Car insurance rates are at their lowest levels in years, and cheap auto insurance is available from many reputable companies that are passing along technology gains to you, the ultimate consumer. Policies are designed to protect vehicle owners from financial loss if they are in an accident, and it is a legal requirement in all states to have auto insurance when owning a vehicle. Auto insurance is a legal contract between a vehicle owner and the insurance company. Although states require auto insurance, this legal requirement does not mean that you have to pay high insurance premiums for it. Cheap auto insurance exists, and if you are in an accident or the victim of car theft, your selected insurance company will help you through any difficulties that may arise.
Not having Auto Insurance Can Result in Serious Financial Implications
As well as being a legal obligation to have auto insurance, not having insurance can result in serious financial implications. If you do not have auto insurance and you are completely at fault for an accident, you may be forced to pay for your damages as well as the damages to the other vehicle. Non-compliance penalties vary from state to state, but results can be a large fine, license and registration suspension, and in some states possible incarceration. Depending on the severity of the accident, without auto insurance, you may have to pay for your own medical bills along with the other driver’s medical bills. If you are sued, you will have to pay for your own legal representation, which can also be financially crippling.
Buying Auto Insurance Policies Online
Since the establishment of electronic signatures, buying online auto insurance policies has become a very popular choice for consumers. Comparing insurance quotes online has become a quick and easy way of purchasing affordable auto insurance. Shoppers complete an online questionnaire and instantly receive a host of quotes from different insurers. The personal information that you provide is secure and private, quotes are free, and there is no pressure or obligation to purchase. When searching for a new auto insurance policy, it is recommended that you compare several rates to acquire the cheapest insurance plan. Obtain no less than three price quotes. It is essential to shop around because prices vary from company to company.
Reduce Your Auto Insurance Costs
There are many factors that influence your final car insurance premium, from the vehicle’s sticker price and the driver’s driving record, to potential repair costs and the risk of theft. There are a number of steps that you can take to find cheap insurance rates and reduce your total auto insurance costs. Asking for a higher deductible can significantly lower your costs. Your deductible is the amount of money you pay before your insurance policy begins to pay for a claim. If you buy an older vehicle, you may want to drop collision coverage. It may not be of value to insure a vehicle that is worth significantly less than the amount you would pay for coverage. Maintaining good credit can reduce auto insurance costs. Many companies also provide discounts to people with a good driving records. If you do not have a history of accidents or moving violations, you may often receive cheaper rates. Taking a defensive driving course can also reduce costs. Young people who complete a driver’s education program often receive lower rates, too.
Having auto insurance coverage is a legal mandate in every state of the union, and if you attempt to drive without it, you are at risk for serious financial implications, license suspension, and possible incarceration. Acquiring inexpensive car insurance, however, does not have to be a formidable task. After educating yourself on the subject matter, use an Internet quoting service to assist you in comparison-shopping the market. You do not need to waste time attempting to call each individual insurance company directly. Finding affordable and cheap auto insurance coverage is only a click away.
Before Purchasing a Vehicle
Before purchasing a vehicle, you can do five things to save money on your car insurance.
- Perform a Comparison Quote Search: Drivers will be offered radically different prices and they can choose from the best ones.
- Purchase a Vehicle that Is More Economical: Cars that would be less expensive to repair encourage insurance agents to offer cheap car insurance to the owners.
- Check Credit Scores: People with higher credit scores receive lower rates.
- Wait to Make Other Large Purchases: Financing large purchases such as a house at the same time as looking for cheaper car insurance will make the insurance company wary.
- Buy a Used Car: People who purchase used cars can forgo purchasing comprehensive and collision coverage because it is not cost-effective.
Purchasing Cheaper Car Insurance for a Vehicle Already Owned
- Comparison Shopping:This advice also applies toward people who currently have car insurance who are looking for more affordable coverage.
- Ask for Discounts:Drivers may be entitled to several different discounts such as insuring all of their vehicles with one company.
- Offer to Pay a Higher Deductible:A high deductible translates into lower premiums.
- Consider Purchasing a Group Insurance Policy:One great place to find group insurance is through a person’s workplace.
- Drive Safely: People who do not appear to be reckless in their driving can, generally, receive cheap car insurance.
Three Ways to Receive High Quality Coverage for a Cheaper Price
Three things to search for:
- The Company’s Financial Solvency: How likely will the company be able to meet all of its financial obligations? Check the company’s ratings with credit ratings companies such as Standard & Poor’s.
- How Well Does the Company Take Care of Its customers? J.D. Power and Associates can answer this question.
- How Long Has the Company Been in Business? A company that has been in business for a long period of time will not necessarily be disappearing over night.
Different Car Insurance for Different Situations
Cheap Car Insurance When Leasing a Car
When people lease a car, the Lessor will require them to carry particular types of insurance. Everyone needs to have liability coverage for their state’s minimum amounts, but a Lessor may require that the Lessee purchase even more of this coverage. They will also be required to purchase comprehensive and collision coverage. A person leasing a vehicle can find affordable car insurance by shopping around.
Cheap Car Insurance When Renting a Car
People who are renting a vehicle but already have an insurance policy will, generally, have coverage that extends to the rental car, so they will not need to purchase any extra coverage. Those who do not have a car insurance policy may purchase insurance from the rental car company. It generally adds about $7 to $14 per day to the car’s price.
Cheap Car Insurance When Sharing a Car
People who share their vehicles may be subject to having their rates raised if they are charging the other driver. The reason is that renting the vehicle makes it a commercial venture, and more liability is attached to a commercial vehicle than a personal one. Before people engage in car-sharing, they need to ask their insurance companies first if they will be charged extra for doing so.
Cheap Car Insurance When Having Multiple Cars
Sometimes, people have multiple vehicles. They can receive a multi-car discount if they insure all of their cars with one insurance company.
Start Saving Money Today – Compare Car Insurance Quotes
You can easily save money on your car insurance by comparing car insurance quotes online. All you have to do right now is enter your zip code and click start on our page and you will be taken to our simple form. From there, you will be on your way to more affordable car insurance.