Having to pay for overpriced car insurance can take a big chunk out of your bank account and force you to prioritize other expenses. Shopping your coverage around is free, only takes a few minutes, and is a good way to reduce premiums and put more money in your pocket. Having so many choices, it is very difficult to pick the best provider.
Consumers should take time to price shop coverage at least once a year due to the fact that insurance rates are adjusted regularly by insurance companies. If you had the lowest price a couple years back there may be better deals available now. There is a lot of wrong information about car insurance online, so we’re going to give you a bunch of ideas how to put money back in your pocket.
Shopping for cheaper car insurance coverage in Vermillion is easy if you know what you’re doing. If you have a policy now or are looking for a new policy, you will benefit by learning to shop for the lowest rates while maintaining coverages. South Dakota vehicle owners only need an understanding of the most efficient way to buy car insurance online.
Don’t overlook these discounts
Properly insuring your vehicles can get expensive, but there are discounts available that you may not know about. Most are applied at the time of quoting, but less common discounts must be asked about prior to getting the savings. If you don’t get every credit you deserve, you’re just leaving money on the table.
- Defensive Driving Course – Successfully completing a driver safety course can save you 5% or more and easily recoup the cost of the course.
- New Vehicle Savings – Buying coverage on a new vehicle can save up to 30% because new vehicles have to meet stringent safety requirements.
- No Charge for an Accident – A handful of insurance companies will allow you to have one accident before hitting you with a surcharge as long as you don’t have any claims prior to the accident.
- Military Rewards – Being deployed with a military unit can result in better rates.
- No Claims – Drivers who don’t have accidents can save substantially when compared to frequent claim filers.
- Life Insurance Discount – Companies who offer life insurance give a discount if you purchase a life insurance policy as well.
- Early Signing – Some insurance companies reward drivers for switching to them before your current policy expires. This can save 10% or more.
- Multiple Vehicles – Having multiple vehicles with the same company could earn a price break for each car.
A little note about advertised discounts, some credits don’t apply the the whole policy. The majority will only reduce the cost of specific coverages such as comp or med pay. So even though they make it sound like all those discounts means the company will pay you, it just doesn’t work that way. Any qualifying discounts will help reduce the amount you have to pay.
To see a list of insurance companies with the best car insurance discounts in South Dakota, click this link.
Educated Consumers Know How to Buy Car Insurance Cheaper
Consumers need to have an understanding of the rating factors that come into play when calculating the price you pay for car insurance. Knowing what influences your rates empowers consumers to make smart changes that could result in much lower annual insurance costs.
- An active claims history can cost you – Auto insurance companies in South Dakota generally give lower rates to policyholders who file claims infrequently. If you are a frequent claim filer, you can definitely plan on either a policy non-renewal or much higher rates. Auto insurance is intended to be relied upon for the large, substantial claims.
- Rural vs Urban Areas – Being located in a rural area can be a good thing when insuring your vehicles. Fewer drivers means a lower chance of having an accident and also fewer theft and vandalism claims. Drivers who live in large South Dakota cities regularly have much more traffic to deal with and much longer commute distances. Higher commute times can result in more accidents.
- Is your vehicle built for speed? – The performance level of the vehicle you drive makes a substantial difference in your rates. Low performance passenger models generally have the cheapest insurance rates, but other factors influence the final cost greatly.
- Bump up deductibles to save – Physical damage deductibles represent how much money you are required to spend in the event of a claim. Physical damage insurance, termed comprehensive and collision coverage on your policy, insures against damage to your car. A few examples of covered claims are colliding with a building, damage caused by hail, and rolling your vehicle. The more you have to pay, the less your company will charge you for insurance.
- Never go without insurance – Letting your insurance expire is a guaranteed way to increase your car insurance rates. And not only will insurance be more expensive, but being ticketed for driving with no insurance will get you a hefty fine and possibly a revoked license.
- Your spouse saves you money – Being married helps lower the price when buying car insurance. Having a significant other translates into being more mature and statistics show drivers who are married are more cautious.
- Men pay higher rates – Statistics demonstrate that men are more aggressive behind the wheel. However, this does not mean women are BETTER drivers than men. Women and men have accidents in similar percentages, but men have costlier accidents. Men also get cited for more serious violations like reckless driving and DUI. Male drivers age 16 to 19 are several times more likely to be in an accident and are penalized with high car insurance rates.
Much more information about car insurance in South Dakota is located on the website for the South Dakota Division of Insurance found here. Visitors are able to read consumer alerts, download brochures, and learn about specific coverages.
The best insurance company isn’t always the cheapest
We’ve covered a lot of ways to compare car insurance prices online. The most important thing to understand is the more rate comparisons you have, the higher the chance of saving money. You may even discover the best prices are with a company that doesn’t do a lot of advertising. They may often insure only within specific states and give getter rates compared to the large companies like Progressive and Geico.
Budget-conscious car insurance can be sourced from both online companies and also from your neighborhood Vermillion agents, so you should compare both to get a complete price analysis. Some car insurance companies may not provide online price quotes and most of the time these small insurance companies sell through independent agents.