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Best 7 Car Insurance Companies in Nebraska 2021
State Farm tops this list of recommendations, but it may not be the insurance company that is best for you. Insurance companies weigh a variety of factors when calculating your rate: your age, your driving history, your vehicle’s make and model, your ZIP code and more. Every company has its own formula that measures the data differently. The moral of the story is to find out which company has the best car insurance for you, you need to get at least five quotes and compare them.
So, you need to shop around, and it’s a far easier process than you might think. You should be able to get most quotes online in less than five minutes. If you do have to call for a quote, expect it to add 10 to 15 minutes to the process. You’ll know most of the information asked of you by heart, but it’s a good idea to look up the details of any recent accidents you’ve been in and have your vehicle identification number on hand before you start.
Our Top 7 Picks for the Best Cheap Car Insurance in Nebraska
These seven companies are top choices for anyone looking for auto insurance in Nebraska. Each one received high financial stability and customer satisfaction ratings from A.M. Best and J.D. Power, respectively. A.M. Best measures a company’s long-term financial stability, and a high grade is a good indication that your insurer can pay claims as needed. J.D. Power is a global leader in assessing customer satisfaction. Getting into an accident is stressful enough. The last thing you want is your insurer dragging its feet when it’s time to pay out. With these seven companies, that shouldn’t be a problem.
Nebraska’s Minimum Coverage Requirements for 2021
Nebraska law requires all drivers to have $25,000 of bodily injury coverage per person and $50,000 per accident, plus $25,000 of property damage liability coverage.
Even If You’re Happy, It’s Best to Shop for a New Policy on a Regular Basis
It’s a smart idea to shop around for auto insurance about two times a year. Even if you stay with your current insurance provider, your costs could be lowered by hundreds if you request a reassessment of your rate, especially if it’s been a while since you were last assessed. Your auto insurance is largely based on the value of your car, so when that value depreciates, your insurance premium should be adjusted down accordingly.
If it’s been more than three years since your last accident or ticket, you could be due for a premium reduction. In general, you can qualify for a reduced rate when it’s been three years since the filing of the traffic violation’s police report. Make sure that your carrier reassesses your policy with the awareness that the violation is out of date. Being categorized as a good driver can get you great deals on insurance.
If you were considered a young driver when you initially applied for insurance with your current carrier, ask for a rate reassessment. If you’re over the age of 25, your rate may improve if your insurer no longer categorizes you as a young or new driver. Each insurer defines “new driver” in slightly different ways, so make sure to ask the insurer to see where you stand. Some companies base their definition strictly on age, while others set a time period that must lapse after you first get your driver’s license.
A low credit score may also impact your auto insurance rate. The reason for that is because drivers with bad credit are more likely to file insurance claims. So, if your credit score has improved, you should certainly shop around and ask your insurer to re-evaluate how much you’re paying.
When calculating your rates, insurance companies look at more than your level of risk; they also look at how often you shop around. They analyze all kinds of personal data, like your credit score and online shopping habits, to figure out how likely you are to switch insurers. This is known as price optimization. Consumers who aren’t likely to shop for a better rate will be quoted a higher price at renewal time than someone who seems likely to leave.
That shows the insurers that you’ll go wherever you can to get the best deal. The insurance companies are out to make a profit, but they need to keep your business to do that. So if they think you’re a savvy shopper, they’ll offer you more competitive rates. It’s a sad reality, but it’s the truth.
In the past few years, more than 15 states have banned price optimization, claiming it violates state laws and unfairly discriminates against certain consumers. Nebraska has yet to do that, but fortunately, it has made an official effort. In January 2015, the Consumer Federation of America reached out to the insurance commissioner of Nebraska, urging the state to outlaw this practice. Over a year later (Feb. 16, 2016), a bill on the subject made its way to Washington. This is what Steve Schneider, the Midwest Regional Vice President of the American Insurance Association, had to say:
“We are concerned that the inclusion of the phrase ‘including, but not limited to’ is overly expansive, meaning that almost anything could be construed to be the practice of price optimization. Insurers already operate in a heavily regulated environment, so the uncertainty of this vague phrase is troublesome. If enacted, this language could perplex insurers and handcuff the authority of the state insurance department to effectively regulate insurer practices.”
So in the meantime, it’s up to you to avoid premium hikes due to price optimization.
To find cheap car insurance that actually protects you, you’re going to have to do the work. Take the time to get some quotes and compare them. Fortunately, that process doesn’t involve a lot of work, and a half-hour of research is all you need to score some pretty big savings. Remember: You can find over $900 in savings in less than 30 minutes.
It’s also super-important to invest in the coverage that gives you peace of mind. Most of us don’t have $100,000 lying around to pay an accident victim’s medical bills or car repair costs. Upgraded coverages may not cost as much as you think. And the peace of mind that comes with knowing you have sufficient coverage may be worth the extra cost. There’s no reason not to look into expanded coverage.