Insurance Company Advertisements Deceive (part 3 of 4)

If some of the millions of dollars spent on advertising auto insurance would be devoted to fair payment of injured insured’s’ own claims against their own company, we probably wouldn’t even have to make mention of this. However, the advertisers’ portrayal of insurance responsiveness with homey images, friendly messages, beautiful music and promise of quick claims service do not equate to quality when it comes time for payment for personal injury claims following an auto accident.

We know that getting your car fixed promptly is important. Some companies may be more responsive on property damage than others, but that should not be your first priority evaluating insurance service. A day or two wait for your car is nothing compared to being literally cheated out of your legitimate payments, as is the practice of some of the more aggressive companies. See the discussion below and the links provided. If getting your car fixed in the fastest time is the most important thing for you, you can ignore everything that is written in the following paragraphs, because they focus on the bodily injury aspects of auto insurance claims service.

Nine Ways To Lower Your Auto Insurance Costs

You may not realize it, but the insurance rates you pay for
your car can vary dramatically depending on the insurance
company, agent or broker you choose, the coverage is you
request and the kind of car you drive. Listed below are a
number of things you can do right now to lower your
insurance costs.

1. COMPARISON SHOP. Prices for the same coverage can vary by
hundreds of dollars, so it pays to shop around. Ask your
friends, check the yellow pages or call your state insurance
department (phone numbers are on back page). You can also
check consumer guides, insurance agents or companies. This
will give you an idea of price ranges and tell you which
companies or agents have the lowest prices. But don’t shop
price alone. The insurer you select should offer both fair
prices and excellent service. Quality personal service may
cost a bit more, but provides added conveniences, so talk to
a number of insurers to get a feeling for the quality of
their service. Ask them what they would do to lower your
costs. Check the financial ratings of the companies too.
Then, when you’ve narrowed the field to three insurers, get
price quotes.

2. ASK FOR HIGHER DEDUCTIBLES. Deductibles represent the
amount of money you pay before you make a claim. By
requesting higher deductibles on collision and comprehensive
(fire and theft) coverage, you can lower your costs
substantially. For example, increasing your deductible from
$200 to $500 could reduce your collision cost by 15% to 30%.

Save Money on Your Auto Insurance
By Fisher Swanson

In nearly every state you have to purchase auto insurance if you drive. Here are some tips for spending less on auto insurance and getting the most for your money.

Ask Around

Ask people you know and trust what insurance they use. Find out if they have ever filed a claim and how smoothly it went. Really cheap insurance doesn’t amount to much if they offer horrible service.

Get Multiple Quotes

Get 3 or 4 quotes from different insurance companies. Write down as much information as possible about each insurer. If the agent or representative is not willing to answer your question it’s probably not a good company to buy insurance from. Don’t buy from the first insurance company you call!

Check Your Credit History

Some insurers factor in credit history when they calculate their rates. Unresolved issues in your credit history could affect your insurance rates.

Pick Your Car Wisely

The cost of the car, make and model (sometimes even the color) will affect your insurance premiums. If you are buying a new car be sure to check with your insurance company to find out what the insurance for that car will be. If you have an older car and are not financing you can get by with less insurance and save a lot of money.

Ask About Discounts

Maybe you have auto insurance coverage now but do you ever wonder if its enough if you are unfortunate enough to get into a car accident? Some people carry a combination of auto insurance coverages because carrying too little coverage can cause you to be paying for the rest of your life under certain circumstances. Of course everyone has to have basic liability coverage, which is usually worth up to $50,000.00 for any single personal injury.

This goes as high as $100,000.00 for everyone involved and even though it might seem like a lot, this is not a lot of money given a nasty accident where medical bills, lost wages, and compensation for pain and suffering is involved.

With auto insurance the more coverage you purchase the cheaper it gets. This means that your cost goes up a little on your auto insurance coverage while your protection goes up proportionately more. This will pay off big time in the case of an auto accident and insurance settlement. It is the safety umbrella that you will need to avoid worry and stress from a stressful situation to begin with.

There are accidents that are serious enough to cost as high as a million dollars or more in a settlement, depending on the circumstances. Depending on your auto accident and insurance settlement, without the proper auto insurance coverage you could end up in a situation where you will be paying out money for the rest of your life.

What is auto insurance? Auto insurance (or car insurance, motor insurance) is insurance consumers can purchase for cars, trucks, and other vehicles. Its primary use is to provide protection against losses incurred. By buying auto insurance, depending on the type of coverage purchased, the consumer may be protected against:

* The cost of repairing the vehicle following an accident
* The cost of purchasing a new vehicle if it is stolen or damaged beyond economic repair
* Legal liability claims against the driver or owner of the vehicle following the vehicle causing damage or injury to a third party.

Liability insurance covers only the last point, while comprehensive insurance covers all three. Even comprehensive insurance, however, doesn’t fully cover the risk associated with buying a new car. Due to the sharp decline in value immediately following purchase, there is generally a period in which the remaining car payments exceed the compensation the insurer will pay for a “totaled” (destroyed, or written-off) vehicle. So-called GAP insurance was established in the early 1980′s to provide protection to consumers based upon buying and market trends. The escalating price of cars, extended term auto loans, and the increasing popularity of leasing gave birth to GAP protection. GAP waivers provide protection for consumers when a “gap” exists between the actual value of their vehicle and the amount of money owed to the bank or leasing company. In some countries including New Zealand and Australia market structures mean that people are more likely to buy a nearly new car than a new car so this is less of a problem.