I can’t think of a single person who enjoys paying for car insurance, especially knowing they are paying too much. There are many insurance companies to purchase coverage from, and although it’s nice to have a choice, it makes it harder to compare company pricing.
You have some control over your rates
Consumers need to have an understanding of the different types of things that go into determining car insurance rates. Knowing what impacts premium levels enables informed choices that could result in lower car insurance prices.
- Do you work long hours in a high stress job? – Did you know your job can affect your rates? Occupations like lawyers, architects and stock brokers have the highest rates attributed to stressful work requirements and lots of time spent at work. On the other hand, jobs such as pilots, students and performers get better rates.
- Lower rates with optional equipment – Owning a car that has an advanced theft prevention system can save you a little every year. Anti-theft devices like LoJack tracking devices, vehicle tamper alarm systems or GM’s OnStar system can help prevent car theft.
- Pleasure use saves money – The higher the mileage driven in a year’s time the higher your rates will be. Almost all companies apply a rate based upon how you use the vehicle. Cars and trucks used primarily for pleasure use qualify for better rates compared to those used for work or business. Double check that your car insurance declarations sheet is showing the correct usage for each vehicle.
- Careful drivers pay lower rates – Whether or not you get tickets impacts your car insurance rates tremendously. Only having one moving violation can increase rates by twenty percent. Good drivers get better rates than their less careful counterparts. Drivers with dangerous tickets like DWI, reckless driving or hit and run convictions are required to file a proof of financial responsibility form (SR-22) with their state DMV in order to prevent a license revocation.
- Claim-free discounts can add up – Companies in New Hampshire give cheaper rates to policyholders who file claims infrequently. If you frequently file small claims, you can definitely plan on either a policy non-renewal or much higher rates. Insurance coverage is intended to be relied upon for the bigger claims that can’t be paid out-of-pocket.
- Extra coverages can waste money – There are quite a few additional coverages that you can buy if you aren’t careful. Coverages for personal injury protection, towing coverage and membership fees are some examples. These may sound like a good investment when you first buy your policy, but your needs may have changed so eliminate them to save money.
How to Compare Car Insurance Quotes in Derry
Finding a lower price on insurance can be relatively painless. The only thing you need to do is take time comparing rate quotes from different insurance companies. This can be accomplished in a couple of different ways.
- The recommended way consumers can analyze rates is a comparison rater form click here to open form in new window. This easy form keeps you from doing repetitive form entry for each company you want a rate for. A single form will get you price quotes from multiple low-cost companies.
- A more time consuming way to compare rate quotes is going to each company’s website and request a quote. For sake of this example, let’s assume you want to compare Progressive, State Farm and Travelers. To get rate quotes you would need to take the time to go to each site to input your insurance information, and that’s why the first method is more popular.
For a list of links to insurance companies in Derry, click here.
Whichever way you use, be sure to compare the exact same coverage limits with each company. If you are comparing mixed coverages it will be very difficult to make an equal comparison in Derry.
Is there truth in advertising?
Consumers constantly see and hear ads for the lowest price auto insurance from the likes of State Farm, Allstate and GEICO. They all make an identical promise about savings if you change your coverage to them.
But how can every company make the same claim?
All the different companies are able to cherry pick for the type of driver that earns them a profit. For instance, a driver they prefer could possibly be over the age of 40, has no tickets, and drives newer vehicles. A driver who matches those parameters will qualify for the lowest rates and therefore will save when they switch companies.
Potential customers who do not match these standards must pay a higher premium and ends up with business not being written. The ads say “customers that switch” but not “drivers who get quotes” save that much. This is how companies can truthfully state the savings. This illustrates why you absolutely need to get a wide range of price quotes. It’s just too difficult to predict which insurance companies will give you the biggest savings.
Verify you’re getting all your discounts
Companies offering auto insurance do not list every available discount very well, so the following is a list of both the well known and also the lesser-known car insurance savings. If you don’t get every credit possible, you are paying more than you should be.
- E-sign – Some insurance companies may give you up to $50 just for signing your application over the internet.
- Seat Belts Save more than Lives – Requiring all passengers to use a seat belt could save 15% off the personal injury premium cost.
- Safe Driver Discount – Drivers who don’t get into accidents may save up to 50% more than drivers with accidents.
- Payment Discounts – By paying your policy upfront rather than paying monthly you could save up to 5%.
- Anti-lock Brake System – Vehicles equipped with ABS or steering control can avoid accidents and qualify for as much as a 10% discount.
- Drive Less and Save – Fewer annual miles could qualify for lower rates on the low mileage vehicles.
- Anti-theft Discount – Cars that have factory anti-theft systems are stolen less frequently and therefore earn up to a 10% discount.
Consumers should know that most discount credits are not given to your bottom line cost. Some only reduce the price of certain insurance coverages like physical damage coverage or medical payments. So even though it sounds like it’s possible to get free car insurance, you won’t be that lucky.
To choose companies with the best car insurance discounts in New Hampshire, click here to view.
More detailed New Hampshire car insurance information can be found at the New Hampshire Insurance Department website. Visitors are able to file complaints about a company, discover disciplinary actions, and find out industry alerts.
Smart consumers save more
While you’re price shopping online, don’t be tempted to buy poor coverage just to save money. There have been many situations where an accident victim reduced liability coverage limits and found out when filing a claim that it was a big mistake. Your aim should be to purchase plenty of coverage at an affordable rate while not skimping on critical coverages.
You just learned some good ideas how to save on car insurance. The key thing to remember is the more price quotes you have, the better your comparison will be. Consumers could even find that the lowest premiums are with a small mutual company. Some small companies can often provide lower rates in certain areas than the large multi-state companies such as Allstate or State Farm.