Having to pay for overpriced auto insurance can empty your savings account and force you to prioritize other expenses. Doing a price comparison is free, only takes a few minutes, and is a good way to slash your bill and have more diposable income. Drivers have multiple insurance companies to buy insurance from, and although it’s nice to have a choice, it can be more difficult to find the lowest rates.
How much can you save with discounts?
Companies do not advertise every discount in a way that’s easy to find, so here is a list some of the more common and the more hidden discounts you could be receiving. If you aren’t receiving every discount you deserve, you’re paying more than you need to.
- Discount for Life Insurance – Larger companies have better rates if you take out auto and life insurance together.
- Payment Discounts – If you pay your bill all at once instead of paying each month you may reduce your total bill.
- Anti-lock Brake System – Anti-lock brake equipped vehicles can reduce accidents and will save you 10% or more.
- One Accident Forgiven – Certain companies permit an accident before your rates go up if your claims history is clear for a certain period of time.
- Safe Driver Discount – Insureds without accidents can get discounts for up to 45% lower rates than less cautious drivers.
As a disclaimer on discounts, most discounts do not apply to all coverage premiums. A few only apply to specific coverage prices like liability and collision coverage. So even though it sounds like all the discounts add up to a free policy, you won’t be that lucky.
For a list of insurers with discount auto insurance rates in Idaho, click here.
Save Money with These Tips
It’s important that you understand the rating factors that play a part in calculating auto insurance rates. Understanding what determines base rates helps enable you to make changes that can help you get lower auto insurance prices.
- Your spouse saves you money – Getting married can actually save you money on auto insurance. Marriage means you’re more mature and responsible and statistics show drivers who are married are more cautious.
- Bad driving skills means higher rates – A bad driving record has a lot to do with how much you pay for insurance. Even one speeding ticket can bump up the cost by twenty percent. Drivers who don’t get tickets receive lower rates than people who have multiple driving citations. If you have severe violations such as DUI or reckless driving may find they need to submit a SR-22 or proof of financial responsibility with the DMV in their state in order to drive a vehicle legally.
- Younger drivers pay higher rates – Youthful drivers in Idaho are known to be careless and easily distracted when driving so auto insurance rates are higher. Adding a teen driver onto your auto insurance can break the bank. More mature drivers are more cautious drivers, tend to file fewer claims and get fewer tickets.
- Women pay lower rates – Statistics have proven that men are more aggressive behind the wheel. That doesn’t necessarily mean that men are WORSE drivers than women. They both tend to get into accidents in similar percentages, but men cause more damage. Men also have more aggressive citations like DUI and reckless driving. Male drivers age 16 to 19 are several times more likely to be in an accident and therefore are the most expensive to insure.
- High crash test scores lower rates – Safer cars get lower rates. Safe vehicles protect occupants better and lower injury rates translates into savings for insurance companies and thus lower rates.
- Rural vs Urban Areas – Choosing to live in a rural area has it’s advantages when buying auto insurance. Urban drivers have to deal with congested traffic and longer commutes to work. Lower population translates into fewer accidents and a lower car theft rate.
- Performance influences rates – The performance of the vehicle you are buying insurance for makes a substantial difference in how high your rates are. Lower performance four cylinder passenger vehicles generally receive the lowest base rates, but the cost you end up paying is determined by many additional factors.
- Your auto insurance rates can be influenced by your job – Occupations such as real estate brokers, social workers and stock brokers tend to pay the highest rates in part from high stress levels and lengthy work days. On the other hand, jobs such as actors, students and the unemployed have the lowest average rates.
Comparing rates from local agents
A small number of people prefer to buy from a local agent and that is a personal choice. Insurance agents can point out coverage gaps and help in the event of a claim. The best thing about getting online price quotes is that you can obtain the lowest rates and still choose a local agent.
After completing this quick form, your coverage information is instantly submitted to local insurance agents in Hayden who will give you bids for your insurance coverage. There is no need to visit any agencies because quoted prices will be sent straight to your inbox. Now that’s easy!
Picking a company shouldn’t rely on just the price. Ask your prospective agent these questions:
- If you are a high risk driver, do they have special markets for your coverage?
- How long has their agency been in business in Hayden?
- Are they properly licensed to sell insurance in Idaho?
- Do they assist clients in filing claims?
- If your car is in the repair shop, do you have coverage for a rental car?
- Do they carry Errors and Omissions coverage?
- Are glass claims handled on-site or do you have to take your vehicle to a repair shop?
To select a specific agent in Hayden, please click here.
After getting positive responses to all your questions as well as a affordable price, it’s possible that you found an insurance company that will service your policy.
Save $495 a year? Really?
Consumers in Idaho can’t get away from ads for car insurance savings by companies like State Farm, Geico and Progressive. They all have a common claim that you can save if you change to them.
But how can every company claim to save you money? It’s all in the numbers.
All companies have a preferred profile for the type of customer that earns them a profit. An example of a desirable insured could possibly be over the age of 40, is a homeowner, and drives less than 7,500 miles a year. A driver that hits that “sweet spot” is entitled to the best price and as a result will probably pay quite a bit less when switching companies.
Potential customers who don’t measure up to the “perfect” profile will be charged more money which leads to business not being written. The ads state “people who switch” not “everyone that quotes” save that kind of money. This is how insurance companies can confidently make those claims. That is why you need to get quotes from several different companies. It is impossible to predict the company that will fit your personal profile best.
More detailed Idaho auto insurance information can be read at the Idaho Department of Insurance website. Consumers can view agent and company licensing information, download brochures, and find a variety of consumer forms.
Other useful links include this page for auto insurance in Idaho and CarInsuranceDIY.com.
In conclusion
In this article, we presented some good ideas how to get a better price on auto insurance. The key thing to remember is the more rate comparisons you have, the more likely it is that you will get a better rate. You may be surprised to find that the lowest priced auto insurance comes from an unexpected company. Smaller companies may cover specific market segments cheaper compared to the large companies like Progressive or Geico.
When shopping online for auto insurance, make sure you don’t reduce needed coverages to save money. In many cases, drivers have reduced physical damage coverage only to find out that it was a big mistake. Your aim should be to buy a smart amount of coverage at a price you can afford, not the least amount of coverage.