Car insurance shoppers not familiar with comparing quotes online are likely to find locating to be a formidable task.
Finding the best rates in Pleasant Grove is not rocket science. If you currently have car insurance, you will most likely be able to save some money using these techniques. But Alabama car owners must understand the way companies price online insurance and apply this information to your search.
Reduce Your Rates with these tips
Smart consumers have a good feel for some of the factors that come into play when calculating the rates you pay for auto insurance. If you have some idea of what impacts premium levels, this allows you to make good choices that may result in much lower annual insurance costs. Many things are used in the calculation when you quote your car insurance policy. A few of the factors are predictable such as your driving record, although others are more transparent such as whether you are married or how financially stable you are.
The following are most of the major factors used by insurance companies to determine your rates.
- High policy claims frequency drives up rates – If you are the type of insured that files lots of claims you can look forward to much higher rates or policy non-renewal. Insurance companies in Alabama provide discounts to drivers who are not frequent claim filers. Auto insurance is meant to be used in the event of larger claims.
- Save money with higher physical damage deductibles – Physical damage deductibles tell how much you are willing to pay out-of-pocket before a claim is paid by your company. Insurance for physical damage, also known as collision and other-than-collision, is used to repair damage to your car. Some coverage claims would be collision with another vehicle, vandalism, and having a roll-over accident. The more of the claim you choose to pay out-of-pocket, the better rate you will receive.
- Discounts for multiple policies – Most major insurance companies will give a discount to buyers who consolidate policies with them, otherwise known as a multi-policy discount. The discount can add up to ten or even up to twenty percent in some cases. Even if you qualify for this discount already, consumers should still compare other insurance prices to ensure the best deal.
- Rates are impacted by vehicle performance – The type of vehicle you are insuring makes a substantial difference in your premium level. The best insurance prices tend to be for low performance passenger cars, but other factors influence the final cost greatly.
- Never let your coverage expire – Driving any period of time without insurance can get your license suspended and any future policy may cost more because you let your coverage lapse. In addition to paying higher rates, failure to provide proof of insurance could earn you a fine, jail time, or a revoked license.
- Getting married can lower costs – Having a significant other helps lower the price on your auto insurance bill. Having a spouse translates into being more mature and responsible and it’s statistically proven that married drivers tend to have fewer serious accidents.
- Youthful drivers cost more – Inexperience drivers are known to be inattentive when driving and because of this, their auto insurance rates are much higher. Parents adding a youthful driver to your policy can break the bank. More experienced drivers tend to be more responsible, statistically cause fewer accidents and are safer drivers.
- Do you have enough liability? – Liability coverage is the protection when you are responsible for causing damage or personal injury in an accident. It provides for a legal defense to attempt to prove you were not liable. Carrying liability coverage is mandatory and cheap compared to insuring for physical damage coverage, so drivers should carry high limits.
There are a variety of methods to shop for auto insurance, but one way is less labor-intensive and much quicker. You could waste time driving to insurance agencies in Pleasant Grove, or you can stay home and use online quoting for quick rates.
Most major companies are enrolled in a marketplace that allows shoppers to enter their policy data once, and every company provides a quote based on that data. This saves time by eliminating quote requests to every company.
To find out how much you’re overpaying now click to open in new window.
The one downside to using this type of system is that consumers can’t choose the providers you will receive quotes from. So if you prefer to pick individual companies for rate comparison, we have assembled a list of auto insurance companies in Alabama. Click here for list of insurance companies in Alabama.
Whichever way you choose to compare rates, ensure you are comparing apples-to-apples coverages on every price quote you get. If you enter different limits and deductibles on each one it’s impossible to decipher which rate is best in Pleasant Grove. Quoting even small variations in insurance coverages or limits could skew the results. And when quoting auto insurance, remember that quoting more increases your odds of finding the best rates. Some insurance companies are not set up to provide prices over the internet, so it’s recommended that you also compare price estimates from them, too.
Save 15 percent in 15 minutes? Is it for real?
Auto insurance companies such as State Farm, GEICO and Progressive seem to constantly run ads on TV and radio. All the ads make the point of big savings if you get a free and switch your policy. Is it even possible that every company can say the same thing? It’s all in the words they use.
