Overpriced auto insurance can take a big chunk out of your savings account and force you to prioritize other expenses. Doing a price comparison is free and is an excellent way to tighten up your finances.
Consumers have many auto insurance companies to purchase coverage from, and although it’s a good thing to have a choice, it can be more difficult to get the best deal.
More discounts equal less premium
Insurance can cost an arm and a leg, but there could be available discounts that many people don’t even know exist. A few discounts will automatically apply at the time you complete a quote, but a few need to be specifically requested prior to receiving the credit.
- Safe Driver Discount – Drivers who don’t get into accidents can pay as much as 50% less than less cautious drivers.
- Multiple Policy Discount – If you insure your home and vehicles with one insurance company you may earn up to 20% off your total premium.
- Discount for Good Grades – This discount can be rewarded with saving of up to 25%. This discount can apply well after school through age 25.
- Use Seat Belts – Buckling up and requiring all passengers to buckle their seat belts can save 10% or more on the medical payments or PIP coverage costs.
- Discount for Life Insurance – Companies who offer life insurance give better rates if you take out life insurance.
- Student Driver Training – Make teen driver coverage more affordable by requiring them to take driver’s ed class if offered at their school.
As a disclaimer on discounts, some of the credits will not apply to the overall cost of the policy. Some only reduce specific coverage prices like physical damage coverage or medical payments. So despite the fact that it appears you can get free auto insurance, you won’t be that lucky. But any discount will cut the amount you have to pay.
To see a list of insurers with discount auto insurance rates in Camden, click here.
Cheap Camden Auto Insurance Comparisons
Most companies such as State Farm and Allstate provide pricing on their websites. Obtaining pricing is fairly straightforward as you just enter the coverages you want as detailed in the form. Behind the scenes, the company’s rating system makes automated requests for credit information and your driving record and returns pricing information based on many factors. Being able to quote online makes comparing rates easy, but the work required to visit several different sites and enter the same data into a form gets old quite quickly. Unfortunately, it is important to have as many quotes as possible if you want to find better auto insurance pricing.
A less time-consuming method to lower your auto insurance bill makes use of a single form that analyzes rates from a bunch of companies at once. The form is fast, reduces the work, and makes online shopping much simpler. As soon as you send your information, it is rated and you can select any one of the price quotes you receive.
If one or more price quotes are lower than your current rates, you simply finish the application and purchase the new policy. The whole process takes 15 minutes at the most and you’ll know if lower rates are available.
To save time and compare rates now, click here to open in a new tab and begin entering your coverage information. To compare your current rates, we recommend you duplicate the coverages identical to your current policy. Doing this assures you are getting a rate comparison for similar insurance coverage.
Make smart decisions and save
It’s important that you understand some of the elements that help determine the price you pay for auto insurance. Having a good understanding of what controls the rates you pay allows you to make educated decisions that may reward you with lower auto insurance prices.
The following are a partial list of the pieces companies use to determine rates.
- Sex matters – The statistics show women are more cautious behind the wheel. However, don’t assume that women are BETTER drivers than men. Women and men have accidents in similar percentages, but the males cause more damage and cost insurance companies more money. They also receive more costly citations like reckless driving and DUI.
- With age comes lower rates – More mature drivers are more responsible, file fewer claims and receive fewer citations. Teenage drivers are known to be more careless when driving and because of this, their auto insurance rates are much higher.
- Rural vs Urban Areas – Residing in small towns and rural areas is a positive aspect when insuring your vehicles. Less people living in that area means fewer accidents and also fewer theft and vandalism claims. City drivers regularly have more traffic problems and much longer commute distances. Higher commute times can result in more accidents.
- Discounts for multiple policies – Many auto insurance companies will give a discount to policyholders who buy several policies from them, otherwise known as a multi-policy discount. Even though this discount sounds good, it’s in your best interest to shop around to ensure the best deal. You may still find better rates by buying insurance from more than one company.
It’s not one size fits all
When it comes to choosing proper insurance coverage, there really is not a perfect coverage plan. Each situation is unique and a cookie cutter policy won’t apply. Here are some questions about coverages that may help you determine whether your personal situation may require specific advice.
- When does my teenage driver need to be added to my policy?
- Am I covered when renting a car or should I buy coverage from the car rental agency?
- Does my insurance cover my expensive audio equipment?
- Am I covered when delivering products for my home-based business?
- What can I do if my company denied a claim?
- Is my babysitter covered when using my vehicle?
- How high should my medical payments coverage be?
If you can’t answer these questions but one or more may apply to you, you may need to chat with a licensed insurance agent. If you want to speak to an agent in your area, take a second and complete this form or you can go here for a list of companies in your area.
Can you really save $480 a year?
Companies like State Farm and Allstate continually stream television and radio advertisements. All the ads make an identical promise that you can save after switching to them. How does each company make the same claim? This is how they do it.
All companies have a certain “appetite” for the driver that makes them money. For instance, a preferred risk could be between the ages of 40 and 55, has no prior claims, and has a high credit rating. Any driver who matches those parameters will get very good rates and is almost guaranteed to save quite a bit of money when switching.
Potential insureds who do not match the requirements will have to pay more money which usually ends up with the driver buying from a lower-cost company. Company advertisements say “drivers who switch” not “people who quote” save money. That’s why companies can claim big savings.
Because of the profiling, you need to get a wide range of price quotes. Because you never know which company will provide you with the cheapest rates.
Final considerations
We’ve covered many ways to lower your auto insurance rates. The key thing to remember is the more price quotes you have, the better likelihood of reducing your rate. You may even find the lowest rates come from a small local company. Regional companies often have lower prices on specific markets than their larger competitors like Allstate or State Farm.
As you shop your coverage around, it’s very important that you do not reduce coverage to reduce premium. In too many instances, an insured cut comprehensive coverage or liability limits to discover at claim time they didn’t have enough coverage. The proper strategy is to buy the best coverage you can find at an affordable rate while still protecting your assets.
More information can be read on the website for the New Jersey Department of Banking and Insurance. Click here for link. New Jersey drivers can learn about specific coverages, get help finding coverage, file complaints about a company, and download brochures.