Tag Archives: Auto insurance

There’s no such thing as FULL COVERAGE!!

Auto insurance is a crazy animal, such a pain to pay for but we loved it when we rear-ended the car in front of us! Unfortunately many policy holders are misinformed when it comes to coverage, specifically what we like to call “FULL COVERAGE”.

Insurance-MythLet’s bust this myth once and for all.. There’s no such thing as full coverage. Many people confuse comprehensive and collision coverage with full coverage. I’ll be honest, before I got into the insurance industry I had the same thought process. “Oh, I’m covered. I have FULL COVERAGE”.. boy was I wrong.

EVERY auto policy has limits, most policies I’ve come across are very low. Take a look at your own policy, what are its limits? California requires you to carry limits of at least 15/30/5, many take these limits and run with them only because they’re required.

Next time you’re on the road take a look at the cars you’re driving next to, average cost about $17,000 per car (in my area at least). With limits of 15/30/5 you’d be left to pay $12,000 out of pocket if I total a $17,000 car, and that’s if you only cause damage to ONE car.

You’re also responsible for bodily injury you cause others in an accident. The cost to ambulance a patient to the hospital, put them through surgery, and keep them in a hospital bed for a couple days can EASILY cost over $50,000. With 15/30/5 insurance limits you’d be left to pay $35,000 out of your own pocket.

See the pattern here? Every policy has limits, double check yours and make sure you’re properly covered. One things for sure, you don’t have full coverage..

PS. We offer quotes here, take a look around and give us a call.

How ZIP Code affects your auto insurance rate

A popular question by clients who move from one ZIP Code to another: “Why did my insurance rate change when I moved?”

You would think that an auto Insurance rate is based off of your personal insurance info like how many tickets you have, how old you are, where you work, how far you drive, what type of car you drive etc. Although those factors do come into play when the insurance company decides to give you a rate, they aren’t the only factors.

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Why do auto insurance rates change when you move to another address? There are many factors that come into play when you move from one ZIP Code to another, for example: auto theft and vandalism, traffic accidents, etc. These type of incidents happen a lot more in certain neighborhoods and ZIP Codes.

If you decide to move from the middle of LA or San Francisco to a smaller town with less traffic than you can probably expect your insurance policy premium payments to reduce each month. Places like Los Angeles and San Francisco are known for accidents due to the huge population and congested city streets.

Even the difference between living in an apartment complex or a home can have an effect on your insurance premium. The way most insurance companies see it, you’re less likely to have something happen to your vehicle while it’s left in your garage versus a carport outside your apartment complex.

Next time you decide to move call your insurance agent, you may be in for a pleasant surprise. You might also be in for a rude awakening, it’s up to you.

These are only a few factors that come into play when insurance companies formulate your rate. Get in touch with one of our licensed California insurance brokers today, we’ll shop your policy with multiple insurance companies making sure you’re getting quality coverage at an affordable rate, even at your new zip code.

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4 Easy steps to saving more on car insurance

1. Increase your policy deductible. Remember, your insurance policy is their to protect you in case of an emergency. If you have enough funds to pay for a higher deductible in the event of an emergency than do so. A change from $500 to $750 or $1000 can save you HUGE amounts. Ask yourself: “If an emergency were to occur would I be able to come up with $1000?”.

2. Package your home and California auto insurance with the same insurance carrier. As incentive just about every insurance carrier will give you deep discounts for giving them both your home and auto policy. Proceed with caution, some companies might give you a discount but the over all rate can still be more expensive than if you had left them in separate policies. For this reason you will need to shop around with multiple carriers getting rates with and without the package discount.

3. Let your agent know that you have an alarm system. Having an alarm system or LoJack/similar device can save you quite a few dollars over the long run. Having an alarm system or LoJack device will deter car thieves, insurance companies love that. If you were ever on the fence about getting an alarm system hopefully this will push you over the edge!

4. Shop your insurance policy! Some people blindly pay whatever their insurance company offers when there are plenty of options with better coverage AND price on the market. Get in touch with a California insurance broker, they have access to multiple insurance companies and find you the better deals. Feel free to get in touch with us, we can shop your policy with multiple companies. Call us anytime at 949-777-5027.

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