If you feel like you have been paying way too much money for the best car coverage in NJ you are nowhere near alone.
Most people have loans on their vehicles, and those loans require them to carry complete and comprehensive coverage that includes collision protection and so much more – in these policies are anything but inexpensive.
At the same time, all kinds of companies in New Jersey are going to promise the moon and the stars when it comes to the services they provide – but many of them just don’t live up to expectations or “deliver the goods”, so to speak.
It’s a major problem that drivers all over America have to face, but it’s one of the biggest challenges around for those that want to save money without having to sacrifice protection or security. Thankfully though, it is possible to save quite a bit of money on the best car insurance in NJ – and all you have to do is bump up your deductible going forward.
We are going to break down exactly how to approach raising your deductible so that you don’t compromise your coverage, your protection, or your financial future while still having the opportunity to enjoy the kind of legitimate and top-flight coverage you deserve.
Shall we dive right in?
What is an auto insurance deductible?
Before we are able to show you exactly how to save quite a bit of money on the best car insurance in NJ by raising your deductible it’s important to we come exactly what your auto policy deductible is in the first place.
Think of this as the amount of money that you are going to have to pay – upfront – before your coverage kicks in.
So if you find yourself in an accident but have a car policy that protects you, you might have to pay anywhere between $500 and $2000 upfront before the coverage covers everything else.
This is your deductible – the amount “deducted” from the total figure that gets your car back on the road or buys you a brand-new one – that you will be responsible for paying the for your car coverage actually comes into play.
Understandably, the overwhelming majority of people start off with policies that have the lowest deductibles possible. These lower deductibles make sure that you aren’t responsible for outsized out-of-pocket charges when you need to take advantage of coverage, but at the same time they mean that your premiums on a month-to-month basis are sky high.
Why do I want to increase my out-of-pocket expenses?
By choosing to increase your deductible, you aren’t necessarily increasing the amount of money that you have to spend out-of-pocket because the overwhelming majority of folks simply aren’t going to have to take advantage of their protection in the first place.
Yes, you need to be sure that you have the best possible protection available in the event of an accident or an emergency, but at the same time most people simply aren’t going to have to use this coverage all that often – and most people may not have to use it at all.
So if you raise your deductible from $500 to say $1500 (or even more) you may be able to dramatically reduce the amount of money that you are spending on monthly premiums without having to worry about taking care of a giant sized deductible later down the line.
At the same time, by increasing your deductible but keeping it at a manageable amount (a $1500 deductible, for example) you get the best of both worlds. You get to save quite a bit of money on your monthly premiums but you also get to enjoy fantastic coverage while only having to spend $1500 before it kicks in.
Talk about a win-win situation!
How much can I save by raising my deductible?
According to information published by the industry in 2015, New Jersey drivers that are taking advantage of the best car insurance in NJ while increasing their deductible from $500 up to $1000 are able to save about 7% on their annual bills.
That isn’t a significant amount by any stretch of the imagination!
This is always something well worth investigating, something that you are going to want to seriously consider calmly and something that you are going to want to be sure that you inquire about before you take the plunge.
Speak to your agent and representative to better understand exactly what you’re getting into come exactly how much you are going to be able to save in specific command then think the decision to dive right in stay away.
That’s how you get the cheapest best car insurance in NJ!