Cheap Car Insurance Online
Reader’s Question:
How can I get cheap car insurance rate online?
Chris
Austin TX
There are numerous reasons why you have to buy car insurance, its either you just want to comply to the law or you want to protect your investment and in this case, your car. But the truth is, you’re really purchasing something that you wish that you’ll never have to use it. But on the other hand, when the time comes and you need to use your vehicle insurance, you’ll wish you had the correct coverage.
To find the cheapest car insurance rate online, you’ll have to learn how to compare. This is very vital if you really want to save on auto insurance. There are many vehicle owners who did end up paying high premiums just because they didn’t compare rates from different vehicle insurance companies. The most effective, quickest and easiest way to acquire car insurance quotes is thru an auto insurance website or a comparison site. You also don’t have to worry because you’re not missing anything since everything is also obtainable online. It’s also quick and easy because you don’t have to leave home and get quotes just takes about 8 minutes or sometimes less.
To decide how much coverage you need, first you need to know what your states minimum liability coverage is. Once you determine the state’s minimum liability, you can start adding auto insurance coverage or other policy coverage that you want or you can afford. In most cases, your budget is the crucial factor when it comes to adding additional coverage. But sometimes, it may depend on your current situation. For example, for the rental auto coverage, if you’re the sort of person who usually rents a car, having this coverage can be very handy since you don’t have to pay an additional charge for insurance coverage every time you rent a auto.
If you’re a new car owner, it is vital to know that you don’t have to buy all the coverage. For example, having comprehensive coverage is optional but if you’re still paying your vehicle thru financing, it’s almost always required by the lien to have this coverage.
Factors That Affect Car Insurance Rates
Reader’s Question:
I am just wondering how a car insurance company determines how much premiums they are going to charge you?
James
Montgomery AL
The answer depends on the personal and vehicle information you will give to them together with your current driving status.
First off, your personal information which includes your age, gender, marital status and how long have you have been driving affect your car insurance rate. These are the first set of question you are required to answer if ever you need to ask for a quote. Drivers who are females or are married will usually acquire cheaper car insurance rates. Drivers who are first time drivers or are aged 16 to 20 will surely have an expensive quote. Most drivers who have been driving for a long time with minimal or no accident at all can be eligible for a good driver discount or if not, they will be rewarded with a lowered insurance rate.
Second set or group is all about your cars information you are trying to insure. Car information includes its year, make and model. Car insurance companies also ask what will be the primary use of your vehicle and sometimes they even ask if it’s already paid in full or if it’s still being paid through financing. They might also ask how many miles you have driven in a span of one year in order for them to know if they should give you cheaper rates or if they can provide you discounts.
Other factors that can affect your car insurance quote include security and safety features installed in your car. Some examples of these features are car alarms, airbags or anti-lock brakes. These features can greatly lower your premiums to a minimum. Another factor that has an effect on your premium is the place where you park your car overnight. Having it parked in a safe garage can reduce your premiums because there is a lesser chance of your auto being vandalized or there is a lesser chance of it being stolen.
Senior Driver Car Insurance Discounts
Reader’s Question:
Im a senior driver and I would like to know if there is any way I can still get car insurance discounts?
Mike
Seattle WA
As a senior driver you may think that you are not eligible for any insurance discount because of age. This is actually not true. Anyone can get a discount even if he is young or old. Insurers have a lot of promotions and discounts schemes for all ages.
You may believe that age causes rates to go up. That’s far from the truth. Fifty years old and above drivers but below seventy-five are considered the safest drivers from an insurer’s point of view. This is because drivers of this age group seldom over speed when driving and are not fond of cruising the roads for no reason. Based on facts, older drivers have low accident rate. When they get into accidents, they are often minor. This is, however, not true for seventy-five and older drivers. Unlike the other age group, these drivers have a high major accident rate in daytime, which make insurers categorize them as very high risk. It’s normal for human reflexes to slow down as we age. This is probably the reason why these drivers get into fatal accidents.
A clean driving record is always a great way to get an affordable car insurance. It doesn’t have an age limit. When you’re old and has a driving record that is clean, you will surely impress the insurers. Having a clean record means you also have not filed claims against your policy. If this were so, the insurance company can you give huge reductions in your car insurance rate. The more years you refrain from filing claims, the higher your discount will be. If you have managed to keep out of mishaps thus far, keep it up as it will be very beneficial to you.
