When trying to find lower-priced insurance, are you confused by the number of car insurance sources in your area? You’re not alone. Vehicle owners have so many options that it can really be a difficult situation to find the best car insurance rates. Elkton has many things to offer, but high car insurance premiums can make it impossible to pay other bills every month.
It’s a great practice to get comparison quotes before your policy renews because prices go up and down regularly. Just because you had the best rates last year other companies may now be cheaper. Forget anything you know (or think you know) about car insurance because you’re about to learn the tricks you need to know to save money, get proper coverage and the best rates.
Components of your auto insurance costs
One of the most helpful ways to save on car insurance is to to have a grasp of the rating factors that help calculate car insurance rates. If you understand what positively or negatively impacts your premiums, this empowers consumers to make smart changes that can earn you lower rates.
Listed below are some of the factors that factor into your rate level.
- Single drivers take more risk – Having a significant other may earn you lower rates compared to being single. Having a spouse translates into being more mature than a single person it has been statistically shown that drivers who are married are more cautious.
- Low credit score equals high prices – Having a good credit history can be a huge factor in determining premium rates. If your credit history can be improved, you could save money insuring your vehicle if you clean up your credit. People that have good credit tend to file fewer claims than drivers with lower credit scores.
- Affects performance affects auto insurance rates – The performance level of the vehicle you are trying to find cheaper insurance for makes a substantial difference in your premium level. Lower performance four cylinder passenger cars normally have pretty low rates, but there are many factors that impact the final cost.
- What are your coverage deductibles? – Deductibles for physical damage are how much you are willing to pay out-of-pocket before your car insurance pays a claim. Insurance for physical damage to your car, termed comprehensive and collision coverage on your policy, insures against damage to your car. Some coverage claims are colliding with a stationary object, hail damage, and damage caused by road hazards. The more damage repair cost you choose to pay out-of-pocket, the bigger discount you will receive.
- Do you really need to file that car insurance claims? – Auto insurance companies in South Dakota give discounts to people who do not file claims often. If you file a lot of claims you can look forward to either a policy non-renewal or much higher rates. Your insurance policy is meant to be used in the event of larger claims.
- Drive less and pay lower prices – The more you drive your car each year the more you’ll pay to insure your vehicle. A lot of companies charge to insure your cars based on how the vehicle is used. Vehicles that sit idle most of the time receive better premium rates than those used for commuting. It’s a smart idea to ensure your car insurance policy states how each vehicle is driven, because improper ratings can cost you money.
- Where you call home can affect premiums – Having an address in a small town has it’s advantages if you are looking for the lowest rates. Fewer drivers on the road translates into fewer accident claims in addition to lower liability claims People who live in big cities have to deal with congested traffic and higher rates of accident claims. The longer drive time statistically corresponds to a higher accident and claim rate.
Low cost Elkton car insurance price quotes
There are a variety of methods to shop for car insurance, but there is one way that is more efficient than others. You could spend your day driving to insurance agencies in Elkton, or you can utilize online quotes for quick rates.
Many of the larger companies belong to an insurance system where prospective buyers submit their information once, and at least one company then gives them pricing. This eliminates the need for repetitive form submissions for each company you want a rate for. To find out how much you can save on car insurance click here (opens in new window).
The only downside to doing it this way is you don’t know exactly the companies you want pricing from. So if you prefer to choose individual companies to compare rates, we have a listing of low cost car insurance companies in South Dakota. Click to view list.
Whichever way you use, ensure you’re using exactly the same coverage limits for every quote you compare. If your comparisons have different deductibles it will be next to impossible to make a fair comparison in Elkton.
Big names are not always cheapest
South Dakota consumers constantly see and hear ads for cheaper car insurance by State Farm and Allstate. All the companies make the same claim that people will save if you switch your coverage.
How can each company have lower policy pricing? It’s all in how they say it.
Different companies have a certain “appetite” for the right customer that makes them money. A good example of this type of risk profile may be between the ages of 30 and 50, has no claims, and has great credit. A customer that hits that “sweet spot” will probably get the lowest prices as well as save money with a new company.
People who don’t meet these criteria will be quoted higher prices and this can result in business going elsewhere. If you listen to the ad wording, they say “customers who switch” but not “all drivers who get quotes” save that much when switching. That’s the way insurance companies can state the savings.
Because each company has a different risk profile, it is so important to get a wide range of price quotes. Because without a comparison, you cannot know which company will have the lowest rates.
Discounts for lower-cost car insurance rates
Companies don’t always list every discount they offer in an easy-to-find place, so the following list contains a few of the more well known and also the lesser-known car insurance savings.
- Theft Deterent – Anti-theft and alarm system equipped vehicles can help prevent theft and qualify for as much as a 10% discount.
- Club Memberships – Affiliation with qualifying clubs or civic groups could earn you a nice discount on car insurance.
- Passive Restraints and Air Bags – Vehicles equipped with air bags can receive discounts of 20 to 30 percent.
- Fewer Miles Equal More Savings – Keeping the miles down could be rewarded with lower car insurancerates due to less chance of an accident.
- ABS Braking Discount – Vehicles that have anti-lock braking systems have fewer accidents so you can save 10 percent or more.
- Claim Free – Drivers with accident-free driving histories can earn big discounts in comparison with frequent claim filers.
As a sidenote, most discounts do not apply the the whole policy. Most only reduce the cost of specific coverages such as comp or med pay. Despite the appearance that all the discounts add up to a free policy, companies wouldn’t make money that way.
A list of companies and the discounts they provide are outlined below.
- State Farm policyholders can earn discounts including Steer Clear safe driver discount, accident-free, Drive Safe & Save, good student, and defensive driving training.
- American Family may have discounts that include defensive driver, accident-free, multi-vehicle, air bags, and Steer into Savings.
- Geico may include discounts for military active duty, air bags, defensive driver, driver training, and multi-vehicle.
- 21st Century offers discounts including homeowners, air bags, theft prevention, early bird, automatic seat belts, teen driver, and defensive driver.
- Progressive offers discounts for online signing, multi-vehicle, good student, multi-policy, and online quote discount.
When getting , it’s a good idea to every prospective company how you can save money. Depending on the company, some discounts might not apply in your area.
You may need specialized car insurance coverage
When buying the right insurance coverage, there isn’t really a “perfect” insurance plan. Everyone’s needs are different.
For instance, these questions might point out whether or not you would benefit from an agent’s advice.
- At what point should I drop full coverage?
- What are the best liability limits?
- What is the difference between comprehensive and collision coverage?
- I don’t drive much so do I pay less?
- Am I getting all the discounts available?
- What companies insure drivers after a DUI or DWI?
- Am I covered if I wreck a rental car?
- What can I do if my company denied a claim?
- When do I need to add a new car to my policy?
- Is pleasure use cheaper than using my vehicle to commute?
If you can’t answer these questions but you know they apply to you, you might consider talking to an insurance agent. To find lower rates from a local agent, simply complete this short form. It’s fast, free and can provide invaluable advice.
Much more information about car insurance in South Dakota is available on the website for the South Dakota Division of Insurance through this link. Consumers can read state legal mandates and laws, file complaints about a company, find out industry alerts, and file complaints about an insurance agent or broker.
The articles below may also help you learn more about car insurance in Elkton
Persistence pays off
Lower-priced car insurance can be purchased online and with local Elkton insurance agents, so you need to with both to get a complete price analysis. Some companies do not provide online rate quotes and most of the time these small insurance companies provide coverage only through independent insurance agents.
Drivers switch companies for any number of reasons including extreme rates for teen drivers, denial of a claim, an unsatisfactory settlement offer or even policy cancellation. Regardless of your reason for switching companies, choosing a new company can be easy and end up saving you some money.
As you restructure your insurance plan, it’s a bad idea to buy less coverage just to save a little money. There have been many cases where someone sacrificed liability coverage limits to discover at claim time that a couple dollars of savings turned into a financial nightmare. Your focus should be to get the best coverage possible at a price you can afford but still have enough coverage for asset protection.