Whether insuring new or used vehicles, anyone who has ever purchased a vehicle knows how important the right insurance coverage can be. Always a challenge, finding coverage for the right price may be one of the most important steps in the insurance process. These are a few tricks for comprehensive and collision policies that can help ensure the right balance of coverage and cost.
For those with comp and collision, simply knowing how deductibles work can help keep auto insurance costs down. The lower the deductible, the higher the rates will be. Insurance agents or brokers can offer multiple quotes, covering a wide range of deductibles. Also, it is important to note that comp costs significantly less than collision coverage.
The type of coverage needed also plays a large factor in determining the overall insurance rates that will be charged. Purchasing comp and collision policies will make the rates much higher than liability only. Additional coverage is also available, such as uninsured motorist. This coverage is very affordable and a great way to protect against financial losses resulting from an unexpected loss. Liability limits are also important factors in overall coverage options. The state minimum is not much cheaper than the next step up and covers far less.
Another way to help keep rates down is by paying in full for the year. While this will not lower the overall premium in California, it does in most other states. In California, though, a person will receive a savings by not paying the billing fees that are associated with monthly payments. This can often result in a total savings of about 10 dollars a months, or over 100 dollars a year.
Excluding household drivers who will not be driving specific vehicles is another way to reduce premium on auto insurance policies. This will avoid paying monthly premium for a child or spouse to be insured if they are not going to be driving a certain vehicle. Taking them off can save a significant amount each year.
The best way in which to save money on auto insurance is to get multiple rate quotes. Whether shopping online, making calls from the phone book or following up on a referral from a friend, it is always a good idea to get multiple auto insurance quotes, keeping in mind not every insurance company will quote on the same coverage. While some agents will take more time on a quote, taking more information in order to give a more accurate quote, others will offer a faster, usually far less expensive, though inaccurate, quote. It is important to make a distinction between coverage when comparing rate quotes. Taking the time to do so will ensure overall savings.