You Snooze You Lose-Even When Shopping for Car Insurance

If your heart races at the mere mention of “shopping” your heart rate probably slows to a life threatening pace at the mention of “shopping for car insurance.” Even now your eyes are already beginning to glaze over. That surge of energy you felt at the thought of visiting your favorite shops have now dissipated under the mind numbing exercise of shopping for insurance quotes.

The fact remains that as boring as this stuff can be, it’s important. You don’t want to end-up as a headline- “Uninsured Motorist Causes Serious Injury,” and since the right insurance company isn’t going to show up on your front door. You have to go look for it.

Do Your Research and Save On Car Insurance

Maybe this headline will grab your attention- the right car insurance can save you hundreds or thousands of dollars a year. It takes a few minutes to compare. One of the contributing writers to this article shook-off their lethargy long enough to take a stab at finding the best rates. The conclusion? Affording basic coverage for two old cars ranged from $1,006 to $1,807; that’s $801 per year. If it’s been a while since you’ve comparison shopped, take a few minutes to do it because it could save you a lot of money. If you need a little more incentive than the mere thought of saving $801 dollars…think about how much that $801 can buy.

How to Find the Best Car Insurance For You

  1. Decide the amount of coverage you need and what minimum requirements exist in your state.
  2. List the various types of coverage you’re eligible to buy.
  3. Once you know the minimum amount of coverage you need, decide what else you want to add to our coverage.

Insurance companies love people who think in worst-case scenarios. This means you’re going to try and compensate for any potential risks. Insurance companies have what are called, “actuarial tables” that measure your personal factors against decades of data to determine how likely it will be for you to hurt yourself or for your car to get stolen.

Different Perspectives

Remember that while insurance companies are assessing the risk of you filing a claim, they operate from the premise that you will not get into an accident. You buy car insurance thinking that at some point you will get into a car accident. So the car insurance company is willing to insure you to prove you wrong.

How Do I Know What to Buy Beyond the Minimum State Requirement?

Here is an example to help you decide. Let’s say that you have $50,000 of bodily injury coverage and have $100,000 in assets when you get into an accident where you at at-fault. The other party could go after your assets if their party’s medical expenses exceed $50,000.

Something else to consider- your uninsured and/or underinsured motorist coverage can’t be higher than the limits of your liability coverage. This form of coverage benefits those who can’t immediately return to work after an accident due to serious injury.

Consider your own record. If you know that you have a history of fender benders and can’t help driving aggressively through rush hour traffic or beautiful, windy roads-buying comprehensive coverage may help you sleep better at night.

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