Overwhelmed by the dozens of car insurance companies in Oak Ridge? You’re not alone. Consumers have so many choices that it can be a real hassle to find the lowest price.
It’s a good habit to check car insurance prices before your policy renews because insurance rates tend to go up over time. Despite the fact that you may have had the lowest price a few years ago a different company probably has better rates today. You’ll find quite a bit of inaccurate information about car insurance on the internet, so by reading this article, you’re going to learn a bunch of ideas how to reduce your car insurance bill.
Finding the best rates in Oak Ridge is easy if you know what you’re doing. If you are paying for car insurance now, you should be able to cut costs considerably using these tips. Nevertheless, Tennessee vehicle owners must comprehend how the larger insurance companies price insurance differently.
Discounts are available to cut your rates
Companies don’t always publicize all available discounts very well, so here is a list both well-publicized and the more hidden ways to save on car insurance.
- Seat Belts Save – Buckling up and requiring all passengers to use a seat belt can save up to 15% off your PIP or medical payments premium.
- Multi-policy Discount – If you insure your home and vehicles with one company you could get a discount of 10% to 20% off each policy.
- Organization Discounts – Being a member of a civic or occupational organization is a good way to get lower rates on your policy.
- Life Insurance – Select insurance companies reward you with a discount if you purchase life insurance from them.
- Multiple Vehicles – Buying coverage for multiple vehicles on one policy can get a discount on all vehicles.
- Discount for New Cars – Insuring a new car is cheaper because new vehicles have to meet stringent safety requirements.
- Drivers Ed for Students – Cut your cost by having your teen driver take driver’s ed class in high school.
- One Accident Forgiven – Some insurance companies will forgive one accident before raising your premiums if your claims history is clear for a particular time prior to the accident.
- Driver Safety – Completing a course in driver safety could save 5% or more if you qualify.
Drivers should understand that most of the big mark downs will not be given to the overall cost of the policy. Most only apply to the cost of specific coverages such as physical damage coverage or medical payments. So when the math indicates you would end up receiving a 100% discount, you’re out of luck.
To choose insurers with the best car insurance discounts in Tennessee, click here.
How to Compare Car Insurance in Oak Ridge, TN
There are a lot of ways to compare car insurance quotes, but some are easier and takes less work. You could waste time talking to insurance agencies in Oak Ridge, or you can stay home and use the internet to get prices fast.
Most of the best insurance companies are enrolled in a marketplace that enables customers to only type in their quote data once, and every company provides a quote determined by their information. This system prevents you from having to do quote forms for every car insurance company.
To compare rates using this form now click here to open in new window.
The single downside to using this type of system is you are unable to specify which companies to get pricing from. So if you prefer to choose individual companies to receive pricing from, we have assembled a list of companies who write car insurance in Tennessee. Click here to view list.
Which method you use is up to you, but make sure you use exactly the same coverages with every price quote. If the quotes have differing limits it will be very difficult to make an equal comparison in Oak Ridge. Quoting even small variations in coverage limits can result in a big premium difference. And when quoting car insurance, remember that having more price comparisons helps locate the best offered rates.
How your Oak Ridge rates are determined
An important part of buying insurance is that you know some of the elements that play a part in calculating the price you pay for car insurance. Having a good understanding of what determines base rates empowers consumers to make smart changes that may reward you with lower car insurance prices.
Shown below are a few of the “ingredients” used by your company to calculate rates.
- Don’t sacrifice liability coverage – Your policy’s liability coverage provides coverage in the event that you are found to be at fault for damages from an accident. Liability provides legal defense which can cost thousands of dollars. Liability is cheap as compared to coverage for physical damage, so drivers should carry high limits.
- More than one policy can earn a discount – Some insurance companies provide better rates to people who buy several policies from them in the form of a multi-policy discount. Even with this discount, you still need to compare rates to verify if the discount is saving money. Drivers may still find a better deal by splitting coverages up.
