Feel like you’re a prisoner to an underperforming, overpriced car insurance policy? Trust us, you’re not the only one. Drivers have multiple insurers to purchase coverage from, and though it is a good thing to have multiple companies, lots of choices makes it harder to compare rates and find the lowest cost car insurance.
Finding affordable coverage is quite easy. If you are paying for car insurance now, you stand a good chance to be able to lower your premiums substantially using this information. Consumers only need an understanding of the tricks to compare prices online.
Auto insurance companies do not list every available discount very clearly, so the following is a list of some of the more common and also the lesser-known car insurance savings. If you’re not getting every credit you qualify for, you are paying more than you should be.
As a disclaimer on discounts, most credits do not apply to the entire policy premium. Most only cut the cost of specific coverages such as liability, collision or medical payments. So even though they make it sound like you could get a free car insurance policy, you’re out of luck.
For a list of companies with discount car insurance rates, follow this link.
The best way to compare insurance rates from multiple companies takes advantage of the fact most of the larger companies will pay a fee to give free rates quotes. The one thing you need to do is provide a little information such as if your license is active, how much education you have, whether you are married, and if a SR-22 is needed. Your details is then submitted to many different companies and you will get price comparisons quickly.
When choosing coverage, there is no “perfect” insurance plan. Everyone’s situation is a little different and a cookie cutter policy won’t apply. Here are some questions about coverages that may help you determine whether you could use an agent’s help.
If you don’t know the answers to these questions but a few of them apply, you may need to chat with an insurance agent. If you want to speak to an agent in your area, complete this form or go to this page to view a list of companies. It is quick, free and can provide invaluable advice.
Consumers get pounded daily by advertisements that promise big savings by State Farm, Geico and Progressive. They all seem to make the same claim that you’ll save big if you move to their company.
How does each company make the same claim?
Different companies can use profiling for the right customer they prefer to insure. A good example of a driver they prefer could be between 30 and 50, owns a home, and has a short commute. A propective insured who matches those parameters will qualify for the lowest rates and as a result will probably save when they switch companies.
Drivers who don’t measure up to the requirements will have to pay higher premiums which usually ends up with business not being written. The ads say “drivers who switch” but not “drivers who get quotes” save that much money. That’s the way insurance companies can confidently claim big savings. Because of the profiling, drivers should quote coverage with many companies. It’s just too difficult to predict which auto insurance company will provide you with the cheapest Volkswagen Passat insurance rates.
Having a good grasp of your insurance policy aids in choosing appropriate coverage and proper limits and deductibles. Insurance terms can be ambiguous and nobody wants to actually read their policy. Listed below are typical coverage types available from insurance companies.
Auto liability
Liability insurance can cover damage that occurs to a person or their property by causing an accident. It protects YOU from claims by other people, and doesn’t cover damage sustained by your vehicle in an accident.
Split limit liability has three limits of coverage: per person bodily injury, per accident bodily injury, and a property damage limit. You might see limits of 100/300/100 that means you have $100,000 in coverage for each person’s injuries, a per accident bodily injury limit of $300,000, and property damage coverage for $100,000.
Liability coverage pays for things like legal defense fees, loss of income, funeral expenses and attorney fees. How much liability coverage do you need? That is up to you, but buy as high a limit as you can afford.
Insurance for medical payments
Med pay and PIP coverage reimburse you for immediate expenses for things like pain medications, ambulance fees, X-ray expenses, funeral costs and prosthetic devices. They are often used in conjunction with a health insurance policy or if there is no health insurance coverage. Medical payments and PIP cover all vehicle occupants and will also cover if you are hit as a while walking down the street. Personal injury protection coverage is not universally available and gives slightly broader coverage than med pay
Uninsured Motorist or Underinsured Motorist insurance
Your UM/UIM coverage protects you and your vehicle’s occupants when other motorists are uninsured or don’t have enough coverage. Covered losses include injuries sustained by your vehicle’s occupants and damage to your Volkswagen Passat.
Since many drivers only carry the minimum required liability limits, their limits can quickly be used up. For this reason, having high UM/UIM coverages should not be overlooked.
Collision insurance
This covers damage to your Passat resulting from a collision with an object or car. A deductible applies and the rest of the damage will be paid by collision coverage.
Collision coverage protects against claims such as scraping a guard rail, crashing into a building and colliding with a tree. Collision coverage makes up a good portion of your premium, so consider dropping it from lower value vehicles. Drivers also have the option to increase the deductible to bring the cost down.
Comprehensive coverage (or Other than Collision)
Comprehensive insurance coverage will pay to fix damage from a wide range of events other than collision. You first have to pay a deductible and the remainder of the damage will be paid by comprehensive coverage.
Comprehensive coverage protects against claims such as hail damage, hitting a deer, falling objects, damage from flooding and damage from a tornado or hurricane. The maximum amount you’ll receive from a claim is the actual cash value, so if the vehicle is not worth much it’s not worth carrying full coverage.
When you buy insurance online, don’t be tempted to reduce needed coverages to save money. In too many instances, consumers will sacrifice uninsured motorist or liability limits and found out when filing a claim they didn’t purchase enough coverage. The proper strategy is to buy enough coverage for the lowest price while still protecting your assets.
You just learned many ideas to lower your 2015 Volkswagen Passat insurance rates. The key thing to remember is the more providers you compare, the better chance you’ll have of finding lower rates. Drivers may discover the most savings is with a smaller regional carrier. These smaller insurers often have lower prices on specific markets as compared to the big name companies such as Progressive and Geico.