Sick and tired of not being able to afford to pay your car insurance bill each month? You are in the same boat as many other Colorado consumers.
Many car insurance companies vie for your business, so it can be very hard to choose a insurance company and uncover the absolute lowest cost out there.
Which Auto Insurance is Cheapest in Denver, CO?
Performing a rate comparison can take hours if you don’t utilize the most efficient way to do it. You can waste a lot of time talking about coverages with insurance companies in Denver, or you can stay home and use the internet to accomplish the same thing much quicker.
Many popular insurance companies belong to a marketplace where prospective buyers only type in their quote data once, and at least one company provides a quote based on that data. This system prevents you from having to do quote forms to each individual auto insurance company.
To find out what other companies charge click here (opens in new window).
The only drawback to comparing rates this way is you don’t know exactly the companies to get quotes from. So if you want to select specific insurance companies to compare prices, we put together a list of low cost auto insurance companies in Colorado. View list of Colorado insurance companies.
However you get your quotes, be sure to compare apples-to-apples coverages and limits for each price quote. If you use higher or lower deductibles you can’t possibly decipher which rate is best in Denver. Having just a slight variation in coverages can make a big difference in price. It’s important to know that getting more free quotes helps locate the best offered rates.
Are you falling for claims of savings?
State Farm, Allstate and GEICO consistently run ads on TV and radio. All the companies have a common claim of big savings if you change to them. How can each company claim to save you money? It’s all in the numbers.
Insurance companies are able to cherry pick for the driver that earns them a profit. For instance, a driver they prefer might be profiled as between the ages of 40 and 55, has no tickets, and drives newer vehicles. A customer who meets those qualifications gets the lowest rates and is almost guaranteed to cut their rates substantially.
Drivers who do not match these standards must pay a higher premium which leads to the customer not buying. Company advertisements say “drivers who switch” not “everyone that quotes” save that much. That’s the way companies can truthfully make those claims. This illustrates why it is so important to get as many comparisons as possible. It is impossible to predict which insurance companies will provide you with the cheapest car insurance quote in Denver.
Learn How to Lower your Rates
Smart consumers have a good feel for the rating factors that help determine the rates you pay for auto insurance. Knowing what impacts premium levels enables informed choices that could result in big savings.
- Drive a safer car and pay less – Safer cars can get you lower premiums. Safer cars protect occupants better and any reduction in injury severity translates into savings for insurance companies and lower rates for you.
- Rate your vehicle for proper use – Driving more miles in a year’s time the more you will pay for auto insurance. Most companies price each vehicle’s coverage determined by how the vehicle is used. Cars used primarily for pleasure use get more affordable rates than vehicles that are driven to work every day. Double check that your auto insurance coverage is showing the proper vehicle usage.
- One company can mean more discounts – Most insurers will award you with lower prices to insureds who have multiple policies with them. It’s known as a multi-policy discount. This can amount to five, ten or even twenty percent. Even if you’re getting this discount it’s still a good idea to comparison shop to make sure you are getting the best deal. You may still be able to find better rates by insuring with multiple companies.
- Cautious drivers pay less – A bad driving record has a huge affect on how much you pay. Careful drivers receive lower rates than bad drivers. Even a single ticket can boost insurance rates forty percent or more. If you have serious violations like reckless driving, hit and run or driving under the influence may find they need to file a SR-22 with their state motor vehicle department in order to continue driving.
- Adjust deductibles and save – Physical damage deductibles represent how much money you are willing to pay out-of-pocket in the event of a claim. Physical damage insurance, also known as collision and other-than-collision, is used to repair damage to your car. A few examples of covered claims are colliding with a building, damage from fire, and windstorm damage. The more you have to pay, the lower your rates will be.
- Policy add-ons can waste money – There are quite a few additional coverages that you can buy when buying auto insurance. Things like personal injury protection, towing coverage and membership fees may be wasting your money. They may seem good at first, but your needs may have changed so remove them from your policy.
- Having a spouse can save you money – Being married helps lower the price when buying auto insurance. Marriage translates into being more responsible and it’s statistically proven that being married results in fewer claims.
Verify you’re getting all your discounts
Companies don’t always publicize every discount in an easy-to-find place, so we break down both well-publicized as well as the least known auto insurance savings.
- Discount for Swiching Early – Some companies give discounts for switching to them prior to your current policy expiration. The savings is around 10%.
- Air Bag Discount – Vehicles equipped with air bags or motorized seat belts can get savings up to 30%.
- Safe Drivers – Drivers who don’t get into accidents can get discounts for up to 45% lower rates than their less cautious counterparts.
- Good Students Pay Less – A discount for being a good student can save 20 to 25%. The good student discount can last until age 25.
- Resident Student – Children living away from home attending college and do not have access to a covered vehicle may qualify for this discount.
- Driver’s Ed – Cut your cost by having your teen driver enroll in driver’s education in school.
- Life Insurance Discount – Select insurance companies reward you with lower rates if you buy auto and life insurance together.
- Braking Control Discount – Cars that have steering control and anti-lock brakes are safer to drive and earn discounts up to 10%.
- No Accidents – Good drivers with no accidents pay much less as compared to accident-prone drivers.
It’s important to understand that most credits do not apply to the overall cost of the policy. Some only apply to individual premiums such as medical payments or collision. So when the math indicates adding up those discounts means a free policy, companies wouldn’t make money that way.
To see a list of insurance companies with the best auto insurance discounts in Colorado, follow this link.
When should I talk to an agent?
When choosing proper insurance coverage, there really is not a cookie cutter policy. Your needs are not the same as everyone else’s so this has to be addressed. For instance, these questions may help you determine if your situation would benefit from professional advice.
- Is my teen driver covered when they drive my company car?
- Should I buy additional glass protection?
- Am I covered when driving a rental car?
- How much liability do I need to cover my assets?
- Can my teen driver be rated on a liability-only vehicle?
- Do I need rental car coverage?
If you’re not sure about those questions but a few of them apply, you might consider talking to an insurance agent. If you want to speak to an agent in your area, complete this form or go to this page to view a list of companies.
A tidy conclusion
Cost effective auto insurance can be found online in addition to many Denver insurance agents, and you should be comparing both to have the best selection. Some companies do not provide online price quotes and usually these small, regional companies provide coverage only through local independent agents.
We just covered many tips how you can compare auto insurance prices online. The key thing to remember is the more rate quotes you have, the higher your chance of finding lower rates. Consumers may even find the lowest rates come from a lesser-known regional company. Regional companies may often insure only within specific states and give better rates than their larger competitors like Progressive and GEICO.
As you prepare to switch companies, it’s not a good idea to buy lower coverage limits just to save a few bucks. In many cases, consumers will sacrifice comprehensive coverage or liability limits only to regret at claim time that a couple dollars of savings turned into a financial nightmare. Your aim should be to purchase a proper amount of coverage at a price you can afford while not skimping on critical coverages.
Colorado insurance information
Even more information can be found at the Colorado DORA Division of Insurance website. Visitors are able to download brochures, read state legal mandates and laws, learn about insurance regulations, and discover disciplinary actions.