12 Month Auto Insurance - What to Look Out For
If you are like many people today, you may be shopping for a new auto insurance policy. There is certainly a wide variety of auto insurance companies to choose from so how do you go about choosing the right one for you? The simple truth is that each individual is different and your needs depend on a number of factors including your age, gender, driving record, type of vehicle, credit score and more. While there are some general guidelines that everyone should be aware of, here are a few tips to help you determine what type of auto insurance coverage to purchase.
First of all, it pays to shop around. Many people believe that they have found the best deal on an auto insurance policy but actually they could have saved money if they had comparison-shopped. You may not think that this is important, but trust me when I say it is. Comparison-shopping will allow you to obtain several different quotes at the same time in order to ensure that you are receiving the best price for the type of coverage that you desire.
What you want to do is to select a company and then look into their rates. However, don't stop there. You need to also take a look at the type of coverage that they offer. While the lowest priced policy may be great, it's not always the right one for you. For example, if you only want to pay for personal injury protection but not property damage or bodily injury protection, then you may be better off purchasing an affordable policy that offers that type of coverage.
You may also want to consider raising your deductible. This simply means that you will have to come out more of your own pocket should you make a claim. Raising your deductible can significantly reduce the cost of your policy. Some people even elect to pay their deductible up front as well as the cost of their policy each month until the policy has been fully paid off. Whatever the case, by increasing your deductible you will need to calculate additional payments towards your policy before you actually reach the finish line of the loan.
The second thing you want to do is review your credit report. Not every company will pull your credit, so you want to check yours to ensure that there are no mistakes on it. If there are any errors, contact the company to get them corrected. Chances are, they will do this for free as well as any other inaccuracies. In fact, some companies will increase the policy fee if there are too many errors found on your report.
Finally, do not be afraid to negotiate. If you have coverage that is extremely low, it's possible that the quote you receive is because of this. If you have more coverage, the insurance company will view you as a higher risk than someone who only has minimum coverage. Therefore, in order to receive lower quotes, it is important to ask about discounts.
For example, if you've had your policy for more than six months, you may qualify for a policy with a discount. Also, if you have never had your policy before and currently have an outstanding loan, you may qualify for a cheaper quote. In fact, if you have never had insurance before, and your credit is outstanding, you can even make an application to have your rates lowered. Be sure to check with your agent because they will be able to explain all of these options to you.
As Egg Insurance can see, it will take quite a bit of time to pay off your policy, but it is definitely worth it. In the end, you will see how much money you can save. You will also be able to move onto a new policy with no problem at all, making life a little easier.