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Car Insurance

Compare Car Insurance? Why Go Direct When An Independent Agent Has A Better Selection

There are many companies out there today trying to capture the auto insurance market. The most prominent of the insurance companies are the direct writers. With there cartoon characters and clever humorous story lines they have done a pretty good job building up their business. Nothing wrong with that. Well, it does lend to the growing sterilization of the real purpose of insurance, to protect you from unforeseen financial loss, but what what I find most baffling is the attraction to these 'one trick pony' companies? These insurance direct writers are very successful at marketing their product, because in any other consumer product purchase we as consumers demand variety. Direct writers only have one product and one price to choose from yet consumers continue to buy. What happened? When did we as the greatest consumers, the smartest consumers in the world lose our way when it comes to shopping for insurance?

As Consumer's We Expect Selection and Variety - So Why Are Some Forgetting This When It Comes To Buying Insurance?

As consumers we expect options and selection and as Americans we expect competition to help keep costs down and advances in products available. When I go to the grocery store I have a choice between several types of items. Need new sneakers? The sporting good stores provides a wall of different styles and brands to choose from. So why do some people buy their insurance directly from a company that only offers one product with one price? I find this baffling especially when your local independent insurance agent has a selection of insurance products offered by several insurance companies. If you're in the market for a better priced auto insurance policy, or any other insurance protect an insurance agent, much like that sporting goods store and that wall of sneakers has a selection of insurance products from his various companies to choose from. But what I think is just as important independent agents don't work for any one company so they are an excellent 'independent' resource for determing the right policy and coverage for you. Go direct and who ever you talk to represents the company and not you.

Some Basic Information About Auto Insurance

Auto insurance protects you against financial loss if you have an accident. It is a contract between you and the insurance company. You agree to pay the premium and the insurance company agrees to pay your losses as defined in your policy.An auto insurance policy is comprised of six different kinds of coverage. Most states require you to buy some, but not all, of these coverage's. If you're financing a car, your lender may also have requirements.

To learn more about Massachusetts auto insurance and how it protects you and your family choose any of the other tabs in this section. We also provide a list of discounts available. We hope you find this information useful in helping you make an informed decision about your auto insurance. And when you're ready we would love to have the opportunity to provide you a quote.

Basic Car Insurance Policy Coverages
A Massachusetts Car insurance policy contains basic insurance protection in 6 main categories: Bodily Injury, Medical Payments, Property Damage, Collision, Comprehensive, and protection against an Underinsured, or Uninsured Motorist. Below is a description of each of these coverages.
Coverage
Description
Bodily Injury Liability

Applies to injuries you, the designated driver or policyholder cause to someone else. You and family members listed on the policy are also covered when driving someone else's car with their permission. Liability insurance protects you from serious financial loss if you are sued stemming from a serious accident.

Protect Your Financial Health! Consider buying more than the state-required minimum to protect assets such as your home and savings.

Medical Payments or Personal Injury Protection (PIP)
Pays for the treatment of injuries to the driver and passengers of the policyholder's car. At its broadest, PIP can cover medical payments, lost wages and the cost of replacing services normally performed by someone injured in an auto accident. It may also cover funeral costs.
Property Damage Liability
Pays for damage you (or someone driving the car with your permission) may cause to someone else's property. Usually, this means damage to someone else's car, but it also includes damage to lamp posts, telephone poles, fences, buildings or other structures your car hit.
Collision
Pays for damage to your car resulting from a collision with another car, or object. Collision coverage is generally sold with a deductible of $250 to $1,000-the higher your deductible, the lower your premium. Even if you are at fault for the accident, your collision coverage will reimburse you for the costs of repairing your car, minus the deductible.
Comprehensive

Reimburses you for loss due to theft or damage caused by something other than a collision with another car or object, such as fire, falling objects, missiles, explosion, earthquake, windstorm, hail, flood, vandalism, riot, or contact with animals such as birds or deer. Comprehensive insurance is usually sold with a $100 to $300 deductible. Comprehensive insurance will also reimburse you if your windshield is cracked or shattered. Some companies offer glass coverage with or without a deductible.

Money Saver: Opt for a higher Comprehensive deductible and save!

