I am sometimes amazed when I talk with people and I bring this topic up and they look at me and go “oh yeah, that’s right. I hadn’t thought about that.”

Well, you should think about it.

As you are in your initial stages of researching some cars, it’s easy to find out how cars are rated by insurance companies.

Insurance companies just play the odds and the statistics.

By that I mean, if a car is near the top of the list in vehicles stolen, your car insurance is going to cost you more. If the vehicle type you’re are looking at is that little sporty model that is fun to go fast in and has a higher rate of accidents, your car insurance cost is going to be higher. If the car you are looking at has expensive replacement parts, your car insurance is going to cost you more.

So, once you’ve narrowed your car choices down to a chosen few call your insurance agent and get a quote and some feedback.

In fact, you should shop your insurance around and get more than just one quote with Hometown Quotes.com rather than just the quote from your agent.

Again, you are the consumer, and it is your money. It doesn’t take but just a few minutes to get this done and it could save you money, or save you from making a very expensive mistake.

It’s so easy to get an online car insurance or a quote these days at websites such as GEICO.com and AIG Auto Insurance, that this should be a given task for you to do during your car buying steps.

Don’t blow your budget, and take the shine off of your new car by not researching, knowing, and budgeting for the monthly cost of car insurance.

Next Mistake Car Dealer Financing

Comprehensive: Pays for the damages to your car that are not a result of a collision (floods, hail, fire, theft, or vandalism).

Personal Liability: Pays claims against you. Covering the legal fees in the event your car damages property, injures or kills someone in an accident.

Property Damage: Pays for legal defense if your car damages someone’s property.

Medical Payments: Pays medical expenses of the driver and the passengers of your car in an accident.

Uninsured Motorist: Pays for injuries caused by uninsured or under insured or hit and run driver.

Gap Insurance: With today’s creative financing such as extending the length of time of the term, it’s possible for a person to fall into a situation where if the car is wrecked and totaled. But the owner’s insurance will only pay the market value of the car. Not what you owe on it. This could leave you holding the bag for the difference. Gap Insurance is sold for protection from this scenario.

Now let’s move on to some tips on what to do when you need to file a claim.

It’s during the claim process, that having a good agent will become an asset for you.

A good automobile insurance agent will help and guide through the process and help you with dealing with the insurance adjuster especially if you feel the adjuster has come up short and you want to dispute the figure.

Be mindful that although this may not seem a significant nuance, if you have purchased your car insurance coverage via the internet, you may be limited to an 800-number and as such sacrifice personal service at a very stressful time.

It is certainly to your advantage (and stress level) to understand your car insurance company’s claim process before you may have to use it.

The entire process is much less frustrating if you know ahead of time details such as:

Does your company pay for manufacturer brand parts or only generic?

Are you limited by only having specific pre approved body shops do repair work?

If so, are the approved body shops conveniently in your city and throughout the country? If you aren’t sure, make sure your agent fully explains any stipulations that your car insurance policy may have.

If a claim becomes necessary, call your agent as soon as you can after an accident. During the claim process document or journal with names, dates, notes from conversations, emails, receipts, and anything else you discuss or fill out as a result of the claim process.

Stay calm and as proactive and detailed as you can during the process including getting estimates completed.

If you don’t feel as though you got a fair number from an adjuster have them put their findings in documentation form, again, stay calm and work you way up the chain of command with your car insurance company. Have your agent make calls and run interference on your behalf when it comes to dealing with the claims department.

Hopefully you will never have to file a claim against your car insurance policy. But, if you do it is during this time that you’ll find out for sure just how customer oriented your agent and your insurance company is.

Of course, ultimately if you are not impressed with the service you receive; it may be time to do some more shopping around.

If you’re just beginning your insurance consideration or looking at making some changes to policy and coverages, take the extra step to get the advice of an auto insurance professional.

If you are shopping for an agent, look for one that has extended experience and certifications in the field of car insurance.

Taking care of your credit and maintaining a solid credit score is good practice and will save you money in other areas in addition to your insurance premiums. And as it the mantra throughout this website when it comes to buying cars – do your research and shop around – this advice is no different when it comes to your car insurance.

