5 Ways to Overpay for Auto Insurance
There’s probably more than 5 ways people over pay for auto insurance in Massachusetts and probably in other states other than Massachusetts, but for now all I can come up with is five. Okay, let’s say the following is the top 5 ways people pay to much for Massachusetts auto insurance.
Collision Coverage on An Older car
There gets to be a point in a cars life that carrying collision coverage no longer is financially viable. In Massachusetts, auto insurance companies don’t require collision coverage. Second, if you no longer owe money on your car and it’s 9 to 10 years of more older check out it’s resale value. If the value is below an amount you could absorb if you got in an accident (and it was your fault) then you might want to consider no carrying collision coverage. Calculate the cost per year for the coverage compared to the value of the car. You may find out that it’s better to pocket the savings and accept the financial loss if by chance you do get in an accident.
Towing coverage
Towing is a great option to have on your policy. However, so many times I see people who already get road side assistance or have AAA and they are paying for duplicate coverage. Double check with your Road Side Assistance program or AAA coverage. If you are duplicating the towing coverage then there’s no point on paying for it on your car insurance policy.
Paying for Auto Insurance in Monthly Installments
Some insurance companies charge as much $5 per monthly payment. That could add up to $50 a year in fees. If you’re like most, paying in full is out of the question. EFT (electronic fund transfer) service is being offered by more and more companies and many provide it without the costly service charge. Get it while they still don’t!
Got a Ticket- Fight it!
So maybe you were speeding a bit much, or maybe you didn’t really make a complete stop at that stop sign. What ever reason or error, surcharges in time can cost over a thousand dollars. In Massachusetts, auto insurance carries surcharges based on your driving ability. If you’re a good driver you get credit, get a few speeding tickets and your rate will go up. If you have the time and want to save a lot of money in surcharges- fight it. If anything you may get a reduction in a charge.
Combine Your Auto and Home Insurance With One Company – Call Your Agent!
One of the biggest reasons to work with an independent agent over a direct writer is choice of companies, products and discounts. One of the biggest discounts is what insurance companies offer if you insure both your auto and home with them. We have a variety of companies offering up to 25% off your auto and home if we insure them both.