Free Guide to Spending Less for Purchase Car Insurance Online

Tired of robbing Peter to pay Paul each month for car insurance? Your situation is no different than millions of other consumers. There are many to buy insurance from, and even though it's nice to have multiple companies, it makes it harder to compare rates.

It's important to check car insurance prices before your policy renews because rates are constantly changing. Just because you had the best deal a few years ago a different company probably has better rates today. Starting right now, forget all the misinformation about car insurance because you're going to learn the proper way to save money, get proper coverage and the best rates.

Choosing the best insurance company for you in Purchase is quite easy. If you currently have a car insurance policy, you should be able to save some money using these techniques. New York drivers only need an understanding of the most effective way to shop their coverage around online.

More discounts equal less premium

Companies offering auto insurance don't list every available discount very clearly, so here is a list some of the more common as well as the least known ways to save on car insurance. If you're not getting every credit available, you are throwing money away.

Multi-policy Discount - If you have multiple policies with the same insurance company you will save at least 10% off all policies.
Employee of Federal Government - Active or retired federal employment could cut as much as 10% off with certain companies.
Good Students Pay Less - Performing well in school can earn a discount of 20% or more. The discount lasts until age 25.
One Accident Forgiven - Certain companies will forgive one accident before your rates go up if you are claim-free for a set time period.
Early Signing - Some insurance companies reward drivers for switching to them prior to your current policy expiring. This can save 10% or more.
New Car Discount - Putting insurance coverage on a new car is cheaper because new vehicles have to meet stringent safety requirements.
Auto/Life Discount - Larger companies have a discount if you purchase life insurance.

It's important to understand that many deductions do not apply to the entire cost. Most only reduce individual premiums such as comprehensive or collision. So even though they make it sound like all the discounts add up to a free policy, it doesn't quite work that way.

What determines how much you pay?

Smart consumers have a good feel for the rating factors that go into determining your car insurance rates. Knowing what determines base rates allows you to make educated decisions that can help you get much lower annual insurance costs.

Listed below are some of the factors companies use to determine your rates.

Consolidate policies to earn discounts - Most car insurance companies give discounts to policyholders who buy several policies from them in the form of a multi-policy discount. If you currently are using one company, you still need to compare other company rates to make sure you are getting the best deal. You may still be able to find better rates by buying car insurance from a different company.
Keep rates low by being claim-free - If you tend to file frequent claims, you can definitely plan on either policy cancellation or increased premiums. Insurance companies in New York give lower rates to policyholders who file claims infrequently. Your insurance policy is meant to be used in the event of major claims that would cause financial hardship.
How's your driving record? - Your driving record has a lot to do with how much you pay for insurance. Good drivers have lower premiums than bad drivers. Only having one citation can increase rates by twenty percent. Drivers who get serious violations such as DWI, reckless driving or hit and run convictions may be required to file a proof of financial responsibility form (SR-22) with their state motor vehicle department in order to continue driving.
Are you male or female? - The statistics show that women are safer drivers than men. That doesn't necessarily mean that women are better drivers. Both sexes cause accidents at about the same rate, but men cause more damage. Men also have more aggressive citations such as reckless driving. Male drivers age 16 to 19 are most likely to cause an accident and therefore are the most expensive to insure.
More performance means more cost - The make and model of the car you drive makes a big difference in your rates. The lowest rates are for small economy passenger models, but the final cost of insurance is determined by many other factors.
Proper usage rating affects rates - The more miles you rack up on your car every year the higher your rates will be. Most companies rate vehicles determined by how the vehicle is used. Autos used primarily for pleasure use can get a lower rate as compared to vehicles used primarily for driving to work. Double check that your car insurance policy shows how each vehicle is driven, because it can save money.
Protect yourself with liability coverage - Liability insurance will protect you in the event that you are found to be at fault for damages from an accident. Liability insurance provides legal defense coverage which can be incredibly expensive. Liability is cheap compared to physical damage coverage, so drivers should carry high limits.
Bump up deductibles to save - Coverage for physical damage, termed comprehensive and collision coverage on your policy, protects your car from damage. Examples of covered claims are a windshield shattered by a rock, damage from fire, and burglary. Physical damage deductibles are the amount of money you are willing to pay if you file a covered claim. The more money you're willing to pay, the less your company will charge you for insurance.

Switch companies and save? Really?

Consumers get pounded daily by advertisements for the lowest price auto insurance by companies like Allstate and Progressive. All the ads make the same claim of big savings if you switch to them.

How does each company make the same claim?

Insurance companies can use profiling for the type of driver that earns them a profit. An example of a preferred risk could be a mature driver, is a homeowner, and drives less than 7,500 miles a year. A customer who matches those parameters will get the preferred rates and therefore will save when switching.

Consumers who do not match these standards will be charged higher prices which leads to business going elsewhere. The ads state "customers that switch" not "everyone that quotes" save money. That's why insurance companies can confidently advertise the way they do. That is why drivers should get a wide range of price quotes. Because you never know the company that will provide you with the cheapest rates.

Learn more today

More tips and info about car insurance is available at the New York Department of Financial Services website. Consumers can read consumer alerts, download brochures, file complaints about a company, and learn about insurance regulations.

And the best car insurance company is...

When shopping online for car insurance, never skimp on coverage in order to save money. Too many times, an accident victim reduced liability limits or collision coverage only to find out that a couple dollars of savings turned into a financial nightmare. The aim is to get the best coverage possible at a price you can afford, not the least amount of coverage.

We just showed you many ideas to reduce car insurance prices online. The key thing to remember is the more quotes you get, the better your chances of lowering your rates. You may even discover the best price on car insurance is with some of the lesser-known companies. Regional companies can often provide lower rates in certain areas as compared to the big name companies such as .