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

Expensive auto insurance can drain your savings account and force you to prioritize other expenses. Comparison shopping is a smart way to help make ends meet.

Because you have many companies to choose from, it can be impossible to find the lowest cost car insurance company.

It's important to price shop coverage on a regular basis because prices are constantly changing. If you had the best deal on your last policy you can probably find a better price now. So ignore everything you know about auto insurance because you're going to get a crash course in the only way to lower your annual insurance bill.

Learn How to Buy Auto Insurance Cheaper

Consumers need to have an understanding of some of the elements that come into play when calculating the rates you pay for auto insurance. When you know what positively or negatively impacts premium levels helps enable you to make changes that can help you get much lower annual insurance costs.

The list below includes some of the factors that factor into your rates.

More than one policy can earn a discount - The majority of companies give discounts to insureds who carry more than one policy, otherwise known as a multi-policy discount. Even if you're getting this discount you still need to comparison shop to confirm you are receiving the best rates possible.
High deductibles save money - Physical damage coverage, commonly called comprehensive (or other-than-collision) and collision coverage, protects your car from damage. Some examples of claims that would be covered would be a windshield shattered by a rock, damage from fire, and windstorm damage. Your deductibles are the amount of money you are required to spend out-of-pocket in the event of a claim. The more money the insured has to pay upfront, the bigger discount you will receive.
Claim-free discounts can add up - If you are a frequent claim filer, you can expect either policy cancellation or increased premiums. Insurance companies in North Carolina provide discounts to insureds who do not rely on their insurance for small claims. Your insurance policy is intended for the bigger claims that can't be paid out-of-pocket.
Marriage brings a discount - Being married actually saves money when buying auto insurance. Marriage usually means you are more responsible and it's proven that married drivers get in fewer accidents.
Your car's features help determine rates - Purchasing a vehicle with an alarm system can help lower your rates. Anti-theft devices like vehicle immobilizer systems, General Motors OnStar and LoJack tracking systems all aid in stopping your car from being stolen.
Big city or small town - Residing in small towns and rural areas has it's advantages when talking about auto insurance. City drivers regularly have congested traffic and longer commutes to work. Less people living in that area means reduced accidents and also fewer theft and vandalism claims.

Take advantage of discounts

Auto insurance companies don't always advertise every available discount very well, so here is a list both the well known as well as the least known auto insurance savings.

Theft Prevention Discount - Anti-theft and alarm systems are stolen less frequently and will save you 10% or more.
Own a Home - Being a homeowner may trigger a auto insurance policy discount because of the fact that having a home requires personal responsibility.
Government Employees - Employees or retirees of the government could cut as much as 10% off with certain companies.
Driver's Ed - Cut your cost by having your teen driver take driver's ed class in high school.
Low Mileage - Keeping the miles down can qualify you for lower rates on the low mileage vehicles.
Discount for Life Insurance - Companies who offer life insurance give a break if you buy life insurance.

As a disclaimer on discounts, most credits do not apply to all coverage premiums. Some only reduce individual premiums such as comprehensive or collision. So even though it sounds like adding up those discounts means a free policy, auto insurance companies aren't that generous.

To choose providers with the best auto insurance discounts in North Carolina, follow this link.

Are auto insurance companies telling the truth?

Companies like Allstate and Progressive regularly use ads on TV and radio. All the ads say the same thing about savings if you move your policy. But how can every company claim to save you money?

Insurance companies have a preferred profile for the right customer that makes them money. An example of a preferred risk might be between 25 and 40, insures multiple vehicles, and has great credit. A customer getting a price quote who fits that profile will get very good rates and most likely will save a lot of money.

Potential customers who don't qualify for this ideal profile will be charged higher prices which usually ends up with the customer not buying. The ads say "customers that switch" not "people who quote" save that kind of money. This is how companies can truthfully advertise the savings. That is why you should quote coverage with many companies. It's impossible to know which insurance companies will fit your personal profile best.

For more North Carolina auto insurance information

Even more information is available at the North Carolina Department of Insurance website. Visitors are able to read consumer alerts, report car insurance fraud, download brochures, and get help finding coverage.

Other informative sites include BankRate.com's Car Insurance: When not to Skimp and this Stokesdale agent directory.

Affordable insurance is out there

When you buy insurance online, do not buy poor coverage just to save money. Too many times, drivers have reduced comprehensive coverage or liability limits to discover at claim time that the few dollars in savings costed them thousands. The aim is to find the BEST coverage at a price you can afford, not the least amount of coverage.

Cheap auto insurance is definitely available both online in addition to many Stokesdale insurance agents, so you should compare both so you have a total pricing picture. There are still a few companies who do not provide online price quotes and many times these smaller companies only sell through independent insurance agents.