Premiums can vary greatly from one car insurance company to another. The caveat is that you make sure you are comparing apples to apples when shopping your insurance coverages; to ensure this, be sure you are specific when getting quotes.

I would also make sure that you have a car rental provision in your policy. At today’s prices, a trip to the body or repair shop for your car can easily run you up hundreds of dollars if you don’t have an extra car handy that you can drive in the interim.

Also make sure you are aware of any and all possible discounts that are offered by each car insurance provider that you contact.

For instance, if you have gone a number of years without an accident or ticket you will probably qualify for a ‘safe driver’ discount.

If your car is equipped with all of the modern safety features, a discount could be available.

Even if your car is stored in garage or drive under a specified number of miles you may be eligible for a discount. And you can often save money if the same company that insures your car also has the coverage on your house and other insurable assets.

Teens with good grades can also save you money if you new drivers you need to cover as well.

In all, make sure you discuss all the coverages, the deductibles, what you may be liable for, and any discounts that may be on the table for you with a qualified insurance representative and make sure you get details so you are able to shop and compare your car insurance quotes among various companies.

If you drive a car you are going to need automobile insurance.

Although you need not me an expert in the field of car insurance there are some things you should know, and preferable not learn them as a result of having an accident and/or having to file an insurance claim.

When it comes to your budget, car insurance isn’t the most exciting thing to try to figure out, but you do want to spend your money wisely.

First of all, a great many people probably don’t carry enough liability insurance; especially today with the costs of litigation as high as it is. Be careful about squeezing your auto insurance budget so tight that you carry a minimum deductible and too little liability.

If you’re worried about coughing up the $500.00 deductible, what will it be like if you have to cough up $500,000 because of a liability suit against you?

Consider carrying a higher deductible. Put your deductible amount into a basic savings account then leave it alone. Then use the savings you gain from carrying a higher deductible to raise your liability coverage.

Determining these numbers is best done by you and your insurance agent since everyone’s ability to assume risk and net worth are different.

When it comes to your liability, don’t just evaluate your total liability per accident.

You need to take a look at this as it pertains to your per person amounts as well. This can be a bit confusing, but for example, if you had a basic policy that pays up to $300,000 in total liability, but $100,000 per person; and you are at fault with one of the individuals for $200,000, then you would be on the hook for half of the $100,000.

You may want to make sure your agent writes the policy so that the per accident and per person are the same. In other words, you’ll have $300,000 in coverage not matter how it is divided up.

Another area to take a look at in order to get the most and best from your car insurance dollar is your personal injury protection. If you already have health insurance that you carry, check to see what or if the coverage would be for you and your family in the case of an accident. There’s no need to pay twice for the same coverage if there is overlap.

True…

it does sound simple enough. You pay for your car insurance premium and when something goes wrong; your insurance company pays you after the deductible is met by you.

However, as you can imagine, each state is going to have some differences and nuances on how they define and legally interpret their no fault auto insurance statutes. So, you’re best off to bring yourself a bit up to speed on your local no fault laws as they pertain to your own insurance coverage.

With car insurance most states fall into three basic categories. They are no fault, tort, or some sort of no fault option or inclusion. Your comprehensive and collision coverage (physical damage to the car) the systems essentially work the same.

If you are in a no fault auto insurance state, and someone runs into you, your insurance company will pay to fix your car; then they have the option to try to recover from the other person’s insurance company if they determine that necessity.

In a tort state, you can have your insurance company pay to fix your car, or you can leave your company out of the loop and have the other driver’s insurance company handle the details.

This way you would not report the accident to your insurance company and thus save you out of pocket expenses of the deductible.

Obviously, in a tort system, you have to channel everything through the individual that was at fault. This, of course, puts you at the mercy of the other insurance company when it comes to receiving payment. This can be frustrating enough if there is only damage to your vehicle, but if there are physical injuries involved, this can become a whole other personal matter.

The best approach is to make sure that you have the proper car insurance coverages that meet your personal and financial needs and risks.

Be sure to discuss any limits and thresholds that your state has depending upon its insurance environment. It’s especially important to discuss and evaluate your insurance coverages as they pertain to you and/or your family’s financial situation. Particularly as your coverage pertains to personal injury protection because medical bills and subsequent law suits could wipe you out financially almost instantly.

