When shopping around to find the best auto insurance rates you will probably be looking to compare premiums from one insurer to another. However, rates are not the only variable that will keep your insurance costs down, you also need to look at the policy itself and the coverage you will be getting. Some of the provisions are vital while some are merely a nice addition and many more can be simply an unnecessary cost depending on your situation.

Personal Assets and Family Come First

The best auto insurance policy will provide adequate coverage for both your family and your assets. Even though most laws require insurance policies that cover medical expenses, rehabilitation and burial costs for your passengers and other people involved in the accident, including pedestrians, the amounts are quite low and inadequate. Depending on your income and level of your assets, you should be looking at buying at least $100,000 coverage per person and $300,000 per accident.

The same holds true for insuring your car as most legal limits are for $15,000 and considering that a new car averages around $25,000. So you need to consider getting coverage for at least $30,000.

You also need to consider other issues such as being involved in an accident with an underinsured motorist. The additional coverage will save you a lot of pain as it will cover the same costs the other driver would have been responsible for, costs you would otherwise have to pay for out of your own pocket.

Nice Perks but Not Mandatory

As stated above, the best auto insurance rates will not necessarily lie solely in the premiums but also the additional coverage you get that may or may not be necessary. For example, with collision and comprehensive coverage the higher the deductible you carry the less you have to pay to the insurer in premiums. The deductible is the amount of money you will pay to the repair shop before your insurer has to step in.

If your car is worth less than $5,000, you probably don’t need to include these because over time the premiums will add up to much more than the insurer will have to pay out even if your car is completely destroyed. Additionally, remember that if an accident isn’t your fault the other driver’s insurance will be covering the repair costs.

Getting the Best Auto Insurance Rates

There are many discounts available but insurers prefer not to publicize them so you have to ask. Often you will find that if you take certain actions or meet certain criteria you will be able to get a hefty discount on your premiums. The same holds true for certain categories of people, from senior citizens to teachers.

You can also get substantial discounts on your auto insurance if you buy more than one type of coverage from the same insurer. Think of it as volume discount. So, if you buy homeowner’s insurance as well as car insurance from the same company you can get anywhere up to 15 percent discount on your rates.

Another way you can make sure to get the best auto insurance rates is by analyzing whether or not filing a small claim is worth it in the long run. The more claims you file the higher your premiums will go, so if the repairs you need are under $1,000 you should consider covering them yourself rather than filing for it with your insurer.