No one in their right mind likes paying for car insurance, especially when they are aware that the cost is too high. Popular companies such as State Farm and Geico constantly blast consumers with TV and radio ads and it is difficult to ignore the flashy ads and find the best price available.
Consumers need to get comparison quotes as often as possible because prices change regularly. Despite the fact that you may have had the best rate for M3 coverage last year a different company probably has better premium rates today. Forget anything you know (or think you know) about car insurance because I’m going to let you in on the secrets to the quickest way to get good coverage at a lower rate.
Some companies don’t necessarily list all possible discounts very clearly, so below is a list both the well known and the harder-to-find savings tricks you should be using when you buy auto insurance online. If you’re not getting every credit you deserve, you could be paying more than you need to.
Discounts reduce rates, but you should keep in mind that some of the credits will not apply to the entire cost. The majority will only reduce specific coverage prices like liability and collision coverage. Despite the fact that it seems like all those discounts means the company will pay you, that’s just not realistic.
A list of companies and the discounts they provide include:
If you want the cheapest auto insurance quotes, ask all companies you are considering which discounts they offer. Some of the earlier mentioned discounts may not apply to policyholders in your area. If you would like to choose from a list of providers with the best insurance coverage discounts, click here to view.
Lots of factors are part of the equation when quoting car insurance. Some factors are common sense like an MVR report, but other criteria are not as apparent like your continuous coverage or your commute time.
The following are some of the items companies use to determine premiums.
When it comes to buying the right insurance coverage for your vehicles, there isn’t really a best way to insure your cars. Your needs are not the same as everyone else’s so your insurance needs to address that. These are some specific questions can help discover if you might need professional guidance.
If you can’t answer these questions but you know they apply to you, then you may want to think about talking to an insurance agent. To find an agent in your area, fill out this quick form or go to this page to view a list of companies. It only takes a few minutes and can provide invaluable advice.
Consumers constantly see and hear ads for cheaper auto insurance from companies such as State Farm and Allstate. They all seem to tend to make the same promise about savings just by switching your coverage.
How does each company give you a better price? It’s all in the words they use.
Insurance companies have underwriting criteria for a prospective insured that earns them the highest profit. For instance, a driver they prefer could be between 25 and 40, has no prior claims, and insures a new vehicle. Any person who matches those parameters gets the lowest car insurance rates and will save quite a bit of money when switching.
Potential insureds who do not match this stringent profile may receive higher premiums and this can result in the customer buying from a different company. The trick is to say “people that switch” not “everyone who quotes” save the amount stated. This is how companies can truthfully make the claims of big savings.
That is why drivers should do a quote comparison often. It is impossible to guess which insurance companies will have the best rates for your profile.
Having a good grasp of your policy can help you determine the best coverages at the best deductibles and correct limits. Policy terminology can be ambiguous and coverage can change by endorsement. Shown next are typical coverage types available from auto insurance companies.
Medical expense coverage – Med pay and PIP coverage reimburse you for bills for chiropractic care, hospital visits and rehabilitation expenses. They can be utilized in addition to your health insurance program or if you do not have health coverage. Medical payments and PIP cover both the driver and occupants in addition to if you are hit as a while walking down the street. PIP is only offered in select states and may carry a deductible
Uninsured or underinsured coverage – Uninsured or Underinsured Motorist coverage gives you protection from other motorists when they either are underinsured or have no liability coverage at all. Covered losses include medical payments for you and your occupants as well as your vehicle’s damage.
Due to the fact that many drivers carry very low liability coverage limits, their limits can quickly be used up. That’s why carrying high Uninsured/Underinsured Motorist coverage should not be overlooked. Normally these coverages are identical to your policy’s liability coverage.
Auto liability insurance – Liability insurance protects you from damage that occurs to people or other property. It protects YOU from claims by other people. Liability doesn’t cover damage sustained by your vehicle in an accident.
Liability coverage has three limits: bodily injury per person, bodily injury per accident and property damage. You commonly see limits of 25/50/25 which means $25,000 bodily injury coverage, a total of $50,000 of bodily injury coverage per accident, and $25,000 of coverage for damaged propery. Alternatively, you may have a combined single limit or CSL which limits claims to one amount without having the split limit caps.
Liability insurance covers claims such as attorney fees, medical services, medical expenses and repair bills for other people’s vehicles. The amount of liability coverage you purchase is a personal decision, but it’s cheap coverage so purchase as much as you can afford.
Comprehensive protection – This pays to fix your vehicle from damage OTHER than collision with another vehicle or object. You first have to pay a deductible then your comprehensive coverage will pay.
Comprehensive coverage pays for things such as damage from flooding, damage from getting keyed, a broken windshield and fire damage. The most you’ll receive from a claim is the actual cash value, so if your deductible is as high as the vehicle’s value consider removing comprehensive coverage.
Collision – Collision coverage covers damage to your M3 resulting from a collision with another car or object. You have to pay a deductible and the rest of the damage will be paid by collision coverage.
Collision insurance covers claims such as colliding with another moving vehicle, crashing into a ditch, sustaining damage from a pot hole, damaging your car on a curb and scraping a guard rail. This coverage can be expensive, so consider dropping it from vehicles that are older. It’s also possible to bump up the deductible to get cheaper collision coverage.
When shopping online for auto insurance, it’s a bad idea to reduce coverage to reduce premium. There have been many situations where consumers will sacrifice liability limits or collision coverage only to discover later that they should have had better coverage. The ultimate goal is to buy the best coverage you can find at a price you can afford.
We just covered quite a bit of information on how to lower your 2018 BMW M3 insurance premium rates. The key thing to remember is the more rate comparisons you have, the better chance you’ll have of finding affordable auto insurance. You may even find the best price on auto insurance is with the least-expected company. These companies can often provide lower prices in certain areas than their larger competitors like State Farm, Geico and Nationwide.
To read more, take a look at the resources below: