Have you had enough of trying to scrape together enough money to buy car insurance? You’re in the same situation as many other Texas drivers. Having so many different company options, it can be challenging to find the cheapest provider.
More discounts equal less premium
Companies offering auto insurance do not advertise every discount very clearly, so we break down both the well known and the more hidden ways to save on car insurance. If you’re not getting every credit you qualify for, you’re paying more than you need to.
- Good Student – Getting good grades can get you a discount of up to 25%. This discount can apply up to age 25.
- Save over 55 – If you qualify as a senior citizen, you may be able to get a discount up to 10%.
- No Claims – Drivers with accident-free driving histories can earn big discounts as compared to accident-prone drivers.
- Drivers Education – Make teen driver coverage more affordable by requiring them to take driver’s ed class if it’s offered in school.
- Air Bag Discount – Cars that have air bags or motorized seat belts may earn rate discounts of more than 20%.
- Auto/Home Discount – When you have multiple policies with one insurance company you may earn at least 10% off all policies.
- Anti-theft System – Cars that have factory anti-theft systems help deter theft and earn discounts up to 10%.
- Federal Employees – Simply working for the federal government may qualify you for a discount with certain companies.
- Driver Safety – Taking part in a driver safety course could save 5% or more if your company offers it.
Drivers should understand that most credits do not apply the the whole policy. Most only apply to specific coverage prices like liability, collision or medical payments. So despite the fact that it appears you can get free auto insurance, companies don’t profit that way.
For a list of insurance companies who offer car insurance discounts in Midland, click here.
Good Decisions Result in Lower Rates
Consumers need to have an understanding of the different types of things that help determine car insurance rates. Knowing what influences your rates enables informed choices that could result in much lower annual insurance costs.
The following are a partial list of the pieces car insurance companies consider when setting premiums.
- Do you work long hours in a high stress job? – Jobs such as judges, social workers and financial analysts have higher average rates attributed to stressful work requirements and lengthy work days. Conversely, jobs such as farmers, engineers and the unemployed get better rates.
- Theft deterrents lower rates – Driving a car with anti-theft technology or alarm system can help bring down rates. Anti-theft devices such as tamper alarm systems, vehicle immobilizer technology and General Motors OnStar all hinder car theft.
- Claim-free discounts can add up – Companies in Texas award better rates to people who file claims infrequently. If you frequently file small claims, you can pretty much guarantee either higher rates or even cancellation. Car insurance is intended to be relied upon for larger claims.
- Is your vehicle built for speed? – The performance of the car you own makes a significant difference in determining your rates. Economy passenger vehicles usually have the lowest rates, but there are many factors that impact the final cost.
More sites with car insurance information
Even more information is located at the Texas Department of Insurance website. Visitors are able to read industry bulletins, find disaster information, learn about insurance regulations, and find a variety of consumer forms.
The best insurance company isn’t always the cheapest
In this article, we covered a lot of information how to lower your car insurance rates. It’s most important to understand that the more companies you get rates for, the better your chances of lowering your rates. You may be surprised to find that the lowest priced car insurance comes from some of the lesser-known companies. Some small companies can often provide lower rates in certain areas as compared to the big name companies such as Allstate, GEICO and Progressive.
While you’re price shopping online, do not sacrifice coverage to reduce premiums. There are a lot of situations where an insured dropped physical damage coverage only to regret that a couple dollars of savings turned into a financial nightmare. Your aim should be to buy a smart amount of coverage for the lowest price while not skimping on critical coverages.
The cheapest car insurance can be purchased both online and with local Midland insurance agents, and you need to price shop both in order to have the best chance of saving money. Some insurance companies do not offer the ability to get a quote online and most of the time these smaller companies sell through independent agents.