to choosing the best insurance coverage, there is no single plan that fits everyone. Everyone’s situation is a little different and a cookie cutter policy won’t apply. Here are some questions about coverages that may help highlight whether your personal situation would benefit from professional advice.
If you don’t know the answers to these questions, you may need to chat with an agent. If you don’t have a local agent, simply complete this short form or click here for a list of insurance companies in your area. It only takes a few minutes and you can get the answers you need.
Knowing the specifics of a insurance policy helps when choosing the right coverages and the correct deductibles and limits. Policy terminology can be difficult to understand and reading a policy is terribly boring. These are typical coverages found on the average insurance policy.
Liability auto insurance – This will cover injuries or damage you cause to a person or their property in an accident. It protects you against claims from other people, and does not provide coverage for your own vehicle damage or injuries.
Liability coverage has three limits: bodily injury for each person, bodily injury for the entire accident, and a limit for property damage. You might see values of 25/50/25 that means you have $25,000 in coverage for each person’s injuries, a per accident bodily injury limit of $50,000, and a limit of $25,000 paid for damaged property.
Liability can pay for things such as medical expenses, funeral expenses and pain and suffering. The amount of liability coverage you purchase is up to you, but you should buy as large an amount as possible.
Medical costs insurance – Med pay and PIP coverage pay for expenses for things like doctor visits, EMT expenses, surgery, rehabilitation expenses and ambulance fees. They can be utilized in addition to your health insurance program or if there is no health insurance coverage. Coverage applies to all vehicle occupants and also covers any family member struck as a pedestrian. Personal Injury Protection is not available in all states but it provides additional coverages not offered by medical payments coverage
Comprehensive or Other Than Collision – This coverage pays to fix your vehicle from damage OTHER than collision with another vehicle or object. You need to pay your deductible first and the remainder of the damage will be paid by comprehensive coverage.
Comprehensive can pay for things such as damage from getting keyed, fire damage and hitting a deer. The most you can receive from a comprehensive claim is the actual cash value, so if your deductible is as high as the vehicle’s value consider dropping full coverage.
UM/UIM Coverage – This protects you and your vehicle’s occupants when other motorists do not carry enough liability coverage. Covered losses include injuries sustained by your vehicle’s occupants as well as damage to your 2007 Ford Mustang.
Due to the fact that many drivers only carry the minimum required liability limits, it doesn’t take a major accident to exceed their coverage limits. So UM/UIM coverage is important protection for you and your family.
Collision coverage – This pays for damage to your Mustang from colliding with another vehicle or an object, but not an animal. You first must pay a deductible and then insurance will cover the remainder.
Collision insurance covers things like crashing into a building, backing into a parked car and hitting a parking meter. Collision is rather expensive coverage, so you might think about dropping it from older vehicles. Drivers also have the option to raise the deductible to bring the cost down.
When shopping online for insurance, make sure you don’t buy poor coverage just to save money. There are too many instances where drivers have reduced collision coverage and learned later that the savings was not a smart move. Your goal is to get the best coverage possible at the best possible price and still be able to protect your assets.
The cheapest 2007 Ford Mustang insurance can be sourced from both online companies and with local insurance agents, so you should be comparing quotes from both to have the best rate selection. There are still a few companies who do not provide online price quotes and usually these regional carriers work with independent insurance agencies.