Did you fall for a flashy sales pitch and buy overpriced car insurance? Believe me when I say you’re not alone. Many auto insurance companies compete to insure your vehicles, and it can be difficult to compare rates and uncover the absolute cheapest price
It’s a good idea to do rate comparisons quite often because insurance rates trend upward over time. If you had the best deal on Suburban K2500 coverage a year ago the chances are good that you can find a lower rate today. There is a lot of bad advice regarding car insurance online, so with this article, you’re going to get some great ideas on how to stop overpaying for insurance.
Save money by taking advantage of these six discounts
Car insurance companies do not list every discount in a way that’s easy to find, so we researched some of the more common and the more hidden discounts you could be receiving. If you aren’t receiving every discount possible, you are paying more than you should be.
- Claim Free – Good drivers with no accidents pay much less compared to frequent claim filers.
- Multiple Cars – Buying coverage for all your vehicles on one policy can get a discount on all vehicles.
- New Vehicle Savings – Adding a new car to your policy can cost up to 25% less compared to insuring an older model.
- Memberships – Belonging to a civic or occupational organization could trigger savings on your policy on Suburban K2500 coverage.
- 55 and Retired – Older drivers can possibly qualify for better car insurance rates on Suburban K2500 coverage.
- Auto/Home Discount – If you insure your home and vehicles with the same insurance company you could get a discount of at least 10% off all policies.
As a disclaimer on discounts, most credits do not apply to the entire cost. The majority will only reduce the cost of specific coverages such as comp or med pay. So even though they make it sound like you can get free auto insurance, companies don’t profit that way.
To choose providers with the best car insurance discounts, click this link.
Drivers who switch save $404 a year? Really?
Drivers constantly see and hear ads that promise big savings by companies like State Farm, GEICO and Progressive. They all say the same thing that you’ll save big after switching to them.
How do they all say the same thing?
All the different companies are able to cherry pick for the driver that is profitable for them. An example of a profitable customer could possibly be between 30 and 50, owns a home, and has a high credit rating. A customer who fits that profile will qualify for the lowest rates and is almost guaranteed to cut their rates substantially.
Drivers who do not match these standards will have to pay more money and ends up with the driver buying from a lower-cost company. Company advertisements say “customers who switch” but not “drivers who get quotes” save that kind of money. That’s the way companies can truthfully make the claims of big savings. Because of the profiling, drivers should get quotes from several different companies. It is impossible to predict the company that will have the lowest rates.
Car insurance coverage specifics
Knowing the specifics of car insurance helps when choosing which coverages you need and proper limits and deductibles. The coverage terms in a policy can be ambiguous and even agents have difficulty translating policy wording. These are typical coverages found on the average car insurance policy.
Auto liability insurance
This provides protection from damage that occurs to other’s property or people. Liability coverage has three limits: per person bodily injury, per accident bodily injury, and a property damage limit. You might see liability limits of 100/300/100 that translate to a limit of $100,000 per injured person, a limit of $300,000 in injury protection per accident, and a total limit of $100,000 for damage to vehicles and property.
Liability coverage protects against things like pain and suffering, medical services, bail bonds and funeral expenses. How much coverage you buy is up to you, but buy as large an amount as possible.
Comprehensive coverage (or Other than Collision)
This coverage will pay to fix damage OTHER than collision with another vehicle or object. You first have to pay a deductible then your comprehensive coverage will pay.
Comprehensive can pay for things such as hail damage, damage from flooding, theft and hitting a deer. The most your car insurance company will pay is the actual cash value, so if your deductible is as high as the vehicle’s value consider removing comprehensive coverage.
Collision insurance
This pays for damage to your Suburban K2500 resulting from colliding with another car or object. A deductible applies and then insurance will cover the remainder.
Collision coverage pays for things like sideswiping another vehicle, hitting a parking meter and damaging your car on a curb. Collision is rather expensive coverage, so consider removing coverage from vehicles that are 8 years or older. Another option is to increase the deductible to save money on collision insurance.
Insurance for medical payments
Medical payments and Personal Injury Protection insurance provide coverage for expenses for nursing services, X-ray expenses and dental work. The coverages can be used in conjunction with a health insurance policy or if you do not have health coverage. Coverage applies to not only the driver but also the vehicle occupants and also covers any family member struck as a pedestrian. PIP is not an option in every state but can be used in place of medical payments coverage
Uninsured Motorist or Underinsured Motorist insurance
Uninsured or Underinsured Motorist coverage provides protection from other drivers when they either are underinsured or have no liability coverage at all. Covered claims include injuries to you and your family as well as your vehicle’s damage.
Due to the fact that many drivers carry very low liability coverage limits, it doesn’t take a major accident to exceed their coverage limits. That’s why carrying high Uninsured/Underinsured Motorist coverage is important protection for you and your family.
Smart consumers save more
When trying to cut insurance costs, do not buy lower coverage limits just to save a few bucks. There are too many instances where an insured dropped full coverage and discovered at claim time they didn’t purchase enough coverage. The ultimate goal is to purchase a proper amount of coverage at a price you can afford.
Cost effective GMC Suburban K2500 insurance can be found on the web and with local insurance agents, so you should be comparing quotes from both to have the best chance of lowering rates. Some insurance companies do not offer online price quotes and usually these regional insurance providers provide coverage only through local independent agents.
