No one in their right mind enjoys paying for auto insurance, especially knowing their premiums are too high.
Lots of car insurance companies contend for your business, and because of this it can be hard to compare insurers and get the best coverage at the best rates possible.
It’s a good habit to check auto insurance prices every six months because rates change frequently. Even if you got the lowest price on your last policy you will most likely find a better rate today. Don’t believe everything you read about auto insurance on the internet, so we’re going to give you some of the best ways to quit paying high auto insurance rates.
If you currently have a car insurance policy, you will most likely be able to save some money using these methods. Finding affordable coverage in Southfield is quite easy. Although Michigan drivers need to learn the methods companies use to market on the web and use this information to your advantage.
When shopping for auto insurance there are multiple ways of comparing price quotes and find the best price. The fastest way to find the cheapest insurance rates is to get quotes online. This can be done in several different ways.
The first (and easiest) way to find low rates is an all-inclusive rate comparison click here to open form in new window. This easy form prevents you from having to do repetitive form submissions for every auto insurance company. Just one form will get you price quotes from all major companies.
A slightly less efficient method to get quotes online requires a trip to each company’s website to complete a price quote. For sake of this example, let’s say you want comparison quotes from Nationwide, State Farm and Liberty Mutual. You would have to take the time to go to each site to enter your coverage information, and that’s why the first method is more popular. To view a list of companies in Southfield, click here.
Whichever way you use, make sure you use exactly the same coverage limits for every quote you compare. If you compare differing limits then you won’t be able to find the best deal in Southfield. Having just a slight variation in coverages may cause a big price difference. Keep in mind that having more price comparisons gives you a better chance of getting the best price.
Insuring your vehicles can cost a lot, but you may find discounts to help bring down the price. Some discounts apply automatically when you purchase, but a few need to be manually applied prior to receiving the credit.
It’s important to note that most discounts do not apply to the entire policy premium. The majority will only reduce the cost of specific coverages such as collision or personal injury protection. So when the math indicates you can get free auto insurance, it just doesn’t work that way. Any qualifying discounts will cut the amount you have to pay.
To see a list of insurers with discount auto insurance rates in Southfield, click here.
When buying adequate coverage, there is no perfect coverage plan. Every situation is different so this has to be addressed. For instance, these questions might point out if your insurance needs may require specific advice.
If you’re not sure about those questions then you might want to talk to an insurance agent. If you want to speak to an agent in your area, take a second and complete this form or go to this page to view a list of companies.
Auto insurance providers like GEICO, State Farm and Progressive continually stream ads on television and other media. They all make an identical promise that you can save after switching your coverage to them. How can each company make the same claim? This is how they do it.
All companies have a certain “appetite” for the driver that is profitable for them. An example of a preferred risk might be profiled as between 30 and 50, a clean driving record, and drives newer vehicles. Any driver who matches those parameters is entitled to the best price and most likely will cut their rates substantially.
Potential insureds who fall outside the “perfect” profile will be charged higher premiums and ends up with business going elsewhere. Company advertisements say “customers that switch” not “everybody who quotes” save money. That’s why insurance companies can confidently advertise the way they do.
That is why you should compare many company’s rates. It’s just too difficult to predict which company will give you the biggest savings.
Knowing the specifics of auto insurance can be of help when determining appropriate coverage at the best deductibles and correct limits. The terms used in a policy can be difficult to understand and coverage can change by endorsement. Below you’ll find typical coverages available from auto insurance companies.
Medical expense insurance
Coverage for medical payments and/or PIP provide coverage for immediate expenses for things like funeral costs, prosthetic devices and dental work. They are used in conjunction with a health insurance program or if you lack health insurance entirely. Medical payments and PIP cover you and your occupants in addition to getting struck while a pedestrian. PIP is not universally available but it provides additional coverages not offered by medical payments coverage
Collision insurance pays for damage to your vehicle resulting from colliding with another car or object. A deductible applies and then insurance will cover the remainder.
Collision insurance covers things such as scraping a guard rail, hitting a mailbox, crashing into a building and sideswiping another vehicle. This coverage can be expensive, so analyze the benefit of dropping coverage from older vehicles. You can also increase the deductible in order to get cheaper collision rates.
Liability coverage protects you from damage or injury you incur to people or other property by causing an accident. Split limit liability has three limits of coverage: bodily injury for each person, bodily injury for the entire accident, and a limit for property damage. You commonly see policy limits of 100/300/100 which means $100,000 bodily injury coverage, $300,000 for the entire accident, and a limit of $100,000 paid for damaged property. Alternatively, you may have one limit called combined single limit (CSL) that pays claims from the same limit and claims can be made without the split limit restrictions.
Liability can pay for claims like court costs, medical services, repair bills for other people’s vehicles and funeral expenses. The amount of liability coverage you purchase is your choice, but consider buying as much as you can afford. Michigan requires drivers to carry at least 20,000/40,000/10,000 but you should think about purchasing more coverage.
Comprehensive (Other than Collision)
This will pay to fix damage caused by mother nature, theft, vandalism and other events. A deductible will apply and the remainder of the damage will be paid by comprehensive coverage.
Comprehensive can pay for claims like falling objects, theft and a broken windshield. The most your auto insurance company will pay is the ACV or actual cash value, so if the vehicle’s value is low it’s not worth carrying full coverage.
Protection from uninsured/underinsured drivers
Uninsured or Underinsured Motorist coverage gives you protection when other motorists either have no liability insurance or not enough. Covered claims include injuries to you and your family and also any damage incurred to your vehicle.
Because many people only purchase the least amount of liability that is required (which is 20/40/10), their liability coverage can quickly be exhausted. That’s why carrying high Uninsured/Underinsured Motorist coverage is very important. Usually these coverages do not exceed the liability coverage limits.
When buying insurance coverage, you should never buy lower coverage limits just to save a few bucks. Too many times, consumers will sacrifice comprehensive coverage or liability limits and learned later that a couple dollars of savings turned into a financial nightmare. The ultimate goal is to buy a smart amount of coverage at a price you can afford, not the least amount of coverage.
Cheap auto insurance can be found online in addition to many Southfield insurance agents, and you need to comparison shop both to have the best chance of lowering rates. Some auto insurance companies do not provide the ability to get a quote online and most of the time these small, regional companies sell through independent agents.
Much more information about auto insurance in Michigan is available on the website for the Michigan Office of Financial and Insurance Regulation located here. Michigan drivers can read state legal mandates and laws, view a list of available companies, and find out which companies have the most complaints.