Auto Insurance FAQs
Most states require drivers to carry a minimum amount of liability insurance. Liability insurance provides coverage for other drivers in the event you’re at fault in an accident that causes injury or property damage to others. The amount of coverage you carry beyond liability is contingent on a number of factors: • The value of your car and other assets • How often you drive • How you use your vehicle (e.g., mostly driving to work, etc.) • Do you regularly transport passengers? How many?
It’s not inconceivable that the liability portion of your homeowner’s policy could hit its payout limits in the event of a serious claim against you. This is especially true if you were sued by someone claiming you caused their loss or injury. If you lost the suit, the award could easily exceed the payout limits of your normal homeowner’s policy, potentially devastating your finances.
This is when a Personal Umbrella Insurance Policy would be extremely useful. Personal Umbrella Insurance supplements your existing auto insurance policy and begins paying when you reach the payout limits on the standard policy.
Deductible payments do not accumulate across multiple claims. For example, if you file a claim in January, you would owe the $500 deductible. If you filed another claim in March, you would again be responsible for $500. In the $475 example above, your payment of the full claim has no impact on the deductible you’ll owe on your next claim: $500.
Drivers can also lower their rates by purchasing multi-coverages with the same insurance provider. For example, a driver who buys both his car and home owner’s insurance from the same provider will typically pay less on both policies than if he purchased auto insurance alone. Most providers will also lower premium rates if multiple drivers and/or cars are covered in the same household.
Maintaining a safe driving record is another effective way to lower premiums. Most providers will reward drivers with lower premiums for going a certain number of years without having an accident.
You can also slightly lower your premium by paying an entire six-month coverage period at once, as opposed to paying it monthly.
You can also raise your deductible amount. The more you choose to pay out of pocket for a future claim, the less you will pay in premium.
Getting older—especially in the absence of serious accident or citation—will also automatically reduce your rates over time.
Beyond these most common ways to lower car insurance rates, a number of providers also offer various company-specific discounts. To find out what unique discounts your provider might offer, give them a call.
How do I find the best Auto insurance and lowest possible rates for me? We can help you with that. We shop our various partner providers to help find you the most-comprehensive coverage possible at the lowest possible rates. What are your insurance needs? Talk to us about it and we’ll help you find maximum coverages at minimum prices.
Auto insurance companies use such information to establish your driving and claims patterns over time. From those patterns, providers make statistical predictions on how likely you are to be involved in an accident, to get a citation, to make a comprehensive claim, etc. Companies are legally permitted to base auto insurance rates on these predictions.
Please note, however, that providers are also limited regarding how long they can cite any single accident, traffic violation, etc., as reason to increase your rates or keep them high.
Your coverage begins upon issuance of a valid proof of insurance coverage card. We will mail this card to you, but you can also access it online. Is a payment receipt for a policy a valid substitute for a proof of insurance card? No. Your proof of insurance card contains all the details of your policy not provided by a receipt. These include your confirmation number, policy number, your vehicle’s VIN, and other information. Most providers allow you to access this information online, too.
4) Safe driver
Please note that some discounts are provider specific. Ask your provider what discounts might be available to you.
1) Normal market fluctuations, influences, and variances
2) You had an accident that was your fault
3) You’ve been involved in several accidents within the last few years—even if some weren’t your fault
4) You’ve had a recent traffic citation
5) You recently added a driver to your policy
6) You’ve gone several years without an accident or traffic citation
The higher your deductible, the less in premium you will pay. It’s critical to choose a deductible amount that balances your coverage needs with the amounts you can pay out of pocket and in premium. Does the kind of car I drive influence my Auto insurance rates? Yes. A vehicle’s make, model, and age all have a significant impact on insurance premiums. An individual insuring a Dodge Viper will pay far less than a person who drives a Honda Civic. Likewise, in individual driving a 2002 Civic will pay lower premiums than one who drives a comparable 2017 Civic. Generally, the more a car is worth, the costlier it is to insure. Other factors can also impact insurance costs, however, including engine power, overall size, number of seats, and other factors.