Purchasing lower-cost auto insurance can be rather challenging for people who are beginners to quoting and online price comparisons. Because there are so many companies, how are people expected to have the ability to compare them all to find the best available rates?
If you are paying for car insurance now, you will most likely be able to cut costs considerably using these techniques. The purpose of this article is to tell you how to effectively get price quotes and some money-saving tips. But vehicle owners should learn the way companies price insurance differently and use this information to your advantage.
Smart consumers have a good feel for some of the things that play a part in calculating the level of your policy premiums. If you understand what impacts premium levels, this enables informed choices that will entitle you to lower insurance prices.
Companies don’t list their entire list of discounts in an easy-to-find place, so here is a list both the well known and the harder-to-find credits available to lower your premiums when you buy insurance coverage online.
Just know that many deductions do not apply to the overall cost of the policy. Most only reduce the cost of specific coverages such as liability, collision or medical payments. So even though they make it sound like you could get a free auto insurance policy, insurance companies wouldn’t stay in business. Any qualifying discounts will cut your overall bill.
Auto insurance companies that possibly offer some of the above discounts are:
Before buying, ask every prospective company which discounts you may be entitled to. Some discounts listed above may not be available in your state. For a list of insurance companies that offer multiple discounts, follow this link.
When it comes to choosing the best auto insurance coverage, there is no “perfect” insurance plan. Everyone’s situation is unique.
For instance, these questions may help you determine whether your personal situation may require specific advice.
If it’s difficult to answer those questions, you may need to chat with an insurance agent. To find lower rates from a local agent, fill out this quick form.
Understanding the coverages of your insurance policy can be of help when determining the right coverages and proper limits and deductibles. Policy terminology can be ambiguous and even agents have difficulty translating policy wording.
Collision coverage protection
Collision insurance pays to fix your vehicle from damage caused by collision with another car or object. You first must pay a deductible and the rest of the damage will be paid by collision coverage.
Collision coverage pays for things like rolling your car, colliding with a tree, backing into a parked car and damaging your car on a curb. Paying for collision coverage can be pricey, so you might think about dropping it from vehicles that are 8 years or older. You can also bump up the deductible to save money on collision insurance.
Insurance for medical payments
Med pay and PIP coverage reimburse you for immediate expenses such as prosthetic devices, hospital visits, EMT expenses, rehabilitation expenses and doctor visits. The coverages can be utilized in addition to your health insurance plan or if there is no health insurance coverage. Coverage applies to all vehicle occupants as well as getting struck while a pedestrian. Personal Injury Protection is only offered in select states but can be used in place of medical payments coverage
Uninsured Motorist or Underinsured Motorist insurance
Your UM/UIM coverage protects you and your vehicle’s occupants from other motorists when they do not carry enough liability coverage. Covered losses include injuries to you and your family and damage to your 1996 GMC Safari.
Since many drivers only carry the minimum required liability limits, their limits can quickly be used up. This is the reason having UM/UIM coverage should not be overlooked. Most of the time the UM/UIM limits are similar to your liability insurance amounts.
Comprehensive coverage (or Other than Collision)
This pays for damage caused by mother nature, theft, vandalism and other events. You first must pay your deductible then your comprehensive coverage will pay.
Comprehensive can pay for claims like fire damage, a tree branch falling on your vehicle, hitting a deer and theft. The highest amount you can receive from a comprehensive claim is the actual cash value, so if it’s not worth much more than your deductible it’s probably time to drop comprehensive insurance.
Liability insurance
This provides protection from damage or injury you incur to other people or property that is your fault. It protects YOU from legal claims by others, and doesn’t cover damage to your own property or vehicle.
Liability coverage has three limits: per person bodily injury, per accident bodily injury, and a property damage limit. As an example, you may have values of 100/300/100 which stand for $100,000 bodily injury coverage, $300,000 for the entire accident, and a limit of $100,000 paid for damaged property. Alternatively, you may have one limit called combined single limit (CSL) that pays claims from the same limit rather than limiting it on a per person basis.
Liability insurance covers things like repair costs for stationary objects, loss of income, structural damage and funeral expenses. The amount of liability coverage you purchase is your choice, but buy higher limits if possible.
Drivers leave their current company for a variety of reasons including extreme rates for teen drivers, not issuing a premium refund, policy non-renewal or being labeled a high risk driver. No matter why you want to switch, finding a new company is easier than you think.
You just read many tips how you can shop for 1996 GMC Safari insurance online. The most important thing to understand is the more price quotes you have, the higher your chance of finding inexpensive insurance coverage. You may even discover the best price on car insurance is with the least-expected company.
When trying to cut insurance costs, don’t be tempted to sacrifice coverage to reduce premiums. There have been many situations where someone sacrificed collision coverage and learned later that it was a big mistake. The proper strategy is to get the best coverage possible at the best possible price.
Eartha Mays
All insurance companies are crooks.
Shondra Valencia
Will GEICO cancel if I have a claim?
Noel Sutton
I’m from Grand Forks, North Dakota. Checked online prices for a 1996 GMC Safari. Ended up at about $100 savings annually. Went with Progressive. Book value doesn’t justify full coverage anymore.
Herta Willis
Just my two cents. I live on the south side of Shreveport, LA. I quoted with USAA, Auto-Owners, The General, and MetLife for my GMC and saved just over $110 a year. I have kids on my policy, too. I recommend comparing lots of rates.
Elouise Reeves
Enjoyed the article. I live just outside Nampa, ID. I quoted with AAA, Erie, and MetLife for my Safari and saved about $100 a year. Ask about discounts. Not sure if rates are cheaper online or through an agent. Full coverage costs too much.
Lydia Romero
I live on the south side of Bridgeport, Connecticut. Checked online prices for a 1996 GMC Safari. Ended up at about $120 savings annually. Went with GEICO. Left Encompass to switch. Anyone else drop full coverage?
Shawna Fuller
In Aurora, Illinois compare State Farm with Progressive and see which is best.
Twanda Davenport
Good site, thanks. I’m in the south part of Springfield, MO. I got free rates from Allstate, Farmers, and The General for my Safari and saved just over $80 a year. I just quoted rates online.
Curtis Dixon
Is a custom audio system covered by insurance?