Experts Agree Finding The Cheapest Insurance Is Not Always The Best Idea

Everyone likes to pay less for things. That is a given. Paying for the cheapest car insurance however is not always the best thing you can do. Buying auto insurance based on just the lowest price can get you a lower quality policy that could actually result in you losing money. The best bargain hunters know that you have to do your research; and the old adage of buyer beware comes into play when seeking deals. The key is to find a cheaper policy that still offers the most protection. It can take some time and effort to find the best car insurance at the lowest rate you want, but the effort will be well worth it; and the good news is the internet makes the search easier.


It may be tempting to ease or cut back on coverage to reduce your premium, but this can cost you in the long run. The temptation to take on a higher deductible to lower your monthly premium might also sound great, but it could lead to more expenses down the line, though not as bad as reducing your coverage would be. If, for example, you chose a policy with a bodily injury coverage of only $25,000.00, (which might sound like a lot), you could end up losing your house, and going deep into debt. Medically speaking, $25,000.00 is nothing when it comes to an accident that causes bodily injury, as you can have hospital expenses, pain management, lost wages, rehab visits and other costs involved. If you strike two people, or the injuries are serious, it could be financially crippling if you were the at-fault driver. This is because you will have to pay the difference between your minimum coverage and the actual costs for those injuries. Any savings from the lower premium will be gone in the blink of an eye and leave you with massive debt. Even if your accident is a smaller one, it could still surpass the 25,000.00 coverage with ease and evaporate any savings the cheaper coverage policy afforded you.

If you stick to minimum coverage this means you won’t have collision insurance. If you get into a wreck colliding with another car and your at fault or it’s even ruled a mutual fault, depending on the state you reside, you can kiss your car goodbye. Also if you stick to the minimum it won’t include comprehensive coverage either. Comprehensive is a nice because it protects you against a variety of things like theft, fire, physical damage while it is parked, damaged windshields, hail damage, deer accidents, vandalism, flood damage, or tree damage to your car. Any one of these things happening to you could literally eat away the small savings by not having this coverage. Comprehensive coverage is usually a very affordable add on to your insurance policy.

Service you get is also effected by the price you pay. Millions of Americans every year need to make use of their auto insurance policies. You do not get the same coverage and perks when you choose the rock bottom dirt cheapest policy you can find. Good policies have lots of perks, and the loss of those perks can cost you money down the line. For example some policies give you a rental car when your car is in the shop following an accident, saving you money. Sticking with just minimum state-mandated insurance can end up costing you far more down the road than anything you could ever save by downgrading to a bare bones basic policy. We all know when it comes to anything in life, you get what you pay for. The fact is, if you own a house or have assets that you want to protect, it’s recommended you carry liability limits of at least 100/300/50 (per person, per accident for bodily injury and property damage).

To pick out the best policy suited to your needs, compare policies side by side, read the small print on each policy, compare not just the prices but also the level of protection being provided by each policy, and begin to eliminate the ones that do not suit you. Understand before comparing policies what your needs are when it comes to insurance, and make a list of mandatory perks and levels of coverage you desire. Savings can still be had with a good policy that offers everything you need. Discounts are a good way to save on insurance. Some insurance providers offer good driver discounts, accident free discounts, vehicle safety discounts, multiple car discounts, accident prevention course discount, student discounts, longevity discounts (staying with the same insurance carrier for a minimum number of years), and homeowners discounts. If you cannot find the discounts online, can always contact an insurance company directly to inquire about what discounts are available, and they will be more than happy to assist you.

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