Are you a victim of an overpriced car insurance policy? Trust us when we tell you there are a lot of people just like you who feel imprisoned by their car insurance policy.
Companies like Progressive, GEICO and Farmers Insurance promote their brand names with fancy advertisements and it can be hard to ignore the propoganda and do the work needed to find the best deal.
If you currently have car insurance, you will most likely be able to reduce your rates substantially using these tips. Buying car insurance is not rocket science. Although consumers can benefit from knowing the methods companies use to sell online.
Automobile Insurance Quotes
Comparing car insurance rates can take hours if you don’t utilize the most efficient way. You could spend the better part of a day driving to local insurance agents in your area, or you can stay home and use the internet to get rates in a matter of minutes.
Many companies participate in a marketplace that enables customers to enter their coverage request one time, and each participating company can give them a price. This prevents consumers from doing form submissions for each company you want a rate for.
To use this form to compare rates click here to open in new window.
The only drawback to pricing coverage this way is that consumers can’t choose which companies you will receive quotes from. If you prefer to choose specific insurance companies to compare rates, we put together a list of companies who write car insurance in your area. View list of insurance companies.
Whichever way you use, double check that you are using exactly the same coverage information for each price quote. If you enter higher or lower deductibles it will be next to impossible to make a fair comparison for your BMW 318is. Quoting even small variations in insurance coverages can make a big difference in price. And when price shopping your coverage, comparing more company’s prices will improve the odds of getting the best offered rates.
Price shop online but buy from a local agent
Certain consumers would rather buy from a licensed agent and that is a personal choice. The best thing about comparing insurance prices online is you may find the best rates but still work with a licensed agent.
Upon completion of this quick form, the coverage information is emailed to local insurance agents who will return price quotes to get your business. You never need to visit any agencies as quotes are delivered to your email. You can find the lowest rates without the usual hassles of price shopping.
Picking an insurance company requires more thought than just a low price. Agents should be asked these questions:
- Is assistance available after office hours?
- Do the coverages you’re quoting properly cover your vehicle?
- Do you have coverage for a rental car if your vehicle is in the repair shop?
- If you are a high risk driver, do they have special markets for your coverage?
- How much can you save by raising your physical damage deductibles?
- Do they receive special compensation for putting your coverage with one company over another?
If you prefer to contact a specific insurance agent in your state, click here.
Once you have received positive feedback to all your questions and a good coverage price, you may have just found a company that can adequately provide car insurance. Keep in mind policyholders can cancel your coverage whenever you wish so don’t feel you are locked into a policy with no way to switch.
Coverage specifics
Having a good grasp of car insurance can help you determine which coverages you need and the correct deductibles and limits. The terms used in a policy can be impossible to understand and even agents have difficulty translating policy wording. Below you’ll find typical coverage types offered by car insurance companies.
Liability coverages
Liability insurance protects you from damage that occurs to other people or property. Liability coverage has three limits: bodily injury for each person, bodily injury for the entire accident, and a limit for property damage. You might see limits of 50/100/50 that means you have $50,000 in coverage for each person’s injuries, $100,000 for the entire accident, and property damage coverage for $50,000.
Liability coverage pays for things like structural damage, legal defense fees, pain and suffering, loss of income and medical expenses. How much coverage you buy is your choice, but buy as high a limit as you can afford.
Insurance for medical payments
Coverage for medical payments and/or PIP provide coverage for short-term medical expenses for X-ray expenses, chiropractic care, hospital visits and pain medications. They are used to cover expenses not covered by your health insurance policy or if you are not covered by health insurance. Coverage applies to you and your occupants in addition to getting struck while a pedestrian. PIP is not available in all states but it provides additional coverages not offered by medical payments coverage
Collision protection
This pays to fix your vehicle from damage caused by collision with a stationary object or other vehicle. You first must pay a deductible and then insurance will cover the remainder.
Collision coverage pays for things such as hitting a parking meter, colliding with another moving vehicle, sideswiping another vehicle, colliding with a tree and rolling your car. This coverage can be expensive, so analyze the benefit of dropping coverage from vehicles that are older. Another option is to choose a higher deductible in order to get cheaper collision rates.
Comprehensive coverage (or Other than Collision)
Comprehensive insurance coverage covers damage caused by mother nature, theft, vandalism and other events. You need to pay your deductible first and the remainder of the damage will be paid by comprehensive coverage.
Comprehensive coverage pays for things such as a tree branch falling on your vehicle, hail damage and rock chips in glass. The most a car insurance company will pay at claim time 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.
Uninsured Motorist or Underinsured Motorist insurance
Uninsured or Underinsured Motorist coverage gives you protection when the “other guys” either are underinsured or have no liability coverage at all. Covered claims 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 limits can quickly be used up. For this reason, having high UM/UIM coverages is important protection for you and your family.
