Do you have bad credit but need to find affordable auto insurance in Florida?
Are you unsure if auto insurance with bad credit is even an option for you?
Have you been trying to figure out where to start finding affordable bad credit auto insurance?
Having bad credit is challenging – it can lead to higher interest rates and insurance premiums, among other things, like having access to loans and credit products.
But having bad credit doesn’t mean you can’t qualify for the affordable auto insurance you need.
A Fiorella Insurance Agent can help you choose insurance that’s right for you.
Keep reading for more information on buying cheap auto insurance with bad credit, plus tips for how to avoid bad credit auto insurance scams. Learn how to Buy Florida Auto Insurance with No Down Payment While finding auto insurance with no down payment.
Can You Buy Auto Insurance with Bad Credit?
The good news is that, yes, you can buy auto insurance with bad credit. It just takes a little bit of diligence and research (and maybe a little bit of time.)
The first thing you need to know is the minimum insurance requirements in Florida. These minimums apply regardless of your credit situation:
- Personal injury protection (PIP): You must have a minimum of $10,000 in PIP coverage – this will pay for 80% of “all necessary and reasonable medical expenses” up to your coverage limit.
- Property damage liability (PDL): You must have a minimum of $10,000 in PDL coverage – this will cover damages you or someone driving your vehicle cause to someone else’s property.
These are just the minimums required by the state of Florida. If your vehicle is financed, you may have higher insurance coverage requirements, like carrying comprehensive and collision coverage. Check with them before you start researching policies.
You’ll also want to consider higher coverage limits if you want coverage for damage to your vehicle or additional options like towing and roadside assistance.
Tips to Avoid Auto Insurance with Bad Credit Scams
The harsh reality is that unscrupulous companies will try to take advantage of people looking for auto insurance with bad credit. These companies offer “proof of insurance” but may not provide adequate coverage.
Fortunately, there are ways you can avoid scams from these auto insurance companies. Use these tips to avoid bad credit auto insurance scams:
- Start with national insurance companies: Some national auto insurance companies have tools that allow you to get multiple quotes from other established insurance providers. That’s a great place to start looking as they will send you to reputable insurance providers.
- Read all policy documents carefully: A lot of insurance scams can be tied back to not carefully reading your policy documents. Make sure you check everything – coverage dates, limits, all of your details, and any exclusions.
- Use an insurance agent or broker to find coverage: A reputable insurance agent or broker can connect you with quotes from multiple auto insurance companies. This can help you avoid internet scams from shady insurance providers.
It’s also a good idea to read through reviews of any insurance provider you want to work with, especially if you’ve never heard of them before, or they offer a price that seems too good to be true.
How to Find Affordable Auto Insurance with Bad Credit
The good news is that, even though there are some things to watch out for, you can still find auto insurance with bad credit at an affordable price. Here’s what you need to do:
1. Choose Coverage Limits That Make Sense
While being underinsured can end up costing you a lot of money out of pocket, being over-insured can cost you money in the long run, as well. Choose coverage limits that make sense based on how much your vehicle costs, how much typical damages cost, and how much medical care costs in your area.
Having the right coverage limit will ensure that you’re not paying more for auto insurance than you should be, while also ensuring you’re fully covered if you’re in an accident.
2. Adjust Your Deductible Where You Can
Typically, the higher your deductible, the lower your premium. Your deductible plays a big part in how much your monthly premiums will cost, so think about how much you can comfortably afford to pay out of pocket if you need to cover damages to your vehicle.
If your vehicle is financed, you may not have a lot of flexibility here. Some financing companies have maximum deductibles, so check with yours to make sure.
3. Take Advantage of Auto Insurance Discounts
Nearly every auto insurance provider offers discounts to its customers. These discounts range from maintaining an excellent driving record to having students with good grades in college. There are even discounts for autopay and paperless billing statements.
Multipolicy discounts are some of the most lucrative – see if you might benefit from adding a homeowner’s or renter’s insurance policy to your auto insurance policy.
How an Agent Can Help You Find Auto Insurance with Bad Credit
Sometimes it can be too overwhelming to figure out the right auto insurance policy for you. That’s where working with an insurance agent or broker comes in – they take on the overwhelming part and you just make the final decision.
There are three areas that an agent or broker can help you in:
- Finding the right coverage limits – an insurance agent or broker will help you figure out which limits are most appropriate for your financial situation.
- Finding the right deductibles and premiums – most insurance agents know how to adjust deductibles, so you get the most affordable premium for your budget.
- Finding the right insurance company – the right insurance company is a combination of coverage limits, benefits, discounts, and premiums.
A Fiorella Insurance agent or broker is motivated to help you find the auto insurance coverage that makes you happy. That means they will spend time talking to you about your financial situation.
Need help finding affordable auto insurance with bad credit? Talk to the team at Fiorella Insurance Agency today to find out how we can help you find the right auto insurance policy for your budget.