Consumer Tested Strategies to Save on Hoffman Auto Insurance

Did you fall for a flashy sales pitch and buy an underperforming, overpriced auto insurance policy? Trust us, you're not alone. Big companies like GEICO and Progressive all promote huge savings with ad campaigns and it is difficult to sift through the bull and effectively compare rates to find the best deal.

If you have a current auto insurance policy or need new coverage, you will benefit by learning to shop for the lowest rates while maximizing coverage. Choosing the best insurance company for you in Hoffman is not that difficult. Minnesota consumers only need to know the proper way to find the lowest price over the internet.

Understand what determines the rate you pay

Consumers need to have an understanding of the rating factors that help determine auto insurance rates. Having a good understanding of what impacts premium levels helps enable you to make changes that could result in lower auto insurance prices.

The following are a few of the "ingredients" that factor into premiums.

  • Don't skimp on liability - Liability coverage provides coverage if a jury decides you are liable for damages caused by your negligence. Liability insurance provides for a legal defense starting from day one. Carrying liability coverage is mandatory and cheap when compared with rates for comp and collision, so drivers should carry high limits.
  • Don't buy coverages you don't need - There are a ton of extra coverages that you can get tricked into buying if you aren't careful. Insurance for personal injury protection, accidental death and membership fees may be wasting your money. These may sound like a good investment initially, but your needs may have changed so eliminate the coverages to reduce your premium.
  • Men pay higher rates - Statistics demonstrate women are more cautious behind the wheel. However, this does not mean men are WORSE drivers than women. Women and men cause accidents in similar percentages, but the male of the species have costlier accidents. Men also tend to have more aggressive citations like reckless driving and DUI. Youthful male drivers are the most expensive to insure and are penalized with high auto insurance rates.
  • Never let your coverage lapse - Allowing your auto insurance policy to lapse will be a fast way to trigger a rate increase. 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.
  • Frequent auto insurance claims increase rates - Auto insurance companies in Minnesota give cheaper rates to insureds who do not rely on their insurance for small claims. If you frequently file small claims, you can expect either a policy non-renewal or much higher rates. Auto insurance is intended to be relied upon for the large, substantial claims.
  • Being married can save on auto insurance - Having a spouse can get you a discount on your auto insurance policy. Having a spouse usually means you are more responsible and statistics show being married results in fewer claims.
  • More than one policy can earn a discount - Many auto insurance companies will award you with lower prices to people who buy several policies from them such as combining an auto and homeowners policy. This can amount to ten or even up to twenty percent in some cases. Even if you're getting this discount it's still a good idea to comparison shop to confirm you are receiving the best rates possible. You may still find a better deal by insuring with multiple companies.

Don't pay full price with these discounts

Companies that sell car insurance don't always list all available discounts in a way that's easy to find, so we took the time to find some of the best known and also the lesser-known ways to save on auto insurance. If you aren't receiving every discount possible, you are paying more than you should be.

  • Organization Discounts - Affiliation with a civic or occupational organization could trigger savings when buying auto insurance.
  • Driver Safety - Completing a course teaching defensive driving skills could possibly earn you a 5% discount if your company offers it.
  • Senior Discount - If you're over the age of 55, you may be able to get a discount up to 10%.
  • Seat Belts Save more than Lives - Using a seat belt and requiring all passengers to buckle their seat belts can save 10% or more on the medical payments or PIP coverage costs.
  • Federal Government Employee - Employees or retirees of the government can save as much as 8% depending on your company.
  • Paperless Signup - Certain companies give back up to $50 for buying your policy digitally online.
  • Anti-theft Discount - Vehicles equipped with anti-theft or alarm systems help deter theft and earn discounts up to 10%.

A little note about advertised discounts, many deductions do not apply the the whole policy. Most only apply to specific coverage prices like physical damage coverage or medical payments. So even though they make it sound like all the discounts add up to a free policy, you won't be that lucky.

To choose insurers who offer auto insurance discounts in Hoffman, click this link.

The auto insurance bait and switch

Minnesota drivers can't ignore all the ads that promise big savings from companies such as Allstate, GEICO and Progressive. All the companies make the same claim about savings after switching your policy.

How can each company say the same thing? It's all in the numbers.

All companies are able to cherry pick for the right customer that makes them money. For example, a profitable customer might be profiled as between 25 and 40, has no tickets, and has great credit. A propective insured who matches those parameters is entitled to the best price and therefore will save when they switch companies.

Potential customers who don't measure up to the requirements must pay a higher premium which leads to business not being written. Company advertisements say "customers who switch" not "everyone that quotes" save that kind of money. That's the way companies can truthfully advertise the savings. This illustrates why you should get quotes from several different companies. It's not possible to predict which auto insurance company will fit your personal profile best.

Find out more about auto insurance

Even more information can be found at the Minnesota Department of Commerce website. Minnesota drivers can find out which companies have the most complaints, discover disciplinary actions, learn about insurance regulations, and find a variety of consumer forms.

auto insurance in Hoffman

Best coverage at the best price

The cheapest auto insurance can be bought on the web in addition to many Hoffman insurance agents, so you should compare both to have the best rate selection. There are still a few companies who do not provide online price quotes and usually these regional insurance providers provide coverage only through local independent agents.

When you buy insurance online, it's a bad idea to buy poor coverage just to save money. In too many instances, an insured dropped physical damage coverage only to discover later that the few dollars in savings costed them thousands. Your focus should be to buy enough coverage at the best price while not skimping on critical coverages.