Each year, there are about six million car accidents in the U.S. Do you have enough coverage to protect yourself? What about car damage from something other than a car collision such as a tree branch falling on your car during a bad storm?
Comprehensive insurance coverage protects you from just about anything and everything that can happen to your vehicle. Want to know how to find the right insurance? Keep reading to learn more.
What Is Comprehensive Insurance Coverage?
Comprehensive insurance is a form of auto insurance that covers car damage caused by events other than a collision.
Comprehensive car insurance provides protection such as broken windshields, theft of car and contents, hit and run damage, fire, severe weather damage, fire, and other threats such as road debris, animals in the road, and falling trees or branches.
In addition, if your vehicle is declared a total loss, the comprehensive car insurance reimburses you for the total value of your lost vehicle.
Comprehensive Insurance Coverage Cost
Wondering what does comprehensive coverage cost? The answer is it varies. There are several factors that determine the cost of your premium such as your vehicle model, age, your deductible, and mileage.
On average, the average collision cost is about $363 a year, and comprehensive insurance averages about $160 annually.
Ways to Save
There are ways to save money on your insurance. By doing your research and knowing what determines the cost of your insurance, you don’t have to break the bank.
1. Shop Around
Just like any other major purchase, you should always shop around. Prices do vary between insurance companies. You can also contact an independent insurance agency that can quote multiple companies for you.
Don’t just shop by price alone. Make sure the coverage is similar and find an agency that takes the time to review your needs and addresses your questions.
2. Raise Your Deductible
Your deductible is what you pay before your insurance policy starts. If you have a higher deductible, your costs can be lowered substantially. For example, raising your deductible to $1,000 can save you 40 percent or more.
Before you raise your deductible, make sure you have enough money set aside if you have a claim.
3. Ask for Discounts
Ask your insurance agent about discounts. Most companies offer various discounts for:
- Multiple car discount
- Antitheft devices
- Defensive driving courses
- Customer loyalty
- Low annual mileage
- Good credit record
- Good student
These are just a few discounts. If you don’t drive a lot, you should talk to your agent about the low mileage discount or paying for the miles you drive.
4. Bundle Insurance
If you have a home or an apartment, try bundling your car insurance with your home or renters insurance. Most companies will give you a break for bundling your policies or having both policies with the same company. You may also get a discount if you have more than one car covered by the same company.
5. Maintain Good Credit
Your credit affects your insurance costs. Most insurance companies use credit information to help price your policy. Try to keep your credit score up by paying your bills on time, keeping credit balances low, and not using more credit than you need.
Save Money Today
As you shop for comprehensive insurance coverage, make sure you talk to your agent to get the coverage you need. Ask for discounts, bundle your policies, and maintain good credit. You can save money with insurance.
Looking for other financial advice? Keep exploring our site for more ways you can save money today.