Wish you could get out of an overpriced insurance policy? It’s quite common and you’re not the only one.
Due to the abundance of insurance companies to choose from, it’s nearly impossible to choose the cheapest insurer.
Finding the best rates is not rocket science. Basically, every driver who buys insurance coverage will be able to find better rates. Nevertheless, consumers must know the way insurance companies compete online and apply this information to your search.
The method we recommend to get rate comparisons is to understand most insurance companies provide online access to give rate comparisons. All consumers are required to do is give them some information including if your license is active, daily mileage, if you lease or own, and your general credit rating. The rating information is sent automatically to multiple different insurance companies and they provide comparison quotes within a short period of time.
Insurance can be prohibitively expensive, but there are discounts available that could drop your premiums quite a bit. A few discounts will be applied when you purchase, but occassionally some discounts must be asked about in order for you to get them.
A little disclaimer on discounts, most credits do not apply to all coverage premiums. Some only apply to the price of certain insurance coverages like liability, collision or medical payments. Just because you may think you can get free auto insurance, you aren’t that lucky.
A few companies that may offer quotes with some of the above discounts include:
When quoting, ask all the companies which discounts you qualify for. Some of the discounts discussed earlier may not be available in your area. To see insurance companies offering insurance discounts, follow this link.
When buying the best insurance coverage coverage, there isn’t really a perfect coverage plan. Your needs are not the same as everyone else’s and your policy should reflect that. Here are some questions about coverages that might point out if your situation will benefit from professional help.
If it’s difficult to answer those questions but you think they might apply to your situation, then you may want to think about talking to an insurance agent. If you want to speak to an agent in your area, fill out this quick form or go to this page to view a list of companies.
Learning about specific coverages of insurance aids in choosing the right coverages and the correct deductibles and limits. The terms used in a policy can be confusing and even agents have difficulty translating policy wording. Below you’ll find typical coverage types found on the average insurance policy.
Collision coverage protection
This coverage covers damage to your Mustang resulting from a 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 insurance covers things like backing into a parked car, crashing into a building and hitting a parking meter. Paying for collision coverage can be pricey, so consider removing coverage from vehicles that are older. It’s also possible to increase the deductible to get cheaper collision coverage.
Comprehensive auto coverage
Comprehensive insurance pays for damage that is not covered by collision coverage. You need to pay your deductible first then your comprehensive coverage will pay.
Comprehensive insurance covers things like a broken windshield, damage from flooding, theft, rock chips in glass and hitting a deer. The most a insurance company will pay at claim time is the ACV or actual cash value, so if the vehicle’s value is low it’s not worth carrying full coverage.
UM/UIM (Uninsured/Underinsured Motorist) coverage
Your UM/UIM coverage protects you and your vehicle from other drivers when they either are underinsured or have no liability coverage at all. This coverage pays for injuries to you and your family and damage to your Ford Mustang.
Since many drivers have only the minimum liability required by law, their limits can quickly be used up. That’s why carrying high Uninsured/Underinsured Motorist coverage should not be overlooked.
Liability car insurance
This coverage protects you from damage or injury you incur to people or other property in an accident. Split limit liability has three limits of coverage: per person bodily injury, per accident bodily injury, and a property damage limit. You might see limits of 100/300/100 which means $100,000 in coverage for each person’s injuries, a per accident bodily injury limit of $300,000, and a total limit of $100,000 for damage to vehicles and property.
Liability coverage protects against claims such as structural damage, funeral expenses, emergency aid, attorney fees and repair costs for stationary objects. How much liability coverage do you need? That is a decision to put some thought into, but it’s cheap coverage so purchase as high a limit as you can afford.
Medical payments and PIP coverage
Medical payments and Personal Injury Protection insurance kick in for immediate expenses for chiropractic care, doctor visits and X-ray expenses. They are often used to cover expenses not covered by your health insurance policy or if you do not have health coverage. Medical payments and PIP cover both the driver and occupants as well as being hit by a car walking across the street. Personal Injury Protection is only offered in select states but can be used in place of medical payments coverage
Some companies do not provide online price quotes and usually these smaller companies only sell through independent insurance agencies. Lower-priced car insurance can be bought from both online companies in addition to local insurance agencies, so you should be comparing quotes from both in order to have the best chance of saving money.
As you prepare to switch companies, it’s a bad idea to reduce coverage to reduce premium. There are many occasions where an insured cut full coverage and found out when filing a claim that saving that couple of dollars actually costed them tens of thousands. Your strategy should be to buy a smart amount of coverage at an affordable rate, but do not sacrifice coverage to save money.
Additional information is located at the links below