Cheap High Performance Car Insurance
Reader’s Question:
Is it true that high performance car tend to increase auto insurance rate?
Ross
St. Paul, MN
If you have a new sports car, you are probably excited to drive the car but before you hit the road, make sure that you have high performance car insurance. However, don’t be surprised if they offer a rate higher than what you expected. High performance car pose high risk to car insurance companies. This type of car can be driven in manners that caused traffic accidents and crashes. However, if your friend also has a sports car and you found out that the same car insurance company offered your friend cheap sports car insurance, a rate lower than what the company offered you, don’t be upset. There are certain models of car that the company poses more risk to car insurence company. This is based on the following factors.
a. Car insurance companies avoid risk so they charge high car insurance rate to model of cars that are likely to be stolen, vandalized or involved in traffic accidents.
b. Expensive cars and new model of cars also pose risk to car insurance companies because these types of car are expensive to repair also have expensive parts. This makes car insurance relatively higher to customers.
Sports car insurance rate or car insurance rate in general may vary from way one model to another because there are certain models that are more attractive to thieves and being stolen. Highway Loss Data provides data on the average theft claims that car insurance companies paid out. Aside from this reason, there are also data on collision and injury. Car insurance companies also used their own claims experience in evaluating the risk of certain model of cars. The model of sports car that has higher incidents of claims can be charged by the car insurance company with higher sports car insurance rate than the other model of sports car. If you want to find cheap sports car insurance rate or car insurance rate in general, consider the model of your car.
Non Owner DUI – Will It Increase My Insurance Rate
Reader’s Question:
What will happen if my friend drives my car and gets a citation for DUI, will that increase my car insurance rate?
Harry
Phoenix AZ
If your friend was given a citation for driving under the influence while operating your vehicle it should not affect your auto insurance in any way. Your friend will get the citation written under his name and and it should not reflect on the vehicle owner’s driving record or car insurance. This means that it will reflect in their driving record as a driver and should not cause you any trouble in your auto insurance rate going up.
Even so, for instance, your friend gets involved in an accident while driving your automobile, the insurance claims will therefore go on your insurance claims record and may affect your insurance rate. Car insurance commonly follows the vehicle first and the driver the second. This means that if your friend get into an accident, it would be your insurance that would kick in first and your friends insurance would be the secondary and would cover the excess if your coverage limits were exceeded.
As the owner of the vehicle, you have liability for those you give permission to drive your vehicle so if the insurance limits were exceeded, then normally, in most sates, the one driving the car and the owner of the vehicle are both liable for all the damages that the motorist may cause while driving the automobile.
Cheap Car Insurance For Married Couples in Massachusetts
Reader’s Question:
Is it true that if you get married you will get lower car insurance rate than being single? I live in Massachusetts and I will get married next month. I just want to make sure this is true so I can take advantage of the lower premium.
Frank
Boston, Massachusetts
Yes it is possible that you can get lower car insurance premium if you are married. It would be much better if your spouse also have clean driving record. It is viewed by car insurance companies that married couples are safer drivers than single individual. Maturity and being responsible are also seen in married couples. If your spouse has a driving record, thats a different case already.
The Division of Insurance in Massachusetts lists a 5% discount on your car insurance premium rate that can be applied for compulsory coverage and, if chosen, optional coverages if you own 2 or more vehicles insured by the same car insurance company. Usually this is known as a multi-car discount.
Buying Car Insurance For The First Time?
Reader’s Question:
My friend told me that if a person has never had car insurance before, he/she will be given high car insurance premium. Is that true?
Jim
Portland, ME
First time buyers of car insurance are usually charged with expensive car insurance compared to those who had had car insurance for years already. The reason behind this is because of the discounts that are usually given to long time policyholders. Auto insurance companies usually provide discounts for renewing your auto insurance policy with the same insurer.
There are various factors that affect your car insurance rate. This includes the years that you have been license and insured. For example, a young driver that is buying his/her first insurance for the first time will usually receive high car insurance rate compared to an experienced licensed driver who has been under auto insurance policy for more than a year.
Car insurance companies in most states are allowed to use different factors to know the policyholder’s premium rate. The cost of auto insurance for different motorists differ, as the level of risk for the insurance companies varies.
Keep a good driving record so you can get cheap auto insurance premium in the future. You may also be able to get lower insurance premium if you enroll in defensive driving class to get discount.
