If you have an automobile you know how challenging it is to save money in the current environment.
At FarmerBrown.com we take the hassle out of shopping for auto insurance. As an insurance broker that deals with multiple insurance companies we are able to provide you with the right coverage.
Keep reading below for more money-saving tips that can benefit you.
What Kind of Auto Insurance Coverage Do You Need?
It is important that before contacting the insurance company and getting your insurance quote, take the time to decide what kind of coverage you need. In every state, you have to have at least liability coverage. Liability Insurance covers you for damages due to an accident or loss that is your fault. If you do not have the coverage you will have to pay these amounts from your own pocket.
You also need to decide if you would like to add Comprehensive and/or Collision insurance coverage which are optional coverages in most states. If your auto is financed or leased, these contracts generally require Comprehensive and Collision coverage. Additionally, they generally require you to have liability insurance in amounts that are greater than the state minimums.
You should review your contract to ensure that you have the required coverage.
Comprehensive Insurance Coverage
This Auto Insurance Coverage helps pay for losses to an insured auto due to fire, theft, or other losses that are not the result of a collision as stated in the insured’s policy. An insurance deductible can apply depending on the insured’s requests at the start of the policy. In most states, this is optional coverage and is not usually a required coverage.
Collision Insurance Coverage
Coverage that pays to repair or replace your auto after an auto accident. A deductible can apply depending on the insured’s requests at the start of the policy. In most states insurance collision or accident, coverage is optional and is not usually a required insurance coverage.
If you choose comprehensive and collision coverage, you will need to decide what deductible amounts you would like. A deductible is the amount that you pay before the insurance policy kicks in. The amount of your deductible is one of the most important factors in the cost of your auto insurance. The higher your deductible the lower your premium.
Most people choose either a $1,000 or $500 deductible.
Gap Auto Insurance
This is also known as loan/lease payoff coverage. This is an additional auto insurance coverage that applies if your car is stolen or is a total loss. It protects you by paying the remaining balance due on the lease or the loan even if the actual amount owed is greater than the value of the vehicle at the time of the loss.
Most people choose either a $1,000 or $500 deductible.
For example, you purchase a new car for $30,000. One month later the car is destroyed in an accident. The value of the car at the time of the accident is $25,000 as cars depreciate the minute they are driven off the lot. The insurance company will only pay $25,000 if you do not have Gap Auto Insurance. You will then have to pay the difference to the finance company even though you no longer have the vehicle.
Often times our agents can reduce the prices through additional discounts of 10% to 15% from the instant quotes you receive, so please take the time to call us to review your quotes. If you are having any trouble or have any questions related to the quoting process, please feel free to call us and we will be happy to help you. With today’s high cost of operating an automobile, the smart thing to do is to contact FarmerBrown.com and give our agents a test drive. Our agents will be able to suggest alternatives that will reduce expenses on premiums and deductibles.
The Basics Of Automobile Insurance
The secret is most insurance companies offer the same policies and coverage. The only difference is the cost. That is why shopping around is so important. Our insurance carriers all sell a “package” policy which is probably very similar to the policy you have or you will be buying. This policy is intended to cover the average driver for most risks.
The basic “package” policy includes coverage for the following:
Auto Liability Insurance
Liability provides coverage for the injuries and property damage to others when you are at fault in an accident. Remember, however, they will only pay out amounts up to your policies stated limits. So if you have significant assets this is not an area where you should try and save money. If the accident damage exceeds the policy limits you may be liable personally for any additional money needed to settle any claim.
Auto Comprehensive and Collision Insurance
Comprehensive covers the actual cash value (minus the applicable deductible) of damage to your vehicle in the case of fire, theft, vandalism, glass breakage, etc. Collision covers the actual cash value (minus the applicable deductible) of damage caused when your vehicle collides with another object.
Auto Insurance Underinsured/Uninsured motorist coverage is a type of insurance that helps pay your medical bills and the cost to repair or replace your vehicle if you are hit by a driver who is uninsured or underinsured.