- Safer cars cost less to insure – Vehicles with good safety scores are cheaper to insure. The safest vehicles protect occupants better and lower injury rates means lower claim amounts passed on to you as lower rates.
- Men fork out a little more – Statistics have proven that women are safer drivers than men. However, don’t assume that men are worse drivers. Women and men tend to get into accidents in similar percentages, but the males cause more damage and cost insurance companies more money. They also receive more costly citations such as reckless driving.
- Never allow your policy to lapse – Driving your car without having proper coverage is illegal and your next policy will cost more because you let your insurance expire. Not only will rates go up, but being ticketed for driving with no insurance might get you a hefty fine and possibly a revoked license.
- How’s your driving record? – Even one moving violation may increase your cost by twenty percent. Drivers with clean records get better rates than their less careful counterparts. If you have dangerous violations like hit and run, DWI or reckless driving convictions may find they need to file a proof of financial responsibility form (SR-22) with their state DMV in order to prevent a license revocation.
- Frequent car insurance claims increase rates – If you frequently file small claims, you can expect higher rates. Auto insurance companies in Tennessee generally give discounts to drivers who do not rely on their insurance for small claims. Insurance coverage is intended for the bigger claims that can’t be paid out-of-pocket.
- Poor credit can mean higher rates – A driver’s credit score is a big factor in determining your rates. Therefore, if your credit rating is lower than you’d like, you could be paying less to insure your by improving your credit score. Drivers who have good credit tend to be better drivers and file fewer claims as compared to drivers with poor credit.
Everyone needs different coverages
When it comes to choosing the best car insurance coverage for your personal vehicles, there really is not a best way to insure your cars. Every insured’s situation is different.
For example, these questions may help you determine if your insurance needs might need professional guidance.
- Is Tennessee a no-fault state?
- Does medical payments coverage apply to all occupants?
- Should I have combined single limit or split liability limits?
- What happens if I owe more than my vehicle is worth?
- Can I rate high risk drivers on liability-only vehicles?
- What is the difference between comprehensive and collision coverage?
- Are my tools covered if they get stolen from my vehicle?
If you’re not sure about those 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.
Can you really save $424 a year?
Companies like State Farm and Allstate continually stream ads on television and other media. All the ads say the same thing of big savings after switching to their company. How does each company claim to save you money? It’s all in the numbers.
All companies are able to cherry pick for the type of customer that is profitable for them. A good example of a profitable customer might be between the ages of 40 and 55, a clean driving record, and has excellent credit. A propective insured that hits that “sweet spot” is entitled to the best price and most likely will save when they switch companies.
Potential customers who don’t qualify for the requirements will have to pay a more expensive rate which usually ends up with the driver buying from a lower-cost company. The ads state “customers who switch” not “everybody who quotes” save that much money. This is how insurance companies can confidently claim big savings. Because of the profiling, drivers must compare as many rates as you can. It’s just too difficult to predict which car insurance company will have the lowest rates.
Do the work, save more money
You just learned some good ideas how you can save on car insurance. It’s most important to understand that the more companies you get rates for, the more likely it is that you will get a better rate. You may even discover the most savings is with a company that doesn’t do a lot of advertising.
Low-cost car insurance is attainable on the web and also from your neighborhood Oak Ridge agents, so compare prices from both in order to have the best price selection to choose from. Some car insurance companies may not provide online quoting and most of the time these small insurance companies sell through independent agents.
As you go through the steps to switch your coverage, make sure you don’t buy lower coverage limits just to save a few bucks. In many instances, an insured cut comprehensive coverage or liability limits only to regret that a couple dollars of savings turned into a financial nightmare. The proper strategy is to find the BEST coverage at an affordable rate while still protecting your assets.
More detailed Tennessee car insurance information can be read at the Tennessee Department of Commerce and Insurance website. Tennessee consumers can find disaster information, learn about specific coverages, learn about insurance regulations, and download brochures.