How to Save on GMC Sierra 2500HD Insurance in Sacramento

Unimaginable but true, a large majority of consumers have remained with the same insurance company for more than four years, and practically 40% of insurance customers have never compared rates to find lower-cost insurance. Many drivers in Sacramento could save $500 a year by just comparing rate quotes, but they underestimate the amount of money they would save if they just switched companies.

If you want to find the absolute lowest rates, then the best way to find cheaper quotes for GMC Sierra 2500HD insurance is to do an annual price comparison from insurance carriers in Sacramento.

• First, read about how insurance companies determine prices and the measures you can take to keep rates down. Many policy risk factors that are responsible for high rates such as getting speeding tickets and a lousy credit rating can be rectified by making minor driving habit or lifestyle changes. This article gives instructions to prevent high rates and find overlooked discounts.
• Second, compare price quotes from direct, independent, and exclusive agents. Direct and exclusive agents can provide rates from a single company like GEICO and State Farm, while independent agencies can provide rate quotes from multiple companies.
• Third, compare the new quotes to your current policy and determine if there is any savings. If you find a better price and buy the policy, verify that coverage does not lapse between policies.
• Fourth, tell your current company to cancel the current policy and submit the application along with any required down payment for your new policy. Make sure you put the certificate verifying proof of insurance along with your vehicle registration.

One key aspect of rate comparisons is to use identical coverages on each price quote and and to get price estimates from as many companies as possible. This guarantees a fair price comparison and a complete price analysis.

The providers in the list below are ready to provide price comparisons in California. If multiple companies are listed, we recommend you visit several of them in order to get a fair rate comparison.

Insurance rate breakdown

The premium information below outlines a range of coverage prices for GMC Sierra 2500HD models. Having a good grasp of how insurance quotes are calculated can benefit drivers when making smart choices when buying a car insurance policy.

Prices above based on single female driver age 30, no speeding tickets, no at-fault accidents, $500 deductibles, and California minimum liability limits. Discounts applied include homeowner, multi-vehicle, multi-policy, claim-free, and safe-driver. Rate information does not factor in your specific Sacramento location which can modify coverage prices substantially.

Choosing deductibles

One of the hardest decisions when shopping for auto insurance is what deductibles to buy. The comparison tables below may aid in understanding the rate differences between high and low physical damage deductibles. The first set of rates uses a $100 deductible for comp and collision and the second data table uses a $500 deductible.

Premium data assumes married male driver age 30, no speeding tickets, no at-fault accidents, and California minimum liability limits. Discounts applied include claim-free, multi-policy, safe-driver, multi-vehicle, and homeowner. Price information does not factor in specific zip code location which can lower or raise coverage rates considerably.

We can estimate from the data above that using a $100 deductible costs an average of $35 more each month or $420 for a full year than selecting the higher $500 deductible. Because you would be required to pay $400 more if you file a claim with a $500 deductible as compared to a $100 deductible, if you average at a minimum 11 months between claims, you would probably come out ahead if you elect the higher deductible.

One big caveat is that higher deductibles results in more money out-of-pocket if you have a claim. That will necessitate some extra funds in order to pay the deductible to have repairs made.

Impact of violations and accidents on rates

The example below highlights how traffic violations and accident claims can drive up GMC Sierra 2500HD car insurance rates for different categories of driver ages. The price estimates are based on a married female driver, comp and collision included, $1,000 deductibles, and no additional discounts are factored in.

Impact of age and gender on auto insurance rates

The example below compares GMC Sierra 2500HD auto insurance rates for male and female drivers. The price estimates are based on no driving violations, no at-fault accidents, full coverage, $500 deductibles, drivers are not married, and no discounts are applied to the premium.

Liability only or full coverage

The example below shows the comparison of GMC Sierra 2500HD auto insurance rates with full physical damage coverage compared to only buying liability only. The data assumes no violations or claims, $1,000 deductibles, marital status is single, and no discounts are factored in.

When to drop comprehensive and collision

There is no exact rule for dropping full coverage, but there is a guideline you can use. If the annual cost of comprehensive and collision coverage is more than around 10% of any settlement you would receive from your insurance company, the it may be a good time to stop paying for full coverage.

For example, let’s say your GMC Sierra 2500HD settlement value is $9,000 and you have $1,000 full coverage deductibles. If your vehicle is severely damaged, the most you would receive is $8,000 after paying the physical damage deductible. If you are currently paying more than $800 a year for full coverage, then it could be time to drop full coverage.

There are some conditions where dropping physical damage coverage is not financially feasible. If you still owe a portion of the original loan, you have to carry full coverage to protect the lienholder’s interest in the vehicle. Also, if your savings is not enough to buy a different vehicle if your current one is in an accident, you should not eliminate full coverage.

Insuring your GMC vehicle just makes sense

Despite the potentially high cost of GMC Sierra 2500HD insurance, paying for insurance serves a purpose in several ways.

