Insurance policies can be expensive, and personal injury insurance is no exception. Depending on state requirements, the amount of coverage you want, and your driving record, personal injury protection, or PIP, can vary significantly in price. There are, however, a few ways that you can bring that cost down.
The amount you will be charged for your personal injury insurance coverage can vary significantly from company to company. These rates are based on your vehicle type and coverage level but are calculated differently between companies. To ensure that you are getting the best possible deal on your insurance, get quotes from many different providers. Include both major national companies and smaller regional ones in your research. It is important to also make sure that you are not purchasing a personal injury insurance plan whose coverage overlaps with your health insurance coverage.
Look for Discounts
Many major auto insurance companies offer discounts based on how many drivers you insure with them or how many different kinds of policies you have with them. For instance, if you have both your homeownerís or renterís insurance and your auto insurance at the same company, it can often decrease the premiums for your individual policies, including your personal injury insurance policy. Some insurance companies also have safe driver discounts, which reward you for going specific amounts of time without having an accident by lowering your premiums. You may also qualify for special offers because of your affiliation with an organization like your bank or employer.
Increase Your Deductible, Decrease Your Premium
The deductible on your insurance policy is the amount of money you have to pay out of pocket on an accident or injury before the insurance company will pay your claim. The premium is the monthly, bimonthly, or yearly amount that you pay the insurance company for your plan. Generally, the higher the deductible is, the lower the premiums will be. Therefore, if you can afford a higher one-time cost in the event of an accident, you can significantly lower the cost of your Personal Injury Insurance by increasing the deductible.
Adjust the Amount of Coverage
In looking for a new personal injury insurance policy or adjusting your old one, you also have the opportunity to change the amount or kind of coverage you have. Instead of a Full PIP Primary plan, which will cover lost wages, funeral costs, death benefits, and certain other costs, you might opt for a Medical Only PIP plan, which covers only medical expenses. Decreasing the dollar amount that the insurance policy will pay out can also decrease costs. Finally, opting for the minimum coverage allowed by law is an option will decrease the cost of the policy.
Buying a New Car
Though it may seem counterintuitive, purchasing a new car can significantly decrease the cost of your auto insurance, including your personal injury insurance. This is because the safety features of a car can make it less likely that you will be involved in an accident that will cause injuries. Safety features like front airbags, side curtain airbags, and antilock brakes protect passengers and prevent severe injuries. This in turn decreases costs for insurance companies, which means savings for you.
Researching your personal injury insurance options can help to save money and ensure you're fully protected. Use the tips above to get started and donít be afraid to ask your insurance company for advice.