And as always, remember to shop around for your coverages. You might be under the assumption that with all of the states insurance statutes whether they are a no fault auto insurance state or not, the costs of the coverages would be fairly standardized. This isn’t necessarily the case; in fact, there can be stark differences in price of coverages from company to company.

A little research and homework can save you good money.

We know that the primary purpose of car insurance is to cover the cost of damages if an accident occurs, but we also know that it is very important to cover you and your family financially.

And, of course, to make certain you are getting the best auto insurance coverage for your buck you should shop around. Not only after you have decided upon and purchased your car insurance, but you should make it point to annually shop your car insurance quotes around.

Insurance coverages are business just like anything else and based upon their liability exposure and the amount of payouts they have incurred, the great price you got on your policy today may not be as great next year.

Let’s talk in a bit more detail on coverage and some of the factors that go into it.

Car Insurance Plans

Only the people named in the insurance policy, their spouse, children including legal and foster children, relatives in the same household and relatives directly related to the person who’s car is insured.

Types of Car Insurance

• Collision Coverage
• Comprehensive Coverage
• Uninsured/Underinsured Motorist Coverage
• No-Fault Automobile Insurance

What you pay for your car insurance coverages can be quite variable depending upon several factors that automobile insurance companies take into consideration when determining the cost of your coverage.

• Your driving records tops the list of variables and contributing factors
• The make and mode of your car… which in most cases influences your driving record
• The amount of deductible you are willing to carry
• Marital Status
• The state in which you reside
• Geographical weather conditions
• Average local repair and maintenance costs
• Your age
• Your gender

So what input or controls do you have when it comes to keeping your car insurance premium as low as you can possibly can? Good question. Here a few valuable suggestions.

Without doubt at the top of the list is your driving record… not that you have one… it’s that you have a clean one with no tickets and accidents. When it comes to your car insurance, safe driving habits save you big money!

As we talked about earlier… compare quotes. Get at least 3 different quotes. Here are 3 great resources to get you started getting this part done. GEICO – AIG – or at Hometown Quotes where you can shop and compare multiple Car Insurance quotes for free.

Consider carrying as high as a deductible as you can. In fact, save up your deductible amount and put it into a savings account and do not touch it! Remember it’s there for paying your insurance deductible. So, put it in savings then forget about it and it will be there if you need it.

Do some research or check with your agent about the cost of insuring a car that your are considering buying before you run out and buy it. Don’t get unpleasantly surprised by a big premium increase AFTER you have you have signed all the paperwork on your new car.

If you own a home or have other insurance needs, check into package discounts with your car insurance provider. If they also can cover your other needs, packaging them together may get you an additional discount.

Everyone has different financial situations and different risk levels for their financial situation. The key to getting the right car insurance is getting coverages that will secure you and your car in case of a mishap. Doing this will ease your mind as you drive and keep you financially together in the event of an accident.

See Also No Fault Auto Insurance & Car Insurance Definitions

The primary purpose of car insurance is to take car of your expenses in the case of an accident.

Depending upon your insurance coverage, car insurance can cover or help you out in other instances such as breakdowns. Because of its valuable financial role in one of these types of scenarios, it is extremely important that you select the right kind of insurance with the proper coverages to protect you from a devastating financial hit.

Just as when you shop around for your next car, be it a new car or a used car, you should also shop around for your best deal on automobile insurance. You should search and get quotes from several car insurance providers. And just like finding a car that best fits your needs, so to is this true when it comes to automobile insurance.

Today, the easiest and most efficient way to shop your car insurance around is via the internet. GEICO is a good place to start and has an excellent easy to follow web interface. The company is backed by good financial strength and offers very competitive rates.

AIG is another good internet source for you to get a car insurance quote. Either way, get a quote at GEICO or AIG to get yourself started and the ball rolling, so you’ll have something to compare. Remember get yourself a few quotes to plug into your budget. Be sure to compare apples to apples (types of coverage to types of coverage) including your deductible when doing this.

Many states require that you at least have the basic automobile liability insurance coverage. However, you’ll want to take a look at going beyond the basic car insurance coverage and consider coverages that will protect not only your car, but you and your family financially from a mishap.

Next let’s take a look at some of the details and the possibilities.

Next – Car Insurance Types part II

More often than not you will find that the cars that we like to drive…. insurance companies don’t like to insure.

Luxury and high performance cars lead the list of high automobile insurance premiums, but in addition to that, costs can be run up for cars that are expensive to repair, cars that don’t hold up well in accidents, and even cars that are more likely to be stolen.

As I mentioned earlier, it is very important that you shop you car insurance around on at least an annual basis. I think you’ll find that the rates you are quoted can vary greatly from company to company. Any type of car insurance, however, is based upon where you and your car fall into the mix of statistics.

You know, really, the bottom line is that the vehicle insurance company is betting the premium they charge against the likelihood of you filing a claim against the policy. So, depending upon the past experience of the insurance company, this will be a large determinant as to the price of the premium to their policy holders.

All of this is to say that the rates for the same driver on the same car can vary by significant amounts from one company to the next.

As you shop around, check all the various major firms within the industry, and also check the independent car insurance agencies as well. Be sure to take thorough notes on all of the rate quotes that you gather and make sure you are quoted like coverage’s and using the same deductible amounts on each……. the old apples to apples theory.

Also, as you are doing your automobile insurance costs research be sure to inquire about any discounts or safe driver incentives the companies may offer which could include:

• Low annual mileage
• Safety and anti-theft devices
• Anti-locking brakes (most all vehicles carry this)
• Good driver discounts
• Multi-car discounts
• Completion of driver training courses
• Non-smoker discounts
• Auto and homeowner insurance with the same company

After you have purchased your auto insurance it is imperative that you keep your driving record on the clean side. No other single factor is as important in controlling the cost of your car insurance.

Stay a stranger to your insurance company in terms of filing claims. Don’t involve your insurance company in minor dents and dings and scratches even if you could collect beyond the deductible. The more you involve your insurance company for minor issues the higher your premium will go.

If you own a business, check into putting your car under your business policy. It may be possible to have your car covered at a business rate instead of a personal rate and maybe save you some money.

Being married even has a positive effect on the cost of your car insurance. Most insurance companies put married couples into a lower risk bracket.

See Also Car Insurance – Types

Insurance coverage is required by law. And if you don’t know already, makes up a large portion of the cost of owning a car.

Unlike depreciation on your car, the cost of insuring your car is very tangible – - you can get a feel for what it costs to insure your car every time you get your bill in the mail for your insurance premium.

Contained within the actual automobile insurance premium that you pay, there are different types of insurance coverage’s. Your car is covered (collision and comprehensive). You and others are covered (bodily injury and property damage).

The type of car you drive will determine the collision and comprehensive insurance costs. The bodily injury and property damage (liability costs) will be determined by such factors as; your age, where you live, your driving record, how frequently and how far you drive your car.

You may not realize it, but the rates you pay for insuring your car can vary dramatically from one company to another, agent, or broker. Other factors include the type of car you drive, and types of coverage you request.

Automobile Insurance Cost Tips

• Comparison shop. You can keep the cost of your automobile insurance coverage down by shopping around for various quotes. Prices for the same types of car insurance can vary greatly.
• Go with higher deductibles on your car insurance. A deductible amount is the amount you pay before the insurance coverage kicks in. But, carrying a higher deductible can lower you car insurance costs substantially
• Drop collision and/or comprehensive coverage on older cars. It isn’t real cost effective to pay for vehicle collision and comprehension coverage on a vehicle with relatively low market value simply because any claim you may make would not appreciably exceed the annual cost and deductible amounts.
• Eliminate duplicate medical coverage’s. If you have adequate health insurance, you may be paying for the same coverage in you automobile policy. A simple check of this could lower your personal injury protection (pip) by up to 40%.
• Buy a ‘low profile’ car. Before you put down your hard earned cash for a car you should have already checked into what it will cost to insure said car. Cars that are expensive to repair or are a top target for thieves will command a high cost to insure.

Keep in mind the car insurance salespeople are sales people too. They earn their living by selling a product.

You can trim the cost of your insurance policy by staying on top of your coverage’s and at the very least, shop your coverage’s annually. Get a FREE car insurance quote at GEICO.com.

Here are some a quick definitions of the basics types of car Insurance definitions of automobile insurances.

See Also Car Price | Car Cost