• The majority of states have mandatory liability insurance requirements which means you are required to carry a specific minimum amount of liability protection in order to drive the car. In California these limits are 15/30/5 which means you must have $15,000 of bodily injury coverage per person, $30,000 of bodily injury coverage per accident, and $5,000 of property damage coverage.
• If you have a loan on your Sierra 2500HD, it’s most likely the lender will force you to buy full coverage to ensure the loan is repaid in case of a total loss. If you cancel or allow the policy to lapse, the lender will be forced to insure your GMC at a much higher rate and force you to pay the higher premium.
• Insurance protects not only your GMC Sierra 2500HD but also your assets. Insurance will pay for medical expenses for both you and anyone you injure as the result of an accident. Liability coverage, the one required by state law, also pays for attorney fees and expenses if you cause an accident and are sued. If you receive damage to your vehicle caused by a storm or accident, comprehensive (other-than-collision) and collision coverage will cover the damage repairs after a deductible is paid.

The benefits of buying enough insurance are without a doubt worth the cost, particularly when you have a large claim. Despite what companies tell you, the average driver overpays more than $865 each year so compare quotes from several companies every year to make sure the price is not too high.

Don’t neglect these six discounts on GMC Sierra 2500HD insurance in Sacramento

Car insurance companies don’t always publicize every available discount very clearly, so we researched some of the more common as well as some of the hidden credits available to bring down your rates.

• Low Mileage Discounts – Driving less can earn substantially lower car insurance rates.
• Renewal Discounts – Some companies provide a discount for switching to them before your current expiration date. Ten percent is about the average savings.
• Drivers Ed for Students – Cut your cost by having your teen driver enroll in driver’s education in school.
• Seat Belts Save – Drivers who require all vehicle occupants to buckle their seat belts can save up to 10 percent (depending on the company) on medical payment and PIP coverage.
• Data Collection Discounts – Sacramento drivers who agree to allow their insurance company to track their driving habits through the use of a telematics system such as Snapshot from Progressive or Drivewise from Allstate might get better premium rates if they have good driving habits.
• Student Discounts – This discount can get you a discount of up to 25%. You can use this discount normally until age 25.

While discounts sound great, it’s important to understand that some credits don’t apply to the overall cost of the policy. Most only apply to the price of certain insurance coverages like comprehensive or collision. Even though the math looks like you could get a free car insurance policy, car insurance companies aren’t that generous.

The illustration below shows the comparison of GMC Sierra 2500HD car insurance rates with and without discounts being applied to the rates. The rates are based on a female driver, no violations or claims, California state minimum liability limits, comprehensive and collision coverage, and $250 deductibles. The first bar for each age group shows premium with no discounts. The second shows the rates with safe-driver, marriage, homeowner, multi-car, claim-free, and multi-policy discounts applied.

Large car insurance companies and a partial list of their discounts are included below.

• Farm Bureau includes discounts for driver training, good student, 55 and retired, renewal discount, and multi-vehicle.
• MetLife may have discounts that include accident-free, defensive driver, good driver, good student, claim-free, multi-policy
• Progressive offers discounts including homeowner, multi-vehicle, online signing, online quote discount, good student, and multi-policy.
• AAA offers premium reductions for good student, education and occupation, good driver, AAA membership discount, and multi-policy.
• American Family discounts include multi-vehicle, good driver, mySafetyValet, air bags, bundled insurance, and good student.
• GEICO may offer discounts for driver training, daytime running lights, defensive driver, military active duty, and air bags.
• State Farm policyholders can earn discounts including defensive driving training, passive restraint, Drive Safe & Save, accident-free, and safe vehicle.

When getting a coverage quote, ask each company what discounts are available to you. A few discounts may not be available in your state. If you would like to see a list of insurance companies with the best discounts in Sacramento, follow this link.

Insurance agent or online?

A lot of people would rather talk to a local agent. Professional insurance agents can answer important questions and help file insurance claims. One of the best bonuses of getting online price quotes is that drivers can save money and get cheap car insurance rates but still work with a licensed agent. Putting coverage with neighborhood agents is still important in Sacramento.

For easy comparison, once you complete this form (opens in new window), the coverage information is emailed to local insurance agents who can give free rate quotes and help you find cheaper coverage. It makes it easy because there is no need to search for any insurance agencies since price quotes are sent to you directly. If you wish to get a price quote from one company in particular, you can always jump over to their website and fill out the quote form the provide.

Picking the best insurance company shouldn’t rely on just the price. These questions are important to ask:

• If you raise deductibles, how much can you save?
• Is auto insurance their primary focus in Sacramento?
• How much experience to they have in personal lines coverages?
• If they are an independent agency in Sacramento, which companies do they recommend?
• What discounts might you be missing?
• How often do they review policy coverages?
• Are they properly licensed to sell insurance in California?
• Do they have 24-hour customer assistance?

Best auto insurance company in California

Selecting the right insurance company can be a challenge considering how many choices there are in Sacramento. The rank data in the next section may help you pick which companies you want to consider comparing rates with.

