Get Three Quotes

Insurance rates these days are very competitive and it is not surprising to see insurance providers extending their services and courtesy to get your business. The first thing that you should do when trying to get the best car insurance rate is to get at least quotes from three reputable auto insurance providers. Note that the word “reputable” is used. Try to get the best quote that you can from three insurance providers and then start comparing them from one another.

Liability Coverage Limit

Liability insurance pays for car repairs and hospital bills of the other driver in case you got involved in a car accident and you are the one responsible for it. Every state has a minimum insurance requirement, however, keep in mind that minimum coverage may not be enough in case the extent of the car accident is serious. Since not every insurance quote includes a matching coverage limit, it is important that you make a separate comparison of each insurance company’s liability coverage. Do not be surprised if the most affordable quote comes with less coverage while the most expensive comes in full coverage. Make the best out of comparing each one’s coverage in relation to the quote provided to you by these companies.

Deductibles

This refers to the amount of money that you have to pay up front when you file a claim and is an addition to the monthly premium that you pay for an auto insurance policy. A policy that requires a higher deductible will have a lower monthly premium, while a lower deductible often comes with a higher monthly premium. When making a comparison between auto insurance rates, make sure that the deductibles are at least close to each other.

Uninsured Motorists

On the other hand, there is at least one motorist out of seven who is uninsured based on the Insurance Research Council report. And finding yourself in an accident with an uninsured motorist can be financially troublesome and this particular coverage does not normally come with insurance policies so make sure that the auto insurance companies you are picking offer this option. It is very vital that you thoroughly examine what each auto insurance has to offer if you want to get the best auto insurance rating.

The post How To Effectively Compare Car Insurance Rates first appeared on VinFreeCheck and is written by Jason Mason

Change of address

Unless your insurance company can provide insurance in other states, moving away from home or migrating to another state may require you to change it. If they do cover the state you are moving to, you should still take time to analyze your insurance policy and compare it to others which may offer lower interest rates. Take time and go insurance company shopping. It’s only a matter of surfing the internet and checking their websites.

Cheaper insurance quote

Moving or not, you need not be reminded that insurance premiums can be a burden to your savings. It’s just too bad that you cannot avoid insuring your automobile because it is required by law. So when your current auto insurance is expiring soon, it is time to check out other insurance companies offering discounts and lower premium rates. Always compare rates—you might be being overcharged.

Changes in circumstances

If someone is moving away from home—your spouse is moving away because of work, your child has become an adult and moved out of the house or went to college, then it must be the time to reconsider your insurance policy. You might be paying for a number of drivers covered by the insurance that are not going to be in the household anymore. You might want to opt for a cheaper insurance company and discontinue paying your old one.

Change in income

Sometimes, unfortunate things happen like being demoted, losing a job or your business is failing. When it is time to tighten your belt, pay close attention to your monthly responsibilities. Your insurance policies for your car, home and life eats a big piece of your salary pie. If your current insurance policy is expensive because you were able to afford it previously, switching to a more affordable insurance company that can still suit your needs is advisable.

The post Reasons to Change Auto Insurance Companies first appeared on VinFreeCheck and is written by Jason Mason

Pay ASAP

An accident is called such because it is unexpected. Anything can happen during the time when your policy lapses and before it is reinstated. Pay your premium as soon as you can. You will not like the consequences of an unpaid premium: Driver’s license suspension, vehicle registration suspension, reinstatement penalties, fines and an SR-22, which is a certificate of financial responsibility filing requirement. What is a SR-22? It is a guarantee of insurance that you need to procure from your insurance company. You need it when you commit violations, which includes non-procurement of insurance coverage—which is driving without insurance.

Reinstatement

Reinstatement does not mean procuring a new insurance coverage. It is an extension of your old policy. To reinstate your policy, call up your provider regarding your intention of continuing your coverage and then pay the premium. Depending on the terms and conditions of your insurance, the period that lapse may be covered as long as your insurance company allows it upon compliance with their requirements like writing or calling them and paying the premium within a specified period of time.

Move on, find another

Everybody hates rejection. Especially when it comes to insurance policies. You might be rejected when you are considered a “high-risk driver.” The latter means you have incurred serious traffic violations which will lower your chance of acquiring auto insurance at a low price. When this happens, it’s time to look to other insurance companies. However, you run the risk of paying a higher premium because of your status as a high-risk driver.

