PLPD Insurance: Getting the Best PLPD Car Insurance Rates

June 19, 2013

Personal Liability and Property Damage insurance, also known as PLPD car insurance, is a basic type of coverage. Learn how to get the best PLPD rates.

Searching for the best PLPD car insurance rates is a matter of looking into all of the car insurance options available to you. Getting auto insurance is easy, even PLPD auto insurance. However, getting cheap PLPD insurance requires a little time and effort and some effective comparison shopping.

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Personal Liability and Property Damage insurance offers only the most basic type of coverage. Your insurer will pay for property damage and personal liability up to a point in case you are at fault in an accident, but only for the other party. It does not cover any of your medical needs or repair costs. For this reason, it is not an advisable option if you do a lot of driving or have a valuable vehicle. Additionally, you are only eligible to purchase PLPD if you hold the title to your automobile. If you meet this requirement, the process to purchase it is a simple one.

  1. Contact your insurer. If you want to downgrade your insurance coverage, first contact your current insurer and inquire about their PLPD car insurance rates. The reasons for this may vary, but perhaps you have lost a job and cannot afford your current policy, or you no longer drive your car very often.
  2. Contact several other companies. Comparison shopping only works when you contact the competitors of your current insurer and request a quote. This can be done easily online or over the phone. Find out what the policy terms are and the price for a six-month premium then compare your information.
  3. Stay put or make a switch.If your current insurer offers you the best rate, take them up on it and stay with the same company. If on the other hand, you find a better rate elsewhere, transfer insurers to take advantage of the savings. That's what competition is all about.

Why Should One Consider PLPD Car Insurance?

It is a good decision to purchase PLPD insurance if you do not use your vehicle frequently or on a regular basis. In that case, going for PLPD car insurance is cheaper than standard auto insurance offerings or full coverage. PLPD insurance is suitable for vehicles which are old and do not benefit from a full coverage auto insurance. PLPD auto insurance is also a good choice if you are driving a vehicle on temporary basis. It is recommended that you only choose PLPD insurance in circumstances that absolutely require minimal auto insurance coverage.

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Limitations of PLPD Auto Insurance

Even though PLPD covers damages to other people and their property, it offers no coverage to your vehicle's damages when you cause an accident. This could prove to be risky and expensive if your car is involved in even a minor accident. PLPD insurance is definitely not an alternative to standard auto insurance and should be issued only in circumstances where full coverage insurance is not necessary.

Is PLPD Car Insurance Right for You?

As PLPD insurance only focuses on liability coverage for vehicles and property of other people, it is considered cheap or low-cost insurance because it is less expensive than standard and full coverage auto insurance policies.

However, PLPD car insurance may be right for you in the following situations:

  • If you do not drive your vehicle on a regular basis.
  • If you own a vehicle which is very old or has a low value.
  • If you are driving a vehicle on temporary basis.
  • If you want to save money on auto insurance or cannot afford full coverage for your vehicle.

What Are The Benefits of PLPD Car Insurance?

The idea of having PLPD car insurance started a long time ago, when states started requiring specific auto insurance policies to make sure the drivers had the necessary financial instruments in place for covering the costs of an auto crash or other incident.

For most drivers, PLPD car insurance is not a great idea. This kind of insurance policy usually only covers damage to another driver's vehicle, and does not cover damage to the vehicle of the driver who takes out the policy. That means a driver with personal liability and property damage insurance can end up "paying double" on a vehicle. First, for purchase and then, having to repair it in the event of a crash or accident.

Although most drivers recoil from this kind of often insufficient policy, there are times when personal liability and property damage insurance may seem to make sense, and even to be beneficial for a driver. Here are some of the ways in which PLPD would make the most sense for drivers.

  • Short-term use. If you are only going to be using this insurance for a very short period of time, personal liability and property damage insurance can save dollars, as it is a lot cheaper than other kinds of insurance policies that provide full coverage.
  • For old cars. Some drivers are operating vehicles that seriously have a negligible value. These cars and trucks may be ancient models with high mileage, extensive cosmetic damage, missing features, and other value depleting properties that can make it unnecessary to have extensive comprehensive or collision insurance. Some drivers choose to ensure these with PLPD car insurance.
  • Bare bones policies. Some drivers are just not into insurance. They may be driving some of the old vehicles mentioned above. They may have inherited a vehicle. They may be in a cash crunch. Any combination of these situations may leave the driver to choose personal liability and property damage insurance for the price, just to get on the road, without worrying excessively about protecting the investment in the vehicle.
  • To meets requirement. A driver low on finances may just need a way to get to a job and back. They may only operate their vehicle a few hundred miles each month. In this case, personal liability and property damage insurance offers a way to get the vehicle legal without paying an arm and a leg for insurance.
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Consider these situations where PLPD car insurance might just be what a driver needs for getting on the road and staying there.

What Are The Drawbacks of PLPD Car Insurance?

  • No coverage for your car. Under PLPD policies, there is no coverage for the driver's own vehicle. The insurer will pay for damage to the other driver's vehicle, but not yours. Your vehicle is an investment, and if you have put significant money into buying and maintaining it, you don't want to have to pay for extensive bodywork or other costly repairs.
  • Not good for financing. If your auto financing deal includes a lien on the vehicle or other similar situations, the dealer or other financing lender will insist that you take out more article insurance then just simply the PLPD policy. That's because they have also invested in your debt on the vehicle, and they won't settle for insufficient insurance that would leave a lot of liability in the case of a crash. Rising liability costs - With things going the way they are in auto insurance, your PLPD policy probably does not cover the cost of basic liability. Lots of drivers are purchasing even more additional insurance in the form of uninsured motorist coverage because so many individual's policies max out before covering the entire cost of a claim.
  • Lack of medical and lost wage compensation. If you look closely at a PLPD policy, you'll probably see that its provisions do not cover a range of other costs from a crash, such as compensation for lost wages as well as medical bills. All of these things will require additional auto insurance over and above a PLPD policy. Consider all of these liabilities before buying your PLPD car insurance to make certain that you will not regret being inadequately covered.

PLPD Car Insurance: How Do I Qualify?

To qualify for PLPD car insurance, you must own your car outright. Should another party such as a bank hold the title to your vehicle, you are barred from holding only PLPD insurance. This is because a lien holder wants to be reimbursed the entire value of a car should it be totaled. Aside from slight variations in policy terms from state to state, this is basically the only qualification requirement.

It is advisable, however, that if you are in the market for cheap PLPD insurance, you compare prices online for policies with more coverage in addition to inquiring about the most basic policy. Even if you hold the title to your vehicle, you should fully understand the implications of purchasing PLPD insurance, knowing exactly what it covers and what it does not.

How To Apply For PLPD Car Insurance Online

  1. Search for "PLPD insurance rates". This search will offer numerous sites dedicated to explaining this type of insurance to you, its benefits and costs. You will also be met with several insurance company sites, all of which likely offer this type of insurance.
  2. Obtain and compare rates. By entering in your vehicle information-year, make, model and mileage-and the type of insurance you're looking for, you should be able to get an online rate quote and brief explanation of coverage. You should do this through several different companies to find the best rate possible. If your car is too old to be listed, you'll have to call.
  3. Make your choice. Based on the quotes you received you will be able to make an informed decision about which company to go with. PLPD insurance offers only the most basic coverage with no provisions for you or your vehicle, but if that is the right type of insurance for you, it's up to you to find the lowest priced policy.
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