How to Know You're Spending Too Much for Auto Insurance in East Tawas

Scraping up a payment for overpriced auto insurance can take a big chunk out of your bank account and force you to make sacrifices. Doing a price comparison is a great way to tighten up your finances. Since consumers have many online and local companies to choose from, it's difficult to find the lowest price car insurance company.

Choosing the best insurance company for you in East Tawas 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 maximizing coverage. Michigan vehicle owners just need to know the proper methods to find the lowest price on the web.

Learn How to Buy Auto Insurance Cheaper

Consumers need to have an understanding of the factors that play a part in calculating auto insurance rates. When you know what positively or negatively controls the rates you pay helps enable you to make changes that could result in better auto insurance rates.

  • Higher deductibles cost less - The deductibles represent how much money you are willing to pay out-of-pocket in the event of a claim. Physical damage coverage, commonly called comprehensive (or other-than-collision) and collision coverage, insures against damage to your car. Some examples of claims that would be covered are colliding with a building, damage from fire, and rolling your vehicle. The more money the insured has to pay upfront, the bigger discount you will receive.
  • Proper usage rating affects rates - The higher the mileage driven in a year's time the more you'll pay to insure your vehicle. The majority of insurers price each vehicle's coverage based on how the vehicle is used. Cars that are left in the garage can get a lower rate as compared to vehicles used primarily for driving to work. Verify your auto insurance declarations sheet properly reflects the correct usage for each vehicle, because it can save money.
  • Do you need the policy add-ons? - There are quite a few add-on coverages that you can get tricked into buying if you aren't careful. Things like personal injury protection, accidental death and membership fees are some examples. They may seem like a good idea when you first buy your policy, but your needs may have changed so remove them from your policy.
  • Discounts for multiple policies - Some insurance companies will award you with lower prices to people who buy several policies from them, otherwise known as a multi-policy discount. Even though this discount sounds good, you still need to comparison shop to confirm you are receiving the best rates possible.
  • Your stress level may be raising your rates - Occupations such as doctors, social workers and stock brokers are shown to have the highest rates because of stressful work requirements and long work hours. On the other hand, jobs such as pilots, students and retirees pay the least.

Compare Auto Insurance Today

Performing a rate comparison can be exhausting if you don't understand the most efficient way to do it. You can spend your afternoon driving to local insurance agents in East Tawas, or you could save time and use online quoting to get the quickest rates.

Most of the larger companies are enrolled in a marketplace that enables customers to enter their policy data once, and at least one company returns a rated price for coverage. This prevents consumers from doing repetitive form submissions to each individual auto insurance company.

To submit your quote information now, click here to open in new window.

The only drawback to getting quotes like this is that consumers can't choose which providers you want pricing from. If you wish to select individual companies to request quotes from, we have a page of auto insurance companies in Michigan. Click here to view list.

However you get your quotes, make sure you use apples-to-apples coverage limits for each comparison quote. If you use differing limits it's impossible to determine the lowest rate in East Tawas.

Don't pay full price with these discounts

Car insurance companies don't list all available discounts very well, so here is a list some of the best known as well as the least known discounts you could be receiving. If you don't get every credit you deserve, you are paying more than you should be.

  • Multiple Cars - Having all your vehicles with the same company may reduce the rate for each vehicle.
  • Life Insurance Discount - Select insurance companies reward you with a break if you buy life insurance from them.
  • Safety Course Discount - Taking a course teaching defensive driving skills could cut 5% off your bill if your company offers it.
  • Auto/Home Discount - If you insure your home and vehicles with the same insurance company you could get a discount of 10% to 20% off each policy.
  • No Claims - Drivers who don't have accidents can earn big discounts when compared with accident-prone drivers.
  • Pay Now and Pay Less - By paying your policy upfront instead of making monthly payments you could save 5% or more.
  • New Vehicle Savings - Adding a new car to your policy can cost up to 25% less compared to insuring an older model.
  • Military Discounts - Being deployed with a military unit could be rewarded with lower premiums.
  • Anti-lock Brakes - Vehicles equipped with ABS or steering control can avoid accidents and qualify for as much as a 10% discount.

Consumers should know that some of the credits will not apply to your bottom line cost. Most only apply to individual premiums such as physical damage coverage or medical payments. So despite the fact that it appears you would end up receiving a 100% discount, companies don't profit that way.

To choose insurers with discount auto insurance rates in Michigan, click here.

The auto insurance bait and switch

Michigan drivers can't ignore all the ads for car insurance savings from companies such as Allstate, GEICO and Progressive. All the companies have a common claim that you'll save big if you change your policy.

But how can every company say the same thing?

Different companies have a preferred profile for the right customer that makes them money. An example of a profitable customer might be profiled as between 30 and 50, has no prior claims, and has a short commute. A propective insured that hits that "sweet spot" is entitled to the best price and therefore will save a lot of money.

Consumers who don't measure up to this ideal profile must pay higher prices and this can result in business not being written. The ads state "customers that switch" not "everyone that quotes" save that kind of money. This is how companies can make the claims of big savings. This illustrates why you need to compare as many rates as you can. It's not possible to predict which insurance companies will fit your personal profile best.

Your personal situation dictates your coverage

When buying proper insurance coverage for your personal vehicles, there really is no single plan that fits everyone. Everyone's situation is a little different and your policy should reflect that. Here are some questions about coverages that can help discover whether or not you might need professional guidance.

  • Am I covered when driving on a suspended license?
  • What happens if I owe more than my vehicle is worth?
  • Do I really need UM/UIM coverage?
  • Am I covered when driving in Canada or Mexico?
  • What companies insure drivers after a DUI or DWI?
  • Are my tools covered if they get stolen from my vehicle?
  • Who is covered when they drive my vehicle?

If you can't answer these questions then you might want to talk to a licensed agent. To find lower rates from a local agent, take a second and complete this form or go to this page to view a list of companies. It is quick, free and can help protect your family.

More detailed Michigan auto insurance information is available at the Michigan Office of Financial and Insurance Regulation website. Michigan drivers can report car insurance fraud, file complaints about an insurance agent or broker, discover disciplinary actions, and read consumer alerts.

Other informative sites include this page for Michigan auto insurance and this page for help finding agents in East Tawas, MI.

Michigan auto insurance quotes

And the best car insurance company is...

Discount auto insurance is attainable on the web in addition to many East Tawas insurance agents, so compare prices from both in order to have the best price selection to choose from. Some insurance providers do not provide online price quotes and usually these smaller companies provide coverage only through local independent agents.

As you shop your coverage around, do not reduce coverage to reduce premium. In too many instances, consumers will sacrifice comprehensive coverage or liability limits to discover at claim time that saving that couple of dollars actually costed them tens of thousands. Your focus should be to buy a smart amount of coverage at a price you can afford while not skimping on critical coverages.