Insurance companies provide the lowest rates for the type of driver that will most likely be profitable. One example of this type of driver may be between the ages of 30 and 50, insures multiple vehicles, and drives less than 5,000 miles a year. A propective insured that meets those criteria will probably get cheap premium rates and will pay quite a bit less when switching companies.
Drivers who are not a match for these stringent criteria will have to pay a higher premium and the driver buying from a lower-cost company. If you listen to the ad wording, they say “drivers who switch” not “everybody who quotes” can save as much as they claim. This is how insurance companies can confidently make claims that they all have the best prices. This illustrates why drivers should quote coverage with many companies. It’s not possible to predict which auto insurance company will give you the biggest savings.
More discounts mean lower premiums
Companies don’t always list every disount available in an easy-to-find place, so the below list has some of the more common as well as the least known discounts that may be available.
- Driver’s Education for Students – It’s a good idea to have your young drivers participate in a local driver’s education class if it’s offered in school.
- Air Bags and Passive Restraints – Factory options such as air bags or automatic seat belts could see savings as much as 30%.
- Drive Less and Save – Keeping the miles down may allow you to get substantially lower premium rates.
- Sign Online – Many insurance companies provide a small discount for signing up on the web.
- Driving Data Discount – People who choose to allow data collection to analyze their driving habits by installing a telematics device like In-Drive from State Farm and Progressive’s Snapshot may see discounts as long as they are good drivers.
- Save over 55 – Mature drivers can possibly qualify for lower premium rates.
You can save money using discounts, but most discounts do not apply to your bottom line cost. Most only apply to specific coverage prices like liability and collision coverage. So when the math indicates adding up those discounts means a free policy, it’s just not the way it works.
A list of auto insurance companies and a partial list of their discounts are included below.
- Farmers Insurance offers discounts including youthful driver, homeowner, pay in full, teen driver, and distant student.
- State Farm includes discounts for Drive Safe & Save, student away at school, good driver, multiple autos, accident-free, Steer Clear safe driver discount, and multiple policy.
- Liberty Mutual offers discounts for newly married, good student, teen driver discount, newly retired, hybrid vehicle, and preferred payment discount.
- MetLife offers premium reductions for multi-policy, claim-free, defensive driver, good student, and accident-free.
- Progressive discounts include online quote discount, multi-vehicle, continuous coverage, homeowner, online signing, good student, and multi-policy.
Before purchasing a policy, check with each insurance company which credits you are entitled to. Some discounts listed above may not apply to policies in Pleasant Grove.
It’s not one size fits all
When it comes to choosing proper insurance coverage for your personal vehicles, there really is not a single plan that fits everyone. Each situation is unique.
For example, these questions might point out if your insurance needs would benefit from an agent’s advice.
- Do I need higher deductibles?
- Does my insurance cover a custom paint job?
- Do I have coverage when using my vehicle for my home business?
- Does my vehicle qualify for pleasure use?
- Do I need added coverage for expensive stereo equipment?
- Is rental equipment covered for theft or damage?
- Should I sign the liability waiver when renting a car?
- What is covered by UM/UIM coverage?
- What can I do if my company denied a claim?
- Should I have combined single limit or split liability limits?
If you don’t know the answers to these questions but one or more may apply to you then you might want to talk to a licensed insurance agent. To find an agent in your area, simply complete this short form.
Even more information is located at the Alabama Department of Insurance website. Alabama consumers can read industry bulletins, learn about specific coverages, file complaints about an insurance agent or broker, and download brochures.
More related Pleasant Grove auto insurance information:
Quote more, save more
Insureds change insurance companies for a variety of reasons including lack of trust in their agent, being labeled a high risk driver, unfair underwriting practices and denial of a claim. Regardless of your reason for switching companies, choosing a new company is pretty simple and you could end up saving a buck or two.
When shopping online for auto insurance, you should never buy less coverage just to save a little money. There are many occasions where someone dropped physical damage coverage and found out when filing a claim that a couple dollars of savings turned into a financial nightmare. The ultimate goal is to purchase a proper amount of coverage at the best price while not skimping on critical coverages.
In this article, we presented many ways to compare auto insurance premium rates online. It’s most important to understand that the more quotes you get, the better likelihood of getting . You may even find the lowest premium rates come from a smaller regional carrier.