8 Things You Should Know About Auto Insurance
1.
EVALUATE YOUR NEEDS First off you should decided what type of coverage you are going to need .
Your insurance rate has many factors and can be controlled by the amount of coverage you decide to place on your vehicle.
By choosing the amount of insurance you are comfortable with you can easily control your premium.
Liability insurance is mandatory in most states.
This insures the other person's car and injuries are fixed if you were to get in an accident.
The price is set by how far you drive on a daily basis and your driving record.
Collision insurance pays for damages done to you and your vehicle if you are in an accident and it's your fault .
These prices will fluctuate depending on the type of car you drive.
They will figure in the price of the car, the cost to repair it and how likely it is to get stolen.
Comprehensive insurance is like collision the only difference being that the damages are done by an unknown party or an ""Act of God"" like a hurricane, tornado, flood, fire, theft or vandalism.
2.
COMPARE RATES The more coverage that you seek for your vehicle the higher your premium is going to be but you can save money by shopping around for your insurance.
Because of the many different insurance companies competing for your insurance it is possible to save quite a bit of money by getting quotes from several different lenders to see which one offers you the most for your money.
3.
ASK FOR DISCOUNTS Most insurance companies will offer you discounts for several different reasons, be sure that you ask about any discounts you may be entitled to for instance many companies will give you a discount if you are a good driver, good student, or even a senior citizen.
Also be sure to ask for discounts on multiple polices with the company and discounts for safe cars.
4.
CHANGE YOUR DEDUCTIBLE The deductible is the amount of money you agree to pay up front before any claims are settled.
By accepting to pay a higher deductible in the event of an accident you can lower you premium, For instance if the repairs to your car cost $2000.
00 and you set your deductible to $500 dollars, you must first pay the $500 dollars and they will pay the remaining $1500.
By paying a higher deductible you might be responsible for more out of pocket money in the event of an accident but you can greatly reduce your premium on a monthly basis.
5.
ASK ABOUT STACKING YOUR INSURANCE CLAIMS Some states allow you to stack the limits of bodily uninsured motorist rates.
Although you may pay a higher Premium for this service in the event of a claim you may be able to double your money received if you were ever injured in an accident.
For instance if you own two cars and your coverage on both is $100,000.
00 if you choose to stack your insurance in the event of a claim you would receive $200,000.
00 for damages.
Not all states allow this so make sure to check with your agent if this is an option for you .
6.
BEFORE BUYING A NEW CAR CALL YOU INSURANCE COMPANY.
The cost of your premium is determined by the value of your car.
The more it will cost to fix your car the higher your insurance will be.
Also many companies offer lower rates for safer cars.
By getting an insurance quote before you make a new purchase, you will be able to effectively determine if you can afford the car payment plus the premium it will take to cover it.
7.
DON'T CANCEL YOU POLICY WITHOUT STARTING YOU NEW ONE FIRST Many companies will charge you a fine or a higher fee for letting your policy lapse.
You can inform your currant company in writing or on the phone on the day that you want to switch coverage, just make sure that you do not cancel your old policy before you start a new contract.
8.
CHOOSE YOUR PAYMENT METHOD WISELY Paying the premium up front every year will insure that you get the best rate, but most companies allow you to make installments at an additional fee.
The more you break down your payments the higher you premium will be in the end.
If you do not have the money to pay the whole premium up front you could look at paying it in 6 month, or even quarterly to save you a little more money.
EVALUATE YOUR NEEDS First off you should decided what type of coverage you are going to need .
Your insurance rate has many factors and can be controlled by the amount of coverage you decide to place on your vehicle.
By choosing the amount of insurance you are comfortable with you can easily control your premium.
Liability insurance is mandatory in most states.
This insures the other person's car and injuries are fixed if you were to get in an accident.
The price is set by how far you drive on a daily basis and your driving record.
Collision insurance pays for damages done to you and your vehicle if you are in an accident and it's your fault .
These prices will fluctuate depending on the type of car you drive.
They will figure in the price of the car, the cost to repair it and how likely it is to get stolen.
Comprehensive insurance is like collision the only difference being that the damages are done by an unknown party or an ""Act of God"" like a hurricane, tornado, flood, fire, theft or vandalism.
2.
COMPARE RATES The more coverage that you seek for your vehicle the higher your premium is going to be but you can save money by shopping around for your insurance.
Because of the many different insurance companies competing for your insurance it is possible to save quite a bit of money by getting quotes from several different lenders to see which one offers you the most for your money.
3.
ASK FOR DISCOUNTS Most insurance companies will offer you discounts for several different reasons, be sure that you ask about any discounts you may be entitled to for instance many companies will give you a discount if you are a good driver, good student, or even a senior citizen.
Also be sure to ask for discounts on multiple polices with the company and discounts for safe cars.
4.
CHANGE YOUR DEDUCTIBLE The deductible is the amount of money you agree to pay up front before any claims are settled.
By accepting to pay a higher deductible in the event of an accident you can lower you premium, For instance if the repairs to your car cost $2000.
00 and you set your deductible to $500 dollars, you must first pay the $500 dollars and they will pay the remaining $1500.
By paying a higher deductible you might be responsible for more out of pocket money in the event of an accident but you can greatly reduce your premium on a monthly basis.
5.
ASK ABOUT STACKING YOUR INSURANCE CLAIMS Some states allow you to stack the limits of bodily uninsured motorist rates.
Although you may pay a higher Premium for this service in the event of a claim you may be able to double your money received if you were ever injured in an accident.
For instance if you own two cars and your coverage on both is $100,000.
00 if you choose to stack your insurance in the event of a claim you would receive $200,000.
00 for damages.
Not all states allow this so make sure to check with your agent if this is an option for you .
6.
BEFORE BUYING A NEW CAR CALL YOU INSURANCE COMPANY.
The cost of your premium is determined by the value of your car.
The more it will cost to fix your car the higher your insurance will be.
Also many companies offer lower rates for safer cars.
By getting an insurance quote before you make a new purchase, you will be able to effectively determine if you can afford the car payment plus the premium it will take to cover it.
7.
DON'T CANCEL YOU POLICY WITHOUT STARTING YOU NEW ONE FIRST Many companies will charge you a fine or a higher fee for letting your policy lapse.
You can inform your currant company in writing or on the phone on the day that you want to switch coverage, just make sure that you do not cancel your old policy before you start a new contract.
8.
CHOOSE YOUR PAYMENT METHOD WISELY Paying the premium up front every year will insure that you get the best rate, but most companies allow you to make installments at an additional fee.
The more you break down your payments the higher you premium will be in the end.
If you do not have the money to pay the whole premium up front you could look at paying it in 6 month, or even quarterly to save you a little more money.
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