Having to pay for overpriced auto insurance can overdraw your bank account and make it hard to pay other bills. Doing a price comparison is a great way to make sure you’re not throwing money away. Because you have many auto insurance companies to choose from, it can be hard to locate the most cost effective company.
The purpose of this article is to teach you the most effective way to quote insurance. If you currently have a car insurance policy, you should be able to reduce your rates substantially using these methods. Virginia drivers just need to learn the proper methods to find the lowest price over the internet.
Why some people pay less for insurance in Radford
An important part of buying insurance is that you know the factors that play a part in calculating the rates you pay for auto insurance. When you know what positively or negatively controls the rates you pay enables informed choices that could result in lower auto insurance prices.
Shown below are some of the items auto insurance companies consider when setting premiums.
- Traffic citations inflate rates – Your driving citation history has a big impact on rates. Drivers with clean records have lower premiums than bad drivers. Just one speeding ticket may increase your cost forty percent or more. Drivers who have serious citations like hit and run, DWI or reckless driving convictions may need to file a proof of financial responsibility form (SR-22) to the state department of motor vehicles in order to continue driving.
- One company can mean more discounts – Most insurance companies will award you with lower prices to policyholders who carry more than one policy in the form of a multi-policy discount. Even if you’re getting this discount it’s in your best interest to shop around to ensure the best deal.
- Do you know you’re credit rating? – Having a bad credit score is a large factor in determining what you pay for auto insurance. If your credit is lower than you’d like, you could pay less to insure your by improving your rating. Consumers who have excellent credit tend to be less risk to insure than drivers with poor credit.
- The type of vehicle makes a difference – The performance level of the car you are insuring makes a huge difference in the rate you pay. The lowest rates are generally reserved for low performance passenger models, but the final cost of insurance is determined by many other factors.
- Pleasure use saves money – The more you drive each year the higher your rates will be. Almost all companies price each vehicle’s coverage based on how the vehicle is used. Cars used primarily for pleasure use receive lower rates compared to those used for work or business. Double check that your auto insurance policy is showing the correct driver usage, because improper ratings can cost you money.
- High deductibles save money – Coverage for physical damage, termed comprehensive and collision coverage on your policy, is used to repair damage to your car. Examples of covered claims are a windshield shattered by a rock, damage caused by hail, or theft. Deductibles for physical damage are how much you are willing to pay if you file a covered claim. The more you’re willing to pay, the less your company will charge you for insurance.
- Frequent auto insurance claims increase rates – Companies in Virginia give lower rates to policyholders who do not rely on their insurance for small claims. If you frequently file small claims, you can expect either policy cancellation or increased premiums. Car insurance is intended to be relied upon for the large, substantial claims.
Pay less by taking advantage of discounts
The price of auto insurance can be rather high, but you can get discounts to reduce the price significantly. Some discounts apply automatically at the time of quoting, but a few must be specifically requested before you get the savings. If you’re not getting every credit you deserve, you’re paying more than you need to.
- Defensive Driver – Taking part in a defensive driving course can save you 5% or more depending on where you live.
- Drivers Ed for Students – Have your child successfully complete driver’s ed class if it’s offered in school.
- Safe Driver Discount – Insureds without accidents may save up to 50% more than their less cautious counterparts.
- No Accidents – Good drivers with no accidents pay much less compared to frequent claim filers.
- Auto/Home Discount – When you have multiple policies with the same company you may earn 10% to 20% off each policy.
- Discount for New Cars – Putting insurance coverage on a new car can cost up to 25% less because new vehicles have to meet stringent safety requirements.
- Good Student Discount – A discount for being a good student can save 20 to 25%. The discount lasts well after school through age 25.
- Accident Waiver – Certain companies will forgive one accident without raising rates so long as you haven’t had any claims for a particular time prior to the accident.
- Low Mileage – Fewer annual miles could qualify for better rates on cars that stay parked.
- Military Rewards – Having a family member in the military may qualify for rate reductions.
Consumers should know that most discount credits are not given to all coverage premiums. Most only apply to the cost of specific coverages such as liability, collision or medical payments. So even though it sounds like adding up those discounts means a free policy, auto insurance companies aren’t that generous. But any discount will reduce your overall premium however.
To choose providers with the best auto insurance discounts in Radford, click here to view.
