I can’t think of anyone who looks forward to paying for auto insurance, especially when their premiums are through the roof.
With consumers having so many online and local companies to choose from, it is hard for the average consumer to locate the most affordable insurance company.
Good Decisions Result in Lower Rates
An important part of buying insurance is that you know the different types of things that help determine the price you pay for auto insurance. Knowing what controls the rates you pay empowers consumers to make smart changes that could result in big savings.
- Frequent auto insurance claims increase rates – Insurance companies in Kentucky give cheaper rates to people who do not file claims often. If you file claims often, you can look forward to either policy cancellation or increased premiums. Auto insurance is intended to be relied upon for major claims that would cause financial hardship.
- What are your deductibles? – Coverage for physical damage, termed comprehensive and collision coverage on your policy, is used to repair damage to your car. Some examples of claims that would be covered are a windshield shattered by a rock, damage caused by hail, and windstorm damage. Deductibles for physical damage are how much you are required to spend if you file a covered claim. The higher the amount the insured has to pay upfront, the less your company will charge you for insurance.
- Never allow your policy to lapse – Allowing your coverage to lapse will be a guaranteed way to bump up your auto insurance costs. And not only will your rates increase, failure to provide proof of insurance can result in a steep fine or even jail time.You may need to submit proof of financial responsibility or a SR-22 with the Kentucky motor vehicle department to get your license reinstated.
- Older drivers pay less – Youthful drivers in Kentucky are known to be more careless behind the wheel so they pay higher auto insurance rates. Parents adding a teenage driver to your auto insurance policy can be very expensive. Older drivers are viewed as being more responsible, statistically cause fewer accidents and receive fewer citations.
- Bad driving skills means higher rates – Even one citation may increase your cost forty percent or more. Drivers with clean records have lower premiums than people who have multiple driving citations. If you have severe violations like hit and run, DWI or reckless driving convictions may find they need to submit a SR-22 form with the DMV in their state in order to drive a vehicle legally.
- Your car’s features help determine rates – Driving a car that has an advanced theft prevention system can save you a little every year. Anti-theft devices like GM’s OnStar, tamper alarm systems and vehicle immobilizers all hinder auto theft.
- More miles equals more premium – Driving more miles every year the more you will pay for auto insurance. The majority of insurers rate vehicles based on how the vehicle is used. Vehicles left parked in the garage qualify for better rates as compared to vehicles used primarily for driving to work. Make sure your auto insurance coverage is rated on the proper vehicle usage.
Lower rates by qualifying for discounts
Companies don’t list every available discount in a way that’s easy to find, so we researched some of the best known and the more hidden savings tricks you should be using.
- Paperwork-free – A handful of insurance companies may give you up to $50 simply for signing on their website.
- Discounts for Safe Drivers – Safe drivers can pay as much as 50% less than drivers with accidents.
- Drivers Ed for Students – Make teen driver coverage more affordable by requiring them to enroll in driver’s education in school.
- Payment Discounts – By paying your policy upfront rather than paying monthly you could save up to 5%.
- Multiple Policy Discount – When you combine your home and auto insurance with one company you may earn at least 10% off all policies.
- Seat Belts Save more than Lives – Using a seat belt and requiring all passengers to wear their seat belts can save up to 15% on the medical payments or PIP coverage costs.
- Air Bag Discount – Factory air bags and/or automatic seat belt systems can qualify for discounts of up to 25% or more.
- Defensive Driver – Taking a course in driver safety could cut 5% off your bill if you qualify.
- Discount for New Cars – Insuring a new car can be considerably cheaper since new cars are generally safer.
Keep in mind that most of the big mark downs will not be given to your bottom line cost. A few only apply to specific coverage prices like liability, collision or medical payments. So even though it sounds like having all the discounts means you get insurance for free, auto insurance companies aren’t that generous.
To choose providers with discount auto insurance rates in Kentucky, click this link.
Can you really save that much by switching?
Auto insurance companies such as Allstate and Progressive constantly bombard you with ads on television and other media. They all seem to make the same claim that you can save if you switch to their company. But how can every company claim to save you money? It’s all in the numbers.
All the different companies are able to cherry pick for the right customer that earns them a profit. For example, a driver they prefer could be between 30 and 50, is a homeowner, and has great credit. Any driver that hits that “sweet spot” is entitled to the best price and is almost guaranteed to cut their rates substantially.
Potential insureds who are not a match for these standards must pay higher premiums and ends up with the driver buying from a lower-cost company. Company advertisements say “people who switch” not “people who quote” save that much money. That’s why companies can claim big savings. This illustrates why it’s extremely important to compare as many rates as you can. It’s just too difficult to predict which auto insurance company will fit your personal profile best.
Car insurance is unique, just like you
When it comes to buying adequate coverage, there is no “best” method to buy coverage. Your needs are not the same as everyone else’s so this has to be addressed. Here are some questions about coverages that can aid in determining whether or not you might need an agent’s assistance.
- Can I pay claims out-of-pocket if I buy high deductibles?
- Should I drop comprehensive coverage on older vehicles?
- Is pleasure use cheaper than using my vehicle to commute?
- Which companies will insure high-risk drivers?
- When do I need to add a new car to my policy?
- Is my custom paint covered by insurance?
- What companies insure drivers after a DUI or DWI?
- Am I covered when driving on a suspended license?
- What is covered by UM/UIM coverage?
- How much liability do I need to cover my assets?
If you can’t answer these questions, you may need to chat with a licensed agent. If you don’t have a local agent, fill out this quick form or you can also visit this page to select a carrier
More detailed Kentucky auto insurance information can be read at the Kentucky Department of Insurance website. Kentucky consumers can view agent and company licensing information, read enforcement actions against agents and companies, find out which companies have the most complaints, and file complaints about an insurance agent or broker.
More effort can pay off
Lower-priced auto insurance can be found from both online companies and with local Campbellsville insurance agents, so you should compare both to get a complete price analysis. Some auto insurance companies do not offer you the ability to get quotes online and usually these regional insurance providers provide coverage only through local independent agents.
As you restructure your insurance plan, you should never sacrifice coverage to reduce premiums. There have been many cases where drivers have reduced liability coverage limits to discover at claim time that they should have had better coverage. The aim is to find the BEST coverage at the best price, not the least amount of coverage.
We covered many ways to get a better price on auto insurance. It’s most important to understand that the more rate comparisons you have, the higher your chance of finding lower rates. Drivers may discover the best price on auto insurance is with an unexpected company. Smaller companies may often insure only within specific states and give getter rates compared to the large companies like Allstate, Geico and Progressive.