Feel like you’re a prisoner to an overpriced auto insurance policy? Believe me when I say you’re not the only one. Numerous car insurance companies battle for your hard-earned dollar, and it can be difficult to compare rates and get the definite lowest cost out there.
It’s a good habit to compare rates occasionally because insurance rates tend to go up over time. Just because you found the lowest rates six months ago the chances are good that you can find a lower rate today. Ignore everything you know about auto insurance because you’re about to find out the right way to save money, get proper deductibles and limits, all at the lowest rate.
Why your price might be higher
It’s important that you understand the factors that come into play when calculating your auto insurance rates. Understanding what influences your rates allows you to make educated decisions that may reward you with much lower annual insurance costs.
- Pay less if you’re married – Having a spouse helps lower the price on your policy. Having a spouse means you’re more mature and it’s proven that married drivers get in fewer accidents.
- Males pay more for insurance – Statistics have proven that women are safer drivers than men. However, don’t assume that women are BETTER drivers than men. Women and men are in accidents at a similar rate, but the male of the species cause more damage and cost insurance companies more money. Men also tend to get more serious tickets such as reckless driving.
- Big city or small town – Being located in a small town can be a good thing when insuring your vehicles. Drivers who live in large cities have much more traffic and longer commute times. Less people living in that area translates into fewer accidents as well as less vandalism and auto theft.
- Protect your assets with liability insurance – Liability insurance is the coverage that protects you if ever a jury decides you are liable for causing damage or personal injury in an accident. It provides you with a defense in court starting from day one. This coverage is very inexpensive compared to physical damage coverage, so buy as much as you can afford.
- Occupation reflects on rates – Jobs such as real estate brokers, architects and stock brokers tend to pay the highest rates in part from stressful work requirements and lengthy work days. On the other hand, jobs such as farmers, students and retirees have the lowest average rates.
- Your car’s features help determine rates – Owning a car with anti-theft technology or alarm system can get you a discount on your auto insurance. Anti-theft features such as LoJack tracking devices, vehicle tamper alarm systems or GM’s OnStar system can help prevent your vehicle from being stolen.
- Do you qualify for a multi-policy discount? – Most companies provide better rates to insureds who carry more than one policy such as combining an auto and homeowners policy. Discounts can be anywhere from five to ten percent in most cases. Even with this discount, you still need to comparison shop to make sure you are getting the best deal. You may still be able to find a better deal by splitting coverages up.
- Performance makes a difference – The performance level of the vehicle you drive makes a significant difference in your rates. Economy passenger models usually have the lowest rates, but other factors influence the final cost greatly.
Auto Insurance Comparison Rates in Lowell, Massachusetts
Most major insurance companies give coverage price quotes online. This process is quite simple as you just type in the coverages you want as requested by the quote form. When complete, their rating system obtains your driving record and credit report and returns pricing information. This makes comparing rates easy, but the work required to visit several different sites and type in the same information is not the best way to spend an afternoon. But it is imperative to have as many quotes as possible in order to find the lowest price.
Compare rates the easy way
A quicker way to compare rates uses one simple form that obtains quotes from multiple companies. It saves time, eliminates form submissions, and makes online quotes a little more enjoyable. After your information is entered, it is quoted and you are able to buy any or none of the quote results. If the quotes result in lower rates, you can simply submit the application and purchase coverage. It can be completed in a matter of minutes and may save quite a bit of money.
To compare pricing, simply click here to open in new window and enter your vehicle and coverage information. If you have your current policy handy, we recommend you replicate the coverage information exactly as shown on your declarations page. Doing this guarantees you will have a rate comparison for the exact same coverage.
Buyer beware of auto insurance advertising tricks
Consumers can’t ignore all the ads for cheaper car insurance from the likes of State Farm and Allstate. All the companies make an identical promise that you’ll save big if you move your coverage to them.
How can each company make the same claim?
Insurance companies have a certain “appetite” for the type of customer that is profitable for them. A good example of a desirable insured might be profiled as between 25 and 40, has no driving citations, and chooses high deductibles. Any new insured who fits that profile will qualify for the lowest rates and is almost guaranteed to cut their rates substantially.
Potential customers who are not a match for the “perfect” profile will have to pay higher prices and this can result in business going elsewhere. The ad wording is “people who switch” not “people who quote” save money. This is how insurance companies can advertise the way they do. Because of the profiling, you need to quote coverage with many companies. You cannot predict which company will fit your personal profile best.
Policy discounts you shouldn’t miss
Companies do not advertise all their discounts in a way that’s easy to find, so the following is a list of some of the best known and the harder-to-find auto insurance savings. If you aren’t receiving every discount you deserve, you are paying more than you should be.
- New Vehicle Savings – Insuring a new car can be considerably cheaper due to better safety requirements for new cars.
- Own a Home – Being a homeowner may trigger a auto insurance policy discount because maintaining a house demonstrates responsibility.
- Anti-lock Brake Discount – Vehicles equipped with ABS or steering control prevent accidents and qualify for as much as a 10% discount.
- Good Student Discount – Getting good grades can earn a discount of 20% or more. This discount can apply well after school through age 25.
- Seat Belts Save more than Lives – Buckling up and requiring all passengers to wear their seat belts can save up to 15% off your PIP or medical payments premium.
- Safe Drivers – Insureds without accidents can get discounts for up to 45% lower rates than drivers with accident claims.
- Payment Method – If you pay your entire premium ahead of time instead of paying each month you may reduce your total bill.
- Lower Rates for Military – Being on active duty in the military could mean lower rates.
- Safety Course Discount – Taking a course in driver safety can save you 5% or more if your company offers it.
Keep in mind that some credits don’t apply to your bottom line cost. Most only cut individual premiums such as liability and collision coverage. So when it seems like adding up those discounts means a free policy, you’re out of luck.
For a list of providers with the best auto insurance discounts in Lowell, click here.
Insurance agents can help
When choosing coverage, there isn’t really a single plan that fits everyone. Coverage needs to be tailored to your specific needs and your policy should reflect that. Here are some questions about coverages that may help you determine if your insurance needs would benefit from professional advice.
- Will my rates increase for filing one claim?
- Can I afford to pay high deductible claims out of pocket?
- Who is covered by my policy?
- What is covered by UM/UIM coverage?
- When does my teenage driver need to be added to my policy?
- Does my liability insurance cover pulling a trailer or camper?
If you don’t know the answers to these questions but a few of them apply then you might want to talk to an insurance agent. If you don’t have a local agent, complete this form or go to this page to view a list of companies. It’s fast, free and you can get the answers you need.
Even more information is located at the Massachusetts Division of Insurance website. Visitors are able to find disaster information, find out industry alerts, and file complaints about a company.
Affordable insurance is out there
Budget-conscious auto insurance can be sourced both online and with local Lowell insurance agents, and you should be comparing both in order to have the best price selection to choose from. A few companies do not offer online quoting and many times these smaller companies only sell through independent insurance agents.
You just read many ideas to reduce auto insurance prices online. It’s most important to understand that the more price quotes you have, the better your comparison will be. Consumers may even find the lowest priced auto insurance comes from some of the smallest insurance companies. They may have significantly lower rates on certain market segments as compared to the big name companies such as Progressive or Geico.