Overpriced auto insurance can empty your checking account, especially in this economy. Comparing price quotes is a great way to cut your insurance bill. Many auto insurance companies vie to insure your vehicles, so it can be very hard to choose a insurance company and uncover the absolute lowest cost out there.
If you have insurance now or are looking for a new policy, you can use these techniques to reduce the price you pay while maximizing coverage. Finding affordable coverage in South Kingstown is quite easy. Rhode Island drivers just need to learn the most effective way to shop online.
These discounts can slash auto insurance rates
Insuring your vehicles can cost a lot, but discounts can save money and there are some available to help offset the cost. Most are applied at the time of purchase, but less common discounts must be specifically requested prior to getting the savings. If you aren’t receiving every discount possible, you are paying more than you should be.
- Anti-theft Discount – Vehicles equipped with anti-theft or alarm systems help deter theft and earn discounts up to 10%.
- Student in College – Kids in college who attend school more than 100 miles from home and do not have a car can receive lower rates.
- Paperwork-free – A handful of insurance companies may give you up to $50 simply for signing over the internet.
- New Vehicle Savings – Buying coverage on a new vehicle can be considerably cheaper since new cars are generally safer.
- Pay Now and Pay Less – If you pay your bill all at once instead of monthly or quarterly installments you can actually save on your bill.
- Air Bag Discount – Vehicles equipped with air bags can get savings of up to 25% or more.
- Multiple Vehicles – Buying coverage for multiple vehicles on one policy can get a discount on all vehicles.
- Safety Course Discount – Successfully completing a defensive driving course could possibly earn you a 5% discount if you qualify.
Consumers should know that some credits don’t apply to the overall cost of the policy. Most cut individual premiums such as liability and collision coverage. So even though they make it sound like all the discounts add up to a free policy, you’re out of luck. But all discounts will help reduce your overall premium however.
For a list of insurers who offer auto insurance discounts in Rhode Island, follow this link.
Learn How to Lower your Rates
Smart consumers have a good feel for the factors that come into play when calculating the rates you pay for auto insurance. Having a good understanding of what influences your rates empowers consumers to make smart changes that may reward you with better auto insurance rates.
- Do you need the policy add-ons? – There are a ton of add-on coverages that can waste your money when buying auto insurance. Insurance for vanishing deductibles, accident forgiveness and membership fees may be wasting your money. They may seem like a good idea initially, but your needs may have changed so eliminate the coverages to reduce your premium.
- Don’t sacrifice liability coverage – The liability section of your policy is the protection if a jury decides you are liable for damages caused by your negligence. It provides legal defense coverage up to the limits shown on your policy. Carrying liability coverage is mandatory and cheap compared to insuring for physical damage coverage, so buy as much as you can afford.
- Drive less and save money – The higher the mileage driven each year the more you will pay for auto insurance. Almost all companies apply a rate based on how the vehicle is used. Cars that are left in the garage can get a lower rate than vehicles that are driven to work every day. Verify your auto insurance declarations sheet is rated on the correct usage for each vehicle, because it can save money.
- Do men or women drive better? – Statistics show women tend to be less risk to insure than men. Now that doesn’t mean men are worse drivers. They both have accidents at about the same rate, but the men tend to have more serious accidents. Men also statistically get more serious tickets like reckless driving and DUI.
- High credit ratings translate to low rates – Having a bad credit rating is a big factor in determining what you pay for auto insurance. People with good credit tend to be more responsible than those with lower credit ratings. If your credit can use some improvement, you could potentially save money when insuring your by spending a little time repairing your credit.
When might I need the advice of an agent?
When it comes to buying coverage for your personal vehicles, there isn’t really a “best” method to buy coverage. Everyone’s situation is unique so this has to be addressed. For example, these questions may help highlight whether or not you will benefit from professional help.
- Is borrowed equipment or tools covered if stolen or damaged?
- Am I covered when pulling a rental trailer?
- Does having multiple vehicles earn me a discount?
- What are the financial responsibility laws in Rhode Island?
- Am I covered when renting a car or should I buy coverage from the car rental agency?
- Do I get a pro-rated refund if I cancel my policy early?
- Do I benefit by insuring my home with the same company?
- Can my teen driver be rated on a liability-only vehicle?
- What discounts do I qualify for?
- Is a new car covered when I drive it off the dealer lot?
If it’s difficult to answer those questions but you think they might apply to your situation, you may need to chat with an agent. To find lower rates from a local agent, take a second and complete this form or click here for a list of auto insurance companies in your area. It is quick, free and can help protect your family.
Can you really save that much by switching?
Rhode Island drivers constantly see and hear ads for the lowest price auto insurance from the likes of Progressive, Geico, Allstate and State Farm. They all seem to make an identical promise about savings if you switch your coverage to them.
But how can every company say the same thing?
All the different companies can use profiling for the right customer that earns them a profit. For example, a preferred risk could be over the age of 50, has no driving citations, and has great credit. Any driver who meets those qualifications receives the best rates and as a result will probably pay quite a bit less when switching companies.
Consumers who don’t qualify for the requirements will have to pay higher premiums and this can result in the customer not buying. The ad wording is “people who switch” not “people who quote” save that much money. That is how insurance companies can advertise the way they do.
Because of the profiling, it is so important to compare as many rates as you can. It’s impossible to know which auto insurance company will fit your personal profile best.
Additional consumer information websites
Much more information about auto insurance in Rhode Island is available on the website for the Rhode Island Division of Insurance Regulation located here. Rhode Island consumers can learn about specific coverages, find out which companies have the most complaints, and view agent and company licensing information.
One last thing about your coverage
Discount auto insurance can be found on the web and also from your neighborhood South Kingstown agents, and you should compare price quotes from both to have the best chance of lowering rates. Some auto insurance companies may not provide online price quotes and these regional insurance providers work with independent agents.
We just showed you a lot of ways to save on auto insurance. The key thing to remember is the more quotes you get, the more likely it is that you will get a better rate. You may even find the lowest rates come from some of the lesser-known companies. They may often insure only within specific states and give getter rates than their larger competitors like State Farm, Geico and Nationwide.