Having to pay for overpriced car insurance can take a big chunk out of your checking account, especially in this economy. Doing a price comparison is a smart way to lower your monthly bill.
Many auto insurance companies compete to insure your vehicles, so it’s not easy to compare every insurance company to get the cheapest price
If you currently have a car insurance policy, you will be able to cut costs considerably using this strategy. Choosing the best insurance company for you is quite easy. But consumers must know the way insurance companies compete online and use this information to your advantage.
Companies that sell car insurance do not advertise every discount very clearly, so here is a list some of the best known as well as the least known ways to save on auto insurance.
Consumers should know that most discounts do not apply to the overall cost of the policy. Most cut the cost of specific coverages such as liability and collision coverage. So even though they make it sound like you could get a free auto insurance policy, it doesn’t quite work that way.
Insurance companies that may offer these benefits include:
Check with all companies you are considering how you can save money. Discounts may not be available everywhere.
When buying coverage for your vehicles, there is no best way to insure your cars. Every situation is different so your insurance needs to address that. These are some specific questions might help in determining whether you might need professional guidance.
If you don’t know the answers to these questions, you might consider talking to a licensed agent. If you don’t have a local agent, fill out this quick form or you can also visit this page to select a carrier
Knowing the specifics of your auto insurance policy can help you determine the best coverages and the correct deductibles and limits. Auto insurance terms can be confusing and even agents have difficulty translating policy wording. Below you’ll find typical coverages found on the average auto insurance policy.
Comprehensive (Other than Collision) – This covers damage OTHER than collision with another vehicle or object. You need to pay your deductible first and then insurance will cover the rest of the damage.
Comprehensive coverage pays for claims like fire damage, damage from a tornado or hurricane and a tree branch falling on your vehicle. The highest amount your auto insurance company will pay is the ACV or actual cash value, so if the vehicle’s value is low consider dropping full coverage.
Coverage for liability – This provides protection from damage or injury you incur to people or other property by causing an accident. This coverage protects you from claims by other people, and does not provide coverage for your own vehicle damage or injuries.
Split limit liability has three limits of coverage: 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 translate to a $50,000 limit per person for injuries, a limit of $100,000 in injury protection per accident, and a total limit of $50,000 for damage to vehicles and property.
Liability coverage protects against claims like loss of income, court costs and funeral expenses. How much liability should you purchase? That is a personal decision, but consider buying higher limits if possible.
Protection from uninsured/underinsured drivers – This coverage provides protection from other drivers when they are uninsured or don’t have enough coverage. Covered losses include medical payments for you and your occupants and damage to your Subaru Impreza.
Because many people carry very low liability coverage limits, their liability coverage can quickly be exhausted. So UM/UIM coverage is important protection for you and your family.
Medical expense insurance – Personal Injury Protection (PIP) and medical payments coverage reimburse you for expenses for funeral costs, prosthetic devices, X-ray expenses, rehabilitation expenses and nursing services. The coverages can be used to fill the gap from your health insurance policy or if you are not covered by health insurance. Coverage applies to both the driver and occupants and also covers being hit by a car walking across the street. Personal injury protection coverage is not an option in every state but can be used in place of medical payments coverage
Collision – Collision insurance pays to fix your vehicle from damage resulting from a collision with a stationary object or other vehicle. You have to pay a deductible and then insurance will cover the remainder.
Collision insurance covers claims like colliding with another moving vehicle, crashing into a ditch, damaging your car on a curb, sustaining damage from a pot hole and colliding with a tree. Paying for collision coverage can be pricey, so consider dropping it from lower value vehicles. You can also raise the deductible to bring the cost down.
The cheapest 2006 Subaru Impreza insurance can be purchased online in addition to many insurance agents, and you need to price shop both in order to have the best chance of saving money. There are still a few companies who do not provide you the ability to get quotes online and usually these small, regional companies provide coverage only through local independent agents.
As you go through the steps to switch your coverage, it’s not a good idea to buy lower coverage limits just to save a few bucks. There are many occasions where consumers will sacrifice liability limits or collision coverage only to regret at claim time that their decision to reduce coverage ended up costing them more. Your goal should be to buy enough coverage for the lowest price.
Even more information can be found in the articles below: