How to Know You're Paying Too Much for Auto Insurance in Newmarket

Nobody I know likes paying for auto insurance, especially knowing their premiums are through the roof. Numerous battle for your insurance dollar, and it can be difficult to compare rates and uncover the absolute lowest rate

It's important to take a look at other company's rates periodically since insurance rates are constantly changing. If you had the lowest rates six months ago a different company probably has better rates today. So just forget anything you know (or think you know) about auto insurance because it's time to teach you the tricks you need to know to reduce your cost while increasing coverage.

Are you getting all your discounts?

Car insurance can cost a lot, but you can get discounts to help offset the cost. Certain discounts will be applied at the time of purchase, but lesser-known reductions have to be requested specifically prior to receiving the credit. If they aren't giving you every credit you qualify for, you are throwing money away.

Sign Early and Save - Some insurance companies reward drivers for signing up prior to your current policy expiring. It can save you around 10%.
Passive Restraint Discount - Vehicles with factory air bags or motorized seat belts can get savings up to 30%.
Student Driver Training - Make teen driver coverage more affordable by requiring them to take driver's ed class in high school.
Service Members Pay Less - Having a deployed family member can result in better rates.
Federal Employees - Active or retired federal employment may qualify you for a discount with certain companies.

It's important to note that most credits do not apply to the entire policy premium. Most only reduce individual premiums such as medical payments or collision. So when the math indicates having all the discounts means you get insurance for free, you're out of luck. But any discount will cut the cost of coverage.

Newmarket Rates are Influenced by These Factors

Smart consumers have a good feel for some of the elements that come into play when calculating auto insurance rates. Understanding what influences your rates enables informed choices that can help you get big savings.

The list below includes a few of the "ingredients" auto insurance companies consider when setting your rates.

Type of vehicle determines base rates - The type of vehicle you drive makes a significant difference in how high your rates are. Lower performance four cylinder passenger cars usually have the lowest rates, but other factors influence the final cost greatly.
Credit scores impact auto insurance rates - Your credit rating is a important factor in determining your rates. Drivers who have high credit scores tend to be better drivers and file fewer claims as compared to drivers with lower credit scores. If your credit can use some improvement, you could potentially save money when insuring your by repairing your credit.
Your car's features help determine rates - Owning a car with an alarm system can save you a little every year. Anti-theft devices such as tamper alarm systems, vehicle immobilizer technology and General Motors OnStar can help prevent your car from being stolen.
Drive a safer car and pay less - Vehicles with good safety scores are cheaper to insure. Safer cars reduce injuries and better occupant protection means less money paid by your insurance company and lower rates for you.

Tailor your coverage to you

When it comes to buying adequate coverage for your vehicles, there is no single plan that fits everyone. Coverage needs to be tailored to your specific needs and a cookie cutter policy won't apply. For instance, these questions may help highlight whether you might need an agent's assistance.

Does my car insurance cover rental cars?
Should I drop comprehensive coverage on older vehicles?
Is rental equipment covered for theft or damage?
Am I covered when delivering products for my home-based business?
Why am I required to get a high-risk car insurance policy?
Why does it cost so much to insure a teen driver in Newmarket?

If you don't know the answers to these questions, you might consider talking to a licensed insurance agent. To find lower rates from a local agent, complete this form or click here for a list of auto insurance companies in your area. It's fast, doesn't cost anything and can help protect your family.

How can State Farm and Allstate save drivers who switch?

New Hampshire drivers get pounded daily by advertisements for cheaper car insurance by State Farm and Allstate. All the ads say the same thing that you can save if you move to their company.

How do they all say the same thing?

All the different companies have a certain "appetite" for the driver that earns them a profit. For example, a preferred risk might be profiled as between the ages of 30 and 50, a clean driving record, and has a high credit rating. A propective insured who fits that profile will get the preferred rates and as a result will probably cut their rates substantially.

Potential customers who are not a match for the "perfect" profile will be charged higher prices which usually ends up with business not being written. The ads state "customers that switch" not "everybody who quotes" save that much. That is how insurance companies can state the savings.

That is why drivers should quote coverage with many companies. It's not possible to predict which company will have the lowest rates.

Additional New Hampshire consumer information

More information can be found on the website for the New Hampshire Insurance Department located here. New Hampshire drivers can learn about specific coverages, find out industry alerts, view a list of available companies, and find disaster information.

A tidy conclusion

Throughout this article, we presented a lot of tips how to reduce auto insurance prices online. The key concept to understand is the more you quote, the more likely it is that you will get a better rate. Drivers may discover the lowest rates come from the least-expected company. Regional companies often have lower prices on specific markets than the large multi-state companies such as .

As you restructure your insurance plan, you should never skimp on coverage in order to save money. There have been many cases where someone dropped uninsured motorist or liability limits only to regret that they should have had better coverage. Your goal should be to get the best coverage possible at a price you can afford, not the least amount of coverage.