GM Offers Free Car Insurance In Oregon and Washington State
Looking to really save money on car insurance? If you are a resident of Oregon or Washington State and are looking to a buy a new car, you are in luck. GM is offering buyers of a new Chevy, Cadillac, GMC, or Buick in these states a free one–year auto insurance policy if the new vehicle is purchased by September 6, 2011.
GM has partnered with MetLife Auto and Home for this promotion to provide the one–year of insurance with no cost to buyers. GM has not specifically stated the amount of coverage that will be offered but has said that the auto insurance includes both liability and property damage coverage that exceeds the minimum requirements in each state.
Oregon and Washington Auto Insurance Requirements
In terms of total protection needed, Oregon has some of the most stringent auto insurance requirements in the nation. The state requires minimum coverage of $25,000 per person/$50,000 per accident for liability, $20,000 per accident for property damage, $15,000 for Personal Injury Protection and $25,000 for Uninsured Motorist Coverage.
Washington State requires minimum car insurance limits of $25,000 of liability coverage for one person, $50,00 per accident, and $10,000 for property damage.
Under the MetLife Auto policy, drivers are covered for up to one–year or the first 15,000 miles, whichever comes first. Further, the company will repair or replace a vehicle involved in a collision without deducting for depreciation. This can be a problematic issue if a new car owner is in a collision that causes significant damage and can result in thousands of dollars in out–of–pocket costs.
How Much Buyers Can Save
GM's free insurance promotion is a pilot program that may expand to other states if successful. With this deal, buyers of new GM models can expect to save between $800 and $2,000 for the one year of coverage, depending on their vehicle model. While this amount of money may not seem like much compared to the typical cash back offers GM provides, it would be pretty nice to not have to pay for car insurance for one year.
GM is hoping the move increases sales. They had a strong Spring as in light of production delays caused by the March 11, 2011 Japan earthquake and tsunami, the Chevy Cruze compact model was the top selling vehicle in its class in May and June besting the Toyota Corolla, Honda Civic, and even the Toyota Camry.
Why This Promotion
The offer is also designed to help streamline the car–buying experience. One issue new buyers face is the need to promptly set up insurance on the vehicle. Having this task already done and be free for one year is a great benefit. The promotion should also benefit MetLife Home and Auto as they get the publicity from the offer and the chance to retain all the customers that get the one–year of no cost insurance. Buyers are able to shop for the insurance of their choice after the period of "free" coverage is over.
GM's offer also includes coverage for any driver with permission to drive the new vehicle. However, it does not apply to new leased vehicles or vehicles purchased for certain commercial or fleet purposes. Prospective buyers can learn more about the program details and limitations at the respective sites for these brands. For those not participating in this GM promotion, use our free, no obligation quote system to compare car insurance rates from leading insurers and see how much you can save.
