Should I switch my auto insurance?
Here’s a detailed comparison of my current policy for both of my vehicles:
Current Policy:
– Bodily Injury (BI): $250,000 per person / $500,000 per accident
– Property Damage (PD): $200,000 per accident
– Collision Coverage: $750 deductible
– Comprehensive Coverage: $750 deductible
– Medical Payments: $10,000 per person
– Roadside Assistance: $100 per breakdown
– Rental Coverage: $40 per day, maximum 30 days
– Uninsured Motorist (Bodily Injury): $250,000 per person / $500,000 per accident
– Automobile Death Indemnity: $10,000 benefit
6-month premium: $1,570 for my 2017 and 2013 vehicles.
New Quote:
– Bodily Injury (BI): $250,000 per person / $500,000 per accident
– Property Damage (PD): $100,000 per accident
– Collision Coverage: $750 deductible
– Comprehensive Coverage: $750 deductible
– Medical Payments: $10,000 per person
– Roadside Assistance: $100 per breakdown
– Uninsured Motorist (Bodily Injury): $250,000 per person / $500,000 per accident
– Automobile Death Indemnity: $10,000 benefit
6-month premium: $985
The only significant difference is a reduction of $100,000 in property damage coverage. Is it worth the decrease in premium?
This whole situation is so frustrating with how high insurance costs are!
It can definitely be frustrating to navigate auto insurance costs! Based on your breakdown, it looks like switching to the new policy could save you a significant amount of money—about $585 for the same coverage in most areas, except for the property damage (PD) coverage.
Here are a few things to consider when deciding whether to switch:
Property Damage Coverage: You currently have a $200k PD limit, while the quote provides $100k. Think about your situation: is the extra $100k in coverage worth the premium difference? If you live in an area with higher repair costs or if you drive vehicles that could be expensive to repair, you might want to stick with your current coverage.
State Requirements: Make sure you’re aware of your state’s minimum insurance requirements. If the $100k limit still meets or exceeds these, it might be acceptable to switch.
Financial Impact: Consider your own financial situation. If you feel comfortable covering any potential gaps for PD or if you’ve had low claims in the past, you might feel okay switching policies.
Claims History: If you’ve had claims in the past or if you feel that your risk of needing that coverage is higher, it could justify keeping your current policy.
Policy Features: Review any additional features in the current policy that might be beneficial, like customer service reputation or claims process ease.
Weighing these factors against your savings will help you determine if the switch is worth it. If you find that the savings outweigh the risk of reduced coverage, then making the switch could be a smart financial move.