When it comes to car insurance for your BMW, choosing a reputable and credible insurance plan that offers adequate coverage for your needs is one of the best things you can do to protect your car investment.
Most states in the US require drivers to own some type of auto insurance with different levels of coverage required depending on the state law. Even the states that do not officially require auto insurance still holds the driver financially responsible if he/she causes an accident, so being adequately insured is important. What is equally important is choosing an insurance plan that provides adequate coverage while being affordable, because insurance cost is a large part of car ownership expense.
How Much Is Insurance For A BMW?
BMW Insurance cost depends on the amount and type of coverage you are purchasing. While there is no one-size-fits-all answer, we do a few tips to help you save some money on your BMW insurance.
10 Ways to Save Money on BMW Insurance Cost
- Get Bundled Insurance Policy Discount
- Get Multi-Car Discount
- Qualify for Good Driver Discount
- Good Student Discount for Young Drivers
- “Experienced Driver” Savings on Car Insurance Cost
- Savings on Economic Cars and Older Cars
- Get Mileage Discount
- Savings on Good Driving Behaviors
- Pay Attention to Car Insurance Deductible
- Keep an Eye on Your Credit Score
What Does Car Insurance Cover?
First, let’s talk about what is typically covered under a car insurance plan. Auto insurance comes in different categories and offers different levels of coverage. For informational purposes only, below is a high-level overview of some of the most common coverage you will find within an auto insurance. Some provision below requires drivers to pay a higher premium, so it’s important to speak to a licensed agent with a reputable company to understand the insurance policy before making a purchase.
The liability coverage under auto insurance covers the cost of repairs, medical bills, and any expenses incurred by the other party as a result of the accident caused by the insurer at fault.
Liability coverage consists of the following two parts:
- Property Damage Liability
- Bodily Injury Liability
The maximum limit defined in the liability insurance means the max threshold of the insurance payout. Any amount over the maximum limit is the insurer’s responsibility.
The comprehensive coverage under auto insurance covers damages caused by incidents other than collision. For example, if a pole fell on your car, comprehensive coverage can cover parts of the accident depending on the insurance policy.
The uninsured or underinsured motorist coverage can pay for the loss you suffer in an accident – regardless of who caused the accident (you or the other party). The uninsured motorist provision includes coverage for both bodily injury and property damage.
The medical expense provision provides coverage for expenses related to bodily injuries resulting from an accident, whether it’s in your own car or someone else’s car. The provision covers medical costs incurred from an accident caused by you and by the other party.
The rental reimbursement provision provides you with a rental car while your own vehicle is being repaired in the shop as a result of an accident.
The roadside assistance provision ensures you are receiving help while on the road. For example, when you are stuck in a situation such as getting a flat tire or running out of gas.
How to Save Money on BMW Insurance Cost
Making sure that your BMW is properly insured is important. While the cost of insurance varies by factors such as the overall condition of your car, its safety rating, your age, location and your driving record, there are a few tips to help you save money on your BMW insurance.
10 Ways to Save Money on BMW Insurance Cost
1. Get Bundled Insurance Policy Discount
When you put your home insurance and auto insurance in a bundled policy, you can save money. According to the Senior Marketing Analyst of Kelly Bluebook, a multi-policy plan that insures the home and auto together saves on average 10% on insurance cost.
2. Get Multi-Car Discount
Usually, when you are insuring two or more cars, you can save some money with the multi-car discount on an auto insurance policy.
3. Qualify for Good Driver Discount
Being a good and safe driver pays off, because you may qualify for the good driver discount. When you have a good driving record and are accident-free for a certain amount of time, you can qualify for the good driver discount.
4. Good Student Discount for Young Drivers
When you are a young driver or a new driver, your insurance cost can be steeper. However, if you are still in school and get good grades, you may qualify for the good student discount and save some money on insurance premiums.
5. “Experienced Driver” Savings on Car Insurance Cost
Your driving record and years of driving experience impact the insurance rate. The more years of driving experience you have without accident, the more likely you will get lower rates. However, some insurance plans may increase the cost of insurance for older drivers over a certain age (in most cases, over 70 years of age.)
6. Savings on Economic Cars and Older Cars
The cost and age of your car may affect the auto insurance cost. Generally, the most expensive your car is and the newer it is, the higher the premium. Less expensive cars and older cars usually incur less premium due to the car’s value and depreciation.
7. Get Mileage Discount
Always check with your insurer to see if you qualify for mileage discount. If you do not drive the car often or drive only a short distance as a daily route, you may save some money from driving less and incurring less mileage on your car.
8. Savings on Good Driving Behaviors
Some insurance companies offer drivers a discount for having a device which monitors the driver’s driving behavior. When you are determined as a safe driver, you may receive a discount for always practicing safe driving habits on the road.
9. Pay Attention to Car Insurance Deductible
Generally speaking, low car insurance premium does not always equal to low overall out of pocket cost for you when involved in a car accident. You are still responsible for paying for additional cost such as the insurance deductible. The higher the amount of the car insurance deductible, the more you will need to pay as out of pocket expense when an accident happens. So, it’s a good idea to shop around, explore more options, and think about what you need in terms of insurance coverage before you decided to go with an insurance plan.
10. Keep an Eye on Your Credit Score
Your credit score can potentially affect your car insurance cost. Drivers with excellent credit scores may save more money on car insurance premium than drivers with low or no credit scores. Check with your insurer to see if you can benefit from having a good credit history.
Shop Around for the Best Car Insurance
Explore different options and shop around for the best car insurance for your needs. Always choose a reputable car insurance company for your BMW.
Disclaimer: The information on this page is provided for reference and informational purposes only. The information on this page is not an insurance policy, not a quote on an insurance policy, nor does it refer to any specific insurance policy. BMWUX is not an insurance provider and does not quote or sell insurance products. We are not responsible for, and we do not endorse or approve of the content on any third-party websites linked from this page. Access and links to any third-party website are for informational purposes only.