The Least Expensive Cars To Insure
Reader’s Question:
What is the cheapest car to insure? My dad will buy my car and I would like to know what vehicles I should avoid getting.
Charles
Cambridge, MA
Car insurance companies refer to statistics from the Insurance Institute for Highway Safety and Highway Loss Data Institute (IIHS-HLDI) to approximate your car insurance rate. The computation done by IIHS-HLDI is based on the following factors:
Type of Car
Insurance rates for muscle and sports car and other luxury SUV’s are higher compared to regular vehicle because their cost of repair is more expensive.
Four-door cars are charged lower rates compared to two-door car because statistics shows that four-door cars have up to 93% lower claims. Car insurance companies, generally, refer to previous claim data for charging new holders.
Full-size family sedans are statistically safer and are, therefore, charged lower. They are also generally cheaper.
If you don’t want to have high insurance rates, you may have to avoid these models:
- Cadillac Escalade
- Chevrolet Corvette Convertible
- Lincoln Navigator
- or any car that has the name Mercedes, Maybach, or Porsche in it.
Level of Risk
Car models that are more prone to theft are given higher rates. Today’s list of most theft-prone cars includes:
- Acura Integra
- Ford F-150
- Honda Accord
- Nissan Sentra
- Toyota Camry
- Toyota Corolla
- Toyota Pickups
Cars that have costly stereos (e.g. Volkswagen) and similar accessories are also charged more.
ON the other hand, the cars which are least prone to and are there given lesser rate for theft coverage are:
- Buick LeSabre
- Buick Park Avenue
- Mercury Grand Marquis four-door
- Volvo V70 Station Wagon
Cost of Repair
More expensive vehicles are, of course, costlier to repair. The list includes:
- Kia Rio 4-door
- Kia Spectra 4-doors
- Mitsubishi Mirage 2-door
- Suzuki Esteem 4-door
(The lists above are based on statistics and similar data. However, you are not discouraged form buying them. You are only informed so you won’t be surprised if you are given greater car insurance rates.)
Luxurious cars are not only expensive to drive; they are also costlier to insure. But if you have lots of money, go ahead and pick the one that you really want.
Car Insurance Estimate
Reader’s Question:
I’m currently on the lookout for new car insurance coverage (I’m dropping my old one because they’re ripping me off!) I’d like to know how I can find a way to get a car insurance estimate or quote so I have an idea what rates I can get. Any suggestions?
Nielson
Dutch Fork, SC
There are three ways that you can do this, all with varying levels of success and ease. 1). you can flip-open the phonebook and call-up every car insurance company you find, speak to agents, and get rate estimates. 2). you can go to an agency or office and hire a broker to search the best rates for you. 3.) you can take matters into your own hands and use the Internet to locate the latest rates and get a good car insurance estimate.
The best approach really is subjective but let’s put it this way, the first option is definitely time-consuming and hardly anyone who does anything relevant for a living can afford to spend that much time. The second option is faster but costs you and even then there is no guarantee that the broker has your best-interest in mind (commission?).
The third one is a fast and convenient alternative. You only need a computer and Internet connection. You just spend a few minutes putting some information in (e.g. age, zip code, type of vehicle to be insured, etc.) and you instantly get the latest car insurance rate quotes. Not only do you get a reliable car insurance estimate from many different insurers, you actually maximize your time and ability to find the best offers for you.
Independent rating agencies like A.M. Best and J.D. Powers are also great resources. They rate many different companies from various industries under categories like best customer service, best pricing, most financially stable, etc. This kind of information is usually available online for free and can help you choose the best-overall car insurance companies today.
Car Insurance Rate Increase After The First Accident?
Reader’s Question:
If you get into an accident the first time, how much does your car insurance increase on the average?
Karen
Houston TX
It will actually depend on different factors whether your car insurance will go up after your first accident. Two of the factors that may affect is the laws in the state where you live and the car insurance rating system so it is hard to say how much increase it will be on your car insurance rate.
Other than the factors I mentioned above, the severity of the accident whether you were found at fault can also affect your car insurance rate. It it was just a minor accident, and you were not found at found, some car insurance companies “forgive” this accident may it be under the laws in your state or under insurance company conditions. Rules and conditions regarding car insurance differ from one insurance company to the other thats why its best to contact your car insurance company about this.
If you have a clean driving record and you have been with the insurance company many years already, some insurance company will not increase your car insurance rate if it is just a minor accident even though you are found at fault.
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