Top 10 Sacramento Car Insurance Companies Ranked by Customer Satisfaction

1. Titan Insurance – 95%
2. USAA – 94%
3. AAA of Southern California – 92%
4. AAA Insurance – 91%
5. Nationwide – 90%
6. State Farm – 90%
7. The Hartford – 89%
8. GEICO – 89%
9. The General – 88%
10. 21st Century – 88%

Situations that may require an agent’s advice

Always remember that when buying the right insurance coverage, there really is no one size fits all plan. Your financial needs are unique.

For example, these questions might help in determining if your insurance needs would benefit from an agent’s advice.

• Is coverage enough to protect my assets?
• Am I covered when driving someone else’s vehicle?
• Can I still get insurance after a DUI?
• Is rental equipment covered for theft or damage?
• What is roadside assistance coverage?
• Do I need an umbrella policy?
• What policy terms are available?
• Am I covered if hit by an uninsured driver?
• How much liability insurance is required?

If you can’t answer these questions but you think they might apply to your situation then you might want to talk to a licensed insurance agent. If you want to speak to an agent in your area, fill out this quick form. It’s fast, doesn’t cost anything and can help protect your family.

Auto insurance coverages explained

Learning about specific coverages of your auto insurance policy can be of help when determining appropriate coverage at the best deductibles and correct limits. The terms used in a policy can be ambiguous and nobody wants to actually read their policy.

Medical expense insurance

Personal Injury Protection (PIP) and medical payments coverage kick in for short-term medical expenses for things like surgery, rehabilitation expenses and dental work. The coverages can be utilized in addition to your health insurance plan or if you are not covered by health insurance. Coverage applies to both the driver and occupants and will also cover any family member struck as a pedestrian. PIP coverage is not universally available and may carry a deductible

Protection from uninsured/underinsured drivers

Your UM/UIM coverage provides protection from other motorists when they are uninsured or don’t have enough coverage. Covered losses include injuries to you and your family and also any damage incurred to your GMC Sierra 2500HD.

Due to the fact that many California drivers only purchase the least amount of liability that is required (California limits are 15/30/5), it only takes a small accident to exceed their coverage. This is the reason having UM/UIM coverage should not be overlooked. Usually your uninsured/underinsured motorist coverages do not exceed the liability coverage limits.

Liability insurance

This will cover damage that occurs to other’s property or people in an accident. This insurance protects YOU from claims by other people, and doesn’t cover your injuries or vehicle damage.

Coverage consists of three different limits, bodily injury for each person injured, bodily injury for the entire accident and a property damage limit. Your policy might show limits of 15/30/5 which stand for a limit of $15,000 per injured person, a per accident bodily injury limit of $30,000, and property damage coverage for $5,000. Some companies may use a combined limit which provides one coverage limit and claims can be made without the split limit restrictions.

Liability insurance covers claims like court costs, emergency aid and medical expenses. How much liability should you purchase? That is your choice, but it’s cheap coverage so purchase higher limits if possible. California state law requires minimum liability limits of 15/30/5 but you should think about purchasing more coverage.

The chart below demonstrates why buying low liability limits may not be high enough to adequately cover claims.

Comprehensive (Other than Collision)

Comprehensive insurance pays to fix your vehicle from damage that is not covered by collision coverage. You need to pay your deductible first and the remainder of the damage will be paid by comprehensive coverage.

Comprehensive coverage protects against things such as a broken windshield, hitting a deer, damage from flooding, hitting a bird and fire damage. The maximum amount a auto insurance company will pay at claim time is the market value of your vehicle, so if your deductible is as high as the vehicle’s value consider dropping full coverage.

Collision insurance

This pays to fix your vehicle from damage resulting from colliding with another vehicle or an object, but not an animal. A deductible applies and the rest of the damage will be paid by collision coverage.

Collision coverage pays for claims such as sustaining damage from a pot hole, driving through your garage door, backing into a parked car and colliding with another moving vehicle. Paying for collision coverage can be pricey, so you might think about dropping it from vehicles that are 8 years or older. You can also bump up the deductible on your Sierra 2500HD in order to get cheaper collision rates.

Do the work, save more money

Drivers switch companies for a variety of reasons including poor customer service, policy non-renewal, policy cancellation and even high prices. No matter why you want to switch, finding a great new company is not as hard as you think.

Cost effective GMC Sierra 2500HD insurance is available online and with local Sacramento insurance agents, and you should compare price quotes from both to have the best rate selection. There are still a few companies who do not offer online quoting and usually these regional carriers only sell coverage through independent agents.

As you shop your coverage around, you should never buy lower coverage limits just to save a few bucks. There have been many cases where an insured cut comprehensive coverage or liability limits only to regret at claim time they didn’t have enough coverage. The goal is to get the best coverage possible at a price you can afford, but don’t skip important coverages to save money.

More tips and info about car insurance is available at these sites:

• Uninsured Motorists: Threats on the Road (Insurance Information Institute)
• Who Has Affordable Sacramento Auto Insurance for Seniors? (FAQ)
• Who Has Cheap Sacramento Auto Insurance Rates for a Learners Permit? (FAQ)
• Rental Reimbursement Coverage (Allstate)
• Eight Auto Insurance Myths (Insurance Information Institute)
• Anti-Lock Brake FAQ (iihs.org)
• Older Drivers FAQ (iihs.org)