Your state’s automobile insurance plan

If nobody will cover you or if you find the insurance policies being offered to you as expensive, you can try your state’s automobile insurance plan. This is a state program which allows drivers labeled as “high-risk” to be able to get the minimum required coverage.

Convenient Options

If you are prone to forgetting to pay your bills, most likely you will forget to pay your insurance premium at the stated dates. Why not try utilizing automatic payment options? If your insurance provider allows it, you can have your debit card, credit card, your bank account debited or charged automatically. Convenient and easy, right? Just make sure you do not max out your credit card or your debit card and bank account has sufficient funds.

The post Auto Insurance Lapsed? Here’s What You Should Do first appeared on VinFreeCheck and is written by Jason Mason

PROS

Save money, of course

Insurance companies offer discounts which are 5%-20% off the insurance policy if you get both the homeowners and auto insurance from them. While others may not give out discounts, they compensate this in the form of incentives. To illustrate: If your premium for home loan is $100 and auto insurance is also for the same amount, the insurance company may grant a discount. Assuming the discount is 20%, then you only have to pay $160 for both policies instead of $200.

Easier processing

Processing your insurance and even having only one insurance agent for these two different policies is more convenient. Claiming for either will also be easier because you are already more familiar with their processes and the places where you have to go and file claims. You may not have to present other requirements when you decide to get the other insurance policy because they already have your records on file.

Saves time

Paying only one company for all your insurance policies can save you time in sorting out and paying your premiums. When you have bundled several insurance policies, the installment payment due will be scheduled all at the same time. It would be more convenient to pay on one date than pay several premiums on several different dates.

CONS

Cancelling one policy

If you decide to cancel either your home or auto insurance, the bundling discount will cease immediately. Talking to your insurance agent would be advisable, lest you run the risk of not being covered for a period of time from the time of cessation or cancellation of the policy until you procure another one from a different company

Add-ons

Insurance companies might lure you into availing of other add-ons under the pretext of saving money. You might be adding insurances that are not necessary or even those that are not even of use to you. Some smart insurance companies would even require you to avail one of the add-ons to be able to obtain the bigger discounts in your primary policies. Be wary of these offers.

Having to change insurance companies

It will be quite the hassle if your current company does not offer bundling when you are raring to bundle your policies. You will have to shop for another insurance company which offers it. Think about it first, spend a few hours researching before making the big switch. Compare and contrast, take advantage of the free quotes and then decide.

The post Pros and Cons of Combining Coverage on Homeowners and Auto Insurance first appeared on VinFreeCheck and is written by Jason Mason

Major Change in Lifestyle

In case your vehicle was totaled and you are still paying the car loan, there is the option to change the policy to include gap coverage. It gives you the privilege to pay the difference between the loan amount and the actual cash value of the car after the accident, even if the said vehicle’s current market value is lower than the price it was initially bought at. This is also applicable if you purchased a new vehicle.

Traveling

There is also an option for you to include rental cars as part of your coverage in case you will be traveling and will not be bringing your own vehicle. This gives you the opportunity to make claims in case you encounter an accident while using a rental car.

Financial Difficulties

This works especially if for example, you encountered a pay cut or you got laid off from your job and have a difficult time paying off the remaining balance on your car loan. This allows you to decrease the monthly premium and then allow you to modify it again at a later time when you are able to get back on your feet. On the other hand, if you have been paying for a low premium and want to get better coverage, then you can upgrade your coverage policy. Once you have made an auto insurance endorsement, you will eventually receive a new declaration page which includes the details of the changes. This includes what benefits you have starting from the period of the change and the benefits you no longer have. Auto insurance endorsement can be necessary in case there is a major change in your lifestyle and you need to upgrade or downgrade your policy.

