Feel like you’re a prisoner to an overpriced car insurance policy? Trust us, there are many people just like you.
You have so many car insurance companies to purchase coverage from, and although it’s nice to have a selection, so many choices can make it hard to adequately compare rates.
Save Money with These Tips
Consumers need to have an understanding of the different types of things that help determine your car insurance rates. Knowing what influences your rates helps enable you to make changes that can help you get lower car insurance prices.
The following are a partial list of the pieces that factor into your rates.
- Your location affects your rates – Living in small towns and rural areas is a positive aspect when it comes to car insurance. Fewer people means fewer accidents as well as less vandalism and auto theft. Urban drivers have to deal with more traffic problems and longer commute times. More time on the road translates into higher accident risk.
- Never allow your policy to lapse – Allowing your coverage to lapse will be a guaranteed way to pay more for car insurance. Not only will you pay more, but being ticketed for driving with no insurance might get you a hefty fine and possibly a revoked license.
- Clean credit earns discounts – A driver’s credit score is a important factor in determining your rates. So if your credit rating is lower than you’d like, you could pay less to insure your by improving your credit score. People with high credit scores tend to be more responsible than drivers with poor credit.
- Please use or commuting – The more you drive in a year’s time the more you will pay for car insurance. Most insurance companies price each vehicle’s coverage based upon how you use the vehicle. Cars and trucks used primarily for pleasure use get more affordable rates as compared to vehicles used primarily for driving to work. Double check that your car insurance policy is rated on the correct driver usage.
- Lower rates come with age – Mature drivers tend to be more responsible, file fewer claims and are safer drivers. Teen drivers are known to be less responsible in a vehicle therefore car insurance rates are much higher.
- High numbers of claims are not good – If you frequently file small claims, you can definitely plan on higher rates. Insurance companies in Delaware give better rates to insureds who file claims infrequently. Insurance coverage is meant to be used in the event of major claims that would cause financial hardship.
- Is your vehicle built for speed? – The performance of the vehicle you are insuring makes a substantial difference in how high your rates are. The lowest base rates are generally reserved for lower performance four cylinder passenger cars, but other factors influence the final cost greatly.
- Rates may be higher depending on your occupation – Did you know your occupation can influence how much you pay for car insurance? Occupations such as doctors, architects and dentists have the highest average rates due to high stress levels and long work hours. Other professions such as actors, historians and homemakers get better rates.
Lower rates by qualifying for discounts
Properly insuring your vehicles can get expensive, but companies offer discounts that you may not even be aware of. Some discounts apply automatically at the time of purchase, but a few must be asked about before they will apply.
- Accident Free – Claim-free drivers can earn big discounts compared to drivers who are more careless.
- Discounts for Safe Drivers – Insureds without accidents may receive a discount up to 45% less than less cautious drivers.
- Passive Restraint Discount – Cars that have air bags and/or automatic seat belt systems can receive discounts of more than 20%.
- Accident Waiver – A few companies will forgive one accident before hitting you with a surcharge if you are claim-free for a certain period of time.
- Drive Less and Save – Driving fewer miles can earn discounted rates on garaged vehicles.
- Auto/Life Discount – Companies who offer life insurance give lower rates if you buy a life insurance policy as well.
- Club Memberships – Being a member of certain professional organizations may earn a discount on your policy.
- Government Employees – Employees or retirees of the government can save as much as 8% with a few car insurance companies.
- Multi-policy Discount – If you have multiple policies with the same company you may save up to 20% off your total premium.
- Payment Method – By paying your policy upfront instead of paying each month you could save up to 5%.
Keep in mind that some of the credits will not apply to the entire policy premium. The majority will only reduce specific coverage prices like liability, collision or medical payments. So when it seems like all the discounts add up to a free policy, companies don’t profit that way. Any qualifying discounts will cut the amount you have to pay.
For a list of providers offering car insurance discounts in Georgetown, click here.
But don’t I need an insurance agent?
Some consumers would prefer to buy from a licensed agent and there is nothing wrong with that. One of the great benefits of price shopping on the web is you can get lower rates and still choose a local agent. And supporting small agencies is important particularly in Georgetown.
By using this quick form, your insurance coverage information is submitted to local insurance agents in Georgetown who will return price quotes for your business. You won’t need to leave your computer because quoted prices will be sent immediately to your email address. How’s that for easy! It’s the lowest rates AND an agent nearby.
Shown below is a list of insurance companies in Georgetown that may be willing to give price quote information.
Muncie Insurance & Financial – 314 S Dupont Hwy, Georgetown, DE 19947 – (302) 856-6601
King Crop Insurance – 600 E Market St, Georgetown, DE 19947 – (302) 855-0800
State Farm Insurance – 522 E Market St, Georgetown, DE 19947 – (302) 856-7724
Deciding on an insurance company shouldn’t rely on just the price. Agents should be asked these questions:
- Will their companies depreciate repairs to your car based on the mileage?
- Is their price quote a firm figure or are their hidden costs?
- How much will you save each year by using a higher deductible?
- Are they full-time agents?
- Do they specialize in personal lines coverage?
- Are claims handled at the agent’s location?
- Can glass repairs be made at your home?
After getting good answers for all questions you ask and a low price estimate, you may have just found an insurer that can properly service your car insurance policy.
How can 21st Century, Allstate and State Farm save drivers who switch?
21st Century, Allstate and State Farm continually stream ads on television and other media. All the companies say the same thing about savings after switching to them. How do they all make the same claim?
All the different companies are able to cherry pick for the type of driver they prefer to insure. An example of a preferred risk might be between 25 and 40, a clean driving record, and has a short commute. Any driver who meets those qualifications will get the preferred rates and is almost guaranteed to cut their rates substantially.
Drivers who don’t meet these standards will be charged a higher premium and ends up with business going elsewhere. Company advertisements say “customers who switch” not “everybody who quotes” save that kind of money. That’s the way insurance companies can make those claims.
That is why you should get quotes from several different companies. It is impossible to predict the company that will have the lowest rates.
Consumer car insurance information in Delaware
Additional information can be read on the website for the Delaware Department of Insurance found here. Consumers can view a list of available companies, find out industry alerts, learn about insurance regulations, and learn about specific coverages.
Also read more on this Car Insurance FAQ and this resource to find Georgetown, DE insurance agents.
What is YOUR best insurance company?
In this article, we presented a lot of information how to reduce car insurance prices online. The most important thing to understand is the more rate quotes you have, the better your comparison will be. Consumers may even find the best prices are with the least-expected company. These companies can often insure niche markets at a lower cost than their larger competitors like Allstate and Progressive.
As you restructure your insurance plan, never buy less coverage just to save a little money. There are many occasions where someone dropped full coverage only to regret at claim time that saving that couple of dollars actually costed them tens of thousands. The ultimate goal is to find the BEST coverage at a price you can afford while not skimping on critical coverages.