Nobody I know likes having to buy auto insurance, in particular when the cost is too high.
Many insurers compete for your business, and because of this it can be hard to compare car insurance companies and get the definite lowest price
You probably qualify for some discounts
The price of auto insurance can be rather high, but companies offer discounts that can drop the cost substantially. Larger premium reductions will be automatically applied at quote time, but some may not be applied and must be specifically requested before being credited.
- New Vehicle Savings – Buying coverage on a new vehicle is cheaper due to better safety requirements for new cars.
- 55 and Retired – Older drivers may receive reduced rates on Rio5 coverage.
- Early Signing – A few companies offer discounts for signing up prior to your current policy expiring. This can save 10% or more.
- Theft Prevention Discount – Anti-theft and alarm systems can help prevent theft and therefore earn up to a 10% discount.
- Drivers Ed for Students – Make teen driver coverage more affordable by requiring them to successfully complete driver’s ed class if it’s offered in school.
- Accident Waiver – Certain companies will allow you to have one accident without raising rates so long as you haven’t had any claims for a certain period of time.
A little note about advertised discounts, most credits do not apply to the entire cost. The majority will only reduce individual premiums such as comprehensive or collision. So when it seems like having all the discounts means you get insurance for free, auto insurance companies aren’t that generous. But all discounts will help reduce your premiums.
What determines your Kia Rio5 insurance premium
An important part of buying insurance is that you know the different types of things that go into determining the price you pay for auto insurance. Knowing what influences your rates allows you to make educated decisions that will entitle you to big savings.
- Add-on coverages can add up – There are a ton of additional coverages you can purchase if you aren’t careful. Insurance for vanishing deductibles, better glass coverage and additional equipment coverage are some examples. These may sound like a good investment at first, but now you might not need them so eliminate the coverages to reduce your premium.
- The more you drive the more you pay – The more you drive in a year’s time the more you’ll pay to insure your vehicle. Most insurance companies rate vehicles based upon how you use the vehicle. Vehicles used primarily for pleasure use qualify for better rates than vehicles that are driven to work every day. Double check that your auto insurance policy is showing the correct driver usage. Incorrect usage on your Rio5 can result in significantly higher rates.
- Credit scores impact auto insurance rates – Your credit rating is a important factor in your rate calculation. Drivers who have excellent credit tend to be better drivers and file fewer claims as compared to drivers with lower credit ratings. If your credit can use some improvement, you could potentially save money when insuring your Kia Rio5 by repairing your credit.
- Protect your assets with liability insurance – The liability section of your policy will protect you if ever a jury decides you are liable for damages caused by your negligence. It provides you with a defense in court starting from day one. This coverage is very inexpensive compared to insuring for physical damage coverage, so do not cut corners here.
- Increase deductibles and save – The deductibles define the amount you are required to spend out-of-pocket before a claim is paid by your company. Insurance for physical damage to your car, otherwise known as comp (or other than collision) and collision, protects your car from damage. Some instances where coverage would apply are running into the backend of another car, vandalism, and windstorm damage. The more expense you are required to pay out-of-pocket, the less your auto insurance will be on Rio5 coverage.
- Being married can save on auto insurance – Getting married actually saves money on auto insurance. It translates into being more mature than a single person it has been statistically shown that being married results in fewer claims.
- Your auto insurance rates can be influenced by your job – Occupations such as judges, architects and accountants tend to pay higher rates than average because of high stress and long work hours. On the flip side, occupations such as farmers, athletes and the unemployed have the lowest average rates on Rio5 coverage.
There’s no such thing as the perfect policy
When buying adequate coverage for your vehicles, there really is not a one size fits all plan. Every insured’s situation is different and a cookie cutter policy won’t apply. These are some specific questions can aid in determining whether you will benefit from professional help.
- What are no-fault laws?
- Am I covered when driving in Canada or Mexico?
- What can I do if my company denied a claim?
- Is a new car covered when I drive it off the dealer lot?
- Does my policy pay for OEM or aftermarket parts?
- Am I covered when pulling a rental trailer?
- Am I covered if I crash into my own garage door?
- Why is insurance for a teen driver so high?
If it’s difficult to answer those questions but one or more may apply to you then you might want to talk to a licensed agent. If you want to speak to an agent in your area, fill out this quick form or you can also visit this page to select a carrier
Buyer beware of auto insurance advertising tricks
State Farm and Allstate constantly bombard you with television and radio advertisements. All the companies make an identical promise about savings if you switch your coverage to them. How does each company make almost identical claims? It’s all in the numbers.
Insurance companies can use profiling for the type of customer that is profitable for them. For example, a desirable insured could possibly be between the ages of 40 and 55, insures multiple vehicles, and has excellent credit. A driver who matches those parameters will qualify for the lowest rates and therefore will save when they switch companies.
Drivers who fall outside these standards will be quoted higher rates and ends up with the driver buying from a lower-cost company. The ads say “people who switch” not “people who quote” save money. That’s the way insurance companies can make those claims.
This emphasizes why it’s extremely important to get as many quotes as possible. It’s impossible to know which company will fit your personal profile best.
One last thing about your coverage
Cheaper Kia Rio5 insurance can be purchased online and with local insurance agents, and you should compare price quotes from both in order to have the best chance of saving money. Some companies do not offer online price quotes and most of the time these regional insurance providers sell through independent agents.
When trying to cut insurance costs, it’s very important that you do not buy less coverage just to save a little money. In many instances, someone dropped physical damage coverage and discovered at claim time that their decision to reduce coverage ended up costing them more. Your focus should be to purchase plenty of coverage for the lowest price while not skimping on critical coverages.
