When purchasing auto insurance these days, it is easy to feel overwhelmed, as there are more than a few auto insurance companies offering cheap insurance at bargain rates. One of the most common mistakes seen for those residing in Orange County, California is to go for the cheapest policy they can find.

Since Orange County, California tends to have a higher overall cost of living, opting to save money on auto insurance seems to be an ongoing trend. However, when shopping around for auto insurance, you want to make certain that while the rate is a concern, it should not be the one and only deciding factor in purchasing auto insurance.

The old adage that you get what you pay for certainly does apply when it comes to cheap auto insurance. If you are seeking only cheap auto insurance, you may be stuck with a lousy policy. You want to be sure that you are well protected.

When shopping for auto insurance, there are many choices to consider that will all affect the final cost of your policy. The coverage limits or amounts you chose, the deductibles or amounts that you must pay, and the specific coverage’s you choose. Here is list of common coverage’s briefly explained.

Common Automotive Insurance Coverages

• Collision Insurance – Covers damage to your vehicle caused by a collision with another vehicle or with any other object, regardless of fault. Collision insurance does not cover bodily injury (BI) or property damage (PD) liability.
• Property Damage (PD) Insurance – When you are at fault. Covers damage to another’s property (vehicle or other object) caused by a collision with your vehicle.
• Bodily Injury (BI) Insurance – Pays for the injuries of others when you are at fault.
• Medical Payments Insurance – Provides for the payment of medical and similar expenses without regard for legal liability.
• Comprehensive Insurance – Covers damage or cost of repairs to your car caused by reason other than collision, such as fire, theft, windstorm, flood, or vandalism.
• Uninsured and Underinsured – Provides coverage for a policyholder involved in a collision with a driver who does not have liability insurance or who does not have sufficient liability limits to pay for damages.
• Endorsements/Riders – Covers special equipment such as wheels, tires, premium electronic not installed at the factory and reimbursement for towing and rental.

These are just a few of the decisions that you’ll have to make when purchasing auto insurance.

Ask family and friends for recommendations as to what coverage and limits they choose, and what carriers they have used in the past. Find a broker who is an independent, a small business owner, who can assist in speaking with the insurance company should a claim arise. Most independent brokers want your business for the long haul and will work to place you with a quality carrier and find the most value for your dollars.

If you are seeking a cheap rate on auto insurance in Orange County, California and that is the sole criteria, then you will most likely find yourself with inadequate coverage and carrier who will find difficulty servicing you should an incident arise.

The rates you will be charged are determined by many other variables such as your car’s value, the zip code where the car is kept, driving history, age, education and more. So in the final analysis the cost of purchasing auto insurance depends on a combination of choice’s that you must make based on your individual needs and circumstance and basic facts about the vehicle and policy holder.