Lower Payments
Most people know that one way to lower your car insurance payments is to raise your deductible. The deductible is the amount that you will have to come up with or cover up front before your insurance kicks in to pay the rest.
An example would be this: If your car insurance deductible is $500 and you get into an accident causing $5,000 in damages to your car then you would have to pay or cover the first $500 and the insurance company would pay the $4500.
As I just mentioned, a way to lower your monthly payments or premiums is to raise your deductible. If your current deductible is $500, then if you raise it to $1,000 or $1,500 then you could significantly lower your monthly payments. Of course the bad side of this is that if you get into a minor 'fender bender' causing say something like $900 in damages, and your deductible is $1,000, then your insurance will not pay you a dime.
If you choose a lower deductible then you will increase your monthly payments, but this could be worth it depending on your financial situation. Let's say your current auto insurance payment is $150/month with a $1,000 deductible. You could choose to lower your deductible to $500 which would increase your monthly payments to something like $180.
This figures are not based on any particular car insurance company or any specific plan. Everyone is unique and auto insurance coverage varies from company to company and can vary greatly depending on your personal driving record.
Michael
http://www.ratecarinsurance.net
An example would be this: If your car insurance deductible is $500 and you get into an accident causing $5,000 in damages to your car then you would have to pay or cover the first $500 and the insurance company would pay the $4500.
As I just mentioned, a way to lower your monthly payments or premiums is to raise your deductible. If your current deductible is $500, then if you raise it to $1,000 or $1,500 then you could significantly lower your monthly payments. Of course the bad side of this is that if you get into a minor 'fender bender' causing say something like $900 in damages, and your deductible is $1,000, then your insurance will not pay you a dime.
If you choose a lower deductible then you will increase your monthly payments, but this could be worth it depending on your financial situation. Let's say your current auto insurance payment is $150/month with a $1,000 deductible. You could choose to lower your deductible to $500 which would increase your monthly payments to something like $180.
This figures are not based on any particular car insurance company or any specific plan. Everyone is unique and auto insurance coverage varies from company to company and can vary greatly depending on your personal driving record.
Michael
http://www.ratecarinsurance.net
posted by Michael at
4:09 PM
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