Saving money is crucial for individuals and families across the nation. Saving money is so important to some drivers that they focus only on the price of their auto insurance policy and not its coverage features and terms.
It is imperative to avoid basing your car insurance decisions solely on price. Does this mean it is acceptable to overpay for car insurance if you have the coverage you need? The answer to this question is a resounding “no.” Solutions exist which allow you to purchase the best policy for your situation at the lowest possible price. The biggest mistake many consumers make is prioritizing price over need, however.
When it comes to car insurance, value consists of much more than money saved. Begin by assessing your exact coverage needs. Each U.S. state enforces and regulates its own traffic laws. Auto insurance minimum requirements are also set by each state.
You might live in a state where only bodily injury liability coverage (liability) is required. Conversely, you might live in a state where liability insurance alone is not enough. Even if you do live where liability coverage is the minimum requirement you must also assess your personal coverage needs based on your driving habits and assets.
For example, you might live in a mountainous area where many of the roads you drive are dangerous to travel on even during daylight. You might work third-shift and spend a lot of time driving at night. Perhaps you live near Denver, Colorado and have to drive in frequent hazardous snowy conditions. Driving in high-wind, limited-visibility or urban areas with constant traffic all require certain types of car insurance to make sure you are fully protected. Is lowering your average auto insurance premium prices by reducing your coverage worth it when the risk of an accident threatens to cost you more in the end?
Better strategies to obtain discount car insurance are available in lieu of under-covering yourself on the road. National car insurance monthly payments are approximately $133 per vehicle on average. If you have a clean driving record or a history riddled with accidents and traffic violations you will pay less or more each year respectively. Prioritize finding the type of car insurance coverage you are required to have by law in your state.
Next, assess your specific coverage needs and research how much it will cost to add on more coverage. Research the types of discounts for which you are qualified. Then comparison-shop multiple insurance providers to find companies who offer the features and discounts you need. Finally, consider adding MedPay coverage to help pay for any out-of-pocket medical expenses incurred due to injuries caused by car accidents.