Astonishing but true, the vast majority of consumers kept buying from the same company for four years or more, and about 40% of consumers have never even compared rates from other companies. Consumers in Tennessee could save approximately $500 each year just by comparing rates, but they think it’s difficult to do a rate comparison.
If saving money is your primary concern, then the best way to get affordable Kia Borrego insurance is to compare prices at least once a year from insurance carriers that sell auto insurance in Memphis. Drivers can shop around by completing these steps.
- Try to understand how car insurance works and the factors you can control to keep rates in check. Many risk factors that increase rates such as speeding tickets, accidents and a not-so-good credit rating can be improved by making small lifestyle or driving habit changes.
- Compare prices from exclusive agents, independent agents, and direct providers. Exclusive agents and direct companies can only give prices from a single company like GEICO or Allstate, while independent agents can provide prices from multiple companies.
- Compare the new rate quotes to your existing policy to see if you can save by switching companies. If you find a lower rate quote and decide to switch, make sure there is no coverage gap between policies.
- Tell your current agent or company of your decision to cancel your existing policy. Submit a down payment and signed policy application for your new policy. Once the paperwork is finalized, safely store the proof of insurance paperwork in your vehicle’s glove compartment or console.
An important note is to try to compare the same level of coverage on every quote request and and to get price estimates from as many companies as possible. This provides the most accurate price comparison and the best rate selection.
Cheaper Memphis auto insurance rates with discounts
Some providers don’t always list all their discounts in an easy-to-find place, so the following is a list of both the well known in addition to some of the lesser obvious discounts you could be receiving when you buy Memphis auto insurance online. If you don’t get every credit available, it’s possible you qualify for a lower rate.
- Early Renewal Discounts – Some auto insurance companies provide a discount for buying a policy before your current Borrego insurance policy expires. This can save 10% or more.
- Clubs and Organizations – Joining specific professional or occupational memberships or organizations could earn you a nice discount on your policy.
- Accident Forgiveness – This one isn’t a discount, but some companies like Allstate, State Farm and GEICO permit an accident without getting socked with a rate hike with the catch being you have to be claim-free for a certain period of time.
- E-sign – A few insurance companies provide a small discount for buying your policy on their website.
- Theft Prevention System – Vehicles that have factory alarm systems and tracking devices are less likely to be stolen and qualify for as much as a 10% discount.
- Discounts for Government Workers – Being employed by or retired from a federal job could provide a small rate reduction with select insurance companies.
- Discount for Life Insurance – Select companies reward you with lower rates if you buy some life insurance in addition to your auto policy.
- Safe Drivers – Insureds without accidents can pay as much as 50% less than less cautious drivers.
Discounts lower rates, but most credits do not apply to the overall cost of the policy. Most only apply to the price of certain insurance coverages like comp or med pay. So despite the fact that it appears adding up those discounts means a free policy, you’re out of luck. Any qualifying discounts will lower your policy premiums.
A list of auto insurance companies and the discounts they provide are shown below.
- American Family may offer discounts for multi-vehicle, early bird, accident-free, good student, defensive driver, and mySafetyValet.
- State Farm may have discounts that include Steer Clear safe driver discount, Drive Safe & Save, anti-theft, defensive driving training, good student, student away at school, and safe vehicle.
- 21st Century offers discounts including automatic seat belts, good student, air bags, teen driver, and defensive driver.
- Travelers offers premium reductions for new car, continuous insurance, multi-car, multi-policy, home ownership, and driver training.
- GEICO has discounts for anti-theft, daytime running lights, seat belt use, multi-policy, and air bags.
Before you buy a policy, ask all companies you are considering which discounts can lower your rates. Depending on the company, some discounts might not apply in your area. To see a list of auto insurance companies that offer discounts in Tennessee, click here to view.
Coverages available on your car insurance policy
Learning about specific coverages of a car insurance policy can be of help when determining the best coverages at the best deductibles and correct limits. The coverage terms in a policy can be ambiguous and nobody wants to actually read their policy.
Comprehensive or Other Than Collision – Comprehensive insurance coverage covers damage from a wide range of events other than collision. You first must pay your deductible and then insurance will cover the rest of the damage.
Comprehensive can pay for things such as hitting a bird, damage from flooding, vandalism, hail damage and a tree branch falling on your vehicle. The highest amount you’ll receive from a claim is the market value of your vehicle, so if your deductible is as high as the vehicle’s value it’s not worth carrying full coverage.
Collision – Collision coverage will pay to fix damage to your Borrego from colliding with another vehicle or an object, but not an animal. You have to pay a deductible and the rest of the damage will be paid by collision coverage.
Collision coverage pays for things such as sustaining damage from a pot hole, damaging your car on a curb, sideswiping another vehicle, crashing into a building and colliding with another moving vehicle. Paying for collision coverage can be pricey, so consider removing coverage from lower value vehicles. You can also bump up the deductible on your Borrego to bring the cost down.
Coverage for liability – This will cover damage that occurs to people or other property by causing an accident. Coverage consists of three different limits, per person bodily injury, per accident bodily injury, and a property damage limit. You might see liability limits of 25/50/15 which stand for $25,000 bodily injury coverage, a total of $50,000 of bodily injury coverage per accident, and a total limit of $15,000 for damage to vehicles and property.
Liability coverage protects against things like funeral expenses, structural damage, pain and suffering, bail bonds and repair costs for stationary objects. How much liability coverage do you need? That is a personal decision, but buy as high a limit as you can afford. Tennessee requires drivers to carry at least 25/50/15 but it’s recommended drivers buy more liability than the minimum.
The chart below shows why minimum state limits may not be enough.
UM/UIM Coverage – Uninsured or Underinsured Motorist coverage gives you protection from other motorists when they either are underinsured or have no liability coverage at all. This coverage pays for hospital bills for your injuries as well as your vehicle’s damage.
Since a lot of drivers only carry the minimum required liability limits (25/50/15), it only takes a small accident to exceed their coverage. This is the reason having UM/UIM coverage is very important.
Medical costs insurance – Personal Injury Protection (PIP) and medical payments coverage provide coverage for short-term medical expenses such as doctor visits, EMT expenses, chiropractic care and pain medications. The coverages can be utilized in addition to your health insurance policy or if there is no health insurance coverage. Coverage applies to all vehicle occupants and also covers getting struck while a pedestrian. PIP coverage is not available in all states and gives slightly broader coverage than med pay
Shop around and save
When getting Memphis auto insurance quotes online, never skimp on critical coverages to save a buck or two. In too many instances, consumers will sacrifice comprehensive coverage or liability limits only to find out that the savings was not a smart move. The ultimate goal is to purchase plenty of coverage at the lowest possible cost but still have enough coverage for asset protection.
Insureds leave their current company for a variety of reasons including high prices, poor customer service, delays in paying claims or unfair underwriting practices. Regardless of your reason, switching companies can be easier than you think.
We just covered a lot of ways to get a better price on Kia Borrego insurance in Memphis. The key thing to remember is the more rate comparisons you have, the higher the chance of saving money. Drivers may even discover the best premium rates are with a smaller regional carrier.
Additional information can be found on the following sites:
- Child Safety Seats (Insurance Information Institute)
- How Much is Car Insurance for Veterans in Memphis? (FAQ)
- How Much is Memphis Car Insurance for a Kia Optima? (FAQ)
- Who Has the Cheapest Auto Insurance Quotes for a Ford F-150 in Memphis? (FAQ)
- Who Has Affordable Memphis Auto Insurance Rates for Uninsured Drivers? (FAQ)
- Prom Night Tips for Teen Drivers (State Farm)
- Uninsured Motorist Statistics (Insurance Information Institute)
- Older Drivers FAQ (iihs.org)
- Anti-Lock Brake FAQ (iihs.org)