Feel like you’re a prisoner to high-priced auto insurance? Believe me when I say there are many Cary consumers feeling the pinch from expensive auto insurance. Lots of car insurance companies contend for your hard-earned dollar, so it’s not easy to compare every provider and get the definite best rates possible.
You should make it a habit to compare prices before your policy renews since insurance rates are usually higher with each renewal. If you had the best price six months ago you will most likely find a better rate today. There is a lot of bad advice regarding auto insurance online, so with this article, you’re going to get a bunch of ideas how to find cheap auto insurance.
Cary Rates are Influenced by These Factors
An important part of buying insurance is that you know the rating factors that help determine your auto insurance rates. When you know what positively or negatively impacts premium levels empowers consumers to make smart changes that could result in better auto insurance rates.
The following are a few of the “ingredients” used by your company to calculate premiums.
- Where you reside plays a part – Residing in small towns and rural areas can be a good thing when buying auto insurance. Fewer people means a lower chance of having an accident and a lower car theft rate. City drivers tend to have much more traffic to deal with and a longer drive to work. Longer commute distances means higher likelihood of an accident.
- Poor credit can mean higher rates – Having a bad credit rating is a large factor in determining what you pay for auto insurance. Drivers who have good credit tend to be better drivers and file fewer claims than drivers who have lower ratings. Therefore, if your credit score can use some improvement, you could potentially save money when insuring your by repairing your credit.
- More claims means more premium – Car insurance companies in North Carolina award discounts to people who are claim-free. If you frequently file small claims, you can look forward to higher rates. Car insurance is designed for larger claims.
- Safer occupants lowers premiums – Vehicles with high crash test scores tend to have better insurance rates. These vehicles have better occupant injury protection and fewer injuries translates into savings for insurance companies and lower rates for you.
Verify you’re getting all your discounts
Companies that sell car insurance don’t necessarily list all their discounts very well, so we took the time to find some of the more common and the harder-to-find savings tricks you should be using. If you don’t get every credit possible, you’re paying more than you need to.
- 55 and Retired – If you’re over the age of 55, you can possibly qualify for a discount up to 10%.
- Good Student Discount – Performing well in school can get you a discount of up to 25%. Earning this discount can benefit you up until you turn 25.
- Save with a New Car – Buying coverage on a new vehicle can be considerably cheaper due to better safety requirements for new cars.
- Seat Belts Save more than Lives – Buckling up and requiring all passengers to buckle their seat belts can save up to 15% off your medical payments premium.
- No Accidents – Good drivers with no accidents can earn big discounts as compared to drivers who are more careless.
- Anti-lock Brakes – Cars that have steering control and anti-lock brakes can reduce accidents and will save you 10% or more.
- Paperwork-free – Certain companies give back up to $50 for buying your policy digitally online.
It’s important to note that most of the big mark downs will not be given to the entire cost. Some only reduce the cost of specific coverages such as comp or med pay. Just because it seems like having all the discounts means you get insurance for free, it doesn’t quite work that way.
Drivers who switch save $460 a year? Really?
Consumers in North Carolina can’t get away from ads for cheaper car insurance from the likes of Progressive, GEICO, Allstate and State Farm. All the ads have a common claim that you’ll save big if you change your coverage to them.
How can each company claim to save you money?
Insurance companies are able to cherry pick for the type of customer that earns them a profit. A good example of a preferred risk could possibly be a mature driver, insures multiple vehicles, and has a high credit rating. A driver who meets those qualifications receives the best rates and therefore will save a lot of money.
Consumers who don’t qualify for this ideal profile must pay higher prices which leads to business going elsewhere. Company advertisements say “customers who switch” not “everyone that quotes” save that much money. That is how companies can truthfully advertise the savings. This illustrates why drivers should get as many quotes as possible. It is impossible to predict which auto insurance company will have the lowest rates.
When should I talk to an agent?
When choosing adequate coverage, there really is not a best way to insure your cars. Everyone’s situation is unique so your insurance needs to address that. For instance, these questions may help highlight if your situation would benefit from professional advice.
- What happens if I owe more than my vehicle is worth?
- Do all my vehicles need collision coverage?
- Is business property covered if stolen from my car?
- Do I need medical payments coverage since I have good health insurance?
- What can I do if my company won’t pay a claim?
- Does my liability insurance cover pulling a trailer or camper?
- What should my uninsured motorist coverage limits be in North Carolina?
- Should I rate my vehicle as pleasure use or commute?
- Does coverage extend to a rental car in a foreign country?
If you’re not sure about those questions but you think they might apply to your situation, you might consider talking to a licensed insurance agent. If you want to speak to an agent in your area, fill out this quick form or you can go here for a list of companies in your area. It is quick, free and may give you better protection.
Additional resources for North Carolina consumers
Additional detailed information is located at the North Carolina Department of Insurance website. North Carolina drivers can view a list of available companies, learn about specific coverages, and discover disciplinary actions.
More quotes mean more savings
When shopping online for auto insurance, it’s not a good idea to buy poor coverage just to save money. Too many times, someone sacrificed liability coverage limits only to regret that a couple dollars of savings turned into a financial nightmare. The ultimate goal is to buy the best coverage you can find at a price you can afford, not the least amount of coverage.
We just presented many tips how you can reduce auto insurance prices online. It’s most important to understand that the more you quote, the better your comparison will be. You may be surprised to find that the lowest premiums are with the least-expected company. These smaller insurers may only write in your state and offer lower rates than their larger competitors like State Farm, GEICO and Nationwide.