help - car insurance

[dime]

I don't understand why my online quote was so high - $847 for 6 months!

I live in the city and don't own a home and am unmarried, but I'm going to be 28 in a couple months and I've never even gotten a speeding ticket. I've had like 2 claims in my life, both times my car was hit/vandalized while parked on the street.

Can anyone who works for one of these places give me any advice on what I can do? Can I ask for my new car to be registered at my mom's address in the suburbs or something? Is that legal? etc, etc.

Thanks.

[dime]

almost forgot - I haven't had a car for 6 months (walking to work in summer) so obviously I didn't have car insurance...guy I talked to on the phone at progressive told me that counts against me because it's a gap in coverage.

That is so stupid that it makes sense that the industry would work that way...but can anyone verify?

[oliegirl]

What deductibles and coverage did you go with? Find out what the minimums for your state are, you may be high and if so, that could definitely cause your premiums to go up.

Also, what kind of car you drive and how far you drive to and from work each day is also a factor...the longer the drive the higher the risk for an accident from the ins. co's perspective.

[CU Tiger]

Also credit rating plays a large part with almost every company now.

Be sure to shop around.
We were married 2 kids with almost zero miles (wife stays at home, I have "company" car) and did some comparo shopping and found $1500/year spreads for identical coverages.

[dime]

my credit is like 720 or something, which is apparently well above average.

as far as coverage, I think I went for the average/typical coverage, $500 deductible.

I don't think I'll even drive my car to work, I'm still close enough to walk. I put down that it was a pleasure/recreational car, which isn't a total lie. I might only use it on weekends to go to the burbs and visit my mom or whatever.

the car is a scion coupe; my quote is higher than it was a few years ago when I leased a freaking audi. go figure.

[oliegirl]

Call the big name companies, State Farm and Allstate, and get a direct quote from them...if it comes in high like Progressive ask them directly why, their reps are better trained and might be able to answer your questions and help you get you a lower rate by making what seem like minor adjustments to your coverage. Definitely ask about the gap in coverage and if that is affecting it, if it is, explain why you didn't have insurance and see if there is a way around it.

[Mike Lowe]

Giving this a bump but for my own situation:

Looking to switch insurances now that the wife and I are married, closing on a home in a few weeks, and purchased a new (used) car.

What are the not so obvious pro's and cons to the different types of coverages?

If I have $100,000 (individual)/$300,000 (up to 3 people?) of liability/medical coverage is that really that much worse than $250,000/%500,000 for example? If I paralyze someone wouldn't I be bankrupt either way you slice it?

Property damage, $50,000 or $100,000? Opinions/thoughts?

Road side assistance I think I'll add as it's like $3/mo. I also get free GAP insurance which is nice (insert clothing joke here).

I'm using State Farm and am getting what I consider to be a great deal regardless but I'd also prefer to not piss money away. We are also getting a discount being homeowners and covering two vehicles.

Thanks for the input!

[Swaggs]

For your liability, it would be $100K per person, but up to $300K per claim (not capped at only 3 people). I would probably do away w/ the per person limit and go with $300K or $500K (or more) per claim, depending on how likely you are to be sued for a high dollar amount if you were to be in an accident. For example, if you or your wife have high-salaried jobs (doctor/lawyer?) or come from well-known/wealthy families (parent own a popular business, so people assume you have money?), someone is probably more likely to sue you for a high dollar amount.

Medpay would be how much your insurance would pay for treatment to someone in your vehicle that might require medical attention as a result of being a passenger or involving your car in which you (or a driver) is not liable. For example, if your friend slams his finger in your car door and does not have insurance, you could have your car insurance pay for it. It is usually something like $1K-3K per person, with $3K-5K per claim. Could also give you and your family/passengers minimal coverage if you are at fault (although, non-family member passengers have been known to sue for more and liability sometimes covers--kind of a case-by-case thing). Fairly unimportant in cost and coverage.

Property damage would, obviously, be a result from any damage caused by your vehicle. This covers other vehicles or any other property damaged by your vehicle. Could include hitting a house, signs, damaging tools/ladders if you would hit a work vehicle, etc. I would probably go with $100K here, as it is not too hard to imagine a multi-vehicle accident costing more than $50K (particularly if you travel on highways often).

The other type of coverage you will want (and, depending on your state, you may be required to have) is uninsured/underinsured coverage. This essentially allows you to "sue" your own insurance company for your damages if you would get into an accident with someone (and it is their fault) that is completely without insurance or with limits that are too low to cover your property or medical (including "pain and suffering") damages.

As for deductibles, I would go with $1000 for collision and $0-$250 for comp (these are usually pretty cheap) because I would generally not report something under $1000 damage, as it isn't worth the raise in rates to me. You can play around with deductibles with your agent if you are uncomfortable with higher numbers.

If you live in a no-fault state (I know Florida and Michigan are, but I'm not sure about others), things are a bit different and I am not as well-versed on how to get the most bang for your buck.

[BishopMVP]

Also, FWIW, don't trust the numbers/"estimates" Progressive puts out for other companies. My friend at Liberty Mutual just got to write a letter Progressive has to distribute to clients because of gross misrepresentation on "estimates".