Shopping for car insurance is not something consumers enjoy doing, but regardless it’s required for every vehicle.
Insurance can be prohibitively expensive, buy you may qualify for discounts that can drop the cost substantially. A few discounts will automatically apply when you complete an application, but some may not be applied and must be asked about prior to receiving the credit.
Keep in mind that most discount credits are not given to the overall cost of the policy. Most only reduce the cost of specific coverages such as physical damage coverage or medical payments. Even though it may seem like having all the discounts means you get insurance for free, it just doesn’t work that way. But all discounts will bring down your premiums.
Car insurance companies that may offer these discounts include:
Double check with every prospective company how you can save money. Some discounts may not be available in every state.
It’s important that you understand the rating factors that play a part in calculating the rates you pay for auto insurance. Understanding what impacts premium levels enables informed choices that could result in much lower annual insurance costs.
Shown below are a few of the “ingredients” auto insurance companies consider when setting premiums.
When choosing the right insurance coverage, there is no “perfect” insurance plan. Everyone’s situation is a little different.
For instance, these questions can help discover whether you will benefit from professional help.
If you can’t answer these questions but one or more may apply to you, you may need to chat with an agent. If you want to speak to an agent in your area, fill out this quick form.
Learning about specific coverages of your policy can help you determine the best coverages and the correct deductibles and limits. Insurance terms can be impossible to understand and coverage can change by endorsement.
Uninsured/Underinsured Motorist coverage
Uninsured or Underinsured Motorist coverage gives you protection when other motorists either are underinsured or have no liability coverage at all. Covered claims include injuries sustained by your vehicle’s occupants as well as your vehicle’s damage.
Because many people only purchase the least amount of liability that is required, their limits can quickly be used up. For this reason, having high UM/UIM coverages is a good idea. Usually these coverages are identical to your policy’s liability coverage.
Collision insurance
Collision insurance pays to fix your vehicle from damage from colliding with a stationary object or other vehicle. A deductible applies then your collision coverage will kick in.
Collision coverage pays for things such as colliding with a tree, hitting a mailbox, damaging your car on a curb, scraping a guard rail and crashing into a ditch. This coverage can be expensive, so analyze the benefit of dropping coverage from vehicles that are older. Another option is to increase the deductible in order to get cheaper collision rates.
Coverage for liability
Liability insurance protects you from injuries or damage you cause to people or other property in an accident. It protects you from legal claims by others, and doesn’t cover your injuries or vehicle damage.
It consists of three limits, bodily injury for each person, bodily injury for the entire accident, and a limit for property damage. As an example, you may have limits of 100/300/100 which means $100,000 in coverage for each person’s injuries, $300,000 for the entire accident, and property damage coverage for $100,000. Alternatively, you may have one limit called combined single limit (CSL) which combines the three limits into one amount without having the split limit caps.
Liability coverage protects against claims such as pain and suffering, medical services, repair bills for other people’s vehicles and emergency aid. The amount of liability coverage you purchase is your choice, but it’s cheap coverage so purchase as high a limit as you can afford.
Comprehensive coverage
This covers damage from a wide range of events other than collision. You first have to pay a deductible then your comprehensive coverage will pay.
Comprehensive can pay for claims like hitting a deer, damage from flooding, hitting a bird, rock chips in glass and vandalism. The most your insurance company will pay is the market value of your vehicle, so if the vehicle’s value is low consider removing comprehensive coverage.
Medical payments coverage and PIP
Med pay and PIP coverage pay for bills for things like doctor visits, nursing services, rehabilitation expenses, EMT expenses and surgery. They can be used in conjunction with a health insurance policy or if you are not covered by health insurance. Medical payments and PIP cover all vehicle occupants and also covers if you are hit as a while walking down the street. Personal Injury Protection is only offered in select states and may carry a deductible
When you buy insurance online, it’s not a good idea to reduce needed coverages to save money. There are a lot of situations where someone sacrificed uninsured motorist or liability limits and found out when filing a claim that the small savings ended up costing them much more. Your aim should be to purchase a proper amount of coverage at the best price.
Lower-priced 2013 Ford F-150 insurance is available both online as well as from independent agents, and you should be comparing both to have the best chance of lowering rates. There are still a few companies who don’t offer online quoting and most of the time these small, regional companies sell through independent agents.
You just learned quite a bit of information on how to shop for insurance online. The most important thing to understand is the more providers you compare, the better your comparison will be. Consumers may even find the best prices are with a small mutual company.
Even more information can be found in these articles: