Which Independent Auto Insurance Coverage Fits Your Needs?

Independent auto insurance policies can be mixed and matched to suit your needs. The trick is finding the cheapest premium that doesn’t spare great coverage.

Know Coverage Options

There are several types of coverage options available for the savvy consumer. Speak with your independent auto insurance agent to find the best combination to fit your lifestyle.
  • Liability: If you cause an accident, liability insurance protects the other party involved. It includes both bodily injury and property damage. Most states require drivers to have liability auto insurance, at a minimum.
  • Collision: Collision pays for automobile repairs or replacements in the event of an accident.
  • Comprehensive: This insurance coverage includes non-collision damages to your automobile, such as theft, fire, vandalism, or storm damage.
  • Uninsured Motorist: If you are involved in an accident with an uninsured (or underinsured) driver, this coverage pays for damages that they cannot pay.
Raise Your Deductible

If you’re looking for low monthly insurance payments, consider raising your deductible. A deductible the amount you must pay before your insurance company pays the rest.

For example, if you get into a wreck that causes $2,500 in damage and you have a $500 deductible, you will pay $500 and your independent auto insurance company will pay $2,000. If you raise your deductible just a few hundred dollars, however, you’ll see your monthly premium shrink by as much as 30%. Raising your deductible means lower monthly payments because you are assuming more risk. Just be sure to have enough money available to make a payment if you ever need to submit a claim.

Drive An Old Car? Reduce Your Coverage

If you own an old car, you may want to consider reducing your coverage. You don’t want to pay more for car insurance than what the car is worth! Most people get rid of collision insurance first, because it is expensive and unnecessary if your car is of little value (less than $2,000). It is simply not cost-effective to pay hundreds of dollars each year for collision insurance if your car is not worth much money. You can quickly determine your car’s value by checking online at Kelly Blue Book.

Low Mileage Discounts

If you do not drive often, you could receive a lower insurance premium by find an independent auto insurance company offering a low mileage discount. If you work from home, live in an urban area and use public transportation most days, or are in college and only drive during summer months, this policy could save you hundreds of dollars each year.

Family Plans

If you need to insure more than one vehicle, ask your independent auto insurance agent about a multi-car discount. You can also save money by purchasing other types of insurance (e.g. home, health, life) through a single company.

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