Finding Affordable Auto Insurance: Don’t Pay for What You Don’t Need

Chances are, you are overpaying for auto insurance, and the most likely culprit behind those inflated premiums is unnecessary coverage. By jettisoning these superfluous coverages, drivers can find affordable car insurance much more easily. Don’t let an insurer give you a pricey one-size-fits-all policy when customizing your coverage is the easiest way to save. Read on to find out what coverages you might want to eliminate when you search for affordable car insurance quotes.

Personal Injury and Medical Payments

Personal injury protection (PIP) or medical payments coverage is expensive and unnecessary for many policyholders. If you have a solid health insurance plan, your affordable auto insurance policy doesn’t necessarily have to include this coverage. Medical payments will pay for your medical expenses following an accident, but these expenses are already covered if you have health insurance. Keep in mind, however, that a few states require certain levels of PIP or medical payments coverage. Similarly, if you have high deductibles on your health insurance policy, you might want to carry a small amount of PIP to cover them in the event of an accident.

Collision and Comprehensive

You’d be surprised how much more affordable auto insurance quotes can be if you drop physical damage coverage, otherwise known as collision and comprehensive coverage. Physical damage coverage will only reimburse you for damage up to the actual cash value (ACV) of your vehicle. If the ACV of your car is low, you’d be better off choosing a cheap car insurance policy without physical damage coverage and saving the difference. Of course, if you drive a newer vehicle or a car with an ACV that you couldn’t afford to pay out of pocket, collision and comprehensive are worth the additional premiums.

Excessive Liability

Auto insurance liability coverage is required by law in most states and safeguards your assets against lawsuits in the event of an at-fault collision. Always carry enough liability coverage to comply with the requirements of your state and protect the full value of your assets, including your home, savings, retirement accounts, and so on. However, excessive liability coverage is superfluous and expensive. By lowering your limits to reflect the actual value of your personal assets, you are more likely to find affordable car insurance.

Miscellaneous Optional Coverages

Auto insurers commonly offer optional coverages like rental reimbursement, towing, roadside assistance, and car audio coverage. Some of these coverages, such as rental car reimbursement, are worthwhile, but others are nothing more than a waste of your insurance dollars. For example, your insurer might include roadside assistance coverage in your policy by default unless you request its removal. For most drivers, roadside assistance is an unnecessary part of an auto insurance policy because they already have coverage through their vehicle warranty program or auto club membership. Staying away from costly optional coverages will make It easier to find affordable car insurance quotes.