The post Auto Insurance Endorsement first appeared on VinFreeCheck and is written by Jason Mason

You need to save money

Needing to save money does not mean that you are saving to keep the money in the bank for contingencies. It could mean that you are saving up for something—a backpacking adventure out of the country, to pay for college tuition whether it be for a relative or for yourself, or because you opt to eat at nicer restaurants. When you opt for a higher risk insurance, you get to pocket the excess money that you should have paid to your insurance company. By agreeing to shoulder a big chunk of the expenses in case of an unforeseen event, the insurance company will gladly lower your insurance premium. The money that should have been paid for a higher premium could go to your traveling funds and college tuition, instead of paying it to the insurance company for a higher rate for a contingency that may never happen.

You have money in the bank

Some people view the insurance industry with one eyebrow raised. What a lucrative business, they would think. It really is a money-making venture. If there will be no accident, then the insurance company will have no liability. They get to keep the insurance premiums you paid (except if the insurance contract is rescinded for valid reasons). If you have money in the bank, there is no sense in paying for an expensive insurance policy. Why not assume a higher risk in case of a possible liability that you must answer to, and lower your insurance premiums? Since auto insurance is unavoidable, you just have to procure one. Canvass rates and get the lowest insurance policy you see. You have money to answer for liabilities in the bank anyway, why pay for an expensive policy?

Long time drivers

When there are new drivers in the household, you can bet that the insurance company will definitely raise up your insurance premium. But if the household members compose of long time drivers, you can opt for a higher risk insurance because the chances of any of the drivers in the household getting into an accident is very low due to their years of experience on the road and above average driving skills.

Old car

A little common sense can go a long way when it comes to auto insurance. Why would you pay expensive insurance premiums for an old car? If you acquiesce to shoulder higher amounts of damages, your insurance provider will lower your insurance premium. If you incur damage, how much could it be for an old car? Definitely cheaper than for new ones. If you own an old car, choose an insurance company offering cheaper quotes and agree to assume higher risk.

The post When Should I Assume Higher Risk With Auto Insurance? first appeared on VinFreeCheck and is written by Jason Mason

Cancellation due to non-payment

The insurance company may have to cancel your policy when you do not pay on time. While life insurance policies usually have a grace period, not all auto insurance companies allow a grace period within which you have to pay the premium. Do not be under the impression that you have a grace period. To be sure, read your insurance policy thoroughly. Reading the fine prints is important.

Fines that are not fine at all

Oh yes, you will be subjected to fines when you drive uninsured. And you will be driving uninsured when you do not pay the premiums of your insurance coverage. An expensive example is the fine imposed on New Yorkers. $8 a day for the first 30 days if you drive without insurance. It goes up to $10 a day on the 31st day, and $12 on the 61st. That is a lot of money wasted for someone who just forgot to pay.

Registration suspension

Car registration is a regulation by the state for car owners. It is mandatory, and having a car registration allows you to drive your car on state roads. This is why plates are procured. When you fail to pay your registration, you lose the right to drive the car, and if you do, it will be illegal. A strict example would be New York. Non-payment of premiums or a lapse in your insurance coverage will require you to turn in your registration and license tags. If you fail to comply, your registration will be suspended for the same number of days that you did not have insurance coverage. If this goes on for more than 90 days, your driver’s license will also be suspended for the same number of days as the registration.

Driver’s license suspension

Non-payment of premiums can also bring about the suspension of your license. You will not be able to operate a motor vehicle during the period of suspension of your license.

SR-22

Non-payment of premiums may also require you to procure a SR-22, otherwise known as a “certificate of financial responsibility” or “SR-22 insurance.” It is not a type of car insurance but rather a guarantee of insurance that is needed to be requested from the car insurance company. This is usually required to be procured by those committing serious traffic violations like DUI, driving uninsured and serious car accidents, among others. It must be borne in mind that an SR-22 and an SR-22 insurance are two different things. The first is a certification of insurance while the latter is the requirement of purchasing insurance.

History of non-payment and lapses

Do not take it personally; insurance companies will have to take a look at your past to see if your previous insurance subscriptions have been cancelled and if yes, for what reason. If you have a history of late payments, you will not likely be allowed to pay premiums on installment. Some may even reject your application. Or, you may be subjected to higher premium rates because of your not very amiable past.

