Save Money When You Pick the Right Car Insurance

Some California drivers think they can save money on car insurance by cutting corners. Their reasoning generally goes something like this: “Why should I pay more money to cover unlikely situations? I can probably just cover the basics and save big.” However, this is only true if you have the good fortune to avoid any unexpected and unforeseen emergencies.

Now, maybe you walk around with a pocket full of four leaf clovers and have the best luck in the world. Or maybe you’re just an incredibly safe driver who has never had occasion to worry about getting in a freak accident. The trouble with both of those scenarios is that luck has a bad habit of running out just when you need it most. Furthermore, even if you’re a brilliant driver, that won’t necessarily protect you from the mistakes and poor judgment of other drivers. An article from the Sun Sentinel points out that other vehicles cause over 60 percent of motorcycle accidents, and that only 19 percent of car crashes involve a single vehicle. This statistic means that no matter how good you are behind the wheel or handlebars, you need an insurance policy that protects your vehicle…and you.

There’s one thing we should talk about before you decide on a policy, though. As stated above, many people assume they have to choose between having either complete or affordable coverage. That is simply not the case, however, because you can get both – complete coverage at an affordable price.  You just have to choose the right company.

What to Look For

There are lots of great ways you can save money while driving, but getting cheap and unreliable auto insurance shouldn’t be one of them. When you’re looking for auto insurance, you’ll want to make sure that it covers everything you’re going to need. That includes liability, collision, comprehensive, medical, personal injury protection and uninsured or underinsured motorist coverage. You should also pick a company that works with you to determine the right amount of coverage that you’re likely to need. After all, there’s no point in getting too much coverage, either. It’s all about coming up with an efficient strategy to cover all your bases. The right insurance company can make that happen by communicating effectively with you and working to understand your specific individual needs. Insurance can be complicated, however, and sometimes it’s hard to know what to buy, so it might make sense to work with an agent. These professionals know the ins and outs of insurance and they can help choose the coverage plan that’s right for you.

What to Avoid

Avoid insurance companies that claim to save you money by offering less coverage. There’s no point in getting a cheap policy if it isn’t going to protect you when something goes wrong on the road. Getting into a scrape on the highway is bad enough. The last thing you want is to deal with financial problems on top of that. Many discount insurance companies don’t offer you enough coverage to protect you from anything but the most basic and predictable situations. You want to arm yourself with the best coverage you can find, as long as it’s affordable and appropriate. And here’s a good tip: Check out the company’s financial ratings, because you want to make sure they have the resources to pay your claim.

To Sum Up

Picking an auto insurance provider can be a challenging and intimidating task, but it doesn’t have to be. When you choose the right provider, it can make your entire insurance process painless and even helpful. You should feel good about the company you choose, because the reality is that your car insurance company is there to help you when you need it. When you choose a provider, just make sure to keep in mind the most important criteria: affordable rates with coverage suited to the way you drive. Keep away from shady providers who offer incomplete policies, or overly expensive options that try to sell you more than you need. If you can do this, you should be able to insure your vehicle in a way that keeps you safe and your wallet happy.

Avoid the Financial Complacency in American Society

Unless a huge number of Americans suddenly accept they need to change their lifestyles the debt on US society will continue to rise until arguably it is out of control. There is no doubt that consumer spending has helped the economy to move forward out of recession but so much of the spending seems to be based upon expensive credit. Too few credit card holders pay their monthly statements off in full. Credit card companies don’t need that and don’t really want that because they add a high rate of interest to outstanding balances after the minimum payment required by terms and conditions is entered on to the statement.

Debt is not just stressful; it can actually put obstacles in the way of many things you would like to have or do:

  • If your credit score which is a reflection of your financial history and current position is poor you have limited prospects of obtaining a mortgage to buy real estate.
  • Your retirement savings which should be a priority will be short of what you will need to guarantee a comfortable retirement. The Social Security System cannot provide comfortable retirement for anyone and there is even the threat that benefits will have to fall in the future in the absence of extra funding that can only come from the universally unpopular policy of extra taxation.
  • When you are already deep in debt you may not have the means of addressing an emergency, medical, household, educational or auto.
  • You will not have the funds to pay for special celebrations or anniversaries or that ‘’once in a lifetime’’ holiday.

There are other issues but those above provide enough to think about. Perhaps you have begun to think that you must do something about the situation?  How much of your lifestyle is extravagant, for show or simply to keep up with friends, neighbors or family? It is worth your deciding on some objective answers to this question.

If you correctly conclude that things have to change because your debt levels are too high then act:

  • Prepare a budget by writing down all your monthly income in one column and all your monthly expenditure in another, everything down to your daily cup of coffee and newspaper. You aim has to be not to spend more than you are earning each month. You should not cheat by adding a regular ATM withdrawal to your income because in the short term that can be higher than the average minimum credit card payment you enter in the expenditure column.  You may have to find some savings. Regular bills for utilities, insurance and your telephone network are areas for examination. Comparative websites will help in your research as to whether you can reduce your bills in these three areas by finding different sources of supply.
  • Setting yourself targets, short term, medium term and long term makes perfect sense. You will get satisfaction every time you hit a target. You must be realistic so that you do not get discouraged by failure.
  • Reducing and finally paying off all your credit card debt is important. You may have built up balances on which a high rate of interest is applied on a monthly basis. If you are only paying the minimum required it will take years to pay off the balance even if you don’t use the card again. Sheer waste! If you approach an online bad credit lender you may be able to get a much cheaper personal loan to pay off those balances. You should do it if at all possible.
  • Work out exactly what your priorities are. If the future looks bleak why harm it even further by regularly getting a new automobile? Who are you trying to impress and how long does the happy feeling last? Until the next bill comes in perhaps? Even smaller purchases like clothes and shoes, entertaining friends at a restaurant or a holiday may add to your problems. Forget them all until you have made definite progress in getting your finances in order.

Life will change when you decide to act but people are remarkably good at adapting to change. The reward in the years to come will be the realistic prospect of living a stress-free life.