This is a topic that has been relevant in my life and also a recently asked question by a family member. Am I paying too much for auto insurance? If you haven’t received a new quote online recently, the answer is probably YES.
When I moved down to Texas, I found out auto insurance rates down there were higher than New York. Needless to say, when we moved back to New York, I want to be paying the least amount possible, so I got a new quote online. I knew the yearly payments would go down some because of location, but I now have a better policy (lower deductibles/higher liability limits) and reduced payments (from $1400/year to less than $1000/year).
Where to start?
The easiest way to get an instant quote is online. You type in a few pieces of information about yourself, your car(s), driving history, location, current insurer, education, etc and the website will give a quote that you can customize to meet your needs. Please make sure you are comparing apples-to-apples coverage between the different carrier to get an accurate comparison.
A good first stop is Insurance.com. The website is an aggregator that pulls information from various insurance companies and provides the least expensive coverage for your needs. Consider this a Google search for auto insurance. This is a good method for most people that want a one stop quote.
Another option is to go to a few different individual insurers and see which policy is the least expensive. I chose this method myself, but Insurance.com should be fine as well. A few companies to explore are Geico, Progressive, Esurance, AllState, etc.
If you do find a less expensive policy with the same coverage, you can start the new policy and cancel the old policy on the same day. You will get a refund in the mail from your previous insurance policy for the pre-paid cost that was not used. Insurance cards and documents can be printed from the Internet which will allow you to be up and running in no time.
So please take 10 minutes, and review your auto insurance policy. You would be surprised at how much money you can save!
When is the last time you checked your auto insurance rates? After reading this, were you able to save some money on your auto policy by getting a quick quote? If you have questions on each part of the auto insurance policy, please ask!
One last note: I personally prefer a lower deductible for my auto insurance policies. It may cost slightly more every year, but I would rather not have to write a large check on the same day that I get into an auto accident! I also strongly recommend the addition of a rental car to your insurance policy if you do not have an alternative means of transportation.
Other articles filed under Family Finances
November 28, 2016
As a financial planner with a young daughter, I want her to learn about personal finance at the same time she learns about other concepts in the world. The question in my mind has always been, "What is the right age?"...
November 23, 2016
There are many things to consider when you are looking to hire a financial advisor, and many people are not sure which questions to ask. This article from Inc.com shares a few items to keep in mind when looking for...
November 9, 2016
Whether you find the election results exciting or shocking, we are now faced with the question, "What's next?" With respect to your investments, here’s a quick reminder of how we feel about that: Ample evidence informs us that it is...
October 24, 2016
Stock Markets It was a pretty good quarter for stocks, with the riskier small-cap and emerging market stocks leading the way. REIT’s gave back some of their robust returns of prior periods. The year-to-date numbers for stocks are solid as...
October 21, 2016
Managing clients’ financial assets is at the heart of what we do here at Rockbridge. However, having a well thought out investment portfolio will only get you so far if every facet of your financial life is not addressed correctly...