Cheapest Car Insurance
In times of rising prices and an exceptionally uncertain economic future it is only natural to look to cut expenses wherever possible. Family budgets are already lean in an atmosphere of austerity and so obtaining the cheapest car insurance quotes available may seem like a tempting way to save some cash. Unfortunately car insurance is one area in which you often get what you pay for, and selecting the cheapest car insurance policy available may end up costing money in the long run.
Finding the cheapest car insurance
car insurance is essential in a society beset by cars, vans, trucks and the inevitable collisions between all and sundry. Car insurance is about being protected against the possibility of being involved in such an accident in terms of injury to both person and property. It generally provides replacement costs for a vehicle that is totally destroyed in an accident or repairs for one that is less than a total loss. Car insurance can also cover legal expenses and damages assessed to another party in an accident in the event that the insurance holder was judged to be at fault. An essential feature of modern society, finding a cheap car insurance policy available among numerous options is an objective of most smart consumers.
But finding the cheapest car insurance policy is not everything. It is a situation where you get what you pay for, and there are numerous aspects of any insurance policy that should be examined before committing to one. First off, most car insurance policies have deductibles: amounts that the policy holder must pay before the insurance company begins to pay out cash. Typically the lower the deductible the higher the policy cost, and the cheapest car insurance policies are often those with very high deductibles. Caution is warranted when examining the market to compare car insurance quotes. Too high of deductibles may well mean that after an accident the policy holder may find that repairs are not covered at all. Many of the cheapest car insurance policies have such high deductibles that common repairs such as damaged fenders or smashed windows cost less to repair than the deductible stipulated in the insurance policy contract.
Maximum covered costs are another feature of some of the cheapest car insurance policies that need to be considered. Some policies set a maximum amount that they will pay in an accident – and this amount may be less than the cost of replacing the car if it is totally destroyed or less than the total legal costs incurred if the other party in the accident takes the policyholder to court. The cheapest car insurance policies are more likely to set a maximum payment ceiling and the cheaper they are the lower the ceiling will be. Coupled with high deductibles a consumer may find that an accident is either too minor for the insurance company payments to kick in or too major for all costs to be covered.
Another facet of car insurance that the cheapest car insurance policies take advantage of is the different classes of coverage available. Many policies break down coverage into categories such as collision, comprehensive, and injury. Different deductibles and different maximum payouts can be defined for each category separately. The cheapest car insurance policies do not always make it crystal clear as to which deductibles and limits apply to which category in a policy. It is possible to have a low deductible for, say, injury expenses but a very high deductible for comprehensive coverage. The categories are fairly self-explanatory but comprehensive tends to be the sector where most small scale damage occurs to most cars – broken windows and the like – and also the area where the cheapest car insurance policies set their highest deductibles.
Cheapest car insurance is found by shopping around
As ought to be clear, to compare car insurance policies is only the first step in getting the best deal. Many of the cheapest car insurance policies available may cost little up-front, but in the long term expose the policyholder to more risk than a comparatively higher up front cost policy. It is a good idea to shop for deals and compare quotes. But caution must be exercised when searching for the cheapest car insurance that one does not make a deal that looks good month to month, but leaves the policy holder in dire straits if an accident happens.