Uninsured and Underinsured Motorist
This coverage will reimburse you, a member of your family, or a designated driver if one of you is hit by an uninsured or hit-and-run driver. Underinsured motorist coverage comes into play when an at-fault driver has insufficient insurance to pay for your total loss. This coverage will also protect you if you are hit as a pedestrian.

 

Learn About Auto Insurance

More than 4 of 10 families survey by Trusted Choice® who said they had a young driver move away from the home hadn't updated their family's auto insurance coverage to reflect that change. Of those who are frequent carpool drivers to a job, school or activities with children, an alarming 85% hadn't changed their liability insurance coverage to reflect the increased risk of additional passengers in the vehicle.

New Homes can Affect Your Car Insurance Coverage

Also, if you have purchased property or a home since you first purchased your auto insurance policy, you may want to consider upping your Bodily Injury and Property Damage Liability coverage levels. If you own a home and make more than $75,000 a year, most insurance experts recommend that you own at least $100,000/$300,000 of Bodily Injury coverage and $100,000 total of Property Damage Liability coverage.

Remember to keep yourself adequately covered; while having the bare minimums required by each state may keep you in compliance with state laws, they may not be enough to protect your assets if you have a major incident. Insurance experts recommend that you review your insurance policy often and thoroughly.

Understand Your Car Insurance Coverage

While everyone that drives in this country has to have some form of auto insurance by law, many do not understand the basics of their policies. While we don't all have to be auto insurance experts, it is important to at least comprehend the major bricks that build our auto insurance policies.

There are five parts of a typical auto insurance contract (the titles of these sections may differ slightly from insurer to insurer, but they all address the same points):

Auto Insurance Policy Declarations

This part of your policy is unique to you; it contains the personal facts for drivers in your household such as name and address, make and model of your vehicle(s), vehicle identification number(s), policy number and policy duration. It also contains the basic type of coverage you purchased and your policy limits and deductibles. Tip: Make sure your information is accurate; your claim may be denied if you provide inaccurate information to your insurer.

Auto Insurance Policy Coverage Parts/Insuring Agreement

This section outlines the coverage options and coverage limits that you purchased, such as liability, medical, collision and comprehensive. This section basically outlines what your insurance company promises to provide in return for your payment, based on the coverages and coverage limits you selected.

Auto Insurance Policy Exclusions

Exclusions simply detail what is not covered by highlighting your policy's limitations. Combined with the section above, this ensures that you know exactly what will be covered when you make a claim. It also shows you some possible deficiencies that you might want to correct down the line.

Auto Insurance Policy Conditions

This is where the legal responsibilities of both the insured and the insurer are listed, including premium payment obligations, steps to filing a claim, and procedures for resolving disagreements.

Auto Insurance Policy Definitions

This section defines terms and outlines the rights of the policyholder and the insurance company. This section is often referred to as the "fine print."

Auto Insurance Policy Collision Coverage

This covers loss to your own auto caused by its collision with another vehicle or object. If you cause an accident, collision coverage will pay to repair your vehicle, and is normally the most expensive part of an auto insurance policy. You must choose a deductible, which is the amount you, the insured, must pay before the insurance company pays the remainder of each covered loss. The higher the deductible, the lower the premium costs. However, keep in mind that this is the amount you must pay (generally to the repair shop) if your vehicle is damaged, so deciding on your deductible, which directly affects your premium, can be a bit of a balancing act.

Auto Insurance Policy Comprehensive Coverage

Comprehensive coverage covers damage to your vehicle caused by an event other than a collision or overturn. Examples include fire, theft, vandalism, and falling objects. This also comes with a deductible you select, which is how much you will pay before the insurance company pays the remainder.

Auto Insurance Policy Liability

The official definition of liability from the InsWeb glossary is: "That portion of the insurance contract which pays and renders service on behalf of an insured for a covered loss arising out of the insured's responsibility to others imposed by law or assumed by contract." In simpler terms, if you are at fault in an accident, liability insurance will pay to cover injuries and property damage costs caused to others in the accident (including your legal defense costs, if applicable).

Bodily injury coverage pays for things like medical costs and lost salary to others; while property damage pays for repairs to other people's property you damaged in the accident (other than your own car). Liability coverage (which is the state mandated part of your policy) is the basic building block of any auto policy, and minimum liability limits vary from state to state.