Having to pay for overpriced car insurance can dwindle your checking account and make it hard to pay other bills. Doing a price comparison is a smart way to tighten up your finances.
Multiple car insurance companies compete for your insurance dollar, so it’s not easy to compare every insurer and get the definite best rate
If you currently have a car insurance policy, you will most likely be able to cut costs considerably using this information. Buying car insurance in Greenwood is not rocket science. Nevertheless, Indiana vehicle owners benefit from understanding how the larger insurance companies sell insurance online and use this information to your advantage.
Informed Drivers can Cut Their Rates
Consumers need to have an understanding of the different types of things that go into determining the rates you pay for car insurance. Understanding what determines base rates enables informed choices that will entitle you to better car insurance rates.
Listed below are a few of the “ingredients” car insurance companies consider when setting prices.
- Where you live is a factor – Choosing to live in a rural area can save you money when buying car insurance. Drivers in populated areas tend to have traffic congestion and much longer commute distances. Fewer drivers translates into fewer accidents and a lower car theft rate.
- Sex matters – Statistics show that men are more aggressive behind the wheel. However, don’t assume that women are BETTER drivers than men. Both sexes tend to get into accidents at a similar rate, but men cause more damage and cost insurance companies more money. Men also get more serious tickets such as DWI and reckless driving.
- Better credit means lower rates – A driver’s credit history is a important factor in calculating your car insurance rates. So if your credit rating is not that good, you could be paying less to insure your by repairing your credit. Drivers with high credit scores tend to file fewer claims and have better driving records than drivers who have lower credit scores.
- Safer cars are cheaper to insure – Safer cars get lower rates. The safest vehicles reduce injuries and lower injury rates translates into savings for insurance companies passed on to you as lower rates.
- No coverage gaps is important – Having an insurance coverage lapse will be a guaranteed way to trigger a rate increase. And not only will insurance be more expensive, but not being able to provide proof of insurance will get you a hefty fine and possibly a revoked license.
- Tickets mean higher rates – Your driving citation history has a big impact on rates. Just one citation can increase rates twenty percent or more. Good drivers get better rates than their less careful counterparts. Drivers who have dangerous citations like DWI, reckless driving or hit and run convictions may need to file a proof of financial responsibility form (SR-22) with their state DMV in order to prevent a license revocation.
- How your age affects price – Teenage drivers in Indiana tend to get distracted easily when driving so car insurance rates are higher. Adding a young driver onto your car insurance can really hurt. More mature drivers are more responsible, tend to cause fewer accidents and tend to be better behind the wheel.
- Your stress level may be raising your rates – Did you know your car insurance rates can be affected by your occupation? Jobs such as lawyers, executives and accountants have higher rates than average because of high stress levels and lengthy work days. On the flip side, professions such as farmers, athletes and performers get better rates.
Comprehensive Car Insurance Comparison in Greenwood, IN
There are several ways to compare quotes and find the best price. The best way to find the lowest rates is simply to get online rate quotes. It is quite easy and can be accomplished in several different ways.
- The easiest and least time consuming way to find the lowest comparison rates is an all-inclusive rate comparison (click to open form in new window). This method saves time by eliminating a different quote for each company you want a rate for. One form submission compares rates .
- Another way to find lower rates consists of visiting the website for each individual company and complete a new quote form. For instance, we’ll assume you want rates from State Farm, Liberty Mutual and American Family. To find out each rate you need to visit each site to input your insurance information, which is why the first method is more popular.
For a handy list of car insurance company links in Greenwood, click here.
It doesn’t matter which method you choose, just compare exactly the same coverage limits for every quote you compare. If you are comparing different limits and deductibles on each one it will be very difficult to find the best deal in Greenwood. Slightly different limits could mean much higher rates. And when quoting car insurance, remember that quoting more will improve the odds of getting a lower rate.
Is there truth in advertising?
