Top 4 Reasons You’re Getting Ripped by your Auto Insurance Company

There are a lot of people out there who, unfortunately, are paying way too much for their automobile insurance without even realizing it. Automobile insurance is something that the average person will have and pay for for fifty years, on average, or longer. When you’re going to be paying a bill for that long, it’s important that you don’t overpay even once. To avoid overpaying, we suggest reading our list of the four reasons people overpay for car insurance. If you find yourself making any of these faux pas, then follow our helpful tips to turn things around.

4. Not Enough Coverage:  If you’re paying next to nothing for car insurance, then you probably think you’re getting a pretty sweet deal. If you’re paying next to nothing, however, and not really getting anything in return, then this is a big problem. Many people skimp on coverage in order to pay a lower rate for car insurance, but what are they paying for exactly? Without adequate protection in the event of an accident, you are basically paying your car insurance company for nothing. Your policy is useless and won’t help you in the event of an accident, thereby defeating the very purpose of auto insurance and keeping you throwing your money down the drain. Even if it costs a little more upfront, always make sure you’re getting your money’s worth when it comes to coverage.

3. Not Getting Discounts You Qualify For: Unfortunately, a lot of drivers are unaware of just how many discounts there are out there. There are good driver discounts, awarded to drivers who have not had any accidents or ticketable offenses within a set time period; safety and anti-theft feature discounts for drivers who install such features on their cars; low mileage discounts; hybrid vehicle discounts; and even discounts for being married, adding a domestic partner to a policy, or having more than one policy. Discounts are everywhere, but if you don’t know if they exist and aren’t demanding to receive the ones for which you’re eligible, then you’re just paying money you don’t really have to pay. Make sure you know and keep on top of what policies are offered by your insurance provider and that you always demand what’s owed you.

2.Not Reading the Fine Print: Many people get cheated out of their money simply because they don’t read the fine print before they sign. A great deal on insurance, for example, might come with a time limit, after which rates increased, that is only discussed in the fine print. Likewise, some providers keep it in small letters that they will automatically raise your rates and/or coverage a certain amount each policy term. To avoid paying extra, hidden fees and fines, make sure you read and understand everything you put your name on.

1.Not Having the Right Provider: Finally, the number one reason people overpay for their car insurance is because they’ve chosen poor providers from the get go. Always make sure you take the time to shop around for car insurance and to compare rate quotes to ensure you’re getting a fair deal.

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