Cheap Car Insurance – 7 Tips To Reduce Your Car Insurance Costs

With the cost of car insurance becoming more and more of an issue for the average American family, there are increasing numbers of people looking for cheap car insurance. But although it is possible to find cheap car insurance, the question remains, is it worth buying?

Everyone knows that car insurance companies are not all equal. Cheap car insurance is wonderful when paying the bill, but make a mistake on the company you select and you could find that the cheap car insurance policy that you found may turn into a nightmare. Cheap car insurance may not turn out to be so attractive when making a claim.

So if you have found a discount car insurance broker don't just take the cheapest quote that you get. You need to find out a little about the insurance company that is offering the cheap car insurance rates.

And there's ways to reduce the cost of your car insurance even with the best of companies. Here are some tips for those looking for cheap car insurance to help reduce the cost of car insurance without compromising other things.

7 Cheap Car Insurance Tips

1. Look at your deductible amount. This is the amount that you pay first out of any claim. The cost of your policy is directly related to this amount. Many people, particularly those who have had their insurance policy for a long time, have never considered whether they ought to vary their deductible. If you have a good driving record and are prepared to increase the risk of paying a larger amount in the event of a (hopefully unlikely) claim you can save money by increasing your deductible.

2. Have a look at the type of car you drive. Certain types of cars attract higher car insurance rates. Cars such as sports cars and also certain makes and models that are prime theft candidates cost more to insure. If you are buying a car then find out which makes and models these are before you buy.

3. Drive carefully. Although it sounds a little trite to say it, your car insurance cost is a factor of your risk profile. You won't get cheap car insurance if you have had 3 speeding fines and 2 accidents in the last year. These things are all taken into account and you should take care with how you drive. It all adds up onto your bill. There are big safe driver discounts available.

4. Considering installing safety and anti theft devices in your car. Again these affect your risk profile. If you have a car that is safer and less at risk of theft it should be cheaper to insure. And if you have a car with certain safety devices now check that your insurance company is aware of these, if not tell them.

5. Look at your policy when it comes to renewal time, don't just pay. There are some things that you can vary in your policy that will affect the cost. Often there are some things there which duplicate other insurance that you may have that can be eliminated. Be critical, look carefully and ask questions about all these before you renew your policy.

6. Have a look at who your other insurers are. Many insurers offer a discount for multiple policies. If you insure your house with a certain company then ring them up and find out if they do car insurance. Get a quote from them. Find out what discounts they offer.

7. Find a good online discount car insurance broker before renewing. The internet is a fabulous resource. Use it. There are all sorts of discount insurance brokers online where you can get fast quotes from a wide range of companies. Don't just settle for the same company you always use. Car insurance rates vary all the time. Always get comparable quotes before renewing any policy.

So if you're in the market for cheap car insurance there's some ideas for you. Don't just accept that car insurance is always prohibitively expensive, get out there and do something about it.

Car Insurance and No-Fault Benefits

In most No-Fault states, such as Florida, if you are in an accident and receive bodily injuries it is your own car insurance that will cover your injuries and medical bills. This no-fault insurance is usually termed Personal Injury Protection or PIP.Many states have passed laws requiring vehicle owners to have no-fault coverage (PIP) as part of their state mandated minimum automobile insurance coverage.

If you have been in an automobile accident the first course of action, whether you have bodily injuries or not, is to contact the police to make a report. The next step is to contact your insurance company to report the accident. Your insurance provider should then be able to walk you through the steps of making a claim. If you have injuries and need to place a claim against your PIP coverage, this can be done at this point as well.

If you are unsure of what your personal injury protection policy covers, ask your agent to explain the benefits and which will be of use to you under your current situation. Benefits typically can include payment for loss of wages, medical expenses, replacement services and other economical damages you might have suffered due to the accident.

Medical expenses that will be covered by No Fault are those medical expenses that are reasonable and necessary are covered. The state’s statutes in which you reside usually regulate what is deemed reasonable and necessary. This definition usually excludes experimental treatments or alternative/holistic treatments.

In Minnesota their statutes include as medically necessary the following items: medical, surgical, x-ray, optical, dental, chiropractic, and rehabilitative services, including prosthetic devices. Also allowable by MN statutes are prescription drugs, ambulance or other transportation expenses incurred in traveling to receive other covered medical expense benefits.

The state of Minnesota’s PIP system demands that before any wage loss claim will be paid by your insurance provider that a doctor's disability note must be presented to your PIP insurance adjuster in order for you to receive wage loss benefits and that proof of wage loss from your employer on a form available from your insurance adjuster.

