Wish you could get out of an expensive car insurance policy? Believe me when I say you’re not alone. Many insurers compete for your business, so it can be very hard to choose a provider and get the best coverage at the lowest cost out there.
If you currently have a car insurance policy, you should be able to cut costs considerably using these tips. Finding affordable coverage in Houston is not that difficult. Nevertheless, Texas car owners can benefit from knowing the way insurance companies market on the web.
Get lower rates by earning these nine discounts
Car insurance is neither fun to buy or cheap, but you might find some hidden discounts that may help make it more affordable. Certain discounts will be applied when you complete an application, but lesser-known reductions have to be specially asked for prior to receiving the credit.
- Low Mileage – Maintaining low annual mileage could qualify for discounted prices on garaged vehicles.
- Discount for Passive Restraints – Factory air bags and/or automatic seat belt systems may get savings of more than 20%.
- Telematics Devices – Insureds who allow driving data submission to look at driving manner by installing a telematics device such as Drivewise from Allstate or Snapshot from Progressive may get a rate reduction if they show good driving skills.
- ABS Brakes – Cars and trucks with anti-lock braking systems are much safer to drive so you can save 10 percent or more.
- Claim Free – Claim-free drivers can earn big discounts in comparison with insureds who have frequent claims or accidents.
- Student Discount for Driver Training – Cut your cost by having your teen driver complete a driver education course in school.
- No Charge for an Accident – This isn’t a discount exactly, but some insurance companies will let one accident slide without the usual rate increase as long as you don’t have any claims for a set time period.
- Home Ownership Discount – Just owning your own home may earn you a small savings because of the fact that having a home shows financial diligence.
- Driver Safety – Taking time to complete a course teaching defensive driver skills could save 5% or more and easily recoup the cost of the course.
While discounts sound great, it’s important to understand that most discount credits are not given to the overall cost of the policy. Some only reduce the cost of specific coverages such as medical payments or collision. So when it seems like all the discounts add up to a free policy, it’s just not the way it works.
Some companies that may offer quotes with most of the discounts above include:
When quoting, ask all companies you are considering the best way to save money. Discounts might not apply in every state. To see a list of insurers with significant discounts in Houston, click here to view.
Big names are not always cheapest
Popular car insurance providers such as Allstate, GEICO and Progressive constantly bombard you with ads on television and other media. All the ads advertise claims about savings if you change to their company. But how can every company sell you cheaper insurance coverage? It’s all in the words they use.
Car insurance companies can use profiling for the type of driver that will generate a profit. For instance, this type of driver might have to be a married female, has no prior claims, and drives less than 10,000 miles a year. Any customer who fits that profile will probably get the lowest premium rates and will most likely save money with a new company.
Insureds who fall outside the requirements may be required to pay a more expensive rate and the prospect going elsewhere. The ads say “drivers that switch” not “all people who quote” save that kind of money. This is how companies can make those claims.
This emphasizes why you should do a quote comparison often. It’s just too difficult to predict which company will give you lower rates than your current company.
Your car insurance coverage should be tailored to you
When choosing adequate coverage, there really is not a best way to insure your cars. Your needs are not the same as everyone else’s so this has to be addressed. Here are some questions about coverages that can aid in determining whether your personal situation could use an agent’s help.
- If my Chrysler 200 is totaled, can I afford another vehicle?
- Exactly who is provided coverage by my policy?
- What can I do if my company won’t pay a claim?
- Do I need medical payments coverage since I have good health insurance?
- What are the financial responsibility laws in Texas?
- Does my insurance cover my expensive audio equipment?
If you can’t answer these questions then you might want to talk to an insurance agent. If you want to speak to an agent in your area, take a second and complete this form or go to this page to view a list of companies.
The coverage is in the details
Understanding the coverages of car insurance helps when choosing appropriate coverage for your vehicles. Car insurance terms can be confusing and reading a policy is terribly boring. Shown next are typical coverage types found on most car insurance policies.
Medical expense coverage – Personal Injury Protection (PIP) and medical payments coverage kick in for short-term medical expenses for hospital visits, chiropractic care, X-ray expenses and surgery. They are used to cover expenses not covered by your health insurance policy or if there is no health insurance coverage. It covers you and your occupants as well as if you are hit as a while walking down the street. Personal Injury Protection is not an option in every state but it provides additional coverages not offered by medical payments coverage
Auto liability – This can cover damages or injuries you inflict on people or other property in an accident. This coverage protects you against other people’s claims, and doesn’t cover your own vehicle damage or injuries.
Split limit liability has three limits of coverage: bodily injury per person, bodily injury per accident and property damage. As an example, you may have policy limits of 25/50/25 that translate to $25,000 in coverage for each person’s injuries, a total of $50,000 of bodily injury coverage per accident, and property damage coverage for $25,000. Alternatively, you may have a combined limit which provides one coverage limit with no separate limits for injury or property damage.
Liability insurance covers things like pain and suffering, repair costs for stationary objects, funeral expenses, repair bills for other people’s vehicles and emergency aid. How much liability coverage do you need? That is a personal decision, but it’s cheap coverage so purchase as much as you can afford. Texas requires drivers to carry at least 30,000/60,000/25,000 but it’s recommended drivers buy higher limits.
Uninsured or underinsured coverage – This coverage protects you and your vehicle’s occupants from other drivers when they are uninsured or don’t have enough coverage. Covered losses include injuries sustained by your vehicle’s occupants and damage to your Chrysler 200.
Since many Texas drivers only purchase the least amount of liability that is required (30/60/25), their limits can quickly be used up. So UM/UIM coverage is very important. Frequently your uninsured/underinsured motorist coverages are set the same as your liablity limits.
Collision – This coverage pays to fix your vehicle from damage caused by collision with a stationary object or other vehicle. You have to pay a deductible and then insurance will cover the remainder.
Collision coverage protects against things such as crashing into a ditch, driving through your garage door and crashing into a building. Paying for collision coverage can be pricey, so consider removing coverage from older vehicles. It’s also possible to increase the deductible to bring the cost down.
Comprehensive protection – Comprehensive insurance will pay to fix damage caused by mother nature, theft, vandalism and other events. A deductible will apply and the remainder of the damage will be paid by comprehensive coverage.
Comprehensive coverage protects against things like a tree branch falling on your vehicle, hitting a bird and a broken windshield. The highest amount a car insurance company will pay at claim time is the ACV or actual cash value, so if the vehicle is not worth much consider dropping full coverage.
Additional consumer information websites
More information can be read on the found here. Texas consumers can read industry bulletins, discover disciplinary actions, and file complaints about a company.
The following articles may also be useful.
Final considerations
When buying insurance coverage, it’s not a good idea to skimp on coverage in order to save money. There are a lot of situations where an accident victim reduced liability limits or collision coverage only to find out that it was a big error on their part. The proper strategy is to purchase a proper amount of coverage at the best cost, but do not skimp to save money.
We’ve covered a lot of techniques to reduce Chrysler 200 insurance premium rates online. The key concept to understand is the more quotes you get, the higher the chance of saving money. Consumers could even find that the lowest premium rates are with some of the smallest insurance companies. Some small companies may cover specific market segments cheaper compared to the large companies like State Farm and Allstate.
Cost effective Chrysler 200 insurance can be found from both online companies as well as from insurance agents, and you should compare rates from both in order to have the best price selection to choose from. Some companies may not offer rates over the internet and most of the time these small insurance companies sell through local independent agents.