Are you sick and tired of being strong-armed to insure your vehicles every month? Your situation is no different than many other Texas drivers. Many car insurance companies compete for your insurance dollar, so it’s not easy to compare every company to discover the definitive lowest rate possible.
Smart consumers take time to do rate comparisons once or twice a year since rates are usually higher with each renewal. Just because you found the lowest rates on your last policy there may be better deals available now. So forget all the misinformation about auto insurance because we’re going to show you the fastest way to find lower rates on auto insurance.
Informed Drivers can Cut Their Rates
An important part of buying insurance is that you know the rating factors that help determine the rates you pay for auto insurance. Understanding what controls the rates you pay enables informed choices that will entitle you to better auto insurance rates.
- Don’t sacrifice liability coverage – Liability insurance is the protection if ever a jury decides you are liable for damages caused by your negligence. Liability provides legal defense coverage which can be incredibly expensive. This coverage is very inexpensive compared to physical damage coverage, so buy as much as you can afford.
- Where you reside plays a part – Being located in a small town has it’s advantages when it comes to auto insurance. Drivers in populated areas have congested traffic and longer commutes to work. Lower population means a lower chance of having an accident as well as less vandalism and auto theft.
- Bundling policies can get discounts – Many auto insurance companies will award you with lower prices to customers who have multiple policies with them. It’s known as a multi-policy discount. Discounts can add up to ten or even up to twenty percent in some cases. Even though this discount sounds good, you may still want to comparison shop to make sure you are getting the best deal. You may still find a better deal by buying insurance from more than one company.
- Being married can save on auto insurance – Getting married helps lower the price on your policy. Having a spouse translates into being more mature and responsible and it’s statistically proven that being married results in fewer claims.
- Do you need the policy add-ons? – There are many additional coverages that can waste your money on your policy. Coverages for rental car reimbursement, accident forgiveness and membership fees are some examples. They may seem like a good idea initially, but your needs may have changed so eliminate them to save money.
- Lower rates come with age – Teenage drivers in Texas are known to be less responsible behind the wheel so they pay higher auto insurance rates. Adding a young driver to your auto insurance policy can be very expensive. Older drivers tend to be more responsible, statistically cause fewer accidents and get fewer tickets.
- Drive a safer car and pay less – Vehicles with high crash test scores tend to have better insurance rates. These vehicles result in less severe injuries and lower injury rates means lower claim amounts and lower rates for you.
- Small claims can cost you – Insurance companies in Texas provide discounts to drivers who are claim-free. If you file claims often, you can definitely plan on either a policy non-renewal or much higher rates. Car insurance is intended to be relied upon for major claims that would cause financial hardship.
Cut your premium with discounts
Insuring your vehicles can cost a lot, but you can get discounts to cut the cost considerably. Some trigger automatically when you complete an application, but lesser-known reductions have to be manually applied before they will apply. If you’re not getting every credit you deserve, you’re paying more than you need to.
- Air Bag Discount – Vehicles equipped with air bags or automatic seat belts can get savings of more than 20%.
- Defensive Driver – Taking a course in driver safety could save 5% or more if your company offers it.
- Auto/Life Discount – Some companies give a break if you buy life insurance from them.
- Distant Student – Any of your kids who attend school more than 100 miles from home and don’t have a car may qualify for this discount.
- Claim Free – Drivers with accident-free driving histories pay less as compared to bad drivers.
Keep in mind that most discounts do not apply to the entire cost. Some only apply to the price of certain insurance coverages like collision or personal injury protection. So even though it sounds like all the discounts add up to a free policy, companies don’t profit that way. Any qualifying discounts will reduce the amount you have to pay.
To see a list of insurance companies with discount auto insurance rates in Mesquite, click here.
Beware of misleading auto insurance ads
Consumers in Texas can’t get away from ads for cheaper car insurance by companies like State Farm and Allstate. All the companies make an identical promise that you can save after switching to them.
How can each company claim to save you money?
All the different companies have a preferred profile for the right customer that makes them money. An example of a preferred risk might be profiled as between the ages of 30 and 50, owns a home, and has a short commute. A customer getting a price quote who meets those qualifications will qualify for the lowest rates and is almost guaranteed to save a lot of money.
Drivers who do not match the “perfect” profile will be quoted a higher premium which leads to the customer not buying. Company advertisements say “drivers who switch” not “everybody who quotes” save that much. That’s the way companies can claim big savings.
This emphasizes why drivers must quote coverage with many companies. You cannot predict which insurance companies will provide you with the cheapest rates.
Additional auto insurance information can be found on the website for the Texas Department of Insurance found here. Visitors are able to read enforcement actions against agents and companies, learn about specific coverages, and view a list of available companies.
The following information may also be useful.
And the best car insurance company is…
When shopping online for auto insurance, do not sacrifice coverage to reduce premiums. In many cases, consumers will sacrifice physical damage coverage only to regret at claim time that a couple dollars of savings turned into a financial nightmare. Your focus should be to purchase a proper amount of coverage at an affordable rate.
Discount auto insurance can be bought on the web as well as from independent agents in Mesquite, and you should compare price quotes from both to have the best rate selection. Some insurance companies don’t offer the ability to get a quote online and many times these small insurance companies only sell through independent insurance agents.