Top Ways to Save on Memphis Auto Insurance

No one in their right mind enjoys paying for auto insurance, especially knowing the cost is way too high.

Because you have many choices of insurance companies, it can be diffult for consumers to pick the most cost effective company.

It's important to price shop coverage occasionally since insurance rates are constantly changing. Just because you found the best price a few years ago the chances are good that you can find a lower rate today. Ignore everything you know about auto insurance because you're about to learn the quickest way to properly buy coverages while reducing your premium.

These discounts can lower your rates

Companies that sell car insurance don't always list all their discounts very well, so we took the time to find some of the best known and also the lesser-known auto insurance savings.

College Student - Children who attend school more than 100 miles from home and don't have a car can be insured at a reduced rate.
Anti-theft Discount - Anti-theft and alarm systems are stolen less frequently and earn discounts up to 10%.
Homeowners Savings - Owning a house in Memphis may trigger a auto insurance policy discount because maintaining a house is proof that your finances are in order.
Passive Restraints - Factory air bags or motorized seat belts can receive discounts up to 30%.
No Claims - Good drivers with no accidents can save substantially as compared to bad drivers.

It's important to note that most credits do not apply to your bottom line cost. Some only apply to specific coverage prices like liability, collision or medical payments. Even though it may seem like all the discounts add up to a free policy, you're out of luck.

To see a list of companies with discount auto insurance rates in Tennessee, follow this link.

Finding Auto Insurance Deals in Memphis, TN

Most companies allow you to get coverage price quotes online. Getting online quotes doesn't take a lot of time as you just type in your coverage preferences as detailed in the form. Once you submit the form, their system will obtain information on your driving record and credit history and returns pricing information. This makes it a lot easier to compare rates but the time it takes to visit different websites and type in the same information is monotonous and tiresome. But it's very important to do this in order to find better auto insurance pricing.

The preferred way to get multiple rate quotes requires only one form that gets price quotes from several companies at one time. The form is fast, requires much less work on your part, and makes rate comparisons much more efficient. As soon as you send your information, it is rated with multiple companies and you can pick any or none of the price quotes you receive. If you find a better price you simply finish the application and purchase coverage. The entire process takes 15 minutes at the most and could lower your rates considerably.

To quickly find out what other companies charge, click here to open in new window and enter your information. If you currently have coverage, we recommend you input deductibles and limits exactly as shown on your declarations page. This makes sure you will have a price comparison based on the exact same insurance coverage.

Learn How to Buy Auto Insurance Cheaper

An important part of buying insurance is that you know some of the elements that play a part in calculating auto insurance rates. When you know what positively or negatively influences your rates helps enable you to make changes that may reward you with lower auto insurance prices.

Shown below are a few of the "ingredients" that factor into rates.

Mature drivers pay less - Teenage drivers in Tennessee have a tendency to be more careless behind the wheel so auto insurance rates are higher. Adding a youthful driver onto your auto insurance can break the bank. Older drivers are viewed as being more responsible, tend to file fewer claims and get fewer tickets.
Consolidate policies to earn discounts - Some companies will give a discount to people who consolidate policies with them, otherwise known as a multi-policy discount. Even with this discount, it's still a good idea to compare rates to confirm you are receiving the best rates possible.
Lower deductibles cost more - Physical damage coverage, also known as collision and other-than-collision, is used to repair damage to your car. Some examples of claims that would be covered are collision with another vehicle, damage caused by hail, and rolling your vehicle. Your deductibles are how much you are willing to pay out-of-pocket in the event of a claim. The higher the amount the insured has to pay upfront, the lower your rates will be.
Better credit scores mean better rates - Credit score is a big factor in determining your rates. Consumers who have high credit scores tend to be less risk to insure than drivers who have lower credit scores. If your credit is low, you could pay less to insure your by improving your rating.

Different people need different coverages

When choosing the right insurance coverage for your vehicles, there really is no single plan that fits everyone. Your needs are not the same as everyone else's and a cookie cutter policy won't apply. For instance, these questions might point out whether you could use an agent's help.

What are Tennessee no-fault laws?
Do I need special endorsements for business use of my vehicle?
When do I need to add a new car to my policy?
Should I drop comprehensive coverage on older vehicles?
What companies insure drivers after a DUI or DWI?
What can I do if my company won't pay a claim?
Does my liability insurance cover pulling a trailer or camper?

If you don't know the answers to these questions then you might want to talk to a licensed agent. If you want to speak to an agent in your area, complete this form or you can go here for a list of companies in your area.

Are you falling for claims of savings?

Auto insurance companies such as Progressive, GEICO, Allstate and State Farm consistently run ads on television and other media. They all seem to say the same thing that you can save if you change your policy. But how can every company say the same thing? It's all in the numbers.

All companies have a certain "appetite" for the right customer that is profitable for them. For example, a desirable insured might be profiled as over the age of 40, owns a home, and drives less than 7,500 miles a year. A propective insured who fits that profile will qualify for the lowest rates and as a result will probably save a lot of money.

Potential insureds who are not a match for this ideal profile will have to pay more money which usually ends up with business not being written. The ad wording is "customers who switch" not "everybody who quotes" save that kind of money. That is how insurance companies can advertise the way they do. Because of the profiling, drivers must get quotes from several different companies. It's not possible to predict which company will provide you with the cheapest rates.

Final considerations

When shopping online for auto insurance, don't be tempted to reduce coverage to reduce premium. There are many occasions where an insured cut physical damage coverage only to regret at claim time that a couple dollars of savings turned into a financial nightmare. Your aim should be to get the best coverage possible at the best price.

Lower-priced auto insurance can be sourced on the web in addition to many Memphis insurance agents, and you need to comparison shop both in order to have the best chance of saving money. Some auto insurance companies do not provide the ability to get a quote online and most of the time these regional insurance providers sell through independent agents.

For more Tennessee car insurance information

Additional detailed information can be found at the Tennessee Department of Commerce and Insurance website. Tennessee drivers can read enforcement actions against agents and companies, read consumer alerts, report car insurance fraud, and find out industry alerts.

Additional helpful sites include Auto Insurance 101 and this page of insurance agents in Memphis.