Are you kicking yourself for buying overpriced auto insurance? Trust us when we tell you you’re not alone.
Because there are so many companies to choose from, it can be challenging to find the lowest cost company.
Comparing car insurance rates is a ton of work if you don’t utilize the fastest way to get free quotes. You can waste a few hours (or days) discussing policy coverages with local insurance agents in your area, or you could use online quotes to get pricing more quickly.
Many companies belong to an insurance system that allows shoppers to submit their information once, and each company returns a competitive quote determined by their information. This system prevents you from having to do quote forms to each company. To find out what other companies charge click to open in new window.
The single downside to using this type of system is that consumers can’t choose which carriers to receive prices from. So if you prefer to pick specific insurance companies to compare rates, we have a listing of car insurance companies in your area. Click here to view list.
Which method you use is up to you, but be sure to compare apples-to-apples coverage information on every quote. If you have unequal deductibles or liability limits it’s not possible to truly determine the lowest rate. Just slight variations in insurance coverages or limits could mean much higher rates. And when comparison shopping, quoting more gives you a better chance of getting the best rates.
Companies that sell car insurance don’t always list every policy discount in a way that’s easy to find, so below is a list a few of the more well known in addition to some of the lesser obvious car insurance savings. If you do not double check each discount you deserve, you’re paying more than you need to.
Discounts save money, but please remember that some credits don’t apply to your bottom line cost. The majority will only reduce individual premiums such as physical damage coverage or medical payments. If you do the math and it seems like you would end up receiving a 100% discount, that’s just not realistic.
If you would like to see a list of insurers that can offer you the previously mentioned discounts, click here to view.
Many factors are part of the calculation when premium rates are determined. Most are fairly basic like your driving record, but other criteria are not quite as obvious such as whether you are married or your commute time.
The itemized list below are a partial list of the pieces used by insurance companies to determine your rate level.
When choosing the right insurance coverage, there is no “perfect” insurance plan. Everyone’s situation is unique and your policy should reflect that. Here are some questions about coverages that might help in determining if your insurance needs would benefit from an agent’s advice.
If you don’t know the answers to these questions but you think they might apply to your situation, you may need to chat with a licensed insurance agent. If you don’t have a local agent, take a second and complete this form or you can go here for a list of companies in your area.
Understanding the coverages of a car insurance policy can help you determine the right coverages and the correct deductibles and limits. Car insurance terms can be difficult to understand and coverage can change by endorsement. Listed below are the normal coverages found on the average car insurance policy.
Comprehensive (Other than Collision) – Comprehensive insurance coverage pays for damage from a wide range of events other than collision. A deductible will apply and the remainder of the damage will be paid by comprehensive coverage.
Comprehensive coverage protects against things like vandalism, damage from getting keyed, damage from flooding and damage from a tornado or hurricane. The most your car insurance company will pay is the market value of your vehicle, so if your deductible is as high as the vehicle’s value it’s not worth carrying full coverage.
Liability coverages – Liability coverage can cover damages or injuries you inflict on other’s property or people that is your fault. This coverage protects you from legal claims by others. Liability doesn’t cover 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 values of 50/100/50 that means you have a $50,000 limit per person for injuries, a limit of $100,000 in injury protection per accident, and $50,000 of coverage for damaged propery.
Liability coverage protects against things such as emergency aid, legal defense fees and repair costs for stationary objects. How much liability should you purchase? That is a personal decision, but buy as large an amount as possible.
Medical expense insurance – Coverage for medical payments and/or PIP provide coverage for expenses like X-ray expenses, ambulance fees and pain medications. They are used to cover expenses not covered by your health insurance program or if you lack health insurance entirely. It covers both the driver and occupants and will also cover being hit by a car walking across the street. PIP is not universally available and gives slightly broader coverage than med pay
Protection from uninsured/underinsured drivers – Your UM/UIM coverage provides protection when the “other guys” either have no liability insurance or not enough. Covered losses include injuries sustained by your vehicle’s occupants as well as your vehicle’s damage.
Since a lot of drivers only purchase the least amount of liability that is required, their liability coverage can quickly be exhausted. So UM/UIM coverage is a good idea.
Collision coverage – This pays to fix your vehicle from damage resulting from colliding with another vehicle or an object, but not an animal. A deductible applies then your collision coverage will kick in.
Collision coverage pays for claims such as backing into a parked car, colliding with a tree, scraping a guard rail, hitting a parking meter and sideswiping another vehicle. This coverage can be expensive, so you might think about dropping it from vehicles that are older. Drivers also have the option to increase the deductible to bring the cost down.
While you’re price shopping online, it’s a bad idea to buy less coverage just to save a little money. In many instances, someone sacrificed comprehensive coverage or liability limits only to regret that a couple dollars of savings turned into a financial nightmare. Your focus should be to purchase a proper amount of coverage at the lowest possible cost but still have enough coverage for asset protection.
Cheaper 2008 Mercury Mariner Hybrid insurance can be found online in addition to local insurance agencies, and you need to comparison shop both to have the best selection. Some insurance companies may not provide online price quotes and most of the time these small, regional companies prefer to sell through local independent agents.
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