Obtaining Cheap Rates on Quality Automobile Insurance

So, here’s the good news. The Age of the Internet has made it easier than ever for you to nab some cheap car insurance. Want to know why? The Internet allows you to shop around for cheaper rates for just about anything you want to buy, including car insurance, and according to Fierce Retail, 80% of shoppers will shop around.

Insurance companies know this. To get your business, some insurance companies create polices that offer consumers cheaper rates. However, this cheap insurance comes with a trade-off that you often only really understand once you have an accident. As medical bills and property damage repairs mount, it’s only then that you discover what that cheap insurance actually cost you: The insurance that you paid for may not be enough to cover the expenses that have rapidly accrued as a result of your accident.

A Better Way to Get Cheap Rates on Quality Car Insurance

This doesn’t have to be your fate. It’s possible to get auto insurance coverage that’s both inexpensive and top quality at the same time. The key is to find an insurance agent that knows how to help you customize your insurance coverage.

That’s why it’s important to shop around and to not just jump on the first cheap quote that you find. Below, you’ll find a list of some key features that your insurance company should offer you as well as some questions you should ask as you’re shopping for insurance..

1. Do They Offer Flexible Payment Options

If you’re shopping around for inexpensive car insurance rates, then it’s likely you’re on a budget. That goes without saying, right?

Well, did you know that you may save money by paying your insurance policy on a semi-annual basis? That’s not to say your insurance can’t be cheap enough if you pay it monthly, but truth be told, you’ll likely pay less if you pay for six months or more of insurance at once.

Here’s what you need to ask a potential insurance agent about your payments:

• Ask if you can pay by the month, by the quarter, and/ or semi-annually.
• Determine if you can pay a number of ways. i.e. By mail, by automatic withdrawal from your checking account, or by an online payment method.
• Find out if any of payment method saves you money. Will you pay less if you pay online on a semi-annual basis or via some other preferred method? For example, you can get up to $50 off if you do autopay with some companies. You may also save additional money by opting for paperless billing.

2. Questions to Ask

Like most other kinds of services that you pay for in the community, your insurance company may offer you special discounts. However, a potential insurance agent may not ask you about this. You may have to do the asking.

Additionally, do be aware of the fact that some insurance companies are cheap, but not of great value to you as a customer. This can cost you more in the end.

Here’s what you need to ask to determine if you’re dealing with a quality insurance agency:

• Is the insurance company dependable? Will someone return your phone calls in a timely fashion? Is the company known for having a good reputation in the industry?
• How easy is it to file a claim? Will the insurance company take claims over the phone around the clock?
• Can the insurance company customize your policy in a way that not only allows you to enjoy your quality of life but also allows you to stick to your budget?

Additionally, be sure to ask these questions if you think you qualify for a discount:

• Is there a homeowner’s discount? Does it matter where I park my car? Some insurance companies want to know if you park on the street versus in a garage. They also want to know where you live because some places are safer for car insurance holders than others.
• Can I qualify for a discount if I am a student? If I get good grades? Do I qualify for a discount if I am a parent of such a student? Does your company offer a resident student discount? Conversely, find out if having your teen (or any other driver) on your insurance policy will make your insurance go up.
• Am I eligible for a safe driver discount? This discount can save you up to $100 a year with some auto insurance carriers. Some insurance companies will help you save up to 15% on personal injuries or medical treatments if you and your passengers wear a seatbelt.
• If I take a defensive driver course, will I save money? In some cases, you can - up to 10%.
• Does your company offer a discount if I have a good credit score?
• Do I get a discount if I bundle my car, home, life, etc. insurance together? Will I get a discount if all of my cars are insured through your company?
• Do you offer discounts for having memberships with organizations, like AARP, Sam’s Club, or AAA?
• Will I get a discount if I install anti-lock brakes? An anti-theft system? What about if I have an airbag?
• Do I qualify for a low-mileage discount if I drive less than 12,000 miles a year?
• Are there any discounts available that I haven’t asked about?

3. Other Ways to Lower Your Rates

Finally, did you know that you’re going to pay a lot more for car insurance if you drive certain kinds of cars? You pay less if you drive an older car. Buying an older car means you don’t have to carry as much insurance. You can often get away with just paying liability insurance, which costs you less money than comprehensive collision insurance in the long run. And speaking of rates, choosing a higher deductible allows you to pay less on your monthly insurance bill.

Did you also know that certain cars, like the Nissan GT-R or the Mercedes AMG GT R cost you more to insure? The type of car you drive can make a significant difference in how much you pay for auto insurance, so you may want to keep that in mind when you go car shopping.