Car insurance providers like Geico, State Farm and Progressive continually stream ads on television and other media. They all make an identical promise that you’ll save big after switching to their company. How can each company make almost identical claims? It’s all in the numbers.
Insurance companies have a preferred profile for the type of customer that earns them a profit. For instance, a profitable customer could possibly be between the ages of 30 and 50, insures multiple vehicles, and drives newer vehicles. Any driver who meets those qualifications is entitled to the best price and therefore will save quite a bit of money when switching.
Drivers who do not match the “perfect” profile will be quoted higher rates and ends up with the customer not buying. The ads say “drivers who switch” not “everybody who quotes” save that much. That’s the way insurance companies can confidently advertise the way they do. This emphasizes why it’s extremely important to get a wide range of price quotes. It’s just too difficult to predict which insurance companies will provide you with the cheapest rates.
Cut your car insurance rates with discounts
Auto insurance companies do not advertise all available discounts very well, so the following is a list of both well-publicized and the harder-to-find car insurance savings.
- Theft Prevention Discount – Vehicles equipped with anti-theft or alarm systems prevent vehicle theft and qualify for as much as a 10% discount.
- Own a Home – Being a homeowner can help you save on car insurance because maintaining a house requires personal responsibility.
- Government Employees – Employees or retirees of the government can save as much as 8% with a few car insurance companies.
- New Car Discount – Buying coverage on a new vehicle is cheaper due to better safety requirements for new cars.
- Paperless Signup – A handful of insurance companies give back up to $50 just for signing your application over the internet.
- Drive Safe and Save – Drivers who don’t get into accidents can pay as much as 50% less than less cautious drivers.
- Early Switch Discount – A few companies offer discounts for signing up before your current expiration date. It’s a savings of about 10%.
- Resident Student – Children who are attending college and do not have access to a covered vehicle can receive lower rates.
Consumers should know that many deductions do not apply to the overall cost of the policy. Most cut specific coverage prices like collision or personal injury protection. So even though it sounds like all the discounts add up to a free policy, companies don’t profit that way.
To choose insurers offering car insurance discounts in Indiana, click here.
You are unique and your car insurance should be too
When it comes to choosing the best car insurance coverage for your personal vehicles, there really is no “perfect” insurance plan. Everyone’s needs are different and your policy should reflect that. For example, these questions might help in determining whether or not you would benefit from professional advice.
- Does my vehicle need full coverage?
- Does my personal policy cover me when driving my company car?
- Is my vehicle covered for flood damage?
- Do I need roadside assistance coverage?
- Will I lose any money if I cancel my policy before it expires?
- Can I drive in Mexico and have coverage?
- What are the best liability limits?
- When should my teen driver be added to my policy?
- Do I need rental car coverage?
If you can’t answer these questions but you know they apply to you then you might want to talk to a licensed insurance agent. If you want to speak to an agent in your area, simply complete this short form or you can go here for a list of companies in your area.
Even more information is located at the Indiana Department of Insurance website. Indiana consumers can read industry bulletins, find a variety of consumer forms, and learn about insurance regulations.
The articles below may also help you learn more about car insurance in Greenwood
- Guide to Finding the Best Insurance Agent in Greenwood
- Top 5 Ways to Save on Car Insurance in Greenwood South Carolina
Compare but don’t skimp
We just covered some good ideas how you can reduce car insurance prices online. The most important thing to understand is the more price quotes you have, the better your chances of lowering your rates. Consumers may even find the lowest rates come from some of the lesser-known companies. They often have lower prices on specific markets than their larger competitors like Progressive or Geico.
Cheaper car insurance is attainable online and with local Greenwood insurance agents, and you should be comparing both to have the best selection. There are still a few companies who do not offer the ability to get a quote online and these smaller companies work with independent agents.
As you prepare to switch companies, make sure you don’t skimp on critical coverages to save a buck or two. Too many times, someone dropped comprehensive coverage or liability limits only to regret at claim time that the savings was not a smart move. The proper strategy is to get the best coverage possible for the lowest price while still protecting your assets.