Shop online but buy locally
Certain consumers would prefer to talk to a local agent and that is OK! Educated insurance agents can answer important questions and give you peace of mind. One of the best bonuses of getting online price quotes is that you can obtain better rates and still have an agent to talk to. Supporting local businesses is important especially in Radford.
To help locate an agent, after submitting this short form, your insurance data gets sent to companies in Radford who will battle for your coverage. You don’t have to leave your house because quoted prices will be sent directly to your email. It doesn’t get any easier!
What type of Radford insurance agency is right for you?
When looking for a good Radford insurance agent, there are two different types of agents to choose from. Insurance agencies in Radford are classified as either captive or independent (non-captive). While both can insure your vehicles, but it’s important to know the difference between them because it can influence your agent selection.
Independent Agents
Independent agents are not required to write business for one company so they can insure your vehicles with any number of different companies and potentially find a lower price. To move your coverage to a new company, an independent agent can move your coverage without you having to go to a different agency.
When searching for an agent, you should always contact at least one independent agent for maximum quote selection.
Below is a list of independent insurance agencies in Radford who can help you get pricing information.
Hill Insurance – 206 W Main St – Radford, VA 24141 – (540) 639-3901
Captive Insurance Agents
Captive agents work for only one company such as AAA, Allstate, State Farm, Farmers Insurance or Liberty Mutual. They usually cannot place coverage with different providers so they have to upsell other benefits. These agents are usually quite knowledgeable on the products they sell which helps them compete with independent agents.
The following are captive agents in Radford who can help you get price quote information.
State Farm Insurance – 612 W Main St – Radford, VA 24141 – (540) 639-3810
To view a complete directory of Radford captive insurance agents, please click here.
Picking an auto insurance agent requires more thought than just the premium amount. Here are some questions to ask:
- If you are a high risk driver, do they have special markets for your coverage?
- Do they carry Errors and Omissions coverage?
- Which members of your family are coverage by the policy?
- Which insurance companies are they affiliated with?
- Will your rates increase after a single accident?
- What are the financial ratings for the companies they represent?
- What will you get paid if your car is a total loss? How is that amount determined?
- What is the agency’s Better Business Bureau rating?
Upon getting positive feedback to your questions in addition to an acceptable price estimate, it’s possible that you found a car insurance agent that is a good match to adequately provide auto insurance.
Auto insurance ads bend the truth
Virginia drivers can’t ignore all the ads for cheaper car insurance from the likes of State Farm, Allstate and Geico. All the companies say the same thing about savings if you change your coverage to them.
How do they all say the same thing? This is how they do it.
Insurance companies have a preferred profile for the type of customer that is profitable for them. An example of a driver they prefer could possibly be between the ages of 40 and 55, is a homeowner, and has excellent credit. A customer getting a price quote who matches those parameters gets the lowest rates and as a result will probably pay quite a bit less when switching companies.
Drivers who don’t measure up to this ideal profile must pay a higher premium and this can result in the customer not buying. The ads state “customers who switch” not “everybody who quotes” save that much. That’s the way companies can make the claims of big savings.
This illustrates why it’s extremely important to compare many company’s rates. You cannot predict which insurance companies will have the lowest rates.
Additional reading for auto insurance information
Additional auto insurance information is available on the website for the Virginia Bureau of Insurance located here. Visitors are able to file complaints about an insurance agent or broker, find out industry alerts, and get help finding coverage.
A little work can save a LOT of money
While you’re price shopping online, it’s not a good idea to sacrifice coverage to reduce premiums. In many cases, an insured cut liability coverage limits only to find out that a couple dollars of savings turned into a financial nightmare. Your strategy should be to purchase a proper amount of coverage at the best price while still protecting your assets.
Affordable auto insurance is possible from both online companies and also from your neighborhood Radford agents, and you need to price shop both to have the best rate selection. A few companies may not provide you the ability to get quotes online and these small, regional companies work with independent agents.
We’ve covered a lot of information how to compare auto insurance prices online. The most important thing to understand is the more quotes you get, the better chance you’ll have of finding lower rates. You may even find the best prices are with a company that doesn’t do a lot of advertising. Smaller companies often have lower prices on specific markets as compared to the big name companies such as Progressive or Geico.