Car insurance is an added expense over and above the considerable expense of owning and maintaining a car, particularly when you consider all the other types of insurance that are necessary in today’s world, so it is only natural to want to get cheap car insurance without compromising on coverage. Luckily, cheap car insurance is well within your reach, provided you know how to get it.
The Internet is the best place to start when shopping for cheap car insurance. Insurance companies are now geared to provide you with a quote online but you will still need to shop around and compare quotes, and keying in your details separately for each best insurance company you want a quote from can be a hassle. The answer is to use an insurance company that allows you to get multiple quotes online. You enter your details online, and the insurance company will draw up individual quotes for a number of insurance providers (sometimes as many as eight) and send them to you all in one go. How cool is that? You will even save on your phone bill because you won’t need to use the phone to get your quotes.
There are a number of other things you can do to reduce your car insurance besides getting cheap car insurance quotes online. You can increase your excess which will decrease your premiums on a monthly basis but substantially increase the amount you will have to pay out of your pocket when you claim. Accidents happen when you least expect them so you need to be sure you can afford to pay such a high excess if you go this route. All new cars now have to be insured before they leave the showroom floor these days but you can limit the amount of insurance you will have to pay by purchasing a cheap or moderately priced car. To insurance companies, cheaper cars mean cheaper repairs which means they will have to fork out less. The result is a lower premium for the consumer who buys a cheaper car.
Ensure that your car is parked in a secured area like a garage or lockable car port at night, and consider fitting additional security measures such as a gear-lock, as this can help you get a cheaper package. Speaking of packages, it is often cheaper to have a combined coverage package, where you insure your car, home, and possessions with one insurance company than several separate premiums with different companies. Avoid driving a high-risk vehicle or expensive car if you can. High-risk vehicles are the makes and models of cars that insurance companies consider to be vulnerable to theft and hi-jacking, and your premium will be raised accordingly. Also, expensive cars tend to be expensive to repair, so you can expect your insurance premium to be higher than if you had a cheaper car.
As you can see, there are a number of ways to get cheaper car insurance, but cheaper is not always better because it can mean you aren’t adequately covered. You need to be clear on what your insurance status is and what adequate coverage costs, and then decide how far over and above a reasonable insurance premium you want to go with extras. Car insurance is an added expense over and above the considerable expense of owning and maintaining a car, particularly when you consider all the other types of insurance that are necessary in today’s world, so it is only natural to want to get cheap car insurance without compromising on coverage. Luckily, cheap car insurance is well within your reach, provided you know how to get it.
Top 10 Misunderstood Things About Car Insurance
These car insurance myths are some of the most common questions that most people have about direct car insurance either buying or reviewing their auto insurance coverage. It is better to find out now before you have a claim and it’s too late.
I just got my 1st speeding ticket my insurance rates are going to go way up.
Reality: If this is your first ticket your rates probably won’t even change. Most direct car insurance providers will give you a pass if you don’t have any other tickets or claims in the past 3 to 5 years depending on the company.
That new Plasma TV I bought last year won’t affect my Car Insurance
Reality: If you didn’t pay the credit card you charged it on then it just might. Almost all insurance companies now use some form of credit scoring when determining not only if you will qualify for insurance, but also what you will pay. There can easily be a 50% difference in rates for a person with excellent credit to someone with poor credit.
I just slammed my car door into my lawnmower parked in my garage, my homeowner’s policy will cover it
Reality: Your homeowner’s coverage has nothing to do with covering your car. The only way your car will be covered is if you have Comprehensive (Comp) coverage for your car. And then only after you pay your deductible.
I just cracked up my friend’s car and I tell him don’t worry my insurance will cover it
Reality: It will but only after your friend’s policy pays first. So let’s say your friend has a $500 collision deductible and you have a $250 deductible. You would have to give your friend the $500 for his deductible as his insurance company is Primary. Meaning your insurance will only pay after his policy limits are exhausted. So just remember in this scenario your deductible does not matter it’s going to be based on your friends.
If you’re riding your bicycle and get hit by a car your car insurance won’t get involved
Reality: If you get hurt or killed while riding your bike or even walking down the street you may be surprised to learn that you may be covered by your direct car insurance policy. If the person driving the car didn’t have any insurance or not enough insurance to cover your injuries, your Uninsured or Underinsured coverage would pay for your claim.
Someone just broke into my car and stole all of my personal belongings out of it i.e. Cd’s, Cell phones, Christmas Presents, my car insurance will pay for it.
Reality: Your car insurance does not cover your personal belongings left inside the car. You are going to have to file a claim with your Homeowners or Renters insurance policy to be compensated for these items. The general rule of thumb is your car insurance will only pay for items that are attached to the vehicle.
I am going to be charged more for my Car Insurance because my car is red, blue, black, pink…
Reality: The color of your car has absolutely nothing to do with your rates. If you like red buy a red car if you like black buy a black car. Don’t ever let this silly nonsense stop you from buying a car.
I didn’t have a car for the last 2 years, this won’t affect my rates.
Reality: Not having continuous car insurance is frowned upon by most direct car insurance companies now a day’s. Some companies won’t penalize you for not having prior insurance. If you don’t have prior insurance make sure you have a good excuse like you took the bus, or you were in the military, or some other legitimate reason. Oh and by the way I couldn’t afford my insurance is not on that list.
Telling a little white lie on my insurance application won’t affect my coverage if I ever have a claim
Reality: This is one of the worst things a person can do. If you lie on your insurance application there is a good chance you won’t have any coverage when you need it the most. Do you think they won’t find out? Remember these 2 things when an insurance company is on the hook for a ton of money. #1 They are going to start asking questions and the first thing they look at is your application. Wouldn’t you if you were them? And reason #2, the insurance companies have more money than god and they have people working full time to find this stuff out.
Buying a cheaper more reasonable car will be less to insure the more expensive car.
Reality: There are a lot of different factors insurance companies use to determine rates, however, there are many times where the rate for the more expensive car is less than the cheaper car. One of the biggest factors for the Comp & Collision coverage is how much do replacement parts cost. Sometimes on those cheaper cars or the more exotic cars, the replacement parts can cost a lot to replace.
So just remember the next time your online looking for a cheaper insurance policy, to consider some of your options. There are hundreds of direct auto insurance companies out there looking to get in your pocket, just make sure when the time comes you can get into theirs.