Being forced to pay for overpriced insurance coverage premiums can dwindle your personal savings and maybe even restrict other spending. Online insurance companies like GEICO, Progressive and Allstate all claim big savings, bombarding you with fancy advertisements and it can be hard to ignore the flashy ads and effectively compare rates to find the best deal.
Companies that sell car insurance do not list every disount available very clearly, so the below list has both well-publicized and the more hidden discounts that you can inquire about if you buy insurance online. If they aren’t giving you every credit you deserve, you’re just leaving money on the table.
Just know that some of the credits will not apply the the whole policy. A few only apply to individual premiums such as physical damage coverage or medical payments. Just because it seems like all the discounts add up to a free policy, companies wouldn’t make money that way. But all discounts will lower the cost of your policy.
Some of the insurance companies that may offer quotes with some of the discounts shown above include:
If you want the cheapest insurance quotes, ask every company what discounts are available to you. Discounts may not be available in your area.
Consumers need to have an understanding of some of the elements that aid in calculating the rates you pay for car insurance. If you have some idea of what impacts premium levels, this allows you to make good choices that may reward you with lower rates. Lots of things are taken into consideration when premium rates are determined. Some of the criteria are obvious like your driving record, although others are not as apparent such as your marital status or your commute time.
Shown below are some of the major factors utilized by car insurance companies to help set your premiums.
When it comes to buying coverage, there is no one size fits all plan. Everyone’s situation is a little different and a cookie cutter policy won’t apply. For instance, these questions can help discover if you might need professional guidance.
If you’re not sure about those questions, then you may want to think about talking to an agent. To find an agent in your area, fill out this quick form or click here for a list of insurance companies in your area. It only takes a few minutes and can provide invaluable advice.
Consumers can’t escape the ads for auto insurance savings by companies like State Farm, Allstate and GEICO. They all seem to make the promise of big savings if you get a free insurance quote and switch your auto insurance coverage to their company.
How is it possible that every company can sell you cheaper insurance coverage? Just pay attention to how they say it.
All the different companies quote their best rates for the type of customer that will generate a profit. A good example of a preferred risk could be a married female, has a clean driving record, and drives a lower-performance vehicle. Someone who meets those qualifications may get the lowest premium rates and is almost guaranteed to cut their rates substantially.
Consumers who do not match those criteria may be forced to pay higher rates which usually ends up with the customer buying from someone else. The wording the ads use say “drivers who switch” but not “all drivers who get quotes” save that kind of money. That’s the way insurance companies can advertise the way they do. Because of the profiling, you really need to get price quotes at each policy renewal. It’s just too difficult to predict which auto insurance company will have the best car insurance rates at this point in time.
Learning about specific coverages of insurance can be of help when determining the right coverages for your vehicles. The coverage terms in a policy can be confusing and even agents have difficulty translating policy wording. Below you’ll find the normal coverages available from insurance companies.
Collision coverage pays for damage to your Sable caused by collision with another vehicle or an object, but not an animal. You first must pay a deductible then the remaining damage will be paid by your insurance company.
Collision can pay for things such as colliding with another moving vehicle, crashing into a ditch, crashing into a building and colliding with a tree. Collision coverage makes up a good portion of your premium, so consider dropping it from vehicles that are 8 years or older. Drivers also have the option to choose a higher deductible to save money on collision insurance.
Comprehensive insurance coverage will pay to fix damage OTHER than collision with another vehicle or object. A deductible will apply and then insurance will cover the rest of the damage.
Comprehensive coverage pays for things such as rock chips in glass, damage from flooding and hail damage. The most you’ll receive from a claim is the actual cash value, so if your deductible is as high as the vehicle’s value consider dropping full coverage.
Your UM/UIM coverage gives you protection when the “other guys” are uninsured or don’t have enough coverage. Covered claims include injuries sustained by your vehicle’s occupants and damage to your Mercury Sable.
Since many drivers only carry the minimum required liability limits, it only takes a small accident to exceed their coverage. So UM/UIM coverage is very important.
Medical payments and Personal Injury Protection insurance pay for expenses such as EMT expenses, dental work, pain medications, rehabilitation expenses and prosthetic devices. They are used in conjunction with a health insurance program or if you do not have health coverage. Coverage applies to both the driver and occupants in addition to any family member struck as a pedestrian. PIP is only offered in select states and may carry a deductible
Liability insurance protects you from damages or injuries you inflict on a person or their property that is your fault. It protects YOU against claims from other people, 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. You might see liability limits of 50/100/50 which stand for $50,000 in coverage for each person’s injuries, a limit of $100,000 in injury protection per accident, and a total limit of $50,000 for damage to vehicles and property.
Liability coverage protects against things like emergency aid, court costs, repair costs for stationary objects and attorney fees. How much liability coverage do you need? That is your choice, but consider buying as high a limit as you can afford.
Some insurance companies don’t offer rates over the internet regional insurance providers only sell coverage through independent agencies. More affordable insurance can be bought online as well as from insurance agents, so you need to compare both to have the best selection.
As you shop your coverage around, make sure you don’t buy poor coverage just to save money. In many cases, an accident victim reduced comprehensive coverage or liability limits and discovered at claim time that a couple dollars of savings turned into a financial nightmare. Your goal should be to buy a smart amount of coverage for the lowest price while not skimping on critical coverages.
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