Trying to come up with a payment for overpriced insurance can dwindle your monthly budget and force you to tighten up your finances. Comparison shopping can be a smart way to lower your bills every month.
Vehicle owners have many insurers to insure vehicles with, and though it is a good thing to be able to choose, it makes it harder to find the best rates.
You should take the time to do rate comparisons periodically since insurance prices go up and down regularly. Even if you got the best rates on Tiguan Limited insurance on your last policy you will most likely find a better premium rate today. You’ll find a ton of advice on insurance on the internet, but in this article, you’re going to get some great ideas on how to lower your insurance premiums.
There are several ways to shop for insurance, but one way is less time-consuming than others. You can spend your afternoon talking to insurance companies in your area, or you can stay home and use online quoting to get prices fast.
Most car insurance companies take part in a program where prospective buyers enter their policy data once, and each company returns a rated price based on that information. This saves time by eliminating quote requests to every company. To enter your information into the quoting system, click here (opens in new window).
One minor caviat to comparing rates this way is that consumers can’t choose the insurers you want to price. So if you prefer to pick from a list of companies to receive pricing from, we put together a list of the cheapest insurance companies in your area. Click here for list of insurance companies.
The method you choose is up to you, but ensure you are comparing identical coverage data on every quote you get. If you are comparing unequal deductibles or liability limits it’s not possible to decipher which rate is best.
Drivers can’t escape the ads that claim the best rates from the likes of Progressive, Geico, Allstate and State Farm. All the ads advertise claims about how much you will save if you switch your car insurance policy to them.
That’s great but how can every company say the same thing? This is the trick they use.
Different companies provide the lowest rates for the type of driver that makes them money. A good example of this type of insured might be described as between 25 and 40, has no driving citations, and does not commute to work. A driver that matches those criteria will get very good prices as well as cut their rates if they switch.
Potential insureds who do not meet this ideal profile may be required to pay higher premiums which usually ends up with the prospect going elsewhere. The wording the ads use say “people that switch” not “everybody who quotes” save the amount stated. That’s the way companies can state the savings.
Each company has different criteria, so drivers must compare rate quotes every year. It’s just not possible to know the company that will have the best rates for your profile.
Not many people think insurance is cheap, but companies offer discounts that could help you make your next renewal payment. A few discounts will be applied at quote time, but a few must be asked about prior to receiving the credit.
Keep in mind that most of the big mark downs will not be given the the whole policy. Most cut specific coverage prices like comp or med pay. So even though they make it sound like all the discounts add up to a free policy, company stockholders wouldn’t be very happy.
To view companies with significant discounts, click this link.
When choosing the best car insurance coverage for your personal vehicles, there really is no “best” method to buy coverage. Every insured’s situation is different so your insurance needs to address that. For example, these questions can aid in determining whether your personal situation might need an agent’s assistance.
If you can’t answer these questions, then you may want to think about talking to an insurance agent. To find an agent in your area, complete this form or go to this page to view a list of companies. It’s fast, doesn’t cost anything and you can get the answers you need.
Learning about specific coverages of car insurance aids in choosing the right coverages and the correct deductibles and limits. Policy terminology can be ambiguous and reading a policy is terribly boring. Below you’ll find typical coverage types offered by car insurance companies.
Uninsured/Underinsured Motorist (UM/UIM) – This coverage gives you protection from other motorists when they are uninsured or don’t have enough coverage. It can pay for injuries sustained by your vehicle’s occupants as well as damage to your Volkswagen Tiguan Limited.
Due to the fact that many drivers have only the minimum liability required by law, it only takes a small accident to exceed their coverage. That’s why carrying high Uninsured/Underinsured Motorist coverage is a good idea. Most of the time these limits do not exceed the liability coverage limits.
Collision – Collision insurance pays to fix your vehicle from damage from colliding with another car or object. You first must pay a deductible then the remaining damage will be paid by your insurance company.
Collision coverage pays for claims such as rolling your car, hitting a parking meter, crashing into a ditch, colliding with another moving vehicle and sideswiping another vehicle. Paying for collision coverage can be pricey, so you might think about dropping it from vehicles that are older. Another option is to bump up the deductible to bring the cost down.
Med pay and Personal Injury Protection (PIP) – Medical payments and Personal Injury Protection insurance kick in for immediate expenses such as nursing services, EMT expenses, doctor visits, surgery and chiropractic care. They are often utilized in addition to your health insurance plan or if you lack health insurance entirely. Medical payments and PIP cover all vehicle occupants and will also cover getting struck while a pedestrian. Personal injury protection coverage is not an option in every state and may carry a deductible
Coverage for liability – This coverage will cover injuries or damage you cause to other people or property by causing an accident. It protects YOU against claims from other people. Liability doesn’t cover damage to your own property or vehicle.
Split limit liability has three limits of coverage: bodily injury per person, bodily injury per accident and property damage. Your policy might show values of 25/50/25 which stand for $25,000 in coverage for each person’s injuries, a limit of $50,000 in injury protection per accident, and $25,000 of coverage for damaged propery. Another option is a combined single limit or CSL which combines the three limits into one amount without having the split limit caps.
Liability coverage protects against things such as bail bonds, court costs and emergency aid. How much coverage you buy is a decision to put some thought into, but you should buy as high a limit as you can afford.
Comprehensive insurance – This pays for damage OTHER than collision with another vehicle or object. A deductible will apply then the remaining damage will be covered by your comprehensive coverage.
Comprehensive insurance covers claims such as rock chips in glass, a tree branch falling on your vehicle and a broken windshield. The maximum amount you’ll receive from a claim is the actual cash value, so if it’s not worth much more than your deductible it’s probably time to drop comprehensive insurance.
Lower-priced insurance coverage can be found online as well as from independent agents, so you need to quote auto insurance with both so you have a total pricing picture. There are still a few companies who do not offer internet price quotes and usually these small insurance companies provide coverage only through independent agencies.
As you shop your coverage around, never buy lower coverage limits just to save a few bucks. There are a lot of situations where an insured dropped uninsured motorist or liability limits only to find out they didn’t have enough coverage. Your focus should be to purchase plenty of coverage for the lowest price, but do not sacrifice coverage to save money.
For more information, take a look at the resources below: