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Insurance Tricks

By November 2, 2018Advice
Insurance Tricks

Is Saving Money on Car Insurance in your best Interest?

Saving 15% on your monthly car insurance might not be in your best interest! Learn 3 tricks used by insurance companies to “save” you money.

We all see and hear the commercials, “save money on your car insurance, blah blah blah.”  Everyone loves to save money and feel like they’re getting a deal.  The commercials are funny, and they prey on consumers trying to “save money.”  They suck you in, collect your money every month and then, BAM, a car accident happens.  You call the insurance company to make a claim and you are told you don’t have coverage to help pay the bills, a rental car, tow coverage, etc.  “Saving money” now has cost you a ton of money and potentially put you and your family in a terrible financial situation.

How do the insurance companies do this?  Why is their insurance so much cheaper?

3 Tricks Insurance Companies use to Lower your Premium

These 3 tricks are often used to lower your monthly premium. Insurance Companies make it seem like you are making a wise decision and “saving money”:

  • Insurance company give you the minimum liability coverage for bodily injury and property damage. In Washington, the minimum liability coverage required under the law is a $25,000.00 per person/$50,000.00 per accident policy.  This is not enough coverage for most people.  You can purchase as much insurance as you can afford, look at this issue closely when deciding how much to purchase.  This liability coverage decision could expose you to personal liability and if you have assets of any kind, exposes your assets in an event where you or a loved one causes an accident.  Picture a scenario where you lose your savings account or home because you don’t have enough coverage to cover your personal assets.  Full Coverage
  • They eliminate Uninsured Motorist coverage from your policy. This coverage is extremely important!  Read more about why this coverage is so important here. Uninsured Motorist Coverage
  • They eliminate PIP coverage from your policy. PIP coverage pays your medical bills and also provides benefits for wage loss and essential services when you are injured in an accident.  PIP benefits are discussed in much more detail here: PIP Personal Injury Protection

How to Protect Yourself

A couple ideas on how to protect yourself from getting tricked into a bad insurance policy:

  • Don’t buy a monthly payment from insurance companies, buy adequate coverage to protect yourself and your loved ones.
  • Don’t buy your insurance policy online by yourself-while it is convenient, most people electronically eliminate important coverage to make the monthly payment lower.
  • Typically, it is much better to purchase your auto insurance from an experienced insurance agent or broker as they can explain the types of coverage, ask you questions about your personal and financial situation and get a plan together for what type of coverage your family needs.

We hope this blog helps you BEFORE an accident happens.  Be prepared and protect yourself and your family.

Altman Law Offices is a personal injury law firm with offices in Bremerton, Tacoma and Poulsbo.  We have multiple office locations to help clients throughout the South Sound.  If you have been involved in a car accident in Kitsap County, Pierce County or other surrounding areas, please contact us for a free consultation (360) 377-7100 or (253) 761-1000.

Bremerton Personal Injury Law Firm

Tacoma Personal Injury Law Firm

Poulsbo Personal Injury Law Firm