Towing and Rental Reimbursement Insurance
This coverage is also available at a small additional charge and reimburses you for towing service or rental car charges.
Automobile Insurance Discounts
All insurance companies offer a number of different discounts. To make sure you get an Affordable Auto Insurance policy you need to ask your agent what kind of discounts they offer. Below is a list of the most commonly offered discounts.
- Bundling your home and auto insurance.
- Multiple Policy.
- Alarm System.
- Claim Free.
- High Credit Score.
- Good Student.
How Much Does Auto Insurance Cost
The cost of an Auto Insurance Policy is based on a number of critical factors. The most important are set forth below:
- Location of vehicle: Drivers from states like new jersey can expect two or three times the amount for the same insurance as a driver in Kentucky.
- Type of vehicle and cost: The more expensive the vehicle the more your insurance will cost. The type of vehicle is also important. A four-door family car is going to be a lot cheaper to insure than a high horsepower sports car.
- Driving History/Claims: The more violations on your record, the more you will pay. Also, any prior claims will cause premiums to rise. These are very significant factors in determining the premium.
- Age: Younger and older drivers can expect to pay more.
- Credit History: A significant number of insurers will adjust premiums based on credit. The better your credit the lower the premium.
- Deductible: The higher your deductible the lower the premium.
- Policy Limits: The higher the limits the greater the cost. You can choose the limits as long as it is at least equal to your state’s minimum coverage limits. You need to remember that you may be responsible for any amounts that exceed your policy limits. The limits on your insurance policy will be listed as three numbers, such as 100/300/100. If you had a policy with 100/300/100 liability limits, you would be covered for:
$100,000 for injuries for each person.
$300,000 for injuries total for each accident.
$100,000 for property damage for each accident.
Auto Liability Insurance cost average
The cost for a $100/$300/$100 annual policy is a little over $1,000 per year.
Auto Comprehensive and Collision Insurance Cost
Costs for coverage vary widely based on the factors above. The average being $620 per year for collision coverage and $200 for comprehensive coverage.
Under-Insured/Uninsured Auto Insurance cost
In general, coverage is very reasonable. It typically costs approximately 6% of your annual auto insurance premium.
For example, if a yearly auto insurance premium costs $1,000, adding this coverage will cost about $60 per year.
Towing and Rental Reimbursement Cost
Insurance averages about $50 and reimburses you for towing service or rental car charges.
What Are The Key Benefits Of Choosing FarmerBrown.Com For Auto Insurance
We have experienced team members that can analyze and recommend the appropriate coverage for your Auto Insurance needs. Whether you have one car or three all vehicles need to have some type of protection. We can help protect your assets by getting you a quality affordable Auto insurance policy. We are here to help customize that coverage to your needs.
- Our team members are professional and knowledgeable and able to help you choose the perfect policy for your auto Insurance needs.
- Flexible agents to work on your time schedule.
- We provide easy online payment options.
- We are licensed in all 50 States to offer Cheap Auto Insurance.
- Same day service in most cases.
- Get you coverage in under an hour in many cases.
- “A” Rated insurance companies that pay claims quickly.
FarmerBrown.Com has the capability to provide quotes for the hard to place risks and get you insured quickly and conveniently. We have the experience to analyze and recommend the appropriate Auto Insurance Coverage. Call now to speak with a knowledgeable agent. Our experts can review your needs and get you the proper coverage your business deserves. They will make sure you have the coverage you need at the best price for you. Best of all, you can get a free, no-obligation quote in minutes.
By selecting the best policies from the nation’s top insurance carriers FarmerBrown.Com is able to deliver coverage that represents the greatest value for you. You can obtain an Auto Insurance quote by clicking above, or by calling (888) 973-0016 today to find out more about the extensive insurance programs offered by FarmerBrown.Com to reduce premium cost and risk.
Let the FarmerBrown.Com team make obtaining insurance coverage trouble-free. Get the coverage you need at the rates you deserve.
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