The post Late Auto Insurance Payments: Penalties and Effects first appeared on VinFreeCheck and is written by Jason Mason

Prepare the information you need

To be systematic and to save time, gather the information you will be needing in procuring auto insurance for your newly acquired car. List down the make, model, year and purchase price. The VIN (vehicle identification number) is also pertinent to your application. Before purchasing a car, it’s better to run a VIN check to avoid future problems. Running a VIN check helps you make a decision whether to buy the car or not, or if you will be willing to buy the car at the proffered price. VIN checks are a car’s history book. Take note of the car’s add-ons like anti-theft security systems, alarms and the like. This helps lower the insurance premium of a policy because the car is less likely to be stolen, therefore less likely exposed to the risks insured against.

Call your agent

Make things easier for yourself by calling your agent. First, ask if they allow covering two cars in one policy at a discount. Inform him of your intention of adding another car to your policy. Request a quote for your newly acquired car. If the car is of a recent model, expect a higher premium rate than the one for your old car, especially if it is brand new.

Ask for a discount

If you procure two separate policies for each of the car, it may prove to be more expensive. Insuring two cars in one policy would also make you liable for a higher premium. But since you opted to procure the policy from your old insurance company, ask if they offer discounts when a policy covers two cars. So instead of paying for two regularly priced policies, you get to save money by taking advantage of the discount that your insurance provider offers. Most insurance companies offer a discount when you decide to add another car to your policy.

The post Reminders When Adding Cars to Your Car Insurance first appeared on VinFreeCheck and is written by Jason Mason

Car Size

Light weight cars are more likely to be insured because they tend to encounter more accidents than other kinds of cars. The reason being that light weight cars tend to be used more often as a means to commute from different places and tend to be driven more often and are more likely to get into car accidents. On the other hand, the maintenance on trucks, vans and SUVs may potentially cost more. When it comes to researching about the best car insurance, compare the cost of insuring these huge vehicles against the cost to insure your small vehicle.

Electric or Hybrid Vehicle

Electric cars are cars that can run short distances without the use of gasoline and use only electricity, while a hybrid is a combination of both. Though a hybrid vehicle initially costs more to get insured, you are still able to save money through tax credits and other eligible deductions that comes for owning a hybrid or electric car. Make sure to check whether the insurance company offers any special discounts.

Miles of Travel

Keep in mind that the more mileage you travel, the more chances of being given a higher quote. Car insurance companies look at driver’s who travel a lot as more liable to get into a car accident, which means more usage of their policies.

Reputation

It is important that the company is registered and licensed in the state’s insurance department. At the same time, it is best to conduct a background check on the company and the feedback of people who have done business with them. Ask some of your friends, relatives or co-workers who use the services of the company you are checking. This will let you know if you can get a good car insurance quote.

Getting the best car insurance quote can be challenging but if you will take your time in considering all these factors and conducting your research then you will eventually get the best car insurance quote.

The post Tips For The Best Car Insurance Quote first appeared on VinFreeCheck and is written by Jason Mason

State Required Minimum Limit

All states require a minimum amount of auto insurance with most having a minimum for liability insurance, which pays for the other driver’s injuries as well as the passengers and damages to the vehicle. It is normal for you to see limits written in this format: 20/50 or 20/40/25 when it comes to the minimum limit required by a state. And this would mean:

• $20,000 for bodily injury for a single person’s injuries in an accident that you have caused.
• $40,000 for bodily injury for all the occupant’s injuries in an accident that you have caused.
• $25 for damage to the other driver’s property.

There are states that have no-fault insurance or personal injury protection coverage. This basically means that regardless of who is at fault, the auto insurance will cover your injuries after the accident. This law was originally implemented to give drivers the opportunity to pay for their medical bills right away, rather than waiting for the completion of accident investigations by the car insurance companies.

Assets

It would be better to go for a higher coverage limit if you have a higher salary throughout the year. This is to take into account the possibility of the other driver making an attempt to go after you in court to obtain money that is more than what your auto insurance will be willing to pay.

Finances

Consider how much you can realistically pay on a monthly basis while taking your other expenses into account.

Location

Statistically speaking, accidents taking place in the urban area are higher and leaving your car in the garage or on the street can expose it to theft; hence it is better to get comprehensive coverage.

These were a number of factors that affect the coverage of auto insurance and you can determine how much coverage you should get, keeping these factors in mind.

The post Auto Insurance Limit: What You Need to Know first appeared on VinFreeCheck and is written by Jason Mason