In Florida their no-fault (PIP) coverage includes payment for 80 percent of medically necessary expenses, 60 percent of lost wages, 100 percent of replacement services such as child care, housekeeping or yard work, and $5,000 for death benefits. Florida also allows that for a higher premium you may amend your personal injury protection coverage to increase medical expenses to 100 percent and lost wages to 80 percent or increase your minimum limits from $10,000 to $20,000 or more.

There are other states, such as Washington, that do not require PIP but have it as an option that a driver can carry as part of their insurance coverage. In Washington State personal injury protection if you choose this optional coverage it pays for medical and other expenses resulting from an auto accident, for people specified in the policy, regardless of who is at fault.

While this coverage is not required in Washington, it is mandatory that it is offered to car insurance buyers and must be rejected in writing if the car owner does not want to add the coverage. In a Washington PIP policy the named insurer and residents of that person’s household related by blood, marriage or adoption are covered for injuries incurred in an accident. Also passengers of the named insurer’s vehicle and pedestrians are covered.

In Washington, just as Minnesota and Florida, PIP covers reasonable and necessary medical expenses for injuries sustained in an automobile accident, up to three years from the date of the accident and up to the $10,000 limit. Other benefits of PIP in Washington State include income replacement (maximum of $200 per week for 1 year, after a person has been disabled for 14 days after the accident), funeral expenses of $2000 and loss of services of up to $5000.

Whether your state requires you to carry Personal Injury Protection insurance coverage or not you will want to be informed of this coverage and what benefits you may receive from it. Find out from your insurance agent, or your state’s insurance regulatory body (Department of Insurance) who is covered by a PIP policy and if there is different coverage options you may want to include for better protection of you and your family.

Tips On How To Save When Buying Car Insurance

If you want to save money when you purchase your car insurance here are a few ways that can help you as you search for auto insurance.

First thing you can do is comparison shop. It cannot hurt to call around to see what other prices are out there. If the price is higher you know you are where you need to be and if you find a lower rate you always have the option to change. You can use information from Florida Department of Financial Services, or a similar department within your state, to help you decide. This Florida department can show you what types of coverage are out there and give you sample rates. You can do this for other states by using the National Association of Insurance commissioners web site. Armed with this information you can get quotes from a number of companies and find the best one for you.

Increasing deductibles is another way to lower your premium. A deductible is the portion of money you pay before the insurance company pays for damages or injuries. The higher your deductible is the less exposure the insurance company has, thus your premium will be lower. If you choose the highest deductible you can afford you may save hundreds of dollars over the term of your policy.

Dropping comprehensive and collision coverage on older cars is another way you can to save money on your insurance policy. This type of coverage protects your car if it is damaged or stolen. Usually it is the cash value of the vehicle at the time of a loss minus the deducible. On older vehicles the value is lowered already by depreciation. You need to take into consideration the premium you pay, the value of the vehicle and the deductible you have. You may be paying more for the coverage then the vehicle is worth. If there is a loan on the car, you may have to keep this coverage on the car until you pay off the loan. After the car loan is paid off it is your choice if to keep these types of coverage and at what levels.

Buying a more economical car may help reduce your insurance. Yes, driving that corvette is fun but if you want to save money maybe you can be driving something that is a little less expensive. Vehicles that are costly to fix or that have a higher chance to be stolen are generally higher priced as far as your insurance premium. There are reports that you can check to find out which cars are stolen more often. One of these types of reports is by The Highway Loss Data Institute. Parts and repair times also tend to me more costly on higher end vehicles. A vehicle that is easier to repair will save with labor costs thus help lower your premiums.

Some companies give discounts if you do not drive your car as much. If you live close to your job you may get discounts for this lower mileage usage. Some companies may also list the car as an "occasional use" vehicle based on the mileage, which can reduce your premiums.

Asking about which discounts are available is a great way of reducing your premium. Discounts are given for safety features such as airbags and anti-lock breaks. Anti theft systems can reduce costs as well. Owning a house, being married, driver training courses and having no tickets or accidents are all ways that may make it possible for you to be eligible for discounts. Getting a list of discounts from your company is a great way to reduce your costs.

Maintaining a good driving record is also a major determining factor on how much the premium will be. If you can maintain a safe driving record, one without violations and/or accidents, your rates will be lower then someone who is more reckless. Many companies give discounts if there are no violations on your driving record. This is due to the company potentially having less exposure insuring a driver with a clear driving record than the driver with multiple tickets and/or accidents.

One final way to save on insurance is to keep your policy enforced. By making payments on time and keeping your policy intact you avoid extra late fees and you avoid costly tickets for not carrying the proper type of coverage that your state requires. You avoid possible a suspension of your driver's license and you also may be eligible for discounts for renewing your policy all by just keeping up with your premiums. Most companies will give renewal discounts as an incentive to stay with them and keep your policy valid and in good standing.

These are just some ways that you as a consumer may use to lower your insurance costs. Now get out there and start saving some money!