Nobody likes having to buy car insurance, particularly when the cost is way too high.
Online insurance companies like GEICO, Farmers Insurance and State Farm persitently shower you with ad campaigns and it is challenging if not impossible to avoid their marketing magic and do the work needed to find the best deal.
You need to get comparison quotes quite often because prices are constantly changing. Despite the fact that you may have had the best rates on 525xi coverage a year ago other companies may now be cheaper. Starting right now, block out anything you think you know about car insurance because you’re going to get a crash course in the best way to lower your annual insurance bill.
Which Car Insurance is Cheapest?
Shopping for lower car insurance rates can be challenging if you don’t know the most efficient way. You can spend countless hours driving to agents in your area, or you can utilize online quoting to get rates in a matter of minutes.
Many of the larger companies participate in a marketplace where insurance shoppers submit their information once, and at least one company returns a rated price. This saves time by eliminating quote requests for each company.
To find out how much you can save on car insurance click here to start a free quote.
The one downside to pricing coverage this way is you can’t choose which companies you want to price. If you prefer to choose specific providers to receive pricing from, we have a page of low cost car insurance companies in your area. Click to view list.
It’s up to you how you get prices quotes, just make sure you use apples-to-apples quote information on every quote. If your comparisons have differing limits it will be impossible to determine which rate is truly the best. Having just a slight variation in limits could mean much higher rates. Just remember that having more price comparisons will increase your chances of finding better pricing.
How can GEICO, State Farm and Progressive save drivers who switch?
GEICO, State Farm and Progressive continually stream ads in print and on television. All the companies have a common claim that you’ll save big after switching your coverage to them. How does each company make the same claim? This is how they do it.
All the different companies have a certain “appetite” for the driver that is profitable for them. For instance, a profitable customer could be between 30 and 50, insures multiple vehicles, and chooses high deductibles. A driver who meets those qualifications is entitled to the best price and most likely will save quite a bit of money when switching.
Potential insureds who don’t measure up to the requirements will be charged a higher premium and this can result in business not being written. The ads state “drivers who switch” but not “drivers who get quotes” save that much money. That’s why insurance companies can claim big savings. That is why drivers must get a wide range of price quotes. It is impossible to predict which car insurance company will provide you with the cheapest rates.
Are you getting all your discounts?
Companies do not advertise every available discount in an easy-to-find place, so here is a list some of the best known and the more hidden discounts you could be receiving.
- Safe Driver Discount – Insureds without accidents may receive a discount up to 45% less on 525xi coverage than drivers with accidents.
- Memberships – Affiliation with a civic or occupational organization may earn a discount on your policy on 525xi coverage.
- Payment Method – If you pay your entire premium ahead of time instead of making monthly payments you could save 5% or more.
- Paperwork-free – Certain companies will discount your bill up to fifty bucks just for signing your application over the internet.
- Federal Employees – Simply working for the federal government may qualify you for a discount on 525xi coverage with a few car insurance companies.
- Air Bag Discount – Cars that have air bags or motorized seat belts may earn rate discounts up to 30%.
It’s important to note that some credits don’t apply to the entire cost. A few only apply to the price of certain insurance coverages like liability, collision or medical payments. So even though they make it sound like having all the discounts means you get insurance for free, it doesn’t quite work that way.
To choose companies with the best car insurance discounts, click this link.
Tailor your coverage to you
When buying proper insurance coverage for your personal vehicles, there really is not a “perfect” insurance plan. Everyone’s situation is a little different so this has to be addressed. For example, these questions can help discover if you might need professional guidance.
- What if I total my BMW 525xi and owe more than it’s worth?
- If my BMW 525xi is totaled, can I afford another vehicle?
- What are the financial responsibility laws in my state?
- Does my BMW 525xi need full coverage?
- Will I lose any money if I cancel my policy before it expires?
- What is covered by UM/UIM coverage?
If you don’t know the answers to these questions but one or more may apply to you, you might consider talking to a licensed insurance agent. If you don’t have a local agent, complete this form or you can go here for a list of companies in your area.
Specific coverage details
Knowing the specifics of your policy can be of help when determining appropriate coverage for your vehicles. The terms used in a policy can be impossible to understand and nobody wants to actually read their policy. Shown next are typical coverages available from car insurance companies.
Coverage for uninsured or underinsured drivers
Uninsured or Underinsured Motorist coverage protects you and your vehicle’s occupants from other motorists when they do not carry enough liability coverage. Covered losses include medical payments for you and your occupants as well as damage to your BMW 525xi.
Since a lot of drivers only carry the minimum required liability limits, it only takes a small accident to exceed their coverage. So UM/UIM coverage is a good idea.
Comprehensive car insurance
Comprehensive insurance pays to fix your vehicle from damage from a wide range of events other than collision. You need to pay your deductible first then your comprehensive coverage will pay.
Comprehensive can pay for things such as a tree branch falling on your vehicle, damage from getting keyed, falling objects and theft. The maximum amount your car insurance company will pay is the cash value of the vehicle, so if your deductible is as high as the vehicle’s value consider removing comprehensive coverage.
Coverage for medical expenses
Coverage for medical payments and/or PIP pay for short-term medical expenses like rehabilitation expenses, hospital visits, dental work and surgery. They can be used in conjunction with a health insurance plan or if you lack health insurance entirely. They cover all vehicle occupants and will also cover getting struck while a pedestrian. Personal Injury Protection is not available in all states and may carry a deductible
Liability
This will cover damage that occurs to people or other property. Liability coverage has three limits: bodily injury for each person injured, bodily injury for the entire accident and a property damage limit. You commonly see liability limits of 50/100/50 that means you have $50,000 bodily injury coverage, a total of $100,000 of bodily injury coverage per accident, and a total limit of $50,000 for damage to vehicles and property.
Liability can pay for things like loss of income, legal defense fees, bail bonds and repair bills for other people’s vehicles. How much coverage you buy is a personal decision, but consider buying as much as you can afford.
Collision protection
This coverage pays to fix your vehicle from damage from colliding with a stationary object or other vehicle. You will need to pay your deductible and then insurance will cover the remainder.
Collision can pay for things like backing into a parked car, rolling your car, colliding with a tree, scraping a guard rail and hitting a parking meter. Collision is rather expensive coverage, so analyze the benefit of dropping coverage from vehicles that are 8 years or older. It’s also possible to bump up the deductible in order to get cheaper collision rates.
And the best car insurance company is…
As you go through the steps to switch your coverage, it’s very important that you do not skimp on coverage in order to save money. There are a lot of situations where drivers have reduced comprehensive coverage or liability limits and learned later they didn’t have enough coverage. The aim is to purchase plenty of coverage for the lowest price while not skimping on critical coverages.
We’ve covered quite a bit of information on how to compare BMW 525xi insurance prices online. The key thing to remember is the more quotes you get, the better chance you’ll have of finding lower rates. Drivers may discover the lowest rates come from some of the lesser-known companies. Smaller companies may cover specific market segments cheaper than their larger competitors like Allstate or State Farm.
Cheaper BMW 525xi insurance can be bought on the web in addition to many insurance agents, and you should compare price quotes from both so you have a total pricing picture. There are still a few companies who do not provide the ability to get a quote online and these smaller companies work with independent agents.
