7 Best Ways to Reduce Auto Insurance Costs in Medford

If online auto insurance comparisons are new to you, it’s easy to get confused by the large number of companies selling insurance in Medford.

Consumers need to get comparison quotes periodically because rates change quite often. Even if you think you had the lowest price six months ago there may be better deals available now. Starting right now, forget all the misinformation about auto insurance because we’re going to show you the right way to reduce your cost while increasing coverage.

If you are paying for car insurance now, you will be able to lower your premiums substantially using these tips. Pricing cheaper coverage in Medford is simple if you know the tricks. Although Massachusetts drivers do need to know how insurance companies determine prices and use this information to your advantage.

How to Get Auto Insurance in Medford, Massachusetts

All major auto insurance companies like Allstate, GEICO and Progressive allow you to get insurance quotes online. The process is quite easy as you just type in the coverages you want as requested by the quote form. Upon sending the form, the system makes automated requests for information on your driving record and credit history and generates a price based on many factors.

Online quotes helps simplify price comparisons, but the work required to visit multiple sites and complete many quote forms can get tiresome after awhile. But it’s very important to have as many quotes as possible in order to find a lower rate.

Quote rates the easy way

An easier way to compare rates makes use of a single form that gets prices from several companies at one time. It’s a real time-saver, requires much less work on your part, and makes online quotes much simpler. Once the form is submitted, it gets priced with multiple companies and you can pick any one of the quote results.

If a lower price is quoted, you simply finish the application and purchase coverage. The whole process only takes a few minutes and could lower your rates considerably.

To use this form to compare rates, click here and enter your information. If you have a policy now, it’s recommended you replicate the coverages identical to your current policy. This ensures you will have a rate comparison using the exact same coverages.

Auto insurance ads bend the truth

Allstate, GEICO and Progressive consistently run ads on television and other media. All the companies have a common claim of big savings if you change to their company. How can each company make the same claim? This is how they do it.

Different companies have a certain “appetite” for the type of driver that earns them a profit. For instance, a profitable customer could possibly be between 25 and 40, has no tickets, and has great credit. A customer who meets those qualifications will get very good rates and most likely will save quite a bit of money when switching.

Consumers who fall outside the “perfect” profile will be quoted higher premiums which usually ends up with business not being written. The ad wording is “people who switch” not “people who quote” save that much. That is how insurance companies can state the savings.

This emphasizes why drivers must compare as many rates as you can. It’s impossible to know which insurance companies will fit your personal profile best.

Take advantage of discounts

Car insurance is not cheap, but there could be available discounts to cut the cost considerably. Certain discounts will be applied at the time of purchase, but a few need to be requested specifically before you will receive the discount.

• Homeowners Savings – Simply owning a home may earn you a small savings due to the fact that maintaining a home is proof that your finances are in order.
• Accident Waiver – A few companies allow you one accident before hitting you with a surcharge so long as you haven’t had any claims for a set time period.
• Discount for Good Grades – Getting good grades can save 20 to 25%. The good student discount can last up until you turn 25.
• Paperless Signup – Some insurance companies will discount your bill up to fifty bucks just for signing your application over the internet.
• Lower Rates for Military – Being on active duty in the military can result in better rates.
• Resident Student – Any of your kids who attend school more than 100 miles from home and do not have a car may qualify for this discount.
• Theft Prevention Discount – Vehicles with anti-theft systems prevent vehicle theft and qualify for as much as a 10% discount.

A little note about advertised discounts, most credits do not apply to your bottom line cost. Most cut the cost of specific coverages such as liability and collision coverage. So even though they make it sound like having all the discounts means you get insurance for free, you’re out of luck. But all discounts will help reduce your premiums.

Specifics of your auto insurance policy

Learning about specific coverages of auto insurance aids in choosing the best coverages and proper limits and deductibles. The coverage terms in a policy can be ambiguous and nobody wants to actually read their policy.

Uninsured/Underinsured Motorist coverage – Your UM/UIM coverage protects you and your vehicle’s occupants when other motorists do not carry enough liability coverage. Covered claims include medical payments for you and your occupants as well as damage to your vehicle.

Due to the fact that many Massachusetts drivers only carry the minimum required liability limits (20/40/5), their limits can quickly be used up. So UM/UIM coverage should not be overlooked. Most of the time the UM/UIM limits are set the same as your liablity limits.

Medical payments coverage and PIP – Medical payments and Personal Injury Protection insurance provide coverage for expenses for things like pain medications, rehabilitation expenses, hospital visits, nursing services and funeral costs. They are often utilized in addition to your health insurance policy or if you are not covered by health insurance. Medical payments and PIP cover both the driver and occupants as well as any family member struck as a pedestrian. PIP is not an option in every state and gives slightly broader coverage than med pay

Liability car insurance – Liability coverage will cover injuries or damage you cause to a person or their property. Liability coverage has three limits: per person bodily injury, per accident bodily injury, and a property damage limit. As an example, you may have policy limits of 100/300/100 that translate to a $100,000 limit per person for injuries, a total of $300,000 of bodily injury coverage per accident, and a limit of $100,000 paid for damaged property. Alternatively, you may have one number which is a combined single limit which combines the three limits into one amount with no separate limits for injury or property damage.

Liability can pay for claims such as structural damage, legal defense fees, bail bonds, loss of income and medical expenses. The amount of liability coverage you purchase is up to you, but it’s cheap coverage so purchase higher limits if possible. Massachusetts state minimum liability requirements are 20,000/40,000/5,000 but drivers should carry more liability than the minimum.

Comprehensive coverage – This coverage pays to fix your vehicle from damage that is not covered by collision coverage. You first must pay your deductible then your comprehensive coverage will pay.

Comprehensive insurance covers claims like hail damage, damage from flooding and rock chips in glass. The maximum payout your auto insurance company will pay is the market value of your vehicle, so if the vehicle’s value is low consider removing comprehensive coverage.

Collision – Collision insurance pays to fix your vehicle from damage from colliding with a stationary object or other vehicle. You have to pay a deductible and the rest of the damage will be paid by collision coverage.

Collision insurance covers claims like hitting a mailbox, crashing into a building and hitting a parking meter. Paying for collision coverage can be pricey, so you might think about dropping it from vehicles that are older. You can also raise the deductible to get cheaper collision coverage.

More information can be found on the Massachusetts Division of Insurance website. Click here for link. Visitors are able to download brochures, find a variety of consumer forms, and learn about insurance regulations.

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Quote more, save more

Drivers change insurance companies for many reasons like unfair underwriting practices, policy non-renewal, delays in responding to claim requests and even being labeled a high risk driver. It doesn’t matter what your reason, finding the right auto insurance provider can be pretty painless.

Low-cost auto insurance can be sourced both online and with local Medford insurance agents, so you should compare both in order to have the best price selection to choose from. Some auto insurance companies do not offer online quoting and these smaller companies work with independent agents.

When you buy insurance online, never reduce coverage to reduce premium. There are too many instances where drivers have reduced liability coverage limits and learned later that the savings was not a smart move. Your focus should be to purchase a proper amount of coverage at the best price while still protecting your assets.