No one fancies paying their premiums for car insurance, especially when the prices are way too high. You have multiple car insurance companies to insure vehicles with, and though it is a good thing to be able to choose, too many choices makes it more difficult to find the best rates for your vehicles.
Consumers should take time to compare prices quite often because insurance rates change regularly. Even if you think you had the best rate on XC60 coverage last year you can probably find a better price now. Forget all the misinformation about car insurance because I’m going to teach you the fastest and easiest way to find better rates and still maintain coverage.
Auto insurance companies don’t always list every possible discount in an easy-to-find place, so we break down a few of the more common and also the lesser-known auto insurance savings.
Don’t be surprised that many deductions do not apply the the whole policy. A few only apply to the price of certain insurance coverages like physical damage coverage or medical payments. So even though it sounds like adding up those discounts means a free policy, it doesn’t quite work that way.
A few of the larger companies and a summarized list of policyholder discounts can be read below.
When getting a coverage quote, ask each company or agent to apply every possible discount. Discounts may not apply to policyholders in your area. If you would like to choose from a list of auto insurance companies that offer many of these discounts, click here to view.
When it comes to choosing the right insurance coverage for your vehicles, there really is no one size fits all plan. Everyone’s situation is a little different so this has to be addressed. These are some specific questions could help you determine whether or not you might need an agent’s assistance.
If it’s difficult to answer those questions but one or more may apply to you, then you may want to think about talking to a licensed insurance agent. If you want to speak to an agent in your area, fill out this quick form or you can go here for a list of companies in your area. It only takes a few minutes and can provide invaluable advice.
Consumers get pounded daily by advertisements that claim the cheapest auto insurance rates from the likes of State Farm, GEICO and Progressive. All the companies make the same claim that drivers will save a bundle if you just switch your policy.
How is it plausible that every one can sell you cheaper insurance coverage? Here is the trick they use.
Companies have a certain “appetite” for the type of insured that makes them money. A good example of this type of driver should be a mature driver, insures multiple vehicles, and the vehicle is rated for pleasure use. A customer that hits that “sweet spot” gets the lowest prices and most likely will pay quite a bit less when switching companies.
Potential insureds who may not quite match the requirements will see higher rates with the end result being the prospect going elsewhere. The wording the ads use say “customers who switch” not “everyone that quotes” will save that much if they switch. This is how insurance companies can confidently make it sound like they have such great prices.
This illustrates why it’s extremely important to get insurance quotes from several different companies. It’s impossible to know which insurance companies will give you lower premium rates than your current company.
Knowing the specifics of a car insurance policy can be of help when determining the right coverages for your vehicles. The coverage terms in a policy can be impossible to understand and even agents have difficulty translating policy wording. Below you’ll find typical coverages found on the average car insurance policy.
Medical expense coverage
Medical payments and Personal Injury Protection insurance kick in for short-term medical expenses for things like EMT expenses, chiropractic care and pain medications. They are often used in conjunction with a health insurance plan or if you do not have health coverage. Coverage applies to you and your occupants in addition to being hit by a car walking across the street. PIP coverage is not universally available but can be used in place of medical payments coverage
Comprehensive insurance coverage pays to fix your vehicle from damage that is not covered by collision coverage. A deductible will apply and the remainder of the damage will be paid by comprehensive coverage.
Comprehensive can pay for claims such as rock chips in glass, falling objects, fire damage and damage from getting keyed. The maximum amount 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 removing comprehensive coverage.
Coverage for liability
This provides protection from injuries or damage you cause to a person or their property by causing an accident. It protects you from claims by other people, and does not provide coverage for your injuries or vehicle damage.
Coverage consists of three different limits, bodily injury for each person injured, bodily injury for the entire accident and a property damage limit. As an example, you may have values of 50/100/50 that translate to a $50,000 limit per person for injuries, a limit of $100,000 in injury protection per accident, and property damage coverage for $50,000. Some companies may use a combined single limit or CSL which provides one coverage limit rather than limiting it on a per person basis.
Liability can pay for claims such as bail bonds, attorney fees, medical expenses, loss of income and funeral expenses. How much liability should you purchase? That is your choice, but you should buy as large an amount as possible.
Collision coverage pays to fix your vehicle from damage resulting from colliding with a stationary object or other vehicle. You have to pay a deductible and then insurance will cover the remainder.
Collision coverage pays for claims such as damaging your car on a curb, crashing into a building and driving through your garage door. Collision coverage makes up a good portion of your premium, so you might think about dropping it from vehicles that are older. It’s also possible to raise the deductible to save money on collision insurance.
Uninsured or underinsured coverage
Your UM/UIM coverage protects you and your vehicle when the “other guys” either are underinsured or have no liability coverage at all. This coverage pays for injuries sustained by your vehicle’s occupants and also any damage incurred to your Volvo XC60.
Because many people have only the minimum liability required by law, their liability coverage can quickly be exhausted. So UM/UIM coverage is very important. Frequently your uninsured/underinsured motorist coverages are similar to your liability insurance amounts.
When getting insurance quotes online, it’s a bad idea to buy poor coverage just to save money. There are many occasions where an insured cut physical damage coverage and discovered at claim time they didn’t purchase enough coverage. Your strategy should be to purchase a proper amount of coverage at the lowest possible cost, but do not sacrifice coverage to save money.
More affordable car insurance is possible online and with local insurance agents, so get free insurance quotes from both of them so you have a total pricing picture. Some insurance companies don’t offer the ability to get a quote online and usually these regional insurance providers only sell coverage through independent agents.
More detailed car insurance information can be read in the articles below: