Overwhelmed by the number of car insurance options in Selma? Many other consumers are too. People have so many options that it can be a real hassle to find the best price.
It’s a great practice to shop coverage around before your policy renews since rates tend to go up over time. Even if you got the best price last year you can probably find a better price now. So forget anything you know (or think you know) about car insurance because you’re about to learn one of the best ways to find lower rates on car insurance.
If you have car insurance now, you will most likely be able to lower your premiums substantially using this strategy. The purpose of this article is to tell you how to get online quotes and some tips to save money. But Alabama car owners must learn the way insurance companies price insurance differently and use this information to your advantage.
Don’t overlook these discounts
Auto insurance companies do not advertise every discount very well, so we break down both well-publicized as well as the least known ways to save on car insurance.
- Theft Prevention Discount – Vehicles equipped with anti-theft or alarm systems prevent vehicle theft and therefore earn up to a 10% discount.
- New Vehicle Savings – Buying coverage on a new vehicle is cheaper compared to insuring an older model.
- Multiple Cars – Insuring all your vehicles on one policy could earn a price break for each car.
- Claim Free – Drivers who don’t have accidents pay less when compared to accident-prone drivers.
- Government Employees – Simply working for the federal government can earn a discount up to 10% with a few car insurance companies.
Drivers should understand that most credits do not apply to all coverage premiums. Some only reduce the price of certain insurance coverages like liability and collision coverage. Just because you may think you would end up receiving a 100% discount, you’re out of luck.
For a list of insurers with discount car insurance rates in Alabama, click here.
How to Lower your Car Insurance Rates
It’s important that you understand the factors that come into play when calculating your car insurance rates. Having a good understanding of what influences your rates enables informed choices that will entitle you to better car insurance rates.
The list below includes a partial list of the pieces car insurance companies consider when setting prices.
- Too many car insurance claims drive up costs – If you tend to file frequent claims, you can definitely plan on either policy cancellation or increased premiums. Car insurance companies in Alabama provide cheaper rates to drivers who do not file claims often. Your insurance policy is meant to be used in the event of major claims that would cause financial hardship.
- Men are more aggressive – The statistics show women tend to be less risk to insure than men. Now that doesn’t mean men are WORSE drivers than women. Both sexes have accidents at about the same rate, but the males tend to have more serious accidents. They also have more aggressive citations such as DWI and reckless driving.
- Don’t sacrifice liability coverage – Liability insurance will protect you when a jury decides you are liable for damages caused by your negligence. Liability provides legal defense up to the limits shown on your policy. Liability insurance is quite affordable compared to physical damage coverage, so do not cut corners here.
- Your occupation can affect rates – Occupations such as judges, architects and stock brokers have the highest rates due to high stress levels and long work hours. On the other hand, professions such as actors, students and the unemployed get better rates.
- Having a spouse can save you money – Being married can actually save you money on your policy. It means you’re more responsible and it’s statistically proven that being married results in fewer claims.
More detailed Alabama car insurance information can be found at the Alabama Department of Insurance website. Alabama consumers can learn about insurance regulations, read industry bulletins, read enforcement actions against agents and companies, and find out industry alerts.
Other informative sites include FindNewCarInsurance.com and this page for help finding agents in Selma, AL.
Final considerations
Drivers leave their current company for any number of reasons including delays in responding to claim requests, policy non-renewal, unfair underwriting practices and high rates after DUI convictions. No matter why you want to switch, finding a great new company is not as difficult as it may seem.
Low-cost car insurance can be found from both online companies and with local Selma insurance agents, so you should be comparing quotes from both so you have a total pricing picture. Some companies do not offer you the ability to get quotes online and many times these regional insurance providers only sell through independent insurance agents.
You just read a lot of tips how to get a better price on car insurance. The key concept to understand is the more rate quotes you have, the more likely it is that you will get a better rate. Drivers may discover the lowest priced car insurance comes from some of the lesser-known companies.